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05-25-2022 Board Meeting Complete Agenda Packet
OC6SAN ORANGE COUNTY SANITATION DISTRICT ORANGE COUNTY SANITATION DISTRICT SPECIAL NOTICE REGARDING CORONAVIRUS (COVID-19) AND ATTENDANCE AT PUBLIC MEETINGS Governor Newsom signed Assembly Bill (AB) 361 on September 16, 2021, which, in part, addresses the conduct of public meetings in light of the continued State of Emergency order. Effective October 1, 2021, AB 361 suspends the requirements located in California Government Code, Section 54953, Subdivision (b), Paragraph (3) specifically pertaining to the conduct of public meetings. As such, the Orange County Sanitation District (OC San) Board of Directors has determined that due to the size of OC San's Board of Directors (25), and the health and safety of the members, the Board of Directors will be participating in meetings of the Board telephonically and via Internet accessibility. PUBLIC PARTICIPATION Your participation is always welcome. OC San offers several ways in which to interact during meetings. You will find information as to these opportunities below. ONLINE MEETING PARTICIPATION You may join the meeting live via Teams on your computer or similar device or web browser by using the link below: Click here to join the meeting We suggest testing joining a Teams meeting on your device prior to the commencement of the meeting. For recommendations, general guidance on using Teams, and instructions on joining a Teams meeting, please click here. Please mute yourself upon entry to the meeting. Please raise your hand if you wish to speak during the public comment section of the meeting. The Clerk of the Board will call upon you by using the name you joined with. Meeting attendees are not provided the ability to make a presentation during the meeting. Please contact the Clerk of the Board at least 48 hours prior to the meeting if you wish to present any items. Additionally, camera feeds may be controlled by the meeting moderator to avoid inappropriate content. HOW TO PARTICIPATE IN THE MEETING BY TELEPHONE To join the meeting from your phone: Dial (213) 279-1455 When prompted, enter the Phone Conference ID: 213 160 990# All meeting participants may be muted during the meeting to alleviate background noise. If you are muted, please use *6 to unmute. You may also mute yourself on your device. Please raise your hand to speak by use *5, during the public comment section of the meeting. The Clerk of the Board will call upon you by using the last 4 digits of your phone number as identification. NOTE: All attendees will be disconnected from the meeting at the beginning of Closed Session. If you would like to return to the Open Session portion of the meeting, please login or dial-in to the Teams meeting again and wait in the Lobby for admittance. VIEW THE MEETING ONLINE ONLY The meeting will be available for online viewing only at: https://ocsd.legistar.com/Calendar.aspx HOW TO SUBMIT A COMMENT You may provide verbal comment in real time during the meeting. In order to provide a verbal comment, please raise your hand as described above or alert the Clerk of the Board before or during the public comment period. You may also submit your comments and questions in writing for consideration in advance of the meeting by using the eComment feature available online at: https://ocsd.legistar.com/Calendar.aspx or sending them to OCSanClerk(o)_ocsan.gov with the subject line "PUBLIC COMMENT ITEM # (insert the item number relevant to your comment)" or "PUBLIC COMMENT NON-AGENDA ITEM". You may also submit comments and questions for consideration during the meeting by using the eComment feature available online at: https://ocsd.legistar.com/Calendar.aspx. The eComment feature will be available for the duration of the meeting. All written public comments will be provided to the legislative body and may be read into the record or compiled as part of the record. TECHNICAL SUPPORT PRIOR TO AND DURING MEETINGS For technical assistance before and during the meeting, please call 714-593-7431. For any other questions and/or concerns, please contact the Clerk of the Board's office at 714-593-7433. Thank you, in advance, for your patience in working with these technologies. We appreciate your interest in OC San! 1 Ellis Avenue Fountainuntain Valley,CA 92708 OC6SAN7.4.962.24., ORANGE COUNTY SANITATION DISTRICT www.ocsan_gov May 18, 2022 serving: -,naheim Brea NOTICE OF REGULAR MEETING Buena Park Cypress Fountain Valley BOARD OF DIRECTORS cullerton ORANGE COUNTY SANITATION DISTRICT ,crcen Grove Huntington Beach Wednesday, May 25, 2022 — 6:00 P.M. Irvine La Habra La Palma ACCESSIBILITY FOR THE GENERAL PUBLIC Los Alamitos Your participation is always welcome. Specific information as to how to participate in this meeting is detailed in the Special Notice attached to Newport Beach this agenda. In general, OC San offers several ways in which to interact Orange during meetings: you may join the meeting live via Teams on your Placentia computer or similar device or web browser, join the meeting live via telephone, view the meeting online, and/or submit comments for Santa Ana consideration before or during the meeting. Seal Beach Stanton Tustin The Regular Meeting of the Board of Directors of the Orange County Sanitation District will be held at the above location and in the manner Villa Park indicated on Wednesday, May 25, 2022 at 6:00 p.m. County of Orange Costa Mesa Sanitary District Midway City Sanitary District *Ierk o e oard Irvine Ranch Water District Yorba Linda Water District Our Mission:To protect public health and the environment by providing effective wastewater collection, treatment, and recycling. BOARD MEETING DATES June 22, 2022 July 27, 2022 August 24, 2022 September 28, 2022 October 26, 2022 November 16, 2022 December 21, 2022 January 25, 2023 February 22, 2023 March 22, 2023 April 26, 2023 May 24, 2023 *Meeting will be held on the third Wednesday of the month ORANGE COUNTY SANITATION DISTRICT Effective 03/07/2022 BOARD OF DIRECTORS Complete Roster ALTERNATE AGENCY/CITIES ACTIVE DIRECTOR DIRECTOR Anaheim Stephen Faessel Gloria Ma'ae Brea Glenn Parker Cecilia Hupp Buena Park Art Brown Connor Traut Cypress Paulo Morales Anne Hertz-Mallari Fountain Valley Patrick Harper Ted Bui Fullerton Jesus J. Silva Nick Dunlap Garden Grove Steve Jones John O'Neill Huntington Beach Kim Carr Dan Kalmick Irvine Anthony Kuo Farrah N. Khan La Habra Rose Espinoza Steve Simonian La Palma Marshall Goodman Nitesh Patel Los Alamitos Ron Bates NONE Newport Beach Brad Avery Joy Brenner Orange Kim Nichols Chip Monaco Placentia Chad Wanke Ward Smith Santa Ana Johnathan Ryan Hernandez Nelida Mendoza Seal Beach Sandra Massa-Lavitt Schelly Sustarsic Stanton David Shawver Carol Warren Tustin Ryan Gallagher Austin Lumbard Villa Park Chad Zimmerman Robert Collacott Sanitary/Water Districts Costa Mesa Sanitary District Bob Ooten Art Perry Midway City Sanitary District Andrew Nguyen Mark Nguyen Irvine Ranch Water District John Withers Douglas Reinhart Yorba Linda Water District Brooke Jones Ted Lindsey County Areas Board of Supervisors Donald P. Wagner Doug Chaffee "'06SAN ORANGE COUNTY SANITATION DISTRICT BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 - 6:00 PM Board Room Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 ACCOMMODATIONS FOR THE DISABLED: If you require any special disability related accommodations, please contact the Orange County Sanitation District (OC San) Clerk of the Board's office at (714) 593-7433 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested. AGENDA POSTING: In accordance with the requirements of California Government Code Section 54954.2, this agenda has been posted outside the main gate of the OC San's Administration Building located at 10844 Ellis Avenue, Fountain Valley, California, and on the OC San's website at www.ocsan.gov not less than 72 hours prior to the meeting date and time above. All public records relating to each agenda item, including any public records distributed less than 72 hours prior to the meeting to all, or a majority of the Board of Directors, are available for public inspection in the office of the Clerk of the Board. AGENDA DESCRIPTION: The agenda provides a brief general description of each item of business to be considered or discussed. The recommended action does not indicate what action will be taken. The Board of Directors may take any action which is deemed appropriate. MEETING AUDIO: An audio recording of this meeting is available within 24 hours after adjournment of the meeting at https://ocsd.legistar.com/Calendar.aspx or by contacting the Clerk of the Board at(714) 593-7433. NOTICE TO DIRECTORS: To place items on the agenda for a Committee or Board Meeting, the item must be submitted in writing to the Clerk of the Board: Kelly A. Lore, MMC, (714) 593-7433/ klore@ocsan.gov at least 14 days before the meeting. FOR ANY QUESTIONS ON THE AGENDA, BOARD MEMBERS MAY CONTACT STAFF AT: General Manager: Jim Herberg,jherberg@ocsan.gov/(714) 593-7300 Asst. General Manager: Lorenzo Tyner, Ityner@ocsan.gov/(714)593-7550 Asst. General Manager: Rob Thompson, rthompson@ocsan.gov/(714) 593-7310 Director of Human Resources: Celia Chandler, cchandler@ocsan.gov/(714)593-7202 Director of Engineering: Kathy Millea, kmillea@ocsan.gov/(714) 593-7365 Director of Environmental Services: Lan Wiborg, Iwiborg@ocsan.gov/(714) 593-7450 Director of Operations & Maintenance: Riaz Moinuddin, rmoinuddin@ocsan.gov/(714)593-7269 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 CALL TO ORDER Board Vice-Chairman Chad Wanke INVOCATION AND PLEDGE OF ALLEGIANCE Board Vice-Chairman Chad Wanke (Placentia) ROLL CALL AND DECLARATION OF QUORUM Clerk of the Board PUBLIC COMMENTS: Your participation is always welcome. Specific information as to how to participate in a meeting is detailed in the Special Notice attached to this agenda. In general, OC San offers several ways in which to interact during meetings: you may join the meeting live via Teams on your computer or similar device or web browser,join the meeting live via telephone, view the meeting online, and/or submit comments for consideration before or during the meeting. You may provide verbal comment in real time during the meeting. In order to provide a verbal comment, please raise your hand (directions provided in the Special Notice attached to this agenda) or alert the Clerk of the Board before or during the public comment period. You may submit your comments and questions in writing for consideration in advance of the meeting by using the eComment feature available online at: https://ocsd.legistar.com/Calendar.aspx or sending them to OCSanClerk@ocsan.gov with the subject line "PUBLIC COMMENT ITEM # (insert the item number relevant to your comment)"or"PUBLIC COMMENT NON-AGENDA ITEM". You may also submit comments and questions for consideration during the meeting by using the eComment feature available online at: https://ocsd.legistar.com/Ca/endar.aspx. The eComment feature will be available for the duration of the meeting. All written public comments will be provided to the legislative body and may be read into the record or compiled as part of the record. SPECIAL PRESENTATIONS: 1. NATIONAL WATER RESEARCH INSTITUTE (NWRI) SPECIAL 2022-2300 PRESENTATION Presentation of NWRI annual activity updates by NWRI Executive Director Kevin M. Hardy. Originator: Kelly Lore 2. EMPLOYEE SERVICE AWARDS 2022-2305 30-year Service Award William Moline, Operations Supervisor, Division 840 25-year Service Award Julie Kardos, Engineering Assistant II, Division 770 Page 1 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 20-year Service Award Anthony Pimentel, Principal Environmental Specialist, Division 630 Originator: Kelly Lore REPORTS: The Board Chairperson and the General Manager may present verbal reports on miscellaneous matters of general interest to the Directors. These reports are for information only and require no action by the Directors. ELECTIONS: 3. NOMINATIONS FOR CHAIRPERSON AND VICE CHAIRPERSON OF 2022-2175 THE ORANGE COUNTY SANITATION DISTRICT BOARD OF DIRECTORS RECOMMENDATION: A. Open nominations for Chairperson of the Board of Directors. (Election to be held at the regular June Board of Directors meeting unless only one candidate is nominated.) B. Open nominations for Vice Chairperson of the Board of Directors. (Election to be held at the regular June Board of Directors meeting unless only one candidate is nominated.) Originator: Kelly Lore Attachments: Agenda Report CONSENT CALENDAR: Consent Calendar Items are considered to be routine and will be enacted, by the Board of Directors, after one motion, without discussion. Any items withdrawn from the Consent Calendar for separate discussion will be considered in the regular order of business. 4. APPROVAL OF MINUTES 2022-2294 RECOMMENDATION: Approve Minutes of the Regular Board of Directors Meeting held April 27, 2022. Originator: Kelly Lore Attachments: Agenda Report 04-27-2022 Board Meeting Minutes Page 2 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 RECEIVE AND FILE: 5. REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH 2O21-2015 OF APRIL 2022 RECOMMENDATION: Receive and file the following: Report of the Investment Transactions for the month of April 2022. Originator: Lorenzo Tyner Attachments: Agenda Report Report of the Investment Transactions - April 2022 6. COMMITTEE MEETING MINUTES 2022-2060 RECOMMENDATION: Receive and file the following: A. Minutes of the Steering Committee Meeting held March 23, 2022 B. Minutes of the Operations Committee Meeting held April 6, 2022 C. Minutes of the Legislative and Public Affairs Committee Meeting held April 11, 2022 D. Minutes of the Administration Committee Meeting held April 13, 2022 Originator: Kelly Lore Attachments: Agenda Report 03-23-2022 Steering Committee Minutes 04-06-2022 Operations Committee Minutes 04-11-2022 LaPA Committee Minutes 04-13-2022 Administration Committee Minutes OPERATIONS COMMITTEE: 7. INSTALLATION AND DISPOSAL OF ACTIVATED CARBON FOR 2022-2313 PLANT NO. 1 T&D ODOR CONTROL SYSTEM, SPECIFICATION NO. S-2022-1316BD RECOMMENDATION: A. Approve a Purchase Order Contract to Karbonous, Inc. to provide Installation and Disposal of Activated Carbon for Plant No. 1 T&D Odor Control System, Specification No. S-2022-131613D, for a total annual amount not to exceed $202,920 for the period beginning August 1, 2022 through July 31, 2023, with four one-year renewal options; and B. Approve an annual contingency of $20,292 (10%). Originator: Riaz Moinuddin Attachments: Agenda Report Page 3 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 8. SEAL BEACH PUMP STATION REPLACEMENT, PROJECT NO. 3-67 2022-2314 RECOMMENDATION: Approve a Monitoring Wells Relocation Agreement between the Orange County Sanitation District and Orange County Water District for Seal Beach Pump Station Replacement, Project No. 3-67, in a form approved by General Counsel. Originator: Kathy Millea Attachments: Agenda Report OCWD Monitoring Wells Relocation Agreement 9. PLANT NO. 2 OXYGEN REACTOR PURGE VALVE AND ACTUATOR 2022-2315 ASSEMBLIES REPLACEMENT RECOMMENDATION: A. Approve a Sole Source Purchase Order to Integrated Process Technologies for the purchase of four DeZurik 20" 316 SST Oxygen Cleaned Purge Air Control Valves and Limitorque Actuator assemblies for the Plant No. 2 Activated Sludge Plant in an amount not to exceed $200,597; and B. Approve a contingency of $20,059 (10%). Originator: Riaz Moinuddin Attachments: Agenda Report 10. DIRECT ACCESS ENERGY PURCHASE CONTRACT 2022-2316 RECOMMENDATION: A. Approve Master Service Agreements with two additional energy service providers: • Constellation NewEnergy and • NRG/Direct Energy; and B. Delegate to the General Manager and Purchasing Manager the authority to enter into Transaction Agreements, in a form approved by General Counsel, with the following energy service providers: • Shell Energy Solutions, or • Constellation NewEnergy, or • NRG/Direct Energy. Originator: Riaz Moinuddin Page 4 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 Attachments: Agenda Report Master Service Agreement - Constellation NewEnergy Master Service Agreement NRG Direct Energy Master Service Agreement - Shell Energy Solutions 11. SODIUM HYDROXIDE (CAUSTIC SODA) 50%, SPECIFICATION NO. 2022-2317 C-2018-915BD - CONTINGENCY INCREASE RECOMMENDATION: Approve a unit price contingency increase of $44.40 per dry ton (an additional 6% of the base cost) to the Liquid Caustic Soda (50%) contract with Brenntag Pacific for the term July 1, 2022 through June 30, 2023, for a new total contingency amount not to exceed $112.80 per dry ton (16%) with a total estimated usage of $481,153. Originator: Riaz Moinuddin Attachments: Agenda Report 12. LIQUID FERRIC CHLORIDE SPECIFICATION NO. C-2019-1037BD 2022-2318 CONTINGENCY INCREASE RECOMMENDATION: A. Approve a unit price contingency of $175 per dry ton (26%) to the liquid Ferric Chloride Agreement with Pencco, Inc., Specification No.C-2019-1037BD, for the period beginning July 1, 2022 through June 30, 2023. New unit cost not to exceed $849 per dry ton, for a total estimated annual amount of $3,947,024-1 B. Approve a unit price contingency of $277 per dry ton (40%) to the liquid Ferric Chloride Agreement with Kemira, Inc., Specification No.C-2019-1037BD, for the period beginning July 1, 2022 through June 30, 2023. New dry ton unit cost not to exceed $965 per dry ton, for a total estimated annual amount of $1,936,062; and C. Approve a fuel surcharge of 2.5% on Ferric Chloride deliveries from Kemira, Inc. with quarterly Consumer Price Index (CPI) adjustments. Originator: Riaz Moinuddin Attachments: Agenda Report Page 5 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 13. REGIONAL ODOR AND CORROSION CONTROL SERVICES (ROCCS) 2022-2319 PROGRAM, SPECIFICATION NO. C-2017-899BD - CONTINGENCY INCREASE RECOMMENDATION: A. Approve a chemical unit price contingency increase of $146 per dry ton (an additional 20% of the base price) to the Ferrous Chloride Contract with Hill Brothers Chemical Company for the term July 1, 2022 through June 30, 2023, for a new total unit price contingency of $257.30 per dry ton (35%) for total estimated usage of $3,028,675; B. Approve a unit price contingency increase of 15% for application and field services fees for Ferrous Chloride with Hill Brothers Chemical Company for a new total unit price contingency of $7.50 (30%); C. Approve a fuel surcharge of 4% on Ferrous Chloride deliveries with Hill Brothers Chemical Company, with quarterly Consumer Price Index (CPI) adjustments; D. Approve a chemical unit price contingency increase of $65 per dry ton (an additional 12% of the base price) to the Magnesium Hydroxide Contract with Hill Brothers Chemical Company for the term July 1, 2022 through June 30, 2023, for a new total unit price contingency of $146.26 per dry ton (27%) for total estimated usage of $2,637,031; and E. Approve a chemical unit price contingency increase of $0.58/gal (an additional 17% of the base price) to the Calcium Nitrate Contract with USP Technologies for the term July 1, 2022 through June 30, 2023, for a new total unit price contingency of $1.06/gal (32%) a total estimated usage of $847,427. Originator: Riaz Moinuddin Attachments: Agenda Report ADMINISTRATION COMMITTEE: 14. CONSOLIDATED FINANCIAL REPORT FOR THE THIRD QUARTER 2022-2333 ENDED MARCH 31, 2022 RECOMMENDATION: Receive and file the Orange County Sanitation District Third Quarter Financial Report for the period ended March 31, 2022. Originator: Lorenzo Tyner Attachments: Agenda Report Consolidated Financial Report for the Third Quarter Ended March 31, 2022 Page 6 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 15. GENERAL MANAGER APPROVED PURCHASES AND ADDITIONS TO 2022-2334 THE PRE-APPROVED OEM SOLE SOURCE LIST RECOMMENDATION: A. Receive and file Orange County Sanitation District purchases made under the General Manager's authority for the period of January 1, 2022 to March 31, 2022; and B. Approve the following additions to the pre-approved OEM Sole Source List for the period of January 1, 2022 to March 31, 2022: • CARRIER CORPORATION - Carrier Corporation HVAC Products • COOPER BESSEMER - LSVB Engine Training • GATES FIBERGLASS INSTALLERS - On-site/Field Fiberglass Tank & Ducting Repairs • TPC Training - TPC Online Training and Certification Program • TRIMBLE WATER - Trimble Unity Software License Originator: Lorenzo Tyner Attachments: Agenda Report 16. IBM TIVOLI MAXIMO AND WEBSPHERE (ENTERPRISEONE) ANNUAL 2022-2335 SUBSCRIPTION AND SUPPORT, SPECIFICATION NO. S-2019-1045BD RECOMMENDATION: A. Approve a contingency increase of $10,472 (6.03%) to the IBM Tivoli Maximo and Websphere (EnterpriseOne) Annual Subscription and support contract with Dataskill, Specification No. S-2019-1045BD, for the period July 1, 2022 through June 30, 2023, for a new total contingency amount not to exceed $36,538 (21.03%); and B. Approve an annual contingency of $34,754 (20%) for one remaining renewal period. Originator: Lorenzo Tyner Attachments: Agenda Report LEGISLATIVE AND PUBLIC AFFAIRS COMMITTEE: 17. PUBLIC AFFAIRS UPDATE FOR THE MONTH OF APRIL 2022 2022-2322 RECOMMENDATION: Receive and file the Public Affairs Update for the month of April 2022. Page 7 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 Originator: Jim Herberg Attachments: Agenda Report Outreach and Media Summary Report - April 2022 OC Register CA Water Edition 2022 Wastewater 101 - Citizens Academy (Virtual) Doing Business with OC San 18. PUBLIC AFFAIRS STRATEGIC PLAN FOR FISCAL YEARS 2020-2022 2022-2323 YEAR-END REPORT RECOMMENDATION: Receive and file the Public Affairs Strategic Plan for Fiscal Years 2020 - 2022 Year-End Report. Originator: Jim Herberg Attachments: Agenda Report Public Affairs Strategic Plan FY 2020-2022 Presentation - PAO Strat Plan Yr End Report 19. LEGISLATIVE AFFAIRS UPDATE FOR THE MONTH OF APRIL 2022 2022-2324 RECOMMENDATION: Receive and file the Legislative Affairs Update for the month of April 2022. Originator: Jim Herberg Attachments: Agenda Report Federal Legislative Update - ENS Resources Federal Legislative Matrix - ENS Resources Presentation - ENS Legislative Update State Legislative Update - TPA State Legislative Matrix - TPA Presentation - TPA Legislative Update Grant Tracker 2022 STEERING COMMITTEE: None. Page 8 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 NON-CONSENT: 20. CONTINUATION OF TELECONFERENCED PUBLIC MEETINGS 2022-2301 RECOMMENDATION: Adopt Resolution No. OC SAN 22-14 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the continuation of Remote Meetings pursuant to Government Code Section 54953". Originator: Kelly Lore Attachments: Agenda Report Resolution No. OC SAN 22-14 INFORMATION ITEMS: None. AB 1234 DISCLOSURE REPORTS: This item allows Board members to provide a brief oral report regarding the disclosure of outside committees, conferences, training, seminars, etc. attended at the Agency's expense, per Government Code§53232.3(d). CLOSED SESSION: During the course of conducting the business set forth on this agenda as a regular meeting of the Board, the Chairperson may convene the Board in closed session to consider matters of pending real estate negotiations, pending or potential litigation, or personnel matters, pursuant to Government Code Sections 54956.8, 54956.9, 54957 or 54957.6, as noted. Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c) employment actions or negotiations with employee representatives; or which are exempt from public disclosure under the California Public Records Act, may be reviewed by the Board during a permitted closed session and are not available for public inspection. At such time the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. CONVENE IN CLOSED SESSION. CS-1 THREAT TO PUBLIC SERVICES OR FACILITIES - GOVERNMENT 2022-2336 CODE SECTION 54957(a) RECOMMENDATION: Convene in Closed Session: Consultation with the Information Technology Systems & Operations Manager regarding cyber security. Attachments: Agenda Report General Counsel Memo re Cyber Security Board 05-25-22 Page 9 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 CS-2 CONFERENCE WITH LEGAL COUNSEL RE EXISTING LITIGATION - 2022-2337 GOVERNMENT CODE SECTION 54956.9(d)(1) RECOMMENDATION: Convene in Closed Session: Number of Cases: 1 Heidi M. Janz v. Orange County Sanitation District; Its Board of Directors, Officers, Officials, Agents and Celia Chandler, Director of Human Resources and Does 1 through 10, Superior Court of California, County of Orange, Case No. 30-2021-01208616-CU-OE-CJC. Attachments: Agenda Report General Counsel Memo re Janz Litigation Board 05-25-22 CS-3 CONFERENCE WITH LABOR NEGOTIATORS - GOVERNMENT CODE 2022-2338 SECTION 54957.6 RECOMMENDATION: Convene in Closed Session: Designated Representatives: General Manager James Herberg, Assistant General Managers Lorenzo Tyner and Rob Thompson, Director of Human Resources Celia Chandler, and Chief Negotiator Laura Kalty. Employee Organizations: (3) International Union of Operating Engineers, Local 501; Orange County Employees Association; and the Supervisors and Professionals Group. Attachments: Agenda Report General Counsel Memo re Labor Negotiations Board 05-25-22 RECONVENE IN REGULAR SESSION. CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED SESSION: OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: At this time Directors may request staff to place an item on a future agenda. Page 10 of 11 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, May 25, 2022 ADJOURNMENT: Adjourn the Board meeting until the Regular Meeting of the Board of Directors on June 22, 2022 at 6:00 p.m. Page 11 of 11 BOARD OF DIRECTORS Administration Building 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2175 Agenda Date: 5/25/2022 Agenda Item No: 3. FROM: James D. Herberg, General Manager Originator: Kelly A. Lore, Clerk of the Board SUBJECT: NOMINATIONS FOR CHAIRPERSON AND VICE CHAIRPERSON OF THE ORANGE COUNTY SANITATION DISTRICT BOARD OF DIRECTORS GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Open nominations for Chairperson of the Board of Directors. (Election to be held at the regular June Board of Directors meeting unless only one candidate is nominated.) B. Open nominations for Vice Chairperson of the Board of Directors. (Election to be held at the regular June Board of Directors meeting unless only one candidate is nominated.) BACKGROUND As provided in the Board of Directors' Rules of Procedures, nominations for the Chairperson and Vice Chairperson are made at the regular May Board meeting, and the election will take place at the June Board meeting. The following is an excerpt from the current Rules of Procedures relative to the election of the Chairperson and Vice Chairperson for the Board of Directors of Orange County Sanitation District- "G. Chairperson and Vice Chairperson of the Board. A Chairperson and Vice Chairperson of the Board shall be elected by a majority vote of Directors at the regular meeting in June of each year and will assume office July 1 It. The nominations for Chairperson and Vice Chairperson shall be made at the regular Board meeting in May of each year. Any person nominated for Chairperson shall be deemed to be nominated for Vice Chairperson in the event the person is not elected as Chairperson. Thereafter, the nominees shall prepare a statement setting forth their qualifications for the office sought. The statements should be forwarded to the Clerk of the Board who will in turn mail to the members of the Board of Directors with the Agenda and other meeting material for the June regular meeting. If only one individual is nominated for Chairperson at the regular Board meeting in May, that individual shall be deemed elected as Chairperson, no election shall be held in June, and the individual shall assume office July 1St. If only one individual is nominated for Vice Chairperson at the regular Board meeting in May, that individual shall be deemed elected as Vice Chairperson, no election shall be held in June, and the individual shall assume office July 1 St Orange County Sanitation District Page 1 of 2 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2175 Agenda Date: 5/25/2022 Agenda Item No: 3. The Chairperson and Vice Chairperson shall serve at the pleasure of a majority of the Directors. In the event the office of Chairperson becomes vacant due to resignation or retirement of the incumbent prior to the expiration of the regular term, the Vice Chairperson shall automatically succeed to the office of the Chairperson and shall continue to serve through the remainder of the regular term unless sooner removed by action of a majority of the Directors. In the event the office of Vice Chairperson becomes vacant prior to the expiration of the regular term, nominations and the election of a Director to serve in that capacity shall be conducted at the next regular Board meeting. The person so elected shall serve the balance of the regularly scheduled term unless sooner removed as a result of action by a majority of the Directors. The Chairperson shall not serve more than two consecutive one-year terms for which he/she has been elected to the office of Chairperson. The Vice Chairperson shall not serve more than two consecutive one-year terms for which he/she has been elected to the office of Vice Chairperson." RELEVANT STANDARDS • Resolution No. OC SAN 21-04: Rules of Procedure for the Conduct of Business of the District • Comply with transparency and communication requirements, including the Brown Act ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: N/A Orange County Sanitation District Page 2 of 2 Printed on 5/16/2022 powered by LegistarTM BOARD OF DIRECTORS Administration Building 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2294 Agenda Date: 5/25/2022 Agenda Item No: 4. FROM: James D. Herberg, General Manager Originator: Kelly A. Lore, Clerk of the Board SUBJECT: APPROVAL OF MINUTES GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Approve Minutes of the Regular Board of Directors Meeting held April 27, 2022. BACKGROUND In accordance with the Board of Directors Rules of Procedure, an accurate record of each meeting will be provided to the Directors for subsequent approval at the following meeting. RELEVANT STANDARDS • Resolution No. OC SAN 21-04 ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Minutes of the Board of Directors meeting held April 27, 2022 Orange County Sanitation District Page 1 of 1 Printed on 5/16/2022 powered by LegistarTM ORANGE COUNTY SANITATION DISTRICT MINUTES BOARD OF DIRECTORS AP RI L 271 2022 A"h" AN ORANGE COUNTY SANITATION DISTRICT Board Room Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 BOARD OF DIRECTORS Minutes April 27, 2022 CALL TO ORDER A regular meeting of the Board of Directors of the Orange County Sanitation District was called to order by Board Chairman John Withers on Wednesday, April 27, 2022 at 6:01 p.m. in the Administration Building of the Orange County Sanitation District. Chair Withers stated that the meeting was being held telephonically and via Internet accessibility in accordance with new provisions in California Government Code Section 54953 and Resolution No. OC SAN 22-12, due to the continued State of Emergency Order. Chair Withers announced the teleconference meeting guidelines. Director Kim Nichols delivered the invocation and led the Pledge of Allegiance. ROLL CALL AND DECLARATION OF QUORUM The Clerk of the Board declared a quorum present as follows: PRESENT: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Anthony Kuo, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones and Chad Wanke STAFF PRESENT: Kelly Lore, Clerk of the Board, and Mo Abiodun were present in the Board Room. Jim Herberg, General Manager; Rob Thompson, Assistant General Manager; Lorenzo Tyner, Assistant General Manager; Celia Chandler, Director of Human Resources; Kathy Millea, Director of Engineering; Riaz Moinuddin, Director of Operations and Maintenance; Lan Wiborg, Director of Environmental Services; Janine Aguilar; Stephanie Barron; James Cabral; Jennifer Cabral; Mortimer Caparas; Tanya Chong; Raul Cuellar; Thys DeVries; Mike Dorman; Brian Engeln; David Haug; Tina Knapp; Anni Larkins; Laura Maravilla; Rob Michaels; Jeff Mohr; Andrew Nau; Wally Ritchie; Thomas Vu; Eros Yong; and Ruth Zintzun were in attendance telephonically. OTHERS PRESENT: Brad Hogin, General Counsel, was present in the Board Room. Chief Negotiator Laura Drottz Kalty, Liebert Cassidy Whitmore; Katie Kaneko and Alyssa Thompson, Koff and Associates; Jeff Tucker, CWEA; and Jack Gundalahalli were in attendance telephonically. PUBLIC COMMENTS: None. SPECIAL PRESENTATIONS: 1. EMPLOYEE SERVICE AWARDS 2022-2239 Originator: Kelly Lore Page 1 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 Chair Withers recognized the following: 20-year Service Awards Dave Andrade, Lead Mechanic - Division 820 Jennifer Cabral, Administration Manager - Division 110 2. CALIFORNIA WATER ENVIRONMENTAL ASSOCIATION (CWEA) 2022-2243 PRESENTATION OF AWARDS Originator: Kelly Lore Chair Wlthers introduced CWEA President Elect Jeff Tucker who presented the awards for: Operator of the Year: Anthony Chang - Division 830 Plant Safety of the Year - Large REPORTS: Chair Withers stated that, in accordance with OC San rules of procedure, nominations for Chair and Vice-Chair of the Board will be held at the May Board meeting. General Counsel Brad Hogin provided a brief explanation of the nomination and election process. Chair Withers stated the Resolution to continue teleconferencing of public meetings, which is based on legal counsel's review and the Orange County's Health Officer's Orders, is on the Board agenda and, if adopted, the Resolution will be in effect for the next 30 days. Chair Withers reminded the Board that talking points regarding OC San activities for use while reporting out to your councils, boards, and community groups will be provided to the Directors and Alternate Directors. General Manager Jim Herberg reported that on April 26th at 2:30 p.m., OC San staff was bypassing the College Avenue Pump Station to assess the wet well for corrosion and liner damage. As staff was transitioning back to normal operations, a cup link came apart allowing an estimated 1,000 gallons to spill, and an estimated 250 gallons entered the storm drain. He confirmed that all required reporting was completed and there will not be a beach closure as a result of this spill. Mr. Herberg announced the second of five vendor workshops which will take place next Tuesday, May 3. Mr. Herberg reported on the planned ocean outfall assessment and study which was put on hold due to the oil spill off the coast of Huntington Beach. He stated that with the rainy season officially over, the assessment and study, which includes an ocean outfall shut down to remove and replace a manhole cover to evaluate the condition of the asset, may now proceed. This assessment is critical for the continued operation of the ocean outfall and future repairs that may be needed. The shutdown is scheduled for May 11. Page 2 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 On Thursday, May 12 the first session of OC San's Wastewater 101 Citizens Academy will begin. Mr. Herberg stated that the academy is intended to give community members insight into OC San. Registration will be accepted through May 11. Mr. Herberg noted that included in this month's GM report are the performance metrics tied to OC San's levels of service. He reported that all targets are in range with the exception of the injury rate which is above OC San's set goal of 4.4 and is due to COVID related recordable events that were received in January. Mr. Herberg provided an updated to SB 1157 (Hertzberg) which proposes to reduce indoor water usage from 47 gallons per capita per day (GPCD) to 42 GPCD in 2030. He stated that OC San joined water/wastewater associations and agencies on a Senate alert and staff will be attending a workshop held by the State Water Resources Control Board on May 11 to discuss this issue. CONSENT CALENDAR: 3. APPROVAL OF MINUTES 2022-2240 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the Regular Board of Directors Meeting held March 23, 2022 and the Special Board of Directors Meeting held April 13, 2022. AYES: Ron Bates, Art Brown, Kim Carr, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Anthony Kuo, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones and Chad Wanke ABSTENTIONS: Rose Espinoza RECEIVE AND FILE: 4. REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH 2O21-2014 OF MARCH 2O22 Originator: Lorenzo Tyner WITHOUT OBJECTION ACTION TAKEN TO RECEIVE AND FILE THE FOLLOWING: Report of the Investment Transactions for the month of March 2022. Page 3 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 5. COMMITTEE MEETING MINUTES 2022-2059 Originator: Kelly Lore WITHOUT OBJECTION ACTION TAKEN TO RECEIVE AND FILE THE FOLLOWING: A. Minutes of the GWRS Steering Committee Meeting held January 10, 2022 B. Minutes of the Steering Committee Meeting held February 23, 2022 C. Minutes of the Administration Committee Meeting held March 9, 2022 D. Minutes of the Legislative and Public Affairs Committee Meeting held March 14, 2022 E. Minutes of the Special Operations Committee Meeting held March 16, 2022 OPERATIONS COMMITTEE: 6. INTERSTATE 405 WIDENING PROJECT IMPACTS ON OCSD 2022-2251 SEWERS, PROJECT NO. 3-66 Originator: Kathy Millea MOVED, SECONDED, AND DULY CARRIED TO: A. Approve the First Amendment to Utility Agreement No. UK204650, between the Orange County Sanitation District and the Orange County Transportation Authority for Interstate 405 Widening Project Impacts on OCSD Sewers, Project No. 3-66; and B. Approve the First Amendment to Utility Agreement No. UK201113, between the Orange County Sanitation District and the Orange County Transportation Authority for Interstate 405 Widening Project Impacts on OCSD Sewers, Project No. 3-66. AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Johnathan Ryan Hernandez, Brooke Jones, Anthony Kuo, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones and Chad Wanke ABSTENTIONS: Patrick Harper 8. PRIMARY SEDIMENTATION BASINS NO. 3-5 REPLACEMENT AT 2022-2253 PLANT NO. 1, PROJECT NO. P1-126 Originator: Kathy Millea MOVED, SECONDED, AND DULY CARRIED TO: Page 4 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 A. Approve a Professional Design Services Agreement with Black & Veatch Corporation to provide engineering services for Primary Sedimentation Basins No. 3-5 Replacement at Plant No. 1, Project No. P1-126, for an amount not to exceed $14,163,000-1 and B. Approve a contingency of $1,416,300 (10%). AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Anthony Kuo, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones and Chad Wanke ABSTENTIONS: None 9. SANTA ANA TRUNK SEWER REHABILITATION, PROJECT NO. 1-23 2022-2254 Originator: Kathy Millea MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a Professional Design Services Agreement with Stantec Consulting Services Inc. to provide engineering services for Santa Ana Trunk Sewer Rehabilitation, Project No. 1-23, for an amount not to exceed $3,880,000; and B. Approve a contingency of $388,000 (10%). AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Anthony Kuo, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones and Chad Wanke ABSTENTIONS: None 10. SUPPLEMENTAL ENGINEERING SERVICES, CONTRACT NO. 2022-2255 PSA2021-002 Originator: Kathy Millea MOVED, SECONDED, AND DULY CARRIED TO: Page 5 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 Approve Professional Services Agreements to provide Supplemental Engineering Services, Contract No. PSA2021-002, for a three-year period commencing May 1, 2022, through April 30, 2025, with two one-year renewal options, for an amount not to exceed $29,700,000 per individual agreement with the following two firms: • AECOM Technical Services, Inc. • Jacobs Project Management Co. AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Anthony Kuo, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones and Chad Wanke ABSTENTIONS: None 11. PROFESSIONAL PROGRAMMING SERVICES, CONTRACT NO. 2022-2256 PSA2021-001 Originator: Kathy Millea MOVED, SECONDED, AND DULY CARRIED TO: Approve Professional Services Agreements to provide Professional Programming Services, Contract No. PSA2021-001 , for a three-year period commencing May 1, 2022, through April 30, 2025, with two one-year renewal options, for an amount not to exceed $4,900,000 per individual agreement with the following two firms: • Enterprise Automation • Maverick Technologies, LLC AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Anthony Kuo, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones and Chad Wanke ABSTENTIONS: None Item No.7 was pulled and heard separately. 7. SANTA ANA TRUNK REHABILITATION AT PLANT NO. 1, PROJECT 2022-2252 NO. FE20-07 Page 6 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 Originator: Kathy Millea In response to a question from Director Bates, Director of Engineering Kathy Millea provided explanation as to the reason for only one bidder and the requested 20% contingency. MOVED, SECONDED, AND DULY CARRIED TO: A. Receive and file Bid Tabulation and Recommendation for Santa Ana Trunk Rehabilitation at Plant No. 1, Project No. FE20-07; B. Award a Construction Contract to Sancon Technologies, Inc. for Santa Ana Trunk Rehabilitation at Plant No. 1, Project No. FE20-07, for an amount not to exceed $395,082; and C. Approve a contingency of $79,016 (20%). AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Anthony Kuo, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones and Chad Wanke ABSTENTIONS: None Director Anthony Kuo appeared to be away at approximately 6.45 p.m. ADMINISTRATION COMMITTEE: 12. FINANCIAL INFORMATION SYSTEM PURCHASE ORDER RENEWAL 2022-2268 Originator: Lorenzo Tyner MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a five-year Sole Source Purchase Order with Oracle America, Inc. for an annual amount of $95,828, with a total not to exceed $479,140, commencing July 1, 2022, through June 30, 2027; and B. Approve a contingency in the amount of $47,914 (10%). AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman Page 7 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones, Anthony Kuo and Chad Wanke ABSTENTIONS: None 13. SEWER SERVICE RATE STUDY 2022-2269 Originator: Lorenzo Tyner MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a Professional Consultant Services Agreement to HDR Engineering, Inc. to provide a Comprehensive Cost of Service Rate Study Specification No. CS-2021-128713D, for a total amount not to exceed $234,950; and B. Approve a contingency of $23,495 (10%). AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones, Anthony Kuo and Chad Wanke ABSTENTIONS: None 14. REPLACE CAMPUS ACCESS NETWORK SWITCHES AND INDOOR 2022-2270 WI-FI ACCESS POINTS Originator: Lorenzo Tyner MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a Purchase Order to Saitech Inc. for the procurement of campus networking equipment hardware and software to update and replace end-of-life equipment operating in the Orange County Sanitation District communications and computing environment, Specification No. E-2022-130513D, for a total amount not to exceed $549,050 plus sales tax and freight; and B. Approve a contingency in the amount of $54,905 (10%). AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None Page 8 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones, Anthony Kuo and Chad Wanke ABSTENTIONS: None LEGISLATIVE AND PUBLIC AFFAIRS COMMITTEE: 15. LEGISLATIVE AFFAIRS UPDATE FOR THE MONTH OF MARCH 2O22 2022-2260 Originator: Jim Herberg MOVED, SECONDED, AND DULY CARRIED TO: Receive and file the Legislative Affairs Update for the month of March 2022. AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones, Anthony Kuo and Chad Wanke ABSTENTIONS: None 16. PUBLIC AFFAIRS UPDATE FOR THE MONTH OF MARCH 2O22 2022-2261 Originator: Jim Herberg MOVED, SECONDED, AND DULY CARRIED TO: Receive and file the Public Affairs Update for the month of March 2022. AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones, Anthony Kuo and Chad Wanke ABSTENTIONS: None STEERING COMMITTEE: 17. SERVICE CONTRACT FOR PLANT NOS. 1 AND 2 CENTRAL 2022-2285 GENERATION FACILITIES' CARBON MEDIA CHANGE-OUT Originator: Riaz Moinuddin Page 9 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 MOVED, SECONDED, AND DULY CARRIED TO: Approve a Sole Source Purchase Order Contract to Carbon Activated Corporation to change out granular activated carbon media for Biogas Cleaning Systems at Plant Nos. 1 and 2 Central Generation (Cen-Gen) Facility, for a total amount not to exceed $236,500 through June 30, 2022. AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Sandra Massa-Lavitt, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: None ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones, Anthony Kuo and Chad Wanke ABSTENTIONS: None NON-CONSENT: 18. CONTINUATION OF TELECONFERENCED PUBLIC MEETINGS 2022-2249 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Adopt Resolution No. OC SAN 22-13 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the continuation of Remote Meetings pursuant to Government Code Section 54953". AYES: Ron Bates, Art Brown, Kim Carr, Rose Espinoza, Marshall Goodman, Patrick Harper, Johnathan Ryan Hernandez, Brooke Jones, Paulo Morales, Andrew Nguyen, Kim Nichols, Robert Ooten, Glenn Parker, David Shawver, Jesus Silva, Donald Wagner, John Withers and Chad Zimmerman NOES: Sandra Massa-Lavitt ABSENT: Brad Avery, Stephen Faessel, Ryan Gallagher, Steve Jones, Anthony Kuo and Chad Wanke ABSTENTIONS: None INFORMATION ITEMS: None. AB 1234 DISCLOSURE REPORTS: Director Dave Shawver provided a report from his recent attendance at the OCCOG Board meeting. Page 10 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 CLOSED SESSION: CONVENED IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTION 549567.6. The Board convened in closed session at 6:56 p.m. Confidential minutes of the Closed Sessions have been prepared in accordance with the above Government Code Section and are maintained by the Clerk of the Board in the Official Book of Confidential Minutes of Board and Committee Closed Session meetings. CS-1 CONFERENCE WITH LABOR NEGOTIATORS - GOVERNMENT 2022-2275 CODE SECTION 54957.6 CONVENED IN CLOSED SESSION: Designated Representatives: General Manager James Herberg, Assistant General Managers Lorenzo Tyner and Rob Thompson, Director of Human Resources Celia Chandler, and Chief Negotiator Laura Kalty. Employee Organizations: (3) International Union of Operating Engineers, Local 501; Orange County Employees Association; and the Supervisors and Professionals Group. Director Kuo returned to the meeting, during Closed Session, at approximately 7:45 p.m. RECONVENED IN REGULAR SESSION. The Board reconvened in regular session at 7:50 p.m. CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED SESSION: General Counsel Brad Hogin stated there was no reportable action taken by the Board. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: None. ADJOURNMENT: At 7:51 p.m., Chair Withers adjourned the meeting until the next Regular Meeting of the Board of Directors to be held on Wednesday, May 25, 2022 at 6:00 p.m. Page 11 of 12 BOARD OF DIRECTORS Minutes April 27, 2022 Submitted by: Kelly A. Lore, MMC Clerk of the Board Page 12 of 12 BOARD OF DIRECTORS Administration Building 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2021-2015 Agenda Date: 5/25/2022 Agenda Item No: 5. FROM: James D. Herberg, General Manager Originator: Lorenzo Tyner, Assistant General Manager SUBJECT: REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF APRIL 2022 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the following: Report of the Investment Transactions for the month of April 2022. BACKGROUND The CA Government Code requires that a monthly report of investment transactions be provided to the legislative body. Attached is the monthly report of investment transactions for the month ended April 30, 2022. RELEVANT STANDARDS • CA Government Code Section 53607 PRIOR COMMITTEE/BOARD ACTIONS N/A FINANCIAL CONSIDERATIONS N/A ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Report of the Investment Transactions for the Month of April 2022 Orange County Sanitation District Page 1 of 1 Printed on 5/16/2022 powered by LegistarTM U.S. Bank Transaction History April 2022 Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss ACQUISITIONS 04/04/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 433.4900 1.000000 -433.49 433.49 0.00 04/04/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 171.7900 1.000000 -171.79 171.79 0.00 04/06/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 282.5100 1.000000 -282.51 282.51 0.00 04/07/2022 06406HCQO PURCHASED PAR VALUE OF BANK OF NEW YORK MTN 3.950%11/18/25/US 1,500,000.0000 1.024910 -1,537,365.00 1,537,365.00 0.00 BANCORP INVESTMENTS INC./1,500,000 PAR VALUE AT 102.491 % 04/07/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 975,413.4800 1.000000 -975,413.48 975,413.48 0.00 04/07/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 938.3700 1.000000 -938.37 938.37 0.00 04/08/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 3,000,000.0000 1.000000 -3,000,000.00 3,000,000.00 0.00 04/08/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 6,673.3300 1.000000 -6,673.33 6,673.33 0.00 04/08/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 4,243,952.2500 1.000000 -4,243,952.25 4,243,952.25 0.00 04/11/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 36,250.0000 1.000000 -36,250.00 36,250.00 0.00 04/12/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 22,812.5000 1.000000 -22,812.50 22,812.50 0.00 04/13/2022 362585AC5 PURCHASED PAR VALUE OF GM FIN CONS AUT 0.00001% 2/16/27/RBC CAPITAL 2,330,000.0000 0.999791 -2,329,513.03 2,329,513.03 0.00 MARKETS, LLC/2,330,000 PAR VALUE AT 99.9791 % 04/18/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 7,584,375.0000 1.000000 -7,584,375.00 7,584,375.00 0.00 04/18/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 122,006.4400 1.000000 -122,006.44 122,006.44 0.00 04/18/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 845,086.7300 1.000000 -845,086.73 845,086.73 0.00 04/20/2022 912796R50 PURCHASED PAR VALUE OF U S TREASURY BILL 6/30/22/RBC CAPITAL 13,500,000.0000 0.998765 -13,483,332.75 13,483,332.75 0.00 MARKETS, LLC/13,500,000 PAR VALUE AT 99.87653889% 04/20/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 58,493.7500 1.000000 -58,493.75 58,493.75 0.00 04/20/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 20,299.5700 1.000000 -20,299.57 20,299.57 0.00 04/21/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 81,000,000.0000 1.000000 -81,000,000.00 81,000,000.00 0.00 04/21/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,040.4600 1.000000 -2,040.46 2,040.46 0.00 04/22/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 43,750.0000 1.000000 -43,750.00 43,750.00 0.00 04/22/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 19,546.8500 1.000000 -19,546.85 19,546.85 0.00 04/25/2022 912796U64 PURCHASED PAR VALUE OF U S TREASURY BILL 9/29/22/MORGAN STANLEY& 28,000,000.0000 0.995170 -27,864,761.94 27,864,761.94 0.00 CO.LLC/28,000,000 PAR VALUE AT 99.51700693% 04/25/2022 91282CAC5 PURCHASED PAR VALUE OF U S TREASURY NT 0.125% 7/31/22/CITADEL 7,000,000.0000 0.997969 -6,985,781.25 6,985,781.25 0.00 CLEARING LLC/7,000,000 PAR VALUE AT 99.796875% 04/25/2022 912828XW5 PURCHASED PAR VALUE OF U S TREASURY NT 1.750% 6/30/22/J.P.MORGAN 5,000,000.0000 1.001992 -5,009,960.94 5,009,960.94 0.00 SECURITIES LLC/5,000,000 PAR VALUE AT 100.1992188% 04/25/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 36,080.4900 1.000000 -36,080.49 36,080.49 0.00 04/25/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 5,543.4100 1.000000 -5,543.41 5,543.41 0.00 04/26/2022 55380TXV7 PURCHASED PAR VALUE OF MUFG BANK LTD C D 0.300% 10/31/22/J.P.MORGAN 2,500,000.0000 0.991968 -2,479,919.65 2,479,919.65 0.00 SECURITIES LLC/2,500,000 PAR VALUE AT 99.196786% 04/26/2022 91282CBG5 PURCHASED PAR VALUE OF U S TREASURY NT 0.125% 1/31/23/MORGAN 10,000,000.0000 0.987656 -9,876,562.50 9,876,562.50 0.00 STANLEY&CO.LLC/10,000,000 PAR VALUE AT 98.765625% 1 of 8 U.S. Bank Transaction History April 2022 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 04/26/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 120,502.4200 1.000000 -120,502.42 120,502.42 0.00 04/26/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 14,147.8100 1.000000 -14,147.81 14,147.81 0.00 04/27/2022 023135CF1 PURCHASED PAR VALUE OF AMAZON COM 3.300% 4/13/27/MORGAN STANLEY 2,000,000.0000 0.998270 -1,996,540.00 1,996,540.00 0.00 &CO.LLC/2,000,000 PAR VALUE AT 99.827% 04/27/2022 06051GEU9 PURCHASED PAR VALUE OF BANK OF AMERICA MTN 3.300% 1/11/23/BARCLAYS 2,000,000.0000 1.009150 -2,018,300.00 2,018,300.00 0.00 CAPITAL INC.FIXED IN/2,000,000 PAR VALUE AT 100.915% 04/27/2022 911312AQ9 PURCHASED PAR VALUE OF UNITED PARCEL SVC 2.450% 10/01/22/MARKETAXESS 2,400,000.0000 1.002980 -2,407,152.00 2,407,152.00 0.00 CORP/2,400,000 PAR VALUE AT 100.298% 04/28/2022 912828Z78 PURCHASED PAR VALUE OF U S TREASURY NT 1.500% 1/31/27/J.P.MORGAN 7,000,000.0000 0.941992 -6,593,945.31 6,593,945.31 0.00 SECURITIES LLC/7,000,000 PAR VALUE AT 94.19921871 % 04/28/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,000,000.0000 1.000000 -2,000,000.00 2,000,000.00 0.00 04/28/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 4,866.6700 1.000000 -4,866.67 4,866.67 0.00 04/29/2022 91282CBG5 PURCHASED PAR VALUE OF U S TREASURY NT 0.125% 1/31/23/J.P.MORGAN 10,000,000.0000 0.987500 -9,875,000.00 9,875,000.00 0.00 SECURITIES LLC/10,000,000 PAR VALUE AT 98.75% 04/29/2022 91282CBG5 PURCHASED PAR VALUE OF U S TREASURY NT 0.125% 1/31/23/J.P.MORGAN 10,000,000.0000 0.987773 -9,877,734.38 9,877,734.38 0.00 SECURITIES LLC/10,000,000 PAR VALUE AT 98.7773438% TOTAL ACQUISITIONS 203,393,667.3200 -202,499,536.07 202,499,536.07 0.00 DISPOSITIONS 04/06/2022 525ESCIB7 Unknown LEHMAN BRTH MTN ES 0.00001% 1/24/13 PARTIAL LIQUIDATION @ 0.0000 0.000000 282.51 -282.51 0.00 0.0470852/SHARE 04/07/2022 06406RAE7 SOLD PAR VALUE OF BANK OF NY MTN 2.950% 1/29/23/PERSHING LLC/2,500,000 -2,500,000.0000 1.008690 2,521,725.00 -2,489,555.00 32,170.00 PAR VALUE AT 100.869% 04/07/2022 525ESCOY6 Unknown LEHMAN BRTH HLD ESC PARTIAL LIQUIDATION @ 0.00469185/SHARE 0.0000 0.000000 938.37 -938.37 0.00 04/08/2022 06417MNK7 MATURED PAR VALUE OF BANK NOVA C D 0.220% 4/08/22 3,000,000 PAR VALUE -3,000,000.0000 1.000000 3,000,000.00 -3,000,000.00 0.00 AT100% 04/08/2022 00440EAUl SOLD PAR VALUE OF ACE INA HOLDINGS 2.875% 11/03/22/US BANCORP -4,169,000.0000 1.005600 4,192,346.40 -4,232,453.17 -40,106.77 INVESTMENTS INC./4,169,000 PAR VALUE AT 100.56% 04/13/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,329,513.0300 1.000000 2,329,513.03 -2,329,513.03 0.00 04/15/2022 9128286M7 MATURED PAR VALUE OF U S TREASURY NT 2.250% 4/15/22 7,500,000 PAR VALUE -7,500,000.0000 1.000000 7,500,000.00 -7,657,324.22 -157,324.22 AT100% 04/15/2022 31348SWZ3 PAID DOWN PAR VALUE OF F H L M C#786064 2.262% 1/01/28 MARCH FHLMC -20.7800 0.000000 20.78 -20.27 0.51 DUE 4/15/22 04/15/2022 3133TCE95 PAID DOWN PAR VALUE OF F H L M C MLTCL MTG 3.769% 8/15/32 -52.7000 0.000000 52.70 -52.76 -0.06 04/15/2022 47787NAC3 PAID DOWN PAR VALUE OF JOHN DEERE OWNER 0.510%11/15/24 -118,065.5900 31.901970 118,065.59 -118,047.60 17.99 04/15/2022 58770FAC6 PAID DOWN PAR VALUE OF MERCEDES BENZ AUTO 1.840% 12/15/22 CMO FINAL -250,596.3200 2.918938 250,596.32 -250,563.29 33.03 PAYDOWN 04/15/2022 65479JAD5 PAID DOWN PAR VALUE OF NISSAN AUTO 1.930% 7/15/24 -230,335.4500 16.352346 230,335.45 -230,323.29 12.16 04/15/2022 89237VAB5 PAID DOWN PAR VALUE OF TOYOTA AUTO RECV 0.440%10/15/24 -210,870.5800 17.861785 210,870.58 -210,854.34 16.24 2of8 U.S. Bank Transaction History April 2022 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 04/18/2022 43813KAC6 PAID DOWN PAR VALUE OF HONDA AUTO 0.370%10/18/24 -118,373.3100 0.000000 118,373.31 -118,355.92 17.39 04/20/2022 36225CAZ9 PAID DOWN PAR VALUE OF G N M A 1 1#080023 1.755% 12/20/26 MARCH GNMA -167.5000 0.000000 167.50 -170.27 -2.77 DUE 4/20/22 04/20/2022 36225CC20 PAID DOWN PAR VALUE OF G N M A 1 1#080088 2.000% 6/20/27 MARCH GNMA -97.2000 0.000000 97.20 -99.33 -2.13 DUE 4/20/22 04/20/2022 36225CNM4 PAID DOWN PAR VALUE OF G N M A 11#080395 1.875% 4/20/30 MARCH GNMA -35.7300 0.000000 35.73 -35.41 0.32 DUE 4/20/22 04/20/2022 36225CN28 PAID DOWN PAR VALUE OF G N M A 1 1#080408 1.875% 5/20/30 MARCH GNMA -281.5300 0.000000 281.53 -278.67 2.86 DUE 4/20/22 04/20/2022 36225DCB8 PAID DOWN PAR VALUE OF G N M A 11#080965 1.625% 7/20/34 MARCH GNMA -545.6300 0.000000 545.63 -545.29 0.34 DUE 4/20/22 04/20/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -13,483,332.7500 1.000000 13,483,332.75 -13,483,332.75 0.00 04/25/2022 31394JY35 PAID DOWN PAR VALUE OF F H L M C MLTCL MT 9.50001% 9/25/43 -7,404.1600 0.000000 7,404.16 -8,385.21 -981.05 04/25/2022 31397QREO PAID DOWN PAR VALUE OF F N M A GTD REMIC 2.472% 2/25/41 -2,184.6300 0.000000 2,184.63 -2,183.95 0.68 04/25/2022 78445JAA5 PAID DOWN PAR VALUE OF S L M A 1.75771% 4/25/23 -325.4000 0.000000 325.40 -324.08 1.32 04/25/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -39,890,331.4800 1.000000 39,890,331.48 -39,890,331.48 0.00 04/26/2022 912796U23 MATURED PAR VALUE OF U S TREASURY BILL 4/26/22 10,000,000 PAR VALUE -10,000,000.0000 1.000000 9,996,463.06 -9,996,463.06 0.00 AT100% 04/26/2022 31371 NUC7 PAID DOWN PAR VALUE OF F N M A#257179 4.500% 4/01/28 MARCH FNMA DUE -101.0600 0.000000 101.06 -106.88 -5.82 4/25/22 04/26/2022 31376KT22 PAID DOWN PAR VALUE OF F N M A#357969 5.000% 9/01/35 MARCH FNMA DUE -2,834.2100 0.000000 2,834.21 -3,046.78 -212.57 4/25/22 04/26/2022 31403DJZ3 PAID DOWN PAR VALUE OF F N M A#745580 5.000% 6/01/36 MARCH FNMA DUE -838.0200 0.000000 838.02 -900.87 -62.85 4/25/22 04/26/2022 31403GXF4 PAID DOWN PAR VALUE OF F N M A#748678 5.000%10/01/33 MARCH FNMA -4.1400 0.000000 4.14 -4.45 -0.31 DUE 4/25/22 04/26/2022 31406PQY8 PAID DOWN PAR VALUE OF F N M A#815971 5.000% 3/01/35 MARCH FNMA DUE -1,935.8000 0.000000 1,935.80 -2,080.99 -145.19 4/25/22 04/26/2022 31406XWT5 PAID DOWN PAR VALUE OF F N M A#823358 1.966% 2/01/35 MARCH FNMA DUE -5,091.3600 0.000000 5,091.36 -5,051.58 39.78 4/25/22 04/26/2022 31407BXH7 PAID DOWN PAR VALUE OF F N M A#826080 5.000% 7/01/35 MARCH FNMA DUE -65.3000 0.000000 65.30 -70.20 -4.90 4/25/22 04/26/2022 31410F4V4 PAID DOWN PAR VALUE OF F N M A#888336 5.000% 7/01/36 MARCH FNMA DUE -1,630.4200 0.000000 1,630.42 -1,752.70 -122.28 4/25/22 04/26/2022 3138EG6F6 PAID DOWN PAR VALUE OF F N M A#AL0869 4.500% 6/01/29 MARCH FNMA -157.1300 0.000000 157.13 -166.18 -9.05 DUE 4/25/22 04/26/2022 31417YAY3 PAID DOWN PAR VALUE OF F N M A#MA0022 4.500% 4/01/29 MARCH FNMA -211.0000 0.000000 211.00 -223.15 -12.15 DUE 4/25/22 04/26/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,483,877.9800 1.000000 2,483,877.98 -2,483,877.98 0.00 3of8 U.S. Bank Transaction History April 2022 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 04/27/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -4,449,132.0000 1.000000 4,449,132.00 -4,449,132.00 0.00 04/27/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -1,999,106.6700 1.000000 1,999,106.67 -1,999,106.67 0.00 04/28/2022 89114W7M1 MATURED PAR VALUE OF TORONTO C D 0.240% 4/28/22 2,000,000 PAR VALUE -2,000,000.0000 1.000000 2,000,000.00 -1,999,999.94 0.06 AT100% 04/28/2022 91282CBG5 SOLD PAR VALUE OF U S TREASURY NT 0.125% 1/31/23/J.P.MORGAN -4,000,000.0000 0.988008 3,952,031.25 -3,999,218.75 -47,187.50 SECURITIES LLC/4,000,000 PAR VALUE AT 98.80078125% 04/28/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,628,447.2100 1.000000 2,628,447.21 -2,628,447.21 0.00 04/29/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -9,878,038.6700 1.000000 9,878,038.67 -9,878,038.67 0.00 04/29/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -9,880,773.0500 1.000000 9,880,773.05 -9,880,773.05 0.00 TOTAL DISPOSITIONS -121,143,777.7900 121,138,564.38 -121,352,431.32 -213,866.94 OTHER TRANSACTIONS 04/01/2022 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 433.49 0.00 0.00 3/31/2022 INTEREST FROM 3/1/22 TO 3/31/22 04/01/2022 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 171.79 0.00 0.00 3/31/2022 INTEREST FROM 3/1/22 TO 3/31/22 04/07/2022 06406HCQO PAID ACCRUED INTEREST ON PURCHASE OF BANK OF NEW YORK MTN 3.950% 0.0000 0.000000 -22,877.08 0.00 0.00 11/18/25 04/07/2022 06406RAE7 RECEIVED ACCRUED INTEREST ON SALE OF BANK OF NY MTN 2.950% 1/29/23 0.0000 0.000000 13,930.56 0.00 0.00 04/08/2022 06417MNK7 INTEREST EARNED ON BANK NOVA C D 0.220% 4/08/22$1 PV ON 3000000.0000 0.0000 0.000000 6,673.33 0.00 0.00 SHARES DUE 4/8/2022 ACCRUED INTEREST ON 4/8/2022 MATURITY 04/08/2022 00440EAUl RECEIVED ACCRUED INTEREST ON SALE OF ACE INA HOLDINGS 2.875%11/03/22 0.0000 0.000000 51,605.85 0.00 0.00 04/11/2022 02665WCQ2 INTEREST EARNED ON AMERICAN HONDA MTN 3.625%10/10/23$1 PV ON 0.0000 0.000000 36,250.00 0.00 0.00 2000000.0000 SHARES DUE 4/11/2022 04/12/2022 24422EUM9 INTEREST EARNED ON JOHN DEERE MTN 3.650%10/12/23$1 PV ON 1250000.0000 0.0000 0.000000 22,812.50 0.00 0.00 SHARES DUE 4/12/2022 04/13/2022 912828WUO BOOK VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 55848.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 04/13/2022 912828WUO FED BASIS OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 55848.00 UNITS 0.0000 0.000000 0.00 55,848.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 04/13/2022 912828WUO PAR VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 55848.0000 UNITS 55,848.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 04/13/2022 912828WUO STATE COST OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 55848.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 04/15/2022 31348SWZ3 INTEREST EARNED ON F H L M C#786064 2.262% 1/01/28$1 PV ON 2.3600 SHARES 0.0000 0.000000 2.36 0.00 0.00 DUE 4/15/2022 FEBRUARY FHLMC DUE 4/15/22 04/15/2022 3133TCE95 INTEREST EARNED ON F H L M C MLTCL MTG 3.769% 8/15/32$1 PV ON 10.5200 0.0000 0.000000 10.52 0.00 0.00 SHARES DUE 4/15/2022$0.00312/PV ON 3,373.75 PV DUE 4/15/22 4of8 U.S. Bank Transaction History April 2022 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 04/15/2022 43815BAC4 INTEREST EARNED ON HONDA AUTO REC OWN 1.880% 5/15/26$1 PV ON 6157.0000 0.0000 0.000000 6,157.00 0.00 0.00 SHARES DUE 4/15/2022$0.00157/PV ON 3,930,000.00 PV DUE 4/15/22 04/15/2022 44934KAC8 INTEREST EARNED ON HTUNDAI AUTO REC TR 0.380% 1/15/26$1 PV ON 1912.6700 0.0000 0.000000 1,912.67 0.00 0.00 SHARES DUE 4/15/2022$0.00032/PV ON 6,040,000.00 PV DUE 4/15/22 04/15/2022 44891VAC5 INTEREST EARNED ON HYUNDAI AUTO LEASE 0.330% 6/17/24$1 PV ON 1142.6300 0.0000 0.000000 1,142.63 0.00 0.00 SHARES DUE 4/15/2022$0.00027/PV ON 4,155,000.00 PV DUE 4/15/22 04/15/2022 44891WAC3 INTEREST EARNED ON HYUNDAI AUTO LEASE 1.160% 1/15/25$1 PV ON 2798.5000 0.0000 0.000000 2,798.50 0.00 0.00 SHARES DUE 4/15/2022$0.00097/PV ON 2,895,000.00 PV DUE 4/15/22 04/15/2022 44933LAC7 INTEREST EARNED ON HYUNDAI AUTO REC 0.380% 9/15/25$1 PV ON 665.0000 0.0000 0.000000 665.00 0.00 0.00 SHARES DUE 4/15/2022$0.00032/PV ON 2,100,000.00 PV DUE 4/15/22 04/15/2022 448977ADO INTEREST EARNED ON HYUNDAI AUTO REC 2.146%10/15/26$1 PV ON 7689.8300 0.0000 0.000000 7,689.83 0.00 0.00 SHARES DUE 4/15/2022$0.00179/PV ON 4,300,000.00 PV DUE 4/15/22 04/15/2022 44935FAD6 INTEREST EARNED ON HYUNDAI AUTO REC TR 0.740% 5/15/26$1 PV ON 986.6700 0.0000 0.000000 986.67 0.00 0.00 SHARES DUE 4/15/2022$0.00062/PV ON 1,600,000.00 PV DUE 4/15/22 04/15/2022 47789QAC4 INTEREST EARNED ON JOHN DEERE OWN 0.520% 3/16/26$1 PV ON 1222.0000 0.0000 0.000000 1,222.00 0.00 0.00 SHARES DUE 4/15/2022$0.00043/PV ON 2,820,000.00 PV DUE 4/15/22 04/15/2022 47788UAC6 INTEREST EARNED ON JOHN DEERE OWNER 0.360% 9/15/25$1 PV ON 690.0000 0.0000 0.000000 690.00 0.00 0.00 SHARES DUE 4/15/2022$0.00030/PV ON 2,300,000.00 PV DUE 4/15/22 04/15/2022 47787NAC3 INTEREST EARNED ON JOHN DEERE OWNER 0.510%11/15/24$1 PV ON 521.8800 0.0000 0.000000 521.88 0.00 0.00 SHARES DUE 4/15/2022$0.00042/PV ON 1,227,946.48 PV DUE 4/15/22 04/15/2022 47787JAC2 INTEREST EARNED ON JOHN DEERE OWNER 2.24267% 9/15/26$1 PV ON 5625.3600 0.0000 0.000000 5,625.36 0.00 0.00 SHARES DUE 4/15/2022$0.00187/PV ON 3,010,000.00 PV DUE 4/15/22 04/15/2022 58769KAD6 INTEREST EARNED ON MERCEDES BENZ AUTO 0.400%11/15/24$1 PV ON 1105.0000 0.0000 0.000000 1,105.00 0.00 0.00 SHARES DUE 4/15/2022$0.00033/PV ON 3,315,000.00 PV DUE 4/15/22 04/15/2022 58770FAC6 INTEREST EARNED ON MERCEDES BENZ AUTO 1.840%12/15/22$1 PV ON 384.2500 0.0000 0.000000 384.25 0.00 0.00 SHARES DUE 4/15/2022$0.00153/PV ON 250,596.32 PV DUE 4/15/22 04/15/2022 65479JAD5 INTEREST EARNED ON NISSAN AUTO 1.930% 7/15/24$1 PV ON 3298.6500 0.0000 0.000000 3,298.65 0.00 0.00 SHARES DUE 4/15/2022$0.00161/PV ON 2,050,972.08 PV DUE 4/15/22 04/15/2022 89237VAB5 INTEREST EARNED ON TOYOTA AUTO RECV 0.440%10/15/24$1 PV ON 932.9900 0.0000 0.000000 932.99 0.00 0.00 SHARES DUE 4/15/2022$0.00037/PV ON 2,544,518.27 PV DUE 4/15/22 04/15/2022 9128286M7 INTEREST EARNED ON U S TREASURY NT 2.250% 4/15/22$1 PV ON 7500000.0000 0.0000 0.000000 84,375.00 0.00 0.00 SHARES DUE 4/15/2022 04/18/2022 362554AC1 INTEREST EARNED ON GM FIN CONS AUTO 0.680% 9/16/26$1 PV ON 966.1700 0.0000 0.000000 966.17 0.00 0.00 SHARES DUE 4/16/2022$0.00057/PV ON 1,705,000.00 PV DUE 4/16/22 04/18/2022 380146AC4 INTEREST EARNED ON GM FIN CONS AUTO 1.260%11/16/26$1 PV ON 1669.5000 0.0000 0.000000 1,669.50 0.00 0.00 SHARES DUE 4/16/2022$0.00105/PV ON 1,590,000.00 PV DUE 4/16/22 04/18/2022 43813KAC6 INTEREST EARNED ON HONDA AUTO 0.370%10/18/24$1 PV ON 997.4600 0.0000 0.000000 997.46 0.00 0.00 SHARES DUE 4/18/2022$0.00031/PV ON 3,235,000.00 PV DUE 4/18/22 04/20/2022 36225CAZ9 INTEREST EARNED ON G N M A I I#080023 1.755% 12/20/26$1 PV ON 12.4200 0.0000 0.000000 12.42 0.00 0.00 SHARES DUE 4/20/2022 MARCH GNMA DUE 4/20/22 5of8 U.S. Bank Transaction History April 2022 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 04/20/2022 36225CC20 INTEREST EARNED ON G N M A 1 1#080088 2.000% 6/20/27$1 PV ON 10.0800 SHARES 0.0000 0.000000 10.08 0.00 0.00 DUE 4/20/2022 MARCH GNMA DUE 4/20/22 04/20/2022 36225CNM4 INTEREST EARNED ON G N M A 1 1#080395 1.875% 4/20/30$1 PV ON 5.1400 SHARES 0.0000 0.000000 5.14 0.00 0.00 DUE 4/20/2022 MARCH GNMA DUE 4/20/22 04/20/2022 36225CN28 INTEREST EARNED ON G N M A 1 1#080408 1.875% 5/20/30$1 PV ON 44.5700 SHARES 0.0000 0.000000 44.57 0.00 0.00 DUE 4/20/2022 MARCH GNMA DUE 4/20/22 04/20/2022 36225DCB8 INTEREST EARNED ON G N M A 1 1#080965 1.625% 7/20/34$1 PV ON 32.5200 SHARES 0.0000 0.000000 32.52 0.00 0.00 DUE 4/20/2022 MARCH GNMA DUE 4/20/22 04/20/2022 36265MAC9 INTEREST EARNED ON GM FIN AUTO LSNG TR 1.900% 3/20/25$1 PV ON 7948.3400 0.0000 0.000000 7,948.34 0.00 0.00 SHARES DUE 4/20/2022$0.00158/PV ON 5,020,000.00 PV DUE 4/20/22 04/20/2022 4581XODV7 INTEREST EARNED ON INTER AMER BK M T N 0.875% 4/20/26$1 PV ON 0.0000 0.000000 58,493.75 0.00 0.00 13370000.0000 SHARES DUE 4/20/2022 04/20/2022 89239CAC3 INTEREST EARNED ON TOYOTA LEASE OWNER 0.420%10/21/24$1 PV ON 1114.7500 0.0000 0.000000 1,114.75 0.00 0.00 SHARES DUE 4/20/2022$0.00035/PV ON 3,185,000.00 PV DUE 4/20/22 04/20/2022 89238LAC4 INTEREST EARNED ON TOYOTA LEASE OWNER 1.960% 2/20/25$1 PV ON 0.0000 0.000000 10,004.16 0.00 0.00 10004.1600 SHARES DUE 4/20/2022$0.00163/PV ON 6,125,000.00 PV DUE 4/20/22 04/21/2022 CASH RECEIPT INCOMING WIRES WIRE REC'D 4/21/2022 0.0000 0.000000 81,000,000.00 0.00 0.00 04/21/2022 43813GAC5 INTEREST EARNED ON HONDA AUTO 0.270% 4/21/25$1 PV ON 361.1300 0.0000 0.000000 361.13 0.00 0.00 SHARES DUE 4/21/2022$0.00023/PV ON 1,605,000.00 PV DUE 4/21/22 04/21/2022 43815GAC3 INTEREST EARNED ON HONDA AUTO REC 0.880% 1/21/26$1 PV ON 1679.3300 0.0000 0.000000 1,679.33 0.00 0.00 SHARES DUE 4/21/2022$0.00073/PV ON 2,290,000.00 PV DUE 4/21/22 04/22/2022 3135GO3U5 INTEREST EARNED ON F N M A DEB 0.625% 4/22/25$1 PV ON 14000000.0000 0.0000 0.000000 43,750.00 0.00 0.00 SHARES DUE 4/22/2022 04/22/2022 459058JBO INTEREST EARNED ON INTL BK M T N 0.626% 4/22/25$1 PV ON 6245000.0000 0.0000 0.000000 19,546.85 0.00 0.00 SHARES DUE 4/22/2022 04/25/2022 03215PFN4 INTEREST EARNED ON AMRESCO 1.44315% 6/25/29$1 PV ON 140.2600 0.0000 0.000000 140.26 0.00 0.00 SHARES DUE 4/25/2022$0.00120/PV ON 116,624.77 PV DUE 4/25/22 04/25/2022 09690AAC7 INTEREST EARNED ON BMW VEHICLE LEASE 0.330% 12/26/24$1 PV ON 569.2500 0.0000 0.000000 569.25 0.00 0.00 SHARES DUE 4/25/2022$0.00027/PV ON 2,070,000.00 PV DUE 4/25/22 04/25/2022 05601XAC3 INTEREST EARNED ON BMW VEHICLE LEASE 1.100% 3/25/25$1 PV ON 2200.0000 0.0000 0.000000 2,200.00 0.00 0.00 SHARES DUE 4/25/2022$0.00092/PV ON 2,400,000.00 PV DUE 4/25/22 04/25/2022 3137BFE98 INTEREST EARNED ON F H L B GTD REMIC 3.171% 10/25/24$1 PV ON 13212.5000 0.0000 0.000000 13,212.50 0.00 0.00 SHARES DUE 4/25/2022$0.00264/PV ON 5,000,000.00 PV DUE 4/25/22 04/25/2022 31394JY35 INTEREST EARNED ON F H L M C MLTCL MT 9.50001% 9/25/43$1 PV ON 2463.8300 0.0000 0.000000 2,463.83 0.00 0.00 SHARES DUE 4/25/2022$0.00542/PV ON 454,861.30 PV DUE 4/25/22 04/25/2022 3137BSRE5 INTEREST EARNED ON F H L M C MLTCL MTG 3.120% 9/25/26$1 PV ON 13000.0000 0.0000 0.000000 13,000.00 0.00 0.00 SHARES DUE 4/25/2022$0.00260/PV ON 5,000,000.00 PV DUE 4/25/22 04/25/2022 31397QREO INTEREST EARNED ON F N M A GTD REMIC 2.472% 2/25/41 $1 PV ON 83.4900 0.0000 0.000000 83.49 0.00 0.00 SHARES DUE 4/25/2022$0.00095/PV ON 88,148.90 PV DUE 4/25/22 6of8 U.S. Bank Transaction History April 2022 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 04/25/2022 78445JAA5 INTEREST EARNED ON S L M A 1.75771% 4/25/23$1 PV ON 40.3800 SHARES 0.0000 0.000000 40.38 0.00 0.00 DUE 4/25/2022$0.00439/PV ON 9,188.68 PV DUE 4/25/22 04/25/2022 91282CAC5 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 0.125% 7/31/22 0.0000 0.000000 -2,030.39 0.00 0.00 04/25/2022 912828XW5 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 1.750% 6/30/22 0.0000 0.000000 -27,796.96 0.00 0.00 04/26/2022 31371 NUC7 INTEREST EARNED ON F N M A#257179 4.500% 4/01/28$1 PV ON 23.6600 SHARES 0.0000 0.000000 23.66 0.00 0.00 DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 31376KT22 INTEREST EARNED ON F N M A#357969 5.000% 9/01/35$1 PV ON 225.0100 0.0000 0.000000 225.01 0.00 0.00 SHARES DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 31403DJZ3 INTEREST EARNED ON F N M A#745580 5.000% 6/01/36$1 PV ON 207.3500 0.0000 0.000000 207.35 0.00 0.00 SHARES DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 31403GXF4 INTEREST EARNED ON F N M A#748678 5.000%10/01/33$1 PV ON 3.2300 SHARES 0.0000 0.000000 3.23 0.00 0.00 DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 31406PQY8 INTEREST EARNED ON F N M A#815971 5.000% 3/01/35$1 PV ON 314.1700 0.0000 0.000000 314.17 0.00 0.00 SHARES DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 31406XWT5 INTEREST EARNED ON F N M A#823358 1.966% 2/01/35$1 PV ON 74.7000 SHARES 0.0000 0.000000 74.70 0.00 0.00 DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 31407BXH7 INTEREST EARNED ON F N M A#826080 5.000% 7/01/35$1 PV ON 41.3900 SHARES 0.0000 0.000000 41.39 0.00 0.00 DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 31410F4V4 INTEREST EARNED ON F N M A#888336 5.000% 7/01/36$1 PV ON 343.5800 0.0000 0.000000 343.58 0.00 0.00 SHARES DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 3138EG6F6 INTEREST EARNED ON F N M A#AL0869 4.500% 6/01/29$1 PV ON 17.0600 SHARES 0.0000 0.000000 17.06 0.00 0.00 DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 31417YAY3 INTEREST EARNED ON F N M A#MA0022 4.500% 4/01/29$1 PV ON 29.2200 0.0000 0.000000 29.22 0.00 0.00 SHARES DUE 4/25/2022 MARCH FNMA DUE 4/25/22 04/26/2022 9127961,123 INTEREST EARNED ON U S TREASURY BILL 4/26/22$1 PV ON 10000000.0000 0.0000 0.000000 3,536.94 0.00 0.00 SHARES DUE 4/26/2022 10,000,000 PAR VALUE AT 100% 04/26/2022 55380TXV7 PAID ACCRUED INTEREST ON PURCHASE OF MUFG BANK LTD C D 0.300%10/31/22 0.0000 0.000000 -3,958.33 0.00 0.00 04/26/2022 91282CBG5 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 0.125% 1/31/23 0.0000 0.000000 -2,935.08 0.00 0.00 04/27/2022 912828WUO BOOK VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 56264.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 04/27/2022 912828WUO FED BASIS OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 56264.00 UNITS 0.0000 0.000000 0.00 56,264.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 04/27/2022 023135CF1 PAID ACCRUED INTEREST ON PURCHASE OF AMAZON COM 3.300% 4/13/27 0.0000 0.000000 -2,566.67 0.00 0.00 04/27/2022 06051GEU9 PAID ACCRUED INTEREST ON PURCHASE OF BANK OF AMERICA MTN 3.300% 0.0000 0.000000 -19,433.33 0.00 0.00 1/11/23 04/27/2022 911312AQ9 PAID ACCRUED INTEREST ON PURCHASE OF UNITED PARCEL SVC 2.450% 10/01/22 0.0000 0.000000 -4,246.67 0.00 0.00 04/27/2022 912828WUO PAR VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 56264.0000 UNITS 56,264.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 7of8 U.S. Bank Transaction History April 2022 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 04/27/2022 912828WUO STATE COST OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 56264.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 04/28/2022 459058J1-8 INTEREST EARNED ON INTL BK M T N 0.500% 10/28/25$1 PV ON 15000000.0000 0.0000 0.000000 37,500.00 0.00 0.00 SHARES DUE 4/28/2022 04/28/2022 89114W7M1 INTEREST EARNED ON TORONTO C D 0.240% 4/28/22$1 PV ON 2000000.0000 0.0000 0.000000 4,866.67 0.00 0.00 SHARES DUE 4/28/2022 INTEREST ON 4/28/2022 MATURITY 04/28/2022 912828Z78 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 1.500% 1/31/27 0.0000 0.000000 -25,234.81 0.00 0.00 04/28/2022 91282CBG5 RECEIVED ACCRUED INTEREST ON SALE OF U S TREASURY NT 0.125% 1/31/23 0.0000 0.000000 1,201.66 0.00 0.00 04/29/2022 91282CBG5 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 0.125% 1/31/23 0.0000 0.000000 -3,038.67 0.00 0.00 04/29/2022 91282CBG5 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 0.125% 1/31/23 0.0000 0.000000 -3,038.67 0.00 0.00 TOTAL OTHER TRANSACTIONS 112,112.0000 81,360,971.69 112,112.00 0.00 8of8 BOARD OF DIRECTORS Administration Building 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2060 Agenda Date: 5/25/2022 Agenda Item No: 6. FROM: James D. Herberg, General Manager Originator: Kelly A. Lore, Clerk of the Board SUBJECT: COMMITTEE MEETING MINUTES GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the following: A. Minutes of the Steering Committee Meeting held March 23, 2022 B. Minutes of the Operations Committee Meeting held April 6, 2022 C. Minutes of the Legislative and Public Affairs Committee Meeting held April 11, 2022 D. Minutes of the Administration Committee Meeting held April 13, 2022 BACKGROUND In accordance with the Board of Directors Rules of Procedure, an accurate record of each meeting will be provided to the Directors for subsequent approval at the following meeting. RELEVANT STANDARDS • Resolution No. OC SAN 21-04 ADDITIONAL INFORMATION The minutes of the Committee meetings are approved at their respective Committees and brought forth to the Board of Directors for receive and file only. ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Minutes of the Monthly Committee Meetings Orange County Sanitation District Page 1 of 1 Printed on 5/16/2022 powered by LegistarTM Orange County Sanitation District Wednesday, March 23, 2022 Minutes for the 5:00 PM STEERING COMMITTEE Board Room SAN Administration Building ORANGE COUNTY SANITATION DISTRICT 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 CALL TO ORDER A regular meeting of the Steering Committee of the Orange County Sanitation District was called to order by Board Chairman John Withers on Wednesday, March 23, 2022 at 5:01 p.m. in the Administration Building of the Orange County Sanitation District. Chair Withers stated that the meeting was being held telephonically and via Internet accessibility in accordance with new provisions in California Government Code Section 54953 and Resolution No. OC SAN 22-08, due to the continued State of Emergency Order. Chair Withers announced the teleconference meeting guidelines. ROLL CALL AND DECLARATION OF QUORUM: Roll call was taken and a quorum was declared present, as follows: PRESENT: John Withers, Chad Wanke, Ryan Gallagher, Brooke Jones, Sandra Massa-Lavitt, Jesus Silva and Glenn Parker ABSENT: None STAFF PRESENT: Kelly Lore, Clerk of the Board, and Brian Engeln were present in the Board Room. Jim Herberg, General Manager; Rob Thompson, Assistant General Manager; Lorenzo Tyner, Assistant General Manager; Celia Chandler, Director of Human Resources; Kathy Millea, Director of Engineering; Riaz Moinuddin, Director of Operations and Maintenance; Lan Wiborg, Director of Environmental Services; Jennifer Cabral; Mortimer Caparas; Tina Knapp; Laura Maravilla; Andrew Nau; Wally Ritchie; Thomas Vu; and Eros Yong were in attendance telephonically. OTHERS PRESENT: Brad Hogin, General Counsel; and Gary Weisberg, Associate Counsel, were present in the Board Room. PUBLIC COMMENTS: None. REPORTS: Chair Withers and General Manager Jim Herberg did not provide reports. CONSENT CALENDAR: 1. APPROVAL OF MINUTES 2022-2183 Page 1 of 4 STEERING COMMITTEE Minutes March 23, 2022 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the Regular Meeting of the Steering Committee held February 23, 2022. AYES: John Withers, Chad Wanke, Ryan Gallagher, Brooke Jones, Sandra Massa-Lavitt, Jesus Silva and Glenn Parker NOES: None ABSENT: None ABSTENTIONS: None NON-CONSENT: None. INFORMATION ITEMS: None. DEPARTMENT HEAD REPORTS: None. CLOSED SESSION: CONVENED IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTIONS 54956.8, & 54956.9(d)(1). The Committee convened in closed session at 5:05 p.m. Item No. CS-2 was not heard. Confidential minutes of the Closed Sessions have been prepared in accordance with the above Government Code Sections and are maintained by the Clerk of the Board in the Official Book of Confidential Minutes of Board and Committee Closed Session meetings. CS-1 CONFERENCE WITH LEGAL COUNSEL RE EXISTING LITIGATION - 2022-2071 GOVERNMENT CODE SECTION 54956.9(d)(1) CONVENED IN CLOSED SESSION: Number of Cases: 1 Gilbert Barela v. Orange County Sanitation District; Steve Thornburg; Roy Reynolds; and Does 1-100, inclusive. Superior Court of California, County of Orange, Case No. 30-2021-01220927-CU-WT-CJC. CS-2 CONFERENCE WITH LABOR NEGOTIATORS - GOVERNMENT 2022-2182 CODE SECTION 54957.6 Page 2 of 4 STEERING COMMITTEE Minutes March 23, 2022 DID NOT CONVENE IN CLOSED SESSION: Designated Representatives: GeReFal Manager jarnes Herberg, Assistant Gene - Chandler, and Chief Negetiate Laura era Ka4)� Employee nrgaRizatieRS: (3) TIRternatienal I Inien of nneratinn Engineers, C�Grange County rTg^T , , `�rar�c�`�vurrc� y sSOGiatien• andan the Supervisors and ❑refessienols Group. CS-3 CONFERENCE WITH REAL PROPERTY NEGOTIATORS - 2022-2204 GOVERNMENT CODE SECTION 54956.8 CONVENED IN CLOSED SESSION: Property: 7292 Slater Avenue Huntington Beach, CA - APN No. 110-010-39 Agency negotiators: General Manager Jim Herberg, Assistant General Manager Lorenzo Tyner, and Assistant General Manager Rob Thompson Negotiating parties: Northington Huntington Beach Investors LLC Under negotiation: Price and terms of payment RECONVENED IN REGULAR SESSION. The Committee reconvened in regular session at 5:45 p.m. CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED SESSION: General Counsel Brad Hogin did not provide a report. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: None. ADJOURNMENT: Chair Withers declared the meeting adjourned at 5:46 p.m. to the next Regular Steering Committee meeting to be held on Wednesday, April 27, 2022 at 5:00 p.m. Page 3 of 4 STEERING COMMITTEE Minutes March 23, 2022 Submitted by: Kell Lore, MIMIC Clerk of the Board Page 4 of 4 Orange County Sanitation District Wednesday, April 6, 2022 Minutes for the 5:00 PM OPERATIONS COMMITTEE Board Room SAN Administration Building ORANGE COUNTY SANITATION DISTRICT 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 CALL TO ORDER A regular meeting of the Operations Committee of the Orange County Sanitation District was called to order by Committee Chair Brooke Jones on Wednesday, April 6, 2022 at 5.01 p.m. in the Administration Building of the Orange County Sanitation District. Chair Jones stated that the meeting was being held telephonically and via Internet accessibility in accordance with new provisions in California Government Code Section 54953 and Resolution No. OC SAN 22-11, due to the continued State of Emergency Order. Chair Jones announced the teleconference meeting guidelines and led the flag salute. ROLL CALL AND DECLARATION OF QUORUM: Roll call was taken and a quorum was declared present, as follows: PRESENT: Brooke Jones, Ryan Gallagher, Stephen Faessel, Steve Jones, Sandra Massa-Lavitt, Paulo Morales, Robert Ooten, Jesus Silva, Donald Wagner, Chad Wanke, John Withers and Chad Zimmerman ABSENT: Johnathan Ryan Hernandez and Kim Nichols STAFF PRESENT: Kelly Lore, Clerk of the Board, and Mo Abiodun were present in the Board Room. Jim Herberg, General Manager; Rob Thompson, Assistant General Manager; Lorenzo Tyner, Assistant General Manager; Celia Chandler, Director of Human Resources; Kathy Millea, Director of Engineering; Riaz Moinuddin, Director of Operations and Maintenance; Lan Wiborg, Director of Environmental Services; Jennifer Cabral; Mortimer Caparas;Tanya Chong; Raul Cuellar; Donald Cutler; Mike Dorman; Marianne Klein; Tina Knapp; Anni Larkins; Rob Michaels; Jeff Mohr; Adam Nazaroff; Valerie Ratto; Charles Falzone; Richard Leon; Laura Maravilla; Victoria Pilko; Wally Ritchie; Don Stokes; Eros Yong and Ruth Zintzun were in attendance telephonically. OTHERS PRESENT: Brad Hogin, General Counsel; Jack Gundarlahalli; James Clark, Black and Veatch; Mark Briggs; and Fred Sorushian, SCO, were in attendance telephonically. PUBLIC COMMENTS: None. REPORTS: Chair Jones announced the Special Meeting of the Board of Directors on Wednesday, April 13, 2022 at 4:30 p.m. Chair Jones also provided a reminder regarding in-person tours for the Board of Directors and stated to contact the Clerk of the Board to schedule. Page 1 of 7 OPERATIONS COMMITTEE Minutes April 6, 2022 Chair Jones announced that OC San is currently requesting a second round of support letters from member cities for the Super Critical Water Oxidation Project and asked that they be returned to the Clerk of the Board by tomorrow's deadline. General Manager Jim Herberg did not provide a report, but introduced Assistant General Manager Rob Thompson who provided information regarding an upcoming item relative to anticipated escalated costs and supply issues of a necessary chemical (ferric chloride). Director of Engineering Kathy Millea provided a brief update on the progress of the Headquarters Complex construction and introduced the newest Engineering Manager, Raul Cuellar, who will oversee Construction Management. Mr. Cuellar provided a few comments. CONSENT CALENDAR: 1. APPROVAL OF MINUTES 2022-2231 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the Special Meeting of the Operations Committee held March 16, 2022. AYES: Brooke Jones, Ryan Gallagher, Stephen Faessel, Steve Jones, Sandra Massa-Lavitt, Paulo Morales, Robert Ooten, Jesus Silva, Chad Wanke, John Withers and Chad Zimmerman NOES: None ABSENT: Johnathan Ryan Hernandez, Kim Nichols and Donald Wagner ABSTENTIONS: None 2. INTERSTATE 405 WIDENING PROJECT IMPACTS ON OCSD 2021-1727 SEWERS, PROJECT NO. 3-66 Originator: Kathy Millea MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve the First Amendment to Utility Agreement No. UK204650, between the Orange County Sanitation District and the Orange County Transportation Authority for Interstate 405 Widening Project Impacts on OCSD Sewers, Project No. 3-66; and B. Approve the First Amendment to Utility Agreement No. UK201113, between the Orange County Sanitation District and the Orange County Transportation Authority for Interstate 405 Widening Project Impacts on OCSD Sewers, Project No. 3-66. Page 2 of 7 OPERATIONS COMMITTEE Minutes April 6, 2022 AYES: Brooke Jones, Ryan Gallagher, Stephen Faessel, Steve Jones, Sandra Massa-Lavitt, Paulo Morales, Robert Ooten, Jesus Silva, Chad Wanke, John Withers and Chad Zimmerman NOES: None ABSENT: Johnathan Ryan Hernandez, Kim Nichols and Donald Wagner ABSTENTIONS: None 3. SANTA ANA TRUNK REHABILITATION AT PLANT NO. 1, PROJECT 2022-2199 NO. FE20-07 Originator: Kathy Millea MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Receive and file Bid Tabulation and Recommendation for Santa Ana Trunk Rehabilitation at Plant No. 1, Project No. FE20-07; B. Award a Construction Contract to Sancon Technologies, Inc. for Santa Ana Trunk Rehabilitation at Plant No. 1, Project No. FE20-07, for an amount not to exceed $395,082; and C. Approve a contingency of $79,016 (20%). AYES: Brooke Jones, Ryan Gallagher, Stephen Faessel, Steve Jones, Sandra Massa-Lavitt, Paulo Morales, Robert Ooten, Jesus Silva, Chad Wanke, John Withers and Chad Zimmerman NOES: None ABSENT: Johnathan Ryan Hernandez, Kim Nichols and Donald Wagner ABSTENTIONS: None NON-CONSENT: 4. PRIMARY SEDIMENTATION BASINS NO. 3-5 REPLACEMENT AT 2021-1972 PLANT NO. 1, PROJECT NO. P1-126 Originator: Kathy Millea Engineering Supervisor Don Cutler provided a PowerPoint presentation and explanation of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Page 3 of 7 OPERATIONS COMMITTEE Minutes April 6, 2022 A. Approve a Professional Design Services Agreement with Black & Veatch to provide engineering services for Primary Sedimentation Basins No. 3-5 Replacement at Plant No. 1, Project No. P1-126, for an amount not to exceed $14,163,000-1 and B. Approve a contingency of $1,416,300 (10%). AYES: Brooke Jones, Ryan Gallagher, Stephen Faessel, Steve Jones, Sandra Massa-Lavitt, Paulo Morales, Robert Ooten, Jesus Silva, Chad Wanke, John Withers and Chad Zimmerman NOES: None ABSENT: Johnathan Ryan Hernandez, Kim Nichols and Donald Wagner ABSTENTIONS: None 5. SANTA ANA TRUNK SEWER REHABILITATION, PROJECT NO. 1-23 2021-1970 Originator: Kathy Millea Engineering Supervisor Marianne Klein provided a PowerPoint presentation and explanation of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Professional Design Services Agreement with Stantec Consulting Services, Inc. to provide engineering services for Santa Ana Trunk Sewer Rehabilitation, Project No. 1-23, for an amount not to exceed $3,880,000-1 and B. Approve a contingency of $388,000 (10%). AYES: Brooke Jones, Ryan Gallagher, Stephen Faessel, Steve Jones, Sandra Massa-Lavitt, Paulo Morales, Robert Ooten, Jesus Silva, Chad Wanke, John Withers and Chad Zimmerman NOES: None ABSENT: Johnathan Ryan Hernandez, Kim Nichols and Donald Wagner ABSTENTIONS: None 6. SUPPLEMENTAL ENGINEERING SERVICES, CONTRACT NO. 2022-2070 PSA2021-002 Originator: Kathy Millea Engineering Manager Jeff Mohr provided a PowerPoint presentation and explanation of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Page 4 of 7 OPERATIONS COMMITTEE Minutes April 6, 2022 Approve Professional Services Agreements to provide Supplemental Engineering Services, Contract No. PSA2021-002, for a three-year period commencing May 1, 2022, through April 30, 2025, with two one-year renewal options, for an amount not to exceed $29,700,000 per individual agreement with the following two firms: • AECOM Technical Services, Inc. • Jacobs Project Management Co. AYES: Brooke Jones, Ryan Gallagher, Stephen Faessel, Steve Jones, Sandra Massa-Lavitt, Paulo Morales, Robert Ooten, Jesus Silva, Chad Wanke, John Withers and Chad Zimmerman NOES: None ABSENT: Johnathan Ryan Hernandez, Kim Nichols and Donald Wagner ABSTENTIONS: None 7. PROFESSIONAL PROGRAMMING SERVICES, CONTRACT NO. 2022-2116 PSA2021-001 Originator: Kathy Millea Engineering Manager Mike Dorman provided a PowerPoint presentation and explanation of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Approve Professional Services Agreements to provide Professional Programming Services, Contract No. PSA2021-001 , for a three-year period commencing May 1, 2022, through April 30, 2025, with two one-year renewal options, for an amount not to exceed $4,900,000 per individual agreement with the following two firms: • Enterprise Automation • Maverick Technologies AYES: Brooke Jones, Ryan Gallagher, Stephen Faessel, Steve Jones, Sandra Massa-Lavitt, Paulo Morales, Robert Ooten, Jesus Silva, Chad Wanke, John Withers and Chad Zimmerman NOES: None ABSENT: Johnathan Ryan Hernandez, Kim Nichols and Donald Wagner ABSTENTIONS: None INFORMATION ITEMS: Director Donald Wagner arrived at the meeting at approximately 5:57 p.m. Page 5 of 7 OPERATIONS COMMITTEE Minutes April 6, 2022 8. OPERATIONS & MAINTENANCE: WASTEWATER 101 PART 1: 2022-2188 COLLECTIONS Originator: Riaz Moinuddin Maintenance Manager Don Stokes provided a PowerPoint presentation regarding the wastewater collection system that included an overview of OC San's service area, gravity systems, pipe sizes, inverted siphon, line cleaning types, line flushing, tire mechanical cleaning, technology adoption, pressure systems, pump station maintenance, goals to prevent sewer spills, pump station resiliency, underground line locating, regional odor control, odor control chemicals, regional odor control efforts, CCTV, and team-work and coordination efforts. ITEM RECEIVED AS AN: Information Item. 9. TPAD DIGESTER FACILITY AT PLANT NO. 2, PROJECT NO. P2-128 2022-2180 Originator: Kathy Millea Engineering Manager Jeff Mohr provided a PowerPoint presentation regarding the TPAD Digester Facility at Plant No. 2 that included an overview of the solids treatment, anaerobic digestion, the status of digesters, the biosolids master plan (2017), the master plan recommendations, temperature-phased anaerobic digestion (TPAD), 20-year phased implementation, the digester complex future plan, the preliminary site rendering, the P2-128 schedule, the construction cost estimate, the key value engineering savings, and the budget status. ITEM RECEIVED AS AN: Information Item. DEPARTMENT HEAD REPORTS: None. CLOSED SESSION: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. Page 6 of 7 OPERATIONS COMMITTEE Minutes April 6, 2022 BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: None. ADJOURNMENT: Chair Jones declared the meeting adjourned at 6:28 p.m. to the next Regular Operations Committee meeting to be held on Wednesday, May 4, 2022 at 5:00 p.m. Submitted by: Kel Lore, MMC Clerk of the Board Page 7 of 7 Orange County Sanitation District Monday, April 11, 2022 Minutes for the 4:00 PM LEGISLATIVE AND PUBLIC Board Room AFFAIRS COMMITTEE SAN Administration Building ORANGE COUNTY SANITATION DISTRICT 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 CALL TO ORDER A regular meeting of the Legislative and Public Affairs Committee of the Orange County Sanitation District was called to order by Committee Chair Jesus J. Silva on Monday, April 11, 2022 at 4:00 p.m. in the Administration Building of the Orange County Sanitation District. Chair Silva stated that the meeting was being held telephonically and via Internet accessibility in accordance with new provisions in California Government Code Section 54953 and Resolution No. OC SAN 22-11, due to the continued State of Emergency Order. Chair Silva announced the teleconference meeting guidelines and Director Kim Carr led the flag salute. ROLL CALL AND DECLARATION OF QUORUM: Roll call was taken and a quorum was declared present, as follows: PRESENT: Jesus Silva, Marshall Goodman, Kim Carr, Anthony Kuo, Andrew Nguyen, Chad Wanke and John Withers ABSENT: None STAFF PRESENT: Kelly Lore, Clerk of the Board, and Mo Abiodun were present in the Board Room. Jim Herberg, General Manager; Rob Thompson, Assistant General Manager; Lorenzo Tyner, Assistant General Manager; Celia Chandler, Director of Human Resources; Kathy Millea, Director of Engineering; Riaz Moinuddin, Director of Operations and Maintenance; Lan Wiborg, Director of Environmental Services; Tanya Chong; Daisy Covarrubias; Tina Knapp; Rebecca Long; Joshua Martinez; Kelly Newell; Wally Ritchie; and Thomas Vu were in attendance telephonically. OTHERS PRESENT: Brad Hogin, General Counsel; Eric O'Donnell, Townsend Public Affairs (TPA); and Eric Sapirstein, ENS Resources were in attendance telephonically. PUBLIC COMMENTS: None. REPORTS: Chair Silva reminded the Committee of the Special meeting of the Board of Directors to be held on April 13, 2022 at 4:30 p.m.; and that in-person tours of Plant No. 1 for the Board of Directors are currently be scheduled. General Manager Jim Herberg did not provide a report. Page 1 of 4 LEGISLATIVE AND PUBLIC Minutes April 11, 2022 AFFAIRS COMMITTEE CONSENT CALENDAR: 1. APPROVAL OF MINUTES 2022-2237 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the Regular Meeting of the Legislative and Public Affairs Committee held March 14, 2022. AYES: Jesus Silva, Marshall Goodman, Kim Carr, Anthony Kuo, Andrew Nguyen and John Withers NOES: None ABSENT: Chad Wanke ABSTENTIONS: None NON-CONSENT: 2. LETTERS OF SUPPORT FOR: A.B. 1724 (STONE) WASHING 2022-2169 MACHINES: MICROFIBER FILTRATION, A.B. 2787 (QUIRK) MICROPLASTICS IN PRODUCTS, AND A.B. 2771 (FRIEDMAN) COSMETIC PRODUCTS: SAFETY Originator: Jim Herberg Senior Public Affairs Specialist Rebecca Long provided a brief explanation of each bill. MOVED, SECONDED, AND DULY CARRIED TO: Approve Letters of Support for: A. A.B. 1724 (Stone) Washing Machines: Microfiber Filtration; B. A.B. 2787 (Quirk) Microplastics in Products; and C. A.B. 2771 (Friedman) Cosmetic Products: Safety. AYES: Jesus Silva, Marshall Goodman, Kim Carr, Anthony Kuo, Andrew Nguyen and John Withers NOES: None ABSENT: Chad Wanke ABSTENTIONS: None Board Vice-Chair Chad Wanke arrived at the meeting at approximately 4:16 p.m. 3. LEGISLATIVE AFFAIRS UPDATE FOR THE MONTH OF MARCH 2O22 2022-2228 Originator: Jim Herberg Page 2 of 4 LEGISLATIVE AND PUBLIC Minutes April 11, 2022 AFFAIRS COMMITTEE In response to a question from Director Silva at a previous meeting, Mr. Herberg stated that General Counsel has opined that OC San has the capability of purchasing property from another government agency at less than fair market value when it is in the best interest of the public and both agencies are collaborating on the project, and they make the determination and agree to the price. Eric Sapirstein, ENS Resources, provided a PowerPoint presentation which included issues regarding non-flushable wipes, Fiscal Year 2023 appropriations, PFAS/PFOA liability, and Build America/Buy America. Eric O'Donnell, TPA, provided a PowerPoint presentation which including a general overview of the policy committee deadline,; COVID-19 regulations, key proposals in Sacramento, Executive Order N-7-22 (Drought Order), and priority legislation of interest for 2022. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Receive and file the Legislative Affairs Update for the month of March 2022. AYES: Jesus Silva, Marshall Goodman, Kim Carr, Anthony Kuo, Andrew Nguyen, Chad Wanke and John Withers NOES: None ABSENT: None ABSTENTIONS: None 4. PUBLIC AFFAIRS UPDATE FOR THE MONTH OF MARCH 2O22 2022-2232 Originator: Jim Herberg Principal Public Affairs Specialist Daisy Covarrubias provided a PowerPoint presentation which provided information regarding tours held, various events and community involvement, construction outreach, and social media activities in the months of March/April 2022. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to Receive and file the Public Affairs Update for the month of March 2022. AYES: Jesus Silva, Marshall Goodman, Kim Carr, Anthony Kuo, Andrew Nguyen, Chad Wanke and John Withers NOES: None ABSENT: None ABSTENTIONS: None Page 3 of 4 LEGISLATIVE AND PUBLIC Minutes April 11, 2022 AFFAIRS COMMITTEE INFORMATION ITEMS: None. DEPARTMENT HEAD REPORTS: None. CLOSED SESSION: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: None. ADJOURNMENT: Chair Silva declared the meeting adjourned at 4:51 p.m. to the next Regular Legislative and Public Affairss Committee meeting to be held on Monday, May 9, 2022 at 4:30 p.m. Submitted by: 6��dLL Ke ly . Lore, MMC Clerk of the Board Page 4 of 4 Orange County Sanitation District Wednesday, April 13, 2022 Minutes for the 5:00 PM ADMINISTRATION COMMITTEE Board Room SAN Administration Building ORANGE COUNTY SANITATION DISTRICT 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 CALL TO ORDER A regular meeting of the Administration Committee of the Orange County Sanitation District was called to order by Committee Chair Glenn Parker on Wednesday, April 13, 2022 at 5:00 p.m. in the Administration Building of the Orange County Sanitation District. Chair Parker stated that the meeting was being held telephonically and via Internet accessibility in accordance with new provisions in California Government Code Section 54953 and Resolution No. OC SAN 22-11, due to the continued State of Emergency Order. Chair Parker announced the teleconference meeting guidelines and led the flag salute. ROLL CALL AND DECLARATION OF QUORUM: Roll call was taken and a quorum was declared present, as follows: PRESENT: Glenn Parker, Anthony Kuo, Brad Avery, Ron Bates, Art Brown, Kim Carr, Marshall Goodman, Patrick Harper, Andrew Nguyen, David Shawver, Chad Wanke and John Withers ABSENT: Rose Espinoza STAFF PRESENT: Kelly Lore, Clerk of the Board, and Mo Abiodun were present in the Board Room. Jim Herberg, General Manager; Rob Thompson, Assistant General Manager; Lorenzo Tyner, Assistant General Manager; Celia Chandler, Director of Human Resources; Kathy Millea, Director of Engineering; Riaz Moinuddin, Director of Operations and Maintenance; Lan Wiborg, Director of Environmental Services; Angela Brandt; Jennifer Cabral; Thys Devries; Tina Knapp; Rob Michaels; Wally Ritchie; Don Stokes; Loc Trang; and Thomas Vu were in attendance telephonically. OTHERS PRESENT: Brad Hogin, General Counsel, was in attendance telephonically. PUBLIC COMMENTS: None. Clerk of the Board Kelly Lore announced that she received late communication after the publication of the agenda pertaining to Item No. 5, including three additional attachments. The information was made available to the Committee and to the public today. REPORTS: Chair Parker and General Manager Jim Herberg did not provide reports. Page 1 of 4 ADMINISTRATION Minutes April 13, 2022 COMMITTEE Assistant General Manager Tyner provided a brief report on the process and selection of new Internal Auditors, Farr-Davis LLP. CONSENT CALENDAR: 1. APPROVAL OF MINUTES 2022-2236 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the Regular Meeting of the Administration Committee held March 9, 2022. AYES: Glenn Parker, Anthony Kuo, Brad Avery, Ron Bates, Art Brown, Kim Carr, Marshall Goodman, Patrick Harper, Andrew Nguyen, David Shawver, Chad Wanke and John Withers NOES: None ABSENT: Rose Espinoza ABSTENTIONS: None 2. FINANCIAL INFORMATION SYSTEM PURCHASE ORDER RENEWAL 2022-2227 Originator: Lorenzo Tyner MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a five-year Sole Source Purchase Order with Oracle America, Inc. for an annual amount of $95,828, with a total not to exceed $479,140, commencing July 1, 2022, through June 30, 2027; and B. Approve a contingency in the amount of $47,914 (10%). AYES: Glenn Parker, Anthony Kuo, Brad Avery, Ron Bates, Art Brown, Kim Carr, Marshall Goodman, Patrick Harper, Andrew Nguyen, David Shawver, Chad Wanke and John Withers NOES: None ABSENT: Rose Espinoza ABSTENTIONS: None NON-CONSENT: 3. SEWER SERVICE RATE STUDY 2022-2153 Originator: Lorenzo Tyner Mr. Tyner provided a brief introduction to the item. Page 2 of 4 ADMINISTRATION Minutes April 13, 2022 COMMITTEE MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Professional Consultant Services Agreement to HDR Engineering, Inc. to provide a Comprehensive Cost of Service Rate Study Specification No. CS-2021-128713D, for a total amount not to exceed $234,950-1 and B. Approve a contingency of $23,495 (10%). AYES: Glenn Parker, Anthony Kuo, Brad Avery, Ron Bates, Art Brown, Kim Carr, Marshall Goodman, Patrick Harper, Andrew Nguyen, David Shawver, Chad Wanke and John Withers NOES: None ABSENT: Rose Espinoza ABSTENTIONS: None 4. REPLACE CAMPUS ACCESS NETWORK SWITCHES AND INDOOR 2022-2226 WI-FI ACCESS POINTS Originator: Lorenzo Tyner IT Manager Rob Michaels provided an introduction and explanation of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Purchase Order to Saitech Inc. for the procurement of campus networking equipment hardware and software to update and replace end-of-life equipment operating in the Orange County Sanitation District communications and computing environment, Specification No. E-2022-130513D, for a total amount not to exceed $549,050 plus sales tax and freight; and B. Approve a contingency in the amount of $54,905 (10%). INFORMATION ITEMS: 5. FY 2022-23 AND FY 2023-24 OPERATING BUDGET EXPENDITURES 2022-2223 Originator: Lorenzo Tyner Controller Wally Ritchie presented the item and responded to questions from the Committee along with Assistant General Managers Rob Thompson and Mr. Tyner. ITEM RECEIVED AS AN: Information Item. Page 3 of 4 ADMINISTRATION Minutes April 13, 2022 COMMITTEE 6. OPERATIONS & MAINTENANCE: WASTEWATER 101 PART 1: 2022-2245 COLLECTIONS Originator: Riaz Moinuddin Maintenance Manager Don Stokes provided a PowerPoint presentation regarding the wastewater collection system that included an overview of OC San's service area, gravity systems, pipe sizes, inverted siphon, line cleaning types, line flushing, tire mechanical cleaning, technology adoption, pressure systems, pump station maintenance, goals to prevent sewer spills, pump station resiliency, underground line locating, regional odor control, odor control chemicals, regional odor control efforts, CCTV, and team-work and coordination efforts. ITEM RECEIVED AS AN: Information Item. DEPARTMENT HEAD REPORTS: None. CLOSED SESSION: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: None. ADJOURNMENT: Chair Parker declared the meeting adjourned at 6:10 p.m. to the next Regular Administration Committee meeting to be held on Wednesday, May 11, 2022 at 5:00 p.m. Submitted by: Ke,1y o,. Lore, MMC Clerk of the Board Page 4 of 4 Administration Building OPERATIONS COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2313 Agenda Date: 5/25/2022 Agenda Item No: 7. FROM: James D. Herberg, General Manager Originator: Riaz Moinuddin, Director of Operations & Maintenance SUBJECT: INSTALLATION AND DISPOSAL OF ACTIVATED CARBON FOR PLANT NO. 1 T&D ODOR CONTROL SYSTEM, SPECIFICATION NO. S-2022-1316BD GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve a Purchase Order Contract to Karbonous, Inc. to provide Installation and Disposal of Activated Carbon for Plant No. 1 T&D Odor Control System, Specification No. S-2022- 131613D, for a total annual amount not to exceed $202,920 for the period beginning August 1, 2022 through July 31, 2023, with four one-year renewal options; and B. Approve an annual contingency of $20,292 (10%). BACKGROUND The Thickening and Dewatering (T&D) facility at Plant No. 1 creates nuisance odors associated with operation of the thickening and dewatering centrifuges, the sludge blending tanks, truck loading, and the centrate wetwell. This foul air is treated at the Thickening and Dewatering Odor Control Facility which consists of three trains of chemical scrubbers followed by two activated carbon vessels to ensure that air emissions meet South Coast Air Quality Management District (AQMD) permit and nuisance odor requirements at all times. The Orange County Sanitation District (OC San) Plant No. 1 T&D Odor Control Facility is equipped with two activated carbon vessels/filter beds for polishing treated foul air. The carbon beds work in a duty/standby configuration to ensure all emissions from the solids processing meet the AQMD permit and nuisance limits. RELEVANT STANDARDS • Maintain a proactive asset management program • 24/7/365 treatment plant reliability • Protect OC San assets Orange County Sanitation District Page 1 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2313 Agenda Date: 5/25/2022 Agenda Item No: 7. PROBLEM The carbon beds in the Plant No. 1 T&D Odor Control Facility adsorb odorant compounds to prevent their release into the ambient air. Over time, the activated carbon loses the ability to hold or store these odorant compounds. Fully consumed activated carbon beds must be removed and replaced with fresh activated carbon media to continue to remove odorant compounds. PROPOSED SOLUTION Staff recommends that a Purchase Order Contract be awarded to Karbonous, Inc. to replace the spent activated carbon in the Plant No. 1 T&D Odor Control Facility to ensure consistent compliance with OC San's AQMD permit to operate. TIMING CONCERNS The current contract expires July 31, 2022. RAMIFICATIONS OF NOT TAKING ACTION Odor complaints near Plant No.1 and across the Santa Ana River may occur when the polishing activated carbon is not used or is deficient. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION Staff received a renewal offer from the incumbent vendor which was a 75% increase from the current cost to match current industry pricing. Staff attempted to negotiate, but the company offered no flexibility, so it was determined to re-bid. OC San received three responsive bids and the lowest bid was from the incumbent at a price slightly lower than the original renewal offer. Four bids were received as listed in the table below. Company Name Bid Amount Determination Karbonous, Inc. $202,920 Responsive Carbon Activated Corp. $227,304 Non-Responsive PureAir Filtration, LLC $240,000 Responsive Advanced Chemical Transport, Inc. $534,045 Responsive Staff has identified Karbonous, Inc. as the lowest responsive and responsible bidder. CEQA N/A Orange County Sanitation District Page 2 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2313 Agenda Date: 5/25/2022 Agenda Item No: 7. FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San's Purchasing Ordinance. This item has been budgeted in the FY 2022-23 and FY 2023-24 Budget, Division 830 (Line item: 830.54030). Date of Approval Contract Amount Contingency 05/25/2022 $ 202,920 $ 20,292 (10%) ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: N/A JS:pp:cr Orange County Sanitation District Page 3 of 3 Printed on 5/16/2022 powered by LegistarT" Administration Building OPERATIONS COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2314 Agenda Date: 5/25/2022 Agenda Item No: 8. FROM: James D. Herberg, General Manager Originator: Kathy Millea, Director of Engineering SUBJECT: SEAL BEACH PUMP STATION REPLACEMENT, PROJECT NO. 3-67 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Approve a Monitoring Wells Relocation Agreement between the Orange County Sanitation District and Orange County Water District for Seal Beach Pump Station Replacement, Project No. 3-67, in a form approved by General Counsel. BACKGROUND Seal Beach Pump Station Replacement, Project No. 3-67, will replace the existing pump station on the same site at the corner of Seal Beach Blvd and Westminster Blvd. The Orange County Water District (OCWD) has two groundwater monitoring wells where the new pump station will be constructed. RELEVANT STANDARDS • Maintain collaborative and cooperative relationships with regulators, stakeholders, and neighboring communities PROBLEM The new pump station cannot be built without displacing OCWD's groundwater monitoring wells. OCWD has easements for the wells, so the Orange County Sanitation District (OC San) is obligated to reimburse OCWD for the cost to relocate the wells. PROPOSED SOLUTION Approve a relocation agreement between OC San and OCWD to relocate two wells. The agreement requires OC San to demolish the existing wells and construct new wells. This work will be included in the construction contract for the pump station replacement. The cost of this work is approximately $730,000. Orange County Sanitation District Page 1 of 2 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2314 Agenda Date: 5/25/2022 Agenda Item No: 8. TIMING CONCERNS The agreement must be executed to allow OC San's pump station contractor to demolish the wells early in construction, which is scheduled to start in May 2023. RAMIFICATIONS OF NOT TAKING ACTION Seal Beach Pump Station Replacement, Project No. 3-67, cannot be built without relocating the wells. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION OCWD has a separate easement from the Navy to locate their monitoring wells within the pump station area covered by OC San's easement with the Navy. Having their monitoring wells within OC San's pump station provides OCWD access to the wells, which would otherwise be very difficult given the Navy's access requirements for the rest of the base. The agreement calls for OCWD to separately obtain easements for the new wells, which will also be within OC San's pump station easement. CEQA The project is included in the Facilities Master Plan 2020 Program Environmental Impact Report, State Clearinghouse Number 2019070998. FINANCIAL CONSIDERATIONS This request complies with the authority levels of OC San's Purchasing Ordinance. This item has been budgeted (Budget Update, Fiscal Year 2021-2022, Appendix A, Page A-7, Seal Beach Pump Station Replacement, Project No. 3-67) and the budget is sufficient for the recommended action. ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Agreement JD: jw Orange County Sanitation District Page 2 of 2 Printed on 5/16/2022 powered by LegistarTM DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 MONITORING WELLS OCWD-35KIP AND OCWD-35KIQ RELOCATION AGREEMENT BETWEEN THE ORANGE COUNTY SANITATION DISTRICT AND ORANGE COUNTY WATER DISTRICT THIS MONITORING WELLS RELOCATION AGREEMENT ("Agreement"), is made and entered into on this day of , 2022 by and between the ORANGE COUNTY SANITATION DISTRICT, a County Sanitation District("OC San"), and ORANGE COUNTY WATER DISTRICT, a Water District ("OCWD"). OC San and OCWD are sometimes hereinafter individually referred to as "Party" and hereinafter collectively referred to as "Parties." RECITALS WHEREAS, OC San is a duly organized County Sanitation District existing pursuant to the County Sanitation District Act, California Health and Safety Code section 4700, et seq., providing for the ownership, operation, and maintenance of wastewater collection, treatment, and disposal facilities within Orange County, California; WHEREAS, OCWD is a political subdivision of the State of California organized under Chapter 924 of the Statutes of 1933, as amended and its suceessors and assigns, that manages the Orange County Groundwater Basin within Orange County, California; WHEREAS, OC San owns, operates and maintains sewer facilities including, but not limited to, a pump station located on Westminster Boulevard in the City of Seal Beach; WHEREAS, OC San intends to relocate and upgrade its pump station(the "Seal Beach Pump Station")because the existing facility is aging and in need of replacement(the "Project"); WHEREAS,the U.S. Department of the Navy("Navy") owns the property on which the Seal Beach Pump Station and other OC San facilities are located, and OC San possesses an easement granted by the Navy to operate and maintain the Seal Beach Pump Station and other OC San facilities ("OC San Easement"); WHEREAS, OCWD owns, operates, and maintains groundwater monitoring wells (the "Wells")near the Seal Beach Pump Station,which must be relocated as a result of the Project; WHEREAS, OCWD possesses an easement granted by the Navy to operate and maintain the Wells ("OCWD Easement"); WHEREAS, OC San agrees to do the following to OCWD standards: demolish the existing OCWD Wells, design new Wells, and construct new Wells within the OC San Easement (collectively, the "Work") in accordance with the tentative plans attached to this Agreement as Exhibit"A" (the "Tentative Plans"), as they may be modified by the Approved Plans and Specifications (as defined below); and 1 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 WHEREAS, OC San agrees to: (a)be responsible for the design, management, and construction of the Work, which includes any demolition, abandonment, removal, replacement, and/or relocation of any existing Wells necessary to complete the Work; and (b)pay all costs and expenses related to the Work subject to the terms and conditions of this Agreement; and WHEREAS, OCWD agrees, with the good faith assistance of OC San where requested, to coordinate with the Navy to (a) quitclaim the OCWD Easement, and(b) obtain a new easement to accommodate the new Wells to be constructed as part of the Work. NOW, THEREFORE, in consideration of the mutual promises set forth herein, the Parties hereto agree as follows: Section 1: Recitals. The Recitals above are deemed true and correct, are hereby incorporated into this Agreement by this reference, as though fully set forth herein, and each Party to this Agreement acknowledges and agrees that it is bound by the same. Section 2: Elements of Agreement. OC San and OCWD will work cooperatively together so that the Work can be completed in a manner that minimizes the cost to and impact on the public while allowing the Parties to accomplish their respective missions. The specific terms and conditions governing the elements of this Agreement are set forth hereinafter. Section 3: OC San's Specific Obligations. A. OC San shall (and shall cause its agents and contractors to) comply with all applicable laws, regulations, and ordinances in connection with performing the Work. B. OC San will obtain all required access rights (including, prior to commencing monitoring well construction, a Right-of-Entry permit from the Navy), and enter into and administer contracts for the design and field oversight/lithologic logging services needed for the Work, which includes contracting with the necessary engineering consultant(s) to accomplish the design efforts, and OC San assumes full responsibility for the design and construction services necessary to complete the Work. C. OC San shall promptly inform OCWD of any proposed changes to the construction contract as it relates to the Work. Copies of proposed changes to the construction contract affecting some or all of OCWD's facilities will be provided to OCWD within five (5) working days after OC San's receipt thereof. D. OC San will submit prepared plans and specifications for the design and construction of the Work for review, comment, and written approval by OCWD, such approval not to be unreasonably withheld, conditioned, or delayed. OCWD shall notify OC San, in writing, of its approval or withholding of approval of the plans and specifications within ten(10) 2 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 calendar days after OCWD's receipt of the proposed plans and specifications from OC San. If OCWD does not approve such proposed plans and specifications, OCWD will in such written notice provide OC San with a reasonably-detailed statement of its basis for denial, whereupon OC San shall require its hired consultant to correct the plans and specifications to OCWD's reasonable satisfaction. The final plans and specifications approved in writing by OCWD shall be referred to hereinafter as the "Approved Plans and Specifications." E. OC San shall be responsible for advertising, awarding, and administering a contract for the construction of the Work, in conformance with all applicable laws governing construction of public works by OC San. In connection with the foregoing, OC San will issue a public works bid package as well as administer and enter into a construction contract to perform the Work in accordance with the Approved Plans and Specifications. OC San shall ensure that the contractor for the Work has the appropriate license from the California State License Board and that such contractor complies with the prevailing wage laws including,but not limited to, California Labor Code Sections 1720 et seq. and 1770 et seq., as well as California Code of Regulations, Title 8, Section 16000 et seq. ("Prevailing Wage Laws"). Upon determination of the successful bidder, OC San will submit such information to OCWD for their files. F. OC San shall not accept any portion of the Work unless it has been previously inspected and approved in writing by OCWD. In connection therewith, OC San will request, from time to time, that OCWD inspects and approves the Work or any portion thereof. Such request for inspection and approval shall be referred to herein as an"OC San Inspection Request". G. OC San will document and inform OCWD of the date of its final acceptance of the Work, and the date when the Notice of Completion is filed. H. OC San, its agents, and contractors shall keep the Work free from any statutory or common law liens arising out of any Work performed, materials furnished, or obligations incurred by OC San, its agents, or contractors in connection with the Work. I. OC San, its agents and contractors, shall comply with all requirements of the Navy during the pendency of the Work. Section 4: OCWD's Specific Obligations. A. OCWD will arrange to quitclaim its current easement for the Wells with the Navy and obtain new easements for the new Wells to be constructed as part of 3 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 the Work. The quitclaim process shall be completed prior to commencement of well destruction activities, and the new easement procurement shall be in- process and agreed to in concept by the Navy prior to commencement of the Work. The new easement shall be obtained by OCWD before OC San transfers ownership and responsibility of the new wells to OCWD per Section 6. B. OCWD will provide, at OCWD's sole expense, inspection services for the Work as it deems necessary to assure compliance with the Approved Plans and Specifications, including, but not limited to, shop drawing review and material inspection. In connection therewith, OC San shall provide OCWD inspectors uninhibited access to the area of the Project where the Work is being performed to review, check and inspect the Work, and an adequate on- site work space to perform such services, provided that OCWD has given OC San twenty-four(24)hours advance notice of its desire to inspect the Work. By no later than two (2) working days after any such inspection, OCWD will promptly notify OC San in writing if any portion of the Work appears not to conform to the Approved Plans and Specifications, and OC San shall cause its contractor to correct such non-conforming Work to be consistent with the Approved Plans and Specifications. C. OCWD will respond to any OC San Inspection Request within two (2) working days and conduct the requested inspection within three (3)working days thereafter. If OCWD fails to respond to an OC San Inspection Request or conduct the requested inspection within the respective time periods prescribed above, or if OCWD fails to notify OC San that any portion of the Work appears not to conform to the Approved Plans and Specifications within two (2) working days after its inspection, the Work, in its then-current condition, shall be automatically deemed approved by OCWD. D. OCWD shall return comments to OC San on all shop drawing submittals and change order requests and respond to OC San's requests for information within three (3)working days from receipt of such submittals by OCWD; provided, however, that OCWD shall not unreasonably withhold, condition, or delay its approval of any change order proposed by OC San that: (i) is required to perform the Work properly and/or to comply with any entitlement, permit, or approval for the Work issued, or to be issued,by any governmental body; and(ii) does not materially and adversely affect the function of OCWD's systems or equipment. If OCWD fails to respond to any shop drawings or change order submitted by OC San within such three (3) working day period, the submitted shop drawings or change order, as applicable, shall automatically be deemed approved by OCWD. This provision shall not apply to review process for the plans and specifications. Section 5: Payment for Work. OC San shall pay 100% of the actual and necessary costs and expenses of its obligations under this Agreement as described in Section 3. 4 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 Notwithstanding the foregoing, OC San shall not be responsible for any costs or expenses incurred by OC San as a result of. (a) OCWD's failure to timely and fully comply with its obligations under this Agreement; (b) any change order required by OCWD that is not required to perform the Work properly, but is instead done for OCWD's convenience or to satisfy OCWD's preference; or(c) any losses, costs, damages, or liabilities arising from negligence or willful misconduct on the part of OCWD, its officers, agents, employees, or consultants. Section 6: Final Approval of Work. Prior to OCWD's acceptance of the Work and OC San's recordation of a Notice of Completion, OCWD shall review and provide written approval of the Work. When the Work is ready for OCWD's final inspection, OC San shall notify OCWD of the same in writing, and OCWD shall make arrangements with OC San to perform its final inspection of the Work within three working days following OCWD's receipt of such notice. OCWD's written approval shall only be withheld for Work not completed in accordance with the Approved Plans and Specifications or if based upon concerns or lack of concurrence by the Navy. OC San shall furnish OCWD with one set of record drawings for the completed Work and a copy of the recorded Notice of Completion. Upon OCWD's written approval, OC San shall transfer to OCWD, and OCWD shall accept and assume ownership of and responsibility for operation, maintenance,upkeep, repair, and replacement of all improvements installed or constructed as part of the Work. OC San shall, promptly following written request therefor from OCWD, deliver to OCWD any documents or instruments necessary to evidence or complete such transfer to OCWD. Section 7: Encroachment Permit(s). To the extent required by OC San to perform the Work in accordance with the Approved Plans and Specifications, as determined in OC San's sole and absolute discretion, OC San agrees to acquire, at OC San's sole cost and expense, a well construction permit required by the Orange County Health Care Agency and an encroachment permit that may be required by the City of Seal Beach in the name of either OC San or OCWD, as appropriate. Notwithstanding the foregoing, OC San shall not be responsible for the payment of any annual fees, costs or expenses required to be paid after the original acquisition of such encroachment permit(s)unless such encroachment permit(s) are in the name of OC San. The Parties shall timely and fully cooperate with each other and shall execute such other and further documents and take such other and further actions as may be necessary or convenient to obtain any such encroachment permits. Section 8: Indemnification. A. OC San will, and it hereby does, indemnify, defend, and hold harmless OCWD, its elected and appointed officials, officers, agents, employees, and contractors from any and all actions, suits, claims, liability, or expense for death, injury, loss, or damage to persons or property that may arise or that are claimed to have arisen during or as a result of the Work performed by or on behalf of OC San, its officers, agents, employees, or contractors, save and except to the extent that such action, suit, claim, liability, or expense is solely caused by or a result of any act, omission, or negligence of OCWD, its officers, agents, employees, or contractors. 5 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 B. OCWD will, and it hereby does, indemnify, defend, and hold harmless OC San, its elected and appointed officials, officers, agents, employees, and consultants, from any and all actions, suits, claims, liability or expense for death, injury, loss, or damage to persons or property that may arise or that are claimed to have arisen as a result of any act performed by OCWD, its officers, agents, employees, or contractors,with respect to the Work including in connection with the operation, maintenance, upkeep, repair, and/or replacement of the Work, save and except to the extent that such action, suit, claim, liability, or expense is solely caused by or a result of any act, omission or negligence of OC San, its officers, agents, employees, or contractors. Section 9. Term. This Agreement will be in full force and effect until the specified obligations of both Parties have been fulfilled or until the Parties mutually agree to terminate this Agreement in writing. Section 10: Agents. Any contractor or subcontractor performing or providing services in connection with the Work described herein on behalf of either Party will be conclusively deemed to be the servant and agent only of the Party that employed or contracted with said contractor or subcontractor, acting on behalf and within the scope of such contractor's or subcontractor's employment for said Party. Section 11: Notices. All notices or other communications required or permitted hereunder will be in writing and will be personally delivered or sent by registered or certified mail,postage prepaid, return receipt requested, delivered or sent by electronic transmission, and will be deemed received upon the earlier of: (i)the date of delivery to the address of the person to receive such notice if delivered personally or by messenger or overnight courier; (ii)three (3) business days after the date of posting by the United States Post Office if by mail; or(iii) when sent if given by electronic transmission. Any notice, request, demand, direction, or other communication sent by electronic transmission must be confirmed within forty-eight(48) hours by letter mailed or delivered. Notices or other communications will be addressed as follows: To OC San: Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, CA 92708 Attention: Jacob G. Dalgoff, Senior Engineer Phone: 714-486-6492 E-mail: jdalgoff@ocsan.gov To OCWD: Orange County Water District 18700 Ward Street Fountain Valley, CA 92708 Attention: Gary Yoshiba, Senior Hydrogeologist Phone: (714) 378-3205 E-mail: gyoshiba@ocwd.com 6 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 Section 12: Jurisdiction. In the event of a dispute regarding performance or interpretation of this Agreement, the venue for any action to enforce or interpret this Agreement will lie in the Superior Court of California for Orange County. Section 13: Cooperation. The Parties shall cooperate with each other to achieve the purpose of this Agreement and shall execute such other and further documents and take such other and further actions as may be necessary or convenient to fulfill their obligations described herein. The Parties further agree to use all reasonable efforts to cause the fulfillment of the conditions to the Parties' obligations hereunder and to obtain as promptly as possible all approvals from each and every third party, whether private or governmental, required in connection with the Work contemplated by this Agreement. Section 14: No Third Party Beneficiaries. This Agreement is entered into by and for OCWD and OC San, and nothing herein is intended to establish rights or interests in individuals or entities not a party hereto. Section 15: Force Majeure. Except for the payment of money, neither Party will be liable for any delays or other non-performance resulting from circumstances or causes beyond its reasonable control, including without limitation, fire or other casualty, act of God, strike or labor dispute, war or other violence, acts of third parties, or any law, order, or requirement of any governmental agency or authority. Section 16: Governing Law. This Agreement will be governed by the laws of the State of California. Section 17: Entire Agreement. This Agreement constitutes the entire understanding and agreement between the Parties and supersedes all previous negotiations and agreements between the Parties pertaining to the subject matter hereof. Section 18: Waiver. A waiver of a breach of the covenants, conditions, or obligations under this Agreement by either Party will not be construed as a waiver of any succeeding breach of the same or other covenants, conditions, or obligations of this Agreement. Section 19: Modification. Alteration, change, or modification of this Agreement will be in the form of a written amendment,which will be signed by both Parties. Section 20: Severability. If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement will continue in full force and effect. Section 21: Agreement Execution and Authorization. Each of the undersigned represents and warrants that he or she is duly authorized to execute and deliver this Agreement and that such execution is binding upon the entity on whose behalf he or she is executing this Agreement. 7 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 Section 22: Counterparts Deemed Original: This Agreement may be executed in one or more counterparts (including by e-mail, other electronic transmission, and/or facsimile), all parties need not be signatories to the same documents, and all counterpart signed documents shall be deemed to be one and the same original instrument. [SIGNATURES ON THE NEXT PAGE] 8 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed as of the day and year first below written. ORANGE COUNTY SANITATION DISTRICT APPROVED AS TO FORM: By John B. Withers Date Chairperson, Board of Directors By By Bradley R. Hogin General Counsel, Kelly Lore Date Orange County Sanitation District Clerk of the Board, Board of Directors ORArT` oo(If-NY e ed by: " 11' DISTRICT APPROVED AS TO FORM: Ste. S��o In. 5/3/2022 By_ C5EF6854B34ND9.. Stephen R. Sheldon Date DocuSigned by: DocuSigned by:"oard of Directors ,�ItiIA/�Vti,lS f-' S/3/2 0 2 2 By 5C52400A78BE4DA... Byr✓ 705 15A.53AB73446... General Counsel Michael R. Markus, P.E. Date General Manager 9 1582281.1 DocuSign Envelope ID:2AF13327-2CFF-47B8-B9FF-5BAF60F39136 EXHIBIT "A" Tentative Plans (See attached.) 10 1582281.1 1 2 1 3 1 4 5 6 1 7 1 8 1 9 1 10 ANTICIPATED WELL DETAILS BOREHOLE WELL SCREENED SCREENED WELL CASING CASING PRECAST TRAFFIC WATER A NESTED WELL ID AQUIFER DEPTH DEPTHS SITE TOP ROT BOX AND TRAFFIC STEEL (FT-BGS) (FT-BGS) (FT-BGS) (FT-BGS) FINISHED GRADE PER C1015 V COVER(H-20-44) OCWD-35K1P/1 C 115 90 110 35K1P OCWD-35K1 P/2 B 190 175 130 110 7-8' 1'MIN 4"MIN OCWD-35K1Q/1 A 250 195 245 __� 18-INCH DIAMETER BOREHOLE FINISHED GRADE 35K1Q OCWD-35K1 Q/2 1 a05 390 365 385 f� PER C1015 SANITARY SEAL J 14'DIAMETER CONDUCTOR CASING F v w w w 12.25-INCH MINIMUM DIAMETER BOREHOLE 2"LOCKING WELL CAP O ON ALL CASINGS _ 2 1 W O r Bt0. SAN0.BENTONITE ANNULAR REAL(TYP) \ ¢ w m Z \ w a \\\ d FILTER PACK INSTALLED 5 FEET ABOVE AND BELOW SCREEN CASING(TYP) 2-INCH FLUSH THREADED SCHEDULE OCWDWELL35K1Q T, i 80 PVC BLANK WELL CASINGS(TYP) 14"DIAMETER w CONDUCTOR CASING u O O ROCK COMPACTED OCWD WELL 351<1 P- PRIOR TO INSTALLATION \dull CENTRALIZERS ABOVE AND BELOW 18'DIAMETER EACH SCREENED INTERVAL AND CONDUCTOR BOREHOLE OF PRECAST BOX J EVERY 40 FEET(TYP) SANITARY SEAL 2-INCH,FLUSH-THREADED,SCHEDULE 80 C Do O OCWD WELL SITE EA MENT PVC SLOTTED WELL SCREEN CASING(TYP) DETAIL 2 NOTES: 5'BLANK CASING NTH p7 II %7— L BOTTOM END CAP(TYP) 1. STAGGER EACH WELL CASING HEIGHT APPROXIMATELY 2INCHES W2. CONCRETE SKIRT SHALL SLOPE AWAY FROM THE VAULT. DETAIL 1 NOTES: 3. WELL CASINGS SHALL BE SPACED EQUIDISTANT APART IN THE 1225' DIAMETER BOREHOLE. 1. CASING,SCREEN,ANDND BACK-FILL ILL BE APPDETERMINED F EXACTPLACEMENT OF CASING,SCREEN,AND BACK-FILL WILL BE DETERMINED AFTER THE BOREHOLE 4 WELL CASINGS SHALL BE CEN ERED IN PRECAST RAFFIC WATER BOX. HAS BEEN DRILLED AND GEOPHYSICAL LOGS HAVE BEEN EVALUATED. 5. PRECASTTRAFFIC WATER BOX SHALL BE 2'A"X3'-0"%33"DEEP. 2. NOTALL CENTRALIZERS ARE DEPICTED. JENSEN PRECAST K2436-FH33-OBT OR EQUAL. D 3. WELL SHALL BE CONSTRUCTED IN ACCORDANCE WITH SECTION 02520. 6, TRAFFIC STEEL COVER.CONTRACTOR SHALL MODIFY COVER WITH SKIDS.JENSEN PRECAST SC2436-TGV OR EQUAL. DETAIL DETAILSCALE:NONE SCALE:NONE _J o OCWD WELLS PLAN SCALE:1"=10' g$F R 10, o' 1a w w SCALE:1"=10, D-13Y'BY Oma ann 1=1 DS3 SEAL BEACH 3-67 s a" IMaY 11,2ozz) n PUMP STATION REPLACEMENT DHEDKED eY. Am,Inen NCHE XXIXX LEE+640 R 0 OC 6 SAN OCWD MONITORING PLAN "'"""G LINE F52LNCHES NOT FOR U S_ lS_ I CONSTRUCTION PLAN AND DETAILS C901 Q 9< MARK DESCRIFION DATE APPR. (IFNOT2'-SCALE ACWRDINGCn WATER INfRASTRUCIURE ENGINEERS ORANGE COUNTY SANITATION DISTRICT Administration Building OPERATIONS COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2315 Agenda Date: 5/25/2022 Agenda Item No: 9. FROM: James D. Herberg, General Manager Originator: Riaz Moinuddin, Director of Operations & Maintenance SUBJECT: PLANT NO. 2 OXYGEN REACTOR PURGE VALVE AND ACTUATOR ASSEMBLIES REPLACEMENT GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve a Sole Source Purchase Order to Integrated Process Technologies for the purchase of four DeZurik 20" 316 SST Oxygen Cleaned Purge Air Control Valves and Limitorque Actuator assemblies for the Plant No. 2 Activated Sludge Plant in an amount not to exceed $200,597-1 and B. Approve a contingency of $20,059 (10%). BACKGROUND Orange County Sanitation District (OC San) Plant No. 2 operates an Activated Sludge Plant that uses high-purity oxygen. High-purity oxygen is introduced to the sealed vapor space above the biological reactors and mixed into the water and biomass. Combustible gases are created in the biological reactor and can accumulate in the vapor space above the mixed liquid. Safety purge systems are used to prevent an unsafe mixture of gases. The purge systems consist of combustible gas analyzers, valves, and purge fans. When the analyzers detect a high level of combustible gases, the oxygen feed system is stopped, the purge valves open, and the fans are started to purge the vapor space above the biological reactor with air. There are purge air systems to serve both the East and West biological reactors. Each purge air system includes two purge fans and two purge air control valves. RELEVANT STANDARDS • 24/7/365 treatment plant reliability • Commitment to safety & reducing risk in all operations • Maintain a proactive asset management program • Maintain a culture of improving efficiency to reduce the cost to provide the current service level or standard Orange County Sanitation District Page 1 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2315 Agenda Date: 5/25/2022 Agenda Item No: 9. PROBLEM The Plant No. 2 Activated Sludge Plant utilizes four Dezurik/Limitorque purge valve and actuator sets. The purge valves and actuators were installed in 1983, are obsolete, deteriorating, and beyond their useful life. PROPOSED SOLUTION Staff recommends a sole source purchase of four direct replacement Limitorque LT120 MOV actuators and four 20" stainless steel oxygen clean DeZurik high performance butterfly valves from the original equipment manufacturer (OEM) to ensure that the existing purge air system functions in accordance with original design function. The actuator and valve assembly parameters will be factory set by Integrated Process Technologies prior to shipment. TIMING CONCERNS The Activated Sludge Plant at Plant No. 2 is a critical facility and without the needed replacements of the purge valves and actuators, the Activated Sludge Plant may be unavailable for an extended period due to the long lead time to procure these components. RAMIFICATIONS OF NOT TAKING ACTION Failure to replace the obsolete valve and actuator assemblies increases the safety risk of the purge air system failing to perform its intended function of purging combustible gases in the Activated Sludge Plant reactors and impacting the operation of Plant No. 2. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION Integrated Process Technologies is the OEM for Limitorque and the only authorized distributor within OC San's geographical region that can configure the valve and actuator sets. A 10% contingency is requested in the event of pricing changes due to tariffs, delays in placing the order, or other unforeseeable changes. CEQA N/A FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San's Purchasing Ordinance. This item has been budgeted in the Adopted Budget Update Fiscal Year 2021-2022, Plant No. 2 Maintenance, page 44 and the budget is sufficient for the recommended action. Orange County Sanitation District Page 2 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2315 Agenda Date: 5/25/2022 Agenda Item No: 9. Date of Approval Contract Amount Contingency 05/25/2022 $200,597 $20,059 (10%) ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: N/A Orange County Sanitation District Page 3 of 3 Printed on 5/16/2022 powered by LegistarTM Administration Building OPERATIONS COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2316 Agenda Date: 5/25/2022 Agenda Item No: 10. FROM: James D. Herberg, General Manager Originator: Riaz Moinuddin, Director of Operations & Maintenance SUBJECT: DIRECT ACCESS ENERGY PURCHASE CONTRACT GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve Master Service Agreements with two additional energy service providers: • Constellation NewEnergy and • NRG/Direct Energy; and B. Delegate to the General Manager and Purchasing Manager the authority to enter into Transaction Agreements, in a form approved by General Counsel, with the following energy service providers: • Shell Energy Solutions, or • Constellation NewEnergy, or • NRG/Direct Energy. BACKGROUND In 2009, California Senate Bill 695 established the Direct Access (DA) program, a retail electric service that allows customers to purchase electricity from a competitive provider, called Electric Service Providers (ESP), instead of from a regulated electric utility. The utility delivers the electricity that the customer purchases from the ESP over its distribution system and collects a fee for doing so. An ESP is a non-utility entity that offers electric generation service to customers within the service territory of an electric utility. The California Public Utilities Commission (CPUC) currently lists 20 ESPs for the Southern California Edison service territory, although many of them do not serve large industrial customers. The CPUC sets limits on the number of kilowatt hours a utility is required to accept from other providers. Since 2013, utilities have used a lottery system every six months to allocate their available load to customers who apply for the DA program. If there are more applicants than can be included, the unsuccessful applicants are put on a wait list. Orange County Sanitation District Page 1 of 3 Printed on 5/17/2022 powered by LegistarTM File #: 2022-2316 Agenda Date: 5/25/2022 Agenda Item No: 10. The Orange County Sanitation District (OC San) had the opportunity to transfer our major treatment plant accounts to the DA program starting in January 2022. OC San was able to transfer our remaining accounts (pump stations and various treatment plant buildings) starting in April 2022. Shell Energy Solutions was awarded a short-term contract as our ESP through June 2022. When the Board approved the DA program participation in December 2021, staff was directed to initiate the procurement of a long-term purchase agreement for continuation of service for Board approval by June 2022. Southern California Edison continues to be paid for delivering the electricity that is provided by the ESP. OC San has been working with Aviva Energy to help with the transition to the DA Program. Aviva Energy is a fiduciary that has helped the Orange County Water District, Irvine Ranch Water District, and many others through similar transitions. RELEVANT STANDARDS • 24/7/365 treatment plant reliability • Ensure the public's money is wisely spent PROBLEM The DA program provides an opportunity to reduce OC San's electricity purchase costs and provide energy supply flexibility. The current DA electricity supply bridge contract expires in June 2022, so a new contract is needed for service from July 2022. The DA electricity market is very dynamic, and costs are currently at higher than normal levels. OC San also has significant electrical opportunity/flexibility with its Central Generation facilities, batteries, natural gas purchasing, and digester gas creation. Different contract types may be advantageous over time and with little notice due to market conditions. PROPOSED SOLUTION Enter into Master Service Agreements with qualified proposers to allow for future flexibility for electricity supply management. Authorize the General Manager and Purchasing Manager to execute individual Transaction Agreements with any of the three proposers, as needed for effective management of OC San energy supply and usage. This will allow staff to adapt to market conditions and more creatively utilize its electrical assets to minimize cost and resilience. TIMING CONCERNS The current electricity supply contract is intended as a short-term transition while a long-term contract can be arranged. The current contract expires at the end of June 2022. RAMIFICATIONS OF NOT TAKING ACTION Another short-term electricity supply contract could be executed, but the terms might be less favorable than a long-term contract would provide. Orange County Sanitation District Page 2 of 3 Printed on 5/17/2022 powered by LegistarTM File #: 2022-2316 Agenda Date: 5/25/2022 Agenda Item No: 10. PRIOR COMMITTEE/BOARD ACTIONS December 2021 - Approved Orange County Sanitation District's participation in the Southern California Edison DA Program, authorized the General Manager to select an energy service provider and execute a DA Purchase Contract with a registered vendor for the period of January 11, 2022 to June 30, 2022, in a form approved by General Counsel, and directed staff to initiate the procurement of a long-term direct access purchase agreement for continuation of service for Board approval by June 30, 2022. ADDITIONAL INFORMATION OC San requested and advertised for requests for qualifications for Long Term Electricity Suppliers on February 25, 2022. Statements of Qualifications were received from three energy providers on March 18, 2022. The submittals were reviewed for completeness and the proposed forms of contract were reviewed by OC San legal counsel. All three proposers were found responsive and qualified to provide service. In December 2021, the Board of Directors approved entering into a Master Service Agreement with Shell Energy Solutions, which is still in effect. Staff recommends also entering into Master Service Agreements with the other two qualified proposers. This will allow staff to adapt to market conditions and more creatively utilize its electrical assets to minimize cost and resilience, by entering into a Transaction Agreement with any of the successful proposers, as needed. On April 7, 2022, the three qualified proposers were requested to submit weekly indicative pricing for electricity supply. To date, Shell Energy Solutions has consistently provided the lowest pricing. Proposers will continue to submit pricing weekly until May 17, 2022. OC San will review the pricing to determine the appropriate supplier to execute an initial Transaction Agreement prior to June 30, 2022. CEQA N/A FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San's Purchasing Ordinance. This item has been budgeted. In the longer term, staff anticipates lower costs with DA program participation. ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Master Service Agreement - Constellation NewEnergy • Master Service Agreement - NRG/Direct Energy • Master Service Agreement - Shell Energy Solutions Orange County Sanitation District Page 3 of 3 Printed on 5/17/2022 powered by LegistarTM Adlmw AdENOW Amow Constellation MASTER RETAIL ELECTRICITY SUPPLY AGREEMENT This Master Retail Electricity Supply Agreement("Master Agreement"or"Agreement") is entered as of , 20_ ("Effective Date") by and between Orange County Sanitation District("Customer"or"Buyer") and Constellation NewEnergy, Inc. ("Constellation"or"Seller"). Constellation and Customer are sometimes referred to individually as a "Party"and collectively as the "Parties." This Master Agreement sets forth the general terms and conditions governing transactions for the purchase and sale of electricity and related products and services to one or more of Customer's accounts (each an"Account")as agreed to from time to time (each a "Transaction"). Each Transaction shall be evidenced by a pricing schedule, rider or other form of transaction confirmation(each a "TC"or"Confirmation").This Master Agreement and each TC executed pursuant hereto shall constitute a single integrated agreement between the Parties (collectively referred to as the "Agreement"). Any conflict between the terms and conditions of this Master Agreement and any TC shall be resolved in favor of the TC. The Parties intend that they are legally bound by the terms of each TC from the moment each Party agrees to those terms, whether via (i) e-mail transmission solely by designated authorized persons listed below under the Parties'signature,or(ii)a duly executed,written TC.Nothing in this Master Agreement obligates either Party to enter into a TC at any time. 1. Constellation and Customer Obligations. Constellation shall sell and supply, and Customer shall purchase and receive, Customer's full requirements for electricity for each Account identified in a TC. Constellation, in its sole discretion, may select such sources of energy as it deems appropriate to meet its obligations under the Agreement. Furthermore, Constellation shall enroll each Account with the applicable UDC as being supplied by Constellation and shall take such other actions with the applicable UDC and ISO necessary for Constellation to meets its obligations under the Agreement. "UDC"or"Utility" means the local utility distribution company owning and/or controlling and maintaining the distribution system required for delivery of electricity to an Account. "ISO" means the independent system operator or regional transmission organization responsible for the service territory governing an Account,or any successor or replacement entity. 2. Term of Master Agreement. The term of this Master Agreement will commence on the Effective Date and, unless terminated earlier as provided in this Master Agreement,will continue until terminated by either Party upon 30 days prior written notice to the other; provided any TC will continue to be governed by this Master Agreement until the TC has been separately terminated or expired. Term of TC. The term of each TC (which may also be identified as a Delivery Period) shall commence on or about the date set forth under "Start Date", and end on or about the date set forth under"End Date"in accordance with the terms of this Master Agreement. The actual Start Date is dependent on the UDC successfully enrolling the Account(s)and furnishing Constellation with all necessary information regarding the Account(s)meter read cycle and meter read date(s). The dates set forth in the TC reflect UDC information available at that time or as otherwise estimated by Constellation. The actual meter read dates may occur on or about the dates set forth in the TC. Constellation will use commercially reasonable efforts to begin service to each Account(s)on the actual meter read date on or about the Start Date set forth in a TC. If Constellation is unable to timely enroll an Account, the Start Date will commence on the next regularly scheduled UDC meter read cycle date following successful enrollment. The End Date will remain the same unless extended for a holdover term. Constellation shall not be liable for any failure io enroll or drop an Account by the Start and End Date due to circumstances beyond its control. 3. Information and Authorization. Customer hereby authorizes Constellation to take such actions it deems necessary to enroll the Account(s) with the UDC as to be served by Constellation and to otherwise meet its obligations under the Agreement. Customer's signature on a TC or acceptance of terms via e-mail transmission constitutes its written authorization for Constellation to obtain from time to time from the UDC and ISO all current and historical energy billing, usage data and other related information. Customer shall take any actions,execute any documents and provide any information as Constellation reasonably requires. 4. Billing and Payment. Billing. After receiving Customer's usage for the Accounts, Customer will be billed for electricity usage and related products and services supplied under the Agreement in one of the following ways based on availability and eligibility of Customer's Account(s), which may change from time to time: (a) Dual Billing: Customer will receive two invoices, one from Constellation for the Electricity Charge and one from the UDC for the amounts payable by Customer for services provided by the UDC("Delivery Charges");(b) UDC/Utility Consolidated Billing: Customer will receive one invoice from the UDC that includes both the Electricity Charge and the Delivery Charges; or (c) Constellation Consolidated Billing: Customer will receive one invoice from Constellation that includes both the Electricity Charge and the Delivery Charges. "Electricity Charge" means the product of(i) the fixed or variable price for electricity, and other related fixed and/or pass through charges for related products and services supplied,as set forth in the TC for each Account;and(ii)the billing units associated with such charges during the applicable period. Taxes. Customer shall pay all federal, state, municipal and local taxes, duties, fees, levies, premiums or other charges imposed by any governmental authority, directly or indirectly, on or with respect to the electricity and related products and services provided under the ©2020 Constellation Energy Resources,LLC.All rights reserved.Errors and omissions excepted. FORM:Siebel— -1 Page-1-of 61 Printed. xxlxxlxxxxl E12166 I Std.MRESA 2.0_September 2017 Agreement,including any taxes enacted after the Effective Date(collectively,"Taxes"). Constellation will apply all appropriate Taxes unless and until Customer provides a valid certification of tax exempt status. Each Party shall indemnify, defend and hold harmless the other Party from and against any Taxes for which the indemnifying Party is responsible. All Taxes invoiced to Customer under the Agreement will be included on the invoice or in the applicable fixed price as allowed by Law. Estimates.Constellation's ability to invoice Customer is dependent on the UDC's or ISO's ability to timely furnish Constellation with all necessary information, including Customer's metered usage. When there is a delay in receiving information from the UDC, ISO and/or other third parties, Constellation will, to the extent necessary, estimate charges and credits for a billing period and reconcile such estimates against actual charges and credits in a future invoice(s). Each invoice is also subject to adjustment for errors in arithmetic,computation,meter readings or other errors. Interest shall not accrue on such adjustments. For charges based on metered usage,if an Account is not equipped with meters that provide an hourly reading,Constellation will use either applicable load profiles provided by the UDC or, in their absence,an otherwise reasonable allocation method. Payment. Constellation's invoices will be sent to Customer in accordance with Constellation's normal billing cycle, as adjusted from time to time consistent with the applicable UDC's meter read dates. The invoices will state any applicable Electricity Charge, Delivery Charges,Taxes and other amounts related to the purchase and delivery of electricity. Constellation's invoices are due and payable on the thirtieth 30t" day after the invoice date, or such other date as required by Law or as set forth in a TC ("Payment Date") without offset or reduction of any kind to the address on the invoice. If Customer disputes any invoice amount, Customer shall nonetheless pay the entire invoice amount when due. Upon resolution of a dispute, Constellation shall pay any agreed-to refund to Customer. Invoices not paid on or before the Payment Date will accrue interest daily on outstanding amounts from the Payment Date until paid in full,at the lesser of 1.5%per month or the highest rate permitted by Law. All invoices(including adjustments thereto)are conclusively presumed final and accurate unless such invoices are objected to by either Party in writing, including adequate explanation and/or documentation, within 24 months after the date such invoice was rendered, provided however, Constellation may rebill based on post-period audits or adjustments made by the ISO, UDC, or other governmental authority, commission or agency with jurisdiction in the state in which the Accounts are located. 5. Holdover. If following termination or expiration of a TC (whether in whole or in part), for any reason, some or all of the Accounts remain designated by the UDC as being supplied by Constellation,Constellation may continue to serve such Account(s)on a month-to-month holdover basis. During such holdover term, Constellation will calculate Customer's invoice as follows: (Each Account's metered usage, as adjusted by the applicable line loss factor(s))times(the applicable ISO-published Real Time or Day Ahead Locational Based Marginal Price("LMP")identified in each TC+the$/kWh holdover fee set forth in each TC)+(a pass through of all costs and charges incurred by Constellation for the retail supply of electricity to Customer) + Taxes. This Master Agreement will continue to govern the service of such Account(s) during such holdover term. Either Party may terminate the holdover term at any time within its discretion at which time Constellation will drop each Account as of the next possible meter read date to the then-applicable tariff service,whether default service or otherwise. 6. Adequate Assurance. If Constellation has reasonable grounds: (i) to believe that Customer's creditworthiness has become unsatisfactory;or (ii) for insecurity with respect to Customer's performance under the Agreement, Constellation may demand, in writing, adequate assurance of future performance from Customer in a form, in an amount, from an issuer, and for a term, all as reasonably satisfactory to Constellation ("Adequate Assurance").To satisfy a demand, Customer shall provide Adequate Assurance to Constellation within 3 Business Days of the date of the written demand. "Business Day" means any day except a Saturday, Sunday, or a Federal Reserve Bank holiday and shall open at 8:00 a.m.and close at 5:00 p.m.Eastern Prevailing Time. 7. Event of Default. An "Event of Default" means any one of the following:any representation or warranty made by a Party in the Agreement is false or misleading in any material respect when made or ceases to remain true in all material respects during the term of the Agreement, if not cured within 5 Business Days after written notice from the other Party; (c) Customer fails to provide Adequate Assurance as provided in the Agreement; (d) the failure by a Party to perform any material obligation set forth in the Agreement(other than the events that are otherwise specifically covered as a separate Event of Default hereunder)where such failure is not cured within 5 Business Days after receipt of written notice thereof; (e) either Party terminates the Agreement and/or any TC(or service to certain Account(s)under a TC)before the End Date of an effective TC for any reason other than Force Majeure or for a termination resulting from an Event of Default committed by the other Party; or(f) a Party: (i) makes an assignment or any general arrangement for the benefit of creditors; (ii) has a liquidator, administrator, receiver, trustee, conservator or similar official appointed for it or any substantial portion of its property or assets (iii) files a petition or otherwise commences, authorizes or acquiesces in the commencement of a proceeding or cause of action under any bankruptcy, insolvency, reorganization or similar law for the protection of creditors, or has such petition filed against it; (iv) otherwise becomes bankrupt or insolvent (however evidenced); (v) is unable to pay its debts as they fall due;or(vi)is dissolved(other than pursuant to a consolidation,amalgamation or merger). 8. Remedies Upon Event of Default. If an Event of Default occurs with respect to a Party (the "Defaulting Party"), the other Party (the "Non- Defaulting Party") may in addition to all remedies available to it at Law or in equity, in its discretion, at any time, (A) (i) suspend any deliveries hereunder and/or(ii) terminate the Agreement in whole or solely with respect to those Accounts adversely affected by such Event of Default, upon written notice to the Defaulting Party setting forth the effective date of termination (the "Early Termination Date") and/or (B) calculate a termination payment in good faith as described below.The Early Termination Date for any Accounts located in New York shall be no less than 15 calendar days from the date of written notice of termination and for any Accounts located in New Jersey shall be no less than 30 calendar ©2020 Constellation Energy Resources,LLC.All rights reserved.Errors and omissions excepted. FORM:Siebel— Page-2-of 61 Printed. xxlxxlxxxxl E12166 I Std.MRESA 2.0_September 2017 days from the date of written notice of termination. The Non-Defaulting Party will in good faith calculate a termination payment.The Defaulting Party shall pay such termination payment together with any other amounts due as of such date to the Non-Defaulting Party within 3 Business Days of receipt of notice of the amount of the termination payment.The Parties acknowledge and agree that any termination payment under the Agreement constitutes a reasonable approximation of harm or loss, and is not a penalty or punitive in any respect. If Customer's property associated with an Account receiving electricity supply hereunder is closed, vacated, sold or otherwise disposed of by Customer, then either Party may terminate the TC with respect to such Account upon 30 days written notice to the other Party, in which event Customer shall make a termination payment to Constellation calculated in accordance with the next paragraph of this Section 8. If Customer is the Defaulting Party,the termination payment shall be equal to the sum of: (i)the positive difference, if any, between the Energy Price or Retail Service Price set forth in the applicable TC and the Market Price, multiplied by the estimated undelivered volume of electricity which Customer would consume from the Early Termination Date through the original term of the TC,as reasonably calculated by Constellation; (ii)Constellation's Costs;and(iii)any unpaid amounts due from Customer to Constellation. If Constellation is the Defaulting Party, the termination payment shall be equal to the sum of: (i) the positive difference, if any, between the Market Price and the Energy Price or Retail Service Price set forth in the applicable TC, multiplied by the estimated undelivered volume of electricity which Customer would consume from the Early Termination Date through the original term of the TC, as reasonably calculated by Customer;(ii)Customer's Costs; minus(iii)any unpaid amounts due from Customer to Constellation. "Costs" means, with respect to the Non-Defaulting Party, brokerage fees, commissions and other similar transaction costs and expenses reasonably incurred by such Party as a result of the Event of Default.The"Market Price"shall be the price of electricity and services as of the Early Termination Date under terms substantially similar to those of the applicable terminated TC.The Non-Defaulting Party may determine the Market Price of a terminated transaction by reference to information either available to it internally or supplied by one or more third parties.The Non-Defaulting Party shall not be required to enter into a replacement transaction in order to determine or be entitled to a termination payment. Except for any unpaid amounts due prior to the Early Termination Date, no termination payment shall be owed by the Non-Defaulting Party to the Defaulting Party. 9. Change in Law. Constellation may pass through or allocate,as the case may be,to Customer any increase or decrease in Constellation's costs related to the electricity and related products and services sold to Customer that results from the implementation of new,or changes(including changes to formula rate calculations)to existing,Laws,or other requirements or changes in administration or interpretation of Laws or other requirements."Law"means any law,rule,regulation,ordinance,statute,judicial decision,administrative order, ISO business practices or protocol,UDC or ISO tariff,rule of any commission or agency with jurisdiction in the state in which the Accounts are located. Such additional amounts will be included in subsequent invoices to Customer. 10. Representations and Warranties. Each Party warrants and represents to the other(now and deemed repeated by each Party on each date on which a TC is executed and delivered)that: (i) it is duly organized,validly operating and in good standing under the Laws of the jurisdiction of its formation; (ii) it is authorized and qualified to do business in the jurisdictions necessary to perform under the Agreement; (iii) execution, delivery and performance of the Agreement are duly authorized and do not violate any governing documents or any of its contracts or any applicable Law; (iv) there is no material event(s) or agreement(s) which would impair that Party's right, authority or ability to execute the Agreement and otherwise perform under the Agreement;and(v)it has the knowledge and experience to evaluate the merits and risks associated with the Agreement. Furthermore,Customer warrants,represents and covenants that: (i)the data given and representations made concerning its Account(s)are true and correct; (ii) it is entering into the Agreement to purchase its energy requirements only and not for speculative or resale purposes;and that the energy purchased under the Agreement will be consumed at the facilities to which the Account(s)relate; and (iii) it is the party of record of the Account(s),or if it is not the party of record, it has the authority to enter into and bind the party of record to the Agreement. If Customer is a Governmental Entity, Customer represents and warrants that it has complied with all applicable bidding and procurement laws in awarding this Agreement and any TC hereunder,and covenants:(i)it will not claim immunity on the grounds of sovereignty or similar grounds from enforcement of the Agreement;and(ii)it will obtain all necessary budgetary approvals,appropriations and funding for all of its obligations under the Agreement, the failure of which shall not be an excuse for Governmental Entity's performance or failure to perform hereunder and upon request will provide proof of such authority. "Governmental Entity" means a municipality, county, governmental board or department, commission, agency, bureau, administrative body,joint action agency, court or other similar political subdivision (including a public school district or special purpose district or authority),or public entity or instrumentality of the United States or one or more states. 11. Force Majeure. Notwithstanding any other provision of the Agreement,if a Party is unable to carry out any obligation under the Agreement due to a Force Majeure (other than a payment obligation, which shall not be excused for Force Majeure), the Agreement will remain in effect but such obligation will be suspended for the duration of the Force Majeure, provided: (i) the claiming Party notifies the other Party as soon as possible in writing of the particulars of the Force Majeure; (ii) suspension of performance is of no greater scope and duration than required by the Force Majeure; and (iii) the claiming Party uses commercially reasonable efforts to remedy its inability to perform. If the Force Majeure continues for a period of 30 days or more, or where it is impossible or impracticable for the claiming Party to carry out any obligation under the Agreement due to the Force Majeure either Party may terminate the Agreement with respect to the Accounts adversely affected by the Force Majeure upon 15 days prior written notice."Force Majeure"means an event not within the reasonable control of the Party claiming Force Majeure and that by the exercise of due diligence, such Party is unable to prevent or overcome in a commercially reasonable manner. Force ©2020 Constellation Energy Resources,LLC.All rights reserved.Errors and omissions excepted. FORM:Siebel— Page-3-of 61 Printed. xxlxxlxxxxl E12166 I Std.MRESA 2.0_September 2017 Majeure includes, but is not limited to, acts of God; fire; war; terrorism; flood; earthquake; civil disturbance; sabotage; facility failure; strike; curtailment, disruption or interruption of distribution, transmission, or supply; declaration of emergency by the UDC or ISO; regulatory, administrative, or legislative action, or action or restraint by court order or governmental authority; or any act or omission of a third party not under the control of either Party. Force Majeure shall not include loss or failure of either Party's markets or supplies. 12. Limitations. Notwithstanding any other provision of the Agreement to the contrary, neither Party nor their respective officers, directors, shareholders,associates,employees, agents, representatives,successors and assigns, shall be liable to the other Party for any consequential, exemplary,special, incidental,or punitive damages(including,without limitation, lost opportunities or lost profits) not contemplated by Section 8 above which are connected with or resulting from claims, losses, expenses (including reasonable attorneys'fees and court costs), damages, demands, judgments, causes of action or suits of any kind, arising out of, or in connection with, the performance or non-performance of a Party's obligations under the Agreement ("Claims"). The entire liability of each Party for any and all Claims will be limited to direct actual damages only as calculated pursuant to Section 8 above,subject in all cases to an affirmative obligation of each Party to mitigate its damages. Customer acknowledges and agrees that title passes from Constellation to Customer at the ISO/UDC interconnect, the UDC and ISO are exclusively responsible for the energy transmission and delivery system, that Constellation has no independent control over their systems and will have no liability for any of their acts or omissions. 13. DISCLAIMER. CUSTOMER ACKNOWLEDGES AND AGREES THAT NO WARRANTY, DUTY, OR REMEDY, WHETHER EXPRESSED, IMPLIED, OR STATUTORY, IS GIVEN OR INTENDED TO ARISE OUT OF THE AGREEMENT EXCEPT AS OTHERWISE EXPRESSLY STATED HEREIN, AND CONSTELLATION SPECIFICALLY DISCLAIMS ALL OTHER WARRANTIES, EXPRESSED OR IMPLIED, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. 14. Waiver and Severability. Failure to provide notice of, or object to, any default under the Agreement will not operate or be construed as a waiver of any future default, whether like or different in character. If any portion of the Agreement, or application thereof to any person or circumstance,is held legally invalid,the remainder will not be affected and will be valid and enforced to the fullest extent permitted by law and equity,and there will be deemed substituted for the invalid provisions such provisions as will most nearly carry out the mutual intent of the Parties as expressed in the Agreement to the fullest extent permitted by applicable Law; provided, however, that this severability provision will not be applicable if any provision of Sections 7 and 8 of this Master Agreement(or any definition or provision in the Agreement to the extent it relates to,or is used in connection with,such sections)is held invalid or unenforceable. 15. Assignment. Customer may assign all its rights and obligations under the Agreement; provided(A) it gives Constellation 45 days prior written notice of its intent to do so; (B) the assignee satisfies in full Constellation's credit requirements; (C) the assignee assumes in writing all of Customer's obligations under the Agreement;and(D)Customer continues to be liable for performance,including payment for goods and services received, prior to the assignment date. Constellation may assign, sell, pledge, transfer, or encumber any of its rights and obligations under the Agreement or the accounts,revenues,or proceeds hereof to any:(A)bank,insurer,or other financial institution;(B)person or entity(i)succeeding to all or substantially all of Constellation's assets or business or the division or region of Constellation to which the Agreement relates or(ii)into which Constellation is merged or otherwise combined or reorganized;provided(with respect to this clause(B))the succeeding entity agrees to be bound to the Agreement;or(C)affiliate. 16. Confidentiality. Each Party agrees to keep all terms of the Agreement and related communications(including pricing)confidential to the extent not otherwise publicly available and not to disclose them to any third parties without the prior written consent of the other Party, except as otherwise required by Law. Each Party may disclose such information to its affiliates and to its affiliates'employees,agents,advisors, and on a need to know basis to its independent contractors, provided each such recipient agrees to hold such information in confidence. Constellation may disclose information regarding Customer to third parties that are representing Customer in the purchase of energy or related services. Furthermore, Constellation may make such other disclosures to third parties, including aggregate consumption data, provided they cannot be reasonably expected to specifically identify Customer. If disclosure of confidential information is sought through a court, or a state or federal regulatory agency or other legal compulsion,the Party receiving such request will notify the other Party immediately to afford it the opportunity to oppose such disclosure via a protective order or other relief as may be available and will provide reasonable support. 17. Choice of Law, Venue,Attorney Fees and Expenses. The Agreement will be governed and interpreted in accordance with the laws of the state in which such Account is located (provided that the governing jurisdiction shall be deemed to be the State of California if the matter at issue involves Accounts or matters in more than one state), without giving effect to conflict of law principles. Any controversy or claim arising from or relating to the Agreement will be settled in accordance with the express terms of the Agreement by a court located in the governing jurisdiction (and each Party hereto waives any right to object to venue in this regard). TO THE EXTENT ALLOWED BY APPLICABLE LAW, EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT SUCH PARTY MAY HAVE TO A TRIAL BY JURY OR TO INITIATE OR BECOME A PARTY TO ANY CLASS ACTION CLAIMS IN RESPECT OF ANY ACTION, SUIT OR PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THE AGREEMENT OR THE TRANSACTIONS CONTEMPLATED BY THE AGREEMENT. If either Party pursues court action to enforce its rights under the Agreement,the non-prevailing Party shall promptly reimburse the prevailing Party for all its reasonable attorney fees,expenses and costs. 18. Notices. To be effective, all notices must be in writing delivered by hand, by certified mail return receipt requested, or by first class mail, or express carrier to the addresses provided in the TC. Notice by hand delivery shall be effective on the delivery date. All other notices shall be ©2020 Constellation Energy Resources,LLC.All rights reserved.Errors and omissions excepted. FORM:Siebel— Page-4-of 61 Printed. xx1xxlxxxx1 E12166 I Std.MRESA 2.0_September 2017 effective on the delivery date or the date delivery is attempted. A Party may change its address by providing notice of such change in accordance herewith. An authorized person may also name other authorized persons via email. 19. Miscellaneous. The Agreement embodies the Parties' entire agreement and understanding, supersedes all prior agreements and understandings (whether written or oral) regarding the subject matter of the Agreement, and may not be contradicted by any prior or contemporaneous oral or written agreement. A facsimile or e-mailed copy of either Party's signature will be considered an original for all purposes under the Agreement,and each Party will provide its original signature upon request. Each Party authorizes the other Party to affix an ink or digital stamp of its signature to this Master Agreement and any TC, and agrees to be bound by a document executed in such a manner. No amendment or edits to the Agreement, including the TC(s) or any purchase orders, will be valid or given any effect unless signed by both Parties. The applicable provisions of the Agreement will continue in effect after termination or expiration hereof to the extent necessary, including but not limited to providing for final billing, billing adjustments and payments, limitations of liability, the forum and manner of dispute resolution. The section headings used in this Master Agreement are for reference purposes only and will in no way affect the meaning of the provisions of this Master Agreement. The Parties acknowledge that any document generated by the Parties with respect to the Agreement, including the Agreement, may be imaged and stored electronically and such imaged documents may be introduced as evidence in any proceeding as if such were original business records and neither Party shall contest their admissibility as evidence in any proceeding.The rights, powers, remedies and privileges provided in the Agreement are cumulative and not exclusive of any rights, powers, remedies and privileges provided by Law. Constellation shall have the right to set-off and net against any amounts owed to it under the Agreement, including without limitation any termination payment,any amounts owed by Constellation to Customer under the Agreement or any other agreement between the Parties,including without limitation any Adequate Assurance.Except for Section 12 above,no third party will have any rights under the Agreement whatsoever and Customer will be fully responsible for any compensation owing any third party representing Customer in connection with the Agreement and will indemnify,defend and hold Constellation harmless from all related Claims. 20. Affirmation; Acknowledgements. Customer affirms that it has read the Agreement in its entirety and agrees to the terms and conditions contained herein. Any ambiguity or question of intent or interpretation under the Agreement will be construed as if drafted jointly by the Parties, and no presumption or burden of proof will arise favoring or disfavoring either Party by virtue of the authorship of any of the provisions of the Agreement.The Parties acknowledge and agree that:(i)Constellation is an independent contractor under the Agreement and except as otherwise explicitly provided in the Agreement, neither Party has the authority to execute documents that purport to bind the other, and nothing in the Agreement will be construed to constitute a joint venture, fiduciary relationship, partnership or other joint undertaking; (ii) the Agreement and TCs entered into hereunder will constitute"forward contracts"under the U.S.Bankruptcy Code,as amended,the rights of the Parties under Section 8 above will constitute contractual rights to liquidate them, and the Parties are entities entitled to the rights and protections afforded to"forward contracts"by the U.S. Bankruptcy Code; (iii) Constellation is not Customer's consultant or advisor for any purpose including advice regarding the value or advisability of trading in "commodity interests"as defined in the Commodity Exchange Act, 7 U.S.C. §§ 1-25, et seq., as amended ("CEA"), including futures contracts and commodity options or any other activity which would cause Constellation or any of its affiliates to be considered a commodity trading advisor under the CEA; and (iv) Customer is making its own decisions based solely upon its own analysis and the advice of its own advisors,if any. *Signature page to follow* ©2020 Constellation Energy Resources,LLC.All rights reserved.Errors and omissions excepted. FORM:Siebel— Page-5-of 61 Printed. xxlxxlxxxxl E12166 I Std.MRESA 2.0_September 2017 IN WITNESS WHERE OF,the Parties have executed this Master Agreement through their duly authorized representatives as of the Effective Date. Constellation NewEnergy,Inc. Customer: Signature: John B. Withers Signature: Printed Name: Board Chairman Title: Date: May 25,2022 Printed Name: Attest: Title: Date: Printed Name: Kelly A. Lore Title: Clerk of the Board Signature: Title: Ruth Zintzun, Purchasing Manager email: rzintzun@ocsan.gov Constellation Authorized Persons: Commodities Management Group: 1-800-243-2113;cmg@constellation.com Transaction Group:#emailtransactions@constellation.com Notices for Constellation entities: Address: 1001 Louisiana Street Constellation Suite 2300 Houston,TX 77002 Phone:(844)-6-ENERGY Facsimile: ©2020 Constellation Energy Resources,LLC.All rights reserved.Errors and omissions excepted. FORM:Siebel— Page-6-of 61 Printed. xxlxxlxxxxl E12166 I Std.MRESA 2.0_September 2017 SIM Direct Energy NA Business This Commodity Master Agreement("CMA") among Direct Energy Business, LLC, Direct Energy Business Marketing, LLC d/b/a Direct Energy Business, (collectively "Seller"), each a Delaware limited liability company, and ("Buyer" or "Customer") (each a "Party" and collectively, the"Parties") is entered into and effective as of May 17, 2022. 1. Transactions: The terms of this CMA apply to all end-use sales of electric power and/or natural gas as applicable (each a "Commodity" and collectively, the "Commodities"), by the applicable Seller to Buyer (each sale a "Transaction") which will be memorialized in a transaction confirmation signed by both Parties(each a"Transaction Confirmation"). Each Transaction Confirmation shall set forth the Seller party providing service to Customer for such Transaction. This CMA, any amendments to this CMA and related Transaction Confirmation(s) (together, a single integrated, "Agreement") is the entire understanding between Parties with respect to the Commodities and supersedes all other communication and prior writings with respect thereto; no oral statements are effective. 2. Performance: Buyer is obligated to purchase and receive, and Seller is obligated to sell and provide, the Contract Quantity of Commodity specified in a Transaction Confirmation. Buyer will only use the Commodity at the listed Service Locations in the applicable Transaction Confirmation and will not resell the Commodity. 3. Term: The Delivery Period and any Renewal Term are set forth in the applicable Transaction Confirmation. This CMA shall remain in effect until terminated by either Party pursuant to Section 14 or as otherwise terminated by either Party for convenience upon at least 30 days' prior written notice; provided, however,that this CMA will remain in effect with respect to Transactions entered into prior to the effective date of the termination until both Parties have fulfilled all outstanding obligations. 4. Purchase Price: Buyer will pay the Purchase Price stated in each Transaction Confirmation, subject to Sections 5 and 10. If the Purchase Price incorporates an index and the index is not announced or published on any day for any reason or if the Seller reasonably determines that a material change in the formula for or the method of determining the Purchase Price has occurred, then the Parties will use a commercially reasonable replacement price calculated by the Seller. 5. Changes to Purchase Price: In the event there is a change to any tariff, law, order, rule, tax, regulation, transmission rate, or any LDC, EDC or ISO changes to supplier obligations to serve, which increase Seller's costs, the Purchase Price may be adjusted by Seller to include such costs. 6. Billing and Payment: Seller will invoice Buyer for the Actual Quantity of Commodity and for any other amounts for which Buyer is responsible under this Agreement. Except as otherwise set forth herein, payment is due within days of the date of the invoice. If Seller cannot verify the Actual Quantity at the time an invoice is issued, Seller will estimate the Actual Quantity. Seller will adjust Buyer's account following (i) confirmation of the Actual Quantity, (ii) any Utility adjustment or(iii) any other corrections or adjustments, including adjustments to,or re-calculation of Taxes. Buyer will pay interest on late payments for any amount due under this Agreement at % per month or, if lower, the maximum rate permitted by law ("Interest Rate"). Buyer is also responsible for all costs and fees, including reasonable attorney's fees, incurred in collecting any amounts owed to Seller and any fee charged to Seller for insufficient funds of Buyer. "Actual Quantity"means the actual quantity of Commodity that is either delivered or metered,as applicable,to Buyer's account. "Utility" means a state regulated entity engaged in the distribution of the applicable Commodity. 7. Taxes: The Purchase Price does not include Taxes that are or may be the responsibility of the Buyer, unless such inclusion is required by law. Buyerwill reimburse Seller for any Taxes that Seller is required to collect and pay on Buyer's behalf and will indemnify, defend and hold Seller harmless from any liability against all Taxes for which Buyer is responsible. Buyer must provide Seller with any applicable Tax exemption documentation and Buyer will be liable for any Taxes assessed against Seller because of Buyer's failure to timely provide or properly complete any such documentation. "Taxes" means all applicable federal, state and local taxes, including any associated penalties and interest and any new taxes imposed in the future during the term of this Agreement. Liabilities imposed in this Section will survive the termination or expiration of this Agreement. 8. Disputes: If either Party in good faith disputes amounts owed hereunder, the disputing Party will contact the non-disputing Party in writing and pay the undisputed amount by the payment due date. The Parties will have 15 Business Days to negotiate a resolution. If such dispute is not resolved, the disputing Party will pay the balance of the original invoice and either Party may exercise any remedy available to it at law or equity. "Business Day" means any day on which banks are open for commercial business in New York, New York; any reference to "day(s)" means calendar days. 9. Title and Risk of Loss: Title to, possession of and risk of loss to the Commodity will pass to Buyer at the Delivery Point specified in the applicable Transaction Confirmation. 10. Material Deviation: Seller may in its sole discretion pass through to Buyer any losses and/or costs incurred by Seller related to a deviation of +/-25% from Contract Quantity (or, as applicable, estimated Contract Quantities) stated in the applicable Transaction Confirmation (which is not caused by weather). 11. Force Majeure: Other than payment obligations,a Party claiming Force Majeure will be excused from its obligations under Section 2 only if it provides prompt notice of the Force Majeure, uses due diligence to remove its cause and resumes performance as promptly as reasonably possible. During a Force Majeure, Buyer will not be excused from its responsibility to pay for Balancing Charges nor from its responsibility to pay for Commodity received. "Force Majeure" means a material, unavoidable occurrence beyond a Party's control, and does not include inability to pay, an increase or decrease in Taxes or the cost of Commodity, the economic hardships of a Party, the full or partial closure of Buyer's facilities, unless such closure itself is due to Force Majeure. 6/9/2020 6:55 PM Page 1 of 9 12. Financial Responsibility: Seller's entry into this Agreement and each Transaction is conditioned on Buyer, its parent, any guarantor or any successor maintaining its creditworthiness during the Delivery Period and any Renewal Term. When Seller has reasonable grounds for insecurity regarding Buyer's ability or willingness to perform all of its outstanding obligations under any agreement between the Parties, Seller may require Buyer to provide adequate assurance,which may include, in the Seller's discretion, security in the form of cash deposits, prepayments, letters of credit or other guaranty of payment or performance("Credit Assurance"). 13. Default: "Default" means: (i)failure of either Party to make payment by the applicable due date and the payment is not made within Business Days of a written demand; (ii)failure of Buyer to provide Credit Assurance within Business Days of Seller's demand; (iii)any representation or warranty made by a Party in this Agreement proves to have been false or misleading in any material respect when made or ceases to remain true and such breach is not cured within 15 Business Days after written notice; (iv) a secured party has taken possession of all or any substantial portion of its assets or is dissolved or has a resolution passed for its winding-up, official management or liquidation (other than pursuant to a consolidation or merger; (v)failure of a Party to fulfill any of its obligations in this Agreement(except as otherwise provided in subsections (i), (ii) (iii) and (iv) hereof)and such failure is not cured within 15 Business Days after written notice; provided that no cure period or demand for cure applies to an early termination of a Transaction Confirmation by Buyer or under Section 15(A)(iii). 14. Remedies: In the event of a Default, the non-defaulting Party may: (i)withhold any payments or suspend performance; (ii) accelerate any amounts owing between the Parties and terminate any Transactions and/or this Agreement between the Parties and/or their affiliates; (iii) calculate a settlement amount by calculating all amounts due to Seller for Actual Quantity and the Close-out Value for each Transaction being terminated;and/or(iv) net or aggregate all settlement amounts and all other amounts owing between the Parties and their affiliates under this Agreement and other energy-related agreements between them and their affiliates, whether or not due and whether or not subject to any contingencies, plus costs, into one single amount ("Net Settlement Amount"). Any Net Settlement Amount due from the defaulting Party to the non-defaulting Party will be paid within 3 Business Days of written notice from the non-defaulting Party. Interest on any unpaid portion of the Net Settlement Amount will accrue daily at the Interest Rate. "Close-out Value" is the sum of(a)the amount due to the non-defaulting Party regarding the Contract Quantities (or, as applicable, estimated Contract Quantities) remaining to be delivered as stated in the applicable Transaction Confirmation(s) during the Delivery Period or, if applicable, the current Renewal Term, calculated by determining the difference between the Purchase Price and the Market Price for such quantities; and (b)without duplication, any net losses or costs incurred by the non-defaulting Party for terminating the Transaction(s), including costs of obtaining, maintaining and/or liquidating commercially reasonable hedges, Balancing Charges and/or transaction costs. "Market Price" means the price for similar quantities of Commodity at the Delivery Point during the Delivery Period or Renewal Term. For purposes of determining Close-out Value, Market Price may be established by Seller through information available to Seller internally or through third parties. The Parties agree that Close-out Value constitutes a reasonable approximation of damages and is not a penalty or punitive in any respect. Physical liquidation of a Transaction or entering into a replacement transaction is not required to determine Close-out Value or Net Settlement Amount. The defaulting Party is responsible for all costs and fees incurred for collection of Net Settlement Amount, including, reasonable attorney's fees and expert witness fees. 15. Representations, Warranties and Covenants: Each of the following are deemed to be repeated each time a Transaction is entered into and during the Delivery Period and any Renewal Period: A. Each Party represents that: (i) it is duly organized, validly existing and in good standing under the laws of the jurisdiction of its formation and is qualified to conduct its business in those jurisdictions necessary to perform to this Agreement; (ii) the execution of this Agreement is within its powers, has been duly authorized and does not violate any of the terms or conditions in its governing documents or any contract to which it is a party or any law applicable to it; and (iii) there are no bankruptcy, insolvency, reorganization, receivership or other similar proceedings pending or being contemplated by it, its parent or guarantor or to its knowledge, threatened against it, its parent or guarantor. B. Buyer represents, warrants and covenants that: (i) it is not a residential customer; (ii) execution of this Agreement initiates enrollment and service for the Delivery Period and any Renewal Term; (iii) if it is the person or entity executing this Agreement is doing so in its capacity as an agent, such Party represents and warrants that it has the authority to bind the principal to all the provisions contained herein and agrees to provide Seller true, correct and complete documentation of such agency relationship, and (iv) (a) it has and will provide, to Seller, all information reasonably required to substantiate its usage requirements; (b) acceptance of this Agreement constitutes an authorization for release of such usage information; (c) it will assist Seller in taking all actions necessary to effectuate Transactions, including providing an authorization form permitting Seller to obtain its usage information; and (d) the usage information provided is true and accurate as of the date furnished and as of the effective date of the Agreement. C. Each Party acknowledges that: (i) this Agreement is a forward contract and a master netting agreement as defined in the United States Bankruptcy Code ("Code"); (ii)this Agreement shall not be construed as creating an association, trust, partnership, or joint venture in any way between the Parties, nor as creating any relationship between the Parties other than that of independent contractors for the sale and purchase of Commodity; (iii) Seller is not a"utility"or an"energy generation facility"as defined in the Code; (iv) Commodity supply will be provided by Seller under this Agreement, but delivery will be provided by Buyer's Utility; (v) Seller does not own or operate transmission and distribution systems through which the Commodity is delivered to Buyer, and Seller is not liable for any damages or Losses associated with such transmission or distribution systems; and (vi) Buyer's Utility, and not Seller, is responsible for responding to leaks or emergencies should they occur. D. Seller warrants that (i) it has good title to Commodity delivered, (ii) it has the right to sell the Commodity, and (iii) the Commodity as delivered will be free from all royalties, liens, encumbrances, and claims. EXCEPT AS EXPRESSLY SET FORTH IN THIS SECTION,ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE, ARE DISCLAIMED. 16. Confidentiality: Buyer will not disclose the terms of this Agreement, without prior written consent of the Seller, to any third party, other than Buyer's employees,affiliates,agents,auditors and counsel who are bound by substantially similar confidentiality obligations, 6/9/2020 6:55 PM Page 2 of 9 trading exchanges, governmental authorities, courts, adjudicatory proceedings, pricing indices, and credit ratings agencies; provided that if Buyer receives a demand for disclosure pursuant to court order or other proceeding, it will first notify Seller, to the extent practicable, before making the disclosure. 17. Indemnification; Limitation of Liability: A. Buyer will be responsible for and shall indemnify Seller against all losses, costs and expenses, including court costs and reasonable attorney's fees, arising out of claims for personal injury, including death, or property damage from the Commodity or other charges (collectively, "Losses") which attach after title passes to Buyer. B. Seller will be responsible for and indemnify Buyer against any Losses which attach before title passes to Buyer. C. NEITHER PARTY WILL BE LIABLE TO THE OTHER UNDER THIS AGREEMENT FOR CONSEQUENTIAL, INDIRECT OR PUNITIVE DAMAGES, LOST PROFITS OR SPECIFIC PERFORMANCE. Other: (A) The Agreement, and any dispute arising hereunder, is governed by the law of the state in which the Service Locations are located, without regard to any conflict of rules doctrine. (B) Each Party waives its right to a jury trial regarding any litigation arising from this Agreement. (C) No delay or failure by a Party to exercise any right or remedy to which it may become entitled under this Agreement will constitute a waiver of that right or remedy (D) Any notice or waiver including without limitation any termination or disconnection notice, shall be provided in writing and, if sent to Seller, a copy delivered to: Direct Energy Business, Attn: Customer Services Manager, 1001 Liberty Avenue, Pittsburgh, PA 15222, Phone: (888) 925-9115; Fax: (866) 421-0257; Email: CustomerRelations@directenergy.com. Notice sent by electronic means shall be deemed to have been received by the close of the Business Day on which it was transmitted, or such earlier time as is confirmed by the receiving Party. Notice delivered by overnight courier shall be deemed to have been received on the Business Day after it was sent, or such earlier time as is confirmed by the receiving Party. Notice delivered by first class mail (postage prepaid) shall be deemed to have been received at the end of the third Business Day after the date of mailing. (E) No amendment to this Agreement will be enforceable unless reduced to writing and executed by both Parties. (F) Seller may pledge, encumber or assign this Agreement or the accounts, revenues and proceeds thereof without Buyer's consent. Buyer may not assign this Agreement without Seller's consent not to be unreasonably withheld. (G)This Agreement may be executed in separate counterparts by the Parties, each of which when executed and delivered shall be an original, but all of which shall constitute one and the same instrument. (H)Any capitalized terms not defined in this CMA are defined in the Transaction Confirmation or shall have the meaning set forth in the applicable Utility rules, tariffs or other governmental regulations, or if not defined therein then it shall have the generally accepted meaning customarily attributed to it in the natural gas or electricity generation industries, as applicable. (1)Any document generated by the Parties with respect to the Agreement, including the Agreement, may be imaged and stored electronically and may be introduced as evidence in any proceeding as if it were an original business record and shall not be contested by either party as admissible evidence. (J)Where multiple parties are Party to this Agreement with Seller and are represented by the same agent, this Agreement will constitute a separate agreement with each such Party, as if each such Party executed a separate Agreement, and that no such Party shall have any liability under this document for the obligations of any other Parties. (K) If a conflict arises between the terms of this CMA and a Transaction Confirmation, the Transaction Confirmation will control with respect to that particular Transaction. (L) If a broker or agent has been involved in any Transaction, such broker is an agent of Buyer only and not an agent of Seller. IN WITNESS WHEREOF, this CMA is entered into and effective as of the date written above. Buyer: Seller: Direct Energy Business, LLC Direct Energy Business Marketing, LLC By: By: Name: John B. Withers Name: Title: Board Chairman Title: Date: Date: By: Name: Ruth Zintzun, Purchasing Manager INTERNAL USE ONLY: BOLT ID: SFDC ID: - TCPower Template FLAT-CAISO w/New DR Version 15 6/9/2020 6:55 PM Page 3 of 9 SIX Direct Direct Energy Business,LLC Date: May 17,2022 am Energy, 1001 Liberty Avenue Pittsburgh, PA 15222 Product Code: CA PowerPort Index 1.888.925.9115 Contract ID: Business www.directenergy.com CUSTOMER INFORMATIOK Customer Name: Billing Contact: Contact Name: 3rd Party Bill Pay: Address: , , , Billing Address: Telephone: Telephone: Fax: Fax: Email: Email: TRANSACTIONELECTRICITY • • olio Index This Transaction Confirmation confirms the terms of the Electricity Transaction entered into between Direct Energy Business, LLC("Seller"),and the customer above("Buyer"or"Customer")pursuant to the terms of the Commodity Master Agreement between Customer and Seller and/or Seller's affiliate Direct Energy Business Marketing,LLC,d/b/a Direct Energy Business dated ,as may be amended,(the""CMA"").If the referenced CMA is between Customer and Direct Energy Business Marketing, LLC,d/b/a Direct Energy Business,Customer and Seller agree that this Transaction Confirmation shall be governed by and incorporate the terms of such CMA.All attachments and exhibits hereto, including any request for a Forward Purchase or a PowerPortfolio Transaction Report,are made a part of and incorporated into this Transaction Confirmation.The Purchase Price excludes Utility transmission and distribution charges and Taxes that are or may be the responsibility of Customer.Customer's execution and submission of this Transaction Confirmation,including Exhibit A hereto,to Seller shall constitute an offer from Customer to Seller to purchase the Commodity on the terms set forth in the CMA This Transaction Confirmation shall become effective only upon(i)execution by Customer of this Transaction Confirmation,including Exhibit A,and CMA;and(ii)the earlier of(a)execution of the CMA and this Transaction Confirmation by Seller or(b)written confirmation by Seller of its acceptance of the Transaction Confirmation to Customer. DELIVERY PERIOD For each Service Location,the first meter read date will be on or after: , and will continue for a term of Months. Notwithstanding the foregoing,the Delivery Period will extend through the meter read date following the expiration of any Forward Purchase as confirmed by a PowerPortfolio Transaction Report.Seller will request the Utility to enroll Customer on the first meter read date in the first month of the Delivery Period as defined by the Utility. The service start date hereunder will be the date that the Utility enrolls Customer for Seller's services. Seller shall not be liable for any lost savings or lost opportunity as a result of a delay in service commencement due to actions or inactions of the Utility. Upon the expiration of the Delivery Period,this Transaction shall continue for successive one month terms(collectively the"Renewal Term")until either Party notifies the other Party in writing of its intention to terminate, at least 15 days prior to the end of the Delivery Period or 15 days prior to the end of each successive month Renewal Term.The termination date shall be the next effective drop date permitted by the Utility.All terms of the Agreement will remain in effect through the termination date as set by the applicable Utility. During the Renewal Term,the Purchase Price for each successive month Renewal Term will be the then market-based price for similar quantities of Commodity at the Delivery Point, including all Taxes, costs, charges or fees which are set forth herein, unless otherwise agreed to in writing by the Parties. DELIVERY POINT The Delivery Point shall be the point(s)where Commodity is delivered to the Utility.The Utility is specified on Exhibit A. BILL TYPE-DUAL CONTRACT QUANTITY Customer and Seller agree that the Contract Quantity purchased and received means a positive volume up to or greater than the estimated quantities listed on Exhibit A.The section of the CMA regarding material deviation shall not apply to this Transaction Confirmation. PURCHASE PRICE The Purchase Price per kWh to be paid by Buyer for the services provided hereunder during the Delivery Period of this Agreement shall be that set forth on Exhibit A. The Purchase Price includes a Services Fee, as well as the components marked below as "Included". For those components marked "Pass through",they will be passed through to you at cost and shown as a line item on your bill. 6/9/2020 6:55 PM Page 4 of 9 CAISO Value Energy Pass Through Ancillaries Pass Through Losses Pass Through MRTU Congestion Pass Through Resource Adequacy Pass Through RPS Pass Through Applicable Taxes Pass Through DEFINITIONS Ancillaries:Wholesale commodity services and products required to facilitate delivery of Commodity to the Utility, but does not include MRTU Charges. Block Purchase: Purchasing an amount of Electricity from Seller in an amount no less than 300kW, which may be increased in increments of 100kW, for a minimum term of one(1)calendar month. Day-Ahead LMP Purchase:The purchase of a certain quantity of Commodity(per MWh(s))on the day preceding the day in which the Energy(which includes the Commodity component)is to be delivered to the Delivery Point. Day-Ahead Locational Marginal Price(LMP):The hourly Integrated Forward Market Locational Marginal Price("LMP")for the default Load Aggregation Points ("LAPs")and Trading Hubs associated with the Service Locations,as published by the California ISO for each trading hour of the next trading day. Exhibit A: The list of Service Locations attached to this Transaction Confirmation, which list specifies the Service Locations covered under the scope of this Transaction Confirmation for PowerPortfolio, Day-Ahead, Real-Time and other index products. For fixed price products,it refers to the pricing attachment to this Transaction Confirmation that sets forth (together with this Transaction Confirmation)the Purchase Price applicable to, and the Service Locations covered by, this Transaction Confirmation. Exhibit B: A Forward Purchase Order Form which Customer may complete, execute, and submit to Seller to confirm their offer to Seller to make a Forward Purchase. Forward Purchase: The purchase of a certain quantity of Commodity(power per MWh(s))for a period of time greater than one day,which will be part of the Energy which is to be delivered to the Delivery Point. Market Redesign and Technology Update (MRTU): The redesign of the California ISO energy market and corresponding tariff changes as ordered by the Federal Energy Regulatory Commission. MRTU Charges:Wholesale electric products and services provided by the California ISO as part of the MRTU energy market such as residual unit commitment and bid cost recovery. MRTU Congestion: The difference in the Day-Ahead Market LMP at the Load Aggregation Point and the Trading Hub associated with the Service Locations, as published by the California ISO. Off-Peak: Monday through Saturday hours ending("HE")0100 through HE 0600 and HE 2300 and Sunday HE 0100 through HE 2400. Off-peak also includes NERC Holidays HE 0100 through HE 2400. HE shall be at Pacific prevailing time. On-Peak: Monday through Saturday HE 0700 through HE 2200,excluding NERC Holidays. HE shall be at Pacific prevailing time. PowerPortfolio Transaction Report:The written confirmation sent by Seller to confirm its acceptance of Customer's offer of a Forward Purchase. Renewable Energy Certificate(s) or RECs means a certificate which represents the environmental attributes associated with 1 MWh of electricity delivered into a power grid in the United States by a generator producing electric power from solar, wind, or other such source defined "renewable" by the U.S. Environmental Protection Agency. Renewable Portfolio Standard(RPS):A regulation that requires the increased production of energy from renewable energy sources. Services Fee:The fee for the services provided by Seller to meet the Service Locations'load requirements,including any applicable broker fee,which is included in the Purchase Price to be paid by Buyer. Voluntary Purchase Renewable Energy or"Certificate"will be sourced from the below asset type(s)and at the listed %(s). Percentage -Asset Type National Green-E An Purchase price displayed on the Exhibit A Pricing Attachment includes Voluntary Renewables Purchase. SPECIAL PROVISIONS 1.. Product Description: Seller will work with Buyer to develop an overall approach for Buyer's Commodity purchases ("Buying Strategy") that is mutually agreed upon by the Parties, based on the options given below. This Special Provision will outline the types of services that Seller provides as part of the PowerPortfolio Product,the Purchasing Options available to meet Buyer's Commodity requirements,the total cost of the Energy and services provided and the process by which Commodity purchases are to be effectuated. A. Portfolio Purchasing Options: Seller will use the Purchasing Options below, as selected by Buyer, to meet Buyer's Commodity requirements at its Service Locations in accordance with the Buying Strategy: 1. Day-Ahead Locational Marginal Price("Day-Ahead LMP") Purchase:The Day-Ahead LMP Purchase is the hourly integrated market clearing marginal prices for Commodity for the next operating day based on submitted demand bids and generation offers at the location of the Commodity is delivered or received.Day- Ahead LMP Purchases(s)are made in 0.1 megawatt("MW")increments and are not permitted for Service Locations unless Buyer's forecasted usage for those Service Locations per Utility territory is equal to,or greater than,0.1 MW. 6/9/2020 6:55 PM Page 5 of 9 2. Forward Purchase: During the Delivery Period of this Agreement, Buyer may purchase any amount of the Commodity component of its Energy requirements from Seller as a Forward Purchase. Buyer will request a Forward Purchase at least five(5)business days prior to Buyer's desired start date for such purchase. Forward Purchase(s)are no less than 300kW, in increments of 100kW, and is for a minimum term of one(1)calendar month and are not permitted for certain Service Locations unless Buyer's forecasted usage for those Service Locations per Utility territory is equal to, or greater than 300kW. In all events, Seller will make Forward Purchase amounts available to Buyer in a commercially reasonable timeframe following Buyer's request to effectuate a Forward Purchase. To initiate a Forward Purchase,Customer should complete and submit a Forward Purchase Order Form as set forth in Exhibit B or pursuant to an email transaction containing the required information set forth in Exhibit B and submit to Seller five business days prior to the desired start date. If Seller is able to fulfill the request, it will send Customer a PowerPortfolio Transaction Report.Seller will invoice Buyer,and Buyer will pay,for the entire quantity of any Block Purchase regardless of whether the entire amount is consumed, including but not limited to where Buyer begins or ends service with Seller within a month where a block is purchased. Buyer may not purchase a quantity of Commodity that is greater than Buyer's forecasted usage,as agreed to by Buyer and Seller. 3. If Buyer has not specifically selected a Day-Ahead LMP or Forward Purchase for any given day during the Delivery Period, Seller will purchase Commodity necessary to meet Buyer's Energy requirements for Buyer's forecasted usage on a Day-Ahead LMP basis as if Buyer and Seller had agreed upon such Day- Ahead LMP Purchase. 4.To the extent Buyer's Day-Ahead LMP and/or Forward Purchase(s)do not meet Buyer's hourly Commodity requirements, Seller will meet Buyer's remaining Commodity requirements with California ISO balancing requirements. Buyer will pay Seller the associated Real-Time LMP for such additional Commodity purchase(s). 5.Seller will deliver all quantities of Energy made under Day-Ahead and/or Forward Purchase(s)into the California ISO regardless if they are actually consumed by Buyer. Although Buyer is obligated and shall pay Seller for the entire quantity of such Day-Ahead LMP and/or Forward Purchases, Seller will credit/debit Buyer for the dollar amount that Seller receives from the California ISO for such quantity(ies)of unconsumed Commodity.The dollar amount credited/debited to the Buyer for such unconsumed Commodity is derived from the California ISO's settlement of the unconsumed Commodity against the California ISO balancing market. 6. Purchasing Acknowledgement: Buyer acknowledges that under any Forward Purchase or Day-Ahead LMP Purchase selection, Buyer may not knowingly purchase or allow for the scheduling of a quantity of Commodity that is greater than Buyer's forecasted usage.In all cases all forecasts and Commodity purchases shall be,as reasonably determined by Buyer and Seller,in accordance with Buyer's full usage requirements. 7.Email Transactions:The Parties consent to the use of electronic agreements and to conduct Transactions and/or Forward Purchases via email and/or facsimile. Such electronic correspondence shall be deemed a"writing",by which the Parties intend to be bound,for purposes of satisfying any applicable state and federal legal requirements. The Parties agree that a typed name and title, including the use of an automated email signature block, in such writing(s) is the legal equivalent of such Party's representative's manual signature(an"E-signature").The Parties agree that no certification of authority or other third-party verification shall be necessary to validate an E-signature and lack of such certification or third-party verification will not in any way affect the enforceability of a Party's E- signature. In all cases, the failure of Seller to send a PowerPortfolio Transaction Report or the failure of Buyer to acknowledge receipt of a PowerPortfolio Transaction Report shall not invalidate the Forward Purchase agreed to by the Parties. If there are any inconsistencies between this Transaction Confirmation and any finalized Forward Purchase,such inconsistencies will be resolved in favor of the latter for that applicable purchase. 2.. Change in Utility Account Numbers: The account number for a Service Location shall be the Utility Account Number set forth in the Service Locations attached in the Exhibit A,or any replacement account number issued by the Utility from time to time. I.Third Party Charges: Customer acknowledges that any costs assessed by the Utility or any third party as a result of Customer's switch to or from Seller, including but not limited to switching costs,are not included in the Purchase Price and shall be the responsibility of the Customer. 4..Billing and Payment:The following is hereby added to the Billing and Payment section of the CMA: "Seller and Buyer agree upon the following condition regarding its non-interval monthly meter accounts,if any:Seller will deaggregate the Buyer's usage,based on Utility and ISO settlement protocols,and Buyer agrees to accept the results of this deaggregation as its hourly billing determinants.Where Buyer has interval meters,Seller will use the interval meter hourly usage for billing only to the extent that the hourly usage is used by the applicable Utility and ISO for settlement purposes with Seller. In the event of an interval meter where the Utility and ISO do not use the hourly usage for settlements, Seller will deaggregate Buyer's usage, based on Utility and ISO settlement protocols,and Buyer agrees to accept the results of this deaggregation as its hourly billing determinants." 5.. Risk Acknowledgements: By selecting and executing this Transaction Confirmation, Buyer acknowledges that it is acting for its own account, and it has made its own independent decision to enter into this Agreement based solely upon its own judgment and upon advice from such advisors as it has deemed necessary. It is not relying on any communication(written or oral)of Seller or its affiliates(or its respective representatives)in any respect,and in particular, not as investment advice or as a recommendation to enter into any Agreement, it being understood that information and explanations related to the terms and conditions of any Agreement will not be considered investment advice or a recommendation to enter into the Agreement. Buyer understands and agrees that the energy market is a volatile market and that-except as to any agreed prices between the Parties described in this Agreement- no warranties(express or implied)and no guarantees regarding market movement or price trends are made by Seller or its affiliates in connection with this Agreement.No communication (written or oral) received from Seller or its affiliates (or their respective representatives)will be deemed to be an assurance or guarantee as to the expected results of any transaction elected by Buyer under this Agreement. 6..The Transactions section of the CMA is amended by inserting the following after the last sentence:"If specified in a Transaction Confirmation as applicable, all contracts for the purchase and sale of Green-e Energy certified Renewable Energy Certificates ("RECs") shall be subject to the Agreement, and every 6/9/2020 6:55 PM Page 6 of 9 provision in which"Commodity"is referenced will be construed as referencing both Commodity(or Commodities)and RECs,excluding those sections regarding title and risk of loss and material deviation." T.The Performance section of the CMA is amended by inserting the following at the end:"Seller shall retire the Product Quantity of REC Certificates,on Buyer's behalf,at the end of the Green-e®reporting year in which the RECs were purchased." 8..The Green-e RECs purchased herein are Green-e®Energy certified and meet the environmental and consumer protection standards set forth by the nonprofit Center for Resource Solutions.The REC itself does not contain Electricity. A REC represents the environmental benefits of 1 megawatt hour(MWh)of renewable energy that can be paired with electricity. For more information,see www.green-e.org/rec. 9..With respect to each REC component of a Transaction,Seller represents and warrants to Buyer on each date that Seller retires RECs on Buyer's behalf:(i) the RECs meet the specifications set forth in the Transaction Confirmation and (ii) Seller has not transferred the RECs to any other person or used RECs to meet compliance requirements under any regulatory or voluntary program or standard." 10..Illegality:The REC component of a Transaction shall terminate automatically if any judicial,regulatory or legislative action or change renders performance of the material obligations contained in such REC component of the Transaction illegal. 11.. Record Retention: The Parties shall keep (or as necessary cause to be kept by their respective agents), for a period of five (5) years, a history of all deliveries of RECs hereunder.For matters in dispute,the Parties shall keep the records related to such matters until the dispute has been resolved.This Section shall survive the expiration or termination of Transactions under the Agreement. TAX EXEMPTION STATUS-If exempt, must attach certificate In order to ensure accurate billing,tax status indication is required. Please check the appropriate status below: [—]Non-Exempt L]Exempt(e.g. Residential, Non-Profit Organization, Manufacturing, Small Business,Agricultural, Resale,etc.) Buyer: Seller: Direct Energy Business, LLC By: By: Name: Name: Title: Title: Date: Date: Contract ID: Internal ID: 6/9/2020 6:55 PM Page 7 of 9 DE Proprietary DE Proprietary EXHIBIT A PRICING ATTACHMENT This Exhibit A is to the Transaction Confirmation dated May 17,2022 between DIRECT ENERGY BUSINESS LLC and for a term of Month Contract ID: CA_PowerPort_Index Account Service Utility Utility Rate Zone *Estimated Meter Read Start Date Purchase Price Annual Historical Number Location Class MM/DDNYYY cents/KWh Usage kWh *The Estimated Meter Read Start Date is merely an approximation based upon Seller's best estimation as to when the service will begin and may not reflect the actual start date.Seller shall not be liable for any lost savings or lost opportunity relating to this estimation. Monthly Contract Quantity KWh I Jan I Feb Mar I Apr May Jun Jul AugSep I Oct Nov Dec *Usage values in the above table represent the aggregated Usage for all Service Locations for a month.Material Usage Deviation includes for the purposes of this Exhibit A,any deviation caused by net metering or other Buyer initiated energy efficiency measures. This Exhibit is based on a Weighted Average Price. Any strikeouts of any of the accounts provided with a Weighted Average Price will render pricing for the accounts assigned with a Weighted Average Price null and void. Term of Months: Month Meter Read Start Date: [_] Please aggregate my account onto one invoice (If more than 50 accounts are to be aggregated,accounts will be separated by meter read date) Accepted and Agreed to: By: Date: 6/9/2020 6:55 PM Page 8 of 9 all Direct Exhibit B to the Transaction Confirmation Forward Purchase Order Form all Energy. Contract ID: Business Exhibit"B" FORWARD PURCHASE ORDER FORM This Exhibit B is being provided pursuant to and in accordance with the Transaction Confirmation dated()and Commodity Master Agreement dated()between Customer("Buyer")and Direct Energy("Seller")(the"Agreement"),and is hereby incorporated into and made part of the Agreement. Buyer's execution and submission of this Exhibit B to Seller shall constitute an offer by Buyer to Seller to purchase Electricity in accordance with the terms set out below.This Exhibit B will become valid upon i)execution by the Buyer and ii)written confirmation of the Seller's acceptance of the terms herein to the Buyer. 1.Transaction details including the Term,Times of Delivery,Quantity and Energy Price are shown below: Delivery Zone Term Start Term End Time of Day Energy/Commodity Block Size Quantity Price (MW or%) (MWH) ($/MWh) 2.Special Provision(s), if any: In no event shall Buyer have any recourse against Seller for any purchase that is transacted under this Forward Purchase Order Form so long as the Commodity Price stated above is achieved. Following written confirmation by Seller of its acceptance,Seller will make reasonable efforts to send Buyer an executed copy of this Exhibit B. However and in all cases,the failure of Seller to send an Exhibit B or the failure of Buyer to acknowledge receipt of an Exhibit B shall not invalidate the Forward Purchase agreed to by the Parties. Unless specifically modified herein,all terms and conditions of the Agreement remain the same.Terms used but not defined herein shall have the meanings ascribed to them in the Agreement. This Exhibit B may be executed in one or more counterparts and each executed counterpart shall be considered an original,provided that such counterpart is delivered to the other Party by facsimile, mail,courier or electronic mail,all of which together shall constitute one and the same Agreement. DIRECT ENERGY BUSINESS, LLC By: By: Print Name: Print Name: Title: Title: Date: Date: PLEASE E-MAIL to the attention of: EnergyAdvisors @nrg.com 6/9/2020 6:55 PM Page 9 of 9 Shell ENERGY MASTER ENERGY SALES AGREEMENT This Master Energy Sales Agreement(the"MSA"or"Master Agreement")"is entered into by and between MP2 Energy LLC,a Shell Energy North America Subsidiary and an authorized agent for its Applicable Licensed Subsidiary in each instance (the Applicable Licensed Subsidiary, the "Seller"), and Orange County Sanitation District ("Customer"). Seller and Customer are sometimes referred to herein individually as a"Party"and collectively as the"Parties." 1.1 Form and Construction of Agreement.The terms of this MSA apply to all end-use sales of Energy by Seller to Customer (each sale a"Transaction"). Each Transaction shall be memorialized with a written confirm executed by the Seller and Customer (each a "Transaction Confirmation"or a "TC"). Each TC will include the commercial terms of the Transaction, including but not limited to the Delivery Period, Contract Price, contract quantities in MWh, costs and EDC Regulatory Charges, Delivery Points and any other special provisions agreed to between the Parties. Customer's execution of a TC shall constitute an offer from Customer to Seller to purchase Energy on the terms set forth in the TC and the MSA. Upon Seller's execution of the TC Seller shall sell, and Customer shall purchase and receive the Total Contract Quantity pursuant to the terms and conditions of this MSA and any applicable TC during the Delivery Period set forth on an applicable TC. Any conflict between the terms and conditions of this Agreement and a TC shall be resolved in favor of the applicable TC. This MSA, associated TC(s), and any amendments,addendums,annexes to either the MSA or a TC set forth the single integrated"Agreement"among the Parties with respect to the subject matter hereof and thereof,and supersede all prior or contemporaneous agreements and understandings(oral or otherwise)among the Parties with respect to the subject matter hereof and thereof. The Agreement may only be modified by a written agreement signed by both Parties. 1.2 Term. This MSA commences on the date when the first TC hereunder is executed by both Customer and Seller and continues until tenninated in writing by both Parties or terminated under Sections 1.7 and 1.8 hereunder, it being the intent of the Parties that even if the MSA is terminated all Transactions between the Parties will be governed by the teens and conditions set forth in this MSA,as such MSA may be amended in writing from time to time and the termination of this MSA shall in no way release a Party from any obligations existing hereunder or under any effective TC prior to the end of a Delivery Period or Renewal Period. Upon expiration of a Delivery Period unless the Parties have executed a new TC with respect to the Delivery Points, Customer shall continue to purchase and receive the Energy delivered to the Delivery Points at the Hold-Over Rate for successive one-month terms(each a"Renewal Period") until either Party notifies the other Party in writing of its intention to terminate the TC at least twenty (20)days prior to the end of each Renewal Period. Upon timely notice of termination being received by the non-terminating Party,the termination date shall be the next effective drop date after the notice period as permitted by the EDC. The Contract Price during the Renewal Period shall be the Hold-Over Rate set forth on the applicable TC.The terms of this MSA will govern during the Renewal Period(s). 1.3 Title,Risk of Loss and Taxes.Title,liability and risk of loss associated with the Energy purchased and sold hereunder shall pass to Customer at the Delivery Point(s) specified on the applicable TC. Seller is responsible for Taxes arising prior to the Delivery Point and Customer is responsible for Taxes arising at and after the Delivery Point. If Customer claims exemption from Taxes,Customer shall provide Seller a certificate of exemption. 1.4 Credit. Seller's entry into this MSA and each Transaction is contingent upon Customer, any guarantor or any successor maintaining its creditworthiness during the term of any Transaction and any Renewal Period. If Customer's payment history, credit or financial condition becomes unsatisfactory as determined by Seller in a commercially reasonable manner Seller may request, and Customer shall furnish Seller, Performance Assurance in a form and amount acceptable to Seller within three (3) Business Days of the request. In no event will the amount of the Performance Assurance be more than three(3)times Customer's estimated largest monthly invoice amount. 1.5 Billing and Payment. The method of billing applicable to a Transaction will be as set forth on a TC and will be either Utility Consolidated Billing("UCB"), Dual Bill Option ("DBO"or"Dual Billing") or Supplier Consolidated Billing("SBO"). If Customer elects UCB Customer's EDC will invoice Customer monthly for a) the Energy supplied by Seller under this Agreement, b)the EDC Regulatory Charges,and c)any applicable Taxes and payment will be made directly to the EDC by the date specified on the UCB invoice. If Customer elects DBO Customer will instead receive both a monthly invoice from Seller for Energy and a separate monthly invoice from the EDC for EDC Regulatory Charges and Taxes, then following each meter read date, Seller will deliver to Customer an invoice setting forth the charges due for Energy. if available and Customer elects SBO Customer will receive one invoice from Seller for i)Energy supplied by Seller under this Agreement,ii)the EDC Regulatory Shell ENERGY Charges,and iii)any applicable Taxes and payment will be made directly to Seller by the date specified on the SBO invoice. In the event that Seller does not receive usage data from the EDC,Seller may reasonably estimate Customer's use and such estimate shall be adjusted when the actual consumption is received from the EDC. In the event of SBO or Dual billing, Seller's invoice will be sent via email or mail to Customer. In the case of SBO or DBO the day the invoice is sent is hereafter referred to as the "Sent Date." Payment shall be made by ACH,wire transfer,or check within thirty(30)days of the Sent Date and unless directed otherwise by Seller. Overdue invoices will accrue interest at the statutory rate referenced for governmental entities in the state in which the Delivery Points are located. With respect to all forms of billing and invoices, Customer is responsible for all reasonable costs and fees incurred by Seller in collecting payment. If Customer disputes any amount on an invoice in good faith, Customer will contact Seller promptly in writing, stating the basis for the dispute and shall pay the undisputed amount by the due date;the amount in dispute may be withheld until the dispute is resolved. If the amount disputed is determined to be convect, it shall be paid(plus interest accrued under the above calculation method) within five(5) Business Days of such determination. 1.6 Force Majeure. If a Party is unable because of Force Majeure to perform its obligations hereunder and that Party gives notice of the event to the other Party as soon as practicable after its occurrence, then the obligations of the Party affected by the event (other than payment for Energy received and performance of other transactions or other obligations incurred before the Force Majeure event) will be suspended for the duration of the Force Majeure event. "Force Majeure" means a material, unavoidable occurrence beyond a Party's control, but shall not include inability to pay, an increase or decrease in Taxes or the cost of Energy,the economic hardships of a Party,or the full or partial closure of Customer's facilities,unless such closure itself is due to Force Majeure. 1.7 Events of Default."Default"means any one of the following: (a)the failure by either Party to make,when due,any payment required under the Agreement and such failure is not remedied within seven (7) Business Days after written notice; (b) any assignment or general arrangement for the benefit of creditors made by either Party; or the Bankruptcy or Insolvency of either Party or its guarantor; (c) any unauthorized assignment of a Party's rights or obligations hereunder; (d) failure of a Party to provide Performance Assurance pursuant to the terms of the Agreement and such failure is not remedied within five(5)Business Days after written notice; (e)either Party consolidates or merges into or transfers all or substantially all of its assets to another entity and the resulting transferee or surviving entity fails to assume the obligations of such party under the Agreement; (f) Customer switches to another supplier or otherwise terminates a TC after the date Seller accepts a TC and before the Estimated Start Date as indicated on a TC or Customer switches to another supplier or otherwise terminates a TC after the Estimated Start Date and prior to the end of the Delivery Period;(g)Customer fails to receive all of part of the Total Contract Quantity pursuant to a Transaction and such failure is not excused by Seller's failure to perform or by Force Majeure; or(h) any breach of this Agreement by either Party and such breach is not cured within seven (7) Business Days after written notice. If an event of Default listed in subsection(b)above occurs,the Default will be deemed to have automatically occurred just prior to such event. 1.8 Remedies Upon an Event of Default. In the event of a Default, the non-defaulting Party shall have the right to: (a) accelerate any or all amounts owing between the Parties and liquidate and terminate any and all Transactions hereunder and/or this MSA;(b)withhold any payments due to the defaulting Party;(c)immediately suspend performance under this Agreement; and/or(d)calculate an Early Termination Fee("ETF").The ETF shall be due from the defaulting Party to the non-defaulting Party within (5)days of written notice of the ETF("ETF Notice") being delivered by the non-defaulting Party to the defaulting Party. In the case where Customer is the defaulting Party the ETF is the sum of the positive dollar amount obtained by multiplying(i)Contract Price minus the Underlying Value by(ii)the remaining amount of the Total Contract Quantity that would have been delivered under this Agreement had it not been terminated early plus amounts owed for Energy delivered but not paid plus fees and expenses, including reasonable attorneys' fees incurred by Seller in connection with collecting all amounts due under this Agreement. In the case where Seller is the defaulting Party the ETF is the sum of the net sum of the positive dollar amount obtained by multiplying(i) Underlying Value minus the Contract Price by(ii)the remaining amount of the Total Contract Quantity that would have been delivered under this Agreement had it not been terminated early less amounts owed for Energy delivered, but not paid plus fees and expenses, including reasonable attorneys' fees incurred by Customer in connection with collecting all amounts due under this Agreement. The provisions of this section shall be without prejudice and shall be in addition to any right of setoff,combination of accounts, lien or other right to which any Party is at any time otherwise entitled(whether by operation of law,contract or otherwise). If Customer has elected to terminate this Agreement due to Seller's Default such termination shall be rescinded and of no force and effect if Shell Energy North America(US), L.P. (SENA)elects,during the cure period afforded Seller under this Agreement, to cure the Default or to take an assignment of this Agreement and assume Seller's duties and obligations under this Agreement. The Parties agree that the ETF constitutes a Shell s ENERGY reasonable approximation of damages and is not a penalty or punitive in any respect. Seller may,but is not required to, physically liquidate a Transaction or enter into a replacement transaction to determine the ETF. 1.9 Limitation of Liability. IN NO EVENT SHALL EITHER PARTY BE LIABLE TO THE OTHER PARTY FOR CONSEQUENTIAL,INCIDENTAL, PUNITIVE,EXEMPLARY OR INDIRECT DAMAGES IN TORT,CONTRACT OR OTHERWISE. 1.11) Representations and Warranties. As a material inducement to entering into this MSA and each Transaction hereunder, each of the following is made upon execution of this Agreement and are deemed to be repeated each time a TC or additional agreement is entered into by the Parties: A. Each Party, with respect to itself, represents and warrants to the other Party that: (a) it is duly organized, validly existing and in good standing under the laws of the jurisdiction of its formation and is qualified to conduct its business in those jurisdictions necessary to perform this Agreement; (b)the execution,delivery and performance of this Agreement are within its powers, have been duly authorized by all necessary action and do not violate any of the terms or conditions in its governing documents or any contract to which it is a party or any law, rule, regulation, order, writ,judgment, decree or other legal or regulatory determination applicable to it; (c) this Agreement constitutes its legally valid and binding obligation enforceable against it in accordance with its terms, subject to any equitable defenses; (d) it is not Bankrupt or Insolvent and there are no reorganization, receivership or other arrangement proceedings pending or being contemplated by it, or to its knowledge threatened against it. B. Customer further represents and warrants to Seller as follows: (a)Customer's claims of exemption from Taxes, if any,are consistent with the laws and regulations of the applicable taxing authorities; (b) it fully understands its rights and obligations under this Agreement;(c)the Person executing this MSA and each TC is expressly authorized to enter into and bind Customer; (d) it shall provide Seller all information reasonably required to substantiate its usage requirements, which in substantial part form the basis for the calculation of charges for the Transactions entered into hereunder and execution of this MSA constitutes an authorization for release of Customer's information from the EDC or other applicable third parties including but not limited to the Utility Account Number(s),data about meter readings,rate class and electric usage,the Customer's name,address(es)and telephone number; (e)any usage information and utility class information provided is true and accurate as of the date furnished and as of the effective date of the Agreement; and (f) it is the intended end-use customer for all Energy purchased under this Agreement and it has entered into this Agreement for non-speculative purposes,and will not resell any of the Energy purchased under this Agreement. C. Customer further affirms, represents and warrants that it is not a residential or small commercial customer(as those terms are defined in the jurisdiction(s)applicable to the Transaction)and the Delivery Points hereunder are not classified as such. 1.11 Confidentiality. Neither Party shall disclose,unless authorized in writing by the other Party, the terms of this Agreement except that: a) a Party may disclose the terms of this Agreement to any of its employees, consultants and advisors who have a reasonable need to know the information in order to allow the Party to perform its obligations under this Agreement,(b) as may be required under the California Public Records Act, upon which Customer shall immediately contact Seller to notify them of the disclosure request and to define a time period to allow for input in release of the documents;and c) Seller may disclose the terms of this Agreement to its affiliates, including but not limited to Shell Energy North America(US), LP("SENA"). 1.12 Material Regulatory Changes. In the event that after the date of execution of this MSA, any new charges, fees, obligations. and/or requirements, are imposed by any Regulatory Body or if there is a change in law,administrative regulation, change in market design, or material change to the applicable capacity rate or transmission rate used to determine Customer's Capacity Charge or Transmission Charge by the EDC/ISO,where applicable (each a"Material Regulatory Change"or"MRC"), and as a result of the MRC,Seller incurs material incremental costs in order to maintain the same level, location and/or quantity of services contemplated under this Agreement, Seller shall pass through the cost of such MRC, without markup, to Customer and Customer shall pay such cost to Seller. 1.13 On-site Generation and Material Adverse Change ("Material Adverse Change" or "MAC"). (a) Customer hereby represents and warrants that it has disclosed and accounted for all current or planned "behind-the-meter" distributed generation, storage,and net metering at its place of business and/or with respect to any Delivery Point location. Customer also covenants and agrees to promptly notify Seller if,after the Effective Date hereof,Customer adds,removes, increases or decreases"behind-the- meter"distributed generation,storage,and net metering at its place of business and/or with respect to any Delivery Point. Shell ENERGY (b)Further, if there is change in Customer's business operations for any reason that produces a MAC in Customer's usage pattern and that usage pattern materially impacts Seller's ability to provide electric service to Customer, including, but not limited to, material increases in the costs to serve the Customer, then, in its sole discretion, acting reasonably, Seller may either (i) pass through such increased in costs to Customer without mark-up; provided such costs are documented and verifiable or(ii)provide 60 days' prior written notice to Customer of Seller's termination of this Agreement. 1.14 Governing Law. The Agreement between the Parties shall be governed by and construed in accordance with the laws of the State set forth on the applicable TC,without reference to principles of conflict of laws. 1.15 Waiver of Jury Trial. EACH PARTY HEREBY WAIVES ITS RESPECTIVE RIGHT TO A JURY TRIAL WITH RESPECT TO ANY LITIGATION ARISING UNDER OR IN CONNECTION WITH THIS MSA AND ANY TRANSACTION HEREUNDER. 1.16 Severability; Counterparts; Electronic Signature. In the event any provision of this MSA or any TC is found to be invalid or unenforceable, such provision shall be invalid and unenforceable only to the extent of such invalidity or unenforceability without invalidating or rendering unenforceable any other provision. This MSA and any TC may be executed in multiple counterparts and exchanged via email or facsimile and shall be construed as one as of the date it is executed by both Parties. 1.17 Survival. The applicable provisions of the Agreement shall continue in effect and survive the termination of the Agreement to the extent necessary to provide for final accounting, invoicing, billing,billing adjustments, resolution of any billing disputes, realization of any collateral or other performance assurance, set-off, final payments, or payments pertaining to liability obligations arising from acts or events that occurred in connection with the Agreement prior to termination. 1.18 Assignment. The Agreement shall be binding upon and shall inure to the benefit of, and may be performed by, the successors and assigns of the Parties,except that,no assignment by either Party shall operate to release the assignor from any of its obligations under the Agreement,unless: (a)the other Party consents in writing to such assignment and releases,the assignor from any of its obligations hereunder (such assignment not to be unreasonably withheld or delayed); or (b) such transfer is incident to a merger or consolidation with,or transfer of all,or substantially all,of the assets of the transferor to another Person that shall have the financial capability to assume,and who does assume all of the obligations of the assignor under the Agreement. Customer acknowledges that under some circumstances Seller may be required to assign Seller's future interests, rights, and obligations in the Agreement to SENA, and Customer hereby consents to any such assignment. 1.19 Forward Contract;Master Netting Agreement. Each Party acknowledges and agrees(a)that this Agreement constitutes a forward contract and a master netting agreement as defined by the United States Bankruptcy Code(the"Code");(b)each Party is a"forward contract merchant"within the meaning of the United States Bankruptcy Code;(c)Seller is not a"utility"as defined in Section 366 of the Code;(d)each Party waives and agrees not to assert the applicability of the provision of such Section 366 in any bankruptcy proceeding wherein such Party is a debtor; and (e) this is an agreement for the sale and purchase of a commodity and nothing in this Agreement shall be construed as creating any other relationship between the Parties other than that of independent contractors. 1.20 Anti-Corruption. Each Party represents, warrants and covenants to the other that: (i) it will comply with the Anti- Corruption Laws(as defined herein)with respect to all transactions under this Agreement;(ii)it has not made and will not make, offer,authorize,or accept any payment,gift,or other benefit,directly or indirectly (whether via its affiliates,agents,contractors or other third parties), to or from any government official or any other Person for the purpose of facilitating or carrying out any transaction hereunder which would violate the Anti-Corruption Laws; (iii) it will promptly notify the other Party if it becomes aware of any violation of the Anti-Corruption Laws in connection with any transaction hereunder,subject to the preservation of legal privilege;and(iv)except as the other Party may agree in writing,all payments payable to a Party pursuant to this Agreement shall be made only to the account of such Party,and not to the account of any other Person. 1.21 Notices. All notices will be made in writing and may be delivered by hand delivery, first class mail (postage prepaid). overnight courier service or facsimile to the address set forth below each Parties' signature and shall be effective upon receipt; provided however, that any notice of tenmination may only be sent by hand or by overnight courier service and, if Customer Shell ENERGY terminates the Agreement due to an alleged breach by Seller, a copy must be simultaneously delivered to SENA, 1000 Main, Level 12 Houston,Texas 77002 Attn: Contracts North America, Facsimile: 713-767-5414. Either Party may change its address for notice by advising the other Party in writing. In the event Customer fails to add its address below its signature on this MSA, Customer agrees that the billing address of the Customer shall be the legal notices address and hereby waives any objection to that address as the legal notices address and any claim that the address is not the proper legal notice address. 1.22 Additional Definitions. The following definitions shall apply hereunder whether stated in the singular or plural. Any capitalized terms not defined in this Master Agreement are defined in the TC.or shall have the meaning set forth in the applicable EDC /utility rules, tariffs or other governmental regulations, or if such term is not defined therein then it shall have the well- known and generally accepted technical or trade meaning customarily attributed to it in the electricity industry. "Anti-Corruption Laws"mean(a)the United States Foreign Corrupt Practices Act of 1977;(b)the United Kingdom Bribery Act 2010- and (c) all applicable laws that prohibit money laundering, or otherwise dealing in the proceeds of-crime, or the bribery ot, or the providing of unlawful gratuities, facilitation payments, or other benefits to any government official or any other Person,or tax evasion. "Applicable Licensed Subsidiary"means MP2 Energy Texas LLC d/b/a Shell Energy Solutions and/or MP2 Energy NE LLC d/b7a Shell Energy Solutions. "Bankrupt" or "Bankruptcy" means with resppect to any entity, such entity (i) files a petition or otherwise commences, authorizes or acquiesces in the commencement ova proceeding or cause of action under a bankrupt, Insolvent, reorganization or similar law or has any such petition filed or commenced against it, (ii) makes an assignment or any general arrangement for the benefit of creditors, (i») otherwise becomes bankrupt or Insollvent (however evidenced), (iv) has a liquidator, administrator, receiver, trustee, conservator or similar official appointed with respect to it or any substantial portion of its property or assets,or(v) is generally unable to pay its debts as they fall due. "Business Day" means any day except a Saturday, Sunday,or a Federal Reserve Bank holiday. A Business Day shall open at 5:00 a.m. and close at 5:00 p.m. local time for the relevant Party's principal place of business. The relevant Party, in each instance unless otherwise specified shall be the Party to whom the notice,payment or delivery is being sent and by whom the notice or payment or delivery is to 6e received. Any reference to"days"means calendar days. "Capacity Charge" means the product of the applicable capacity rate and capacity quantity for the utility account as determined by the EDC/ISO or otherwise. "Contract Price"means that"Contract Price"set forth on a TC. "Delivery Point" means each of Customer's meters associated with the"Utility Account Number"as listed on a TC, or any replacement account number issued by the ISO/EDC/utility from time to time. "Deliver Period" means the period during which Seller has agreed to sell and Customer has agreed to buy Energy for the Delivery-Point(s)as set forth on a TC. "EDC"means the utility or entity that has control of the transmission and/or distribution system and associated metering that is connected to a Utility Accounf Number. "EDC Regulatory Charges" means those costs listed on a TC as "Pass-through charges" which are levied by an EDC and taxing authorities and shall be invoiced to Customer on an actual cost basis without any markup. "Energy" means electric energy and related products and services and includes transmission and capacity in certain markets. "Estimated Start Date"shall have the meaning set forth on a TC. "Hold-over Rate" means the applicable rate set forth on a TC, that Customer agrees to pay for Energy delivered to the Delivery Points during the automatic Renewal Period. "Insolvent"or"Insolvency"means with respect to any Party,when such Party shall be unable to pay liabilities as they mature, or such entity shall admit in writing its inability to pay its debts generally as they become due. "ISO" means the applicable Independent System Operator as identified on each TC. "Performance Assurance"means collateral in the form of cash, irrevocable standby letter(s)of credit,corporate guaranty,or other security all as reasonably acceptable to Seller. "Person" means any natural person, corporation, general partnership, limited partnership, limited liability company proprietorship, other business organization,trust, union, association, governmental authority or agency or other form or legal entity. "Regulatory Body"means any ISO,EDC,state utility commission,FERC,CFTC or other similar body or federal,state,local, municipal or other governmental, regulatory or administrative agency, commission or any authority lawfully exercising or entitled to exercise jurisdiction over the Parties or any Transaction. "Taxes" means any and all sales, use, gross receipts, ad valorem, franchise, excise, or any other taxes or similar charges imposed by any governmental authority on, or with respect to the Energy or other products sold hereunder but excludgng income taxes imposed on the respective Parties. "Total Contract�uantity"means Customer's total forecasted usage for all contracted Delivery Points for the Delivery Period a T as set forth on . Shell ENERGY "Transmission Charge"means the product of the applicable transmission rate and transmission quantity for the utility account as determined by the EDCASO or otherwise. "Under)ying Value"means the price a third-party who is active in the Energy market would transact(sell or purchase as applicable) For Energy and related services. (REMAINDER OF THE PAGE LEFT INTENTIONALLY BLANK) Shell ENERGY IN WITNESS WHEREOF, the Parties, by their respective duly authorized representatives, have executed this Agreem ait. Orange County Sanitation District M P2 Energy LLC,-a Shell Energy North Am a-ica Subsidiary By: .......... 4a+rLt=- By:....... p�l�/4l VVisneau b`/2GZGL,2022 25CST) _ Nam c ..JamZ D. Herberg Name.. David Visneau Title: ......General M m2 er Title: ...Authorized Signatory Date: ......January_Z022 Date:....January-__,-2-0-22-Feb 1,2022 By: ............. , Nam c ........Ruth Zintz Title: ..........Purchasing and Contracts M anager Date: ..........January� , 2022 Address for Notices: Address f'or Notices: Orange County Sanitation District M P2 Energy LLC,-a Shell Energy North Am a-icaSubsidiary 10844 Ellis Avenue 21 W aterw ay Avenue, Suite 450 Fountain Valley, Californ is 92708 The Woodlands, Texas 77380 Attn: General M anager Attn: General Counsel In the event Custom er is executing through an Agent,the Agent in ust sign below: ("Agent")represents and warrants that it has the authority to enter into this transaction on behalf of the C Worn er and that the A g!nt's signature on this docum ent and any associated TC serves to bind the C tstom er to the term s and conditions of this transaction. A Wnt understands that Seller is relying on such representations and A Wnt hereby agrees to indem nify and hold harm less Seller and its affiliates from and against all claim s, losses,expenses, dam ages,causes of actions or suits of any kind arising out of or relating to a claim by C Worn er that the Agent lacked authority to enter into this Agreem ent on behalf of such C Worn er. NANI®FA GENT By: — Administration Building OPERATIONS COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2317 Agenda Date: 5/25/2022 Agenda Item No: 11. FROM: James D. Herberg, General Manager Originator: Riaz Moinuddin, Director of Operations & Maintenance SUBJECT: SODIUM HYDROXIDE (CAUSTIC SODA) 50%, SPECIFICATION NO. C-2018-915BD - CONTINGENCY INCREASE GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Approve a unit price contingency increase of $44.40 per dry ton (an additional 6% of the base cost) to the Liquid Caustic Soda (50%) contract with Brenntag Pacific for the term July 1, 2022 through June 30, 2023, for a new total contingency amount not to exceed $112.80 per dry ton (16%) with a total estimated usage of$481,153. BACKGROUND The Orange County Sanitation District (OC San) uses chemical treatment in its sewage collection system to reduce the odor and corrosion potential of the vapor space in its system. One of these treatments involve slug dosing caustic soda to temporarily kill the biological "slime layer" that naturally forms on pipes and structures. This biological "slime layer" generates sulfides in the wastewater which, in turn, forms hydrogen sulfide. In May 2018, OC San awarded an agreement to Brenntag Pacific Inc. for Specification No. C-2018- 915BD to supply, delivery, and dosing services of caustic soda 50% (NaOH solution). The agreement directly delivers and injects caustic soda into sewer manholes at strategic locations. RELEVANT STANDARDS • 12 or fewer odor complaints per year under normal operating conditions in the collections system • Zero odor incidents/events under normal operating conditions for Plant Nos. 1 and 2 • Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting Orange County Sanitation District Page 1 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2317 Agenda Date: 5/25/2022 Agenda Item No: 11. PROBLEM When staff initiated the agreement renewal process with the caustic soda supplier, the supplier notified staff of an increase in the unit price of caustic soda, which exceeds the Board authorized contingency. PROPOSED SOLUTION Staff recommends the approval of the negotiated unit price increase for caustic soda and additional contingency for the remaining year of a multi-year contract and, re-bid for a new service period. TIMING CONCERNS Without action, dosing of caustic soda in the collection system will be impacted, resulting in high level of odors and high levels of hydrogen sulfide resulting in elevated corrosion levels and unsafe maintenance environment. RAMIFICATIONS OF NOT TAKING ACTION Without action, caustic soda addition in the collection system will cease. Normal biological action in the sewer system will produce hydrogen sulfide in an uncontrolled manner, which causes odor and corrosion problems in the collection system and public nuisances. PRIOR COMMITTEE/BOARD ACTIONS May 2018 - Awarded a Chemical Supplier Agreement to Brenntag Pacific, Inc. for the purchase of Sodium Hydroxide (Caustic Soda) 50% solution, Specification No. C-2018-915BD, for the period ofJuly 1, 2018 through June 30, 2019, for a unit price of $684/dry ton, delivered, plus sales tax, for an estimated annual amount of $967,005 with four (4) one-year renewal options; and approved a unit price contingency of 10%. ADDITIONAL INFORMATION Staff was notified of the additional unit price increase for the caustic soda during the agreement renewal period. The primary reason cited for the increase in unit price is the tightening of the overall global caustic soda market as foreign suppliers are operating at lower than normal production rates based in large part on energy restrictions. This has tightened up supply in the market. In addition, US producers are still not able to build inventories during production disruptions due to the multiple weather issues that have hit the US Gulf in 2021. Staff was able to negotiate a reduction in the increase in price from 32% ($875 per dry ton) to 20% ($796.80). Staff is continuously monitoring the hydrogen sulfide levels throughout the collections systems and adjusting dosing rates to limit the concentration of hydrogen sulfides in the vapor phase to the desired concentration. Staff is also looking at alternative chemicals and combinations of alternative chemicals for odor control and has initiated a Chemical Resiliency Study. For Fiscal Year 2023-24, staff intends to bid out the caustic soda agreement. The estimated caustic soda usage in the Fiscal Year 2022-23 is 604 dry tons. Orange County Sanitation District Page 2 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2317 Agenda Date: 5/25/2022 Agenda Item No: 11. CEQA N/A FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San's Purchasing Ordinance. This item is budgeted in the FY 2021-22 Budget Update, Operating Expense, Operating Materials and Supplies, Paragraph 3, Page 29. ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: N/A DS:ct:sr Orange County Sanitation District Page 3 of 3 Printed on 5/16/2022 powered by LegistarT" Administration Building OPERATIONS COMMITTEE 10844 Ellis Avenue Fountain Valley,CA 92708 ' AN (714)593-7433 owANGECoUN ��,TpT Agenda Report File #: 2022-2318 Agenda Date: 5/25/2022 Agenda Item No: 12. FROM: James D. Herberg, General Manager Originator: Riaz Moinuddin, Director of Operations & Maintenance SUBJECT: LIQUID FERRIC CHLORIDE SPECIFICATION NO. C-2019-1037BD CONTINGENCY INCREASE GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve a unit price contingency of$175 per dry ton (26%) to the liquid Ferric Chloride Agreement with Pencco, Inc., Specification No.C-2019-1037BD, for the period beginning July 1, 2022 through June 30, 2023. New unit cost not to exceed $849 per dry ton, for a total estimated annual amount of$3,947,024; B. Approve a unit price contingency of$277 per dry ton (40%) to the liquid Ferric Chloride Agreement with Kemira, Inc., Specification No.C-2019-1037BD, for the period beginning July 1, 2022 through June 30, 2023. New dry ton unit cost not to exceed $965 per dry ton, for a total estimated annual amount of$1,936,062; and C. Approve a fuel surcharge of 2.5% on Ferric Chloride deliveries from Kemira, Inc. with quarterly Consumer Price Index (CPI) adjustments. BACKGROUND Ferric Chloride is used at both treatment plants to enhance primary solids coagulation and maintain hydrogen sulfide levels below Air Quality Management District (AQMD) permit levels. Ferric Chloride also reduces plant odors and corrosion. When staff initiated the agreement renewal process for July 1, 2022 through June 30, 2023, both Pencco and Kemira notified staff that there will be an increase in the unit price. The unit price increase is related to higher demand, escalating raw material pricing, supply chain issues, and increases in transportation costs. Particularly, the price increases in hydrochloric acid and iron have resulted in an increase in the price of ferric chloride. Staff recommends not to rebid these contracts at this time because of the volatile market conditions and the probability of being locked into higher pricing, based on an understanding of market conditions. The use of two vendors helps to maintain supply reliability and cost competition. Staff will evaluate rebidding both contracts next year. Orange County Sanitation District Page 1 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2318 Agenda Date: 5/25/2022 Agenda Item No: 12. RELEVANT STANDARDS • 24/7/365 treatment plant reliability • Zero odor incidents/events under normal operating conditions for Plant Nos. 1 and 2 • Meet volume and water quality needs for the GWRS PROBLEM When staff initiated the agreement renewal process with the suppliers, Pennco and Kemira, the suppliers notified staff of an increase in the unit price of ferric chloride and a fuel surcharge fee, which exceeds the Board authorized contingencies. PROPOSED SOLUTION Staff recommends the approval of the unit price increases and additional fuel surcharge fee. Staff will evaluate and initiate a re-bid next year for a new contract. TIMING CONCERNS The current contract expires on June 30, 2022. RAMIFICATIONS OF NOT TAKING ACTION Without action, problems with primary treatment settleability, air and water permit compliance, and odor complaints in the treatment plant are possible at both Plant Nos.1 and 2. PRIOR COMMITTEE/BOARD ACTIONS May 2021 - Approved a unit price contingency increase of $78.70 per dry ton (13.18%) to the liquid Ferric Chloride Agreement with Pennco, Inc., Specification No. C-219-1037BD for the term July 1, 2021 through June 30, 2022. New dry ton unit cost not to exceed $675.70 per dry ton. New contract estimated total is $2,027,100 plus applicable sales tax. May 2019 - Awarded a Purchase Order Agreement with Pencco, Inc. for the purchase of liquid ferric chloride, Specification No. C-2019-1037BD, for the period beginning July 1, 2019 through June 30, 2020, for a unit price of $597 per dry ton delivered, for an estimated annual amount of $1,791,000 (plus applicable sales tax) with four (4) one-year renewal options; and approved a unit price contingency of 10% per agreement. May 2019 - Awarded a Purchase Order Agreement with Kemira, Inc. for the purchase of liquid ferric chloride, Specification No. C-2019-103713D, for the period beginning July 1, 2019 through June 30, 2020, for a unit price of $630 per dry ton delivered, for an estimated annual amount of $3,150,000 (plus applicable sales tax) with four (4) one-year renewal options; and approved a unit price contingency of 10% per agreement. Orange County Sanitation District Page 2 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2318 Agenda Date: 5/25/2022 Agenda Item No: 12. ADDITIONAL INFORMATION Staff was notified of the additional unit price increases for liquid Ferric Chloride as well as the fuel surcharge fee. The vendors cited increase in fuel and transportation costs, energy costs, and inflation of commodities. Staff was unable to negotiate a reduction in increases for ferric chloride from the two suppliers. Some of the reasons cited for the unit price increase are trucking and rail freight fee increases, the limited supply of critical raw materials, and tight market conditions for iron. In addition, escalating fuel costs are significantly impacting the cost of operations for the chemical manufacturers, who are imposing a temporary 2.5% fuel surcharge until the average price of diesel fuel falls below $3.50/gallon. Staff is continuously monitoring the use of ferric chloride in the treatment plant processes and adjusting dosing rates and evaluating effects of changing ferric chloride dosing rates at primary treatment, and within the digesters, for a net reduction in the use of ferric chloride. Staff is also looking at alternative chemicals and combinations of alternative chemicals for potential use for odor control and treatment as part of an on-going Chemical Resiliency Study. Based on the study, staff will trial alternative process strategies to minimize chemical cost and usage and maximize resilient operations. Staff intends to bid out the contract for the Fiscal Year 2023-24. The estimated usage for the Fiscal Year 2022-23 is 6,100 dry tons of ferric chloride for the two treatment plants. CEQA N/A FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San's Purchasing Ordinance. This item has been budgeted in the FY 2021-22 Budget Update, Operating Expense, Operating Materials and Supplies, Paragraph 3, Page 29. ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: N/A JS:pp:cr Orange County Sanitation District Page 3 of 3 Printed on 5/16/2022 powered by LegistarTM Administration Building OPERATIONS COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2319 Agenda Date: 5/25/2022 Agenda Item No: 13. FROM: James D. Herberg, General Manager Originator: Riaz Moinuddin, Director of Operations & Maintenance SUBJECT: REGIONAL ODOR AND CORROSION CONTROL SERVICES (ROCCS) PROGRAM, SPECIFICATION NO. C-2017-899BD - CONTINGENCY INCREASE GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve a chemical unit price contingency increase of$146 per dry ton (an additional 20% of the base price) to the Ferrous Chloride Contract with Hill Brothers Chemical Company for the term July 1, 2022 through June 30, 2023, for a new total unit price contingency of$257.30 per dry ton (35%) for total estimated usage of$3,028,675; B. Approve a unit price contingency increase of 15% for application and field services fees for Ferrous Chloride with Hill Brothers Chemical Company for a new total unit price contingency of$7.50 (30%); C. Approve a fuel surcharge of 4% on Ferrous Chloride deliveries with Hill Brothers Chemical Company, with quarterly Consumer Price Index (CPI) adjustments; D. Approve a chemical unit price contingency increase of $65 per dry ton (an additional 12% of the base price) to the Magnesium Hydroxide Contract with Hill Brothers Chemical Company for the term July 1, 2022 through June 30, 2023, for a new total unit price contingency of $146.26 per dry ton (27%) for total estimated usage of $2,637,031-1 and E. Approve a chemical unit price contingency increase of$0.58/gal (an additional 17% of the base price) to the Calcium Nitrate Contract with USP Technologies for the term July 1, 2022 through June 30, 2023, for a new total unit price contingency of $1.06/gal (32%) a total estimated usage of $847,427. BACKGROUND The Orange County Sanitiation District (OC San) uses chemical injection systems in its sewage collection system to reduce the formation of Hydrogen Sulfide in the vapor space of the system. Hydrogen Sulfide is a nuisance odorant that smells like rotten eggs and can cause corrosion of concrete and steel. The ROCCS program currently operates 10 continuous chemical dosing sites located in nine member-agency cities to reduce odors in the OC San service area and extend sewer Orange County Sanitation District Page 1 of 4 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2319 Agenda Date: 5/25/2022 Agenda Item No: 13. pipes' life expectancy. Staff maintains oversight and daily interaction with the outsourced service providers. In May 2018, OC San awarded an agreement to Hill Brothers Chemical Company and USP Technologies for the ROCCS Program, Specification No. C-2017-899BD, for the supply, delivery, and dosing services of ferrous chloride, magnesium hydroxide, and calcium nitrate. These agreements provide continuous chemical dosing within the regional trunk system and major tributary sewers using a combination of three chemicals for various applications. In addition to supplying the chemicals, the suppliers will provide all necessary equipment, including tanks, containment, pumps, piping, secure fencing, and equipment monitoring to determine tank levels, leaks, and pump rates. RELEVANT STANDARDS • 12 or fewer odor complaints per year under normal operating conditions in the collection system • Zero odor incidents/events during normal operating conditions for Plant Nos. 1 and 2 • Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting PROBLEM When staff initiated the agreement renewal process with the suppliers, the suppliers notified staff of an increase in the unit price of ferrous chloride, magnesium hydroxide, and calcium nitrate, associated field services, and a fuel surcharge fee, which exceeds the Board authorized contingencies. PROPOSED SOLUTION Staff recommends the approval of the negotiated unit price increases and additional contingencies for the remaining year of a multi-year contract. Staff will re-bid for future services. TIMING CONCERNS If no action is taken, then a lapse in service for odor control will occur. RAMIFICATIONS OF NOT TAKING ACTION Without action, ferrous chloride and magnesium hydroxide addition in the collection system will cease. Normal biological action in the sewer system will produce hydrogen sulfide in an uncontrolled manner, which causes odor and corrosion problems in the collection system. PRIOR COMMITTEE/BOARD ACTIONS May 2021 - Approved a unit price contingency increase of $0.74/gal to the Calcium Nitrate Contract with US Peroxide, LLC dba USP Technologies for the term July 1, 2021, through June 30, 2022, for a new total amount of $3.21/gal; for a total estimated usage of $1,071,339; and approved Amendment No. 2 to the contract with Hill Brothers Chemical Company to approve an additional application Orange County Sanitation District Page 2 of 4 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2319 Agenda Date: 5/25/2022 Agenda Item No: 13. service rate of $80/per site per day and a field service rate of $80/per site per day, and a flat surcharge delivery fee of $400 for a small truck delivered for low dosage site of ferrous chloride only, including, but not limited to Crystal Cove Pump Station and Tiffany Lift Station. April 2018 - Awarded an Agreement to Hill Brothers Chemical Company for the ROCCS Program, Specification No. C-2017-899BD for ferrous chloride chemical supply and dosing services for the period July 1, 2018, through June 30, 2019, with four (4) one-year renewal options for the supply and delivery of ferrous chloride at the unit price of $508.82/dry ton delivered (plus applicable sales tax) with application services at a unit price of $25/per site per day and field services at a unit price of $25/per site per day for an estimated total annual amount of $2,001,263, and approved annual unit price and program price contingency of 15% per agreement. ADDITIONAL INFORMATION Staff was notified of the additional unit price increases for the three chemicals, as well as a fuel surcharge fee. The vendors cited increases in fuel and transportation costs, energy costs, and inflation of commodities. Staff was able to negotiate a reduction in increases on the field service rates for ferrous chloride from a 52% increase to a 30% increase. Magnesium Hydroxide was negotiated down from 32% to a 24% increase and Calcium Nitrate was negotiated down from 32% to 28%. Due to the extreme volatility in chlorine manufacturing, staff was unable to negotiate a lower price for Ferrous Chloride. Some of the reasons cited for the unit price increases are trucking and rail freight fee increases, the limited supply of critical raw materials, and market conditions. In addition, escalating energy costs are significantly impacting the cost of operations for the chemical manufacturers, who are imposing a temporary 4% fuel surcharge until the average price of diesel fuel falls below $3.50/gallon. Staff is continuously monitoring the use of the chemicals in the collections systems and adjusting dosing rates, monitoring the effects of chemical ratio changes, and generally investigating ways to optimize chemical usage to increase chemical odor treatment efficiency in the collections system. Staff is also looking at alternative chemicals and combinations of alternative chemicals for potential use for odor control and has initiated a Chemical Resiliency Study. Based on the study, staff will commence trials of changes to chemical dosages. Staff intends to bid out the ROCCS contracts for the Fiscal Year 2023-24. The estimated usage for the Fiscal Year 2022-23 is 2,913 dry tons of Ferrous Chloride, 3,509 dry tons of Magnesium Hydroxide, and 181,314 gallons of Calcium Nitrate. CEQA N/A FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San's Purchasing Ordinance. This item has been budgeted in the FY 2021-22 Budget Update, Operating Expense, Operating Materials and Supplies, Paragraph 3, Page 29. Orange County Sanitation District Page 3 of 4 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2319 Agenda Date: 5/25/2022 Agenda Item No: 13. ATTACHMENT The following attachment(s) may be viewed online at the OC San website (www.ocsan.gov) with the complete agenda package: N/A DS:ct:sr Orange County Sanitation District Page 4 of 4 Printed on 5/16/2022 powered by LegistarTM Administration Building ADMINISTRATION COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2333 Agenda Date: 5/25/2022 Agenda Item No: 14. FROM: James D. Herberg, General Manager Originator: Lorenzo Tyner, Assistant General Manager SUBJECT: CONSOLIDATED FINANCIAL REPORT FOR THE THIRD QUARTER ENDED MARCH 31, 2022 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the Orange County Sanitation District Third Quarter Financial Report for the period ended March 31, 2022. BACKGROUND Included in this consolidated report are the following quarterly financial reports for the period ended March 31, 2022: • Third Quarter Budget Review The Budget Review Summary provides the Directors, staff, and general public with a comprehensive overview of the financial results of the Orange County Sanitation District (OC San) through the third quarter ended March 31, 2022. • Quarterly Treasurer's Report This section reports on financial portfolio performance with respect to OC San's funds. Both Long-Term and Liquid Operating Monies Portfolios are summarized. A performance summary table can be found on page 2 of this agenda report. The report also contains information on the U.S. and global economic outlook from OC San's investment manager, Chandler Asset Management. Additionally, the Section 115 Trust quarterly performance report is included. The Section 115 trust is administered by Public Agency Retirement Services (PARS) and managed by HighMark Capital, and was established to prefund pension obligations. • Certificates of Participation (COP) Quarterly Report The report includes a summary of each outstanding debt issuance and a comparative chart illustrating the COP rate history. RELEVANT STANDARDS • Quarterly financial reporting Orange County Sanitation District Page 1 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2333 Agenda Date: 5/25/2022 Agenda Item No: 14. ADDITIONAL INFORMATION The quarterly treasurer's report contained within the Consolidated Financial Report for the Third Quarter Ended March 31, 2022 is being submitted in accordance with OC San's investment policy that requires the report be submitted to the governing body following the end of each quarter and includes the following information: • Performance results in comparison with the ICE BAML 3-month treasury bill index for the liquid operating portfolio; and the ICE BAML Corp./Govt. 1-5 Year Bond index for the long-term portfolio as identified in the investment policy; and the time-weighted total rate of return for the portfolio for the prior three months, six months, nine months, twelve months, and since inception compared to the Benchmark returns for the same periods: Portfolio Performance Summary As of March 31,2022 Liquid Operating Monies(%) Long-Term Operating Monies(%) Total Rate Benchmark Total Rate Benchmark of Return of Return 3 Months -0.01 0.04 -793 -3.24 6 Months -0.01 0.05 -3.54 -3.90 9 Months 0.01 0.06 -3.52 -3.89 12 Months 0.03 0.06 -3.33 -3.70 Annualized Since Inception 30 Nov 2014 0.93 0.83 1.33 1.25 • A listing of individual securities held at the end of the reporting period (see the detailed listings of each security contained within the report). • Cost and market values of the portfolios: Liquid Operating Long-Term Cost $156.0 M $739.2 M Market Value $155.8 M $720.7 M • Modified duration of the portfolio compared to the Benchmark: Liquid Operating Long-Term OC San Policy < 0.50 < 5.00 Benchmark 0.15 2.55 Portfolio 0.23 2.46 • Dollar change in value of the portfolio for a one percent (1%) change in interest rates: Liquid Operating - $364,985 Long- Term - $17,699,269 • None of the portfolios are currently invested in reverse repurchase agreements. Orange County Sanitation District Page 2 of 3 Printed on 5/16/2022 powered by LegistarT" File #: 2022-2333 Agenda Date: 5/25/2022 Agenda Item No: 14. • The percent of the Liquid Operating Monies portfolio maturing within 90 days: 62.0% • Average portfolio credit quality: Liquid Operating - AA+/Aaa Long- Term - AA/Aa1 • Percent of portfolio with credit ratings below "A" by any rating agency and a description of such securities: Liquid Operating - 1.3% Long- Term - Percent of portfolio - 1 .2% Cost Maturity Moody S&P Fitch Date Morgan Stanley Note $2,047,260.00 5/19/2022 Al BBB+ A SLM Student Loan Trust 2008-9 A $9,151.39 4/25/2023 Ba3 B B AMRESCO Residential Securities 1999-1 A $87,577.91 6/25/2029 NR BBB A Morgan Stanley Callable Note $8,889,710.25 5/30/2025 Al BBB+ A • All investments are in compliance with this policy and the California Government Code, except for the following Lehman Brother holdings that OC San is pursuing collection through the bankruptcy court: Lehman Brothers Note-Defaulted $600,000 par value purchased 9/19/2008 Lehman Brothers Note-Defaulted $2,000,000 par value purchased 9/18/2008 • Sufficient funds are available for OC San to meet its operating expenditure requirements for the next six months. CEQA N/A FINANCIAL CONSIDERATIONS N/A ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Consolidated Financial Report for the Third Quarter Ended March 31, 2022 Orange County Sanitation District Page 3 of 3 Printed on 5/16/2022 powered by LegistarTM 1 1 E 1 6 _. 77 4_ ORANGE COUNTY SANITATION DISTRICT I I i oil for the period ended March 31, 2022 ORANGE COUNTY SANITATION DISTRICT Orange County, California Table of Contents ExecutiveSummary....................................................................................................................1 Budget Review Section 1 — Consolidated Financial Reports.........................................................................1 Section 2 —Operating Budget Review Chart of Cost per Million Gallons by Department ....................................................1 Chart of Collection, Treatment, & Disposal Expenses by Major Category...............1 Divisional Contributions to Cost Per Million Gallons................................................2 Comparison of Expenses by Department................................................................3 Summary of Collection, Treatment, & Disposal Expenses by Major Category.........4 Summary of Revenues ...........................................................................................5 Summary of Collection, Treatment, & Disposal Expenses by Line Item ..................6 Summary of Collection, Treatment, & Disposal Expenses by Process....................8 Chartof Staffing Trends..........................................................................................9 Section 3 — Capital Improvement Program Budget Review Chart of Capital Improvement Program By Process Area and Project Driver..........1 Summary of Capital Improvement Construction Requirements— Current Year.......2 Summary of Capital Improvement Construction Requirements— Project Life .........6 Section 4 — Capital Assets Schedule & Debt Service Budget Review Capital Assets Schedule.........................................................................................1 Debt Service Budget Review ..................................................................................1 Section 5 — Self Insurance Budget Review General Liability and Property Fund Budget Review...............................................1 Workers' Compensation Fund Budget Review........................................................2 Quarterly Treasurer's Report.......................................................................................................1 QuarterlyCOP Report.................................................................................................1 FY 2021 -22 Third Quarter Financial Report This Page Intentionally Left Blank Table of Contents Executive Summary Consolidated Financial Reports For the Third Quarter Ended March 31, 2022 Included in this consolidated report are the following quarterly financial reports for the period ended March 31, 2022: • Third Quarter Budget Review: The Consolidated Financial Reports Section provides the Directors, staff, and the general public with a comprehensive overview of the financial results of the Orange County Sanitation District (OC San) through the third quarter ended March 31 , 2022. Contained within the Budget Review Sections 2 through 5 is the budget-to-actual status of the Collection, Treatment and Disposal Operations, Capital Improvement Program, Debt Service, and Self-Insurance Program. Also included is a Capital Assets Schedule as of March 31, 2022. The chart below provides for a summary of these activities. Third Quarter Results as a Percentage of Budget 100% 75% 50% $229.4M $442.6M $133.5M $2.5M 25% $114.3M 0% Operating Operating Capital Debt Self Revenue* Expense Outlays Service* Insurance *excludes unbudgeted Series 2022A proceeds and debt refundings Various detail information can be found in this report. Below is a descriptive summary of these activities through March 31, 2022: a) Most major expense categories are anticipated to be at or below budget. b) Total revenues are at 84.6 percent of the $650.9 million budget, mainly due to the receipt of $164.4 million from the issuance of Revenue Refunding Certificates of Participation (COP), Series 2021A in the first quarter, and $107.8 million from issuance of Revenue Refunding COP, Series 2022A in Page 1 Table of Contents FY 2021 -22 Third Quarter Financial Report the third quarter of the fiscal year. The Series 2021A obligations were issued to refund $61.6 million of the Series 2011A wastewater refunding revenue obligations and $102.2 million of the Series 2018A revenue certificate anticipation notes, and the Series 2022A obligations were issued to refund $100.6 million of the Series 2012A and $6.7 million of the Series 2012B wastewater refunding revenue obligations. Excluding the unbudgeted debt financing proceeds from Series 2022A, total revenues are at 68.0 percent of the budget. Except for Intra District Sewer Use-IRWD, Sludge Disposal-IRWD, Capital Assessments-IRWD, Interest Earnings, CIP Reimbursements, Grant Revenue, Rents & Leases, and Other Revenues, most revenue sources are currently tracking close to or exceeding revenue estimates. Overall, total revenues are projected to approximate budget at year-end. More detailed information on revenues is provided within Section 1 — Pages 4 through 6. c) Collection, Treatment and Disposal Costs: As indicated within the Consolidated Financial Reports Section of this report, the net operating requirements through the third quarter of $133.5 million is currently tracking at 72.6 percent of the $184.0 million budget. In addition, net operating expenses have increased $7.0 million or 5.5 percent in comparison with the same period last year. Overall, staff expects the total operating costs to remain at or slightly below budget throughout the remainder of the year. More detailed information on operating expenses is provided within Section 1 — Pages 1 through 3. The total cost per million gallons is $2,711 based on flows of 180 million gallons per day. This is $30 per million gallons, or 1.1 percent higher than the budgeted cost per million gallons per day. A further description of these costs and benchmarking with other agencies is contained within Section 1 — Pages 7 through 9. d) The total projected capital outlay cash flow of the Capital Improvement Program (CIP) for FY 2021-22 has been revised to $203.0 million, or 90.4 percent of the board approved cash outlay of $224.6 million. The actual cash outlay spending through the third quarter is $114.3 million, or 50.9 percent of the total budgeted outlay. More detailed information on the CIP budget review can be found in Section 1 — Page 10 and Section 3. • Third Quarter Treasurer's Report This section reports on financial portfolio performance with respect to OC San's funds. Both Long-Term and Liquid Operating Monies Portfolios are summarized. A performance summary table can be found on page 2 of this section. The report also contains information on the national economic outlook from OC San's money manager, Chandler Asset Management (Chandler). Chandler notes the Long-Term Portfolio quarterly return of negative 293 basis points outperformed the ICE BAML 1-5 Year US Corp/Govt Rated AAA-A Index return of negative 324 basis point, while the Liquid Operating Monies Portfolio Page 2 Table of Contents Executive Summary quarterly return of negative 1 basis point underperformed the ICE BAML 3-Month US Treasury Bill Index return of 4 basis points. Chandler further notes that the Russian invasion into Ukraine and resulting Western sanctions on Russia continue to impact financial markets and the global economic outlook. As a result of the sanctions inflationary pressures have increased, particularly in energy, metals, and agricultural commodities like wheat. Elevated inflation data is setting the stage for further rate hikes by the Federal Reserve (Fed) this year. The Fed is likely to continue to tighten monetary policy this year but has little margin for error to achieve a soft landing for the economy as it attempts to combat inflation without pushing the economy into a recession. We believe a strong labor market and consumer spending will continue to provide tailwinds to the economy; however, a prolonged conflict in Eastern Europe, elevated commodity prices, and tighter monetary policy present risks to economic growth. We expect financial market volatility to remain elevated and conditions to tighten as the Fed transitions to a less accommodative monetary policy. The Federal Open Market Committee (FOMC) raised the federal funds rate by 0.25% at their March 16 meeting to a target range of 0.25% to 0.50%, the first increase since 2018, after two years of holding the federal funds rates near zero to insulate the economy from the impacts of the pandemic. The minutes from the March 16th meeting telegraphed their plans to continue to remove policy accommodation via increasing the Fed Funds rate and shrinking the size of the Federal Reserve's balance sheet. They indicated a $95 billion cap for asset purchase runoff ($60 billion in Treasury securities and $35 billion in mortgage- backed securities) likely to be formally announced at the May 4 FOMC meeting. Reducing the size of the Federal Reserve's balance sheet is effectively a tightening of monetary policy and could potentially serve to keep the pace of the Fed Funds increases measured. In March, yields increased dramatically, and the curve continued to flatten. The 2-year Treasury yield increased 90 basis points to 2.34%, the 5-year Treasury yield increased 74 basis points to 2.46%, and the 10-year Treasury yield increased 51 basis points to 2.34%. The spread between the 2-year and 10-year Treasury yield declined to zero at March month-end versus 40 basis points at February month-end and 158 basis points one year ago. While the flat yield curve bears watching over the longer run, the spread between 3-month and 10- year treasuries is still steep at about 185 basis points, which indicates likely economic growth in the coming year. At the end of March, the 2-year Treasury yield increased to 2.33%, and the 10- Year Treasury yield rose to 2.34%. The spread between the 2-year Treasury yield and 10-year Treasury yield was one basis point at the end of March compared to the average historical 20-year spread (since 2003) of 143 basis points. Page 3 Table of Contents FY 2021 -22 Third Quarter Financial Report Although U.S. consumer prices rose less than expected in March, inflation remained elevated at a 40-year high. The Consumer Price Index (CPI) was up 8.5% year-over-year in March, versus up 7.9% year-over-year in February. Core CPI (CPI less food and energy) was up 6.5% year-over-year in March, versus up 6.4% year-over-year in February. Gasoline costs drove half of the monthly increase, while food was also a sizable contributor. Used vehicle prices declined, resulting in lower than forecast core increases for the month. The Personal Consumption Expenditures (PCE) index was up 6.4% year-over-year in February, up from 6.0% in January. Core PCE was up 5.4% year-over-year in February, versus up 5.2% in January. Current inflation readings continue to run well above the Fed's longer-run target of around 2.0%. While gas prices have started to decline in recent weeks in part due to COVID lockdowns in China, we believe pricing pressures may remain elevated longer than anticipated as a result of the conflict in Europe. Economic Outlook Fixed income Treasury yields moved materially higher during the quarter as the `transitory' inflation narrative disintegrated and both policy makers and market participants pulled forward their timeline on rate hikes as well as forecasting a higher neutral policy rate. The lingering impact of COVID, particularly in China accentuated by their `zero COVID' policy, as well as the escalating conflict between Ukraine and Russia, both served to further exacerbate elevated inflation pressures. Commodity prices have also increased, most notably the price of oil, leading to more uncertainty on the consensus view domestic inflation metrics will move lower in the second half of 2022. The Chandler team believes both the equity and fixed income markets will remain volatile in the coming months linked to the limited visibility on inflation metrics, a higher level of uncertainty on the overall economic outlook and tightening financial conditions. The Federal Open Market Committee (FOMC) began the process of removing policy accommodation at the March 16th meeting via increasing the fed funds policy rate by twenty-five basis points to a range of 0.25% to 0.50%. Policymakers are telegraphing additional tightening of policy via further increases in the Fed Funds rate as well as allowing the Federal Reserve's balance sheet to shrink via Quantitative Tightening (QT). The amount of QT will be materially higher than prior episodes of balance sheet reduction, with the FOMC minutes suggesting the balance sheet will contract by $95 billion per month ($60 billion in Treasury, $35 billion in mortgage backed securities) formally announced at the May FOMC meeting and commencing shortly thereafter. QT of this magnitude is an untested monetary policy tool which we believe will contribute to additional market volatility and a further tightening of financial conditions with the potential to steepen the Treasury yields curve via an increase in the term premium within the overall Treasury market. The Chandler team believes the FOMC is focused on policy optionality, with every meeting `live,' to adjust policy accommodation to ensure long term inflation expectations remain anchored around the 2% long- term objective. Page 4 Table of Contents Executive Summary The underlying tenets of the US economy remain sound with both the ISM Manufacturing and ISM Services indices comfortably in expansionary territory with recent readings of 57.1 and 58.3, respectively. Job growth remains extraordinarily strong with the three-month moving average on nonfarm payrolls at 562k through March 2022 and the unemployment rates down to 3.6%, clearly consistent with the economic definition of full employment. Wage pressures remain elevated with average hourly earnings on a year over year basis increased at a 5.6% rate through March 2022, however the participation rate at 62.4% is still below the January 2020 pre COVID level of 63.4%. Given the elevated market volatility, the negative performance of risk assets to start the year, and the increase in interest rates, we believe some sidelined workers will gradually begin to re-enter the labor force, which should help to mitigate the annual rate of wage inflation over time. The Chandler team still believes inflation metrics will move lower in the second half of 2022, but the magnitude and pace of the change are highly uncertain. • Third Quarter Certificates of Participation (COP) Report The report includes a summary of each outstanding debt issuance and a comparative chart illustrating the COP rate history. Page 5 Table of Contents FY 2021 -22 Third Quarter Financial Report This Page Intentionally Left Blank Page 6 Table of Contents Consolidated Financial Reports Third Quarter Financial Report March 31, 2022 The Financial Management Division is pleased to present the FY 2021-22 third quarter financial report. This report provides a comprehensive overview of the financial activities of the Orange County Sanitation District (OC San) and reports on the status of all capital projects in progress. A summary of the sections contained within this report is provided below. Operating Budget Review: This section reports on collection, treatment, and disposal net operating requirements. At March 31, 2022, 72.6 percent, or $133.5 million of the FY 2021-22 net operating budget of $184.0 million has been expended. Net operating expenses increased from the same period last year by $7.0 million, or 5.5 percent, mainly due to an increase of $3.2 million in Salaries and Benefits, $1.2 million in Professional Services, $1.0 million in Repairs and Maintenance, $818,000 in Operating Materials and Supplies, $604,000 in Utilities, and $267,000 in Contractual Services, partially offset by a decrease of $117,000 in Research and Monitoring. These and other variances that factor into this net increase in expenses are discussed in more detail below. Overall, staff expects the total operating costs to remain at or slightly below budget through the remainder of the year. At March 31, 2022, 84.6 percent, or $550.4 million of the FY 2021-22 budgeted total revenues of $650.9 million has been recognized. Revenues increased from the same period last year by $239.6 million, or 77.1 percent, mainly due to receipt of $164.4 million from issuance of Revenue Refunding Certificates of Participation (COP), Series 2021A in the first quarter, and $107.8 million from issuance of Revenue Refunding COP, Series 2022A in the third quarter of the fiscal year. Excluding the unbudgeted debt financing proceeds from Series 2022A, total revenues are at 68.0 percent of the budget. Other increases include $4.9 million in Property Taxes, $2.1 million in Service Fees, $999,000 in Capital Assessments-IRWD, and $863,000 in Capital Facilities Capacity Charges, which are offset by a decrease of $28.8 million in Interest Earnings, $9.4 million in Sludge Disposal-IRWD, $2.5 million in CIP Reimbursements, and $888,000 in Other Revenues. These and other variances that factor into this net increase in revenues are discussed in more detail below. Overall, staff expects the total revenues to approximate budget at the end of the fiscal year. Significant operating results as of March 31 , 2022, include the following: • Salaries, Wages and Benefits — Personnel costs of $80.0 million are on target at 74.0 percent of the budget through the third quarter of FY 2021-22. The budget is based on a 5 percent vacancy factor, and staffing is 44 full-time equivalents (FTEs), or 6.9 percent below the total 639 FTEs approved in the FY 2021-22 budget. Salary and benefit costs are $3.2 million, or 4.1 percent higher than the $76.8 million Section 1 - Page 1 Table of Contents FY 2021 -22 Third Quarter Financial Report incurred in the same period last year, mainly due to an increase of $2.7 million in Salaries and Wages, $196,000 in Workers' Compensation, and $187,000 in Group Insurances. Net operating personnel costs are expected to approximate budget throughout the remainder of the year. • Administrative Expenses — Administrative Expenses totaled $1.5 million, or 73.0 percent of the $2.1 million budget through March 31. These costs are $55,000, or 3.8 percent higher at March 31 in comparison with the prior year, mainly due to an increase of $82,000 in Small Computer Items and $35,000 in Minor Furniture & Fixtures for installation of Plant No. 2 Maintenance workstations, offset by a decrease of $57,000 in Memberships as a result of timing of payments. It is anticipated that administrative costs will approximate budget at year-end. • Printing and Publication Expenses — Printing and Publication Expenses totaled $213,000, or 50.8 percent of the $420,000 budget through March 31. These costs are $43,000, or 25.2 percent higher at March 31 in comparison with the prior year, due to an increase in costs incurred for legal notices and employment recruitment. Printing and publication costs are expected to be below budget at year-end. • Training and Meetings — Training and meetings of $253,000 is below target at 27.9 percent of the $907,000 budget through March 31. This account is lower than the proportionate budget due to the timing and need for training throughout the year and the reduction of in-person training and meetings in response to the COVID- 19 pandemic. These costs have increased over the same period last year by $8,000, or 3.3 percent. Total training and meeting costs are anticipated to be below budget at year-end. • Operating Materials and Supplies — Operating materials and supplies of $15.3 million is slightly below target at 69.8 percent of the $22.0 million budget through March 31. Operating Materials and Supplies is higher than the prior year by $818,000, or 5.6 percent, mostly due to increases of $715,000 in Chemical Coagulants resulting from increased usage and unit costs of cationic polymer, ferric chloride, and anionic polymer, $298,000 in Odor and Corrosion Control, $112,000 in Gasoline, Diesel, and Oil from increased quantity and price of vehicle fuel purchases, and $69,000 in Safety Equipment/Tools, offset by a decrease of $213,000 in Tools and $171,000 in Disinfection from reduced purchases of sodium hypochlorite. Based on current processes, operating materials and supplies are anticipated to approximate or be slightly below budget at year-end. • Contractual Services — Contractual services is below target at $12.8 million, or 67.1 percent of the $19.1 million budget through March 31. Solids Removal costs, budgeted at $13.1 million, comprise the majority of this expense category at $9.0 million, or 68.5 percent of its budget at March 31 . Contractual Services is higher by $267,000, or 2.1 percent over the same period last year, mainly due to the increase of $383,000 in Solids Removal, $106,000 in Janitorial, and $84,000 in Outside Lab Services, offset by a decrease of $274,000 in Other Contractual Section 1 - Page 2 Table of Contents Consolidated Financial Reports Services and $54,000 in Other Waste Disposal. County Service Fees totaled only $17,000, or 3.4 percent of the $504,000 budget through the third quarter, as the preponderance of these fees are billed by the County in the fourth quarter. Total contractual services costs are anticipated to approximate or be below budget at year-end. • Professional Services — Professional services costs totaled $3.6 million, or 51.6 percent of the $6.9 million budget through March 31. Professional services costs, such as Audit & Accounting, Environmental Scientific Consulting, Software Program Consulting, Industrial Hygiene Services, and Other Professional Services, are proportionately low through March 31 due to a variety of factors such as timing of services and re-evaluation of need for services. These costs are $1.2 million, or 49.6 percent higher at March 31 in comparison with the prior year, mainly due to an increase of $456,000 in Legal Services, $397,000 in Engineering, and $280,000 in Other Professional Services. It is anticipated that the costs for this category will be below budget at year-end. • Research and Monitoring — Research and monitoring costs totaled $777,000, or 50.2 percent of the $1.5 million budget through March 31. These costs are $117,000, or 13.1 percent lower at March 31 in comparison with the prior year, due to a decrease of $149,000 in Environmental Monitoring costs for ocean water quality analysis and $24,000 in Air Quality Monitoring costs for emissions testing, offset by an increase of $56,000 in Research costs reflecting the higher annual contribution to Southern California Coastal Water Research Project. Total research and monitoring costs are anticipated to be below budget at year-end. • Repairs and Maintenance — Repairs and maintenance costs totaled $23.4 million, or 78.7 percent of the $29.7 million budget through March 31. These costs are $1.0 million, or 4.5 percent higher at March 31 in comparison with the prior year, due to an increase in repair and maintenance services and materials, such as digester cleaning services and centrifuge maintenance, as well as industrial cleaning and coating services which were budgeted and recorded in Contractual Services in the prior year. It is anticipated that the costs for this category will approximate budget at year-end. • Utilities — Utilities costs totaled $7.9 million, or 84.9 percent of the $9.3 million budget through March 31. These costs are $604,000, or 8.3 percent higher at March 31 in comparison with the prior year, primarily due to an increase of $756,000 in Power due to greater electricity consumption and higher unit costs, partially offset by a decrease of $153,000 in Water. It is anticipated that the costs will be above budget at year-end. • Other Operating Supplies — Other operating supplies costs totaled $3.1 million, or 74.6 percent of the $4.2 million budget through March 31. Property and General Liability Insurance, budgeted at $2.2 million, comprise the majority of this expense category at $1.6 million. Overall, Other Operating Supplies is $18,000, or 0.6 percent lower at March 31 in comparison with the prior year, primarily due to a Section 1 - Page 3 Table of Contents FY 2021 -22 Third Quarter Financial Report decrease of $49,000 in Property and General Liability Insurance, which is partially offset by an increase of $30,000 in Regulatory Operating Fees. It is anticipated that other operating supplies costs will approximate budget at year-end. • Revenues — Service Fees and Property Taxes — Through March 31, revenues from Service Fees are at $199.8 million, or 66.2 percent of the $301.8 million budget and Property Taxes are at $74.3 million, or 72.0 percent of the $103.2 million budget. Not including Debt Proceeds, these items comprise the majority of OC San's revenues and are mostly collected by the County through the property tax roll and distributed to OC San throughout the year based on a set distribution schedule that begins in November of each year. The increase of $2.1 million, or 1.1 percent in service fee revenue over the prior year is primarily due to the timing of receipts. The property tax revenue increase of $4.9 million, or 7.0 percent over the prior year is a result of the timing of secured and redevelopment agency tax receipts, as well as growth in assessed property values. These revenues are expected to approximate budget at year-end. • Revenues — Permit Fees — Permit Fees are at $9.3 million, or 73.4 percent of the $12.6 million budget. The revenues through the third quarter are lower than the same period last year by $88,000, or 0.9 percent, due to the fluctuation in the number of permittees from year to year as businesses establish or cease their operations. Permit Fees revenues are expected to approximate budget at year- end. • Revenues — Inter District Sewer Use — SAWPA and SBSD — Inter District Sewer Use-SAWPA and SBSD are at $2.1 million, or 80.8 percent of the $2.7 million budget. This revenue is derived from charges to the Santa Ana Watershed Protection Agency (SAWPA) and Sunset Beach Sanitary District (SBSD) for treatment of flows. The revenues through the third quarter are higher than the same period last year by $47,000, or 2.3 percent, due to an increase in operation and maintenance charges based on flows received from these agencies. These revenues are expected to approximate budget at year-end. • Revenues — Intra District Sewer Use — IRWD — Intra District Sewer Use-IRWD are at $1.6 million, or 34.1 percent of the $4.6 million budget. This revenue is derived from charges to the Irvine Ranch Water District (IRWD) for treatment of flows. The revenues through the third quarter are lower than the same period last year by $60,000, or 3.7 percent, due to a decrease of $429,000 in operating and maintenance charges to IRWD, resulting from a prior year adjustment, and an increase of $602,000 in property tax income allocated to IRWD, offset by a decrease of $971 ,000 in interest income allocated to IRWD. These revenues are expected to be below budget at year-end. • Revenues — Sludge Disposal — IRWD — Sludge Disposal-IRWD, budgeted at $6.1 million, has not recognized any revenues through March 31. This revenue is for the handling, treatment, and disposal of solids derived from flows discharged by IRWD to OC San. Billings are based on estimates, with a reconciled adjustment Section 1 - Page 4 Table of Contents Consolidated Financial Reports recorded in subsequent years. The revenues through the third quarter are lower than the same period last year by $9.4 million, or 100.0 percent, due to IRWD commissioning their new solids processing facilities and reducing their diversion of solids to OC San's line to near zero. Consequently, no billings have been produced through March 31. It is anticipated that IRWD sludge disposal revenues will be below budget at year-end. • Revenues — Capital Assessments — IRWD — Capital Assessments-IRWD are at $3.3 million, or 41.3 percent of the $7.9 million budget. The revenues through the third quarter are higher than the same period last year by $999,000, or 44.1 percent, mainly due to an increase in joint capital costs allocable to IRWD. It is estimated that IRWD capital assessments revenues will be below budget at year-end. • Revenues — Capital Facilities Capacity Charges (CFCC) — CFCC are at $12.9 million, or 77.0 percent of the $16.7 million budget. The revenues through the third quarter are higher than the same period last year by $863,000, or 7.2 percent, due to increases in capacity charges collected from local agencies and supplemental charges assessed to industrial dischargers. These revenues are expected to approximate budget at year-end. • Revenues — Interest Earnings — Interest Earnings are at negative $28.8 million, or -198.3 percent of the $14.5 million budget. The revenues through the third quarter are lower than the same period last year by $28.8 million due to a negative total rate of return on securities held in the long-term investment portfolio, which is largely comprised of unrealized losses. It is estimated that interest earnings will be below budget at year-end. • Revenues — CIP Reimbursements — CIP Reimbursements are at $1.3 million, or 11.4 percent of the $11.8 million budget. This revenue is $2.5 million, or 65.0 percent lower than the same period last year and is due to timing of reimbursements and decreased current period costs for construction projects, such as the budgeted $8.6 million from Orange County Water District (OCWD) for P2-122 Headworks Modifications at Plant No. 2 for GWRS Final Expansion and $3.1 million from OCWD for J-117B Outfall Low Flow Pump Station. These revenues are expected to be below budget at year-end. • Revenues — Wastehauler — Wastehauler revenues are at $702,000, or 93.7 percent of the $750,000 budget. This revenue is derived from fees charged to wastehaulers, allowing them to dump waste into OC San's system. The revenues through the third quarter are higher than the same period last year by $100,000, or 16.7 percent, due to an increase in waste dumping. These revenues are expected to be above budget at year-end. • Revenues — CNG Sales — CNG Sales revenues are at $270,000, or 67.5 percent of the $400,000 budget. This revenue is derived from public sales at OC San's Compressed Natural Gas (CNG) fueling station. The revenues through the third quarter are higher than the same period last year by $114,000, or 73.2 percent, Section 1 - Page 5 Table of Contents FY 2021 -22 Third Quarter Financial Report presumably attributed to the decrease in commuting in the prior year brought about by COVID-19. These revenues are expected to be below budget at year-end. • Revenues — Rents & Leases — Rents & Leases revenues are at $341,000, or 56.8 percent of the $600,000 budget. The revenues through the third quarter are lower than the same period last year by $121,000, or 26.2 percent, due to less rent received as tenants move out of the properties acquired for construction of the new headquarters complex. These revenues are expected to be below budget at year-end. • Revenues — Other — Other revenues are at $854,000, or 30.7 percent of the $2.8 million budget. These revenues are $888,000, or 51.0 percent lower than the same period last year, primarily due to a net decrease of $796,000 in miscellaneous other revenue from large prior year capital project settlement payments offset by current year federal credit for COVID-19 supplemental paid sick leave, and decreases of $86,000 in operating cost reimbursement and $81,000 in civil penalties, partially offset by an increase of $36,000 in deferred compensation administrative activities. These revenues are expected to approximate or be below budget at year-end. Section 1 - Page 6 Table of Contents Consolidated Financial Reports Comparison of Third Quarter Cost per Million Gallon Results with Budget Last Five Years $2,800 $2,700 $2,600 N N 0$2,500 64 69 0 CO L() $2,400 M cli $2,300 N � Un y3 M M $2,200 C:) NEFJ N $2,100 clio M N $2,000 NEf? N EA $1,900 $1,800 $1,700 $1,600 $1,500 17-18 18-19 19-20 20-21 21-22 ❑ Fiscal Year Budget ❑Third Quarter As demonstrated in the preceding graph for the current and each of the last four fiscal years, the cost per million gallons at the end of the third quarter has been between 1.1 percent higher and 11.9 percent lower than the annual budget. The FY 2021-22 third quarter cost per million gallons of $2,711 is 1.1 percent higher when compared with this year's budget. The increase in cost per million gallons of $181 from the previous year is primarily due to an increase in operating expenses, which are 5.5 percent higher than the same period last year, and a decrease in flows, which are 1.5 percent lower than the same period last year. Staff believes that overall operating costs will be at or slightly below budget at year-end. The total cost per million gallons at March 31 is $2,711 based on flows of 180 million gallons per day. This is $30 per million gallons, or 1.1 percent higher than the budgeted cost per million gallons of $2,681. There is an inverse relationship between the amount of flows and the cost per unit of collection, treatment, and disposal. Consequently, the higher cost per million gallons is due to flows of 180 million gallons per day being 4.4 percent less than the budgeted flow of 188 million gallons per day, partially offset by net expenses being 3.2 percent lower than the proportionate budget through March 31. More detailed information on operating revenues, costs, and related information is provided within Section 2. Section 1 - Page 7 Table of Contents FY 2021 -22 Third Quarter Financial Report Following are data tables showing the last five years of Single Family Residential User Fees (SFR) and the cost per million gallons (MG) to collect, treat, and dispose of wastewater for the Orange County Sanitation District and similar agencies. The agencies used in the tables were determined to be those that most closely resembled OC San in terms of services provided and treatment levels. The summaries demonstrate that OC San's SFR and cost per MG are each one of the lowest in their respective groups. Benchmark Study Five-Year Single Family Residential Rate Rates as of July 2017 2018 2019 2020 2021 Agency SFR SFR SFR SFR SFR Notes San Francisco $ 937 988 1,076 1,169 1,270 Vallejo Sanitation/Flood Control District $ 520 585 656 715 747 Central Contra Costa Sanitary District $ 530 567 598 598 660 City of Los Angeles $ 527 561 597 636 636 (1) City of San Diego $ 573 573 573 573 573 (2) Union Sanitary District $ 393 407 421 421 524 (3) Dublin San Ramon Services District $ 397 423 447 469 486 East Bay MUD $ 391 410 423 439 457 City of Hayward $ 375 394 412 430 446 Sacramento County $ 432 444 444 444 444 Orange County Sanitation District $ 331 335 339 339 343 Oro Loma Sanitary District $ 238 256 275 296 318 Irvine Ranch Water District $ 309 309 313 313 313 (4) City of Fresno $ 309 309 309 309 309 (5) Los Angeles County $ 186 191 196 213 226 (6) Notes: (1) - Data is for the typical SFR customer rate. (2) - Data represents the base sewer fee plus the average usage of 9 hundred cubic feet per month. (3) - Deferred rate increase for July 2020 incorporated into July 2021 rate. (4) - Data represents the usage of 10 hundred cubic feet per unit. (5) - Data represents the minimum SFR rate not including flow. (6) - Data represents the Average Service Charge Rates for the prior fiscal year. Section 1 - Page 8 Table of Contents Consolidated Financial Reports Benchmark Study Five-Year Cost per MG FY 16-17 FY 17-18 FY 18-19 FY 19-20 FY 20-21 Agency Svc.Trt. Cost/MG Cost/MG Cost/MG Cost/MG Cost/MG Notes San Francisco B 2 $ 4,916 5,295 5,995 7,573 9,456 (1) Vallejo Sanitation/Flood Control District B 2 $ 4,745 5,393 6,137 8,682 9,108 (2) Central Contra Costa Sanitary District B 3 $ 6,081 5,588 3,980 5,284 6,513 (3) Union Sanitary District B 2 $ 4,039 4,757 4,838 5,655 5,569 City of San Diego B 3 $ 3,834 4,147 4,180 3,977 4,219 East Bay MUD T 2 $ 2,353 3,137 2,710 3,122 4,052 (4) Dublin San Ramon Services District B 3 $ 2,961 3,422 3,692 3,441 3,570 (5) Sacramento County T 3 $ 2,752 2,831 2,812 3,407 3,470 City of Los Angeles B 3 $ 2,487 2,329 3,046 3,021 2,763 (6) Orange County Sanitation District B 2 $ 2,055 2,069 2,275 2,422 2,428 Los Angeles County B 3 $ 1,965 2,077 2,264 2,343 2,338 (7) City of Fresno B 3 $ 1,796 1,813 1,945 1,993 2,100 Legend for Service Provided and Treatment Level: B-Agency operates both collection and treatment facilities T-Agency provides treatment services but not collection 2-Secondary treatment 3-Advanced secondary or secondary with some tertiary treatment Notes: (1)- FY19-20 operating expense increased $2.9 million and average daily flow decreased 19.3MG per day. Combined stormwater/sewer system. (2)- In FY19-20, Agency updated FY18-19 Annual Comprehensive Financial Report treatment cost. (3)- FY18-19 operating expense decreased $36.4 million; $30.4 million due to an adjustment to the Agency's Other Post Employment Benefit Plan (OPEB)-Transition to CalPers Health Insurance. (4)- FY18-19 operating expense decreased $1.1 million. (5)- FY20-21 costs include both treatment and collection costs (Regional Fund 300 + Local Fund 200). (6)- FY17-18 influent flow has not been reduced by the amount of sludge discharged to the sewers from DCTW RP and LAGW RP. (7)- In FY19-20, Agency updated data for FY16-17 and after to include administrative costs. Section 1 - Page 9 Table of Contents FY 2021 -22 Third Quarter Financial Report Capital Outlay Review: $250,000,000 $200,000,000 $150,000,000 $100,000,000 $50,000,000 $0 03/31/22 Actual Projected 2021-22 2021-22 Capital Outlay Capital Outlay Capital Outlay Cashflow Budget $114,269,653 $202,984,400 $224,560,503 As depicted by the preceding chart, Capital Outlays totaled $114.3 million, or 50.9 percent of the capital outlay cash flow budget for FY 2021-22 as of March 31, 2022. Costs are lower than the proportionate budget through the third quarter as some projects are still in the design phase or have experienced various delays or deferrals. Examples as of March 31 are Rehabilitation of Western Regional Sewers, which has a budget of $13.1 million but actual costs of $5.1 million, Primary Treatment Rehabilitation at Plant No. 2, which has a budget of $19.8 million but actual costs of $7.5 million, and Headquarters Complex, which has a budget of $45.1 million but actual costs of $16.8 million. Overall, the capital outlay costs of the capital improvement program are expected to approximate $203.0 million, or 90.4 percent of the capital outlay cash flow budget at year-end. More detailed information on the capital improvement program is provided within Section 3. Capital Assets Schedule and Debt Service Budget Review: Section 4 is the Capital Assets Schedule and Debt Service Section. This section shows the cost value of OC San's capital facilities at March 31, 2022, as well as the debt service costs resulting from the need to provide funding for the construction of capital facilities. The majority of principal payments on debt issues are due in February, during the third quarter of each fiscal year. Excluding payments on refunding debt of $107.3 million from the Revenue Refunding Certificates of Participation, Series 2022A, as of March 31, 2022, 100.0 percent of the principal payments have been made through the end of the third quarter. Interest costs are expensed ratably throughout the fiscal year and are expected to exceed budget at year-end. Section 1 - Page 10 Table of Contents Consolidated Financial Reports Self-Insurance Budget Review: Section 5 is the Self-Insurance Section. Through March 31 , the Self-Insurance Fund revenues totaled $2.3 million, or 77.5 percent of the budget, while expenses are at $2.5 million, or 71 .1 percent of the budget. Separate fund accounting is used for recording the revenue and expenses incurred in managing these liability claims. The revenues to these funds represent charges to operating divisions. Expenses to these funds include actual claims paid, claims administration, and excess loss policies. Section 1 - Page 11 Table of Contents FY 2021 -22 Third Quarter Financial Report This Page Intentionally Left Blank Section 1 - Page 12 Table of Contents Operating Budget Review Cost per Million Gallons by Department Budget and Actual March 31, 2022 $1,800 $1,600 $1,400 $1,200 $1,000 $800 $600 $400 $200 $0 C N O @ O) «f O U O C U > N C N C N C 7 0 U U O O C 01 7 X 2 (D C 0 O) C Lu (6 E U) '�U) Ll O (0 Q : Q O Budget ❑Actual Collection, Treatment, & Disposal Expenses by Major Category Budget and Actual (in thousands) March 31, 2022 $90,000 $80,000 $70,000 $60,000 $50,000 $40,000 $30,000 $20,000 $10,000 $0 N (n CO C N N N N O) O N N >� 13 N O C) U U C N > O O_ 'U O oZ$ COL J � 2 2 Q U) (n O N N i N O d o2S 7 (0 (6 •N 2 >' > � W O C o2S O_ M n — 0 C io o6 L) ° o6 a U) C E N � W C O O co ~ O O U aCL of ry, ❑Budget ❑Actual Section 2 - Page 1 Table of Contents FY 2021 -22 Third Quarter Financial Report Divisional Contributions to Cost Per Million Gallons For the Nine Months Ended March 31, 2022 2021-22 03/31/20 03/31/21 Annual 03/31/22 Actual Actual Budget Actual Flow in Million Gallons 51,746.04 50,011.48 68,620.00 49,257.10 Flow in Million Gallons per Day 188.17 182.53 188.00 179.77 Executive Management Department General Management Administration $ 29.24 $ 23.33 $ 27.45 $ 23.37 Board Services 10.26 13.11 14.15 13.84 Public Affairs 16.60 16.16 20.43 17.23 Subtotal 56.10 52.60 62.03 54.44 Human Resources Department Human Resources 61.86 52.25 64.84 70.61 Risk Management/Safety/Security 77.83 53.35 62.43 58.21 Subtotal 139.69 105.60 127.27 128.82 Administrative Services Department Administrative Services 8.62 7.80 3.99 9.32 Consolidated Services - 89.38 114.43 99.22 Financial Management 51.27 64.64 62.16 62.21 Contracts, Purchasing, &Materials Mgmt. 61.58 67.81 71.40 75.36 Information Technology 191.86 184.82 199.96 201.23 Subtotal 313.33 414.45 451.94 447.34 Environmental Services Department Environmental Services Administration 15.06 23.41 59.41 69.78 Resource Protection 83.04 85.35 98.54 82.29 Laboratory, Monitoring and Compliance 176.17 184.47 151.11 141.39 Subtotal 274.27 293.23 309.06 293.46 Engineering Department Engineering Administration 15.63 19.42 20.15 22.99 Planning 55.52 55.01 64.11 61.60 Project Management Office 67.10 66.23 62.67 69.43 Design 109.11 98.15 102.34 107.96 Construction Management 96.99 101.46 106.33 111.99 Subtotal 344.35 340.27 355.60 373.97 Operations&Maintenance Department Operations&Maintenance Administration 4.01 2.09 9.05 2.94 Collections Facilities O&M 159.26 197.51 290.32 225.31 Fleet Services 26.78 28.78 33.15 33.15 Plant No. 1 Operations 450.70 482.40 489.92 508.08 Plant No.2 Operations 258.48 260.57 278.03 261.33 Plant No. 1 Maintenance 317.23 359.20 350.26 420.91 Plant No.2 Maintenance 290.81 301.18 240.47 274.42 Subtotal 1,507.27 1,631.73 1,691.20 1,726.14 Total Operating Expenses 2,635.01 2,837.88 2,997.10 3,024.17 Cost Allocation (300.39) (307.64) (316.41) (313.16) Net Operating Requirements $ 2,334.62 $ 2,530.24 $ 2,681.00 $ 2,711.01 Section 2 - Page 2 Table of Contents Operating Budget Review Comparison of Expenses by Department For the Nine Months Ended March 31, 2022 2021-22 03/31/20 03/31/21 Year to Date Budget% Department and Division Actual Actual Budget 03/31/22 Realized Executive Management Department General Management Administration $ 1,512,830 $ 1,166,989 $ 1,883,461 $ 1,151,120 61.12% Board Services 530,971 655,463 971,245 681,953 70.21% Public Affairs 859,066 808,078 1,402,096 848,901 60.55% Subtotal 2,902,867 2,630,530 4,256,802 2,681,974 63.00% Human Resources Department Human Resources 3,200,832 2,613,274 4,449,222 3,478,177 78.17% Risk Management/Safety/Security 4,027,196 2,668,226 4,283,781 2,867,050 66.93% Subtotal 7,228,028 5,281,500 8,733,003 6,345,227 72.66% Administrative Services Department Administrative Services 446,301 390,249 273,820 458,864 167.58% Consolidated Services - 4,469,961 7,852,225 4,887,070 62.24% Financial Management 2,653,218 3,232,936 4,265,348 3,064,078 71.84% Contracts, Purchasing, &Materials Mgmt. 3,186,515 3,391,360 4,899,742 3,712,101 75.76% Information Technology 9,927,936 9,243,185 13,721,315 9,912,004 72.24% Subtotal 16,213,970 20,727,691 31,012,450 22,034,117 71.05% Environmental Services Department Environmental Services Administration 779,439 1,170,752 4,076,942 3,437,327 84.31% Resource Protection 4,297,230 4,268,388 6,761,792 4,053,427 59.95% Laboratory, Monitoring and Compliance 9,116,317 9,225,394 10,369,367 6,964,583 67.16% Subtotal 14,192,986 14,664,534 21,208,101 14,455,337 68.16% Engineering Department Engineering Administration 808,815 971,035 1,382,852 1,132,438 81.89% Planning 2,872,954 2,751,144 4,399,094 3,034,086 68.97% Project Management Office 3,472,153 3,312,329 4,300,735 3,420,091 79.52% Design 5,645,889 4,908,574 7,022,705 5,317,834 75.72% Construction Management 5,018,849 5,074,216 7,296,647 5,516,107 75.60% Subtotal 17,818,660 17,017,298 24,402,033 18,420,556 75.49% Operations&Maintenance Department Operations&Maintenance Administration 207,491 104,492 621,180 144,922 23.33% Collections Facilities O&M 8,241,191 9,877,952 19,922,006 11,098,136 55.71% Fleet Services 1,385,591 1,439,178 2,274,876 1,632,870 71.78% Plant No. 1 Operations 23,322,087 24,125,514 33,618,420 25,026,431 74.44% Plant No.2 Operations 13,375,080 13,031,350 19,078,603 12,872,543 67.47% Plant No. 1 Maintenance 16,415,403 17,964,109 24,035,166 20,732,941 86.26% Plant No.2 Maintenance 15,048,322 15,062,306 16,501,314 13,517,223 81.92% Subtotal 77,995,165 81,604,901 116,051,565 85,025,066 73.26% Total Operating Expenses 136,351,676 141,926,454 205,663,954 148,962,277 72.43% Cost Allocation (15,544,292) (15,385,157) (21,713,080) (15,425,972) 71.04% Net Operating Requirements $ 120,807,384 $ 126,541,297 $ 183,950,874 $ 133,536,305 72.59% Section 2 - Page 3 Table of Contents FY 2021 -22 Third Quarter Financial Report Summary of Collection, Treatment, & Disposal Expenses by Major Category For the Nine Months Ended March 31, 2022 Expense Expense Increase Increase Percent Budget Through Through (Decrease) (Decrease) Budget Remaining Description 2021-22 03/31/22 03/31/21 $ % Realized Budget Salary&Wages $ 82,939,020 61,282,946 58,567,618 $ 2,715,328 4.64% 73.89% $ 21,656,074 Employee Benefits 25,162,820 18,701,015 18,256,155 444,860 2.44% 74.32% 6,461,805 Administrative Expenses 2,076,357 1,515,554 1,460,795 54,759 3.75% 72.99% 560,803 Printing&Publication 420,350 213,371 170,448 42,923 25.18% 50.76% 206,979 Training&Meetings 906,798 253,309 245,141 8,168 3.33% 27.93% 653,489 Operating Materials&Supplies 21,964,434 15,330,845 14,512,891 817,954 5.64% 69.80% 6,633,589 Contractual Services 19,144,782 12,835,825 12,568,621 267,204 2.13% 67.05% 6,308,957 Professional Services 6,920,852 3,571,235 2,387,245 1,183,990 49.60% 51.60% 3,349,617 Research&Monitoring 1,547,700 777,422 894,737 (117,315) -13.11% 50.23% 770,278 Repairs&Maintenance 29,705,535 23,382,529 22,368,944 1,013,585 4.53% 78.71% 6,323,006 Utilities 9,329,726 7,918,130 7,314,021 604,109 8.26% 84.87% 1,411,596 Other Materials,Supplies, and Services 5,545,580 3,180,096 3,179,838 258 0.01% 57.34% 2,365,484 Net Cost Allocation (21,713,080) (15,425,972) (15,385,157) (40,815) 0.27% 71.04% (6,287,108) Net Operating Requirements 183,950,874 133,536,305 126,541,297 6,995,008 5.53% 72.59% 50,414,569 Gallonage Flow(MG) 68,620.00 49,257.10 50,011.48 (754.38) -1.51% Gallonage Flow(MGD) 188.00 179.77 182.53 (2.76) -1.51% Gallonage Flow($'s/MG) $2,681.00 $2,711.01 $2,530.24 $180.77 7.14% Section 2 - Page 4 Table of Contents Operating Budget Review Summary of Revenues For the Nine Months Ended March 31, 2022 Revenue Percent Revenue Increase Increase Budget Through Budget Remaining Through (Decrease) (Decrease) Description 2021-22 03/31/22 Realized Budget 03/31/21 $ % Service Fees $ 301,839,390 $199,764,238 66.18% $ 102,075,152 $197,663,836 $ 2,100,402 1.06% Permit Fees 12,621,177 9,266,992 73.42% 3,354,185 9,354,858 (87,866) -0.94% Inter District Sewer Use-SAWPA&SBSD 2,653,000 2,143,225 80.78% 509,775 2,095,815 47,410 2.26% Intra District Sewer Use-IRWD 4,648,984 1,586,779 34.13% 3,062,205 1,647,261 (60,482) -3.67% Sludge Disposal-IRWD 6,100,000 - 0.00% 6,100,000 9,397,106 (9,397,106) -100.00% Capital Assessments-IRWD 7,905,000 3,265,929 41.31% 4,639,071 2,266,445 999,484 44.10% Capital Facilities Capacity Charges 16,739,034 12,893,980 77.03% 3,845,054 12,030,644 863,336 7.18% Debt Proceeds 163,775,355 272,127,209 166.16% (108,351,854) - 272,127,209 100.00% Property Taxes 103,214,240 74,325,376 72.01% 28,888,864 69,446,038 4,879,338 7.03% Interest Earnings 14,516,000 (28,780,599) -198.27% 43,296,599 43,466 (28,824,065) -66314.05% CIP Reimbursements 11,782,925 1,347,733 11.44% 10,435,192 3,845,406 (2,497,673) -64.95% Wastehauler 750,000 702,478 93.66% 47,522 602,017 100,461 16.69% Grant Revenue 464,000 - 0.00% 464,000 - - 0.00% CNG Sales 400,000 270,092 67.52% 129,908 155,908 114,184 73.24% Rents&Leases 600,000 340,623 56.77% 259,377 461,380 (120,757) -26.17% Other Revenues 2,779,105 854,164 30.74% 1,924,941 1,742,379 (888,215) -50.98% Power Sales 25,000 128,852 515.41% (103,852) 37,165 91,687 246.70% Other Sales 50,000 184,708 369.42% (134,708) 10,461 174,247 1665.68% Total Revenues $ 650,863,210 $ 550,421,779 84.57% $ 100,441,431 $ 310,800,185 $ 239,621,594 77.10% Section 2 - Page 5 Table of Contents FY 2021 -22 Third Quarter Financial Report Summary of Collection, Treatment, & Disposal Expenses by Line Item For the Nine Months Ended March 31, 2022 Expense Percent Expense Increase Increase Budget Through Budget Remaining Through (Decrease) (Decrease) Description 2021-22 03/31/22 Expensed Budget 03/31/21 $ % Salaries,Wages&Benefits Salaries&Wages $ 82,939,020 $ 61,282,946 73.89% $ 21,656,074 $ 58,567,618 $ 2,715,328 4.64% Employee Benefits Retirement 11,594,420 8,882,968 76.61% 2,711,452 8,811,638 71,330 0.81% Group Insurances 11,962,600 8,435,415 70.51% 3,527,185 8,248,557 186,858 2.27% Tuition&Certification Reimb 80,600 108,080 134.09% (27,480) 62,416 45,664 73.16% Edu.degrees,Cert.&Lic. 622,400 501,189 80.53% 121,211 480,261 20,928 4.36% Uniform Rental 113,400 75,977 67.00% 37,423 78,987 (3,010) -3.81% Workers'Compensation 518,600 584,999 112.80% (66,399) 389,102 195,897 50.35% Unemployment Insurance 151,500 20,596 13.59% 130,904 98,752 (78,156) -79.14% EMT Supplemental Benefits 119,300 91,791 76.94% 27,509 86,442 5,349 6.19% Total Benefits 25,162,820 18,701,015 74.32% 6,461,805 18,256,155 444,860 2.44% Salaries,Wages&Benefits 108,101,840 79,983,961 73.99% 28,117,879 76,823,773 3,160,188 4.11% Matl,Supplies,&Services Administrative Expenses Memberships 708,350 560,120 79.07% 148,230 617,166 (57,046) -9.24% Office Exp-Supplies 65,971 33,796 51.23% 32,175 25,582 8,214 32.11% Postage 50,750 25,557 50.36% 25,193 36,375 (10,818) -29.74% Books&Publications 38,685 16,621 42.96% 22,064 19,161 (2,540) -13.26% Forms 590 - 0.00% 590 - - N/A Small Computer Items 962,311 668,053 69.42% 294,258 586,415 81,638 13.92% Minor Furniture&Fixtures 249,700 211,407 84.66% 38,293 176,096 35,311 20.05% Subtotal 2,076,357 1,515,554 72.99% 560,803 1,460,795 54,759 3.75% Printing&Publication Repro-In-House 235,350 105,123 44.67% 130,227 120,147 (15,024) -12.50% Printing-Outside 42,750 18,772 43.91% 23,978 18,227 545 2.99% Notices&Ads 142,200 89,476 62.92% 52,724 32,074 57,402 178.97% Photo Processing 50 - 0.00% 50 - - N/A Subtotal 420,350 213,371 50.76% 206,979 170,448 42,923 25.18% Training&Meetings Meetings 113,590 5,946 5.23% 107,644 6,539 (593) -9.07% Training 793,208 247,363 31.19% 545,845 238,602 8,761 3.67% Subtotal 906,798 253,309 27.93% 653,489 245,141 8,168 3.33% Operating Mat'Is&Supplies Chemical Coagulants 10,670,543 8,146,970 76.35% 2,523,573 7,431,832 715,138 9.62% Odor&Corrosion Control 7,643,709 4,468,954 58.47% 3,174,755 4,170,511 298,443 7.16% Disinfection 133,000 98,404 73.99% 34,596 269,365 (170,961) -63.47% Chemicals-Misc&Cogen 437,000 232,224 53.14% 204,776 272,113 (39,889) -14.66% Gasoline,Diesel&Oil 623,372 527,335 84.59% 96,037 415,081 112,254 27.04% Tools 676,155 519,457 76.83% 156,698 732,193 (212,736) -29.05% Safety equipment/tools 747,620 609,099 81.47% 138,521 540,001 69,098 12.80% Solv, Paints&Jan.Supplies 113,606 95,707 84.24% 17,899 78,524 17,183 21.88% Lab Chemicals&Supplies 660,249 484,573 73.39% 175,676 464,479 20,094 4.33% Misc.Operating Supplies 182,680 125,513 68.71% 57,167 125,645 (132) -0.11% Property Tax Fees 76,500 22,609 29.55% 53,891 13,147 9,462 71.97% Subtotal 21,964,434 15,330,845 69.80% 6,633,589 14,512,891 817,954 5.64% Contractual Services Solids Removal 13,100,000 8,968,584 68.46% 4,131,416 8,585,588 382,996 4.46% Other Waste Disposal 988,500 630,249 63.76% 358,251 684,070 (53,821) -7.87% Groundskeeping 200,000 130,890 65.45% 69,110 129,731 1,159 0.89% Janitorial 640,280 694,350 108.44% (54,070) 588,779 105,571 17.93% Outside Lab Services 356,590 176,334 49.45% 180,256 92,495 83,839 90.64% Oxygen 370,000 352,361 95.23% 17,639 338,777 13,584 4.01% County Service Fee 503,672 17,320 3.44% 486,352 16,941 379 2.24% Temporary Services 607,000 319,449 52.63% 287,551 311,600 7,849 2.52% Security Services 1,600,000 1,219,101 76.19% 380,899 1,219,889 (788) -0.06% Other 778,740 327,187 42.01% 451,553 600,751 (273,564) -45.54% Subtotal 19,144,782 12,835,825 67.05% 6,308,957 12,568,621 267,204 2.13% (Continued) Section 2 - Page 6 Table of Contents Operating Budget Review Summary of Collection, Treatment, & Disposal Expenses by Line Item For the Nine Months Ended March 31, 2022 Expense Percent Expense Increase Increase Budget Through Budget Remaining Through (Decrease) (Decrease) Description 2021-22 03/31/22 Expensed Budget 03/31/21 $ % Continued: Professional Services Legal 1,542,600 1,215,690 78.81% 326,910 759,365 456,325 60.09% Audit&Accounting 287,800 123,123 42.78% 164,677 104,010 19,113 18.38% Engineering 1,318,000 1,115,275 84.62% 202,725 717,970 397,305 55.34% Enviro Scientific Consulting 679,000 34,388 5.06% 644,612 46,685 (12,297) -26.34% Software Prgm Consulting 707,000 194,208 27.47% 512,792 189,044 5,164 2.73% Energy Consulting - 16,000 N/A (16,000) - 16,000 N/A Advocacy Efforts 187,975 138,934 73.91% 49,041 123,300 15,634 12.68% Industrial Hygiene Services 100,000 27,584 27.58% 72,416 21,391 6,193 28.95% Labor Negotiation Services - 609 N/A (609) - 609 N/A Other 2,098,477 705,424 33.62% 1,393,053 425,480 279,944 65.79% Subtotal 6,920,852 3,571,235 51.60% 3,349,617 2,387,245 1,183,990 49.60% Research&Monitoring Environmental Monitoring 797,700 188,092 23.58% 609,608 337,686 (149,594) -44.30% Air Quality Monitoring 150,000 33,250 22.17% 116,750 57,051 (23,801) -41.72% Research 600,000 556,080 92.68% 43,920 500,000 56,080 11.22% Subtotal 1,547,700 777,422 50.23% 770,278 894,737 (117,315) -13.11% Repairs&Maintenance Materials&Services 23,368,563 18,314,607 78.37% 5,053,956 18,092,769 221,838 1.23% Svc.Mtc.Agreements 6,336,972 5,067,922 79.97% 1,269,050 4,276,175 791,747 18.52% Subtotal 29,705,535 23,382,529 78.71% 6,323,006 22,368,944 1,013,585 4.53% Utilities Telephone 506,084 379,042 74.90% 127,042 373,753 5,289 1.42% Diesel For Generators 43,000 17,748 41.27% 25,252 9,363 8,385 89.55% Natural Gas 1,005,000 860,850 85.66% 144,150 873,284 (12,434) -1.42% Power 6,728,435 5,860,910 87.11% 867,525 5,105,037 755,873 14.81% Water 1,047,207 799,580 76.35% 247,627 952,584 (153,004) -16.06% Subtotal 9,329,726 7,918,130 84.87% 1,411,596 7,314,021 604,109 8.26% Other Operating Supplies Outside Equip Rental 100,000 20,595 20.60% 79,405 24,711 (4,116) -16.66% Insurance Premiums 32,900 36,733 111.65% (3,833) 31,451 5,282 16.79% Prop&Gen Liab Insurance 2,205,000 1,604,998 72.79% 600,002 1,653,747 (48,749) -2.95% Freight 150,000 109,865 73.24% 40,135 121,247 (11,382) -9.39% Misc.Operating Expense 623,927 297,614 47.70% 326,313 286,739 10,875 3.79% Regulatory Operating Fees 1,090,024 1,063,609 97.58% 26,415 1,033,714 29,895 2.89% Subtotal 4,201,851 3,133,414 74.57% 1,068,437 3,151,609 (18,195) -0.58% General Mgr Contingency &Reappropriations 1,204,549 - 0.00% 1,204,549 - - N/A Other Non-Oper Expense 139,180 46,682 33.54% 92,498 28,229 18,453 65.37% Total Materials, Supplies&Services 97,562,114 68,978,316 70.70% 28,583,798 65,102,681 3,875,635 5.95% Total Expenditures 205,663,954 148,962,277 72.43% 56,701,677 141,926,454 7,035,823 4.96% Cost Allocation (21,713,080) (15,425,972) 71.04% (6,287,108) (15,385,157) (40,815) 0.27% Net Operating Requirements $ 183,950,874 $ 133,536,305 72.59% $ 50,414,569 $ 126,541,297 $ 6,995,008 5.53% Section 2 - Page 7 Table of Contents FY 2021 -22 Third Quarter Financial Report Summary of Collection, Treatment, & Disposal Expenses by Process For the Nine Months Ended March 31, 2022 Increase Increase Actual Actual (Decrease) (Decrease) 03/31/22 03/31/21 $ % Process: Preliminary Treatment $ 7,891,451 $ 7,626,823 $ 264,628 3.47% Primary Treatment 14,127,548 13,274,651 852,897 6.43% Secondary Treatment 8,689,345 8,114,000 575,345 7.09% Cryogenic Plant(Plant 2) 723,173 795,884 (72,711) -9.14% Effluent Disposal 1,097,063 1,469,727 (372,664) -25.36% Solids Handling 42,596,588 36,497,646 6,098,942 16.71% Cogeneration 15,369,035 14,554,961 814,074 5.59% Utilities 3,097,814 3,518,043 (420,229) -11.94% Electrical Distribution 2,279,451 2,471,611 (192,160) -7.77% Miscellaneous Buildings 9,495,368 8,349,089 1,146,279 13.73% External Location 349,125 344,569 4,556 1.32% Nerissa Vessel 211,970 198,696 13,274 6.68% Laboratory 11,189,563 14,195,756 (3,006,193) -21.18% Collections 16,418,811 15,129,841 1,288,970 8.52% Net Operating Requirements $ 133,536,305 $ 126,541,297 $ 6,995,008 5.53% Section 2 - Page 8 Table of Contents Operating Budget Review Staffing Trends Full Time Equivalents (FTE) March 31, 2022 700 Budgeted FTE 635 636 640 639 639 650 32 22 34 20 44 600 550 603 614 606 619 595 500 450 6/30/18 6/30/19 6/30/20 6/30/21 3/31/22 ❑Actual ❑Vacant At March 31, 2022, the total head count was 603 employees, or a full time equivalency of 595. Section 2 - Page 9 Table of Contents FY 2021 -22 Third Quarter Financial Report This Page Intentionally Left Blank Section 2 - Page 10 Table of Contents Capital Improvement Program Budget Review Capital Improvement Program By Process Area and Project Driver For the Nine Months Ended March 31, 2022 ❑Collections Facilities: 23.1% ❑Liquid Treatment: 46.7% ■Solids Handling &Digestion: 4.3% ❑Utility Systems: 3.9% ❑Support Facilities: 17.7% ❑Other: 4.3% Total Capital Improvement Outlays by Process Area -$114,269,653 ❑Rehabilitation and Replacement: 64.9% ❑Strategic Initiatives: 29.7% ❑Additional Capacity: 4.3% \.\ ❑Regulatory: 1.1% Total Capital Improvement Outlays by Project Driver-$114,269,653 Section 3 - Page 1 Table of Contents FY 2021 -22 Third Quarter Financial Report Summary of Capital Improvement Construction Requirements - Current Year For the Nine Months Ended March 31, 2022 2021-22 2021-22 2021-22 Cashflow Actual at Projected Budget 3/31/2022 Outlay Collection System Improvement Protects Collections Facilities Santa Ana Trunk Sewer Rehabilitation 914,334 98,438 150,200 Greenville-Sullivan Trunk Improvements 286,363 39,014 50,500 Taft Branch Capacity Improvements 1,422,835 264,851 806,700 Newhope-Placentia Trunk Replacement 5,662,265 5,192,487 5,577,200 Westminster Blvd Force Main Replacement 8,458,681 2,992,283 6,349,200 Rehabilitation of Western Regional Sewers 13,051,457 5,071,432 9,021,500 Interstate 405 Widening Project Impacts on OC San Sewers 21,696 163,231 182,400 Seal Beach Pump Station Replacement 2,133,205 2,877,924 3,358,200 Bay Bridge Pump Station Replacement 3,676,612 5,857,366 8,220,300 Newport Beach Pump Station Pressurization Improvements 326,219 235,570 313,800 Fairview Trunk Sewer Rehabilitation 187,716 105,214 119,700 Gisler Red-Hill Interceptor& Baker Force Main Rehabilitation 772,900 1,041,002 1,208,300 MacArthur Force Main Improvement 417,411 158,279 531,900 Edinger Pump Station Replacement 74,449 119,324 124,500 Slater Pump Station Rehabilitation 235,537 15,404 15,500 Small Construction Projects Program - Collections 2,567,058 1,156,143 1,888,200 Operations & Maintenance Capital Program - Collections - 23,304 23,400 Planning Studies Program - Collections - 157,167 557,200 Sunflower and Red Hill Interceptor Repairs 2,704,438 602,932 2,168,700 Subtotal -Collections Facilities 42,913,176 26,171,365 40,667,400 Revenue Area 14 Bay Bridge Pumping Station Rehabilitation (3.62%) 138,092 220,001 308,800 Newport Beach Pump Station Pressurization Improve (0.27%) 883 638 900 Subtotal - Revenue Area 14 138,975 220,639 309,700 Total Collection System Improvement Projects 43,052,151 26,392,004 40,977,100 (Continued) Section 3 - Page 2 Table of Contents Capital Improvement Program Budget Review Summary of Capital Improvement Construction Requirements - Current Year For the Nine Months Ended March 31, 2022 2021-22 2021-22 2021-22 Cashflow Actual at Projected Budget 3/31/2022 Outlay Treatment& Disposal Protects Headworks Headworks Rehabilitation at Plant 1 33,064,764 20,356,232 29,932,400 Headworks Modifications at P2 for GWRS Final Expansion 8,481,733 4,003,842 5,737,900 Subtotal -Headworks 41,546,497 24,360,074 35,670,300 Primary Treatment Primary Sedimentation Basins 3-5 Replacement at Plant 1 459,659 148,642 190,200 Primary Sedimentation Basins 6-31 Reliability Improv at P1 606,804 125,143 347,300 Primary Treatment Rehabilitation at Plant 2 19,836,957 7,455,094 18,294,900 Subtotal -Primary Treatment 20,903,420 7,728,879 18,832,400 Secondary Treatment Return Activated Sludge Piping Replacement at Plant 1 144,269 5,215 5,300 Activated Sludge-1 Aeration Basin & Blower Rehab at P1 485,387 100,822 142,000 Return Activated Sludge Piping Replacement at Plant 2 3,285,100 1,394,348 2,605,500 Activated Sludge Aeration Basin Rehabilitation at Plant 2 163,451 27,504 63,100 Subtotal -Secondary Treatment 4,078,207 1,527,889 2,815,900 Solids Handling & Digestion Digester Ferric Chloride Piping Replacement at Plant 1 723,747 418,929 806,500 Sludge Dewatering and Odor Control at Plant 2 694,948 11,531 11,600 Interim Food Waste Receiving Facility 3,201,672 1,076 3,900 TPAD Digester Facility at Plant 2 10,066,820 4,367,839 8,029,900 Digesters Rehabilitation at Plant No. 2 537,702 113,092 234,800 Subtotal -Solids Handling & Digestion 15,224,889 4,912,467 9,086,700 Ocean Outfall Systems Ocean Outfall System Rehabilitation 23,933,041 19,732,441 24,300,500 Sodium Bisulfite Station Rehabilitation at Plant 2 60,381 26,117 45,500 Subtotal -Ocean Outfall Systems 23,993,422 19,758,558 24,346,000 Utility Systems Electrical Power Distribution System Improvements 2,107,681 917,092 1,552,600 Digester Gas Facilities Rehabilitation 1,398,801 975,186 1,349,400 Natural Gas Pipelines Replacement at Plants 1 and 2 221,883 462,124 667,200 Central Generation Engine Overhauls at Plants 1 and 2 3,788,815 1,883,154 3,007,700 Power Building Structural Seismic Improv at Plants 1 &2 161,114 20,225 35,500 Uninterruptable Power Supply Improvements at Plant 1 625,925 170,006 259,500 Network and Server Relocation at Plant 1 179,978 - - Warehouse, Electrical, & 12kV Sery Center Replace at P2 - 805 900 Subtotal -Utility Systems 8,484,197 4,428,592 6,872,800 (Continued) Section 3 - Page 3 Table of Contents FY 2021 -22 Third Quarter Financial Report Summary of Capital Improvement Construction Requirements - Current Year For the Nine Months Ended March 31, 2022 2021-22 2021-22 2021-22 Cashflow Actual at Projected Budget 3/31/2022 Outlay Process Related Special Projects Safety Improvements Program 248,320 (426) (500) Subtotal - Process Related Special Projects 248,320 (426) (500) Information Management Systems Process Control Systems Upgrades 3,406,549 280,014 1,224,600 Project Management Information System 294,481 101,199 208,400 Information Technology Capital Program 1,778,736 279,629 2,199,700 Geographic Information System 16,283 139,790 139,800 EAM Software and Process Implementation 448,311 207,672 306,000 Process Control Systems Upgrades Study 504,920 12,170 12,200 Subtotal - Information Management Systems 6,449,280 1,020,474 4,090,700 Strategic& Master Planning Planning Studies Program 4,105,202 1,329,588 3,472,600 Subtotal -Strategic & Master Planning 4,105,202 1,329,588 3,472,600 Water Management Projects GWRS Final Expansion Coordination 309,211 306,785 391,600 Subtotal -Water Management Projects 309,211 306,785 391,600 Research Research Program 806,894 1,440,126 1,919,300 Subtotal - Research 806,894 1,440,126 1,919,300 Support Facilities Small Construction Projects Program 9,434,899 2,246,565 4,511,900 Operations & Maintenance Capital Program 2,022,639 273,363 723,800 Headquarters Complex 45,106,221 16,777,287 44,741,100 South Perimeter Security& Utility Improvements at Plant 1 3,852,526 734,745 2,234,600 Support Buildings Seismic Improvements at Plant 1 776,979 41,459 63,300 Collections Yard Relocation 39,814 - 46,500 Operations and Maintenance Complex at Plant 2 355,419 145,217 212,200 Subtotal -Support Facilities 61,588,497 20,218,636 52,533,400 (Continued) Section 3 - Page 4 Table of Contents Capital Improvement Program Budget Review Summary of Capital Improvement Construction Requirements - Current Year For the Nine Months Ended March 31, 2022 2021-22 2021-22 2021-22 Cashflow Actual at Projected Budget 3/31/2022 Outlay Others Capital Improvement Program Management Services 13,167 19,676 25,700 Subtotal -Others 13,167 19,676 25,700 Additional Charges to CIP Completed at 6/30/21 - 16,783 22,100 Total Treatment and Disposal Projects 187,751,203 87,068,101 160,079,000 Capital Equipment Purchases 3,785,600 809,548 1,928,300 Total Collection, Treatment and Disposal Projects and Capital Equipment Purchases 234,588,954 114,269,653 202,984,400 Add: Future Rehab and Replacement 5,000,000 - - Less: Savings and Deferrals (15,028,451) - - Net Collection, Treatment and Disposal Projects and Capital Equipment Purchases $224,560,503 $114,269,653 $202,984,400 Section 3 - Page 5 Table of Contents FY 2021 -22 Third Quarter Financial Report Summary of Capital Improvement Construction Requirements - Project Life For the Nine Months Ended March 31, 2022 Current Total Approved June 30,2021 Year Projected Remaining Project Accumulated Projected Cost at Future Budget Cost Cost June 30,2022 Budget Collection System Improvement Projects Collections Facilities Santa Ana Trunk Sewer Rehabilitation 54,620,000 150,200 150,200 54,469,800 Greenville-Sullivan Trunk Improvements 48,600,000 - 50,500 50,500 48,549,500 Taft Branch Capacity Improvements 16,800,000 273,632 806,700 1,080,332 15,719,668 Newhope-Place ntia Trunk Replacement 112,000,000 103,242,051 5,577,200 108,819,251 3,180,749 Yorba Linda Dosing Station Installation 11,000,000 - - - 11,000,000 Beach Relief/Knott/Miller Holder Trunk Rehabilitation 35,132,000 - - - 35,132,000 Westminster Blvd Force Main Replacement 44,000,000 27,735,893 6,349,200 34,085,093 9,914,907 Rehabilitation of Western Regional Sewers 82,000,000 18,727,849 9,021,500 27,749,349 54,250,651 Interstate 405 Widening Project Impacts on OC San Sewers 250,000 239,821 182,400 422,221 (172,221) Seal Beach Pump Station Replacement 87,000,000 3,872,431 3,358,200 7,230,631 79,769,369 Los Alamitos Sub-Trunk Extension 117,000,000 - - - 117,000,000 Crystal Cove Pump Station Rehabilitation 13,200,000 - - - 13,200,000 Bay Bridge Pump Station Replacement 71,321,200 3,224,995 8,220,300 11,445,295 59,875,905 Newport Beach Pump Station Pressurization Improvements 4,288,390 435,361 313,800 749,161 3,539,229 Fairview Trunk Sewer Rehabilitation 17,000,000 - 119,700 119,700 16,880,300 MacArthur Pump Station Rehabilitation 9,800,000 - - 9,800,000 Main Street Pump Station Rehabilitation 37,000,000 - - - 37,000,000 Gisler Red-Hill Interceptor&Baker Force Main Rehabilitation 39,000,000 870,846 1,208,300 2,079,146 36,920,854 MacArthur Force Main Improvement 3,500,000 57,943 531,900 589,843 2,910,157 North Trunk Improvements 10,000,000 - - - 10,000,000 Edinger Pump Station Replacement 13,500,000 124,500 124,500 13,375,500 Slater Pump Station Rehabilitation 31,000,000 - 15,500 15,500 30,984,500 Small Construction Projects Program-Collections 12,552,000 2,513,928 1,888,200 4,402,128 8,149,872 Operations&Maintenance Capital Program-Collections 821,719 535,606 23,400 559,006 262,713 Planning Studies Program-Collections 5,533,600 3,665,360 557,200 4,222,560 1,311,040 Research Program-Collections 154,000 46,250 - 46,250 107,750 Sunflower and Red Hill Interceptor Repairs 6,999,998 513,231 2,168,700 2,681,931 4,318,067 Subtotal-Collections Facilities 884,072,907 165,955,197 40,667,400 206,622,597 677,450,310 Revenue Area 14: Bay Bridge Pumping Station Rehabilitation(3.62%) 2,678,800 121,130 308,800 429,930 2,248,870 Newport Beach Pump Station Pressurization Improve(0.27%) 11,610 1,179 900 2,079 9,531 Subtotal-Revenue Area 14 2,690,410 122,309 309,700 432,009 2,258,401 Total Collection System Improvement Projects 886,763,317 166,077,506 40,977,100 207,054,606 679,708,711 (Continued) Section 3 - Page 6 Table of Contents Capital Improvement Program Budget Review Summary of Capital Improvement Construction Requirements - Project Life For the Nine Months Ended March 31, 2022 Current Total Approved June 30,2021 Year Projected Remaining Project Accumulated Projected Cost at Future Budget Cost Cost June 30,2022 Budget Treatment&Disposal Projects Headworks Headworks Rehabilitation at Plant 1 340,000,000 36,669,521 29,932,400 66,601,921 273,398,079 Headworks Modifications at P2 for GWRS Final Expansion 32,000,000 18,549,280 5,737,900 24,287,180 7,712,820 Subtotal-Headworks 372,000,000 55,218,801 35,670,300 90,889,101 281,110,899 Primary Treatment Primary Sedimentation Basins 3-5 Replacement at Plant 1 127,000,000 603,492 190,200 793,692 126,206,308 Primary Sedimentation Basins 6-31 Reliability Improv at P1 14,000,000 2,019,464 347,300 2,366,764 11,633,236 Primary Treatment Rehabilitation at Plant 2 195,000,000 35,711,624 18,294,900 54,006,524 140,993,476 B/C-Side Primary Clarifiers Rehabilitation at Plant 2 279,842,000 - - - 279,842,000 Subtotal-Primary Treatment 615,842,000 38,334,580 18,832,400 57,166,980 558,675,020 Secondary Treatment Return Activated Sludge Piping Replacement at Plant 1 9,300,000 9,172,692 5,300 9,177,992 122,008 Activated Sludge-1 Aeration Basin&Blower Rehab at P1 270,000,000 - 142,000 142,000 269,858,000 Return Activated Sludge Piping Replacement at Plant 2 10,000,000 6,368,931 2,605,500 8,974,431 1,025,569 Activated Sludge Aeration Basin Rehabilitation at Plant 2 65,600,000 - 63,100 63,100 65,536,900 Subtotal-Secondary Treatment 354,900,000 15,541,623 2,815,900 18,357,523 336,542,477 Solids Handling&Digestion Digester Ferric Chloride Piping Replacement at Plant 1 1,360,000 261,018 806,500 1,067,518 292,482 Sludge Dewatering and Odor Control at Plant 2 90,477,000 86,433,925 11,600 86,445,525 4,031,475 Interim Food Waste Receiving Facility 6,300,000 1,347,003 3,900 1,350,903 4,949,097 TPAD Digester Facility at Plant 2 455,000,000 6,220,071 8,029,900 14,249,971 440,750,029 Digester P,Q,R,and S Replacement 165,900,000 - - - 165,900,000 Digesters Rehabilitation at Plant No.2 40,632,000 82,197 234,800 316,997 40,315,003 Subtotal-Solids Handling&Digestion 759,669,000 94,344,214 9,086,700 103,430,914 656,238,086 Ocean Outfall Systems Ocean Outfall System Rehabilitation 166,000,000 94,720,368 24,300,500 119,020,868 46,979,132 Sodium Bisulfite Station Rehabilitation at Plant 2 3,834,000 - 45,500 45,500 3,788,500 Emergency Overflow Pipes&Windwall Rehabilitation at P2 4,200,000 - - - 4,200,000 Subtotal-Ocean Outfall Systems 174,034,000 94,720,368 24,346,000 119,066,368 54,967,632 Utility Systems Electrical Power Distribution System Improvements 26,500,000 1,515,397 1,552,600 3,067,997 23,432,003 Digester Gas Facilities Rehabilitation 173,000,000 14,783,708 1,349,400 16,133,108 156,866,892 Natural Gas Pipelines Replacement at Plants 1 and 2 2,000,000 1,373,777 667,200 2,040,977 (40,977) Central Generation Engine Overhauls at Plants 1 and 2 44,000,000 1,361,621 3,007,700 4,369,321 39,630,679 Power Building Structural Seismic Improv at Plants 1 &2 5,400,000 - 35,500 35,500 5,364,500 (Continued) Section 3 - Page 7 Table of Contents FY 2021 -22 Third Quarter Financial Report Summary of Capital Improvement Construction Requirements - Project Life For the Nine Months Ended March 31, 2022 Current Total Approved June 30,2021 Year Projected Remaining Project Accumulated Projected Cost at Future Budget Cost Cost June 30,2022 Budget Utility Systems(continued) Central Generation Rehabilitation at Plant 1 68,452,000 - - - 68,452,000 Uninterruptable Power Supply Improvements at Plant 1 7,000,000 1,150,638 259,500 1,410,138 5,589,862 12.47 kV Switchgear Replacement at CenGen at Plant 1 17,000,000 - - - 17,000,000 Network and Server Relocation at Plant 1 13,000,000 - 13,000,000 Standby Generator Feeders for P1 Secondary Systems 2,800,000 - 2,800,000 Central Generation Rehabilitation at Plant 2 108,000,000 - - - 108,000,000 Warehouse, Electrical,&12kV Sery Center Replace at P2 65,000,000 625,371 900 626,271 64,373,729 Subtotal-Utility Systems 532,152,000 20,810,512 6,872,800 27,683,312 504,468,688 Process Related Special Projects Safety Improvements Program 16,000,000 11,949,615 (500) 11,949,115 4,050,885 Subtotal-Process Related Special Projects 16,000,000 11,949,615 (500) 11,949,115 4,050,885 Information Management Systems Process Control Systems Upgrades 37,000,000 - 1,224,600 1,224,600 35,775,400 Project Management Information System 2,280,000 1,369,758 208,400 1,578,158 701,842 Information Technology Capital Program 10,000,000 949,587 2,199,700 3,149,287 6,850,713 Geographic Information System 4,568,000 3,802,488 139,800 3,942,288 625,712 EAM Software and Process Implementation 9,200,000 6,316,356 306,000 6,622,356 2,577,644 Process Control Systems Upgrades Study 3,400,000 2,499,708 12,200 2,511,908 888,092 Subtotal-Information Management Systems 66,448,000 14,937,897 4,090,700 19,028,597 47,419,403 Strategic&Master Planning Planning Studies Program 23,118,400 5,590,699 3,472,600 9,063,299 14,055,101 Subtotal-Strategic&Master Planning 23,118,400 5,590,699 3,472,600 9,063,299 14,055,101 Water Management Projects GWRS Final Expansion Coordination 1,332,000 747,432 391,600 1,139,032 192,968 Subtotal-Water Management Projects 1,332,000 747,432 391,600 1,139,032 192,968 Research Research Program 8,346,000 817,484 1,919,300 2,736,784 5,609,216 Subtotal-Research 8,346,000 817,484 1,919,300 2,736,784 5,609,216 (Continued) Section 3 - Page 8 Table of Contents Capital Improvement Program Budget Review Summary of Capital Improvement Construction Requirements - Project Life For the Nine Months Ended March 31, 2022 Current Total Approved June 30,2021 Year Projected Remaining Project Accumulated Projected Cost at Future Budget Cost Cost June 30,2022 Budget Support Facilities Small Construction Projects Program 77,448,000 15,450,267 4,511,900 19,962,167 57,485,833 Operations&Maintenance Capital Program 14,800,281 4,436,822 723,800 5,160,622 9,639,659 Laboratory Rehabilitation at Plant 1 44,200,000 - - - 44,200,000 Headquarters Complex 167,500,000 38,433,116 44,741,100 83,174,216 84,325,784 South Perimeter Security&Utility Improvements at Plant 1 10,000,000 1,571,099 2,234,600 3,805,699 6,194,301 Support Buildings Seismic Improvements at Plant 1 23,730,000 22,239 63,300 85,539 23,644,461 Collections Yard Relocation 1,900,000 - 46,500 46,500 1,853,500 Operations and Maintenance Complex at Plant 2 95,000,000 - 212,200 212,200 94,787,800 Subtotal-Support Facilities 434,578,281 59,913,543 52,533,400 112,446,943 322,131,338 Others Capital Improvement Program Management Services 700,000 355,310 25,700 381,010 318,990 Subtotal-Others 700,000 355,310 25,700 381,010 318,990 Additional Charges to CIP Completed at 6/30/21 - - 22,100 22,100 (22,100) Total Treatment and Disposal Projects 3,359,119,681 413,282,078 160,079,000 573,361,078 2,785,758,603 Capital Equipment Purchases 9,062,800 - 1,928,300 1,928,300 7,134,500 Total Collection,Treatment and Disposal Projects and Capital Equipment Purchases $4,254,945,798 $579,359,584 $202,984,400 $782,343,984 $3,472,601,814 Section 3 - Page 9 Table of Contents FY 2021 -22 Third Quarter Financial Report This Page Intentionally Left Blank Section 3 - Page 10 Table of Contents Capital Assets Schedule & Debt Service Budget Review Capital Assets Schedule & Debt Service Budget Review For the Nine Months Ended March 31, 2022 Capital Assets Schedule Balance Year-to-Date Balance 07/01/21 Activity 03/31/22 CONSTRUCTION IN PROGRESS(CIP): Treatment Plant $ 136,187,441 $ 87,877,649 $ 224,065,090 Collection System 265,012,603 26,392,004 291,404,607 Subtotal 401,200,044 114,269,653 515,469,697 PROPERTY, PLANT&EQUIPMENT(at cost): Land and Property Rights 57,680,623 - 57,680,623 Collection Lines and Pump Stations 897,488,748 - 897,488,748 Treatment Facilities 2,842,786,854 - 2,842,786,854 Effluent disposal facilities 96,972,016 - 96,972,016 Solids disposal facilities 3,463,236 - 3,463,236 General and administrative facilities 248,712,229 - 248,712,229 Excess purchase price over book value on acquired assets 19,979,000 - 19,979,000 Subtotal 4,167,082,706 - 4,167,082,706 Total Property, Plant&Equipment&CIP $ 4,568,282,750 $ 114,269,653 $ 4,682,552,403 Debt Service Budget Review 2021-22 Year-to-Date Remaining Budget Payments %of Budget Budget Principal Payments by Debt Issue: 2010A BABs $ - $ - $ - 2010C BABs - - - - 2011A COP 75,370,000 75,370,000 100.00% - 2012A COP - 100,645,000 N/A (100,645,000) 2012E COP 1,500,000 8,170,000 544.67% (6,670,000) 2014A COP 8,245,000 8,245,000 100.00% - 2015A COP - - - - 2016A COP 4,865,000 4,865,000 100.00% - 2017A COP - - - - 2018A CANs 102,200,000 102,200,000 100.00% - 2021A COP 5,525,000 5,470,000 99.00% 55,000 2022A COP - - - - Subtotal Principal Payments 197,705,000 304,965,000 154.25% (107,260,000) Interest Expense by Debt Issue: 2010A BABs 2,986,574 2,482,884 83.13% 503,690 2010C BABs 6,724,010 5,595,160 83.21% 1,128,850 2011A COP 689,750 623,950 90.46% 65,800 2012A COP 3,735,900 2,179,300 58.33% 1,556,600 2012E COP 276,150 161,050 58.32% 115,100 2014A COP 2,804,000 2,034,300 72.55% 769,700 2015A COP 6,375,500 4,781,600 75.00% 1,593,900 2016A COP 6,524,800 4,853,000 74.38% 1,671,800 2017A COP 3,290,750 2,468,150 75.00% 822,600 2018A CANs - 439,978 N/A (439,978) 2021A COP 3,393,921 4,991,740 147.08% (1,597,819) 2022A COP - 1,111,569 N/A (1,111,569) Subtotal Interest Expense 36,801,355 31,722,681 86.20% 5,078,674 Total Debt Service $ 234,506,355 $ 336,687,681 143.57% $ (102,181,326) Section 4 - Page 1 Table of Contents FY 2021 -22 Third Quarter Financial Report This Page Intentionally Left Blank Section 4 - Page 2 Table of Contents Self Insurance Budget Review General Liability and Property Fund Budget Review For the Nine Months Ended March 31, 2022 Percent Actual of Budget Remaining Actual 2021-22 Through Through 2021-22 Through Increase Budget 03/31/22 03/31/22 Budget 03/31/21 (Decrease) Revenues: In-Lieu Premiums $ 2,140,000 $ 1,604,998 75.00% $ 535,002 $ 1,653,747 $ (48,749) Service Department Allocations - 5,328 N/A (5,328) 5,328 - Total Revenues 2,140,000 1,610,326 75.25% 529,674 1,659,075 (48,749) Expenses: Benefits/Claims 40,000 3,302 8.26% 36,698 32,622 (29,320) Legal Services 40,000 - 0.00% 40,000 - - Professional Services 20,000 12,891 64.46% 7,109 14,118 (1,227) Subtotal 100,000 16,193 16.19% 83,807 46,740 (30,547) Policy Premium Expense 2,509,393 1,839,470 73.30% 669,923 1,455,144 384,326 Total Expenses 2,609,393 1,855,663 71.11% 753,730 1,501,884 353,779 Excess Revenue(Expense) (469,393) (245,337) $ (224,056) 157,191 (402,528) Beginning Reserves 98,000,000 98,861,957 98,648,623 213,334 Ending Reserves $ 97,530,607 $ 98,616,620 $ 98,805,814 $ (189,194) Section 5 - Page 1 Table of Contents FY 2021 -22 Third Quarter Financial Report Workers' Compensation Fund Budget Review For the Nine Months Ended March 31, 2022 Percent Actual of Budget Remaining Actual 2021-22 Through Through 2021-22 Through Increase Budget 03/31/22 03/31/22 Budget 03/31/21 (Decrease) Revenues: In-Lieu Premiums $ 780,000 $ 585,000 75.00% $ 195,000 $ 389,100 $ 195,900 Service Department Allocations - 67,275 N/A (67,275) 67,275 - Total Revenues 780,000 652,275 83.63% 127,725 456,375 195,900 Expenses: Benefits/Claims 430,000 290,260 67.50% 139,740 281,982 8,278 Legal Services 80,000 50,149 62.69% 29,851 42,983 7,166 Professional Services 60,000 57,430 95.72% 2,570 46,072 11,358 Subtotal 570,000 397,839 69.80% 172,161 371,037 26,802 Policy Premium Expense 271,860 199,766 73.48% 72,094 154,389 45,377 Total Expenses 841,860 597,605 70.99% 244,255 525,426 72,179 Excess Revenue(Expense) (61,860) 54,670 $ (116,530) (69,051) 123,721 Beginning Reserves 2,000,000 2,149,679 2,235,687 (86,008) Ending Reserves $ 1,938,140 $ 2,204,349 $ 2,166,636 $ 37,713 Section 5 - Page 2 Table of Contents April 30, 2022 STAFF REPORT Quarterly Treasurer's Report For the Period Ended March 31, 2022 SUMMARY Section 17.0 of the Orange County Sanitation District's (OC San) Investment Policy includes quarterly reporting requirements for OC San's two investment portfolios. These two funds, the "Liquid Operating Monies," and the "Long-Term Operating Monies" are managed by Chandler Asset Management, OC San's external money manager. The ongoing monitoring of OC San's investment program by staff and Callan Associates, OC San's independent investment advisor, indicates that OC San's investments are in compliance with OC San's adopted Investment Policy and the California Government Code, and that overall performance has tracked with benchmark indices. In addition, sufficient liquidity and anticipated revenues are available for OC San to meet budgeted expenditures for the next six months. OC San's portfolios do not include any reverse repurchase agreements or derivative securities. An Internal Revenue Services Section 115 Trust was established to prefund pension obligations. OC San has restricted cash and investments held in the post-employment benefits trust administered by Public Agency Retirement Services (PARS) and managed by HighMark Capital. The trust is a tax-exempt irrevocable trust and trust assets are to be used exclusive for payment of pension liabilities. ADDITIONAL INFORMATION Performance Reports The Quarterly Strategy Review, prepared by Chandler Asset Management, and the Investment Measurement Service Quarterly Review, prepared by Callan Associates, is attached for reference. Also attached are Long-Term and Liquid Operating Monies Summary of Performance Data and Portfolio Statistics charts that depict the performance results, estimated yield and duration, credit quality, and sector diversification of OC San's portfolios, as of March 31, 2022. The Liquid Operating Monies portfolio, with an average maturity of 88 days, consists entirely of high quality fixed income investments consistent with OC San's investment policy. Additionally, the PARS Section 115 Trust Quarterly Review is also attached. Table of Contents Quarterly Treasurer's Report For the Period Ended March 31, 2022 Page 2 of 4 Portfolio Performance Summary The following table presents a performance summary of OC San's portfolios as compared to their benchmarks as of March 31, 2022. Portfolio Performance Summary As of March 31,2022 Liquid Operating Monies(%) Long-Term Operating Monies(%) Total Rate of Total Rate of Return Benchmark0) Return Benchmark0) 3 Months -0.01 0.04 -2.93 -3.24 6 Months -0.01 0.05 -3.54 -3.90 9 Months 0.01 0.06 -3.52 -3.89 12 Months 0.03 0.06 -3.33 -3.70 Annualized Since inception 30 Nov 2014 0.93 0.83 1.33 1.25 Market Value $155.8 M $720.7 M Average Quality "AA117"Aaa" "AA17"Aa111 Current Yield(%) 0.5 1.5 Estimated Yield to Maturity(%) 0.6 2.3 Quarterly Deposits(Withdrawals) ($75.0 M) $0.0 M Estimated Annual Income $0.5 M $10.4 M (1) Benchmarks: ■ Liquid Operating Portfolio: ICE BAML 3-Month Treasury Bill Index • Long-Term Operating Portfolio: ICE BAML Corp/Govt. 1-5 Year Bond Index Portfolio Market Values Comparative marked-to-market quarter-end portfolio values are shown in the following table, and in the attached bar chart. Liquid Long-Term Quarter Operating Operating Ending Monies($M) Monies($M) 30 Jun 21 207.8 686.0 30 Sep 21 129.9 686.4 31 Dec 21 230.9 742.2 31 Mar 22 155.8 720.7 Table of Contents Quarterly Treasurer's Report For the Period Ended March 31, 2022 Page 3 of 4 Orange County Sanitation District Investment Account Balances as of March 31, 2022 Book Balances Estimated Investment Accounts March 31, 2022 Yield (%) Chandler/U.S. Bank—Long-Term Portfolio $720,017,773 2.30 Chandler/U.S. Bank—Short-Term Portfolio 155,809,200 0.58 State of California LAIF 35,999,013 0.37 PARS Section 115 Trust-Moderate 9,738,659 -0.29 PARS Section 115 Trust-Balanced 4,884,487 0.16 Banc of California—General 3,000,000 0.30 Banc of California—Sweep 5,168,664 0.02 Banc of California—Workers' Compensation 59,138 0.30 Banc of California—Property, Liability Claim, Exp 50,000 0.30 Union Bank—Bandilier 619,662 0.40 Union Bank—Mount Langley 140,472 0.40 BNY Mellon OCIP Reserve 500,941 0.00 Petty Cash 3,000 0.00 TOTAL $935,991,009 1.88 Debt Service Reserves w/Trustees $55 956 0.02 Orange County Sanitation District Cost of Funds on Debt Issues as of March 31, 2022 Annual Cost of Funds Outstanding Interest Issue Description COP Balance Rate(%) 2010A Fixed 80,000,000 3.68 2010C Fixed 157,000,000 4.11 2014A Fixed 47,835,000 2.34 2015A Fixed 127,510,000 3.30 2016A Fixed 131,965,000 3.02 2017A Fixed 65,815,000 2.55 2021A Fixed 128,040,000 1.06 2022A Fixed 81,620,000 1.59 TOTAL $819,785,000 Weighted Avg. Cost of Funds 2.81 Table of Contents Quarterly Treasurer's Report For the Period Ended March 31, 2022 Page 4 of 4 ATTACHMENTS 1. Chandler Quarterly Report 2. Summary of Performance Data and Portfolio Statistics — Liquid Operating Monies 3. Summary of Performance Data and Portfolio Statistics — Long Term Operating Monies 4. Investment Transactions and Balances in LAIF 5. Asset Summary by Asset Type — Liquid Operating Portfolio 6. Asset Summary by Asset Type — Long Term Portfolio 7. Asset Summary by Asset Type — Owner Controlled Insurance Program Escrow Account 8. Investment Listing (Yield Analysis Report) 9. Asset Detail — Consolidated 10. Chandler/U.S. Bank Custody Transaction History — Consolidated 11. Callan Quarterly Review 12. Chandler Quarterly Review 13. Rating Agency Comparisons 14. PARS Section 115 Trust Quarterly Review Table of Contents Orange County Sanitation District Liquid Portfolio Summary Account#10282 As of March 31, 2022 cill PORTFOLIO CHARACTERISTICS ACCOUNT SUMMARY TOP ISSUERS Average Modified Duration 0.23 Beg.Values End Values Government of United States 77.0% as of 2/28/22 as of 3/31/22 Bank of Nova Scotia Houston 3.2% Average Coupon 0.49% Market Value 155,602,303 155,617,741 Accrued Interest 235588 215031 Nordea Bank ABP New York 2.9% , , Average Purchase YTM 0.29% First American Govt Obligation 2.2% Total Market Value 155,837,891 155,832,772 Average Market YTM 0.58% Income Earned 22,008 33,235 Svenska Handelsbanken NY 1.9% Average S&P/Moody Rating AA+/Aaa Cont/WD 0 Cooperatieve Rabobank UA 1.9% Average Final Maturity 0.24 yrs par 155,650,328 155,731,537 Royal Bank of Canada 1.9% Book Value 155,693,871 155,747,663 Metlife Inc 1.5% Average Life 0.17 yrs Cost Value 156,075,134 156,001,792 Total 92.5% SECTOR ALLOCATION MATURITY DISTRIBUTION CREDIT QUALITY(S&P) 80% US Treasury 77.0% AA(55.7%) 62.0% 60% Neg CD 13.2% 40% 32.3% BBB(1.3%) Corporate 7.7% 20% A(4.9%) 5.7% % 4 M°ney Mkt Fd 2.2% 0-.25 .25-.5 .5-1 1-1.5 1.5-2 2-2.5 2.5-3 3+ Maturity(Yrs) AAA(38.1%) PERFORMANCE REVIEW Annualized TOTAL RATE OF RETURN 1M 3M YTD 1YR 2YRS 3YRS SYRS 10YRS 11/30/2014 Orange County Sanitation District Liquid 0.00% -0.01% -0.01% 0.03% 0.10% 0.91% 1.20% N/A 0.93% ICE BofA 3-Month US Treasury Bill Index 0.03% 0.04% 0.04% 0.06% 0.09% 0.81% 1.13% N/A 0.83% Chandler Asset Manaeement-CONFIDENTIAL Paee 1 Execution Time:4/3/2022 1:57:12 PM Table of Contents Orange County Sanitation District Long Term Portfolio Summary Account#10268 As of March 31, 2022 C11% PORTFOLIO CHARACTERISTICS ACCOUNT SUMMARY TOP ISSUERS Average Modified Duration 2.46 Beg.Values End Values Government of United States 31.8% as of 2/28/22 as of 3/31/22 Federal National Mortgage Assoc 9.0% Average Coupon 1.52% Market Value 730,158,056 718,301,606 Accrued Interest 2575759 2385685 Federal Home Loan Mortgage Corp 6.2% , , , , Average Purchase YTM 1.45% Federal Home Loan Bank 6.2% Total Market Value 732,733,814 720,687,291 Average Market YTM 2.30% Income Earned 834,752 886,451 Inter-American Dev Bank 4.7% Average S&P/Moody Rating AA/Aa1 Cont/WD 100,802 Intl Bank Recon and Development 2.8% Average Final Maturity 2.74 yrs par 736,082,716 737,638,714 Hyundai Auto Receivables 1.9% Book Value 737,459,651 738,746,812 Berkshire Hathaway 1.9% Average Life 2.54 yrs Cost Value 737,868,280 739,220,631 Total 64.5% SECTOR ALLOCATION MATURITY DISTRIBUTION CREDIT QUALITY(S&P) 29.3% US Treasury 31.8% 30% AA(61.1%) Corporate 26.2% 25% 23.8% Agency 20.5% 20% 18.5% 18.2% ABS_ 9.7% 15% B(0.0%) sopras_ 7.5% 10% BBB(1.2%) NegCD 2.5% 6.7% NR(3.2%) cMo' 1.5% 5% 2.4% 0.9% 0 2% M° y Mkt Fd 0.2% % . :1 0-.25 .25-.5 .5-1 1-2 2-3 3-4 4-5 5. A(17.1%) Mes 0.1% Maturity(Yrs) AAA(17.4%) PERFORMANCE REVIEW Annualized TOTAL RATE OF RETURN 1M 3M YTD 1YR 2YRS 3YRS SYRS 10YRS 11/30/2014 Orange County Sanitation District Long Term -1.66% -2.93% -2.93% -3.33% -1.03% 1.16% 1.43% N/A 1.33% ICE BofA 1-5 Yr AAA-A US Corp&Govt Index -1.84% -3.24% -3.24% -3.70% -1.43% 1.05% 1.32% N/A 1.25% ICE BofA 1-5 Yr US Corp&Govt Index -1.96% -3.49% -3.49% -3.83% -0.90% 1.16% 1.45% N/A 1.37% Chandler Asset Management-CONFIDENTIAL Page 1 Execution Time:4/3/2022 1:55:21 PM Table of Contents Orange County Sanitation District Investment Transactions and Balances in the State of California Local Agency Investment Fund March 31, 2022 Par Value Book Value Market Value Rate Yield Balance 3/1/2022 $37,399,013 $37,399,013 $37,399,013 0.37 0.37 Deposits: 3/10/2022 23,800,000 23,800,000 23,800,000 0.37 0.37 Total Deposits 23,800,000 23,800,000 23,800,000 0.37 0.37 Quarterly Interest Distribution - - - 0.37 0.37 Withdrawals: 3/2/2022 (2,900,000) (2,900,000) (2,900,000) 0.37 0.37 3/8/2022 (2,100,000) (2,100,000) (2,100,000) 0.37 0.37 3/16/2022 (2,600,000) (2,600,000) (2,600,000) 0.37 0.37 3/22/2022 (3,400,000) (3,400,000) (3,400,000) 0.37 0.37 3/23/2022 (3,800,000) (3,800,000) (3,800,000) 0.37 0.37 3/28/2022 (4,900,000) (4,900,000) (4,900,000) 0.37 0.37 3/30/2022 (5,500,000) (5,500,000) (5,500,000) 0.37 0.37 Total Withdrawals (25,200,000) (25,200,000) (25,200,000) 0.37 0.37 Balance 3/31/2022 $35,999,013 $35,999,013 $35,999,013 0.37 0.37 Table of Contents U.S. Bank Asset Summary - Liquid As of 03/31/2022 Industry Name Shares/Units Cost Basis Market Value Percent of Total Unrealized Gain/Loss Cash Equivalents FIRST AMERICAN SHORT TERM FDS 3,391,537.4900 3,391,537.49 3,391,537.49 2.18 U. S. GOVERNMENT 45,500,000.0000 45,443,315.48 45,441,960.00 29.21 (1,355.48) Cash Equivalents Total 48,891,537.4900 48,834,852.97 48,833,497.49 31.39 (1,355.48) Fixed Income CONSUMER DISCRETIONARY 2,000,000.0000 2,032,780.00 2,001,240.00 1.29 (31,540.00) FINANCE 6,000,000.0000 6,139,320.00 6,029,020.00 3.87 (110,300.00) FIXED INCOME FUNDS OTHER 4,500,000.0000 4,498,466.84 4,496,295.00 2.89 (2,171.84) PRIVATE PLACEMENTS 2,255,000.0000 2,259,126.65 2,255,270.60 1.45 (3,856.05) SHORT TERM FUNDS 16,000,000.0000 16,000,166.17 15,977,320.00 10.27 (22,846.17) U. S. GOVERNMENT 74,500,000.0000 74,647,578.13 74,415,015.00 47.83 (232,563.13) US AGY- LONG TERM ISSUES 1,585,000.0000 1,589,501.40 1,586,077.80 1.02 (3,423.60) Fixed Income Total 106,840,000.0000 107,166,939.19 106,760,238.40 68.61 (406,700.79) Grand Total 155,731,537.4900 156,001,792.16 155,593,735.89 100.00 (408,056.27) 1 of 1 Table of Contents U.S. Bank Asset Summary - Long-Term As of 03131/2022 Industry Name Shares/Units Cost Basis Market Value Percent of Total Unrealized Gain/Loss Cash Equivalents FIRST AM ERICAN SHORT TERM FDS 1,188,487.1100 1,188,487.11 1,188,487.11 0.17 - Cash Equivalents Total 1,188,487.1100 1,188,487.11 1,188,487.11 0.17 - Fixed Income CONSUMER DISCRETIONARY 20,554,000.0000 20,636,319.23 19,974,700.18 2.78 (661,619.05) CONSUMER STAPLES 6,955,000.0000 6,950,042.65 6,844,751.20 0.95 (105,291.45) ENERGY 3,500,000.0000 3,441,095.00 3,537,940.00 0.49 96,845.00 FINANCE 113,369,000.0000 112,771,262.81 108,381,770.55 15.10 (4,389,492.26) FIXED INCOME FUNDS OTHER 7,000,000.0000 7,000,702.07 6,996,360.00 0.97 (4,342.07) FOREIGN FIXED INCOME 9,500,000.0000 9,582,015.00 9,466,655.00 1.32 (115,360.00) HEALTH CARE 6,000,000.0000 5,853,343.05 5,732,460.00 0.80 (120,883.05) INDUSTRIAL 1,250,000.0000 1,250,237.50 1,275,012.50 0.18 24,775.00 INFORMATION TECHNOLOGY 19,922,000.0000 20,678,047.96 20,098,390.32 2.80 (579,657.64) MTG RELATED SECURITY 82,841,147.1500 83,477,686.14 81,441,108.32 11.35 (2,036,577.82) PRIVATE PLACEMENTS 12,915,000.0000 12,779,095.80 12,024,377.55 1.68 (754,718.25) SHORT TERM FUNDS 11,000,000.0000 11,000,302.19 10,950,590.00 1.53 (49,712.19) SUPRANATIONAL 56,940,000.0000 56,583,197.85 53,775,540.80 7.49 (2,807,657.05) U. S. GOVERNMENT 224,253,287.5400 222,865,533.17 215,817,273.87 30.07 (7,048,259.30) U.S. GOVERNMENT TIPS 12,310,792.0000 12,166,072.09 12,919,068.23 1.80 752,996.14 US AGY- LONG TERM ISSUES 150,740,000.0000 152,297,593.25 147,218,321.95 20.51 (5,079,271.30) Fixed Income Total 739,050,226.6900 739,332,545.76 716,454,320.47 99.83 (22,878,225.29) Grand Total 740,238,713.8000 740,521,032.87 717,642,807.58 100.00 (22,878,225.29) 1 of 1 Table of Contents �/ BNY MELLON Statement Period 03/01/2022 Through 03/31/2022 Account 300282 Base Currency=USD OCSD LIBERTY MUTUAL Statement of Assets Held by Asset Classification Accrued Estimated Market Shares/Par Value Asset Description Market Price Market Value Cost Average Cost Income Income Yield CASH AND SHORT TERM CASH BALANCE 500,941.20 500,941.20 0.00000 0.00 0.00 0.00% Total CASH AND SHORT TERM 500,941.20 500,941.20 a00 0.00 0.00% ACCOUNT TOTALS 500,941.20 500,941.20 a00 0.00 0.00% Total Market Value Plus Total Accrued Income 500,941.20 Statement of Transactions by Transaction Date Realized Transaction Date Transaction Description Income Principal Cost Gains/Losses 03/01/22 ACCOUNT OPENING PERIOD BALANCE 1,772.94- 2,714.14 499,762.39 03/24/22 Redemption 237.61 499,762.39 499,762.39- 237.61 UNITED STATES TREASURY BILL RATE:0.000%MATURITY:03/24/22 TRADE DATE 03/24/22 SET/DATE 03/24/22 CUSIP 912796F38 500,000.000 SHARES 03/24/22 ACCOUNT CLOSING DAILY BALANCE 1,535.33- 502,476.53 0.00 237.61 m 03/31/22 ACCOUNT CLOSING PERIOD BALANCE 1,535.33- 502,476.53 0.00 237.61 rn 0 N Cumulative realized capital gain and loss position from 12/31/2021 for securities held in principal of account: 0 V Short Term: 237.61' Long Term: 0.00* a The above gain and loss position does not include transactions where tax cost information is incomplete or unavailable. o v 0 N W W N Table of Contents U.S. Bank Investment Listing -Yield As of 03/31/2022 Asset Category CUSIP Asset Short Name Yield Shares/Units Moody's S&P Rating Price Cost Basis Market Value Cash Equivalents 31846V567 FIRST AM GOVT OB FD CL Z 0.1760% 3,391,537.4900 1.00 3,391,537.49 3,391,537.49 Cash Equivalents 31846V567 FIRST AM GOVT OB FD CL Z 0.1760% 1,188,487.1100 1.00 1,188,487.11 1,188,487.11 Cash Equivalents 912796R43 U S TREASURY BILL 6/23/22 0.4605% 10,000,000.0000 N/A N/A 99.89 9,990,904.17 9,989,300.00 Cash Equivalents 912796U23 U S TREASURY BILL 4/26/22 0.1288% 10,000,000.0000 N/A N/A 99.99 9,996,463.06 9,999,100.00 Cash Equivalents 912796R50 U S TREASURY BILL 6/30/22 0.4894% 13,000,000.0000 N/A N/A 99.87 12,986,494.08 12,983,360.00 Cash Equivalents 912796559 U S TREASURY BILL 7/28/22 0.7431% 10,000,000.0000 N/A N/A 99.75 9,974,739.48 9,975,300.00 Cash Equivalents 912796X20 U S TREASURY BILL 7/19/22 0.6501% 2,500,000.0000 N/A N/A 99.80 2,494,714.69 2,494,900.00 Fixed Income 02665WDF5 AMERICAN HONDA MTN 1.950% 5/20/22 1.9488% 2,000,000.0000 A3 A- 100.06 2,032,780.00 2,001,240.00 Fixed Income 02665WCJ8 AMERICAN HONDA MTN 3.450% 7/14/23 3.4079% 845,000.0000 A3 A- 101.24 843,538.15 855,435.75 Fixed Income 023135BW5 AMAZON COM INC 0.450% 5/12/24 0.4675% 5,490,000.0000 Al AA 96.26 5,481,984.60 5,284,674.00 Fixed Income 438516CBO HONEYWELL 1.350% 6/01/25 1.4015% 5,000,000.0000 A2 A 96.32 5,119,000.00 4,816,200.00 Fixed Income 02665WCZ2 AMERICAN HONDA MTN 2.400% 6/27/24 2.4170% 1,219,000.0000 A3 A- 99.30 1,213,843.63 1,210,430.43 Fixed Income 02665WEA5 AMERICAN HONDA MTN 1.500% 1/13/25 1.5568% 6,000,000.0000 A3 A- 96.35 5,979,632.85 5,781,060.00 Fixed Income 02665WCQ2 AMERICAN HONDA MTN 3.625% 10/10/23 3.5769% 2,000,000.0000 A3 A- 101.35 1,998,320.00 2,026,900.00 Fixed Income 931142EK5 WALMART INC 3.400% 6/26/23 3.3430% 3,880,000.0000 AA2 AA 101.70 3,878,991.40 3,946,115.20 Fixed Income 79466LAG9 SALESFORCE COM INC 0.625% 7/15/24 0.6528% 1,350,000.0000 A2 A+ 95.75 1,349,311.50 1,292,557.50 Fixed Income 931142ERO WALMART INC 1.050% 9/17/26 1.1277% 1,725,000.0000 AA2 AA 93.11 1,721,739.75 1,606,078.50 Fixed Income 166764AH3 CHEVRON CORP 3.191% 6/24/23 3.1568% 3,500,000.0000 AA2 AA- 101.08 3,441,095.00 3,537,940.00 Fixed Income 61744YAH1 MORGAN STANLEY 2.750% 5/19/22 2.7453% 2,000,000.0000 Al BBB+ 100.17 2,047,260.00 2,003,400.00 Fixed Income 46625HJH4 JPMORGAN CHASE CO 3.200% 1/25/23 3.1667% 2,000,000.0000 A2 A- 101.05 2,042,640.00 2,021,000.00 Fixed Income 05531 FBG7 BB T CORPORATION MTN 3.050% 6/20/22 3.0430% 2,000,000.0000 A3 A- 100.23 2,049,420.00 2,004,620.00 Fixed Income 808513AT2 CHARLES SCHWAB CORP 2.650% 1/25/23 2.6309% 6,750,000.0000 A2 A 100.73 6,729,480.00 6,799,072.50 Fixed Income 46647PAUO JPMORGAN CHASE CO 3.797% 7/23/24 3.7543% 2,500,000.0000 A2 A- 101.14 2,632,175.00 2,528,450.00 Fixed Income 06367WB85 BANK OF MONTREAL MTN 1.850% 5/01/25 1.9251% 7,000,000.0000 A2 A- 96.10 7,226,940.00 6,727,070.00 Fixed Income 525ESCIB7 LEHMAN BIRTH MTN ES 0.00001% 1/24/13 0.0019% 600,000.0000 N/A N/A 0.52 315,960.88 3,120.00 Fixed Income 084664BT7 BERKSHIRE HATHAWAY 3.000% 5/15/22 2.9930% 4,000,000.0000 AA2 AA 100.24 4,131,120.00 4,009,400.00 Fixed Income 69353RFL7 PNC BANK NA MTN 3.500% 6/08/23 3.4587% 5,000,000.0000 A2 A 101.19 4,993,318.05 5,059,700.00 Fixed Income 61747YEA9 MORGAN STANLEY 0.790% 5/30/25 0.8316% 8,885,000.0000 Al BBB+ 95.00 8,889,710.25 8,441,016.55 Fixed Income 78015K7H1 ROYAL BANK OF MTN 1.150% 6/10/25 1.2186% 4,000,000.0000 Al A 94.37 4,013,620.00 3,774,960.00 Fixed Income 90331 HNL3 US BANK NA MTN 2.850% 1/23/23 2.8302% 2,000,000.0000 Al AA- 100.70 1,992,640.00 2,013,960.00 Fixed Income 06406RAE7 BANK OF NY MTN 2.950% 1/29/23 2.9240% 2,500,000.0000 Al A 100.89 2,489,555.00 2,522,225.00 Fixed Income 00440EAS6 ACE INA HOLDING 3.150% 3/15/25 3.1169% 2,000,000.0000 A3 A 101.06 2,203,740.00 2,021,220.00 Fixed Income 06051GJD2 BANK AMER CORP MTN 1.319% 6/19/26 1.4074% 2,250,000.0000 A2 A- 93.72 2,254,432.50 2,108,632.50 Fixed Income 90331 HPL1 US BANK NA MTN 2.050% 1/21/25 2.0939% 7,270,000.0000 Al AA- 97.90 7,254,514.90 7,117,548.10 Fixed Income 89236TJK2 TOYOTA MTR CR MTN 1.125% 6/18/26 1.2128% 7,285,000.0000 Al A+ 92.76 7,281,794.60 6,757,857.40 Fixed Income 06051GHF9 BANK OF AMERICA 3.550% 3/05/24 3.5298% 6,675,000.0000 A2 A- 100.57 6,770,625.75 6,713,114.25 Fixed Income 89114TZN5 TORONTO DOMINION MTN 1.950% 1/12/27 2.0589% 2,000,000.0000 Al A 94.71 1,984,582.40 1,894,220.00 Fixed Income 06051GHY8 BANK OF AMERICAN MTN 2.015% 2/13/26 2.0934% 2,500,000.0000 A2 A- 96.26 2,583,450.00 2,406,375.00 Fixed Income 808513BN4 SCHWAB CHARLES 0.750% 3/18/24 0.7758% 2,785,000.0000 A2 A 96.68 2,783,607.50 2,692,398.75 Fixed Income 00440EAP2 CHUBB INA HLDGS INC 2.700% 3/13/23 2.6844% 2,000,000.0000 A3 A 100.58 1,937,000.00 2,011,640.00 Fixed Income 46647PBH8 JPMORGAN CHASE CO 2.005% 3/13/26 2.0797% 3,500,000.0000 A2 A- 96.41 3,602,345.00 3,374,245.00 Fixed Income 06368FAC3 BANK OF MONTREAL MTN 1.250% 9/15/26 1.3616% 3,000,000.0000 A2 A- 91.80 2,994,647.40 2,754,060.00 1of5 Table of Contents U.S. Bank Investment Listing -Yield As of 03/31/2022 Asset Category CUSIP Asset Short Name Yield Shares/Units Moody's S&P Rating Price Cost Basis Market Value Fixed Income 808513BYO CHARLES SCHWAB CORP 2.450% 3/03/27 2.5238% 2,325,000.0000 A2 A 97.08 2,322,489.00 2,257,040.25 Fixed Income 084664CZ2 BERKSHIRE HATHAWAY 2.300% 3/15/27 2.3484% 6,875,000.0000 AA2 AA 97.94 6,873,693.75 6,733,306.25 Fixed Income 89114TZT2 TORONTO DOMINION MTN 2.800% 3/10/27 2.8513% 5,000,000.0000 Al A 98.20 4,960,350.00 4,910,100.00 Fixed Income 00440EAUl ACE INA HOLDINGS 2.875% 11/03/22 2.8579% 4,169,000.0000 A3 A 100.60 4,232,453.17 4,194,014.00 Fixed Income 084670BR8 BERKSHIRE HATHAWAY 2.750% 3/15/23 2.7310% 2,500,000.0000 AA2 AA 100.70 2,440,950.00 2,517,425.00 Fixed Income 46625HRL6 JP MORGAN CHASE CO 2.700% 5/18/23 2.6895% 5,000,000.0000 A2 A- 100.39 4,821,910.00 5,019,450.00 Fixed Income 09247XAL5 BLACKROCK INC 3.500% 3/18/24 3.4309% 1,000,000.0000 AA3 AA- 102.02 1,036,330.00 1,020,150.00 Fixed Income 65558UBJO NORDEA BK ABP C D 0.210% 5/16/22 0.2101% 3,000,000.0000 99.95 3,000,300.89 2,998,440.00 Fixed Income 65558UDC3 NORDEA BK ABP C D 0.190% 6/24/22 0.1903% 1,500,000.0000 99.86 1,498,165.95 1,497,855.00 Fixed Income 65558UBJO NORDEA BK ABP C D 0.210% 5/16/22 0.2101% 7,000,000.0000 99.95 7,000,702.07 6,996,360.00 Fixed Income 78013XZU5 ROYAL BANK OF MTN 2.550% 7/16/24 2.5616% 6,500,000.0000 Al A 99.55 6,581,445.00 6,470,555.00 Fixed Income 4581XODV7 INTER AMER BK M T N 0.875% 4/20/26 0.9380% 13,370,000.0000 AAA AAA 93.28 13,308,765.40 12,471,536.00 Fixed Income 459058JBO INTL BK M T N 0.626% 4/22/25 0.6637% 6,245,000.0000 AAA AAA 94.32 6,220,831.85 5,890,533.80 Fixed Income 459058J1-8 INTL BK M T N 0.500%10/28/25 0.5389% 15,000,000.0000 AAA AAA 92.78 14,964,951.60 13,917,450.00 Fixed Income 89114QCA4 TORONTO DOMINION MTN 2.650% 6/12/24 2.6534% 3,000,000.0000 Al A 99.87 3,000,570.00 2,996,100.00 Fixed Income 4581XOCZ9 INTER AMER DEV BK 1.750% 9/14/22 1.7498% 6,500,000.0000 AAA AAA 100.01 6,249,655.00 6,500,910.00 Fixed Income 4581XODN5 INTER AMER BK M T N 0.625% 7/15/25 0.6665% 5,050,000.0000 AAA AAA 93.77 5,071,967.50 4,735,587.00 Fixed Income 4581XODZ8 INTER AMER BK M T N 0.500% 9/23/24 0.5251% 10,775,000.0000 AAA AAA 95.22 10,767,026.50 10,259,524.00 Fixed Income 91324PEC2 UNITEDHEALTH 1.150% 5/15/26 1.2376% 4,000,000.0000 A3 A+ 92.92 3,904,703.05 3,716,960.00 Fixed Income 58933YAF2 MERCK CO INC 2.800% 5/18/23 2.7785% 2,000,000.0000 Al A+ 100.78 1,948,640.00 2,015,500.00 Fixed Income 24422EUM9 JOHN DEERE MTN 3.650% 10/12/23 3.5784% 1,250,000.0000 A2 A 102.00 1,250,237.50 1,275,012.50 Fixed Income 037833CU2 APPLE INC 2.850% 5/11/24 2.8267% 3,000,000.0000 AAA AA+ 100.82 3,017,760.00 3,024,720.00 Fixed Income 458140BD1 INTEL CORP 2.875% 5/11/24 2.8539% 5,000,000.0000 Al A+ 100.74 5,025,900.00 5,037,000.00 Fixed Income 037833AZ3 APPLE INC 2.500% 2/09/25 2.5061% 3,922,000.0000 AAA AA+ 99.76 4,154,496.16 3,912,430.32 Fixed Income 747525AFO QUALCOMM INC 3.450% 5/20/25 3.3972% 8,000,000.0000 A2 A 101.55 8,479,891.80 8,124,240.00 Fixed Income 525ESCOY6 LEHMAN BRTH HLD ESC 0.0000% 2,000,000.0000 - 1,017,827.66 Fixed Income 47787NAC3 JOHN DEERE OWNER 0.510%11/15/24 0.5158% 1,227,946.4800 AAA N/A 98.89 1,227,759.34 1,214,254.88 Fixed Income 3137BSRE5 F H L M C MLTCL MTG 3.120% 9/25/26 3.0780% 5,000,000.0000 N/A AAA 101.36 5,214,062.50 5,068,200.00 Fixed Income 47789QAC4 JOHN DEERE OWN 0.520% 3/16/26 0.5429% 2,820,000.0000 AAA N/A 95.79 2,819,748.46 2,701,278.00 Fixed Income 65479JAD5 NISSAN AUTO 1.930% 7/15/24 1.9263% 2,050,972.0800 AAA AAA 100.19 2,050,863.79 2,054,950.97 Fixed Income 89237VAB5 TOYOTA AUTO RECV 0.440%10/15/24 0.4441% 2,544,518.2700 AAA AAA 99.08 2,544,322.34 2,521,006.92 Fixed Income 362554AC1 GM FIN CONS AUTO 0.680% 9/16/26 0.7040% 1,705,000.0000 AAA AAA 96.59 1,704,956.52 1,646,876.55 Fixed Income 44934KAC8 HTUNDAI AUTO REC TR 0.380% 1/15/26 0.3929% 6,040,000.0000 N/A AAA 96.71 6,038,666.97 5,841,344.40 Fixed Income 44933LAC7 HYUNDAI AUTO REC 0.380% 9/15/25 0.3898% 2,100,000.0000 N/A AAA 97.50 2,099,779.08 2,047,395.00 Fixed Income 36225CC20 G N M A 11#080088 2.000% 6/20/27 1.9889% 6,045.9800 N/A N/A 100.56 6,178.23 6,079.60 Fixed Income 89239CAC3 TOYOTA LEASE OWNER 0.420%10/21/24 0.4328% 3,185,000.0000 AAA N/A 97.05 3,184,957.00 3,091,010.65 Fixed Income 03215PFN4 AMRESCO 1.44315% 6/25/29 1.4861% 116,624.7700 N/A BBB 97.11 87,577.91 113,256.65 Fixed Income 31348SWZ3 F H L M C#786064 2.262% 1/01/28 2.2635% 1,251.8900 N/A N/A 99.93 1,221.40 1,251.06 Fixed Income 31403GXF4 F N M A#748678 5.000%10/01/33 4.7270% 775.5100 N/A N/A 105.78 833.66 820.30 Fixed Income 31406PQY8 F N M A#815971 5.000% 3/01/35 4.6239% 75,399.6800 N/A N/A 108.13 81,054.67 81,532.69 Fixed Income 31406XWT5 F N M A#823358 1.966% 2/01/35 1.9099% 45,598.0800 N/A N/A 102.94 45,241.84 46,936.84 Fixed Income 31407BXH7 F N M A#826080 5.000% 7/01/35 4.6237% 9,932.6400 N/A N/A 108.14 10,677.57 10,740.96 2of5 Table of Contents U.S. Bank Investment Listing -Yield As of 03/31/2022 Asset Category CUSIP Asset Short Name Yield Shares/Units Moody's S&P Rating Price Cost Basis Market Value Fixed Income 31410F4V4 F N M A#888336 5.000% 7/01/36 4.6240% 82,460.0900 N/A N/A 108.13 88,644.61 89,165.74 Fixed Income 36225CN28 G N M A 11#080408 1.875% 5/20/30 1.8275% 28,525.0500 N/A N/A 102.60 28,235.33 29,266.99 Fixed Income 36225DCB8 G N M A 11#080965 1.625% 7/20/34 1.5856% 24,015.2100 N/A N/A 102.49 24,000.20 24,612.23 Fixed Income 44935FAD6 HYUNDAI AUTO REC TR 0.740% 5/15/26 0.7702% 1,600,000.0000 N/A AAA 96.07 1,599,642.88 1,537,168.00 Fixed Income 3137BFE98 F H L B GTD REMIC 3.171% 10/25/24 3.1370% 5,000,000.0000 N/A N/A 101.08 5,378,515.62 5,054,150.00 Fixed Income 43815GAC3 HONDA AUTO REC 0.880% 1/21/26 0.9091% 2,290,000.0000 AAA N/A 96.80 2,289,517.27 2,216,697.10 Fixed Income 3133TCE95 F H L M C MLTCL MTG 3.769% 8/15/32 3.7463% 3,373.7500 N/A N/A 100.61 3,377.29 3,394.23 Fixed Income 44891VAC5 HYUNDAI AUTO LEASE 0.330% 6/17/24 0.3372% 4,155,000.0000 AAA AAA 97.85 4,154,376.75 4,065,833.70 Fixed Income 58770FAC6 MERCEDES BENZ AUTO 1.840% 12/15/22 1.8394% 250,596.3200 AAA AAA 100.03 250,563.29 250,679.02 Fixed Income 05601XAC3 BMW VEHICLE LEASE 1.100% 3/25/25 1.1281% 2,400,000.0000 N/A AAA 97.51 2,399,641.20 2,340,192.00 Fixed Income 380146AC4 GM FIN CONS AUTO 1.260% 11/16/26 1.3021% 1,590,000.0000 N/A AAA 96.77 1,589,861.83 1,538,579.40 Fixed Income 44891WAC3 HYUNDAI AUTO LEASE 1.160% 1/15/25 1.1881% 2,895,000.0000 AAA AAA 97.64 2,894,936.02 2,826,533.25 Fixed Income 31403DJZ3 F N M A#745580 5.000% 6/01/36 4.6249% 49,764.7500 N/A N/A 108.11 53,497.10 53,800.67 Fixed Income 58769KAD6 MERCEDES BENZ AUTO 0.400%11/15/24 0.4105% 3,315,000.0000 N/A AAA 97.45 3,314,749.72 3,230,434.35 Fixed Income 43813KAC6 HONDA AUTO 0.370%10/18/24 0.3747% 3,235,000.0000 N/A AAA 98.74 3,234,524.78 3,194,239.00 Fixed Income 43813GAC5 HONDA AUTO 0.270% 4/21/25 0.2758% 1,605,000.0000 AAA N/A 97.91 1,604,970.63 1,571,455.50 Fixed Income 47788UAC6 JOHN DEERE OWNER 0.360% 9/15/25 0.3717% 2,300,000.0000 AAA N/A 96.84 2,299,557.94 2,227,412.00 Fixed Income 43815BAC4 HONDA AUTO REC OWN 1.880% 5/15/26 1.9152% 3,930,000.0000 AAA AAA 98.16 3,929,408.93 3,857,727.30 Fixed Income 36265MAC9 GM FIN AUTO LSNG TR 1.900% 3/20/25 1.9234% 5,020,000.0000 AAA N/A 98.78 5,019,956.83 4,958,806.20 Fixed Income 09690AAC7 BMW VEHICLE LEASE 0.330%12/26/24 0.3385% 2,070,000.0000 AAA N/A 97.48 2,069,786.38 2,017,877.40 Fixed Income 89238LAC4 TOYOTA LEASE OWNER 1.960% 2/20/25 1.9946% 6,125,000.0000 N/A AAA 98.26 6,124,035.93 6,018,670.00 Fixed Income 448977ADO HYUNDAI AUTO REC 2.146%10/15/26 2.1742% 4,300,000.0000 N/A AAA 98.70 4,299,834.45 4,244,143.00 Fixed Income 47787JAC2 JOHN DEERE OWNER 2.24267% 9/15/26 2.2733% 3,010,000.0000 AAA N/A 98.65 3,009,334.19 2,969,395.10 Fixed Income 36225CAZ9 G N M A 11#080023 1.755%12/20/26 1.7103% 8,494.3500 N/A N/A 102.61 8,634.67 8,716.39 Fixed Income 31394JY35 F H L M C MLTCL MT 9.50001% 9/25/43 8.8436% 454,861.3000 N/A N/A 107.42 515,130.42 488,621.11 Fixed Income 31371NUC7 F N M A#257179 4.500% 4/01/28 4.3421% 6,308.9800 N/A N/A 103.64 6,672.38 6,538.44 Fixed Income 31397QREO F N M A GTD REMIC 2.472% 2/25/41 1.1179% 88,148.9000 N/A N/A 101.67 88,121.38 89,619.22 Fixed Income 78445JAA5 S L M A 1.75771% 4/25/23 1.7547% 9,188.6800 BA3 B 100.17 9,151.39 9,204.67 Fixed Income 3138EG6F6 F N M A#AL0869 4.500% 6/01/29 4.3414% 4,549.1700 N/A N/A 103.65 4,811.20 4,715.35 Fixed Income 31376KT22 F N M A#357969 5.000% 9/01/35 4.6198% 54,002.9900 N/A N/A 108.23 58,053.21 58,447.44 Fixed Income 31417YAY3 F N M A#MA0022 4.500% 4/01/29 4.3408% 7,792.2300 N/A N/A 103.67 8,241.04 8,078.05 Fixed Income 59217GEE5 MET LIFE GLOB MTN 1.950% 1/13/23 1.9498% 2,255,000.0000 AA3 AA- 100.01 2,259,126.65 2,255,270.60 Fixed Income 40139LBD4 GUARDIAN LIFE MTN 1.250% 5/13/26 1.3513% 3,250,000.0000 AA2 AA+ 92.51 3,124,290.00 3,006,445.00 Fixed Income 59217GER6 MET LIFE GLOB MTN 1.875% 1/11/27 1.9959% 5,920,000.0000 AA3 AA- 93.94 5,913,251.20 5,561,484.80 Fixed Income 58989V2D5 MET TOWER MTN 1.250% 9/14/26 1.3544% 3,745,000.0000 AA3 AA- 92.30 3,741,554.60 3,456,447.75 Fixed Income 06417MNK7 BANK NOVA C D 0.220% 4/08/22 0.2200% 3,000,000.0000 100.00 3,000,000.00 2,999,940.00 Fixed Income 89114W7M1 TORONTO C D 0.240% 4/28/22 0.2400% 2,000,000.0000 99.99 1,999,999.94 1,999,860.00 Fixed Income 86959RQE3 SVENSKA C D 0.230% 5/10/22 0.2301% 3,000,000.0000 99.97 3,001,280.93 2,999,010.00 Fixed Income 06417MPK5 BANK NOVA C D 0.220% 5/13/22 0.2201% 2,000,000.0000 99.97 1,998,885.30 1,999,300.00 Fixed Income 21684XUU8 COOPERATIEVE C D 0.330% 7/18/22 0.3306% 3,000,000.0000 99.83 3,000,000.00 2,994,930.00 Fixed Income 780121-13M5 ROYAL BK CDA N Y C D 1.350% 2/14/23 1.3571% 3,000,000.0000 99.48 3,000,000.00 2,984,280.00 Fixed Income 86959RTWO SVENSKA C D 0.255%10/14/22 0.2567% 6,000,000.0000 99.32 6,000,302.58 5,959,440.00 3of5 Table of Contents U.S. Bank Investment Listing -Yield As of 03/31/2022 Asset Category CUSIP Asset Short Name Yield Shares/Units Moody's S&P Rating Price Cost Basis Market Value Fixed Income 06417MQL2 BANK NOVA C D 0.200% 6/23/22 0.2004% 5,000,000.0000 99.82 4,999,999.61 4,991,150.00 Fixed Income 9128286M7 U S TREASURY NT 2.250% 4/15/22 2.2483% 7,500,000.0000 W R N/A 100.08 7,657,324.22 7,505,625.00 Fixed Income 91282CAC5 U S TREASURY NT 0.125% 7/31/22 0.1253% 35,000,000.0000 AAA N/A 99.77 34,976,757.81 34,920,550.00 Fixed Income 912828ZM5 U S TREASURY NT 0.125% 4/30/22 0.1250% 25,000,000.0000 AAA N/A 99.99 25,014,746.10 24,996,750.00 Fixed Income 912828ZX1 U S TREASURY NT 0.125% 6/30/22 0.1251% 7,000,000.0000 AAA N/A 99.89 6,998,750.00 6,992,090.00 Fixed Income 912828WJ5 U S TREASURY NT 2.500% 5/15/24 2.4948% 7,000,000.0000 AAA N/A 100.21 7,193,046.88 7,014,490.00 Fixed Income 912828U57 U S TREASURY NT 2.125% 11/30/23 2.1280% 15,000,000.0000 AAA N/A 99.86 14,723,632.81 14,978,850.00 Fixed Income 91282CBA8 U S TREASURY NT 0.125% 12/15/23 0.1296% 6,500,000.0000 AAA N/A 96.47 6,491,367.19 6,270,485.00 Fixed Income 912828V80 U S TREASURY NT 2.250% 1/31/24 2.2524% 7,500,000.0000 AAA 99.90 7,491,503.91 7,492,125.00 Fixed Income 912828W48 U S TREASURY NT 2.125% 2/29/24 2.1327% 10,000,000.0000 AAA N/A 99.64 9,911,718.75 9,964,100.00 Fixed Income 91282CDG3 U S TREASURY NT 1.125% 10/31/26 1.1960% 19,250,000.0000 N/A N/A 94.06 19,119,013.68 18,107,127.50 Fixed Income 912828ZL7 U S TREASURY NT 0.375% 4/30/25 0.4005% 12,000,000.0000 AAA N/A 93.64 11,998,515.63 11,236,440.00 Fixed Income 91282CBC4 U S TREASURY NT 0.375% 12/31/25 0.4061% 10,000,000.0000 AAA N/A 92.34 9,943,320.32 9,234,000.00 Fixed Income 912828XX3 U S TREASURY NT 2.000% 6/30/24 2.0185% 5,000,000.0000 AAA N/A 99.08 5,028,710.94 4,954,100.00 Fixed Income 91282CCF6 U S TREASURY NT 0.750% 5/31/26 0.8064% 7,500,000.0000 AAA N/A 93.01 7,443,750.00 6,975,600.00 Fixed Income 36225CNM4 G N M A 11#080395 1.875% 4/20/30 1.8284% 3,287.5400 N/A N/A 102.55 3,257.73 3,371.37 Fixed Income 91282CDR9 U S TREASURY NT 0.750%12/31/23 0.7700% 7,500,000.0000 AAA N/A 97.41 7,500,292.97 7,305,450.00 Fixed Income 9128283,17 U S TREASURY NT 2.125% 11/30/24 2.1460% 16,500,000.0000 AAA N/A 99.02 16,783,886.72 16,338,795.00 Fixed Income 91282CCW9 U S TREASURY NT 0.750% 8/31/26 0.8092% 8,000,000.0000 AAA N/A 92.68 7,874,375.01 7,414,720.00 Fixed Income 91282CAM3 U S TREASURY NT 0.250% 9/30/25 0.2706% 6,500,000.0000 AAA N/A 92.38 6,477,656.25 6,004,375.00 Fixed Income 91282CBH3 U S TREASURY NT 0.375% 1/31/26 0.4070% 18,000,000.0000 AAA N/A 92.14 17,781,875.00 16,584,660.00 Fixed Income 91282CBG5 U S TREASURY NT 0.125% 1/31/23 0.1265% 7,000,000.0000 AAA N/A 98.82 6,998,632.82 6,917,120.00 Fixed Income 9128284D9 U S TREASURY NT 2.500% 3/31/23 2.4810% 10,000,000.0000 AAA N/A 100.77 9,887,265.63 10,076,600.00 Fixed Income 912828Z78 U S TREASURY NT 1.500% 1/31/27 1.5696% 11,500,000.0000 AAA N/A 95.56 11,276,464.84 10,989,745.00 Fixed Income 912828YH7 U S TREASURY NT 1.500% 9/30/24 1.5362% 14,000,000.0000 AAA N/A 97.65 13,859,296.88 13,670,300.00 Fixed Income 91282CBT7 U S TREASURY NT 0.750% 3/31/26 0.8043% 10,000,000.0000 AAA N/A 93.25 9,943,359.37 9,325,400.00 Fixed Income 91282CCX7 U S TREASURY NT 0.375% 9/15/24 0.3947% 10,500,000.0000 AAA N/A 95.00 10,377,363.28 9,975,420.00 Fixed Income 912828R69 U S TREASURY NT 1.625% 5/31/23 1.6302% 5,000,000.0000 AAA N/A 99.68 4,757,226.56 4,984,000.00 Fixed Income 912828WUO U S TREASURY I P S 0.125% 7/15/24 0.1191% 12,310,792.0000 AAA N/A 104.94 12,166,072.09 12,919,068.23 Fixed Income 06406RAM9 BANK OF NY MTN 1.850% 1/27/23 1.8487% 1,585,000.0000 Al A 100.07 1,589,501.40 1,586,077.80 Fixed Income 3135G05G4 F N M A 0.250% 7/10/23 0.2559% 6,775,000.0000 AAA AA+ 97.71 6,760,433.75 6,619,581.50 Fixed Income 3133EKWV4 F F C B DEB 1.850% 7/26/24 1.8689% 5,000,000.0000 AAA AA+ 98.99 5,048,280.00 4,949,550.00 Fixed Income 3130A1XJ2 F H L B 2.875% 6/14/24 2.8486% 11,110,000.0000 AAA AA+ 100.93 11,589,031.30 11,212,767.50 Fixed Income 3137EAEU9 F H L M C MTN 0.375% 7/21/25 0.4026% 5,030,000.0000 AAA AA+ 93.14 5,004,950.60 4,684,690.50 Fixed Income 3135G03U5 F N M A DEB 0.625% 4/22/25 0.6618% 14,000,000.0000 AAA AA+ 94.44 13,996,711.60 13,221,040.00 Fixed Income 3130A2UW4 F H L B DEB 2.875% 9/13/24 2.8478% 2,500,000.0000 AAA AA+ 100.96 2,635,950.00 2,523,875.00 Fixed Income 3135G06G3 F N M A 0.500%11/07/25 0.5371% 8,255,000.0000 AAA AA+ 93.10 8,225,447.10 7,685,239.90 Fixed Income 3135G05X7 F N M A 0.375% 8/25/25 0.4030% 7,945,000.0000 AAA AA+ 93.06 7,907,817.40 7,393,855.35 Fixed Income 3135GOX24 F N M A 1.625% 1/07/25 1.6645% 10,000,000.0000 AAA AA+ 97.63 10,157,936.40 9,762,900.00 Fixed Income 3135GOT94 F N M A DEB 2.375% 1/19/23 2.3596% 5,000,000.0000 AAA AA+ 100.65 4,910,990.00 5,032,600.00 Fixed Income 3135G04Z3 F N M A 0.500% 6/17/25 0.5335% 9,905,000.0000 AAA AA+ 93.72 9,884,496.65 9,283,065.05 Fixed Income 3130A4CH3 F H L B DEB 2.375% 3/14/25 2.3816% 5,225,000.0000 AAA AA+ 99.72 5,526,848.25 5,210,474.50 4of5 Table of Contents U.S. Bank Investment Listing -Yield As of 03/31/2022 Asset Category CUSIP Asset Short Name Yield Shares/Units Moody's S&P Rating Price Cost Basis Market Value Fixed Income 3135GOV34 F N M A 2.500% 2/05/24 2.4891% 5,000,000.0000 AAA AA+ 100.44 4,980,850.00 5,021,850.00 Fixed Income 3137EAEN5 F H L M C 2.750% 6/19/23 2.7251% 10,000,000.0000 AAA AA+ 100.91 9,956,500.00 10,091,300.00 Fixed Income 3137EAEX3 F H L M C M T N 0.375% 9/23/25 0.4040% 7,660,000.0000 AAA AA+ 92.81 7,636,943.40 7,109,399.20 Fixed Income 3137EAEPO F H L M C 1.500% 2/12/25 1.5431% 12,335,000.0000 AAA AA+ 97.21 12,510,182.05 11,990,483.45 Fixed Income 313383QR5 F H L B DEB 3.250% 6/09/23 3.2045% 5,000,000.0000 AAA AA+ 101.42 5,083,350.00 5,070,950.00 Fixed Income 313383YJ4 F H L B DEB 3.375% 9/08/23 3.3155% 10,000,000.0000 AAA AA+ 101.79 10,211,831.00 10,179,400.00 Fixed Income 3130AOF70 F H L B DEB 3.375%12/08/23 3.3169% 10,000,000.0000 AAA AA+ 101.75 10,269,043.75 10,175,300.00 Total Consolidated 873,236,543.47 5of5 Table of Contents U.S. Bank Asset Detail - Consolidated As of 03/31/2022 CUSIP Asset Short Name Price Shares/Units Cost Basis Market Value Percent of Total Unrealized Gain/Loss Cash Equivalents 31846V567 FIRST AM GOVT OB FD CL Z 1.00 3,391,537.4900 3,391,537.49 3,391,537.49 0.39 31846V567 FIRST AM GOVT OB FD CL Z 1.00 1,188,487.1100 1,188,487.11 1,188,487.11 0.14 - 912796U23 U S TREASURY BILL 4/26/22 99.99 10,000,000.0000 9,996,463.06 9,999,100.00 1.15 2,636.94 912796R43 U S TREASURY BILL 6/23/22 99.89 10,000,000.0000 9,990,904.17 9,989,300.00 1.14 (1,604.17) 912796R50 U S TREASURY BILL 6/30/22 99.87 13,000,000.0000 12,986,494.08 12,983,360.00 1.49 (3,134.08) 912796X20 U S TREASURY BILL 7/19/22 99.80 2,500,000.0000 2,494,714.69 2,494,900.00 0.29 185.31 912796559 U S TREASURY BILL 7/28/22 99.75 10,000,000.0000 9,974,739.48 9,975,300.00 1.14 560.52 Cash Equivalents Total 50,080,024.6000 50,023,340.08 50,021,984.60 5.73 (1,355.48) Fixed Income 00440EAS6 ACE INA HOLDING 3.150% 3/15/25 101.06 2,000,000.0000 2,203,740.00 2,021,220.00 0.23 (182,520.00) 00440EAUl ACE INA HOLDINGS 2.875%11/03/22 100.60 4,169,000.0000 4,232,453.17 4,194,014.00 0.48 (38,439.17) 023135BW5 AMAZON COM INC 0.450% 5/12/24 96.26 5,490,000.0000 5,481,984.60 5,284,674.00 0.61 (197,310.60) 02665WEA5 AMERICAN HONDA MTN 1.500% 1/13/25 96.35 6,000,000.0000 5,979,632.85 5,781,060.00 0.66 (198,572.85) 02665WDF5 AMERICAN HONDA MTN 1.950% 5/20/22 100.06 2,000,000.0000 2,032,780.00 2,001,240.00 0.23 (31,540.00) 02665WCZ2 AMERICAN HONDA MTN 2.400% 6/27/24 99.30 1,219,000.0000 1,213,843.63 1,210,430.43 0.14 (3,413.20) 02665WCJ8 AMERICAN HONDA MTN 3.450% 7/14/23 101.24 845,000.0000 843,538.15 855,435.75 0.10 11,897.60 02665WCQ2 AMERICAN HONDA MTN 3.625%10/10/23 101.35 2,000,000.0000 1,998,320.00 2,026,900.00 0.23 28,580.00 03215PFN4 AMRESCO 1.44315% 6/25/29 97.11 116,624.7700 87,577.91 113,256.65 0.01 25,678.74 037833AZ3 APPLE INC 2.500% 2/09/25 99.76 3,922,000.0000 4,154,496.16 3,912,430.32 0.45 (242,065.84) 037833CU2 APPLE INC 2.850% 5/11/24 100.82 3,000,000.0000 3,017,760.00 3,024,720.00 0.35 6,960.00 06051GJD2 BANK AMER CORP MTN 1.319% 6/19/26 93.72 2,250,000.0000 2,254,432.50 2,108,632.50 0.24 (145,800.00) 06417MQL2 BANK NOVA C D 0.200% 6/23/22 99.82 5,000,000.0000 4,999,999.61 4,991,150.00 0.57 (8,849.61) 06417MNK7 BANK NOVA C D 0.220% 4/08/22 100.00 3,000,000.0000 3,000,000.00 2,999,940.00 0.34 (60.00) 06417MPK5 BANK NOVA C D 0.220% 5/13/22 99.97 2,000,000.0000 1,998,885.30 1,999,300.00 0.23 414.70 06051GHF9 BANK OF AMERICA 3.550% 3/05/24 100.57 6,675,000.0000 6,770,625.75 6,713,114.25 0.77 (57,511.50) 06051GHY8 BANK OF AMERICAN MTN 2.015% 2/13/26 96.26 2,500,000.0000 2,583,450.00 2,406,375.00 0.28 (177,075.00) 06368FAC3 BANK OF MONTREAL MTN 1.250% 9/15/26 91.80 3,000,000.0000 2,994,647.40 2,754,060.00 0.32 (240,587.40) 06367WB85 BANK OF MONTREAL MTN 1.850% 5/01/25 96.10 7,000,000.0000 7,226,940.00 6,727,070.00 0.77 (499,870.00) 06406RAM9 BANK OF NY MTN 1.850% 1/27/23 100.07 1,585,000.0000 1,589,501.40 1,586,077.80 0.18 (3,423.60) 06406RAE7 BANK OF NY MTN 2.950% 1/29/23 100.89 2,500,000.0000 2,489,555.00 2,522,225.00 0.29 32,670.00 05531 FBG7 BB T CORPORATION MTN 3.050% 6/20/22 100.23 2,000,000.0000 2,049,420.00 2,004,620.00 0.23 (44,800.00) 084664CZ2 BERKSHIRE HATHAWAY 2.300% 3/15/27 97.94 6,875,000.0000 6,873,693.75 6,733,306.25 0.77 (140,387.50) 084670BR8 BERKSHIRE HATHAWAY 2.750% 3/15/23 100.70 2,500,000.0000 2,440,950.00 2,517,425.00 0.29 76,475.00 084664BT7 BERKSHIRE HATHAWAY 3.000% 5/15/22 100.24 4,000,000.0000 4,131,120.00 4,009,400.00 0.46 (121,720.00) 09247XAL5 BLACKROCK INC 3.500% 3/18/24 102.02 1,000,000.0000 1,036,330.00 1,020,150.00 0.12 (16,180.00) 09690AAC7 BMW VEHICLE LEASE 0.330%12/26/24 97.48 2,070,000.0000 2,069,786.38 2,017,877.40 0.23 (51,908.98) 05601XAC3 BMW VEHICLE LEASE 1.100% 3/25/25 97.51 2,400,000.0000 2,399,641.20 2,340,192.00 0.27 (59,449.20) 808513BYO CHARLES SCHWAB CORP 2.450% 3/03/27 97.08 2,325,000.0000 2,322,489.00 2,257,040.25 0.26 (65,448.75) 808513AT2 CHARLES SCHWAB CORP 2.650% 1/25/23 100.73 6,750,000.0000 6,729,480.00 6,799,072.50 0.78 69,592.50 166764AH3 CHEVRON CORP 3.191% 6/24/23 101.08 3,500,000.0000 3,441,095.00 3,537,940.00 0.41 96,845.00 1 of 5 Table of Contents U.S. Bank Asset Detail - Consolidated As of 03/31/2022 CUSIP Asset Short Name Price Shares/Units Cost Basis Market Value Percent of Total Unrealized Gain/Loss 00440EAP2 CHUBB INA HLDGS INC 2.700% 3/13/23 100.58 2,000,000.0000 1,937,000.00 2,011,640.00 0.23 74,640.00 21684XUU8 COOPERATIEVE C D 0.330% 7/18/22 99.83 3,000,000.0000 3,000,000.00 2,994,930.00 0.34 (5,070.00) 3133EKWV4 F F C B DEB 1.850% 7/26/24 98.99 5,000,000.0000 5,048,280.00 4,949,550.00 0.57 (98,730.00) 3130A1XJ2 F H L B 2.875% 6/14/24 100.93 11,110,000.0000 11,589,031.30 11,212,767.50 1.28 (376,263.80) 3130A4CH3 F H L B DEB 2.375% 3/14/25 99.72 5,225,000.0000 5,526,848.25 5,210,474.50 0.60 (316,373.75) 3130A2UW4 F H L B DEB 2.875% 9/13/24 100.96 2,500,000.0000 2,635,950.00 2,523,875.00 0.29 (112,075.00) 313383QR5 F H L B DEB 3.250% 6/09/23 101.42 5,000,000.0000 5,083,350.00 5,070,950.00 0.58 (12,400.00) 313383YJ4 F H L B DEB 3.375% 9/08/23 101.79 10,000,000.0000 10,211,831.00 10,179,400.00 1.17 (32,431.00) 3130AOF70 F H L B DEB 3.375%12/08/23 101.75 10,000,000.0000 10,269,043.75 10,175,300.00 1.17 (93,743.75) 3137BFE98 F H L B GTD REMIC 3.171%10/25/24 101.08 5,000,000.0000 5,378,515.62 5,054,150.00 0.58 (324,365.62) 3137EAEPO F H L M C 1.500% 2/12/25 97.21 12,335,000.0000 12,510,182.05 11,990,483.45 1.37 (519,698.60) 3137EAEN5 F H L M C 2.750% 6/19/23 100.91 10,000,000.0000 9,956,500.00 10,091,300.00 1.16 134,800.00 3137EAEU9 F H L M C M T N 0.375% 7/21/25 93.14 5,030,000.0000 5,004,950.60 4,684,690.50 0.54 (320,260.10) 3137EAEX3 F H L M C M T N 0.375% 9/23/25 92.81 7,660,000.0000 7,636,943.40 7,109,399.20 0.81 (527,544.20) 31348SWZ3 F H L M C#786064 2.262% 1/01/28 99.93 1,251.8900 1,221.40 1,251.06 0.00 29.66 31394JY35 F H L M C MLTCL MT 9.50001% 9/25/43 107.42 454,861.3000 515,130.42 488,621.11 0.06 (26,509.31) 3137BSRE5 F H L M C MLTCL MTG 3.120% 9/25/26 101.36 5,000,000.0000 5,214,062.50 5,068,200.00 0.58 (145,862.50) 3133TCE95 F H L M C MLTCL MTG 3.769% 8/15/32 100.61 3,373.7500 3,377.29 3,394.23 0.00 16.94 3135G05G4 F N M A 0.250% 7/10/23 97.71 6,775,000.0000 6,760,433.75 6,619,581.50 0.76 (140,852.25) 3135G05X7 F N M A 0.375% 8/25/25 93.06 7,945,000.0000 7,907,817.40 7,393,855.35 0.85 (513,962.05) 3135G04Z3 F N M A 0.500% 6/17/25 93.72 9,905,000.0000 9,884,496.65 9,283,065.05 1.06 (601,431.60) 3135G06G3 F N M A 0.500%11/07/25 93.10 8,255,000.0000 8,225,447.10 7,685,239.90 0.88 (540,207.20) 3135GOX24 F N M A 1.625% 1/07/25 97.63 10,000,000.0000 10,157,936.40 9,762,900.00 1.12 (395,036.40) 3135GOV34 F N M A 2.500% 2/05/24 100.44 5,000,000.0000 4,980,850.00 5,021,850.00 0.58 41,000.00 31371 NUC7 F N M A#257179 4.500% 4/01/28 103.64 6,308.9800 6,672.38 6,538.44 0.00 (133.94) 31376KT22 F N M A#357969 5.000% 9/01/35 108.23 54,002.9900 58,053.21 58,447.44 0.01 394.23 31403DJZ3 F N M A#745580 5.000% 6/01/36 108.11 49,764.7500 53,497.10 53,800.67 0.01 303.57 31403GXF4 F N M A#748678 5.000%10/01/33 105.78 775.5100 833.66 820.30 0.00 (13.36) 31406PQY8 F N M A#815971 5.000% 3/01/35 108.13 75,399.6800 81,054.67 81,532.69 0.01 478.02 31406XWT5 F N M A#823358 1.966% 2/01/35 102.94 45,598.0800 45,241.84 46,936.84 0.01 1,695.00 31407BXH7 F N M A#826080 5.000% 7/01/35 108.14 9,932.6400 10,677.57 10,740.96 0.00 63.39 31410F4V4 F N M A#888336 5.000% 7/01/36 108.13 82,460.0900 88,644.61 89,165.74 0.01 521.13 3138EG6F6 F N M A#AL0869 4.500% 6/01/29 103.65 4,549.1700 4,811.20 4,715.35 0.00 (95.85) 31417YAY3 F N M A#MA0022 4.500% 4/01/29 103.67 7,792.2300 8,241.04 8,078.05 0.00 (162.99) 3135G03U5 F N M A DEB 0.625% 4/22/25 94.44 14,000,000.0000 13,996,711.60 13,221,040.00 1.51 (775,671.60) 3135GOT94 F N M A DEB 2.375% 1/19/23 100.65 5,000,000.0000 4,910,990.00 5,032,600.00 0.58 121,610.00 31397QREO F N M A GTD REMIC 2.472% 2/25/41 101.67 88,148.9000 88,121.38 89,619.22 0.01 1,497.84 36225CAZ9 G N M A I I#080023 1.755%12/20/26 102.61 8,494.3500 8,634.67 8,716.39 0.00 81.72 36225CC20 G N M A I I#080088 2.000% 6/20/27 100.56 6,045.9800 6,178.23 6,079.60 0.00 (98.63) 36225CNM4 G N M A I I#080395 1.875% 4/20/30 102.55 3,287.5400 3,257.73 3,371.37 0.00 113.64 36225CN28 G N M A I I#080408 1.875% 5/20/30 102.60 28,525.0500 28,235.33 29,266.99 0.00 1,031.66 36225DCB8 G N M A I I#080965 1.625% 7/20/34 102.49 24,015.2100 24,000.20 24,612.23 0.00 612.03 2of5 Table of Contents U.S. Bank Asset Detail - Consolidated As of 03/31/2022 CUSIP Asset Short Name Price Shares/Units Cost Basis Market Value Percent of Total Unrealized Gain/Loss 36265MAC9 GM FIN AUTO LSNG TR 1.900% 3/20/25 98.78 5,020,000.0000 5,019,956.83 4,958,806.20 0.57 (61,150.63) 362554AC1 GM FIN CONS AUTO 0.680% 9/16/26 96.59 1,705,000.0000 1,704,956.52 1,646,876.55 0.19 (58,079.97) 380146AC4 GM FIN CONS AUTO 1.260%11/16/26 96.77 1,590,000.0000 1,589,861.83 1,538,579.40 0.18 (51,282.43) 40139LBD4 GUARDIAN LIFE MTN 1.250% 5/13/26 92.51 3,250,000.0000 3,124,290.00 3,006,445.00 0.34 (117,845.00) 43813GAC5 HONDAAUTO 0.270% 4/21/25 97.91 1,605,000.0000 1,604,970.63 1,571,455.50 0.18 (33,515.13) 43813KAC6 HONDA AUTO 0.370%10/18/24 98.74 3,235,000.0000 3,234,524.78 3,194,239.00 0.37 (40,285.78) 43815GAC3 HONDA AUTO REC 0.880% 1/21/26 96.80 2,290,000.0000 2,289,517.27 2,216,697.10 0.25 (72,820.17) 43815BAC4 HONDA AUTO REC OWN 1.880% 5/15/26 98.16 3,930,000.0000 3,929,408.93 3,857,727.30 0.44 (71,681.63) 438516CBO HONEYWELL 1.350% 6/01/25 96.32 5,000,000.0000 5,119,000.00 4,816,200.00 0.55 (302,800.00) 44934KAC8 HTUNDAI AUTO REC TR 0.380% 1/15/26 96.71 6,040,000.0000 6,038,666.97 5,841,344.40 0.67 (197,322.57) 44891VAC5 HYUNDAI AUTO LEASE 0.330% 6/17/24 97.85 4,155,000.0000 4,154,376.75 4,065,833.70 0.47 (88,543.05) 44891WAC3 HYUNDAI AUTO LEASE 1.160% 1/15/25 97.64 2,895,000.0000 2,894,936.02 2,826,533.25 0.32 (68,402.77) 44933LAC7 HYUNDAI AUTO REC 0.380% 9/15/25 97.50 2,100,000.0000 2,099,779.08 2,047,395.00 0.23 (52,384.08) 448977ADO HYUNDAI AUTO REC 2.146%10/15/26 98.70 4,300,000.0000 4,299,834.45 4,244,143.00 0.49 (55,691.45) 44935FAD6 HYUNDAI AUTO REC TR 0.740% 5/15/26 96.07 1,600,000.0000 1,599,642.88 1,537,168.00 0.18 (62,474.88) 458140BD1 INTEL CORP 2.875% 5/11/24 100.74 5,000,000.0000 5,025,900.00 5,037,000.00 0.58 11,100.00 4581XODZ8 INTER AMER BK M T N 0.500% 9/23/24 95.22 10,775,000.0000 10,767,026.50 10,259,524.00 1.17 (507,502.50) 4581XODN5 INTER AMER BK M T N 0.625% 7/15/25 93.77 5,050,000.0000 5,071,967.50 4,735,587.00 0.54 (336,380.50) 4581XODV7 INTER AMER BK M T N 0.875% 4/20/26 93.28 13,370,000.0000 13,308,765.40 12,471,536.00 1.43 (837,229.40) 4581XOCZ9 INTER AMER DEV BK 1.750% 9/14/22 100.01 6,500,000.0000 6,249,655.00 6,500,910.00 0.74 251,255.00 459058J1-8 INTL BK M T N 0.500%10/28/25 92.78 15,000,000.0000 14,964,951.60 13,917,450.00 1.59 (1,047,501.60) 459058JBO INTL BK M T N 0.626% 4/22/25 94.32 6,245,000.0000 6,220,831.85 5,890,533.80 0.67 (330,298.05) 24422EUM9 JOHN DEERE MTN 3.650%10/12/23 102.00 1,250,000.0000 1,250,237.50 1,275,012.50 0.15 24,775.00 47789QAC4 JOHN DEERE OWN 0.520% 3/16/26 95.79 2,820,000.0000 2,819,748.46 2,701,278.00 0.31 (118,470.46) 47788UAC6 JOHN DEERE OWNER 0.360% 9/15/25 96.84 2,300,000.0000 2,299,557.94 2,227,412.00 0.26 (72,145.94) 47787NAC3 JOHN DEERE OWNER 0.510%11/15/24 98.89 1,227,946.4800 1,227,759.34 1,214,254.88 0.14 (13,504.46) 47787JAC2 JOHN DEERE OWNER 2.24267% 9/15/26 98.65 3,010,000.0000 3,009,334.19 2,969,395.10 0.34 (39,939.09) 46625HRL6 JP MORGAN CHASE CO 2.700% 5/18/23 100.39 5,000,000.0000 4,821,910.00 5,019,450.00 0.57 197,540.00 46647PBH8 JPMORGAN CHASE CO 2.005% 3/13/26 96.41 3,500,000.0000 3,602,345.00 3,374,245.00 0.39 (228,100.00) 46625HJH4 JPMORGAN CHASE CO 3.200% 1/25/23 101.05 2,000,000.0000 2,042,640.00 2,021,000.00 0.23 (21,640.00) 46647PAUO JPMORGAN CHASE CO 3.797% 7/23/24 101.14 2,500,000.0000 2,632,175.00 2,528,450.00 0.29 (103,725.00) 525ESCOY6 LEHMAN BIRTH HLD ESC - 2,000,000.0000 1,017,827.66 - - (1,017,827.66) 525ESCIB7 LEHMAN BIRTH MTN ES 0.00001% 1/24/13 0.52 600,000.0000 315,960.88 3,120.00 0.00 (312,840.88) 58769KAD6 MERCEDES BENZ AUTO 0.400%11/15/24 97.45 3,315,000.0000 3,314,749.72 3,230,434.35 0.37 (84,315.37) 58770FAC6 MERCEDES BENZ AUTO 1.840%12/15/22 100.03 250,596.3200 250,563.29 250,679.02 0.03 115.73 58933YAF2 MERCK CO INC 2.800% 5/18/23 100.78 2,000,000.0000 1,948,640.00 2,015,500.00 0.23 66,860.00 59217GER6 MET LIFE GLOB MTN 1.875% 1/11/27 93.94 5,920,000.0000 5,913,251.20 5,561,484.80 0.64 (351,766.40) 59217GEE5 MET LIFE GLOB MTN 1.950% 1/13/23 100.01 2,255,000.0000 2,259,126.65 2,255,270.60 0.26 (3,856.05) 58989V2D5 MET TOWER MTN 1.250% 9/14/26 92.30 3,745,000.0000 3,741,554.60 3,456,447.75 0.40 (285,106.85) 61747YEA9 MORGAN STANLEY 0.790% 5/30/25 95.00 8,885,000.0000 8,889,710.25 8,441,016.55 0.97 (448,693.70) 61744YAH1 MORGAN STANLEY 2.750% 5/19/22 100.17 2,000,000.0000 2,047,260.00 2,003,400.00 0.23 (43,860.00) 65479JAD5 NISSAN AUTO 1.930% 7/15/24 100.19 2,050,972.0800 2,050,863.79 2,054,950.97 0.24 4,087.18 3of5 Table of Contents U.S. Bank Asset Detail - Consolidated As of 03/31/2022 CUSIP Asset Short Name Price Shares/Units Cost Basis Market Value Percent of Total Unrealized Gain/Loss 65558UDC3 NORDEA BK ABP C D 0.190% 6/24/22 99.86 1,500,000.0000 1,498,165.95 1,497,855.00 0.17 (310.95) 65558UBJO NORDEA BK ABP C D 0.210% 5/16/22 99.95 3,000,000.0000 3,000,300.89 2,998,440.00 0.34 (1,860.89) 65558UBJO NORDEA BK ABP C D 0.210% 5/16/22 99.95 7,000,000.0000 7,000,702.07 6,996,360.00 0.80 (4,342.07) 69353RFL7 PNC BANK NA MTN 3.500% 6/08/23 101.19 5,000,000.0000 4,993,318.05 5,059,700.00 0.58 66,381.95 747525AFO QUALCOMM INC 3.450% 5/20/25 101.55 8,000,000.0000 8,479,891.80 8,124,240.00 0.93 (355,651.80) 78015K7H1 ROYAL BANK OF MTN 1.150% 6/10/25 94.37 4,000,000.0000 4,013,620.00 3,774,960.00 0.43 (238,660.00) 78013XZU5 ROYAL BANK OF MTN 2.550% 7/16/24 99.55 6,500,000.0000 6,581,445.00 6,470,555.00 0.74 (110,890.00) 78012U3M5 ROYAL BK CDA N Y C D 1.350% 2/14/23 99.48 3,000,000.0000 3,000,000.00 2,984,280.00 0.34 (15,720.00) 78445JAA5 S L M A 1.75771% 4/25/23 100.17 9,188.6800 9,151.39 9,204.67 0.00 53.28 79466LAG9 SALESFORCE COM INC 0.625% 7/15/24 95.75 1,350,000.0000 1,349,311.50 1,292,557.50 0.15 (56,754.00) 808513BN4 SCHWAB CHARLES 0.750% 3/18/24 96.68 2,785,000.0000 2,783,607.50 2,692,398.75 0.31 (91,208.75) 86959RQE3 SVENSKA C D 0.230% 5/10/22 99.97 3,000,000.0000 3,001,280.93 2,999,010.00 0.34 (2,270.93) 86959RTWO SVENSKA C D 0.255%10/14/22 99.32 6,000,000.0000 6,000,302.58 5,959,440.00 0.68 (40,862.58) 89114W7M1 TORONTO C D 0.240% 4/28/22 99.99 2,000,000.0000 1,999,999.94 1,999,860.00 0.23 (139.94) 89114TZN5 TORONTO DOMINION MTN 1.950% 1/12/27 94.71 2,000,000.0000 1,984,582.40 1,894,220.00 0.22 (90,362.40) 89114QCA4 TORONTO DOMINION MTN 2.650% 6/12/24 99.87 3,000,000.0000 3,000,570.00 2,996,100.00 0.34 (4,470.00) 89114TZT2 TORONTO DOMINION MTN 2.800% 3/10/27 98.20 5,000,000.0000 4,960,350.00 4,910,100.00 0.56 (50,250.00) 89237VAB5 TOYOTA AUTO RECV 0.440%10/15/24 99.08 2,544,518.2700 2,544,322.34 2,521,006.92 0.29 (23,315.42) 89239CAC3 TOYOTA LEASE OWNER 0.420%10/21/24 97.05 3,185,000.0000 3,184,957.00 3,091,010.65 0.35 (93,946.35) 89238LAC4 TOYOTA LEASE OWNER 1.960% 2/20/25 98.26 6,125,000.0000 6,124,035.93 6,018,670.00 0.69 (105,365.93) 89236TJK2 TOYOTA MTR CR MTN 1.125% 6/18/26 92.76 7,285,000.0000 7,281,794.60 6,757,857.40 0.77 (523,937.20) 912828WUO U S TREASURY I P S 0.125% 7/15/24 104.94 12,310,792.0000 12,166,072.09 12,919,068.23 1.48 752,996.14 91282CBG5 U S TREASURY NT 0.125% 1/31/23 98.82 7,000,000.0000 6,998,632.82 6,917,120.00 0.79 (81,512.82) 912828ZM5 U S TREASURY NT 0.125% 4/30/22 99.99 25,000,000.0000 25,014,746.10 24,996,750.00 2.86 (17,996.10) 912828ZX1 U S TREASURY NT 0.125% 6/30/22 99.89 7,000,000.0000 6,998,750.00 6,992,090.00 0.80 (6,660.00) 91282CAC5 U S TREASURY NT 0.125% 7/31/22 99.77 35,000,000.0000 34,976,757.81 34,920,550.00 4.00 (56,207.81) 91282CBA8 U S TREASURY NT 0.125%12/15/23 96.47 6,500,000.0000 6,491,367.19 6,270,485.00 0.72 (220,882.19) 91282CAM3 U S TREASURY NT 0.250% 9/30/25 92.38 6,500,000.0000 6,477,656.25 6,004,375.00 0.69 (473,281.25) 91282CBH3 U S TREASURY NT 0.375% 1/31/26 92.14 18,000,000.0000 17,781,875.00 16,584,660.00 1.90 (1,197,215.00) 912828ZL7 U S TREASURY NT 0.375% 4/30/25 93.64 12,000,000.0000 11,998,515.63 11,236,440.00 1.29 (762,075.63) 91282CCX7 U S TREASURY NT 0.375% 9/15/24 95.00 10,500,000.0000 10,377,363.28 9,975,420.00 1.14 (401,943.28) 91282CBC4 U S TREASURY NT 0.375%12/31/25 92.34 10,000,000.0000 9,943,320.32 9,234,000.00 1.06 (709,320.32) 91282CBT7 U S TREASURY NT 0.750% 3/31/26 93.25 10,000,000.0000 9,943,359.37 9,325,400.00 1.07 (617,959.37) 91282CCF6 U S TREASURY NT 0.750% 5/31/26 93.01 7,500,000.0000 7,443,750.00 6,975,600.00 0.80 (468,150.00) 91282CCW9 U S TREASURY NT 0.750% 8/31/26 92.68 8,000,000.0000 7,874,375.01 7,414,720.00 0.85 (459,655.01) 91282CDR9 U S TREASURY NT 0.750%12/31/23 97.41 7,500,000.0000 7,500,292.97 7,305,450.00 0.84 (194,842.97) 91282CDG3 U S TREASURY NT 1.125%10/31/26 94.06 19,250,000.0000 19,119,013.68 18,107,127.50 2.07 (1,011,886.18) 912828Z78 U S TREASURY NT 1.500% 1/31/27 95.56 11,500,000.0000 11,276,464.84 10,989,745.00 1.26 (286,719.84) 912828YH7 U S TREASURY NT 1.500% 9/30/24 97.65 14,000,000.0000 13,859,296.88 13,670,300.00 1.57 (188,996.88) 912828R69 U S TREASURY NT 1.625% 5/31/23 99.68 5,000,000.0000 4,757,226.56 4,984,000.00 0.57 226,773.44 912828XX3 U S TREASURY NT 2.000% 6/30/24 99.08 5,000,000.0000 5,028,710.94 4,954,100.00 0.57 (74,610.94) 912828W48 U S TREASURY NT 2.125% 2/29/24 99.64 10,000,000.0000 9,911,718.75 9,964,100.00 1.14 52,381.25 4of5 Table of Contents U.S. Bank Asset Detail - Consolidated As of 03/31/2022 CUSIP Asset Short Name Price Shares/Units Cost Basis Market Value Percent of Total Unrealized Gain/Loss 912828U57 U S TREASURY NT 2.125%11/30/23 99.86 15,000,000.0000 14,723,632.81 14,978,850.00 1.72 255,217.19 9128283J7 U S TREASURY NT 2.125%11/30/24 99.02 16,500,000.0000 16,783,886.72 16,338,795.00 1.87 (445,091.72) 912828V80 U S TREASURY NT 2.250% 1/31/24 99.90 7,500,000.0000 7,491,503.91 7,492,125.00 0.86 621.09 9128286M7 U S TREASURY NT 2.250% 4/15/22 100.08 7,500,000.0000 7,657,324.22 7,505,625.00 0.86 (151,699.22) 9128284D9 U S TREASURY NT 2.500% 3/31/23 100.77 10,000,000.0000 9,887,265.63 10,076,600.00 1.15 189,334.37 912828WJ5 U S TREASURY NT 2.500% 5/15/24 100.21 7,000,000.0000 7,193,046.88 7,014,490.00 0.80 (178,556.88) 91324PEC2 UNITEDHEALTH 1.150% 5/15/26 92.92 4,000,000.0000 3,904,703.05 3,716,960.00 0.43 (187,743.05) 90331 HPL1 US BANK NA MTN 2.050% 1/21/25 97.90 7,270,000.0000 7,254,514.90 7,117,548.10 0.82 (136,966.80) 90331 HNL3 US BANK NA MTN 2.850% 1/23/23 100.70 2,000,000.0000 1,992,640.00 2,013,960.00 0.23 21,320.00 931142ERO WALMART INC 1.050% 9/17/26 93.11 1,725,000.0000 1,721,739.75 1,606,078.50 0.18 (115,661.25) 931142EK5 WALMART INC 3.400% 6/26/23 101.70 3,880,000.0000 3,878,991.40 3,946,115.20 0.45 67,123.80 Fixed Income Total 845,890,226.6900 846,499,484.95 823,214,558.87 94.27 (23,284,926.08) Grand Total 895,970,251.2900 896,522,825.03 873,236,543.47 100.00 (23,286,281.56) 5of5 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 ,Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss ACQUISITIONS 01/04/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 310.1300 1.000000 -310.13 310.13 0.00 01/04/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 232.3100 1.000000 -232.31 232.31 0.00 01/06/2022 21684XUU8 PURCHASED PAR VALUE OF COOPERATIEVE C D 0.330% 7/18/22/WELLS FARGO 3,000,000.0000 1.000000 -3,000,000.00 3,000,000.00 0.00 SECURITIES,LLC/3,000,000 PAR VALUE AT 100% 01/07/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 81,250.0000 1.000000 -81,250.00 81,250.00 0.00 01/10/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 8,468.7500 1.000000 -8,468.75 8,468.75 0.00 01/11/2022 59217GER6 PURCHASED PAR VALUE OF MET LIFE GLOB MTN 1.875% 1/11/27/J.P.MORGAN 5,920,000.0000 0.998860 -5,913,251.20 5,913,251.20 0.00 SECURITIES LLC/5,920,000 PAR VALUE AT 99.886% 01/12/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 6,597,246.0900 1.000000 -6,597,246.09 6,597,246.09 0.00 01/13/2022 02665WEA5 PURCHASED PAR VALUE OF AMERICAN HONDA MTN 1.500% 1/13/25/BOFA 4,565,000.0000 0.999210 -4,561,393.65 4,561,393.65 0.00 SECURITIES, INC./FXD INC/4,565,000 PAR VALUE AT 99.921 % 01/14/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 14,576.2500 1.000000 -14,576.25 14,576.25 0.00 01/18/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 1,700,551.9400 1.000000 -1,700,551.94 1,700,551.94 0.00 01/18/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 3,092,572.5800 1.000000 -3,092,572.58 3,092,572.58 0.00 01/19/2022 05601XAC3 PURCHASED PAR VALUE OF BMW VEHICLE LEASE 0.00001% 3/25/25/MITSUBISHI 2,400,000.0000 0.999851 -2,399,641.20 2,399,641.20 0.00 UFJ SECURITIES USA/2,400,000 PAR VALUE AT 99.98505% 01/19/2022 380146AC4 PURCHASED PAR VALUE OF GM FIN CONS AUTO 0.00001%11/16/26/PERSHING 1,590,000.0000 0.999913 -1,589,861.83 1,589,861.83 0.00 LLC/1,590,000 PAR VALUE AT 99.99131006% 01/19/2022 44891WAC3 PURCHASED PAR VALUE OF HYUNDAI AUTO LEASE 0.00001% 1/15/25/CITIGROUP 2,895,000.0000 0.999978 -2,894,936.02 2,894,936.02 0.00 GLOBAL MARKETS INC./2,895,000 PAR VALUE AT 99.99778998% 01/20/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,371.6200 1.000000 -2,371.62 2,371.62 0.00 01/21/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,000,000.0000 1.000000 -2,000,000.00 2,000,000.00 0.00 01/21/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,040.4600 1.000000 -2,040.46 2,040.46 0.00 01/21/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 83,948.7500 1.000000 -83,948.75 83,948.75 0.00 01/24/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 75,962.5000 1.000000 -75,962.50 75,962.50 0.00 01/25/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 101,242.2200 1.000000 -101,242.22 101,242.22 0.00 01/25/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 16,868.9700 1.000000 -16,868.97 16,868.97 0.00 01/26/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 146,250.0000 1.000000 -146,250.00 146,250.00 0.00 01/26/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 10,000,000.0000 1.000000 -10,000,000.00 10,000,000.00 0.00 01/27/2022 89114TZN5 PURCHASED PAR VALUE OF TORONTO DOMINION MTN 1.950% 1/12/27/DAIWA 720,000.0000 0.991760 -714,067.20 714,067.20 0.00 CAPITAL MARKETS AMERICA/720,000 PAR VALUE AT 99.176% 01/27/2022 89114TZN5 PURCHASED PAR VALUE OF TORONTO DOMINION MTN 1.950% 1/12/27/TD 1,280,000.0000 0.992590 -1,270,515.20 1,270,515.20 0.00 SECURITIES(USA)/1,280,000 PAR VALUE AT 99.259% 01/28/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 4,000,000.0000 1.000000 -4,000,000.00 4,000,000.00 0.00 01/31/2022 747525AFO PURCHASED PAR VALUE OF QUALCOMM INC 3.450% 5/20/25/MORGAN 2,210,000.0000 1.049040 -2,318,378.40 2,318,378.40 0.00 STANLEY&CO.LLC/2,210,000 PAR VALUE AT 104.904% 1 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 01/31/2022 912828Z78 PURCHASED PAR VALUE OF U S TREASURY NT 1.500% 1/31/27/BOFA 7,500,000.0000 0.993320 -7,449,902.34 7,449,902.34 0.00 SECURITIES, INC./FXD INC/7,500,000 PAR VALUE AT 99.3320312% 01/31/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 68,000,000.0000 1.000000 -68,000,000.00 68,000,000.00 0.00 02/02/2022 65558UDC3 PURCHASED PAR VALUE OF NORDEA BK ABP C D 0.190% 6/24/22/GOLDMAN 1,500,000.0000 0.998777 -1,498,165.95 1,498,165.95 0.00 SACHS&CO.LLC/1,500,000 PAR VALUE AT 99.87773% 02/02/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 111.4000 1.000000 -111.40 111.40 0.00 02/02/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 244.5300 1.000000 -244.53 244.53 0.00 02/07/2022 46625HJH4 PURCHASED PAR VALUE OF JPMORGAN CHASE CO 3.200% 1/25/23/MORGAN 2,000,000.0000 1.021320 -2,042,640.00 2,042,640.00 0.00 STANLEY&CO.LLC/2,000,000 PAR VALUE AT 102.132% 02/07/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 62,500.0000 1.000000 -62,500.00 62,500.00 0.00 02/09/2022 02665WEA5 PURCHASED PAR VALUE OF AMERICAN HONDA MTN 1.500% 1/13/25/CITIGROUP 1,435,000.0000 0.988320 -1,418,239.20 1,418,239.20 0.00 GLOBAL MARKETS INC./1,435,000 PAR VALUE AT 98.832% 02/11/2022 40139LBD4 PURCHASED PAR VALUE OF GUARDIAN LIFE MTN 1.250% 5/13/26/CITIGROUP 3,250,000.0000 0.961320 -3,124,290.00 3,124,290.00 0.00 GLOBAL MARKETS INC./3,250,000 PAR VALUE AT 96.132% 02/14/2022 78012U3M5 PURCHASED PAR VALUE OF ROYAL BK CDA N Y C D 1.350% 2/14/23/RBC CAPITAL 3,000,000.0000 1.000000 -3,000,000.00 3,000,000.00 0.00 MARKETS,LLC/3,000,000 PAR VALUE AT 100% 02/14/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 117,700.0000 1.000000 -117,700.00 117,700.00 0.00 02/15/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 713,432.0200 1.000000 -713,432.02 713,432.02 0.00 02/15/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 198,345.0000 1.000000 -198,345.00 198,345.00 0.00 02/16/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,468.7200 1.000000 -2,468.72 2,468.72 0.00 02/18/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 9,996,835.9400 1.000000 -9,996,835.94 9,996,835.94 0.00 02/22/2022 91324PEC2 PURCHASED PAR VALUE OF UNITEDHEALTH 1.150% 5/15/26/BOFA SECURITIES, 2,245,000.0000 0.955020 -2,144,019.90 2,144,019.90 0.00 INC./FXD INC/2,245,000 PAR VALUE AT 95.502% 02/23/2022 36265MAC9 PURCHASED PAR VALUE OF GM FIN AUTO LSNG TR 1.900% 3/20/25/BARCLAYS 5,020,000.0000 0.999991 -5,019,956.83 5,019,956.83 0.00 CAPITAL INC. FIXED IN/5,020,000 PAR VALUE AT 99.99914004% 02/23/2022 43815BAC4 PURCHASED PAR VALUE OF HONDA AUTO REC OWN 1.880% 5/15/26/J.P.MORGAN 3,930,000.0000 0.999850 -3,929,408.93 3,929,408.93 0.00 SECURITIES LLC/3,930,000 PAR VALUE AT 99.98496005% 02/24/2022 3137BSRE5 PURCHASED PAR VALUE OF F H L M C MLTCL MTG 3.120% 9/25/26/TRUIST 5,000,000.0000 1.042813 -5,214,062.50 5,214,062.50 0.00 SECURITIES, INC./5,000,000 PAR VALUE AT 104.28125% 02/24/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 9,000,000.0000 1.000000 -9,000,000.00 9,000,000.00 0.00 02/25/2022 06417MPK5 PURCHASED PAR VALUE OF BANK NOVA C D 0.220% 5/13/22/BOFA SECURITIES, 2,000,000.0000 0.999443 -1,998,885.30 1,998,885.30 0.00 INC./FXD INC/2,000,000 PAR VALUE AT 99.944265% 02/25/2022 912796S59 PURCHASED PAR VALUE OF U S TREASURY BILL 7/28/22/GOLDMAN SACHS& 7,500,000.0000 0.997450 -7,480,875.00 7,480,875.00 0.00 CO.LLC/7,500,000 PAR VALUE AT 99.745% 02/25/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 18,317.6000 1.000000 -18,317.60 18,317.60 0.00 02/25/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 6,113,713.0000 1.000000 -6,113,713.00 6,113,713.00 0.00 02/28/2022 89238LAC4 PURCHASED PAR VALUE OF TOYOTA LEASE OWNER 1.960% 2/20/25/BOFA 6,125,000.0000 0.999843 -6,124,035.93 6,124,035.93 0.00 SECURITIES, INC./FXD INC/6,125,000 PAR VALUE AT 99.98426008% 2of21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 02/28/2022 91282CAC5 PURCHASED PAR VALUE OF U S TREASURY NT 0.125% 7/31/22/J.P.MORGAN 5,000,000.0000 0.998047 -4,990,234.38 4,990,234.38 0.00 SECURITIES LLC/5,000,000 PAR VALUE AT 99.8046876% 02/28/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 9,565,625.0000 1.000000 -9,565,625.00 9,565,625.00 0.00 03/02/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 22.0600 1.000000 -22.06 22.06 0.00 03/02/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 137.6200 1.000000 -137.62 137.62 0.00 03/03/2022 808513BYO PURCHASED PAR VALUE OF CHARLES SCHWAB CORP 2.450% 3/03/27/CREDIT 2,325,000.0000 0.998920 -2,322,489.00 2,322,489.00 0.00 SUISSE SECURITIES(USA)/2,325,000 PAR VALUE AT 99.892% 03/03/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 6,533,462.6300 1.000000 -6,533,462.63 6,533,462.63 0.00 03/07/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 118,481.2500 1.000000 -118,481.25 118,481.25 0.00 03/08/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 168,750.0000 1.000000 -168,750.00 168,750.00 0.00 03/10/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 5,063,025.5100 1.000000 -5,063,025.51 5,063,025.51 0.00 03/11/2022 06406RAM9 PURCHASED PAR VALUE OF BANK OF NY MTN 1.850% 1/27/23/STIFEL, NICOLAUS 1,585,000.0000 1.002840 -1,589,501.40 1,589,501.40 0.00 &CO.,INC./1,585,000 PAR VALUE AT 100.284% 03/11/2022 59217GEE5 PURCHASED PAR VALUE OF MET LIFE GLOB MTN 1.950% 1/13/23/TD SECURITIES 2,255,000.0000 1.001830 -2,259,126.65 2,259,126.65 0.00 (USA)/2,255,000 PAR VALUE AT 100.183% 03/11/2022 89114TZT2 PURCHASED PAR VALUE OF TORONTO DOMINION MTN 2.800% 3/10/27/J.P. 5,000,000.0000 0.992070 -4,960,350.00 4,960,350.00 0.00 MORGAN SECURITIES LLC/5,000,000 PAR VALUE AT 99.207% 03/11/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,191,019.0400 1.000000 -2,191,019.04 2,191,019.04 0.00 03/14/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 240,353.1300 1.000000 -240,353.13 240,353.13 0.00 03/15/2022 084664CZ2 PURCHASED PAR VALUE OF BERKSHIRE HATHAWAY 2.300% 3/15/27/BOFA 6,875,000.0000 0.999810 -6,873,693.75 6,873,693.75 0.00 SECURITIES, INC./FXD INC/6,875,000 PAR VALUE AT 99.981 % 03/15/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 7,589,062.5000 1.000000 -7,589,062.50 7,589,062.50 0.00 03/15/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 70,798.8000 1.000000 -70,798.80 70,798.80 0.00 03/16/2022 448977ADO PURCHASED PAR VALUE OF HYUNDAI AUTO REC 0.00001%10/15/26/BOFA 4,300,000.0000 0.999962 -4,299,834.45 4,299,834.45 0.00 SECURITIES, INC./FXD INC/4,300,000 PAR VALUE AT 99.99615% 03/16/2022 47787JAC2 PURCHASED PAR VALUE OF JOHN DEERE OWNER 0.00001% 9/15/26/BOFA 3,010,000.0000 0.999779 -3,009,334.19 3,009,334.19 0.00 SECURITIES, INC./FXD INC/3,010,000 PAR VALUE AT 99.97788007% 03/16/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,635.6700 1.000000 -2,635.67 2,635.67 0.00 03/17/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 9,056.2500 1.000000 -9,056.25 9,056.25 0.00 03/18/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 27,943.7500 1.000000 -27,943.75 27,943.75 0.00 03/18/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 997.4600 1.000000 -997.46 997.46 0.00 03/21/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 7,418.4500 1.000000 -7,418.45 7,418.45 0.00 03/21/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 10,701.1500 1.000000 -10,701.15 10,701.15 0.00 03/23/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 41,300.0000 1.000000 -41,300.00 41,300.00 0.00 03/24/2022 912796X20 PURCHASED PAR VALUE OF U S TREASURY BILL 7/19/22/NOMURA 2,500,000.0000 0.997886 -2,494,714.69 2,494,714.69 0.00 SECURITIES INTERNATIONA/2,500,000 PAR VALUE AT 99.7885876% 03/25/2022 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 46,490.9200 1.000000 -46,490.92 46,490.92 0.00 3of21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 03/31/2022 912796559 PURCHASED PAR VALUE OF U S TREASURY BILL 7/28/22/BMO CAPITAL 2,500,000.0000 0.997546 -2,493,864.48 2,493,864.48 0.00 MARKETS CORP/BONDS/2,500,000 PAR VALUE AT 99.7545792% 03/31/2022 912828Z78 PURCHASED PAR VALUE OF U S TREASURY NT 1.500% 1/31/27/CITADEL 4,000,000.0000 0.956641 -3,826,562.50 3,826,562.50 0.00 CLEARING LLC/4,000,000 PAR VALUE AT 95.6640625% TOTAL ACQUISITIONS 268,269,841.9700 -268,061,074.04 268,061,074.04 0.00 DISPOSITIONS 01/06/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -3,000,000.0000 1.000000 3,000,000.00 -3,000,000.00 0.00 01/11/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -5,913,251.2000 1.000000 5,913,251.20 -5,913,251.20 0.00 01/12/2022 9128281-57 SOLD PAR VALUE OF U S TREASURY NT 1.750% 9/30/22/NOMURA SECURITIES -6,500,000.0000 1.009961 6,564,746.09 -6,513,710.94 51,035.15 INTERNATIONA/6,500,000 PAR VALUE AT 100.99609369% 01/13/2022 06406RAA5 BOND CALLED PAR VALUE OF BANK OF NY MTN 2.600% 2/07/22/CALLS/1/13/2022 -2,500,000.0000 1.000000 2,500,000.00 -2,504,475.00 -4,475.00 FULL CALL @ PAR 01/13/2022 912828WUO PAR VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 30160.0000 UNITS 30,160.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 01/13/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -0.8300 1.000000 0.83 -0.83 0.00 01/13/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,033,226.1500 1.000000 2,033,226.15 -2,033,226.15 0.00 01/18/2022 69353RFB9 BOND CALLED PAR VALUE OF PNC BANK NA MTN 2.625% 2/17/22/CALLS/1/18/2022 -1,000,000.0000 1.000000 1,000,000.00 -974,940.00 25,060.00 FULL CALL @ PAR 01/18/2022 4581XOCW6 MATURED PAR VALUE OF INTER AMER DEV BK 2.125% 1/18/22 3,000,000 PAR -3,000,000.0000 1.000000 3,000,000.00 -2,996,310.00 3,690.00 VALUE AT 100% 01/18/2022 31348SWZ3 PAID DOWN PAR VALUE OF F H L M C#786064 2.262% 1/01/28 DECEMBER FHLMC -23.5600 0.000000 23.56 -22.99 0.57 DUE 1/15/22 01/18/2022 3133TCE95 PAID DOWN PAR VALUE OF F H L M C MLTCL MTG 3.787% 8/15/32 -82.6500 0.000000 82.65 -82.74 -0.09 01/18/2022 47787NAC3 PAID DOWN PAR VALUE OF JOHN DEERE OWNER 0.510% 11/15/24 -1,118.5800 0.000000 1,118.58 -1,118.41 0.17 01/18/2022 58770FAC6 PAID DOWN PAR VALUE OF MERCEDES BENZ AUTO 1.840%12/15/22 -218,137.9400 0.000000 218,137.94 -218,109.19 28.75 01/18/2022 65479JAD5 PAID DOWN PAR VALUE OF NISSAN AUTO 1.930% 7/15/24 -243,458.9900 0.000000 243,458.99 -243,446.13 12.86 01/18/2022 65479GAD1 PAID DOWN PAR VALUE OF NISSAN AUTO 3.060% 3/15/23 -124,484.2300 0.000000 124,484.23 -124,480.20 4.03 01/18/2022 89237VAB5 PAID DOWN PAR VALUE OF TOYOTA AUTO RECV 0.440% 10/15/24 -34,465.5300 0.000000 34,465.53 -34,462.88 2.65 01/19/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -6,737,564.0500 1.000000 6,737,564.05 -6,737,564.05 0.00 01/20/2022 36225CAZ9 PAID DOWN PAR VALUE OF G N M A 1 1#080023 2.125%12/20/26 DECEMBER GNMA -160.2000 0.000000 160.20 -162.85 -2.65 DUE 1/20/22 01/20/2022 36225CC20 PAID DOWN PAR VALUE OF G N M A 1 1#080088 2.000% 6/20/27 DECEMBER GNMA -99.4700 0.000000 99.47 -101.65 -2.18 DUE 1/20/22 01/20/2022 36225CNM4 PAID DOWN PAR VALUE OF G N M A 1 1#080395 1.875% 4/20/30 DECEMBER GNMA -118.9900 0.000000 118.99 -117.91 1.08 DUE 1/20/22 01/20/2022 36225CN28 PAID DOWN PAR VALUE OF G N M A 1 1#080408 1.875% 5/20/30 DECEMBER GNMA -291.3300 0.000000 291.33 -288.37 2.96 DUE 1/20/22 4of21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 01/20/2022 36225DCB8 PAID DOWN PAR VALUE OF G N M A 1 1#080965 1.625% 7/20/34 DECEMBER GNMA -475.0200 0.000000 475.02 -474.72 0.30 DUE 1/20/22 01/21/2022 62479MAM5 MATURED PAR VALUE OF MUFG BK LTD N Y BRH C P 1/21/22 2,000,000 PAR VALUE -2,000,000.0000 1.000000 1,997,907.78 -1,997,907.78 0.00 AT 100% 01/25/2022 31394JY35 PAID DOWN PAR VALUE OF F H L M C MLTCL MT 9.50001% 9/25/43 -1,163.4800 0.000000 1,163.48 -1,317.64 -154.16 01/25/2022 31371 NUC7 PAID DOWN PAR VALUE OF F N M A#257179 4.500% 4/01/28 DECEMBER FNMA -95.9900 0.000000 95.99 -101.52 -5.53 DUE 1/25/22 01/25/2022 31376KT22 PAID DOWN PAR VALUE OF F N M A#357969 5.000% 9/01/35 DECEMBER FNMA -1,911.7900 0.000000 1,911.79 -2,055.17 -143.38 DUE 1/25/22 01/25/2022 31403DJZ3 PAID DOWN PAR VALUE OF F N M A#745580 5.000% 6/01/36 DECEMBER FNMA -1,480.4700 0.000000 1,480.47 -1,591.51 -111.04 DUE 1/25/22 01/25/2022 31403GXF4 PAID DOWN PAR VALUE OF F N M A#748678 5.000% 10/01/33 DECEMBER FNMA -4.0900 0.000000 4.09 -4.40 -0.31 DUE 1/25/22 01/25/2022 31406PQY8 PAID DOWN PAR VALUE OF F N M A#815971 5.000% 3/01/35 DECEMBER FNMA -426.1600 0.000000 426.16 -458.12 -31.96 DUE 1/25/22 01/25/2022 31406XWT5 PAID DOWN PAR VALUE OF F N M A#823358 1.977% 2/01/35 DECEMBER FNMA -395.8800 0.000000 395.88 -392.79 3.09 DUE 1/25/22 01/25/2022 31407BXH7 PAID DOWN PAR VALUE OF F N M A#826080 5.000% 7/01/35 DECEMBER FNMA -242.1600 0.000000 242.16 -260.32 -18.16 DUE 1/25/22 01/25/2022 31410F4V4 PAID DOWN PAR VALUE OF F N M A#888336 5.000% 7/01/36 DECEMBER FNMA -2,381.7200 0.000000 2,381.72 -2,560.35 -178.63 DUE 1/25/22 01/25/2022 3138EG6F6 PAID DOWN PAR VALUE OF F N M A#AL0869 4.500% 6/01/29 DECEMBER FNMA -142.6600 0.000000 142.66 -150.88 -8.22 DUE 1/25/22 01/25/2022 31417YAY3 PAID DOWN PAR VALUE OF F N M A#MA0022 4.500% 4/01/29 DECEMBER FNMA -154.4600 0.000000 154.46 -163.36 -8.90 DUE 1/25/22 01/25/2022 31397QREO PAID DOWN PAR VALUE OF F N M A GTD REMIC 2.472% 2/25/41 -2,104.2000 0.000000 2,104.20 -2,103.54 0.66 01/25/2022 78445JAA5 PAID DOWN PAR VALUE OF S L M A 1.65997% 4/25/23 -321.8500 0.000000 321.85 -320.54 1.31 01/26/2022 459058FY4 MATURED PAR VALUE OF INTL BK 2.000% 1/26/22 10,000,000 PAR VALUE AT -10,000,000.0000 1.000000 10,000,000.00 -10,006,350.00 -6,350.00 100% 01/27/2022 912828WUO PAR VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 30680.0000 UNITS 30,680.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 01/27/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -1,986,207.4000 1.000000 1,986,207.40 -1,986,207.40 0.00 01/28/2022 89233HAU8 MATURED PAR VALUE OF TOYOTA MTR CR CORP DISC C P 1/28/22 4,000,000 PAR -4,000,000.0000 1.000000 3,995,866.67 -3,995,866.67 0.00 VALUE AT 100% 01/31/2022 912828Z60 MATURED PAR VALUE OF U S TREASURY NT 1.375% 1/31/22 40,000,000 PAR -40,000,000.0000 1.000000 40,000,000.00 -40,226,757.82 -226,757.82 VALUE AT 100% 01/31/2022 9128281-186 MATURED PAR VALUE OF U S TREASURY NT 1.500% 1/31/22 27,500,000 PAR -27,500,000.0000 1.000000 27,500,000.00 -27,691,210.94 -191,210.94 VALUE AT 100% 01/31/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -75,000,000.0000 1.000000 75,000,000.00 -75,000,000.00 0.00 01/31/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,172,165.6100 1.000000 2,172,165.61 -2,172,165.61 0.00 5of21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 01/31/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -7,449,902.3400 1.000000 7,449,902.34 -7,449,902.34 0.00 02/02/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -1,499,939.2900 1.000000 1,499,939.29 -1,499,939.29 0.00 02/07/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,044,773.3300 1.000000 2,044,773.33 -2,044,773.33 0.00 02/09/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -1,370,768.7800 1.000000 1,370,768.78 -1,370,768.78 0.00 02/11/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -3,134,220.5600 1.000000 3,134,220.56 -3,134,220.56 0.00 02/14/2022 912796D30 SOLD PAR VALUE OF U S TREASURY BILL 2/24/22/NOMURA SECURITIES -3,000,000.0000 0.999988 2,999,314.13 -2,999,314.13 0.00 INTERNATIONA/3,000,000 PAR VALUE AT 99.99880567% 02/14/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -35.8300 1.000000 35.83 -35.83 0.00 02/15/2022 31348SWZ3 PAID DOWN PAR VALUE OF F H L M C#786064 2.262% 1/01/28 JANUARY FHLMC -32.7700 0.000000 32.77 -31.97 0.80 DUE 2/15/22 02/15/2022 3133TCE95 PAID DOWN PAR VALUE OF F H L M C MLTCL MTG 3.769% 8/15/32 -64.7000 0.000000 64.70 -64.77 -0.07 02/15/2022 47787NAC3 PAID DOWN PAR VALUE OF JOHN DEERE OWNER 0.510% 11/15/24 -151,636.9400 0.000000 151,636.94 -151,613.83 23.11 02/15/2022 58770FAC6 PAID DOWN PAR VALUE OF MERCEDES BENZ AUTO 1.840%12/15/22 -201,993.3500 0.000000 201,993.35 -201,966.73 26.62 02/15/2022 65479JAD5 PAID DOWN PAR VALUE OF NISSAN AUTO 1.930% 7/15/24 -231,177.8100 0.000000 231,177.81 -231,165.60 12.21 02/15/2022 65479GAD1 PAID DOWN PAR VALUE OF NISSAN AUTO 3.060% 3/15/23 -112,260.4000 0.000000 112,260.40 -112,256.76 3.64 02/15/2022 89237VAB5 PAID DOWN PAR VALUE OF TOYOTA AUTO RECV 0.440% 10/15/24 -197,272.3100 0.000000 197,272.31 -197,257.12 15.19 02/18/2022 912796U23 SOLD PAR VALUE OF U S TREASURY BILL 4/26/22/NOMURA SECURITIES -2,500,000.0000 0.999591 2,498,976.39 -2,499,090.97 -114.58 INTERNATIONA/2,500,000 PAR VALUE AT 99.9590556% 02/18/2022 912796U23 SOLD PAR VALUE OF U S TREASURY BILL 4/26/22/NOMURA SECURITIES -7,500,000.0000 0.999581 7,496,859.38 -7,497,272.92 -413.54 INTERNATIONA/7,500,000 PAR VALUE AT 99.95812507% 02/22/2022 36225CAZ9 PAID DOWN PAR VALUE OF G N M A 1 1#080023 1.755%12/20/26 JANUARY GNMA -172.2500 0.000000 172.25 -175.10 -2.85 DUE 2/20/22 02/22/2022 36225CC20 PAID DOWN PAR VALUE OF G N M A 1 1#080088 2.000% 6/20/27 JANUARY GNMA -98.0600 0.000000 98.06 -100.21 -2.15 DUE 2/20/22 02/22/2022 36225CNM4 PAID DOWN PAR VALUE OF G N M A 1 1#080395 1.875% 4/20/30 JANUARY GNMA -33.5900 0.000000 33.59 -33.29 0.30 DUE 2/20/22 02/22/2022 36225CN28 PAID DOWN PAR VALUE OF G N M A 1 1#080408 1.875% 5/20/30 JANUARY GNMA -280.0300 0.000000 280.03 -277.19 2.84 DUE 2/20/22 02/22/2022 36225DCB8 PAID DOWN PAR VALUE OF G N M A 1 1#080965 1.625% 7/20/34 JANUARY GNMA -438.7800 0.000000 438.78 -438.51 0.27 DUE 2/20/22 02/22/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,146,690.9800 1.000000 2,146,690.98 -2,146,690.98 0.00 02/23/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -8,949,365.7600 1.000000 8,949,365.76 -8,949,365.76 0.00 02/24/2022 912796D30 MATURED PAR VALUE OF U S TREASURY BILL 2/24/22 9,000,000 PAR VALUE AT -9,000,000.0000 1.000000 8,997,942.37 -8,997,942.37 0.00 100% 02/24/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -5,224,029.1700 1.000000 5,224,029.17 -5,224,029.17 0.00 02/25/2022 31394JY35 PAID DOWN PAR VALUE OF F H L M C MLTCL MT 9.50001% 9/25/43 -2,049.1600 0.000000 2,049.16 -2,320.67 -271.51 02/25/2022 31371NUC7 PAID DOWN PAR VALUE OF F N M A#257179 4.500% 4/01/28 JANUARY FNMA -105.6400 0.000000 105.64 -111.72 -6.08 DUE 2/25/22 6of21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 02/25/2022 31376KT22 PAID DOWN PAR VALUE OF F N M A#357969 5.000% 9/01/35 JANUARY FNMA -305.4000 0.000000 305.40 -328.30 -22.90 DUE 2/25/22 02/25/2022 31403DJZ3 PAID DOWN PAR VALUE OF F N M A#745580 5.000% 6/01/36 JANUARY FNMA -1,057.5800 0.000000 1,057.58 -1,136.90 -79.32 DUE 2/25/22 02/25/2022 31403GXF4 PAID DOWN PAR VALUE OF F N M A#748678 5.000% 10/01/33 JANUARY FNMA -4.1100 0.000000 4.11 -4.42 -0.31 DUE 2/25/22 02/25/2022 31406PQY8 PAID DOWN PAR VALUE OF F N M A#815971 5.000% 3/01/35 JANUARY FNMA -454.0100 0.000000 454.01 -488.06 -34.05 DUE 2/25/22 02/25/2022 31406XWT5 PAID DOWN PAR VALUE OF F N M A#823358 1.977% 2/01/35 JANUARY FNMA -8,937.4000 0.000000 8,937.40 -8,867.57 69.83 DUE 2/25/22 02/25/2022 31407BXH7 PAID DOWN PAR VALUE OF F N M A#826080 5.000% 7/01/35 JANUARY FNMA -150.3600 0.000000 150.36 -161.64 -11.28 DUE 2/25/22 02/25/2022 31410F4V4 PAID DOWN PAR VALUE OF F N M A#888336 5.000% 7/01/36 JANUARY FNMA -3,054.2400 0.000000 3,054.24 -3,283.31 -229.07 DUE 2/25/22 02/25/2022 3138EG6F6 PAID DOWN PAR VALUE OF F N M A#AL0869 4.500% 6/01/29 JANUARY FNMA -116.3000 0.000000 116.30 -123.00 -6.70 DUE 2/25/22 02/25/2022 31417YAY3 PAID DOWN PAR VALUE OF F N M A#MA0022 4.500% 4/01/29 JANUARY FNMA -188.5900 0.000000 188.59 -199.45 -10.86 DUE 2/25/22 02/25/2022 31397QREO PAID DOWN PAR VALUE OF F N M A GTD REMIC 2.472% 2/25/41 -1,452.7500 0.000000 1,452.75 -1,452.30 0.45 02/25/2022 912828M80 SOLD PAR VALUE OF U S TREASURY NT 2.000% 11/30/22/MORGAN STANLEY& -6,000,000.0000 1.008359 6,050,156.25 -5,930,625.00 119,531.25 CO.LLC/6,000,000 PAR VALUE AT 100.8359375% 02/25/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -9,483,280.3000 1.000000 9,483,280.30 -9,483,280.30 0.00 02/28/2022 14913Q2T5 MATURED PAR VALUE OF CATERPILLAR FINL MTN 2.950% 2/26/22 2,000,000 PAR -2,000,000.0000 1.000000 2,000,000.00 -2,043,700.00 -43,700.00 VALUE AT 100% 02/28/2022 912828,143 MATURED PAR VALUE OF U S TREASURY NT 1.750% 2/28/22 7,500,000 PAR VALUE -7,500,000.0000 1.000000 7,500,000.00 -7,606,054.69 -106,054.69 AT 100% 02/28/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -4,961,217.8100 1.000000 4,961,217.81 -4,961,217.81 0.00 02/28/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -5,987,785.9300 1.000000 5,987,785.93 -5,987,785.93 0.00 03/03/2022 3133ELYR9 SOLD PAR VALUE OF F F C B DEB 0.250% 5/06/22/MORGAN STANLEY&CO. -8,850,000.0000 0.999860 8,848,761.00 -8,838,760.50 10,000.50 LLC/8,850,000 PAR VALUE AT 99.986% 03/03/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2.7100 1.000000 2.71 -2.71 0.00 03/10/2022 9128281\130 SOLD PAR VALUE OF U S TREASURY NT 2.125% 12/31/22/CITIGROUP GLOBAL -5,000,000.0000 1.008555 5,042,773.44 -4,926,562.50 116,210.94 MARKETS INC./5,000,000 PAR VALUE AT 100.8554688% 03/11/2022 89114QC48 SOLD PAR VALUE OF TORONTO MTN 3.500% 7/19/23/J.P.MORGAN SECURITIES -5,000,000.0000 1.020170 5,100,850.00 -5,094,200.00 6,650.00 LLC/5,000,000 PAR VALUE AT 102.017% 03/11/2022 912828M80 SOLD PAR VALUE OF U S TREASURY NT 2.000% 11/30/22/J.P.MORGAN -2,000,000.0000 1.007266 2,014,531.25 -1,976,875.00 37,656.25 SECURITIES LLC/2,000,000 PAR VALUE AT 100.7265625% 03/11/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -3,859,296.3700 1.000000 3,859,296.37 -3,859,296.37 0.00 03/15/2022 91282861-18 MATURED PAR VALUE OF U S TREASURY NT 2.375% 3/15/22 7,500,000 PAR VALUE -7,500,000.0000 1.000000 7,500,000.00 -7,651,757.81 -151,757.81 AT 100% 7of21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 03/15/2022 31348SWZ3 PAID DOWN PAR VALUE OF F H L M C#786064 2.262% 1/01/28 FEBRUARY FHLMC -11.5700 0.000000 11.57 -11.29 0.28 DUE 3/15/22 03/15/2022 3133TCE95 PAID DOWN PAR VALUE OF F H L M C MLTCL MTG 3.769% 8/15/32 -66.9500 0.000000 66.95 -67.02 -0.07 03/15/2022 47787NAC3 PAID DOWN PAR VALUE OF JOHN DEERE OWNER 0.510% 11/15/24 -99,298.0000 0.000000 99,298.00 -99,282.87 15.13 03/15/2022 58770FAC6 PAID DOWN PAR VALUE OF MERCEDES BENZ AUTO 1.840%12/15/22 -243,699.0400 0.000000 243,699.04 -243,666.92 32.12 03/15/2022 65479JAD5 PAID DOWN PAR VALUE OF NISSAN AUTO 1.930% 7/15/24 -199,313.2600 0.000000 199,313.26 -199,302.74 10.52 03/15/2022 65479GAD1 PAID DOWN PAR VALUE OF NISSAN AUTO 3.060% 3/15/23 CMO FINAL -50,906.1700 0.000000 50,906.17 -50,904.52 1.65 PAYDOW N 03/15/2022 89237VAB5 PAID DOWN PAR VALUE OF TOYOTA AUTO RECV 0.440% 10/15/24 -183,743.8900 0.000000 183,743.89 -183,729.74 14.15 03/15/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -6,042,019.0400 1.000000 6,042,019.04 -6,042,019.04 0.00 03/16/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -7,309,168.6400 1.000000 7,309,168.64 -7,309,168.64 0.00 03/21/2022 36225CAZ9 PAID DOWN PAR VALUE OF G N M A 1 1#080023 1.755%12/20/26 FEBRUARY GNMA -166.9500 0.000000 166.95 -169.71 -2.76 DUE 3/20/22 03/21/2022 36225CC20 PAID DOWN PAR VALUE OF G N M A 1 1#080088 2.000% 6/20/27 FEBRUARY GNMA -110.4300 0.000000 110.43 -112.85 -2.42 DUE 3/20/22 03/21/2022 36225CNM4 PAID DOWN PAR VALUE OF G N M A 1 1#080395 1.875% 4/20/30 FEBRUARY GNMA -34.5300 0.000000 34.53 -34.22 0.31 DUE 3/20/22 03/21/2022 36225CN28 PAID DOWN PAR VALUE OF G N M A 1 1#080408 1.875% 5/20/30 FEBRUARY GNMA -290.7300 0.000000 290.73 -287.78 2.95 DUE 3/20/22 03/21/2022 36225DCB8 PAID DOWN PAR VALUE OF G N M A 1 1#080965 1.625% 7/20/34 FEBRUARY GNMA -167.9600 0.000000 167.96 -167.86 0.10 DUE 3/20/22 03/24/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,494,714.6900 1.000000 2,494,714.69 -2,494,714.69 0.00 03/25/2022 03215PFN4 PAID DOWN PAR VALUE OF AMRESCO 1.05169% 6/25/29 -2,396.8700 0.000000 2,396.87 -1,799.90 596.97 03/25/2022 31394JY35 PAID DOWN PAR VALUE OF F H L M C MLTCL MT 9.50001% 9/25/43 -2,170.1700 0.000000 2,170.17 -2,457.72 -287.55 03/25/2022 31371 NUC7 PAID DOWN PAR VALUE OF F N M A#257179 4.500% 4/01/28 FEBRUARY FNMA -107.0600 0.000000 107.06 -113.23 -6.17 DUE 3/25/22 03/25/2022 31376KT22 PAID DOWN PAR VALUE OF F N M A#357969 5.000% 9/01/35 FEBRUARY FNMA -1,030.3600 0.000000 1,030.36 -1,107.64 -77.28 DUE 3/25/22 03/25/2022 31403DJZ3 PAID DOWN PAR VALUE OF F N M A#745580 5.000% 6/01/36 FEBRUARY FNMA -991.1000 0.000000 991.10 -1,065.43 -74.33 DUE 3/25/22 03/25/2022 31403GXF4 PAID DOWN PAR VALUE OF F N M A#748678 5.000% 10/01/33 FEBRUARY FNMA -4.1300 0.000000 4.13 -4.44 -0.31 DUE 3/25/22 03/25/2022 31406PQY8 PAID DOWN PAR VALUE OF F N M A#815971 5.000% 3/01/35 FEBRUARY FNMA -1,929.8900 0.000000 1,929.89 -2,074.63 -144.74 DUE 3/25/22 03/25/2022 31406XWT5 PAID DOWN PAR VALUE OF F N M A#823358 1.966% 2/01/35 FEBRUARY FNMA -295.0400 0.000000 295.04 -292.73 2.31 DUE 3/25/22 03/25/2022 31407BXH7 PAID DOWN PAR VALUE OF F N M A#826080 5.000% 7/01/35 FEBRUARY FNMA -386.5600 0.000000 386.56 -415.55 -28.99 DUE 3/25/22 8of21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 03/25/2022 31410F4V4 PAID DOWN PAR VALUE OF F N M A#888336 5.000% 7/01/36 FEBRUARY FNMA -1,819.5000 0.000000 1,819.50 -1,955.96 -136.46 DUE 3/25/22 03/25/2022 3138EG6F6 PAID DOWN PAR VALUE OF F N M A#AL0869 4.500% 6/01/29 FEBRUARY FNMA -99.1900 0.000000 99.19 -104.90 -5.71 DUE 3/25/22 03/25/2022 31417YAY3 PAID DOWN PAR VALUE OF F N M A#MA0022 4.500% 4/01/29 FEBRUARY FNMA -164.4000 0.000000 164.40 -173.87 -9.47 DUE 3/25/22 03/25/2022 31397QREO PAID DOWN PAR VALUE OF F N M A GTD REMIC 2.472% 2/25/41 -2,162.8300 0.000000 2,162.83 -2,162.15 0.68 03/31/2022 91282CBG5 SOLD PAR VALUE OF U S TREASURY NT 0.125% 1/31/23/NOMURA SECURITIES -3,000,000.0000 0.988438 2,965,312.50 -2,999,414.06 -34,101.56 INTERNATIONA/3,000,000 PAR VALUE AT 98.84375% 03/31/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2,493,864.4800 1.000000 2,493,864.48 -2,493,864.48 0.00 03/31/2022 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -594,792.8200 1.000000 594,792.82 -594,792.82 0.00 TOTAL DISPOSITIONS -339,515,888.5800 339,800,725.83 -340,197,055.44 -396,329.61 OTHER TRANSACTIONS 01/03/2022 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 310.13 0.00 0.00 12/31/2021 INTEREST FROM 12/1/21 TO 12/31/21 01/03/2022 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 232.31 0.00 0.00 12/31/2021 INTEREST FROM 12/1/21 TO 12/31/21 01/07/2022 3135GOX24 INTEREST EARNED ON F N M A 1.625% 1/07/25$1 PV ON 10000000.0000 0.0000 0.000000 81,250.00 0.00 0.00 SHARES DUE 1/7/2022 01/10/2022 3135G05G4 INTEREST EARNED ON F N M A 0.250% 7/10/23$1 PV ON 6775000.0000 0.0000 0.000000 8,468.75 0.00 0.00 SHARES DUE 1/10/2022 01/12/2022 9128281-57 RECEIVED ACCRUED INTEREST ON SALE OF U S TREASURY NT 1.750% 9/30/22 0.0000 0.000000 32,500.00 0.00 0.00 01/13/2022 912828WUO BOOK VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 30160.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 01/13/2022 912828WUO FED BASIS OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 30160.00 UNITS 0.0000 0.000000 0.00 30,160.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 01/13/2022 06406RAA5 INTEREST EARNED ON BANK OF NY MTN 2.600% 2/07/22$1 PV ON 2500000.0000 0.0000 0.000000 28,166.67 0.00 0.00 SHARES DUE 1/13/2022 ACCRUED INTEREST ON 1/13/2022 FULL CALL 01/13/2022 912828WUO STATE COST OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 30160.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 01/14/2022 02665WCJ8 INTEREST EARNED ON AMERICAN HONDA MTN 3.450% 7/14/23$1 PV ON 0.0000 0.000000 14,576.25 0.00 0.00 845000.0000 SHARES DUE 1/14/2022 01/18/2022 31348SWZ3 INTEREST EARNED ON F H L M C#786064 2.262% 1/01/28$1 PV ON 2.4900 SHARES 0.0000 0.000000 2.49 0.00 0.00 DUE 1/15/2022 NOVEMBER FHLMC DUE 1/15/22 01/18/2022 3133TCE95 INTEREST EARNED ON F H L M C MLTCL MTG 3.787% 8/15/32$1 PV ON 11.3200 0.0000 0.000000 11.32 0.00 0.00 SHARES DUE 1/15/2022$0.00316/PV ON 3,588.05 PV DUE 1/15/22 01/18/2022 362554AC1 INTEREST EARNED ON GM FIN CONS AUTO 0.680% 9/16/26$1 PV ON 1705000.0000 0.0000 0.000000 966.17 0.00 0.00 SHARES DUE 1/16/2022 9of21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 01/18/2022 43813KAC6 INTEREST EARNED ON HONDA AUTO 0.370% 10/18/24$1 PV ON 997.4600 0.0000 0.000000 997.46 0.00 0.00 SHARES DUE 1/18/2022$0.00031/PV ON 3,235,000.00 PV DUE 1/18/22 01/18/2022 44934KAC8 INTEREST EARNED ON HTUNDAI AUTO REC TR 0.380% 1/15/26$1 PV ON 1912.6700 0.0000 0.000000 1,912.67 0.00 0.00 SHARES DUE 1/15/2022$0.00032/PV ON 6,040,000.00 PV DUE 1/15/22 01/18/2022 44891VAC5 INTEREST EARNED ON HYUNDAI AUTO LEASE 0.330% 6/17/24$1 PV ON 1142.6300 0.0000 0.000000 1,142.63 0.00 0.00 SHARES DUE 1/15/2022$0.00027/PV ON 4,155,000.00 PV DUE 1/15/22 01/18/2022 44933LAC7 INTEREST EARNED ON HYUNDAI AUTO REC 0.380% 9/15/25$1 PV ON 665.0000 0.0000 0.000000 665.00 0.00 0.00 SHARES DUE 1/15/2022$0.00032/PV ON 2,100,000.00 PV DUE 1/15/22 01/18/2022 44935FAD6 INTEREST EARNED ON HYUNDAI AUTO REC TR 0.740% 5/15/26$1 PV ON 986.6700 0.0000 0.000000 986.67 0.00 0.00 SHARES DUE 1/15/2022$0.00062/PV ON 1,600,000.00 PV DUE 1/15/22 01/18/2022 4581XODN5 INTEREST EARNED ON INTER AMER BK M T N 0.625% 7/15/25$1 PV ON 5050000.0000 0.0000 0.000000 15,781.25 0.00 0.00 SHARES DUE 1/15/2022 01/18/2022 4581XOCW6 INTEREST EARNED ON INTER AMER DEV BK 2.125% 1/18/22$1 PV ON 3000000.0000 0.0000 0.000000 31,875.00 0.00 0.00 SHARES DUE 1/18/2022 01/18/2022 47789QAC4 INTEREST EARNED ON JOHN DEERE OWN 0.520% 3/16/26$1 PV ON 1222.0000 0.0000 0.000000 1,222.00 0.00 0.00 SHARES DUE 1/15/2022$0.00043/PV ON 2,820,000.00 PV DUE 1/15/22 01/18/2022 47788UAC6 INTEREST EARNED ON JOHN DEERE OWNER 0.360% 9/15/25$1 PV ON 690.0000 0.0000 0.000000 690.00 0.00 0.00 SHARES DUE 1/15/2022$0.00030/PV ON 2,300,000.00 PV DUE 1/15/22 01/18/2022 47787NAC3 INTEREST EARNED ON JOHN DEERE OWNER 0.510%11/15/24$1 PV ON 629.0000 0.0000 0.000000 629.00 0.00 0.00 SHARES DUE 1/15/2022$0.00042/PV ON 1,480,000.00 PV DUE 1/15/22 01/18/2022 58769KAD6 INTEREST EARNED ON MERCEDES BENZ AUTO 0.400%11/15/24$1 PV ON 1105.0000 0.0000 0.000000 1,105.00 0.00 0.00 SHARES DUE 1/15/2022$0.00033/PV ON 3,315,000.00 PV DUE 1/15/22 01/18/2022 58770FAC6 INTEREST EARNED ON MERCEDES BENZ AUTO 1.840%12/15/22$1 PV ON 1402.1200 0.0000 0.000000 1,402.12 0.00 0.00 SHARES DUE 1/15/2022$0.00153/PV ON 914,426.65 PV DUE 1/15/22 01/18/2022 65479JAD5 INTEREST EARNED ON NISSAN AUTO 1.930% 7/15/24$1 PV ON 4382.5800 0.0000 0.000000 4,382.58 0.00 0.00 SHARES DUE 1/15/2022$0.00161/PV ON 2,724,922.14 PV DUE 1/15/22 01/18/2022 65479GAD1 INTEREST EARNED ON NISSAN AUTO 3.060% 3/15/23$1 PV ON 733.5100 0.0000 0.000000 733.51 0.00 0.00 SHARES DUE 1/15/2022$0.00255/PV ON 287,650.80 PV DUE 1/15/22 01/18/2022 69353RFB9 INTEREST EARNED ON PNC BANK NA MTN 2.625% 2/17/22$1 PV ON 1000000.0000 0.0000 0.000000 11,010.42 0.00 0.00 SHARES DUE 1/18/2022 ACCRUED INTEREST ON 1/18/2022 FULL CALL 01/18/2022 78013XZU5 INTEREST EARNED ON ROYAL BANK OF MTN 2.550% 7/16/24$1 PV ON 0.0000 0.000000 82,875.00 0.00 0.00 6500000.0000 SHARES DUE 1/16/2022 01/18/2022 79466LAG9 INTEREST EARNED ON SALESFORCE COM INC 0.625% 7/15/24$1 PV ON 0.0000 0.000000 4,289.06 0.00 0.00 1350000.0000 SHARES DUE 1/15/2022 01/18/2022 89237VAB5 INTEREST EARNED ON TOYOTA AUTO RECV 0.440%10/15/24$1 PV ON 1085.3300 0.0000 0.000000 1,085.33 0.00 0.00 SHARES DUE 1/15/2022$0.00037/PV ON 2,960,000.00 PV DUE 1/15/22 01/18/2022 912828WUO INTEREST EARNED ON U S TREASURY I P S 0.125% 7/15/24$1 PV ON 12141376.0000 0.0000 0.000000 7,588.36 0.00 0.00 SHARES DUE 1/15/2022 01/19/2022 3135GOT94 INTEREST EARNED ON F N M A DEB 2.375% 1/19/23$1 PV ON 5000000.0000 0.0000 0.000000 59,375.00 0.00 0.00 SHARES DUE 1/19/2022 10 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 01/19/2022 89114QC48 INTEREST EARNED ON TORONTO MTN 3.500% 7/19/23$1 PV ON 5000000.0000 0.0000 0.000000 87,500.00 0.00 0.00 SHARES DUE 1/19/2022 01/20/2022 36225CAZ9 INTEREST EARNED ON G N M A 11#080023 2.125%12/20/26$1 PV ON 15.9300 0.0000 0.000000 15.93 0.00 0.00 SHARES DUE 1/20/2022 DECEMBER GNMA DUE 1/20/22 01/20/2022 36225CC20 INTEREST EARNED ON G N M A 1 1#080088 2.000% 6/20/27$1 PV ON 10.5900 SHARES 0.0000 0.000000 10.59 0.00 0.00 DUE 1/20/2022 DECEMBER GNMA DUE 1/20/22 01/20/2022 36225CNM4 INTEREST EARNED ON G N M A 1 1#080395 1.875% 4/20/30$1 PV ON 5.4300 SHARES 0.0000 0.000000 5.43 0.00 0.00 DUE 1/20/2022 DECEMBER GNMA DUE 1/20/22 01/20/2022 36225CN28 INTEREST EARNED ON G N M A 1 1#080408 1.875% 5/20/30$1 PV ON 45.9200 SHARES 0.0000 0.000000 45.92 0.00 0.00 DUE 1/20/2022 DECEMBER GNMA DUE 1/20/22 01/20/2022 36225DCB8 INTEREST EARNED ON G N M A 1 1#080965 1.625% 7/20/34$1 PV ON 33.9900 SHARES 0.0000 0.000000 33.99 0.00 0.00 DUE 1/20/2022 DECEMBER GNMA DUE 1/20/22 01/20/2022 89239CAC3 INTEREST EARNED ON TOYOTA LEASE OWNER 0.420%10/21/24$1 PV ON 1114.7500 0.0000 0.000000 1,114.75 0.00 0.00 SHARES DUE 1/20/2022$0.00035/PV ON 3,185,000.00 PV DUE 1/20/22 01/21/2022 3137EAEU9 INTEREST EARNED ON F H L M C M T N 0.375% 7/21/25$1 PV ON 5030000.0000 0.0000 0.000000 9,431.25 0.00 0.00 SHARES DUE 1/21/2022 01/21/2022 43813GAC5 INTEREST EARNED ON HONDA AUTO 0.270% 4/21/25$1 PV ON 361.1300 0.0000 0.000000 361.13 0.00 0.00 SHARES DUE 1/21/2022$0.00023/PV ON 1,605,000.00 PV DUE 1/21/22 01/21/2022 43815GAC3 INTEREST EARNED ON HONDA AUTO REC 0.880% 1/21/26$1 PV ON 1679.3300 0.0000 0.000000 1,679.33 0.00 0.00 SHARES DUE 1/21/2022$0.00073/PV ON 2,290,000.00 PV DUE 1/21/22 01/21/2022 62479MAM5 INTEREST EARNED ON MUFG BK LTD N Y BRH C P 1/21/22$1 PV ON 2000000.0000 0.0000 0.000000 2,092.22 0.00 0.00 SHARES DUE 1/21/2022 2,000,000 PAR VALUE AT 100% 01/21/2022 90331HPL1 INTEREST EARNED ON US BANK NA MTN 2.050% 1/21/25$1 PV ON 7270000.0000 0.0000 0.000000 74,517.50 0.00 0.00 SHARES DUE 1/21/2022 01/24/2022 46647PAUO INTEREST EARNED ON JPMORGAN CHASE CO 3.797% 7/23/24$1 PV ON 0.0000 0.000000 47,462.50 0.00 0.00 2500000.0000 SHARES DUE 1/23/2022 01/24/2022 90331HNL3 INTEREST EARNED ON US BANK NA MTN 2.850% 1/23/23$1 PV ON 2000000.0000 0.0000 0.000000 28,500.00 0.00 0.00 SHARES DUE 1/23/2022 01/25/2022 03215PFN4 INTEREST EARNED ON AMRESCO 1.00712% 6/25/29$1 PV ON 99.8900 SHARES 0.0000 0.000000 99.89 0.00 0.00 DUE 1/25/2022$0.00084/PV ON 119,021.64 PV DUE 1/25/22 01/25/2022 09690AAC7 INTEREST EARNED ON BMW VEHICLE LEASE 0.330%12/26/24$1 PV ON 569.2500 0.0000 0.000000 569.25 0.00 0.00 SHARES DUE 1/25/2022$0.00027/PV ON 2,070,000.00 PV DUE 1/25/22 01/25/2022 808513AT2 INTEREST EARNED ON CHARLES SCHWAB CORP 2.650% 1/25/23$1 PV ON 0.0000 0.000000 89,437.50 0.00 0.00 6750000.0000 SHARES DUE 1/25/2022 01/25/2022 3137BFE98 INTEREST EARNED ON F H L B GTD REMIC 3.171%10/25/24$1 PV ON 13212.5000 0.0000 0.000000 13,212.50 0.00 0.00 SHARES DUE 1/25/2022$0.00264/PV ON 5,000,000.00 PV DUE 1/25/22 01/25/2022 31394JY35 INTEREST EARNED ON F H L M C MLTCL MT 9.50001% 9/25/43$1 PV ON 2492.9900 0.0000 0.000000 2,492.99 0.00 0.00 SHARES DUE 1/25/2022$0.00542/PV ON 460,244.11 PV DUE 1/25/22 01/25/2022 31371NUC7 INTEREST EARNED ON F N M A#257179 4.500% 4/01/28$1 PV ON 24.8200 SHARES 0.0000 0.000000 24.82 0.00 0.00 DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 11 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 01/25/2022 31376KT22 INTEREST EARNED ON F N M A#357969 5.000% 9/01/35$1 PV ON 238.5400 0.0000 0.000000 238.54 0.00 0.00 SHARES DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 31403DJZ3 INTEREST EARNED ON F N M A#745580 5.000% 6/01/36$1 PV ON 222.0600 0.0000 0.000000 222.06 0.00 0.00 SHARES DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 31403GXF4 INTEREST EARNED ON F N M A#748678 5.000% 10/01/33$1 PV ON 3.2800 SHARES 0.0000 0.000000 3.28 0.00 0.00 DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 31406PQY8 INTEREST EARNED ON F N M A#815971 5.000% 3/01/35$1 PV ON 325.8700 0.0000 0.000000 325.87 0.00 0.00 SHARES DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 31406XWT5 INTEREST EARNED ON F N M A#823358 1.977% 2/01/35$1 PV ON 90.9900 SHARES 0.0000 0.000000 90.99 0.00 0.00 DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 31407BXH7 INTEREST EARNED ON F N M A#826080 5.000% 7/01/35$1 PV ON 44.6300 SHARES 0.0000 0.000000 44.63 0.00 0.00 DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 31410F4V4 INTEREST EARNED ON F N M A#888336 5.000% 7/01/36$1 PV ON 373.8100 0.0000 0.000000 373.81 0.00 0.00 SHARES DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 3138EG6F6 INTEREST EARNED ON F N M A#AL0869 4.500% 6/01/29$1 PV ON 18.4000 SHARES 0.0000 0.000000 18.40 0.00 0.00 DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 31417YAY3 INTEREST EARNED ON F N M A#MA0022 4.500% 4/01/29$1 PV ON 31.1200 0.0000 0.000000 31.12 0.00 0.00 SHARES DUE 1/25/2022 DECEMBER FNMA DUE 1/25/22 01/25/2022 31397QREO INTEREST EARNED ON F N M A GTD REMIC 2.472% 2/25/41 $1 PV ON 61.1600 0.0000 0.000000 61.16 0.00 0.00 SHARES DUE 1/25/2022$0.00065/PV ON 93,868.68 PV DUE 1/25/22 01/25/2022 78445JAA5 INTEREST EARNED ON S L M A 1.65997% 4/25/23$1 PV ON 39.4700 SHARES 0.0000 0.000000 39.47 0.00 0.00 DUE 1/25/2022$0.00415/PV ON 9,510.53 PV DUE 1/25/22 01/26/2022 3133EKWV4 INTEREST EARNED ON F F C B DEB 1.850% 7/26/24$1 PV ON 5000000.0000 0.0000 0.000000 46,250.00 0.00 0.00 SHARES DUE 1/26/2022 01/26/2022 459058FY4 INTEREST EARNED ON INTL BK 2.000% 1/26/22$1 PV ON 10000000.0000 0.0000 0.000000 100,000.00 0.00 0.00 SHARES DUE 1/26/2022 01/27/2022 912828WUO BOOK VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 30680.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 01/27/2022 912828WUO FED BASIS OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 30680.00 UNITS 0.0000 0.000000 0.00 30,680.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 01/27/2022 89114TZN5 PAID ACCRUED INTEREST ON PURCHASE OF TORONTO DOMINION MTN 1.950% 0.0000 0.000000 -585.00 0.00 0.00 1/12/27 01/27/2022 89114TZN5 PAID ACCRUED INTEREST ON PURCHASE OF TORONTO DOMINION MTN 1.950% 0.0000 0.000000 -1,040.00 0.00 0.00 1/12/27 01/27/2022 912828WUO STATE COST OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 30680.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 01/28/2022 89233HAU8 INTEREST EARNED ON TOYOTA MTR CR CORP DISC C P 1/28/22$1 PV ON 0.0000 0.000000 4,133.33 0.00 0.00 4000000.0000 SHARES DUE 1/28/2022 4,000,000 PAR VALUE AT 100% 01/31/2022 CASH DISBURSEMENT PAID TO OCS OUTGOING DOMESTIC WIRE PER DIR DTD 0.0000 0.000000 -75,000,000.00 0.00 0.00 1/26/2022 12 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 01/31/2022 06406RAE7 INTEREST EARNED ON BANK OF NY MTN 2.950% 1/29/23$1 PV ON 2500000.0000 0.0000 0.000000 36,875.00 0.00 0.00 SHARES DUE 1/29/2022 01/31/2022 91282CBG5 INTEREST EARNED ON U S TREASURY NT 0.125% 1/31/23$1 PV ON 10000000.0000 0.0000 0.000000 6,250.00 0.00 0.00 SHARES DUE 1/31/2022 01/31/2022 91282CAC5 INTEREST EARNED ON U S TREASURY NT 0.125% 7/31/22$1 PV ON 30000000.0000 0.0000 0.000000 18,750.00 0.00 0.00 SHARES DUE 1/31/2022 01/31/2022 91282CBH3 INTEREST EARNED ON U S TREASURY NT 0.375% 1/31/26$1 PV ON 18000000.0000 0.0000 0.000000 33,750.00 0.00 0.00 SHARES DUE 1/31/2022 01/31/2022 912828Z60 INTEREST EARNED ON U S TREASURY NT 1.375% 1/31/22$1 PV ON 40000000.0000 0.0000 0.000000 275,000.00 0.00 0.00 SHARES DUE 1/31/2022 01/31/2022 9128281-186 INTEREST EARNED ON U S TREASURY NT 1.500% 1/31/22$1 PV ON 27500000.0000 0.0000 0.000000 206,250.00 0.00 0.00 SHARES DUE 1/31/2022 01/31/2022 912828V80 INTEREST EARNED ON U S TREASURY NT 2.250% 1/31/24$1 PV ON 7500000.0000 0.0000 0.000000 84,375.00 0.00 0.00 SHARES DUE 1/31/2022 01/31/2022 747525AFO PAID ACCRUED INTEREST ON PURCHASE OF QUALCOMM INC 3.450% 5/20/25 0.0000 0.000000 -15,037.21 0.00 0.00 02/01/2022 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 111.40 0.00 0.00 1/31/2022 INTEREST FROM 1/1/22 TO 1/31/22 02/01/2022 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 244.53 0.00 0.00 1/31/2022 INTEREST FROM 1/1/22 TO 1/31/22 02/02/2022 65558UDC3 PAID ACCRUED INTEREST ON PURCHASE OF NORDEA BK ABP C D 0.190% 6/24/22 0.0000 0.000000 -1,773.34 0.00 0.00 02/07/2022 3135GOV34 INTEREST EARNED ON F N M A 2.500% 2/05/24$1 PV ON 5000000.0000 0.0000 0.000000 62,500.00 0.00 0.00 SHARES DUE 2/5/2022 02/07/2022 46625HJH4 PAID ACCRUED INTEREST ON PURCHASE OF JPMORGAN CHASE CO 3.200% 0.0000 0.000000 -2,133.33 0.00 0.00 1/25/23 02/09/2022 037833AZ3 INTEREST EARNED ON APPLE INC 2.500% 2/09/25$1 PV ON 3922000.0000 0.0000 0.000000 49,025.00 0.00 0.00 SHARES DUE 2/9/2022 02/09/2022 02665WEA5 PAID ACCRUED INTEREST ON PURCHASE OF AMERICAN HONDA MTN 1.500% 0.0000 0.000000 -1,554.58 0.00 0.00 1/13/25 02/11/2022 912828WUO BOOK VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 20592.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 02/11/2022 912828WUO FED BASIS OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 20592.00 UNITS 0.0000 0.000000 0.00 20,592.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 02/11/2022 40139LBD4 PAID ACCRUED INTEREST ON PURCHASE OF GUARDIAN LIFE MTN 1.250% 5/13/26 0.0000 0.000000 -9,930.56 0.00 0.00 02/11/2022 912828WUO PAR VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 20592.0000 UNITS 20,592.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 02/11/2022 912828WUO STATE COST OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 20592.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 02/14/2022 06051GHY8 INTEREST EARNED ON BANK OF AMERICAN MTN 2.015% 2/13/26$1 PV ON 0.0000 0.000000 25,187.50 0.00 0.00 2500000.0000 SHARES DUE 2/13/2022 13 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 02/14/2022 3137EAEPO INTEREST EARNED ON F H L M C 1.500% 2/12/25$1 PV ON 12335000.0000 0.0000 0.000000 92,512.50 0.00 0.00 SHARES DUE 2/12/2022 02/14/2022 912796D30 INTEREST EARNED ON U S TREASURY BILL 2/24/22$1 PV ON 3000000.0000 0.0000 0.000000 650.04 0.00 0.00 SHARES DUE 2/14/2022 3,000,000 PAR VALUE AT 99.99880567% 02/15/2022 31348SWZ3 INTEREST EARNED ON F H L M C#786064 2.262% 1/01/28$1 PV ON 2.4400 SHARES 0.0000 0.000000 2.44 0.00 0.00 DUE 2/15/2022 DECEMBER FHLMC DUE 2/15/22 02/15/2022 3133TCE95 INTEREST EARNED ON F H L M C MLTCL MTG 3.769% 8/15/32$1 PV ON 11.0100 0.0000 0.000000 11.01 0.00 0.00 SHARES DUE 2/15/2022$0.00314/PV ON 3,505.40 PV DUE 2/15/22 02/15/2022 44934KAC8 INTEREST EARNED ON HTUNDAI AUTO REC TR 0.380% 1/15/26$1 PV ON 1912.6700 0.0000 0.000000 1,912.67 0.00 0.00 SHARES DUE 2/15/2022$0.00032/PV ON 6,040,000.00 PV DUE 2/15/22 02/15/2022 44891VAC5 INTEREST EARNED ON HYUNDAI AUTO LEASE 0.330% 6/17/24$1 PV ON 1142.6300 0.0000 0.000000 1,142.63 0.00 0.00 SHARES DUE 2/15/2022$0.00027/PV ON 4,155,000.00 PV DUE 2/15/22 02/15/2022 44891WAC3 INTEREST EARNED ON HYUNDAI AUTO LEASE 1.00533% 1/15/25$1 PV ON 2425.3700 0.0000 0.000000 2,425.37 0.00 0.00 SHARES DUE 2/15/2022$0.00084/PV ON 2,895,000.00 PV DUE 2/15/22 02/15/2022 44933LAC7 INTEREST EARNED ON HYUNDAI AUTO REC 0.380% 9/15/25$1 PV ON 665.0000 0.0000 0.000000 665.00 0.00 0.00 SHARES DUE 2/15/2022$0.00032/PV ON 2,100,000.00 PV DUE 2/15/22 02/15/2022 44935FAD6 INTEREST EARNED ON HYUNDAI AUTO REC TR 0.740% 5/15/26$1 PV ON 986.6700 0.0000 0.000000 986.67 0.00 0.00 SHARES DUE 2/15/2022$0.00062/PV ON 1,600,000.00 PV DUE 2/15/22 02/15/2022 47789QAC4 INTEREST EARNED ON JOHN DEERE OWN 0.520% 3/16/26$1 PV ON 1222.0000 0.0000 0.000000 1,222.00 0.00 0.00 SHARES DUE 2/15/2022$0.00043/PV ON 2,820,000.00 PV DUE 2/15/22 02/15/2022 47788UAC6 INTEREST EARNED ON JOHN DEERE OWNER 0.360% 9/15/25$1 PV ON 690.0000 0.0000 0.000000 690.00 0.00 0.00 SHARES DUE 2/15/2022$0.00030/PV ON 2,300,000.00 PV DUE 2/15/22 02/15/2022 47787NAC3 INTEREST EARNED ON JOHN DEERE OWNER 0.510%11/15/24$1 PV ON 628.5200 0.0000 0.000000 628.52 0.00 0.00 SHARES DUE 2/15/2022$0.00042/PV ON 1,478,881.42 PV DUE 2/15/22 02/15/2022 58769KAD6 INTEREST EARNED ON MERCEDES BENZ AUTO 0.400%11/15/24$1 PV ON 1105.0000 0.0000 0.000000 1,105.00 0.00 0.00 SHARES DUE 2/15/2022$0.00033/PV ON 3,315,000.00 PV DUE 2/15/22 02/15/2022 58770FAC6 INTEREST EARNED ON MERCEDES BENZ AUTO 1.840%12/15/22$1 PV ON 1067.6400 0.0000 0.000000 1,067.64 0.00 0.00 SHARES DUE 2/15/2022$0.00153/PV ON 696,288.71 PV DUE 2/15/22 02/15/2022 65479JAD5 INTEREST EARNED ON NISSAN AUTO 1.930% 7/15/24$1 PV ON 3991.0200 0.0000 0.000000 3,991.02 0.00 0.00 SHARES DUE 2/15/2022$0.00161/PV ON 2,481,463.15 PV DUE 2/15/22 02/15/2022 65479GAD1 INTEREST EARNED ON NISSAN AUTO 3.060% 3/15/23$1 PV ON 416.0800 0.0000 0.000000 416.08 0.00 0.00 SHARES DUE 2/15/2022$0.00255/PV ON 163,166.57 PV DUE 2/15/22 02/15/2022 89237VAB5 INTEREST EARNED ON TOYOTA AUTO RECV 0.440%10/15/24$1 PV ON 1072.6900 0.0000 0.000000 1,072.69 0.00 0.00 SHARES DUE 2/15/2022$0.00037/PV ON 2,925,534.47 PV DUE 2/15/22 02/16/2022 362554AC1 INTEREST EARNED ON GM FIN CONS AUTO 0.680% 9/16/26$1 PV ON 966.1700 0.0000 0.000000 966.17 0.00 0.00 SHARES DUE 2/16/2022$0.00057/PV ON 1,705,000.00 PV DUE 2/16/22 02/16/2022 380146AC4 INTEREST EARNED ON GM FIN CONS AUTO 1.260% 11/16/26$1 PV ON 1502.5500 0.0000 0.000000 1,502.55 0.00 0.00 SHARES DUE 2/16/2022$0.00095/PV ON 1,590,000.00 PV DUE 2/16/22 02/18/2022 43813KAC6 INTEREST EARNED ON HONDA AUTO 0.370% 10/18/24$1 PV ON 3235000.0000 0.0000 0.000000 1,000.17 0.00 0.00 SHARES DUE 2/18/2022 14 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 02/22/2022 36225CAZ9 INTEREST EARNED ON G N M A 11#080023 1.755%12/20/26$1 PV ON 12.9200 0.0000 0.000000 12.92 0.00 0.00 SHARES DUE 2/20/2022 JANUARY GNMA DUE 2/20/22 02/22/2022 36225CC20 INTEREST EARNED ON G N M A 1 1#080088 2.000% 6/20/27$1 PV ON 10.4200 SHARES 0.0000 0.000000 10.42 0.00 0.00 DUE 2/20/2022 JANUARY GNMA DUE 2/20/22 02/22/2022 36225CNM4 INTEREST EARNED ON G N M A 1 1#080395 1.875% 4/20/30$1 PV ON 5.2400 SHARES 0.0000 0.000000 5.24 0.00 0.00 DUE 2/20/2022 JANUARY GNMA DUE 2/20/22 02/22/2022 36225CN28 INTEREST EARNED ON G N M A 1 1#080408 1.875% 5/20/30$1 PV ON 45.4600 SHARES 0.0000 0.000000 45.46 0.00 0.00 DUE 2/20/2022 JANUARY GNMA DUE 2/20/22 02/22/2022 36225DCB8 INTEREST EARNED ON G N M A 1 1#080965 1.625% 7/20/34$1 PV ON 33.3400 SHARES 0.0000 0.000000 33.34 0.00 0.00 DUE 2/20/2022 JANUARY GNMA DUE 2/20/22 02/22/2022 43813GAC5 INTEREST EARNED ON HONDA AUTO 0.270% 4/21/25$1 PV ON 361.1300 0.0000 0.000000 361.13 0.00 0.00 SHARES DUE 2/21/2022$0.00023/PV ON 1,605,000.00 PV DUE 2/21/22 02/22/2022 43815GAC3 INTEREST EARNED ON HONDA AUTO REC 0.880% 1/21/26$1 PV ON 1679.3300 0.0000 0.000000 1,679.33 0.00 0.00 SHARES DUE 2/21/2022$0.00073/PV ON 2,290,000.00 PV DUE 2/21/22 02/22/2022 89239CAC3 INTEREST EARNED ON TOYOTA LEASE OWNER 0.420%10/21/24$1 PV ON 1114.7500 0.0000 0.000000 1,114.75 0.00 0.00 SHARES DUE 2/20/2022$0.00035/PV ON 3,185,000.00 PV DUE 2/20/22 02/22/2022 91324PEC2 PAID ACCRUED INTEREST ON PURCHASE OF UNITEDHEALTH 1.150% 5/15/26 0.0000 0.000000 -6,956.38 0.00 0.00 02/24/2022 912828WUO BOOK VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 17368.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 02/24/2022 912828WUO FED BASIS OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 17368.00 UNITS 0.0000 0.000000 0.00 17,368.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 02/24/2022 912796D30 INTEREST EARNED ON U S TREASURY BILL 2/24/22$1 PV ON 9000000.0000 0.0000 0.000000 2,057.63 0.00 0.00 SHARES DUE 2/24/2022 9,000,000 PAR VALUE AT 100% 02/24/2022 3137BSRE5 PAID ACCRUED INTEREST ON PURCHASE OF F H L M C MLTCL MTG 3.120% 9/25/26 0.0000 0.000000 -9,966.67 0.00 0.00 02/24/2022 912828WUO PAR VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 17368.0000 UNITS 17,368.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 02/24/2022 912828WUO STATE COST OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 17368.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 02/25/2022 03215PFN4 INTEREST EARNED ON AMRESCO 1.08264% 6/25/29$1 PV ON 107.3800 0.0000 0.000000 107.38 0.00 0.00 SHARES DUE 2/25/2022$0.00090/PV ON 119,021.64 PV DUE 2/25/22 02/25/2022 09690AAC7 INTEREST EARNED ON BMW VEHICLE LEASE 0.330%12/26/24$1 PV ON 0.0000 0.000000 569.25 0.00 0.00 2070000.0000 SHARES DUE 2/25/2022 02/25/2022 05601XAC3 INTEREST EARNED ON BMW VEHICLE LEASE 1.320% 3/25/25$1 PV ON 2640.0000 0.0000 0.000000 2,640.00 0.00 0.00 SHARES DUE 2/25/2022$0.00110/PV ON 2,400,000.00 PV DUE 2/25/22 02/25/2022 3137BFE98 INTEREST EARNED ON F H L B GTD REMIC 3.171%10/25/24$1 PV ON 13212.5000 0.0000 0.000000 13,212.50 0.00 0.00 SHARES DUE 2/25/2022$0.00264/PV ON 5,000,000.00 PV DUE 2/25/22 02/25/2022 31394JY35 INTEREST EARNED ON F H L M C MLTCL MT 9.50001% 9/25/43$1 PV ON 2486.6900 0.0000 0.000000 2,486.69 0.00 0.00 SHARES DUE 2/25/2022$0.00542/PV ON 459,080.63 PV DUE 2/25/22 02/25/2022 3135G05X7 INTEREST EARNED ON F N M A 0.375% 8/25/25$1 PV ON 7945000.0000 0.0000 0.000000 14,896.88 0.00 0.00 SHARES DUE 2/25/2022 15 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 02/25/2022 31371 NUC7 INTEREST EARNED ON F N M A#257179 4.500% 4/01/28$1 PV ON 24.4600 SHARES 0.0000 0.000000 24.46 0.00 0.00 DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31376KT22 INTEREST EARNED ON F N M A#357969 5.000% 9/01/35$1 PV ON 230.5800 0.0000 0.000000 230.58 0.00 0.00 SHARES DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31403DJZ3 INTEREST EARNED ON F N M A#745580 5.000% 6/01/36$1 PV ON 215.8900 0.0000 0.000000 215.89 0.00 0.00 SHARES DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31403GXF4 INTEREST EARNED ON F N M A#748678 5.000% 10/01/33$1 PV ON 3.2700 SHARES 0.0000 0.000000 3.27 0.00 0.00 DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31406PQY8 INTEREST EARNED ON F N M A#815971 5.000% 3/01/35$1 PV ON 324.1000 0.0000 0.000000 324.10 0.00 0.00 SHARES DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31406XWT5 INTEREST EARNED ON F N M A#823358 1.977% 2/01/35$1 PV ON 90.3300 SHARES 0.0000 0.000000 90.33 0.00 0.00 DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31407BXH7 INTEREST EARNED ON F N M A#826080 5.000% 7/01/35$1 PV ON 43.6200 SHARES 0.0000 0.000000 43.62 0.00 0.00 DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31410F4V4 INTEREST EARNED ON F N M A#888336 5.000% 7/01/36$1 PV ON 363.8900 0.0000 0.000000 363.89 0.00 0.00 SHARES DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 3138EG6F6 INTEREST EARNED ON F N M A#AL0869 4.500% 6/01/29$1 PV ON 17.8700 SHARES 0.0000 0.000000 17.87 0.00 0.00 DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31417YAY3 INTEREST EARNED ON F N M A#MA0022 4.500% 4/01/29$1 PV ON 30.5400 0.0000 0.000000 30.54 0.00 0.00 SHARES DUE 2/25/2022 JANUARY FNMA DUE 2/25/22 02/25/2022 31397QREO INTEREST EARNED ON F N M A GTD REMIC 2.472% 2/25/41 $1 PV ON 60.2400 0.0000 0.000000 60.24 0.00 0.00 SHARES DUE 2/25/2022$0.00066/PV ON 91,764.48 PV DUE 2/25/22 02/25/2022 06417MPK5 PAID ACCRUED INTEREST ON PURCHASE OF BANK NOVA C D 0.220% 5/13/22 0.0000 0.000000 -3,520.00 0.00 0.00 02/25/2022 912828M80 RECEIVED ACCRUED INTEREST ON SALE OF U S TREASURY NT 2.000% 11/30/22 0.0000 0.000000 28,681.32 0.00 0.00 02/28/2022 14913Q2T5 INTEREST EARNED ON CATERPILLAR FINL MTN 2.950% 2/26/22$1 PV ON 0.0000 0.000000 29,500.00 0.00 0.00 2000000.0000 SHARES DUE 2/26/2022 ACCRUED INTEREST ON 2/28/2022 MATURITY 02/28/2022 91282CCW9 INTEREST EARNED ON U S TREASURY NT 0.750% 8/31/26$1 PV ON 8000000.0000 0.0000 0.000000 30,000.00 0.00 0.00 SHARES DUE 2/28/2022 02/28/2022 912828,143 INTEREST EARNED ON U S TREASURY NT 1.750% 2/28/22$1 PV ON 7500000.0000 0.0000 0.000000 65,625.00 0.00 0.00 SHARES DUE 2/28/2022 02/28/2022 912828W48 INTEREST EARNED ON U S TREASURY NT 2.125% 2/29/24$1 PV ON 10000000.0000 0.0000 0.000000 106,250.00 0.00 0.00 SHARES DUE 2/28/2022 02/28/2022 91282CAC5 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 0.125% 7/31/22 0.0000 0.000000 -483.43 0.00 0.00 03/01/2022 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 22.06 0.00 0.00 2/28/2022 INTEREST FROM 2/1/22 TO 2/28/22 03/01/2022 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 137.62 0.00 0.00 2/28/2022 INTEREST FROM 2/1/22 TO 2/28/22 03/03/2022 43813KAC6 INTEREST EARNED ON HONDA AUTO 0.370% 10/18/24$1 PV ON 3235000.0000 0.0000 0.000000 -1,000.17 0.00 0.00 SHARES DUE 2/18/2022 16 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 03/03/2022 43813KAC6 INTEREST EARNED ON HONDA AUTO 0.370% 10/18/24$1 PV ON 3235000.0000 0.0000 0.000000 997.46 0.00 0.00 SHARES DUE 2/18/2022 03/03/2022 3133ELYR9 RECEIVED ACCRUED INTEREST ON SALE OF F F C B DEB 0.250% 5/06/22 0.0000 0.000000 7,190.63 0.00 0.00 03/07/2022 06051GHF9 INTEREST EARNED ON BANK OF AMERICA 3.550% 3/05/24$1 PV ON 6675000.0000 0.0000 0.000000 118,481.25 0.00 0.00 SHARES DUE 3/5/2022 03/08/2022 313383YJ4 INTEREST EARNED ON F H L B DEB 3.375% 9/08/23$1 PV ON 10000000.0000 0.0000 0.000000 168,750.00 0.00 0.00 SHARES DUE 3/8/2022 03/10/2022 912828N30 RECEIVED ACCRUED INTEREST ON SALE OF U S TREASURY NT 2.125% 12/31/22 0.0000 0.000000 20,252.07 0.00 0.00 03/11/2022 912828WUO BOOK VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 47736.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 03/11/2022 912828WUO FED BASIS OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 47736.00 UNITS 0.0000 0.000000 0.00 47,736.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 03/11/2022 06406RAM9 PAID ACCRUED INTEREST ON PURCHASE OF BANK OF NY MTN 1.850% 1/27/23 0.0000 0.000000 -3,583.86 0.00 0.00 03/11/2022 59217GEE5 PAID ACCRUED INTEREST ON PURCHASE OF MET LIFE GLOB MTN 1.950% 1/13/23 0.0000 0.000000 -7,084.46 0.00 0.00 03/11/2022 89114TZT2 PAID ACCRUED INTEREST ON PURCHASE OF TORONTO DOMINION MTN 2.800% 0.0000 0.000000 -388.89 0.00 0.00 3/10/27 03/11/2022 912828WUO PAR VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 47736.0000 UNITS 47,736.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 03/11/2022 89114QC48 RECEIVED ACCRUED INTEREST ON SALE OF TORONTO MTN 3.500% 7/19/23 0.0000 0.000000 25,277.78 0.00 0.00 03/11/2022 912828M80 RECEIVED ACCRUED INTEREST ON SALE OF U S TREASURY NT 2.000% 11/30/22 0.0000 0.000000 11,098.90 0.00 0.00 03/11/2022 912828WUO STATE COST OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 47736.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 03/14/2022 00440EAP2 INTEREST EARNED ON CHUBB INA HLDGS INC 2.700% 3/13/23$1 PV ON 0.0000 0.000000 27,000.00 0.00 0.00 2000000.0000 SHARES DUE 3/13/2022 03/14/2022 3130A4CH3 INTEREST EARNED ON F H L B DEB 2.375% 3/14/25$1 PV ON 5225000.0000 0.0000 0.000000 62,046.88 0.00 0.00 SHARES DUE 3/14/2022 03/14/2022 3130A2UW4 INTEREST EARNED ON F H L B DEB 2.875% 9/13/24$1 PV ON 2500000.0000 0.0000 0.000000 35,937.50 0.00 0.00 SHARES DUE 3/13/2022 03/14/2022 4581XOCZ9 INTEREST EARNED ON INTER AMER DEV BK 1.750% 9/14/22$1 PV ON 6500000.0000 0.0000 0.000000 56,875.00 0.00 0.00 SHARES DUE 3/14/2022 03/14/2022 46647PBH8 INTEREST EARNED ON JPMORGAN CHASE CO 2.005% 3/13/26$1 PV ON 0.0000 0.000000 35,087.50 0.00 0.00 3500000.0000 SHARES DUE 3/13/2022 03/14/2022 58989V2D5 INTEREST EARNED ON MET TOWER MTN 1.250% 9/14/26$1 PV ON 3745000.0000 0.0000 0.000000 23,406.25 0.00 0.00 SHARES DUE 3/14/2022 03/15/2022 00440EAS6 INTEREST EARNED ON ACE INA HOLDING 3.150% 3/15/25$1 PV ON 2000000.0000 0.0000 0.000000 31,500.00 0.00 0.00 SHARES DUE 3/15/2022 03/15/2022 06368FAC3 INTEREST EARNED ON BANK OF MONTREAL MTN 1.250% 9/15/26$1 PV ON 0.0000 0.000000 18,750.00 0.00 0.00 3000000.0000 SHARES DUE 3/15/2022 03/15/2022 084670BR8 INTEREST EARNED ON BERKSHIRE HATHAWAY 2.750% 3/15/23$1 PV ON 0.0000 0.000000 34,375.00 0.00 0.00 2500000.0000 SHARES DUE 3/15/2022 17 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 03/15/2022 31348SWZ3 INTEREST EARNED ON F H L M C#786064 2.262% 1/01/28$1 PV ON 2.3800 SHARES 0.0000 0.000000 2.38 0.00 0.00 DUE 3/15/2022 JANUARY FHLMC DUE 3/15/22 03/15/2022 3133TCE95 INTEREST EARNED ON F H L M C MLTCL MTG 3.769% 8/15/32$1 PV ON 10.7700 0.0000 0.000000 10.77 0.00 0.00 SHARES DUE 3/15/2022$0.00313/PV ON 3,440.70 PV DUE 3/15/22 03/15/2022 43815BAC4 INTEREST EARNED ON HONDA AUTO REC OWN 1.880% 5/15/26$1 PV ON 4515.1300 0.0000 0.000000 4,515.13 0.00 0.00 SHARES DUE 3/15/2022$0.00115/PV ON 3,930,000.00 PV DUE 3/15/22 03/15/2022 44934KAC8 INTEREST EARNED ON HTUNDAI AUTO REC TR 0.380% 1/15/26$1 PV ON 1912.6700 0.0000 0.000000 1,912.67 0.00 0.00 SHARES DUE 3/15/2022$0.00032/PV ON 6,040,000.00 PV DUE 3/15/22 03/15/2022 44891VAC5 INTEREST EARNED ON HYUNDAI AUTO LEASE 0.330% 6/17/24$1 PV ON 1142.6300 0.0000 0.000000 1,142.63 0.00 0.00 SHARES DUE 3/15/2022$0.00027/PV ON 4,155,000.00 PV DUE 3/15/22 03/15/2022 44891WAC3 INTEREST EARNED ON HYUNDAI AUTO LEASE 1.160% 1/15/25$1 PV ON 2798.5000 0.0000 0.000000 2,798.50 0.00 0.00 SHARES DUE 3/15/2022$0.00097/PV ON 2,895,000.00 PV DUE 3/15/22 03/15/2022 44933LAC7 INTEREST EARNED ON HYUNDAI AUTO REC 0.380% 9/15/25$1 PV ON 665.0000 0.0000 0.000000 665.00 0.00 0.00 SHARES DUE 3/15/2022$0.00032/PV ON 2,100,000.00 PV DUE 3/15/22 03/15/2022 44935FAD6 INTEREST EARNED ON HYUNDAI AUTO REC TR 0.740% 5/15/26$1 PV ON 986.6700 0.0000 0.000000 986.67 0.00 0.00 SHARES DUE 3/15/2022$0.00062/PV ON 1,600,000.00 PV DUE 3/15/22 03/15/2022 47789QAC4 INTEREST EARNED ON JOHN DEERE OWN 0.520% 3/16/26$1 PV ON 1222.0000 0.0000 0.000000 1,222.00 0.00 0.00 SHARES DUE 3/15/2022$0.00043/PV ON 2,820,000.00 PV DUE 3/15/22 03/15/2022 47788UAC6 INTEREST EARNED ON JOHN DEERE OWNER 0.360% 9/15/25$1 PV ON 690.0000 0.0000 0.000000 690.00 0.00 0.00 SHARES DUE 3/15/2022$0.00030/PV ON 2,300,000.00 PV DUE 3/15/22 03/15/2022 47787NAC3 INTEREST EARNED ON JOHN DEERE OWNER 0.510%11/15/24$1 PV ON 564.0800 0.0000 0.000000 564.08 0.00 0.00 SHARES DUE 3/15/2022$0.00042/PV ON 1,327,244.48 PV DUE 3/15/22 03/15/2022 58769KAD6 INTEREST EARNED ON MERCEDES BENZ AUTO 0.400%11/15/24$1 PV ON 1105.0000 0.0000 0.000000 1,105.00 0.00 0.00 SHARES DUE 3/15/2022$0.00033/PV ON 3,315,000.00 PV DUE 3/15/22 03/15/2022 58770FAC6 INTEREST EARNED ON MERCEDES BENZ AUTO 1.840%12/15/22$1 PV ON 757.9200 0.0000 0.000000 757.92 0.00 0.00 SHARES DUE 3/15/2022$0.00153/PV ON 494,295.36 PV DUE 3/15/22 03/15/2022 65479JAD5 INTEREST EARNED ON NISSAN AUTO 1.930% 7/15/24$1 PV ON 3619.2100 0.0000 0.000000 3,619.21 0.00 0.00 SHARES DUE 3/15/2022$0.00161/PV ON 2,250,285.34 PV DUE 3/15/22 03/15/2022 65479GAD1 INTEREST EARNED ON NISSAN AUTO 3.060% 3/15/23$1 PV ON 129.8100 0.0000 0.000000 129.81 0.00 0.00 SHARES DUE 3/15/2022$0.00255/PV ON 50,906.17 PV DUE 3/15/22 03/15/2022 89237VAB5 INTEREST EARNED ON TOYOTA AUTO RECV 0.440%10/15/24$1 PV ON 1000.3600 0.0000 0.000000 1,000.36 0.00 0.00 SHARES DUE 3/15/2022$0.00037/PV ON 2,728,262.16 PV DUE 3/15/22 03/15/2022 91282CCX7 INTEREST EARNED ON U S TREASURY NT 0.375% 9/15/24$1 PV ON 10500000.0000 0.0000 0.000000 19,687.50 0.00 0.00 SHARES DUE 3/15/2022 03/15/2022 9128286H8 INTEREST EARNED ON U S TREASURY NT 2.375% 3/15/22$1 PV ON 7500000.0000 0.0000 0.000000 89,062.50 0.00 0.00 SHARES DUE 3/15/2022 03/16/2022 362554AC1 INTEREST EARNED ON GM FIN CONS AUTO 0.680% 9/16/26$1 PV ON 966.1700 0.0000 0.000000 966.17 0.00 0.00 SHARES DUE 3/16/2022$0.00057/PV ON 1,705,000.00 PV DUE 3/16/22 03/16/2022 380146AC4 INTEREST EARNED ON GM FIN CONS AUTO 1.260% 11/16/26$1 PV ON 1669.5000 0.0000 0.000000 1,669.50 0.00 0.00 SHARES DUE 3/16/2022$0.00105/PV ON 1,590,000.00 PV DUE 3/16/22 18 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 03/17/2022 931142ERO INTEREST EARNED ON WALMART INC 1.050% 9/17/26$1 PV ON 1725000.0000 0.0000 0.000000 9,056.25 0.00 0.00 SHARES DUE 3/17/2022 03/18/2022 09247XAL5 INTEREST EARNED ON BLACKROCK INC 3.500% 3/18/24$1 PV ON 1000000.0000 0.0000 0.000000 17,500.00 0.00 0.00 SHARES DUE 3/18/2022 03/18/2022 43813KAC6 INTEREST EARNED ON HONDA AUTO 0.370% 10/18/24$1 PV ON 997.4600 0.0000 0.000000 997.46 0.00 0.00 SHARES DUE 3/18/2022$0.00031/PV ON 3,235,000.00 PV DUE 3/18/22 03/18/2022 808513BN4 INTEREST EARNED ON SCHWAB CHARLES 0.750% 3/18/24$1 PV ON 2785000.0000 0.0000 0.000000 10,443.75 0.00 0.00 SHARES DUE 3/18/2022 03/21/2022 36225CAZ9 INTEREST EARNED ON G N M A 11#080023 1.755%12/20/26$1 PV ON 12.6700 0.0000 0.000000 12.67 0.00 0.00 SHARES DUE 3/20/2022 FEBRUARY GNMA DUE 3/20/22 03/21/2022 36225CC20 INTEREST EARNED ON G N M A 1 1#080088 2.000% 6/20/27$1 PV ON 10.2600 SHARES 0.0000 0.000000 10.26 0.00 0.00 DUE 3/20/2022 FEBRUARY GNMA DUE 3/20/22 03/21/2022 36225CNM4 INTEREST EARNED ON G N M A 1 1#080395 1.875% 4/20/30$1 PV ON 5.1900 SHARES 0.0000 0.000000 5.19 0.00 0.00 DUE 3/20/2022 FEBRUARY GNMA DUE 3/20/22 03/21/2022 36225CN28 INTEREST EARNED ON G N M A 1 1#080408 1.875% 5/20/30$1 PV ON 45.0200 SHARES 0.0000 0.000000 45.02 0.00 0.00 DUE 3/20/2022 FEBRUARY GNMA DUE 3/20/22 03/21/2022 36225DCB8 INTEREST EARNED ON G N M A 1 1#080965 1.625% 7/20/34$1 PV ON 32.7500 SHARES 0.0000 0.000000 32.75 0.00 0.00 DUE 3/20/2022 FEBRUARY GNMA DUE 3/20/22 03/21/2022 36265MAC9 INTEREST EARNED ON GM FIN AUTO LSNG TR 1.900% 3/20/25$1 PV ON 0.0000 0.000000 7,418.45 0.00 0.00 5020000.0000 SHARES DUE 3/20/2022 03/21/2022 43813GAC5 INTEREST EARNED ON HONDA AUTO 0.270% 4/21/25$1 PV ON 361.1300 0.0000 0.000000 361.13 0.00 0.00 SHARES DUE 3/21/2022$0.00023/PV ON 1,605,000.00 PV DUE 3/21/22 03/21/2022 43815GAC3 INTEREST EARNED ON HONDA AUTO REC 0.880% 1/21/26$1 PV ON 1679.3300 0.0000 0.000000 1,679.33 0.00 0.00 SHARES DUE 3/21/2022$0.00073/PV ON 2,290,000.00 PV DUE 3/21/22 03/21/2022 89239CAC3 INTEREST EARNED ON TOYOTA LEASE OWNER 0.420%10/21/24$1 PV ON 1114.7500 0.0000 0.000000 1,114.75 0.00 0.00 SHARES DUE 3/20/2022$0.00035/PV ON 3,185,000.00 PV DUE 3/20/22 03/21/2022 89238LAC4 INTEREST EARNED ON TOYOTA LEASE OWNER 1.960% 2/20/25$1 PV ON 6669.4500 0.0000 0.000000 6,669.45 0.00 0.00 SHARES DUE 3/20/2022$0.00109/PV ON 6,125,000.00 PV DUE 3/20/22 03/23/2022 3137EAEX3 INTEREST EARNED ON F H L M C M T N 0.375% 9/23/25$1 PV ON 7660000.0000 0.0000 0.000000 14,362.50 0.00 0.00 SHARES DUE 3/23/2022 03/23/2022 4581XODZ8 INTEREST EARNED ON INTER AMER BK M T N 0.500% 9/23/24$1 PV ON 0.0000 0.000000 26,937.50 0.00 0.00 10775000.0000 SHARES DUE 3/23/2022 03/25/2022 03215PFN4 INTEREST EARNED ON AMRESCO 1.05169% 6/25/29$1 PV ON 104.3100 0.0000 0.000000 104.31 0.00 0.00 SHARES DUE 3/25/2022$0.00088/PV ON 119,021.64 PV DUE 3/25/22 03/25/2022 09690AAC7 INTEREST EARNED ON BMW VEHICLE LEASE 0.330%12/26/24$1 PV ON 569.2500 0.0000 0.000000 569.25 0.00 0.00 SHARES DUE 3/25/2022$0.00027/PV ON 2,070,000.00 PV DUE 3/25/22 03/25/2022 05601XAC3 INTEREST EARNED ON BMW VEHICLE LEASE 1.100% 3/25/25$1 PV ON 2200.0000 0.0000 0.000000 2,200.00 0.00 0.00 SHARES DUE 3/25/2022$0.00092/PV ON 2,400,000.00 PV DUE 3/25/22 03/25/2022 3137BFE98 INTEREST EARNED ON F H L B GTD REMIC 3.171%10/25/24$1 PV ON 13212.5000 0.0000 0.000000 13,212.50 0.00 0.00 SHARES DUE 3/25/2022$0.00264/PV ON 5,000,000.00 PV DUE 3/25/22 19 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 03/25/2022 31394JY35 INTEREST EARNED ON F H L M C MLTCL MT 9.50001% 9/25/43$1 PV ON 2475.5800 0.0000 0.000000 2,475.58 0.00 0.00 SHARES DUE 3/25/2022$0.00542/PV ON 457,031.47 PV DUE 3/25/22 03/25/2022 3137BSRE5 INTEREST EARNED ON F H L M C MLTCL MTG 3.120% 9/25/26$1 PV ON 13000.0000 0.0000 0.000000 13,000.00 0.00 0.00 SHARES DUE 3/25/2022$0.00260/PV ON 5,000,000.00 PV DUE 3/25/22 03/25/2022 31371 NUC7 INTEREST EARNED ON F N M A#257179 4.500% 4/01/28$1 PV ON 24.0600 SHARES 0.0000 0.000000 24.06 0.00 0.00 DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31376KT22 INTEREST EARNED ON F N M A#357969 5.000% 9/01/35$1 PV ON 229.3100 0.0000 0.000000 229.31 0.00 0.00 SHARES DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31403DJZ3 INTEREST EARNED ON F N M A#745580 5.000% 6/01/36$1 PV ON 211.4800 0.0000 0.000000 211.48 0.00 0.00 SHARES DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31403GXF4 INTEREST EARNED ON F N M A#748678 5.000% 10/01/33$1 PV ON 3.2500 SHARES 0.0000 0.000000 3.25 0.00 0.00 DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31406PQY8 INTEREST EARNED ON F N M A#815971 5.000% 3/01/35$1 PV ON 322.2100 0.0000 0.000000 322.21 0.00 0.00 SHARES DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31406XWT5 INTEREST EARNED ON F N M A#823358 1.966% 2/01/35$1 PV ON 75.1900 SHARES 0.0000 0.000000 75.19 0.00 0.00 DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31407BXH7 INTEREST EARNED ON F N M A#826080 5.000% 7/01/35$1 PV ON 43.0000 SHARES 0.0000 0.000000 43.00 0.00 0.00 DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31410F4V4 INTEREST EARNED ON F N M A#888336 5.000% 7/01/36$1 PV ON 351.1700 0.0000 0.000000 351.17 0.00 0.00 SHARES DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 3138EG6F6 INTEREST EARNED ON F N M A#AL0869 4.500% 6/01/29$1 PV ON 17.4300 SHARES 0.0000 0.000000 17.43 0.00 0.00 DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31417YAY3 INTEREST EARNED ON F N M A#MA0022 4.500% 4/01/29$1 PV ON 29.8400 0.0000 0.000000 29.84 0.00 0.00 SHARES DUE 3/25/2022 FEBRUARY FNMA DUE 3/25/22 03/25/2022 31397QREO INTEREST EARNED ON F N M A GTD REMIC 2.472% 2/25/41 $1 PV ON 65.2400 0.0000 0.000000 65.24 0.00 0.00 SHARES DUE 3/25/2022$0.00072/PV ON 90,311.73 PV DUE 3/25/22 03/29/2022 912828WUO BOOK VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 53040.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 03/29/2022 912828WUO FED BASIS OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 53040.00 UNITS 0.0000 0.000000 0.00 53,040.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 03/29/2022 912828WUO PAR VALUE OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 53040.0000 UNITS 53,040.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 03/29/2022 912828WUO STATE COST OF U S TREASURY I P S 0.125% 7/15/24 ADJUSTED BY 53040.00 UNITS 0.0000 0.000000 0.00 0.00 0.00 INCREASE TO ADJUST FOR CHANGE IN CPI 03/31/2022 91282CAM3 INTEREST EARNED ON U S TREASURY NT 0.250% 9/30/25$1 PV ON 6500000.0000 0.0000 0.000000 8,125.00 0.00 0.00 SHARES DUE 3/31/2022 03/31/2022 91282CBT7 INTEREST EARNED ON U S TREASURY NT 0.750% 3/31/26$1 PV ON 10000000.0000 0.0000 0.000000 37,500.00 0.00 0.00 SHARES DUE 3/31/2022 03/31/2022 912828YH7 INTEREST EARNED ON U S TREASURY NT 1.500% 9/30/24$1 PV ON 14000000.0000 0.0000 0.000000 105,000.00 0.00 0.00 SHARES DUE 3/31/2022 20 of 21 Table of Contents U.S. Bank Transaction History 01/01/22 - 03/31/22 Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss 03/31/2022 9128284D9 INTEREST EARNED ON U S TREASURY NT 2.500% 3/31/23$1 PV ON 10000000.0000 0.0000 0.000000 125,000.00 0.00 0.00 SHARES DUE 3/31/2022 03/31/2022 912828Z78 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 1.500% 1/31/27 0.0000 0.000000 -9,779.01 0.00 0.00 03/31/2022 91282CBG5 RECEIVED ACCRUED INTEREST ON SALE OF U S TREASURY NT 0.125% 1/31/23 0.0000 0.000000 611.19 0.00 0.00 TOTAL OTHER TRANSACTIONS 138,736.0000 -71,739,651.79 199,576.00 0.00 21 of 21 Table of Contents Callan March 31,2022 Orange County Sanitation District Investment Measurement Service Quarterly Review Information contained herein includes confidential,trade secret and proprietary information.Neither this Report nor any specific information contained herein is to be used other than by the intended recipient for its intended purpose or disseminated to any other person without Callan's permission. Certain information herein has been compiled by Callan and is based on information provided by a variety of sources believed to be reliable for which Callan has not necessarily verified the accuracy or completeness of or updated.This content may consist of statements of opinion,which are made as of the date they are expressed and are not statements of fact.This content is for informational purposes only and should not be construed as legal or tax advice on any matter.Any decision you make on the basis of this content is your sole responsibility.You should consult with legal and tax advisers before applying any of this information to your particular situation. Past performance is no guarantee of future results. For further information, please see the Appendix section in your investment measurement service quarterly review report for Important Information and Disclosures. Table of Contents Orange County Sanitation District Executive Summary for Period Ending March 31, 2022 Asset Allocation March 31, 2022 December 31, 2021 Market Value Weight Net New Inv. Inv. Return Market Value Weight Domestic Fixed Income Long Term Operating Fund* 720,017,773 82.21% 0 (22,052,349) 742,070,123 76.27% Liquid Operating Nbnies* 155,809,200 17 79% 75 000,000) (52,775) 230,861,976 23 73% Total Fund $875,826,974 100.0% $(75,000,000) $(22,105.125) $972.932,098 100.0% Performance Last Last Last Last Last 3 5 7 Quarter Year Years Years Years Domestic Fixed Income Long Term Operating Fund (2.97%) (3.26%) 1.22% 1.48% 1.37% Chandler (2.97%) (3.26%) 1.22% 1.48% 1.37% Blmbg Govt/Cred 1-5 Year Idx (3.45%) (3.84%) 1.14% 1.42% 1.32% MIL 1-5 Govt/Corp (3.49%) (3.83%) 1.16% 1.45% 1.35% Liquid Operating Monies^ (0.03%) 0.08% 0.91% 1.20% 0.97% Chandler (0.03%) 0.08% 0.91% 1.20% 0.97% Citigroup 3-Month Treasury Bill 0.03% 0.06% 0.76% 1.09% 0.84% Total Fund (2.41%) (2.62%) 1.17% 1.43% 1.26% Target* (2.79%) (3.06%) 1.08% 1.38% 1.25% *Current Quarter Target=80.0%ML 1-5 Govt/Corp and 20.0% FTSE 3mo T-Bills. ^Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Recent Developments During the quarter, $75 million was withdrawn from the Liquid Operating Monies. Organizational Issues N/A Fixed Income Market Snapshot The Bloomberg U.S. Aggregate Bond Index sank 5.9% in 1Q, the third-worst quarter since the index's inception in 1976 (the other two being in 1980). Rates rose sharply on worries over inflation and expectations for Fed rate hikes. The 10-year U.S. Treasury closed the quarter at 2.32%, up from 1.52% at year-end, and reached 2.48% just a week before the quarter closed. Notably, the yield curve flattened meaningfully and as of quarter-end the relationship between the 5-year yield (2.42%) and the 10-year yield (2.32%) was inverted. Yield curve inversions have historically been a reasonably good predictor of a coming recession, and this recent inversion has thus garnered much attention. Spread sectors broadly underperformed U.S. Treasuries, but the bulk of the negative return was attributable to rising rates. Ten-year breakeven spreads, a measure of expected inflation, widened to 2.84% as of quarter-end, up Table of Contents CallanOrange County Sanitation District from 2.56% as of year-end. High yield corporates (Bloomberg High Yield: -4.8%) fared a bit better given less sensitivity to interest rates and a relatively high energy sector weighting. Investment Manager Performance The Long Term Operating Fund recorded a loss of 2.97% in the first quarter, which outperformed the 3.49% decline of the ICE Govt/Cred 1-5 Year Index. Over the trailing one-year period, the portfolio also outperformed its benchmark, declining 3.26% versus a 3.83% loss for the index. The fund ranks in the bottom quartile among peers over the trailing one-, three-, five-, and seven-year periods. Rising interest rates in the first quarter drove negative absolute performance. Credit spreads also widened, which further contributed to losses. Favorable credit selection and a duration underweight supported positive relative performance against the benchmark. The manager increased its allocations to the Corporate and ABS sectors by 3.6% and 3.7% respectively. Duration increased to 2.46 from 2.37 at year-end. The portfolio had less than 30% invested in credit (26%) and less than the permitted 20% invested in the combination of asset-backed securities (10%), commercial mortgage backed securities (0%), and CMOs (2%) as of March 31, 2022 (see page 20). The Liquid Operating Portfolio declined by 3 basis points in the first quarter, trailing the Citigroup 3-Month Treasury Bill Index's return of 0.03%. Over the trailing year, the fund has returned 0.08%, slightly ahead of the benchmark index. Cordially, Alex Ford Vice President 2 Table of Contents Table of Contents March 31, 2022 Capital Market Review 1 Active Management Overview Market Overview 7 Domestic Fixed Income 8 Asset Allocation Investment Manager Asset Allocation 10 Investment Manager Returns 11 Asset Class Risk and Return 15 Manager Analysis Chandler-Long Term Operating Fund 17 Chandler-Liquid Operating Money 21 Callan Research/Education 23 Definitions 26 Disclosures 31 Callan Table of Contents Capital Market Review Table of Contents Capital Markets Overview 1 Q22 U.S. EQUITY U.S. Equity: Quarterly Returns The S&P 500 Index fell 4.6%in 1Q22, but was down more than 12%early in March before rallying into quarter-end. Russell 3000 -5.3% Value stocks sharply outpaced growth across capitalizations, with the spread exceeding 10% in both mid and small caps Russell 1000 -5.1% and just over 8%in large caps. Energy(+39%)was the best-performing sector given a 33% Russell 1000 Growth -9.0% spike in WTI crude oil prices. Commodity-linked Materials and Utilities sectors also performed well on a relative basis. Russell 1000 Value -0.7% 1 Communication Services(-12%), Consumer Discretionary (-9%), and Information Technology(-8%)were the worst- S&P 500 -4.6% performing sectors. Uncertainty over rates, inflation,and geopolitical tensions all Russell Midcap -5.7% contributed to a volatile and risk-averse environment. Interestingly,the Russell Dynamic Index(-4.3%) Russell 2500 -5.8% outperformed the Russell Defensive Index(-5.9%)during the 1Q downturn. Russell 2000 -7.5% Historical small cap discount relative to large cap The Russell 2000 Index continues to underperform the U.S. Equity: One-Year Returns Russell 1000 Index; the small cap index now trails large cap by almost 1,660 basis points cumulatively on a three-year Russell 3000 11.9% basis and over 2,360 bps on a five-year basis. Index concentration Russell 1000 13.3% Index concentration continues despite negative 1 Q coreIq index returns and falling earnings contribution. Russell 1000 Growth 15.0% Among mega cap tech stocks,Apple and Microsoft now Russell 1000 Value 11.7% seen as providing downside protection Index concentration continues to cause active managers S&P 500 15.6% significant headwinds in the large cap growth space—the Russell 1000 Growth Index has nearly 50%of its Russell Midcap 6 9% capitalization in just the top 10 names(Apple and Microsoft are greater than 10%weights). Russell 2500 10.3% Russell 2000 -5.8% . Sources:FTSE Russell,S&P Dow Jones Indices S&P Sector Returns, Quarter Ended 3/31/22 39.0% 4.8% -1.0% -1.5% -2.6% -2.4% -2.4% -9 ° -8.4% 6.2% .0/o Communication Consumer Consumer Energy Financials Health Care Industrials Information Materials Real Estate Utilities Services Discretionary Staples Technology Source:S&P Dow Jones Indices Callan Table of Contents Capital Markets Overview (continued) 1Q22 GLOBAL EQUITY Global Equity: Quarterly Returns War in Ukraine stoked market volatility MSCI EAFE -5.9% In the aftermath of invading Ukraine, Russia faced condemnation and sanctions that crippled its stocks, bonds, MSCI ACWI -5.4% and currency and shocked the global markets. MSCI World -5.2% The fog of war exacerbated inflationary concerns and led to a surge in energy prices, as Russia is the second-largest MSCI ACWI ex USA -5.4% natural gas provider and third-largest oil producer in the world. MSCI World ex USA -4.8% Energy exporters notably outperformed importers given the MSCI ACWI ex USA SC -6.5% soaring prices. MSCI World ex USA SC -7.2% Fears of COVID-19 MSCI Europe ex UK -10.0% A resurgence of COVID-19 cases in Europe and Asia, specifically in China,weighed on the global recovery. MSCI United Kingdom , 1.8% China's zero-COVID policy has injected doubt into its 2022 MSCI Pacific ex Japan ■ 3.8% projected GDP growth of 5.5%,which is already its lowest annual target in more than 25 years. MSCI Japan -6.6% _ Growth vs.value MSCI Emerging Markets -7.0% _ Value sectors such as Energy, Materials, and Financials MSCI China -14.2% were in favor relative to growth sectors like Consumer Discretionary and Information Technology,due to recession MSCI Frontier Markets -7.9% _ fears and a tightening monetary cycle. However, Energy was the worst performer within emerging markets due to the removal of Russia from indices. Global Equity: One-Year Returns U.S. dollar vs. other currencies MSCI EAFE 1.2% With the uncertainty of war,the U.S. dollar strengthened against other major currencies,including the yen, as the MSCI ACWI 7.3% Bank of Japan maintained an easing policy. MSCI World 10.1% Value is attractive relative to history MSCI ACWI ex USA -1.5% There are attractive valuations in multiple regions. MSCI World ex USA 3.0% Growth relative to value is more vulnerable as interest rates normalize. MSCI ACWI ex USA SC 0.0% Global recovery from COVID and deficit in Energy should MSCI World ex USA SC -1.7% support value. Value sectors are underexposed in international indices MSCI Europe ex UK 0.6% relative to history. MSCI United Kingdom 13.6% Value outperforms in "heating up"inflationary environments. MSCI Pacific ex Japan 3.8% MSCI Japan -6.5% MSCI Emerging Markets -11.4% MSCI China -32.5% MSCI Frontier Markets 9.4% Source: MSCI Callan Table of Contents Capital Markets Overview (continued) 1Q22 U.S. FIXED INCOME U.S. Fixed Income: Quarterly Returns Bonds hit hard as rates rose sharply Bloomberg Aggregate worst quarterly return since 1980 Bloomberg Gov/Cr 1-3 Yr -2.5% Curve flattened;as of 3/31 5-year U.S. Treasury yield was Bloomberg Interm Gov/Cr -4.5% 10 bps higher than 10-year UST yield (2.42%vs. 2.32%). TIPS topped nominal Treasuries,and 10-year breakeven Bloomberg Aggregate -5.9% spread widened to 2.84%from 2.56%at year-end. Fed raised rates by 25 bps,with many more hikes expected Bloomberg Long Gov/Cr -11.0% this year. Bloomberg Universal -6.1% Credit sectors underperformed Investment-grade corporates underperformed duration- CS Leveraged Loans -0.1% matched U.S.Treasuries by 145 bps, RMBS by 71 bps. High yield"benefited"from less interest rate sensitivity and Bloomberg High Yield -4.8% relatively higher exposure to the energy sector;excess return vs. U.S. Treasuries was 92 bps. Bloomberg TIPS -3.0% Defaults remain low(less than 1%)and yield breeched 6%. Leveraged loans performed relatively well U.S. Fixed Income: One-Year Returns Helped by floating rate coupons/low duration -Securitized sectors also performed well Bloomberg Gov/Cr 1-3 Yr -2.9% Consumer ABS was the best within the sector due to its Bloomberg Interm Gov/Cr -4.1% shorter duration profile and solid consumer spending. Conduit CMBS traded in line as the economy re-opens. Bloomberg Aggregate -4.2% Agency MBS saw duration extend by 0.4 year due to higher Bloomberg Long Gov/Cr 3.1% rates. The U.S. yield curve"bear-flattened"as the Fed pivoted to Bloomberg Universal -4.2% focus on higher-than-expected inflation. The U.S. yield curve(2Y/10Y) inverted on the last(intra)day CS Leveraged Loans 3.2% of the quarter,which has not been seen since Aug. 2019. Despite rates moving higher this year, could the recent back- Bloomberg High Yield -0.7% ' up indicate a new regime of higher rates,or is the market simply trading to the higher end of this secular range that Bloomberg TIPS 4.3% has persisted for nearly 40 years? MUNICIPAL BONDS U.S.Treasury Yield Curves Municipal bond returns hurt by rising rates t 3/31/22 —6—12/31/21 3/31/21 Bloomberg Municipal Bond Index suffered its worst quarterly 3% return since 3Q81. Lower quality underperformed: BBB-7.1%;AAA-6.1% 2% As with U.S.Treasuries,the muni yield curve flattened with 2-year yields rising more than 10-year and 30-year yields 1% 0% 0 5 10 15 20 25 30 Maturity(Years) Sources:Bloomberg,Credit Suisse Callan Table of Contents Capital Markets Overview (continued) 1Q22 MUNICIPAL BONDS (cont.) Global Fixed Income: Quarterly Returns Valuations relatively attractive 10-year AAA Muni/1 0-year U.S.Treasury ratio=94% Bloomberg Global Aggregate -6.2% - Up from 68%at year-end; 10-year median =90% Bloomberg Global Agg(hdg) -5.0% - Municipal Bond Index after-tax yield =4.4% (tax rate of 37%) Supply/demand Bloomberg Global High Yield -5.7% - Heavy outflows in 1 Q22 following record inflows in 2021 Bloomberg Global Agg ex US -6.1% - $22 billion in outflows in 1 Q(one-fifth of 2021 inflows) Supply down modestly vs. 1Q21 JPM EMBI Global Diversified -10.0% Credit quality remains stable to improving JPM GBI-EM Global Diversified -6.5% - Tax revenues continued to rise and reserve levels are high Upgrades outpaced downgrades JPM EMBI GI Div/JPM GBI-EM GI Div -8.2% GLOBAL FIXED INCOME JPM CEMBI -10.3% Negative returns driven by broad interest rate increases U.S. dollar appreciated against the Japanese yen, euro, and Global Fixed Income: One-Year Returns British pound. Emerging market debt was not spared Bloomberg Global Aggregate -6.4% JPM Global Diversified hurt by rising rates in the U.S. GBI-EM hurt by rising local rates, but currency appreciation Bloomberg Global Agg(hdg) -3.9% helped in Latin America and Africa. Bloomberg Global High Yield -3.8% Russia removed from indices at a price of$0(-100% return). Bloomberg Global Agg ex US -7.9% JPM EMBI Global Diversified -7.4% JPM GBI-EM Global Diversified -8.5% JPM EMBI GI Div/JPM GBI-EM GI Div -8.0% JPM CEMBI -9.8% Change in 10-Year Global Government Bond Yields 4Q21 to 1 Q22 U.S.Treasury •. Germany .. U.K. .. Canada •• .• Japan = 15 bps Sources:Bloomberg,JP Morgan Callan Table of Contents Active Management Overview Table of Contents Market Overview Active Management vs Index Returns Market Overview The charts below illustrate the range of returns across managers in Callan's Separate Account database over the most recent one quarter and one year time periods. The database is broken down by asset class to illustrate the difference in returns across those asset classes. An appropriate index is also shown for each asset class for comparison purposes. As an example, the first bar in the upper chart illustrates the range of returns for domestic equity managers over the last quarter. The triangle represents the S&P 500 return. The number next to the triangle represents the ranking of the S&P 500 in the Large Cap Equity manager database. Range of Separate Account Manager Returns by Asset Class One Quarter Ended March 31, 2022 10% 5% (34)47777� 0% (45) (55) (44) ♦ (69)� (79)F7 (10%) (15%) (20%) Large Cap Small Cap Non-US Domestic Non-US Real Equity Equity Equity Fixed Income Fixed Income Estate vs vs vs vs vs vs S&P 500 Russell 2000 MSCI EAFE Blmbg Aggr Bd Citi Non-US Govt NCREIF Index 10th Percentile 2.28 (1.01) (1.92) (5.50) (5.14) 6.95 25th Percentile (0.29) (3.30) (4.36) (5.63) (5.38) 5.86 Median (5.23) (7.04) (6.66) (5.81) (5.95) 4.91 75th Percentile (9.82) (11.34) (10.40) (5.98) (6.65) 4.54 90th Percentile (12.60) (13.96) (12.95) (6.24) (9.97) 3.95 Index ♦ (4.60) (7.53) (5.91) (5.93) (7.13) 5.33 Range of Separate Account Manager Returns by Asset Class One Year Ended March 31, 2022 40% 30% 20% (48) (17) � 10% N 0% 34 (77) ♦ (82) (20%) Large Cap Small Cap Non-US Domestic Non-US Real Equity Equity Equity Fixed Income Fixed Income Estate vs vs vs vs vs vs S&P 500 Russell 2000 MSCI EAFE Blmbg Aggr Bd Citi Non-US Govt NCREIF Index 10th Percentile 16.66 10.09 3.78 (3.24) (6.81) 32.22 25th Percentile 14.88 5.98 2.03 (3.45) (6.95) 27.24 Median 12.89 0.93 (1.00) (3.79) (7.95) 21.34 75th Percentile 9.21 (4.51) (3.95) (4.01) (9.92) 13.44 90th Percentile 3.25 (11.68) (7.07) (4.25) (12.03) 9.49 Index ♦ 15.65 (5.79) 1.16 (4.15) (10.36) 21.87 CallanOrange County Sanitation District 7 Table of Contents Domestic Fixed Income Active Management Overview The Bloomberg US Aggregate Bond Index sank 5.9% over the quarter, the third-worst quarter since the indexs inception in 1976 (the other two being in 1980). Rates rose sharply on worries over inflation and expectations for Fed rate hikes. The 10-year U.S. Treasury closed the quarter at 2.32%, up from 1.52% at year-end. Notably, the yield curve flattened meaningfully and as of quarter-end the relationship between the 5-year yield (2.42%) and the 10-year yield (2.32%) was inverted. Against this backdrop, TIPS (Bloomberg TIPS: -3.0%) did relatively well as inflation expectations rose. High yield corporates (Bloomberg High Yield: -4.8%) outperformed investment grade corporates given less sensitivity to interest rates, and bank loans (S&P LSTA Leveraged Loan: -0.1%) were helped by their floating rate coupons and low duration. A Separate Account Style Group Median Returns for Quarter Ended March 31, 2022 Blmbg Aggregate: (5.93%) 0% Blmbg High Yield: (4.84%) Blmbg Long Gov/Cred: (10.95%) (2.43) (5%) --------------------(4�)--- ------------- (4.11 )---------- (5.81 ) (5.83) P L (10%) ----------------------------------------------- (10.87) (15%) Defensive Intermed Core Core Plus Extended Bank High Yield Bond Maturity Loans Separate Account Style Group Median Returns for One Year Ended March 31, 2022 Blmbg Aggregate: (4. 0) 6% Blmbg High Yield: (0.66%) Blmbg Long Gov/Cred: (3.11%) 4% 3.42 2% ---------------------------------------------------------- ----------------- W C 0.28 L 0% N� I.L (2%) ------- ---------------------------- (2.49) is (2.93) (4%) ---------------------------------------- (3.29)----------------------------------------- (3.84) (3.79) (6%) Defensive Intermed Core Core Plus Extended Bank High Yield Bond Maturity Loans Callan Orange County Sanitation District 8 Table of Contents Asset Allocation Table of Contents Investment Manager Asset Allocation The table below contrasts the distribution of assets across the Fund's investment managers as of March 31, 2022, with the distribution as of December 31, 2021. The change in asset distribution is broken down into the dollar change due to Net New Investment and the dollar change due to Investment Return. Asset Distribution Across Investment Managers March 31, 2022 December 31,2021 Market Value Weight Net New Inv. Inv. Return Market Value Weight Domestic Fixed Income Long Term Operating Fund` 720,017,773 82.21% 0 (22,052,349) 742,070,123 76.27% Liquid Operating Monies' 155,809,200 17.79% (75,000,000) (52,775) 230,861,976 23.73% Total Fund $875,826,974 100.0% $(75,000,000) $(22,105,125) $972,932,098 100.0% "Chandler replaced PIMCO during the 4th quarter of 2014.Assets were transferred in-kind as of 12/01/2014. Callan Orange County Sanitation District 10 Table of Contents Investment Manager Returns The table below details the rates of return for the Fund's investment managers over various time periods ended March 31, 2022. Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund's accounts for that asset class. Returns for Periods Ended March 31, 2022 Last Last Last Last Last 3 5 7 Quarter Year Years Years Years Domestic Fixed Income Long Term Operating Fund (2.97%) (3.26%) 1.22% 1.48% 1.37% Chandler (2.97%) (3.26%) 1.22% 1.48% 1.37% Blmbg Govt/Cred 1-5 Year Idx (3.45%) (3.84%) 1.14% 1.42% 1.32% ML 1-5 Govt/Corp (3.49%) (3.83%) 1.16% 1.45% 1.35% Liquid Operating Monies^ (0.03%) 0.08% 0.91% 1.20% 0.97% Chandler (0.03%) 0.08% 0.91% 1.20% 0.97% Citigroup 3-Month Treasury Bill 0.03% 0.06% 0.76% 1.09% 0.84% Total Fund (2.41%) (2.62%) 1.17% 1.43% 1.26% Target* (2.79%) (3.06%) 1.08% 1.38% 1.25% Current Quarter Target= 80.0% ICE Corp/Gov 1-5 Yr and 20.0% FTSE 3 Mo T-Bill. ^Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Callan Orange County Sanitation District 11 Table of Contents Investment Manager Returns The table below details the rates of return for the Fund's investment managers over various time periods ended March 31, 2022. Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund's accounts for that asset class. Returns for Periods Ended March 31, 2022 Last Last Last 10 15 26-1/2 Years Years Years Domestic Fixed Income Long Term Operating Fund 1.32% 2.59% 3.88% Blmbg Govt/Cred 1-5 Year Idx 1.36% 2.44% 3.71% ML 1-5 Govt/Corp 1.41% 2.47% 3.74% Liquid Operating Monies^ 0.72% 0.97% 2.39% Citigroup 3-Month Treasury Bill 0.60% 0.77% 2.11% Total Fund 1.21% 2.28% 3.64% Target' 1.25% 2.13% 3.42% Current Quarter Target= 80.0% ICE Corp/Gov 1-5 Yr and 20.0% FTSE 3 Mo T-Bill. ^Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Callan Orange County Sanitation District 12 Table of Contents Investment Manager Returns The table below details the rates of return for the Fund's investment managers over various time periods. Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund's accounts for that asset class. 12/2021- 3/2022 2021 2020 2019 2018 Domestic Fixed Income Long Term Operating Fund (2.97%) (0.79%) 4.42% 4.70% 1.60% Chandler (2.97%) (0.79%) 4.42% 4.70% 1.60% Blmbg Govt/Cred 1-5 Year Idx (3.45%) (0.97%) 4.71% 5.01% 1.38% ML 1-5 Govt/Corp (3.49%) (0.87%) 4.65% 5.08% 1.40% Liquid Operating Monies^ (0.03%) 0.15% 0.84% 2.39% 1.90% Chandler (0.03%) 0.15% 0.84% 2.39% 1.90% Citigroup 3-Month Treasury Bill 0.03% 0.05% 0.58% 2.25% 1.86% Total Fund (2.41%) (0.61%) 3.73% 4.26% 1.72% Target* (2.79%) (0.68%) 3.82% 4.51% 1.49% Current Quarter Target= 80.0% ICE Corp/Gov 1-5 Yr and 20.0% FTSE 3 Mo T-Bill. ^Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Callan Orange County Sanitation District 13 Table of Contents Investment Manager Returns The table below details the rates of return for the Fund's investment managers over various time periods. Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund's accounts for that asset class. 12/2021- 3/2022 2021 2020 2019 2018 Domestic Fixed Income Long Term Operating Fund (2.97%) (0.79%) 4.42% 4.70% 1.60% Blmbg Govt/Cred 1-5 Year Idx (3.45%) (0.97%) 4.71% 5.01% 1.38% ML 1-5 Govt/Corp (3.49%) (0.87%) 4.65% 5.08% 1.40% Liquid Operating Monies^ (0.03%) 0.15% 0.84% 2.39% 1.90% Citigroup 3-Month Treasury Bill 0.03% 0.05% 0.58% 2.25% 1.86% Total Fund (2.41%) (0.61%) 3.73% 4.26% 1.72% Target* (2.79%) (0.68%) 3.82% 4.51% 1.49% Current Quarter Target= 80.0% ICE Corp/Gov 1-5 Yr and 20.0% FTSE 3 Mo T-Bill. ^Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Callan Orange County Sanitation District 14 Table of Contents Asset Class Risk and Return The charts below show the seven year annualized risk and return for each asset class component of the Total Fund. The first graph contrasts these values with those of the appropriate index for each asset class. The second chart contrasts them with the risk and return of the median portfolio in each of the appropriate CAI comparative databases. In each case, the crosshairs on the chart represent the return and risk of the Total Fund. Seven Year Annualized Risk vs Return Asset Classes vs Benchmark Indices 1.40% 1.30% 1.20% v� 1.10% c N 1.00% 0.90% • 0.80% 0.70% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% 1.6% 1.8% 2.0% 2.2% 2.4% Standard Deviation Seven Year Annualized Risk vs Return Asset Classes vs Asset Class Median 1.8% 1.6% 1.4% L 1.2% N� LL 1.0% 0.8% 0.6% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% 1.6% 1.8% 2.0% Standard Deviation Callan Orange County Sanitation District 15 Table of Contents Manager Analysis Table of Contents Long Term Operating Fund Period Ended March 31, 2022 Investment Philosophy Chandler Asset Management's Short Term Bond strategy is driven by quantitative models and focuses on active duration management, sector selection and term structure. The strategy seeks to achieve consistent above-benchmark returns with low volatility relative to the style's performance benchmark. The firm has a unique focus on high quality fixed income management, and places risk control as a higher objective than return. Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Quarterly Summary and Highlights Quarterly Asset Growth • Long Term Operating Fund's portfolio posted a (2.97)% Beginning Market Value $742,070,123 return for the quarter placing it in the 89 percentile of the Net New Investment $0 Callan Short Term Fixed Income group for the quarter and in the 92 percentile for the last year. Investment Gains/(Losses) $-22,052,349 • Long Term Operating Fund's portfolio outperformed the ICE Ending Market Value $720,017,773 Corp/Gov 1-5 Yr by 0.52% for the quarter and outperformed the ICE Corp/Gov 1-5 Yr for the year by 0.57%. Performance vs Callan Short Term Fixed Income(Gross) 6% 4% 36)®Bl3 3 2% 84)=A�7 `�4)"A7 4)"6 17 ��0)F"BB �5) A(6 0% (2%) (4%) 99) ♦ ■ B�y A0) ♦ ■ Bl9 0) (6%) Last Quarter Last Last 3 Years Last 5 Years Last 7-1/4 Last 7 Years Last 10 Years Last 26-1/2 Year Years Years 10th Percentile (1.55) (1.37) 1.98 2.17 2.08 2.02 2.09 4.09 25th Percentile (2.24) (2.18) 1.67 1.92 1.87 1.83 1.89 3.83 Median (2.43) (2.49) 1.43 1.69 1.64 1.57 1.59 3.61 75th Percentile (2.59) (2.81) 1.26 1.51 1.42 1.37 1.31 3.40 90th Percentile (2.98) (3.18) 1.05 1.30 1.24 1.19 1.12 3.12 Long Term Operating Fund •A (2.97) (3.26) 1.22 1.48 1.43 1.37 1.32 3.88 Blmbg Govt/Cred 1-5 Year Idx ■B (3.45) (3.84) 1.14 1.42 1.41 1.32 1.36 3.71 ICE Corp/Gov 1-5 Yr ♦ (3.49) (3.83) 1.16 1.45 1.44 1.35 1.41 3.74 Callan Short Term Fixed Income(Gross) Relative Return vs ICE Corp/Gov 1-5 Yr Annualized Seven Year Risk vs Return 0.8%- 3.5% 0.6%----- ----- ----- ----- ------------------ 3.0 0.4%----- ----- ----- ----- ------ ---------- F- 2.5% N 0.2% � LYoil F- 0.0% 2.0% (0.2%)----- - -- ----- ----- ------- • • ••- • • --------- 1.5% ry • • • (0.4%)-------------------------------- --------- (0.6%) - ------------------ -. (0.8%)- 0.5% 2015 2016 2017 2018 2019 2020 2021 22 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 Standard Deviation - Long Term Operating Fund Callan Orange County Sanitation District 17 Table of Contents Long Term Operating Fund Return Analysis Summary Return Analysis The graphs below analyze the manager's return on both a risk-adjusted and unadjusted basis. The first chart illustrates the manager's ranking over different periods versus the appropriate style group. The second chart shows the historical quarterly and cumulative manager returns versus the appropriate market benchmark. The last chart illustrates the manager's ranking relative to their style using various risk-adjusted return measures. Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Performance vs Callan Short Term Fixed Income(Gross) 8% ° B( 9®A� 5; o° 25® 2% A 5 87P6 6 *B 76®B 84013 0 B 1) 0) 0 ® 94 B 9 •A(100) (4) 997�13 9; (6%) 12/21-3122 2021 2020 2019 2018 2017 2016 2015 2014 2013 10th Percentile (1.55) 0.74 5.11 5.47 2.00 2.30 2.82 1.17 1.50 1.20 25th Percentile (2.24) 0.11 4.62 4.95 1.82 1.76 2.19 1.02 1.27 0.80 Median (2.43) (0.22) 3.96 4.52 1.69 1.30 1.55 0.90 1.11 0.65 75th Percentile (2.59) (0.46) 3.58 4.09 1.54 0.95 1.16 0.76 0.87 0.40 90th Percentile (2.98) (0.82) 2.43 3.57 1.33 0.66 1.04 0.62 0.73 0.29 Long Term Operating Fund •A (2.97) (0.79) 4.42 4.70 1.60 1.18 1.58 0.85 1.98 (1.77) Blmbg Govt/Cred 1-5 Year Idx ■B (3.45) (0.97) 4.71 5.01 1.38 1.27 1.56 0.97 1.42 0.28 ICE Corp/Gov 1-5 Yr ♦ (3.49) (0.87) 4.65 5.08 1.40 1.28 1.62 1.05 1.51 0.32 Cumulative and Quarterly Relative Returns vs ICE Corp/Gov 1-5 Yr 1.5%- 3% E 3 1.0%------- -------- ------- -------- -------- ---------------- -------- ---------------- -- 2% N v LY > m CU 5 0.0% 0% LY � i (0.5%)------- -- -- ----- - ---- - ----- --------- ----- ------- ------ -- - (1%) CD X co (1.0%)------- -- ---- ------- -------- -------- ---------------- -------- -- ----------- -- (2%) c 0 � (1.5%)- (3%) 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 22 Long Term Operating Fund Blmbg Govt/Cred 1-5 Year Idx Callan Short Fixed Inc Risk Adjusted Return Measures vs ICE Corp/Gov 1-5 Yr Rankings Against Callan Short Term Fixed Income (Gross) Seven Years Ended March 31, 2022 1.0 0.5 �A(83) A 84 B(89) 0.0 A 73 ■ B(97) (0.5) Alpha Sharpe Excess Return Ratio Ratio 10th Percentile 0.84 0.54 0.51 25th Percentile 0.58 0.46 0.34 Median 0.36 0.38 0.20 75th Percentile 0.17 0.30 0.03 90th Percentile 0.01 0.20 (0.17) Long Term Operating Fund •A 0.08 0.25 0.05 Blmbg Govt/Cred 1-5 Year Idx (0.03) 0.20 (0.28) Callan Orange County Sanitation District 18 Table of Contents Long Term Operating Fund Bond Characteristics Analysis Summary Portfolio Characteristics This graph compares the manager's portfolio characteristics with the range of characteristics for the portfolios which make up the manager's style group. This analysis illustrates whether the manager's current holdings are consistent with other managers employing the same style. Fixed Income Portfolio Characteristics Rankings Against Callan Short Term Fixed Income as of March 31, 2022 5 4 3 (10) (11) (23) (31) (67) 2 (48) (70) 1 0 (1) Average Effective Coupon OA Duration Life Yield Rate Convexity 10th Percentile 2.54 2.94 3.69 2.39 0.09 25th Percentile 2.06 2.61 2.87 2.00 0.05 Median 1.78 2.18 2.66 1.80 0.04 75th Percentile 1.59 1.96 2.38 1.39 0.02 90th Percentile 1.21 1.33 2.07 1.14 (0.07) Long Term Operating Fund • 2.46 2.54 - 1.52 - ICE Corp/Gov 1-5 Yr ♦ 2.57 2.69 2.51 1.83 0.09 Sector Allocation and Quality Ratings The first graph compares the manager's sector allocation with the average allocation across all the members of the manager's style. The second graph compares the manager's weighted average quality rating with the range of quality ratings for the style. Sector Allocation Quality Ratings March 31, 2022 vs Callan Short Term Fixed Income > Trsy 31.8 US Trsy CD 65.3 " AAA ----------------- Corp(incl 144A) 48.9 > 25.8 0 AA+ �20.5 C m Gov Related 129.7 4 8.9 AA (13) ♦ (64) 10.0 Other AA- ABS 13.0 A+ 1.5 CMOs A 0.2 Cash 1 0.8 A Weighted Average 1 CMBS 6.2 Quality Rating 10th Percentile AA+ 25th Percentile AA RMBS 0.1 Median AA 75th Percentile A 90th Percentile A 0% 10% 20% 30% 40% 50% 60% 70% 80% Long Term Operating Fund Callan Short Term Fixed Income Long Term Operating Fund • AA ICE Corp/Gov 1-5 Yr ICE Corp/Gov 1-5 Yr ♦ AA Callan Orange County Sanitation District 19 Table of Contents Long Term Operating Fund Portfolio Characteristics Summary As of March 31, 2022 Portfolio Structure Comparison The charts below compare the structure of the portfolio to that of the index from the three perspectives that have the greatest influence on return. The first chart compares the two portfolios across sectors. The second chart compares the duration distribution. The last chart compares the distribution across quality ratings. Sector Allocation US Trsy US Trsy 32% 65% CMBS 0� 0% ABS 10% AIPAA I Other Corp(inc°I 144A) 26/o 10% CMOs * 9% ov Related 2% Gov Related Corp(incl 144A) 21% Cosh 26% 0/o Long Term Operating Fund ML:Corp/Gov 1-5 Yr Weighted Average: Duration Duration Distribution 0 Long Term Operating Fund: 2.46 80% 0 ML:Corp/Gov 1-5 Yr: 2.57 O70% ------------- ------------- -------------- ------------- ---------------------------- t 60% 61.2 ------------- - -------------- - d 50% ------------- -------------- ------------- ---------------------------- 0 40% ------------- --------37-.0--- ------------- ---------------------------- ------------- 32.8 2 20% -------- - - ------------- ----------------------------- a) 120- 10% .8 - ------------- ---------------------------- 0% 1.9 0.0 0.0 0.0 0.0 0.0 0.0 <1 1-3 3-5 5-7 7-10 >10 Years Duration Weighted Average: Quality Quality Distribution 0 Long Term Operating Fund: AA 100% ML:Corp/Gov 1-5 Yr: AA 0 p 8070 ------- -------- ---------------- -------- ------- - 70.8 60% JLaa-1--2w 61.1 ---------------- -------- ------- -------- -------- ------- -------- 0 40% ------ -------- U 20% a� �1 ------12.4 - ------- -------- -------- ------- -------- ------- 0_ 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 3•2 0.0 0% AAA AA A BBB BB B CCC CC C N/R Quality Rating Callan Orange County Sanitation District 20 Table of Contents Chandler-Liquid Operating Money Period Ended March 31, 2022 Investment Philosophy Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Quarterly Summary and Highlights Quarterly Asset Growth • Liquid Operating Money Net's portfolio posted a (0.06)% Beginning Market Value $230,861,976 return for the quarter placing it in the 71 percentile of the Net New Investment $-75,000,000 Callan Money Market Funds group for the quarter and in the 74 percentile for the last year. Investment Gains/(Losses) $-52,775 • Liquid Operating Money Net's portfolio underperformed the Ending Market Value $155,809,200 Citigroup 3-Month Treasury Bill by 0.09%for the quarter and underperformed the Citigroup 3-Month Treasury Bill for the year by 0.13%. Performance vs Callan Money Market Funds(Net) 3.0% 2.5% 2.0% 21)�(12 1.5% 1.0% 2 zz) (224) (29 25) (27 24) (27 0.5% 21)�(25 0.0% (0.5%) (1.0%) (1.5%) (2.0%) Last Quarter Last Last 3 Years Last 5 Years Last 7-1/4 Last 7 Years Last 10 Years Last 26-1/2 Year Years Years 10th Percentile 0.01 0.03 1.09 1.38 1.26 1.28 1.06 2.29 25th Percentile 0.00 0.02 0.73 1.09 0.81 0.84 0.56 2.08 Median 0.00 0.01 0.59 0.88 0.63 0.65 0.44 1.95 75th Percentile (0.37) (0.37) 0.52 0.76 0.53 0.55 0.38 1.85 90th Percentile (1.13) (1.07) 0.43 0.61 0.43 0.44 0.31 1.74 Liquid Operating Money Net • (0.06) (0.07) 0.76 1.05 0.79 0.82 0.57 2.24 Citigroup 3-Month Treasury Bill 0.03 0.06 0.76 1.09 0.81 0.84 0.60 2.11 Relative Returns vs Callan Money Market Funds (Net) Citigroup 3-Month Treasury Bill Annualized Seven Year Risk vs Return 0.40%- 3.5% 3.0% 0.30%----- ----- ----- ----- ------------------ 2.5 E 0.20%----- 2.0% N � tY 1.5% 0.10%------- 1.0% (6 lY 0.00% 0.5% • • ••- • • (0.10%) 0.0% - ------- --------- (0.5%) (0.20%)- (1.0%) 2015 2016 2017 2018 2019 2020 2021 22 0 1 2 3 4 5 6 7 Standard Deviation - Liquid Operating Money Net Callan Orange County Sanitation District 21 Table of Contents Liquid Operating Money Net Return Analysis Summary Return Analysis The graphs below analyze the manager's return on both a risk-adjusted and unadjusted basis. The first chart illustrates the manager's ranking over different periods versus the appropriate style group. The second chart shows the historical quarterly and cumulative manager returns versus the appropriate market benchmark. The last chart illustrates the manager's ranking relative to their style using various risk-adjusted return measures. Assets were transferred in kind to Chandler on 12/1/2014. Previous performance reflects PIMCO. Performance vs Callan Money Market Funds(Net) 4% 3% 2% 27 28 12"23 0 1/0 26 24 30®35 33 30 0% t1%) (2%) 12/21-3122 2021 2020 2019 2018 2017 2016 2015 2014 2013 10th Percentile 0.01 0.19 1.70 3.20 1.89 1.42 1.32 0.28 0.35 0.30 25th Percentile 0.00 0.03 0.62 2.32 1.72 0.91 0.40 0.06 0.03 0.04 Median 0.00 0.01 0.34 1.96 1.53 0.61 0.14 0.01 0.01 0.01 75th Percentile (0.37) 0.01 0.27 1.76 1.31 0.42 0.04 0.01 0.01 0.01 90th Percentile (1.13) (0.03) 0.19 1.50 1.07 0.23 0.01 0.00 0.00 0.00 Liquid Operating Money Net • (0.06) (0.00) 0.69 2.24 1.75 0.76 0.32 0.07 (0.06) (0.02) Citigroup 3-Month Treasury Bill ♦ 0.03 0.05 0.58 2.25 1.86 0.84 0.27 0.03 0.03 0.05 Cumulative and Quarterly Relative Returns vs Citigroup 3-Month Treasury Bill 0.35%- 0.6% -------- ---------------- -- 0.4% 0.25%------- -------- ------- -------- -------- - -------- -------------- -- 0.2% S. 0.20%- ---- -------- ------- - v ------- -------- ------- -------- -------- -------------- -- (0.0%) = _ --- --------- -- (0.2%) CD 0.10%------- -------- ------- -------- - ------ -------------- - N iv 0.05% --------------- ------- -------------- - 0.6/0 _ ( ° ) < ID 0.00% (0.8%) __7--------- --- d (0.10%) --------------- --------T---------- -- (1.2%) (0.15%)- (1.4%) 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 22 Liquid Operating Money Net Callan Money Market Funds Risk Adjusted Return Measures vs Citigroup 3-Month Treasury Bill Rankings Against Callan Money Market Funds(Net) Seven Years Ended March 31, 2022 1.5 1.0 0.5 0.0 (0.5) (1.0) (1.5) (2.0) (2.5) (3.0) (3.5) Alpha Sharpe Excess Return Ratio Ratio 10th Percentile 0.94 0.29 0.33 25th Percentile 0.02 (0.07) (0.02) Median (0.19) (0.55) (2.30) 75th Percentile (0.28) (0.87) (2.82) 90th Percentile (0.37) (1.18) (2.97) Liquid Operating Money Net • (0.07) (0.12) (0.18) Callan Orange County Sanitation District 22 Table of Contents Callan Research/Education Table of Contents NUNOii ......... Callan Institute Education 1st Quarter 2022 Quarterly Highlights The Callan Institute provides research to update clients on the latest industry trends and carefully structured educational programs to enhance the knowledge of industry professionals. Visit www.callan.com/research-library to see all of our publications, and wwwcallan.com/blog to view our blog.For more information contact Barb Gerraty at 415-274-3093/institute@callan.com. New Research from Callan's Experts Alternatives Focus: Outlook for Hedge Funds I Joe McGuane Why It Was a Tough 4Q21 for Large Cap Growth Managers analyzes hedge fund performance in 2021 and provides his outlook With rising case counts stemming from the Omicron variant,and for the asset class in 2022. concerns about interest rates and inflation, volatility in the mar- kets spiked in 4Q21. For large cap growth investment managers, 2022-2031 Capital Markets Assumptions I A white paper detail- pro-cyclical positioning generally hurt portfolios given those fears. ing the process involved in creating our 2022-2031 Capital Markets More than 90% of large cap growth managers underperformed Assumptions and the reasoning behind them.You can also view our the benchmark for the quarter. interactive webpage and charticle featuring this year's assumptions. Risky Business Update: Rising Inflation and Continued 2022 Defined Contribution Trends Survey I This survey provides Uncertainty Challenge Investors I Using our proprietary Capital extensive information for DC plan sponsors to use in improving and Markets Assumptions,we found that investors in 2022 needed to benchmarking their plans. take on over five times as much risk as they did 30 years ago to Callan Periodic Table of Investment Returns&Collection I The earn the same nominal return. Periodic Table of Investment Returns depicts annual returns for key asset classes, ranked from best to worst performance for Quarterly Periodicals each calendar year. Expanding upon our Classic Periodic Table, Private Equity Trends, 4Q21 I A high-level summary of private the Collection offers additional versions focused on equity, fixed equity activity in the quarter through all the investment stages income,institutional investors,and alternatives such as real estate, private equity,and hedge funds.Other tables compare the perfor- Active vs. Passive Charts,4Q21 I A comparison of active man- mance of key indices to zero and to inflation. agers alongside relevant benchmarks over the long term Blog Highlights Market Pulse Flipbook, 4Q21 I A quarterly market reference guide covering trends in the U.S.economy,developments for insti- DOL Weighs in on Cryptocurrencies in DC Plans I The U.S. tutional investors,and the latest data on the capital markets Department of Labor issued a compliance assistance bulletin, which does not carry the force of law, regarding offering crypto- Capital Markets Review, 4Q21 I Analysis and a broad overview currency investments in a defined contribution plan,with a num- of the economy and public and private market activity each quar- ber of stern warnings about the potential fiduciary challenges. ter across a wide range of asset classes Hedge Funds and Ukraine:A Guide for Institutional Investors Hedge Fund Quarterly,4Q21 I Commentary on developments for This post provides an analysis of the performance of hedge hedge funds and multi-asset class(MAC) strategies funds through the end of February,categorized by strategy type, Real Assets Reporter, 4Q21 I A summary of market activity for and how they have been grappling with the Ukraine crisis. real assets and private real estate during the quarter Research I Education I Dialogue Table of Contents Events Education A complete list of all upcoming events can be found on our web- Founded in 1994,the"Callan College"offers educational sessions site:callan.com/events-education. for industry professionals involved in the investment decision-mak- ing process. Please mark your calendar and look forward to upcoming invitations: Introduction to Investments Research Cafe: How to Navigate Private Equity Fees July 26-27,2022—San Francisco and Terms(webinar) September 20-22—Virtual May 11,2022 at 9:30am PT This program familiarizes institutional investor trustees and staff and asset management advisers with basic investment theory,ter- June Regional Workshop minology,and practices.Our virtual session is held over three days June 7,2022—Atlanta with virtual modules of 2.5-3 hours,while the in-person session June 9,2022—Portland lasts one-and-a-half days.This course is designed for individuals with less than two years of experience with asset-management For more information about events, please contact Barb oversight and/or support responsibilities.Virtual tuition is$950 per Gerraty:415-274-3093/gerraty@callan.com person and includes instruction and digital materials. In-person tuition is$2,350 per person and includes instruction,all materials, breakfast and lunch on each day,and dinner on the first evening with the instructors. Additional information including registration can be found at: Education: By the Numbers callan.com/events/ 50+ Unique pieces of research the Institute generates each year 525 Attendees(on average)of the Institute's annual National Conference 3 00 Total attendees of the"Callan 7 College"since 1994 "Research is the foundation of all we do at Callan, and sharing our best thinking with the investment community is our way of helping to foster dialogue to raise the bar across the industry." Greg Allen,CEO and Chief Research Officer Callan Institute tf @CallanLLC ® Callan Table of Contents Definitions Table of Contents Risk/Reward Statistics The risk statistics used in this report examine performance characteristics of a manager or a portfolio relative to a benchmark (market indicator) which assumes to represent overall movements in the asset class being considered. The main unit of analysis is the excess return, which is the portfolio return minus the return on a risk free asset (3 month T-Bill). Alpha measures a portfolio's return in excess of the market return adjusted for risk. It is a measure of the manager's contribution to performance with reference to security selection. A positive alpha indicates that a portfolio was positively rewarded for the residual risk which was taken for that level of market exposure. Beta measures the sensitivity of rates of portfolio returns to movements in the market index. A portfolio's beta measures the expected change in return per 1% change in the return on the market. If a beta of a portfolio is 1.5, a 1 percent increase in the return on the market will result, on average, in a 1.5 percent increase in the return on the portfolio. The converse would also be true. Downside Risk stems from the desire to differentiate between "good risk" (upside volatility) and "bad risk" (downside volatility). Whereas standard deviation punishes both upside and downside volatility, downside risk measures only the standard deviation of returns below the target. Returns above the target are assigned a deviation of zero. Both the frequency and magnitude of underperformance affect the amount of downside risk. Excess Return Ratio is a measure of risk adjusted relative return. This ratio captures the amount of active management performance (value added relative to an index) per unit of active management risk (tracking error against the index.) It is calculated by dividing the manager's annualized cumulative excess return relative to the index by the standard deviation of the individual quarterly excess returns. The Excess Return Ratio can be interpreted as the manager's active risk/reward tradeoff for diverging from the index when the index is mandated to be the"riskless" market position. Information Ratio measures the manager's market risk-adjusted excess return per unit of residual risk relative to a benchmark. It is computed by dividing alpha by the residual risk over a given time period. Assuming all other factors being equal, managers with lower residual risk achieve higher values in the information ratio. Managers with higher information ratios will add value relative to the benchmark more reliably and consistently. R-Squared indicates the extent to which the variability of the portfolio returns are explained by market action. It can also be thought of as measuring the diversification relative to the appropriate benchmark. An r-squared value of .75 indicates that 75% of the fluctuation in a portfolio return is explained by market action. An r-squared of 1.0 indicates that a portfolio's returns are entirely related to the market and it is not influenced by other factors. An r-squared of zero indicates that no relationship exists between the portfolio's return and the market. Relative Standard Deviation is a simple measure of a manager's risk (volatility) relative to a benchmark. It is calculated by dividing the manager's standard deviation of returns by the benchmark's standard deviation of returns. A relative standard deviation of 1.20, for example, means the manager has exhibited 20% more risk than the benchmark over that time period. A ratio of .80 would imply 20% less risk. This ratio is especially useful when analyzing the risk of investment grade fixed-income products where actual historical durations are not available. By using this relative risk measure over rolling time periods one can illustrate the "implied" historical duration patterns of the portfolio versus the benchmark. Residual Portfolio Risk is the unsystematic risk of a fund, the portion of the total risk unique to the fund (manager) itself and not related to the overall market. This reflects the "bets" which the manager places in that particular asset market. These bets may reflect emphasis in particular sectors, maturities (for bonds), or other issue specific factors which the manager considers a good investment opportunity. Diversification of the portfolio will reduce or eliminate the residual risk of that portfolio. Callan 27 Table of Contents Risk/Reward Statistics Rising Declining Periods refer to the sub-asset class cycles vis-a-vis the broader asset class. This is determined by evaluating the cumulative relative sub-asset class index performance to that of the broader asset class index. For example, to determine the Growth Style cycle, the S&P 500 Growth Index (sub-asset class) performance is compared to that of the S&P 500 Index(broader asset class). Sharpe Ratio is a commonly used measure of risk-adjusted return. It is calculated by subtracting the "risk-free" return (usually 3 Month Treasury Bill) from the portfolio return and dividing the resulting "excess return" by the portfolio's risk level (standard deviation).The result is a measure of return gained per unit of risk taken. Sortino Ratio is a downside risk-adjusted measure of value-added. It measures excess return over a benchmark divided by downside risk. The natural appeal is that it identifies value-added per unit of truly bad risk. The danger of interpretation, however, lies in these two areas: (1)the statistical significance of the denominator, and (2) its reliance on the persistence of skewness in return distributions. Standard Deviation is a statistical measure of portfolio risk. It reflects the average deviation of the observations from their sample mean. Standard deviation is used as an estimate of risk since it measures how wide the range of returns typically is. The wider the typical range of returns, the higher the standard deviation of returns, and the higher the portfolio risk. If returns are normally distributed (ie. has a bell shaped curve distribution) then approximately 2/3 of the returns would occur within plus or minus one standard deviation from the sample mean. Total Portfolio Risk is a measure of the volatility of the quarterly excess returns of an asset. Total risk is composed of two measures of risk: market (non-diversifiable or systematic) risk and residual (diversifiable or unsystematic) risk. The purpose of portfolio diversification is to reduce the residual risk of the portfolio. Tracking Error is a statistical measure of a portfolio's risk relative to an index. It reflects the standard deviation of a portfolio's individual quarterly or monthly returns from the index's returns. Typically, the lower the Tracking Error, the more "index-like"the portfolio. Treynor Ratio represents the portfolio's average excess return over a specified period divided by the beta relative to its benchmark over that same period. This measure reflects the reward over the risk-free rate relative to the systematic risk assumed. Note: Alpha, Total Risk, and Residual Risk are annualized. Callan 28 Table of Contents Fixed Income Portfolio Characteristics All Portfolio Characteristics are derived by first calculating the characteristics for each security, and then calculating the market value weighted average of these values for the portfolio. Allocation by Sector- Sector allocation is one of the tools which managers often use to add value without impacting the duration of the portfolio. The sector weights exhibit can be used to contrast a portfolio's weights with those of the index to identify any significant sector bets. Average Coupon - The average coupon is the market value weighted average coupon of all securities in the portfolio. The total portfolio coupon payments per year are divided by the total portfolio par value. Average Moody's Rating for Total Portfolio- A measure of the credit quality as determined by the individual security ratings. The ratings for each security, from Moody's Investor Service, are compiled into a composite rating for the whole portfolio. Quality symbols range from Aaa+ (highest investment quality- lowest credit risk) to C (lowest investment quality- highest credit risk). Average Option Adjusted (Effective) Convexity- Convexity is a measure of the portfolio's exposure to interest rate risk. It is a measure of how much the duration of the portfolio will change given a change in interest rates. Generally, securities with negative convexities are considered to be risky in that changes in interest rates will result in disadvantageous changes in duration. When a security's duration changes it indicates that the stream of expected future cash-flows has changed, generally having a significant impact on the value of the security. The option adjusted convexity for each security in the portfolio is calculated using models developed by Lehman Brothers and Salomon Brothers which determine the expected stream of cash-flows for the security based on various interest rate scenarios. Expected cash-flows take into account any put or call options embedded in the security, any expected sinking-fund paydowns or any expected mortgage principal prepayments. Average Option Adjusted (Effective) Duration- Duration is one measure of the portfolio's exposure to interest rate risk. Generally, the higher a portfolio's duration, the more that its value will change in response to interest rate changes. The option adjusted duration for each security in the portfolio is calculated using models developed by Lehman Brothers and Salomon Brothers which determine the expected stream of cash-flows for the security based on various interest rate scenarios. Expected cash-flows take into account any put or call options embedded in the security, any expected sinking-fund paydowns or any expected mortgage principal prepayments. Average Price-The average price is equal to the portfolio market value divided by the number of securities in the portfolio. Portfolios with an average price above par will tend to generate more current income than those with an average price below pa r. Average Years to Expected Maturity- This is a measure of the market-value-weighted average of the years to expected maturity across all of the securities in the portfolio. Expected years to maturity takes into account any put or call options embedded in the security, any expected sinking-fund paydowns or any expected mortgage principal prepayments. Average Years to Stated Maturity- The average years to stated maturity is the market value weighted average time to stated maturity for all securities in the portfolio. This measure does not take into account imbedded options, sinking fund paydowns, or prepayments. Current Yield-The current yield is the current annual income generated by the total portfolio market value. It is equal to the total portfolio coupon payments per year divided by the current total portfolio market value. Callan 29 Table of Contents Fixed Income Portfolio Characteristics Duration Dispersion - Duration dispersion is the market-value weighted standard deviation of the portfolio's individual security durations around the total portfolio duration. The higher the dispersion, the more variable the security durations relative to the total portfolio duration ("barbellness"), and the smaller the dispersion, the more concentrated the holdings' durations around the overall portfolio's ("bulletness"). The purpose of this statistic is to gauge the "bulletness" or "barbellness"of a portfolio relative to its total duration and to that of its benchmark index. Effective Yield-The effective yield is the actual total annualized return that would be realized if all securities in the portfolio were held to their expected maturities. Effective yield is calculated as the internal rate of return, using the current market value and all expected future interest and principal cash flows. This measure incorporates sinking fund paydowns, expected mortgage principal prepayments, and the exercise of any"in-the-money" imbedded put or call options. Weighted Average Life- The weighted average life of a security is the weighted average time to payment of all remaining principal. It is calculated by multiplying each expected future principal payment amount by the time left to the payment. This amount is then divided by the total amount of principal remaining. Weighted average life is commonly used as a measure of the investment life for pass-through security types for comparison to non-pass-through securities. Callan 30 Table of Contents Disclosures Table of Contents Callan Quarterly List as of December 31, 2021 List of Callan's Investment Manager Clients Confidential—For Callan Client Use Only Callan takes its fiduciary and disclosure responsibilities to clients very seriously. We recognize that there are numerous potential conflicts of interest encountered in the investment consulting industry, and that it is our responsibility to manage those conflicts effectively and in the best interest of our clients.At Callan,we employ a robust process to identify, manage, monitor, and disclose potential conflicts on an ongoing basis. The list below is an important component of our conflicts management and disclosure process. It identifies those investment managers that pay Callan fees for educational, consulting, software, database, or reporting products and services.We update the list quarterly because we believe that our fund sponsor clients should know the investment managers that do business with Callan, particularly those investment manager clients that the fund sponsor clients may be using or considering using. Please note that if an investment manager receives a product or service on a complimentary basis(e.g., attending an educational event),they are not included in the list below. Callan is committed to ensuring that we do not consider an investment manager's business relationship with Callan, or lack thereof, in performing evaluations for or making suggestions or recommendations to its other clients. Please refer to Callan's ADV Part 2A for a more detailed description of the services and products that Callan makes available to investment manager clients through our Institutional Consulting Group, Independent Adviser Group, and Fund Sponsor Consulting Group. Due to the complex corporate and organizational ownership structures of many investment management firms, parent and affiliate firm relationships are not indicated on our list. Fund sponsor clients may request a copy of the most currently available list at any time. Fund sponsor clients may also request specific information regarding the fees paid to Callan by particular fund manager clients. Per company policy, information requests regarding fees are handled exclusively by Callan's Compliance department. Manager Name Manager Name abrdn (Aberdeen Standard Investments) Baron Capital Management, Inc. Acadian Asset Management LLC Barrow, Hanley, Mewhinney&Strauss,LLC Adams Street Partners,LLC BlackRock AEGON USA Investment Management Inc. BMO Global Asset Management AllianceBernstein BNP Paribas Asset Management Allianz BNY Mellon Asset Management Allspring Global Investments(formerly Wells Fargo Asset Mgmt) Boston Partners American Century Investments Brandes Investment Partners, L.P. AQR Capital Management Brandywine Global Investment Management, LLC Ares Management LLC Brookfield Asset Management Ariel Investments,LLC Brown Brothers Harriman&Company Aristotle Capital Management, LLC Cambiar Investors, LLC Atlanta Capital Management Co., LLC Capital Group Aviva Investors Carillon Tower Advisers AXA Investment Managers CastleArk Management, LLC Baillie Gifford International,LLC Causeway Capital Management LLC Baird Advisors Chartwell Investment Partners Barings LLC ClearBridge Investments,LLC Callan I December 31, 2021 Table of Contents Manager Name Manager Name Cohen&Steers Capital Management, Inc. J O Hambro Capital Management Limited Columbia Threadneedle Investments North America KeyCorp Credit Suisse Asset Management, LLC Lazard Asset Management Crescent Capital Group LP LGIM America(formerly Legal&General Inv.Mgmt.America) D.E.Shaw Investment Management, LLC Lincoln National Corporation DePrince, Race&Zollo, Inc. Longview Partners Dimensional Fund Advisors L.P. Loomis,Sayles&Company, L.P. Doubleline Lord Abbett&Company Duff&Phelps Investment Management Co. LSV Asset Management DWS MacKay Shields LLC EARNEST Partners, LLC Macquarie Investment Management(MIM) Eaton Vance Management Manning&Napier Advisors,LLC Epoch Investment Partners, Inc. Manulife Investment Management Fayez Sarofim&Company McKinley Capital Management, LLC Federated Hermes, Inc. Mellon Fidelity Institutional Asset Management MetLife Investment Management Fiera Capital Corporation MFS Investment Management First Hawaiian Bank Wealth Management Division MidFirst Bank First Sentier Investors(formerly First State Investments) Mondrian Investment Partners Limited Fisher Investments Montag&Caldwell,LLC Franklin Templeton Morgan Stanley Investment Management GAM(USA)Inc. MUFG Union Bank,N.A. GCM Grosvenor Natixis Investment Managers GlobeFlex Capital,L.P. Neuberger Berman GoldenTree Asset Management, LP Newton Investment Management Goldman Sachs Ninety One North America, Inc.(formerly Investec Asset Mgmt.) Guggenheim Investments Northern Trust Asset Management GW&K Investment Management Nuveen Harbor Capital Group Trust P/E Investments Heitman LLC Pacific Investment Management Company Hotchkis&Wiley Capital Management, LLC Parametric Portfolio Associates LLC Income Research+Management Inc. Partners Group(USA)Inc. Insight Investment Pathway Capital Management Intech Investment Management LLC Peregrine Capital Management, LLC Intercontinental Real Estate Corporation PFM Asset Management LLC Invesco PGIM Fixed Income J.P. Morgan PGIM Quantitative Solutions LLC Janus PineBridge Investments Jennison Associates LLC Polen Capital Management,LLC Jobs Peak Advisors Principal Global Investors Callan December 31, 2021 2 Table of Contents Manager Name Manager Name Putnam Investments,LLC Thompson,Siegel&Walmsley LLC RBC Global Asset Management Thornburg Investment Management, Inc. Regions Financial Corporation Tri-Star Trust Bank Richard Bernstein Advisors LLC UBS Asset Management Riverbridge Partners LLC VanEck Robeco Institutional Asset Management, US Inc. Versus Capital Group Rothschild&Co.Asset Management US Victory Capital Management Inc. S&P Dow Jones Indices Virtus Investment Partners, Inc. Schroder Investment Management North America Inc. Vontobel Asset Management Securian Asset Management, Inc. Voya SLC Management Waterton Associates LLC Smith Graham&Co. Investment Advisors,L.P. WCM Investment Management State Street Global Advisors WEDGE Capital Management Stone Harbor Investment Partners L.P. Wellington Management Company, LLP Strategic Global Advisors, LLC Western Asset Management Company LLC T. Rowe Price Associates, Inc. Westfield Capital Management Company, LP The TCW Group, Inc. William Blair&Company LLC Callan December 31, 2021 3 Table of Contents I INVES'IMENTREPO RT Cill CHANDLER ASSET MANAGEMENT Orange County Sanitation Dis tric t Period Ending March 31, 2022 CHANDLER ASSETMANAGEMENT, INC. 1 800.317.47471 www.chandlerasset.com ti • ':.'K Table of Contents ITable of Contents As of March 31, 2022 SECTION 1 Economic Update SECTION 2 Account Profile SECTION 3 Consolidated Information SECTION 4 Portfolio Holdings SECTION 5 Transactions 1 Q11 1 Section 1 Economic Update Table of Contents IEconomic Update ■ The Russian invasion into Ukraine and resulting Western sanctions on Russia have fueled volatility in financial markets.The latest escalation has exacerbated inflationary pressures, particularly in energy and commodities, and has caused tightening conditions in financial markets. While consumer spending and economic growth remain strong, we believe an extended conflict in Eastern Europe along with elevated energy prices increases the risk of an economic slowdown later this year. While we expect the Fed to tighten monetary policy, the FOMC has very little margin for error as it attempts to combat inflation without pushing the economy into a recession. Overthe near-term, we expect financial market volatilityto remain elevated and conditions to remain tighter with heightened geopolitical risk, supply chain bottlenecks and persistent inflation, and the Fed's pivot to less accommodative monetary policy. • The Federal Open Market Committee (FOMC) raised the federal funds rate by 0.25% at their March 16th meeting to a target range of 0.25% to 0.50%. The Federal Reserve also ended their bond-buying program as expected in March, which included the purchase of treasury and agency mortgage-backed securities. Fed Chair Powell suggested that balance sheet runoff could begin as early as their next meeting in May, soonerthan previously anticipated, and that the pace of the unwind will likely be faster than in the previous quantitative tightening cycle.The dot plot favors six additional rate hikes in 2022, which implies a 25 basis point rate hike at each remaining meeting this year, but the Fed hasn't ruled out incorporating one or more 50 basis point hikes to address inflation. The FOMC's Summary of Economic Projections forecasts higher Personal Consumption Expenditure (PCE) inflation this year at 4.3% and a lower growth rate of 2.8% real GDP. We are anticipating additional rates hikes by the Fed this year, but we do not believe that monetary policy is on a pre-set course and expect the Fed's policy adjustments will depend on developments in the economy. In March, yields increased dramatically and the curve continued to flatten. The 2-year Treasury yield increased 90 basis points to 2.34%, the 5-year Treasury yield increased 74 basis points to 2.46%, and the 10-year Treasury yield increased 51 basis points to 2.34%. The spread between the 2-year and 10-year Treasury yield declined to zero at March month-end versus 40 basis points at February month-end and 158 basis points one year ago. While the flat yield curve bears watching over the longer run, the spread between 3-month and 10-year treasuries is still steep at about 185 basis points, which indicates likely economicgrowth in the coming year. 3 Q% Table of Contents IEmployment Nonfarm Payroll (000's) Unemployment Rate 6,000 24.0% 1% Underemployment Rate(U6) 2,000 /�` 20.0% j % Unemployment Rate (U3) \ / %` c -2,000 16.0% 1 o \ I 1 \ ' ' —` -6,000 1 `♦ 12.0% -10,000 8.0 0 -14,000 Non-farm Payroll(000's) -18,000 4.0% —.3 month average(000's) -22,000 0.0% 2! ✓�, SP OP 2i ✓(, So 6 2! 27 ��, SO 6 2! ✓0 SO 10 2� dr�O 7�0 p')O ")0 dr�1 ��1 p�1 c�1 dr�� dr�O ��O �)0 c')O dr�1 '7-1 p�1 c�1 dr�� Source:US Department of Labor Source:US Department of Labor The U.S. economy added 431,000 jobs in March, with upward revisions from the prior months totaling 95,000. Trends in employment remain strong, with the three-month moving average payrolls at 561,000 and the six-month moving average at 600,000. Job gains were broad based in March, led by leisure and hospitality and professional and business services. The unemployment rate fell to 3.6%from 3.8%,the lowest level since February 2020.The labor participation rate increased marginally to 62.4% in March from 62.3% in February but remains lower than the pre- pandemic level of 63.4%. The U-6 underemployment rate, which includes those who are marginally attached to the labor force and employed part time for economic reasons, fell to 6.9% in March from 7.2% in February, declining below its pre-pandemic level of 7.0% in February 2020. Wage growth accelerated in March, with average hourly earnings rising 5.6% from 5.2% year-over-year. As more participants enter the labor force, wage inflation dynamics should start to moderate, helping to lowerthe current elevated inflation readings. 4 C11% Table of Contents Inflation Consumer Price Index (CPI) Personal Consumption Expenditures (PCE) 9.0% 9.0% — 8.0% YOY%Change 8.0% PCE Price Deflator YOY%Change 7.0% :rCPI Core CPI YOY%Change 7.0% --- PCE Core Deflator YOY%Change 6.0% 6.0% r 5.0% s 5.0% 4.0% a 4.0% ° 3.0% ° 3.0 i i 2.0% 2.0% 01 1.0% �`—� 1.0% 0.0% 0.0% �Pb �a` �4� �o� �Pb �a` 9�g �o� �Pb �Pb, �d` ��� �o� �Pb �d` ��g �o� �Pb ,)p )p �� �� �0 �0 �0 Source:US Department of Labor Source:US Department of Commerce Although U.S. consumer prices were in line with expectations in February, inflation hit a 40-year high.The Consumer Price Index (CPI) was up 7.9%year-over-year in February, versus a 7.5%year-over-year gain in January. Core CPI (CPI less food and energy) was up 6.4%year-over-year in February, versus up 6.0% in January. Rising food and rent prices were primary contributors to the big increase, as well as the month-end surge in gas prices, which is likely to be even more pronounced in the March report.The Personal Consumption Expenditures (PCE) index was up 6.4% year-over-year in February, up from 6.0% in January. Core PCE was up 5.4% year-over-year in February, versus up 5.2% in January. Current inflation readings continue to run well above the Fed's longer-run target of around 2.0%. We believe pricing pressures are likely to increase in the coming months considering the recent surge in commodity prices, and will likely remain elevated longer than anticipated as a result of the conflict in Europe. 5 C111 Table of Contents Consumer Retail Sales YOY% Change Consumer Confidence 60.0% 140 50.0% 130 40.0% 30.0% 120 r _ u 20.0% °1 110 CD } 0.0/o 100 -10.0% 90 -20.0% LJ N4 —V -30.0% 80 ,cPb�o �d`�0 g4g�0 �I,oG�0 ,cPb�1 �d`�1 g4g�1 �joG�1 ,cPb�� �d~�o ✓�,��0 SO �1)0 O�c�O �dr�1 ✓�,��1 sPp�1 Source:US Department of Commerce Source:The Conference Board Retail sales edged higher in February, but there are signs that higher gas prices are impacting discretionary spending. On a year-over-year basis, retail sales were up 17.6% in February versus up 14% in January. On a month-over-month basis, retail sales moderated, rising 0.3% in February versus an upwardly revised increase of 4.9% in January. Excluding vehicles and gas, retail sales were down 0.4% month-over-month. Although inflation threatens to put a dent in expected growth, we believe high levels of consumer savings along with improvement in the health situation and continued improvement in the labor market should provide a healthy tailwind for consumer spending. The Consumer Confidence index rebounded to 107.2 in March following declines in January and February, primarily driven by positive assessments of employment. However, while consumers' evaluations of the present situation was strong, future expectations have been deteriorating. 6 Q11 Table of Contents Economic Activity Leading Economic Indicators (LEI) Chicago Fed National Activity Index (CFNAI) 4.0% 6.00 2 0°/ 4.00 2.00 ao 0.0% to 0.00 -2.0% s �- -2.00 O -4.0% -4.00 -6.0% -6.00 -8.0% -8.00 ,cob 4;7 11 +0 ,cPb /17 q4� 4,oG .cPb �P6 �d` q�g +0 .�Pb �d` q�� �ioG FP6 �p �p �p �p �1 �1 �1 �1 �� �p �p �p �p �1 Source:The Conference Board Source:Federal Reserve Bank of Chicago The Conference Board's Leading Economic Index (LEI) increased 0.3% month-over-month in February, following a 0.5% downwardly revised decline in January. On a year-over-year basis, the LEI was up 7.6% in February versus up 7.3% in January. The Conference Board acknowledged that the data do not fully reflect the impact of the Russian invasion of Ukraine on global supply chain issues, shortages, and the resulting soaring prices, which could result in slower than expected growth in the first half of the year. Meanwhile, the Chicago Fed National Activity Index (CFNAI) fell to 0.51 in February from a downwardly revised 0.59 in January. On a 3-month moving average basis, the CFNAI declined to 0.35 in February, while January was revised downward to 0.37. 7 Q11 Table of Contents Housing Housing Starts S&P/Case-Shiller 20 City Composite Home Price Index 2000 24.0% 1800 21.0% w 1600 V) 1400 18.0% a L 1200 a°10 15.0% 3 1000 12.0% — 800 0 a, } 9.0% 600 400 ■Multi Family Housing Starts 6.0% 0 200 11[9SingleFamilyHousingStarts 3.0% 0 • 0.0 A ` c Pb c � Op 06 �d qp 1/0/ Ot � 0P � g �0 r�p �p')0 ')0 '>0 c �d� Source:US Department of Commerce Source:S&P Total housing starts rebounded 6.8% to an annual rate of 1,769,000 in February. Single-family starts increased 5.7%, and multi-family starts increased 9.3%, month-over-month. On a year-over-year basis, total housing starts were up 22.3% in February driven by multi-family starts. According to the Case-Shiller 20-City home price index, home prices were up 19.1%year-over-year in January versus up 18.6%year-over-year in December, suggesting tight supply may be continuing to support prices. Rising mortgage rates and affordability could be headwinds to further price growth. 8 Q Table of Contents I Manufacturing Institute of Supply Management Purchasing Manager Index Industrial Production 66 20.0% 64 15.0% 62 60 10.0% 58 v 56 M 5.0 EXPANDING 54 0 0.0% 52 50 ° -5.0% 48 46 -10.0% CONTRACTING 44 -15.0% 42 40 V rr�w -20.0% Alld~'0 ✓���0 SPp )o oPc,)0 2iar�1 ✓4��1 sPp�1 O�c�1 2idr�� o 2!0j' 9�&' �oG-o �P6�1 2fa��1 g4g1�1 11 Source:Institute for Supply Management Source:Federal Reserve The Institute for Supply Management (ISM) manufacturing index fell to an 18-month low of 57.1 in March from 58.6 in February due to surging energy and commodities prices triggered by Russia's invasion of Ukraine. Readings above 50.0are indicative of expansion in the manufacturing sector. On a month-over-month basis, the Industrial Production index rose 0.5% in February, following a 1.4% increase in January. Capacity utilization rose to 77.6% in February, up from 77.3% in January. Although capacity utilization remains below its longer-run average of 79.6%, it is running above the pre-pandemic level of 76.3%. 9 Q1 Table of Contents I Gross Domestic Product (GDP) Gross Domestic Product (GDP) 35.0% 30.0% 25.0% Personal Consumption Expenditures 7.4% 7.9% 1.4% 1.8% 20.0% 15.0% Gross Private Domestic Investment -0.4% -0.7% 2.1% 5.8% 15.0% 5.0 0.0 Net Exports and Imports -1.6% -0.2% -1.3% -0.2% -5.0% -10.0% .0% Federal Government Expenditures 0.8% -0.4% -0.4% -0.3% --1515 0% �GDP QOQ%Change -25.0% GDP YOY%Change - State and Local(Consumption and Gross o Investment) 0.0% 0.0% 0.5% _35.00% Total 6.3% 6.7% 2.3% 6.9% O00 IG✓�1)1> OPc1�✓�h j� OPc1�✓�h 1g OPc19✓4��� OPc��✓���1 OPc�1 Source: US Department of Commerce Source: US Department of Commerce According to the third estimate, fourth quarter GDP grew at an annualized rate of 6.9%, revised slightly downward from the second estimate of 7.0%. Economic growth reaccelerated in the fourth quarter after slowing to a pace of 2.3% growth in the third quarter, bringing overall GDP growth for 2021 to 5.7%. The most significant contributor to fourth quarter growth was inventory build, potentially reflecting some easing in supply chain disruptions. The fourth-quarter's build will make for a tough comparison in the first quarter.The consensus estimate calls for 1.1% GDP growth in the first quarter, 3.0%growth in the current quarter, and 3.3%growth for 2022. 10 c,, Table of Contents Federal Reserve Federal Reserve Balance Sheet Assets Effective Federal Funds Rate 10,000,000 2.75% 2.50% 91000,000 2.25% 8,000,000 2.00% = 7,000,000 0 1.75% 1.50% £ 6,000,000 �, >1.25% 51000,000 1.00% 41000,000 0.75% 0.50% 3,000,000 0.25% 2,000,000 0.00% 10 0, OP OP OP 0 10 10 6. OP OP O, 0 2, 2/ 47 21 � 21 47 2i 47 2i � 27 0 C1 01 CZ 01 C1 C1 C1 01 01 01 C,� 0 O` O` O` a` ok O` O` a` O` O` O` O` 9 O 1 •>' S! S 6 8 9 O 7 IO 11 l� Z�' 74 ZS 16 Zj l& 79 �O �1 Source:Federal Reserve Source:Bloomberg As expected the Federal Open Market Committee (FOMC) raised the federal funds rate by 0.25% at their March meeting to a target range of 0.25% to 0.50%., This was the first increase since 2018, after two years of holding the federal funds rates near zero to insulate the economy from the impacts of the pandemic. The Federal Reserve (Fed) also ended their bond-buying program as expected in March, which grew the balance sheet to about $8.9 trillion. Fed Chair Powell suggested that balance sheet runoff could begin as early as their next meeting in May, sooner than previously anticipated, and that the pace of the unwind will likely be faster than in the previous quantitative tightening cycle.The dot plot favors six additional rate hikes in 2022, which implies a 25 basis point rate hike at each remaining meeting this year, but the Fed hasn't ruled out incorporating one or more 50 basis point hikes to address inflation. The FOMC's Summary of Economic Projections forecasts higher Personal Consumption Expenditure (PCE) inflation this year at 4.3%and a lower growth rate of 2.8% real GDP. 11 Q1 Table of Contents Bond Yields US Treasury Note Yields US Treasury Yield Curve 2.5% — — 2.5% •••••• 2-Year 2.0% ——— 5-Year 2.0% 10-Yea r 1.5% — 0 1.5% — s: i � �r / a } 1.0% / } 1.0% / ♦ �� ♦ Mar-22 0.5% ♦ 0.5% ♦ ——— Dec-21 —���^_� ♦ ...... Mar-21 0.0% 0.0 ✓ s 0 ✓ s 0 .? 6 0 S 7 ,� d'0 )o Pp1)O c1)0 d��j �1 P 11. Pc 1. d r�� �o�o r r Oy O y Source:Bloomberg Source:Bloomberg At the end of March,the 2-year Treasury yield was 217 basis points higher, and the 10-Year Treasury yield was about 60 basis points higher,year- over-year. The spread between the 2-year Treasury yield and 10-year Treasury yield declined to zero at March month-end compared to the average historical spread (since 2003) of about 130 basis points. While the flat yield curve bears watching over the longer run, the spread between 3-month and 10-year treasuries is still steep at about 185 basis points, which indicates likely economic growth in the coming year. 12 Q1 Table of Contents Section 2 Account Profile 13 G\\ Table of Contents IObjectives As of March 31, 2022 Investment Objectives The investment objectives of the Orange County Sanitation District are first, to provide safety of principal to ensure the preservation of capital in the overall portfolio; second, to provide sufficient liquidity to meet all operating requirements; and third, to earn a commensurate rate of return consistent with the constraints imposed by the safety and liquidity objectives. Chandler Asset Management Performance Objective Liquid Operating Monies — will be compared to the 3-month T-Bill rate and operate with a maximum maturity of one year. Long-Term Operating Monies — will be compared to the ICE BofA 1-5 Year Corporate Government Rated AAA—A Index. Strategy In order to achieve these objectives, the portfolio invests in high quality fixed income securities consistent with the investment policy and California Government Code. 14 C'„ Table of Contents Compliance As of March 31, 2022 Orange County Sanitation District Long Term Assets managed by Chandler Asset Management are in full compliance with state law and with the investment policy Category Standard Comment U.S.Treasuries 10%minimum; 5 years max maturity Complies 20%max per agency of the U.S.Government,which does not provide the full faith and credit of the U.S.government; 5 years max maturity; Federal Agencies Securities,obligations,participations,or other instruments of,or issued by,or fully guaranteed as to principal and interest by the US Government, Complies a federal agency,or a US Government-sponsored enterprise "AA"rated or better by a NRSRO; 30%max; 5 years max maturity; U.S.dollar denominated senior unsecured unsubordinated obligations issued or Supranational Obligations unconditionally guaranteed by the International Bank for Reconstruction and Development("IBRD"),the International Finance Corporation("IFC") Complies or the Inter-American Development Bank("IADB") "A"rated or higher by a NRSRO; or as otherwise approved by the Board of Directors; Taxable or tax-exempt municipal bonds issued by any of the Municipal Securities Complies 50 states;10%max; 5%max issuer; 5 years max maturity "A"rating category or better by a NRSRO; 30%max;5%max per issuer; 5 years max maturity; Issued by corporations organized and operating Corporate Medium Term Notes Complies within the U.S.or issued by depository institutions licensed by the U.S.or any state and operating within the U.S.with AUM>$500 million Non-Agency Asset-Backed Securities, AA rating category or better by a NRSRO; 20%max(combined MBS/CMO/ABS); 5%max issuer(except U.S.government or its agencies);5 years Mortgage-Backed Securities,CMOs max maturity; Mortgage pass-through security,collateralized mortgage obligation,mortgage-backed or other pay-through bond,equipment lease- Complies backed certificate,consumer receivable pass-through certificate,or consumer receivable-backed bond Negotiable Certificates of Deposit "A"rating or better long term debt by a NRSRO;or highest short term rating for deposits by a NRSRO; or as otherwise approved by the Board of (NCD) Directors; 30%max;5%max issuer;5 years max maturity; Negotiable certificates of deposit issued by a nationally or state-chartered bank or state Complies of federal savings and loan association,as defined by Section 5102 of the California Financial Code 5%max issuer; 5 years max maturity; Secured(collateralized)time deposits issued by a nationally or state-chartered bank or state or federal Certificates of Deposit savings and loan association,as defined by Section 5102 of the California Financial Code and having a net operating profit in the two most recently Complies completed fiscal years;Collateral must comply with California Government Code Banker's Acceptances A-1 rated or highest short term rating by a NRSRO; 40%max; 5%max issuer;180 days max maturity;Acceptance is eligible for purchase by the Complies Federal Reserve System A-1 rated or better by a NRSRO; "A"long term debt rating or better by a NRSRO; Issued by a domestic corporation organized and operating in the Commercial Paper Complies U.S.with assets>$500 million; 40%max; 5%max issuer; 10%max of the outstanding commercial paper of any single issuer;270 days max maturity Mutual Fund&Money Market Mutual Highest rating or"AAA"rated by two NRSROs;or SEC registered adviser with AUM>$500 million and experience>than 5 years;20%max in Mutual Fund Funds; 10%max per one Mutual Fund; 20%max per issuer on Money Market Mutual Funds and are not subject to the 10%stipulation Complies No more than the statutory maximum may be invested in LAIF; Not used by investment adviser;Investment of OCSD funds in LAIF shall be subject Local Agency Investment Fund(LAIF) Complies to investigation and due diligence prior to investing,and on a continual basis to a level of review pursuant to the policy 15 Q% Table of Contents Compliance As of March 31, 2022 Orange County Sanitation District Long Term Assets managed by Chandler Asset Management are in full compliance with state law and with the investment policy Category Standard Comment Orange County Treasurer's Money o 15/max; Not used by investment adviser; Orange County Treasurer's Money Market Commingled Investment Pool; Investment of OCSD funds in Market Commingled Investment Pool Complies (OCCIP) OCCIP would be subject to investigation and due diligence prior to investing and on continual basis to a level of review pursuant to the policy Repurchase Agreements 20%max;102%collateralization Complies Reverse Repurchase Agreements 5%max,90 days max maturity Complies Mortgage Derivatives,which include interest-only payments(IOs)and principal-only payments(POs); Inverse floaters,and RE-REMICS(Real Estate Prohibited Complies Mortgage Investment Conduits) If securities owned by the OCSD are downgraded below the quality required by the Investment Policy,it shall be OCSD's policy to review the credit situation and make a determination as to whether to sell or retain such securities in the portfolio.If a decision is made to retain the downgraded Securities Downgrade Complies securities in the portfolio,their presence in the portfolio will be monitored and reported quarterly to the OCSD General Manager,the Administration Committee and Board of Directors Avg Duration Not to exceed 60 months - (80%to 120%of the benchmark) Complies Max Per Holding 5%max of the total debt outstanding of any issuer per individual holding Complies Max Per Issuer 5%max per issuer(except Supranationals,U.S.Government,Agencies,Mutual Funds); 20%max per issuer on Money Market Mutual Funds Complies Maximum Maturity 5 years max maturity Complies* *The portfolio has nineteen(19)securities with maturities greater than 5 years including four(4)CMOs and sixteen(15)MBS. All securities were inherited from the previous manager and complied at time of purchase. 16 Q% Table of Contents Portfolio Characteristics As of March 31, 2022 Orange County Sanitation District Long Term Benchmark* Portfolio Portfolio Average Maturity(yrs) 2.66 2.74 2.58 Average Modified Duration 2.55 2.46 2.37 Average Purchase Yield n/a 1.45% 1.38% Average Market Yield 2.40% 2.30% 0.82% Average Quality" AAA AA/Aa1 AA+/Aa1 Total Market Value 720,687,291 742,225,778 *ICE BofA 1-5 Yr AAA-A US Corp&Govt Index **Benchmark is a blended rating of S&P,Moody's,and Fitch. Portfolio is S&P and Moody's respectively. Multiple securities were purchased across the Treasury,Asset Backed, Mortgage Backed, and Corporate sectors of the allocation to keep the portfolio invested to strategy.The purchased securities ranged in maturity from January 2025 to March 2027. Multiple securities were sold, two were called, and two matured to help facilitate the new holdings in the portfolio. 17 Q11 Table of Contents Sector Distribution As of March 31, 2022 Orange County Sanitation District Long Term March 31, 2022 December 31, 2021 ABS ABS 9.7% 6.0% US Treasury US Treasury 31.8% 34.9% Agency Agency 21.9% 20.5% Supranational Supranational 7.5% 9.3% Negotiable CD CIVIC) 2.5% CMO Negotiable CD ' 0.8/° 1.5% 2.4% Mortgage Pass Thru Corporate Money Market Mortgage Pass Money Market ° 0.1% Fund Corporate Thru Fund 22 6/ 26.2% 0.2% 0.1% 2.0% The sector allocation evolved over the quarter as the Chandler team increased exposure to the Corporate sector by 3.6% and the Asset Backed sector by 3.7%, to 26.2% and 9.7% of the portfolio, respectively. The Treasury, Agency, and Money Market allocations all decreased by modest amounts on a quarter over quarter basis. 18 Q11 Table of Contents Issuers As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 PortfolioIssue Name Investment Type % Government of United States US Treasury 31.85% Federal National Mortgage Association Agency 8.91% Federal Home Loan Bank Agency 6.20% Inter-American Dev Bank Supranational 4.73% Federal Home Loan Mortgage Corp Agency 4.72% Intl Bank Recon and Development Supranational 2.76% Hyundai Auto Receivables ABS 1.90% Berkshire Hathaway Corporate 1.85% Charles Schwab Corp/The Corporate 1.64% Bank of America Corp Corporate 1.56% JP Morgan Chase&Co Corporate 1.53% Honda ABS ABS 1.51% Federal Home Loan Mortgage Corp CIVIC) 1.48% Royal Bank of Canada Corporate 1.43% Honda Motor Corporation Corporate 1.38% Toronto Dominion Holdings Corporate 1.37% Bank of Montreal Chicago Corporate 1.32% US Bancorp Corporate 1.27% John Deere ABS ABS 1.27% Toyota Lease Owner Trust ABS 1.27% Metlife Inc Corporate 1.26% Morgan Stanley Corporate 1.18% Chubb Corporation Corporate 1.15% Qualcomm Inc Corporate 1.15% Nordea Bank ABP New York Negotiable CD 0.97% Apple Inc Corporate 0.97% Hyundai Auto Lease Securitization ABS 0.96% Toyota Motor Corp Corporate 0.94% Svenska Handelsbanken NY Negotiable CD 0.83% Wal-Mart Stores Corporate 0.78% Amazon.com Inc Corporate 0.74% PNC Financial Services Group Corporate 0.71% Intel Corp Corporate 0.71% Bank of Nova Scotia Houston Negotiable CD 0.69% Federal Farm Credit Bank Agency 0.69% GM Financial Automobile Leasing Trust ABS 0.69% Honeywell Corp Corporate 0.67% BMW Vehicle Lease Trust ABS 0.60% 19 cf Table of Contents Issuers As of March 31, 2022 Orange County Sanitation District Long Term —Account#10268 PortfolioIssue Name Investment Type % United Health Group Inc Corporate 0.52% ChevronTexaco Corp Corporate 0.50% Mercedes-Benz Auto Lease Trust ABS 0.48% GM Financial Securitized Term Auto Trust ABS 0.44% Guardian Life Global Funding Corporate 0.42% Bank of New York Corporate 0.35% Toyota ABS ABS 0.35% Nissan ABS ABS 0.29% Merck&Company Corporate 0.28% Deere&Company Corporate 0.18% Salesforce.com Inc Corporate 0.18% First American Govt Obligation Fund Class-Z Money Market Fund 0.16% BlackRock Inc/New York Corporate 0.14% Federal National Mortgage Association Mortgage Pass Thru 0.05% AMRESCO Residental Securities Corp CMO 0.02% Federal National Mortgage Association CIVIC) 0.01% GNMA Mortgage Pass Thru 0.01% SLM Corp ABS 0.00% Federal Home Loan Mortgage Corp Mortgage Pass Thru 0.00% TOTAL 100.00% 20 Q Table of Contents Quality Distribution As of March 31, 2022 Orange County Sanitation District Long Term March 31, 2022 vs. December 31, 2021 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% AAA AA A <A NR ■03/31/22 ■12/31/21 03/31/22 17.4% 61.1% 17.1% 1.2% 3.2% 12/31/21 17.2% 62.7% 14.9% 1.2% 3.9% Source:S&P Ratings 21 Q1 Table of Contents Quality Distribution As of March 31, 2022 Orange County Sanitation District Long Term March 31, 2022 vs. December 31, 2021 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0 AAA AA A <A NR ■03/31/22 ■12/31/21 03/31/22 69.9% 4.9% 20.3% 0.0% 4.9% 12/31/21 76.2% 3.5% 18.1% 0.0% 2.2% Source:Moody's Ratings 22 Q1 Table of Contents Duration Distribution As of March 31, 2022 Orange County Sanitation District Long Term Portfolio Compared to the Benchmark 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% 0-0.25 0.25-0.50 0.50- 1 1-2 2-3 3-4 4-5 5+ ■Orange County Sanitation District Long Term ■ICE BofA 1-5 Yr AAA-A US Corp&Govt Index Portfolio 2.5% 1.8% 8.5% 25.1% 29.3% 20.8% 12.1% 0.0% Benchmark* 0.0% 0.0% 1.8% 33.7% 28.6% 20.7% 15.2% 0.0% *ICE BofA 1-5 VrAAA-A US Corp&Govt Index The duration of the portfolio increased to 2.46 compared to 2.37 at the end of the prior quarter.The portfolio had a large cash contribution in late 2021 which was not fully invested until January 2022, which contributed to the duration change over the reporting period.The Chandler team remains focused on the overall term structure of the portfolio,favoring exposure in the middle of the maturity distribution,to take advantage of the current shape of the yield curve. 23 Q Table of Contents Investment Performance As of March 31, 2022 Orange County Sanitation District Long Term Total Rate of Return Annualized Since Inception November 30, 2014 2.00% 1.00% 0.00% -1.00% -2.00% -3.00% -4.00% 12 months 2 years 3 years 5 years 10 years Since Inception ■Orange County Sanitation District Long Term ICE BofA 1-5 Yr AAA-A US Corp&Govt Index Annualized TOTAL RATE OF RETURN 3 months 12 months 2 years 3 years 5 years 10 years Since Inception Orange County Sanitation District Long Term -2.93% -3.33% -1.03% 1.16% 1.43% N/A 1.33% ICE BofA 1-5 Yr AAA-A US Corp&Govt Index -3.24% -3.70% -1.43% 1.05% 1.32% N/A 1.25% Total rate of return: A measure of a portfolio's performance over time. It is the internal rate of return,which equates the beginning value of the portfolio with the ending value;it includes interest earnings, realized and unrealized gains and losses in the portfolio. 24 C�„ Table of Contents Compliance As of March 31, 2022 Orange County Sanitation District Liquid Assets managed by Chandler Asset Management are in full compliance with state law and with the investment policy Category Standard Comment U.S.Treasuries 10%minimum; 1 year max maturity Complies 20%max per agency of the U.S.Government,which does not provide the full faith and credit of the U.S.government;1 year max maturity; Federal Agencies Securities,obligations,participations,or other instruments of,or issued by,or fully guaranteed as to principal and interest by the US Government Complies ,a federal agency,or a US Government-sponsored enterprise "AA"rated or better by a NRSRO; 30%max; 1 year max maturity;U.S.dollar denominated senior unsecured unsubordinated obligations issued Supranational Obligations or unconditionally guaranteed by the International Bank for Reconstruction and Development("IBRD"),the International Finance Corporation Complies ("IFC")or the Inter-American Development Bank("IADB") "A"rated or higher by a NRSRO; or as otherwise approved by the Board of Directors; Taxable or tax-exempt municipal bonds issued by any of Municipal Securities Complies the 50 states;10%max; 5%max issuer; 1 year max maturity "A"rating category or better by a NRSRO; 30%max;5%max per issuer; 1 year max maturity; Issued by corporations organized and operating Corporate Medium Term Notes Complies within the U.S.or issued by depository institutions licensed by the U.S.or any state and operating within the U.S.with AUM>$500 million Non-Agency Asset-Backed Securities, "AA"rating category or better by a NRSRO; 20%max(combined MBS/CMO/ABS); 5%max issuer(except U.S.government or its agencies);1 year Mortgage-Backed Securities,CMOs max maturity; Mortgage pass-through security,collateralized mortgage obligation,mortgage-backed or other pay-through bond,equipment lease-Complies backed certificate,consumer receivable pass-through certificate,or consumer receivable-backed bond "A"rating or better long term debt by a NRSRO;or highest short term rating for deposits by a NRSRO; or as otherwise approved by the Board of Negotiable Certificates of Deposit Directors; 30%max;5%max issuer;1 year max maturity; Negotiable certificates of deposit issued by a nationally or state-chartered bank or state Complies (NCD) of federal savings and loan association,as defined by Section 5102 of the California Financial Code 5%max issuer;1 year max maturity; Secured(collateralized)time deposits issued by a nationally or state-chartered bank or state or federal Certificates of Deposit savings and loan association,as defined by Section 5102 of the California Financial Code and having a net operating profit in the two most Complies recently completed fiscal years;Collateral must comply with California Government Code A-1 rated or highest short term rating by a NRSRO; 40%max; 5%max issuer;180 days max maturity;Acceptance is eligible for purchase by the Banker's Acceptances Complies Federal Reserve System A-1 rated or better by a NRSRO; "A"long term debt rating or better by a NRSRO; Issued by a domestic corporation organized and operating in Commercial Paper the U.S.with assets>$500 million; 40%max; 5%max issuer; 10%max of the outstanding commercial paper of any single issuer;270 days max Complies maturity Mutual Fund&Money Market Mutual Highest rating or"AAA"rated by two NRSROs;or SEC registered adviser with AUM>$500 million and experience>than 5 years;20%max in Fund Mutual Funds; 10%max per one Mutual Fund; 20%max per issuer on Money Market Mutual Funds and are not subject to the 10%stipulation Complies No more than the statutory maximum may be invested in LAIF; Not used by investment adviser;Investment of OCSD funds in LAIF shall be Local Agency Investment Fund(LAIF) Complies subject to investigation and due diligence prior to investing,and on a continual basis to a level of review pursuant to the policy 25 Q% Table of Contents Compliance As of March 31, 2022 Orange County Sanitation District Liquid Assets managed by Chandler Asset Management are in full compliance with state law and with the investment policy Category Standard Comment Orange County Treasurer's Money 15%max; Not used by investment adviser; Orange County Treasurer's Money Market Commingled Investment Pool; Investment of OCSD funds in Market Commingled Investment Pool Complies (OCCIP) OCCIP would be subject to investigation and due diligence prior to investing and on continual basis to a level of review pursuant to the policy Repurchase Agreements 20%max;102%collateralization Complies Reverse Repurchase Agreements 5%max,90 days max maturity Complies Mortgage Derivatives,which include interest-only payments(IOs)and principal-only payments(POs); Inverse floaters,and RE-REMICS(Real Estate Prohibited Complies Mortgage Investment Conduits) If securities owned by the OCSD are downgraded below the quality required by the Investment Policy,it shall be OCSD's policy to review the credit situation and make a determination as to whether to sell or retain such securities in the portfolio.If a decision is made to retain the downgraded Securities Downgrade Complies securities in the portfolio,their presence in the portfolio will be monitored and reported quarterly to the OCSD General Manager,the Administration Committee and Board of Directors Avg Duration Not to exceed 180 days Complies Max Per Holding 5%max of the total debt outstanding of any issuer per individual holding Complies Max Per Issuer 5%max per issuer(except Supranationals,U.S.Government,Agencies,Mutual Funds); 20%max per issuer on Money Market Mutual Funds Complies Maximum Maturity 1 year max maturity Complies 26 c,,, Table of Contents Portfolio Characteristics As of March 31, 2022 Orange County Sanitation District Liquid Benchmark* Portfolio Portfolio Average Maturity(yrs) 0.15 0.24 0.27 Average Modified Duration 0.15 0.23 0.27 Average Purchase Yield n/a 0.29% 0.11% Average Market Yield 0.28% 0.58% 0.18% Average Quality" AAA AA+/Aaa AA+/Aaa Total Market Value 155,832,772 230,856,942 *ICE BofA 3-Month US Treasury Bill Index **Benchmark is a blended rating of S&P,Moody's,and Fitch. Portfolio is S&P and Moody's respectively. Multiple securities were purchased in the Treasury, Certificate of Deposit, and Corporate sectors of the allocation to keep the portfolio invested consistent with the strategy.The purchased securities ranged in maturity from May 2022 to January 2023. One security was sold, and multiple securities matured,to fund the $75 million withdrawal in January 2022 and to facilitate the new positions in the portfolio. 27 Q11 Table of Contents Sector Distribution As of March 31, 2022 Orange County Sanitation District Liquid March 31, 2022 December 31, 2021 Corporate Commercial Corporate 7.7% Paper 3.5% 2.6% Money Market Money Market Fund Fund 3.5% 2.2% Negotiable CD 4.8% Negotiable CD 13.2% US Treasury US Treasury 77.0% 85.6% The sector allocation changed moderately over the quarter.The Negotiable CD and Corporate allocations each increased by 8.4% and 4.2%, respectively, partially offset by the 8.6% decline in the Treasury allocation. 28 Q11 Table of Contents Issuers As of March 31, 2022 Orange County Sanitation District Liquid —Account#10282 PortfolioIssue Name Investment Type % Government of United States US Treasury 76.99% Bank of Nova Scotia Houston Negotiable CD 3.21% Nordea Bank ABP New York Negotiable CD 2.89% First American Govt Obligation Fund Class-Z Money Market Fund 2.18% Svenska Handelsbanken NY Negotiable CD 1.93% Cooperatieve Rabobank UA Negotiable CD 1.92% Royal Bank of Canada Negotiable CD 1.92% Metlife Inc Corporate 1.45% JP Morgan Chase&Co Corporate 1.30% Morgan Stanley Corporate 1.30% Truist Financial Corporation Corporate 1.30% Honda Motor Corporation Corporate 1.29% Toronto Dominion Holdings Negotiable CD 1.29% Bank of New York Corporate 1.02% TOTAL 100.00% 29 Q Table of Contents Quality Distribution As of March 31, 2022 Orange County Sanitation District Liquid March 31, 2022 vs. December 31, 2021 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0 AAA AA A <A NR ■03/31/22 ■12/31/21 03/31/22 38.1% 55.7% 4.9% 1.3% 0.0% 12/31/21 27.3% 69.2% 2.6% 0.9% 0.0% Source:S&P Ratings 30 Cif Table of Contents Quality Distribution As of March 31, 2022 Orange County Sanitation District Liquid March 31, 2022 vs. December 31, 2021 120.0% 100.0% 80.0% 60.0% 40.0% 20.0% 0.0 AAA AA A <A NR ■03/31/22 ■12/31/21 03/31/22 92.3% 1.5% 6.2% 0.0% 0.0% 12/31/21 96.5% 0.0% 3.5% 0.0% 0.0% Source:Moody's Ratings 31 Q1 Table of Contents Duration Distribution As of March 31, 2022 Orange County Sanitation District Liquid Portfolio Compared to the Benchmark 120.0% 100.0% 80.0% 60.0% 40.0% 20.0% 0.0% _ 0-0.25 0.25-0.50 0.50- 1 1- 1.5 1.5-2 2-2.5 2.5-3 3+ ■Orange County Sanitation District Liquid ■ICE BofA 3-Month US Treasury Bill Index i Portfolio 57.5% 36.8% 5.7% 0.0% 0.0% 0.0% 0.0% 0.0% Benchmark* 100.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% "ICE BofA 3-Month US Treasury Bill Index The duration of the portfolio contracted moderately, currently 0.23 compared to the prior quarter's 0.29. Upcoming liquidity needs in late June 2022 are contributing to the current shorter duration of the portfolio. 32 Q11 Table of Contents Investment Performance As of March 31, 2022 Orange County Sanitation District Liquid Total Rate of Return Annualized Since Inception November 30, 2014 1.40% 1.20% 1.00% 0.80% 0.60% 0.40% 0.20% 0.00% 12 months 2 years 3 years 5 years 10 years Since Inception ■Orange County Sanitation District Liquid ■ICE BofA 3-Month US Treasury Bill Index Annualized TOTAL RATE OF RETURN 3 months 12 months 2 years 3 years 5 years 10 years Since Inception Orange County Sanitation District Liquid -0.01% 0.03% 0.10% 0.91% 1.20% N/A 0.93% ICE BofA 3-Month US Treasury Bill Index 0.04% 0.06% 0.09% 0.81% 1.13% N/A 0.83% Total rate of return:A measure of a portfolio's performance over time. It is the internal rate of return,which equates the beginning value of the portfolio with the ending value;it includes interest earnings, realized and unrealized gains and losses in the portfolio. 33 Q" Table of Contents Compliance As of March 31, 2022 OCSD Lehman Exposure Assets managed by Chandler Asset Management are in full compliance with state law and with the investment policy Category Standard Comment Treasury Issues 5 years maximum maturity Complies Supranational "AA"or better by 1 of 3 NRSROs; 30%maximum; 5%max; 5 years maturity; Includes only: IADB,IBRD,and IFC per CGC Complies U.S.Agencies 20%max issuer; 5 years maximum maturity Complies U.S.Corporate(MTNs) "A"or better long term rating by 1 of 3 NRSROs; 30%maximum;5%max issuer; 5 years max maturity Complies* Municipal Securities "A"or higher by 1 of 3 NRSROS;10%maximum; 5%max issuer; 5 years maximum maturity Complies Asset Backed/CMOs/Mortgage- "AA"or better by 1 of 3 NRSROs; "A"or higher issuer rating by 1 of 3 NRSROs; 20%maximum; 5%max issuer(excluding MBS/govt agency);5 backed years max maturity Complies "A"or better on its longterm debt by 1 of 3 NRSROs; "A1/P1"or highest short term ratings by 1 of 3 NRSROs; 30%maximum;5%max issuer; 5 Negotiable CDs Complies years max maturity CDs/TDS 5%max issuer; 5 years max maturity Complies Banker's Acceptances A-1,or equivalent highest short term rating by 1 of 3 NRSROS; 40%maximum; 5%max issuer;180 days max maturity Complies A-1,or equivalent by 1 of 3 NRSROS; "A"or better by 1 of 3 NRSROs,if long term debt issued; 25%maximum; 5%max issuer; 270 days max Commercial Paper Complies maturity Money Market Fund Highest rating by 2 of 3 NRSROs; 20%maximum;10%max issuer Complies Repurchase Agreements 102%collateralization Complies Reverse Repurchase Agreements 5%maximum,90 days max maturity Complies LAIF Not used by investment adviser Complies Avg Duration Not to exceed 60 months - (80%to 120%of the benchmark) Complies Maximum Maturity 5 years maximum maturity Complies *Account holds$2 million face value(cusip 525ESCOy6)and$600,000 face value(cusip 525ESC1B7)of defaulted Lehman Bros Holdings that were purchased by the previous manager. Complied at time of purchase. 34 C�" Table of Contents Portfolio Characteristics As of March 31, 2022 OC SAN Lehman Exposure PortfolioPortfolio Average Maturity(yrs) 7.39 7.76 Modified Duration 0.00 0.00 Average Purchase Yield 0.00% 0.00% Average Market Yield 0.00% 0.00% Average Quality* NR/NR NR/NR Total Market Value 39,141 391921 *Portfolio is S&P and Moody's,respectively. 35 Cif Table of Contents Section 3 Consolidated Information 3e G\\ Table of Contents Portfolio Characteristics As of March 31, 2022 Orange County Sanitation District Consolidated PortfolioPortfolio Average Maturity(yrs) 2.30 2.03 Modified Duration 2.06 1.87 Average Purchase Yield 1.25% 1.07% Average Market Yield 2.00% 0.67% Average Quality* AA+/Aa1 AA+/Aa1 Total Market Value 876,559,204 973,122,640 *Portfolio is 5&P and Moody's respectively. 37 Q11 Table of Contents Sector Distribution As of March 31, 2022 Orange County Sanitation District Consolidated March 31, 2022 December 31, 2021 Commercial ABS Paper ABS 8.0% 0.6% 4.6% US Treasury 39.9% US Treasury 470% Agency . Agency 16.7% 16.9% CMO 0.6% CMO 1.2% Common Stock 0.0% Common Stock 0.0% Corporate Supranational 18.1% 6.2% Negotiable CD 4.4% Corporate Supranational 7.1% Money Market Mortgage Pass Money Market 22.9% Negotiable CD Mortgage Pass Fund Thru Fund 3 0% Thru 2 3% 0.0% 0.5% 0.1% 38 Q11 Table of Contents Section 4 Portfolio Holdings 3s G\\ Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration ABS 58770FAC6 Mercedes Benz Auto Lease Trust 2020-A A3 250,596.32 01/21/2020 250,563.29 100.03 250,680.27 0.03% Aaa/AAA 0.71 1.840% Due 12/15/2022 1.85% 250,588.21 0.91% 204.93 92.06 NR 0.04 78445JAA5 SLM Student Loan Trust 2008-9 A 9,188.68 08/22/2008 9,151.39 100.17 9,204.66 0.00% Ba3/B 1.07 1.709% Due 04/25/2023 1.77% 9,185.97 2.39% 28.79 18.69 B 0.03 44891VAC5 Hyundai Auto Lease Trust 2021-B A3 4,155,000.00 06/08/2021 4,154,376.75 97.86 4,066,066.38 0.56% Aaa/AAA 2.22 0.330% Due 06/17/2024 0.34% 4,154,596.14 2.28% 609.40 (88,529.76) NR 1.11 65479JAD5 Nissan Auto Receivables Owner 2019-CA3 2,050,972.08 10/16/2019 2,050,863.79 100.19 2,054,944.81 0.29% Aaa/AAA 2.29 1.930% Due 07/15/2024 1.94% 2,050,919.66 1.42% 1,759.28 4,025.15 NR 0.38 89237VAB5 Toyota Auto Receivables Trust 2020-C A3 2,544,518.27 07/21/2020 2,544,322.34 99.08 2,521,032.44 0.35% Aaa/AAA 2.55 0.440% Due 10/15/2024 0.44% 2,544,400.28 2.02% 497.59 (23,367.84) NR 0.58 43813KAC6 Honda Auto Receivables Trust 2020-3 A3 3,235,000.00 09/22/2020 3,234,524.78 98.74 3,194,332.82 0.44% NR/AAA 2.55 0.370% Due 10/18/2024 0.38% 3,234,752.64 2.13% 432.23 (40,419.82) AAA 0.71 89239CAC3 Toyota Lease Owner Trust 2021-B A3 3,185,000.00 07/27/2021 3,184,957.00 97.05 3,091,163.53 0.43% Aaa/NR 2.56 0.420% Due 10/21/2024 0.42% 3,184,968.55 2.52% 408.74 (93,805.02) AAA 1.42 47787NAC3 John Deere Owner Trust 2020-B A3 1,227,946.48 07/14/2020 1,227,759.34 98.89 1,214,279.45 0.17% Aaa/NR 2.63 0.510% Due 11/15/2024 0.52% 1,227,850.26 2.22% 278.33 (13,570.81) AAA 0.65 58769KAD6 Mercedes-Benz Auto Lease Trust 2021-B A3 3,315,000.00 06/22/2021 3,314,749.72 97.45 3,230,596.79 0.45% NR/AAA 2.63 0.400% Due 11/15/2024 0.40% 3,314,824.00 2.42% 589.33 (84,227.21) AAA 1.27 09690AAC7 BMW Vehicle Lease Trust 2021-2 A3 2,070,000.00 09/08/2021 2,069,786.38 97.49 2,017,989.18 0.28% Aaa/NR 2.74 0.330% Due 12/26/2024 0.34% 2,069,837.28 2.43% 113.85 (51,848.10) AAA 1.20 44891WAC3 Hyundai Auto Lease Trust 2022-AA3 2,895,000.00 01/11/2022 2,894,936.02 97.64 2,826,669.32 0.39% Aaa/AAA 2.80 1.160% Due 01/15/2025 1.16% 2,894,941.66 2.61% 1,492.53 (68,272.34) NR 1.64 89238LAC4 Toyota Lease Owner Trust 2022-A A3 6,125,000.00 02/23/2022 6,124,035.93 98.31 6,021,689.63 0.84% NR/AAA 2.90 1.960% Due 02/20/2025 1.98% 6,124,072.53 2.87% 3,668.19 (102,382.90) AAA 1.88 36265MAC9 GM Financial Auto Lease Trust 2022-1 A3 5,020,000.00 02/15/2022 5,019,956.83 98.80 4,959,609.40 0.69% Aaa/NR 2.97 1.900% Due 03/20/2025 1.91% 5,019,958.86 2.58% 2,914.39 (60,349.46) AAA 1.78 05601XAC3 BMW Vehicle Lease Trust 2022-1 A3 2,400,000.00 01/11/2022 2,399,641.20 97.51 2,340,309.60 0.32% NR/AAA 2.99 1.100% Due 03/25/2025 1.11% 2,399,673.65 2.72% 440.00 (59,364.05) AAA 1.55 43813GAC5 Honda Auto Receivables Trust 2021-1 A3 1,605,000.00 02/17/2021 1,604,970.63 97.92 1,571,559.83 0.22% Aaa/NR 3.06 0.270% Due 04/21/2025 0.27% 1,604,981.14 2.54% 120.38 (33,421.31) AAA 0.92 47788UAC6 John Deere Owner Trust 2021-AA3 2,300,000.00 03/02/2021 2,299,557.94 96.85 2,227,529.32 0.31% Aaa/NR 3.46 0.360% Due 09/15/2025 0.37% 2,299,688.04 2.79% 368.00 (72,158.72) AAA 1.30 44933LAC7 Hyundai Auto Receivables Trust 2021-AA3 2,100,000.00 04/20/2021 2,099,779.08 97.50 2,047,497.92 0.28% NR/AAA 3.46 0.380% Due 09/15/2025 0.38% 2,099,846.17 2.34% 354.67 (52,348.25) AAA 1.29 40 Q11 Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTIVI Accrued Int. Gain/Loss Fitch Duration 44934KAC8 Hyundai Auto Receivables Trust 2021-BA3 6,040,000.00 07/20/2021 6,038,666.97 96.72 5,841,616.20 0.81% NR/AAA 3.80 0.380% Due O1/15/2026 0.39% 6,038,954.53 2.54% 1,020.09 (197,338.33) AAA 1.53 43815GAC3 Honda Auto Receivables Trust 2021-4A3 2,290,000.00 11/16/2021 2,289,517.27 96.82 2,217,246.70 0.31% Aaa/NR 3.81 0.880% Due O1/21/2026 0.89% 2,289,569.41 2.58% 559.78 (72,322.71) AAA 1.89 47789QAC4 John Deere Owner Trust 2021-B A3 2,820,000.00 07/13/2021 2,819,748.46 95.82 2,702,118.36 0.38% Aaa/NR 3.96 0.520% Due 03/16/2026 0.52% 2,819,796.39 2.82% 651.73 (117,678.03) AAA 1.85 44935FAD6 Hyundai Auto Receivables Trust 2021-C A3 1,600,000.00 11/09/2021 1,599,642.88 96.10 1,537,596.80 0.21% NR/AAA 4.13 0.740% Due 05/15/2026 0.75% 1,599,684.62 2.82% 526.22 (62,087.82) AAA 1.90 43815BAC4 Honda Auto Receivables Trust 2022-1 A3 3,930,000.00 02/15/2022 3,929,408.93 98.21 3,859,633.39 0.54% Aaa/AAA 4.13 1.880% Due 05/15/2026 1.89% 3,929,427.51 2.68% 3,283.73 (69,794.12) NR 2.26 362554AC1 GM Financial Securitized Term 2021-4 A3 1,705,000.00 10/13/2021 1,704,956.52 96.60 1,646,980.56 0.23% Aaa/AAA 4.47 0.680% Due 09/16/2026 0.68% 1,704,962.19 2.67% 483.08 (57,981.63) NR 1.73 47787JAC2 John Deere Owner Trust 2022-A A3 3,010,000.00 03/10/2022 3,009,334.19 98.70 2,970,966.32 0.41% Aaa/NR 4.47 2.320% Due 09/16/2026 2.34% 3,009,342.52 2.91% 2,909.67 (38,376.20) AAA 2.22 448977ADO Hyundai Auto Receivables Trust 2022-AA3 4,300,000.00 03/09/2022 4,299,834.45 98.75 4,246,379.00 0.59% NR/AAA 4.55 2.220% Due 10/15/2026 2.23% 4,299,836.68 2.79% 3,977.50 (53,457.68) AAA 2.21 380146AC4 GM Financial Auto Receivables 2022-1A3 1,590,000.00 01/11/2022 1,589,861.83 96.81 1,539,296.47 0.21% NR/AAA 4.63 1.260% Due 11/16/2026 1.27% 1,589,870.03 3.09% 834.75 (50,573.56) AAA 1.76 71,764,903.91 70,206,989.15 9.75% Aaa/AAA 3.29 TOTAL ABS 71,773,221.83 1.06% 71,766,528.92 2.55% 28,527.18 (1,559,539.77) Aaa 1.53 Agency 3135GOT94 FNMA Note 5,000,000.00 Various 4,910,990.00 100.66 5,033,235.00 0.70% Aaa/AA+ 0.81 2.375% Due O1/19/2023 2.78% 4,985,033.90 1.53% 23,750.00 48,201.10 AAA 0.79 313383QR5 FHLB Note 5,000,000.00 08/28/2018 5,083,350.00 101.46 5,073,185.00 0.71% Aaa/AA+ 1.19 3.250% Due 06/09/2023 2.87% 5,020,730.03 2.00% 50,555.56 52,454.97 NR 1.15 3137EAEN5 FHLMC Note 10,000,000.00 Various 9,956,500.00 100.96 10,095,680.00 1.41% Aaa/AA+ 1.22 2.750% Due 06/19/2023 2.84% 9,989,293.32 1.95% 77,916.66 106,386.68 AAA 1.19 3135GO5G4 FNMA Note 6,775,000.00 07/08/2020 6,760,433.75 97.85 6,629,093.60 0.92% Aaa/AA+ 1.28 0.250% Due 07/10/2023 0.32% 6,768,814.33 1.97% 3,810.94 (139,720.73) AAA 1.26 313383YJ4 FHLB Note 10,000,000.00 Various 10,211,831.00 101.85 10,184,860.00 1.42% Aaa/AA+ 1.44 3.375% Due 09/08/2023 2.89% 10,065,445.87 2.06% 21,562.50 119,414.13 NR 1.40 3130AOF70 FHLB Note 10,000,000.00 Various 10,269,043.75 101.82 10,181,820.00 1.43% Aaa/AA+ 1.69 3.375% Due 12/08/2023 2.79% 10,091,971.91 2.27% 105,937.50 89,848.09 AAA 1.62 41 Q11 Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration 3135GOV34 FNMA Note 5,000,000.00 02/27/2019 4,980,850.00 100.50 5,025,110.00 0.70% Aaa/AA+ 1.85 2.500% Due 02/05/2024 2.58% 4,992,830.70 2.22% 19,444.44 32,279.30 AAA 1.79 3130A1XJ2 FHLB Note 11,110,000.00 Various 11,589,031.30 101.01 11,222,410.98 1.57% Aaa/AA+ 2.21 2.875% Due 06/14/2024 1.96% 11,321,527.88 2.40% 94,936.49 (99,116.90) NR 2.11 3133EKWV4 FFCB Note 5,000,000.00 08/13/2019 5,048,280.00 99.08 4,954,120.00 0.69% Aaa/AA+ 2.32 1.850% Due 07/26/2024 1.65% 5,022,617.90 2.26% 16,701.39 (68,497.90) AAA 2.25 313OA2UW4 FHLB Note 2,500,000.00 09/12/2019 2,635,950.00 101.05 2,526,327.50 0.35% Aaa/AA+ 2.46 2.875% Due 09/13/2024 1.73% 2,566,672.80 2.43% 3,593.75 (40,345.30) AAA 2.35 3135GOX24 FNMA Note 10,000,000.00 Various 10,157,936.40 97.73 9,773,100.00 1.36% Aaa/AA+ 2.78 1.625% Due 01/07/2025 1.28% 10,091,713.98 2.48% 37,916.66 (318,613.98) AAA 2.67 3137EAEPO FHLMC Note 12,335,000.00 Various 12,510,182.05 97.29 12,000,672.16 1.67% Aaa/AA+ 2.87 1.500% Due 02/12/2025 1.20% 12,436,743.38 2.49% 25,183.96 (436,071.22) AAA 2.77 313OA4CH3 FHLB Note 5,225,000.00 03/19/2020 5,526,848.25 99.84 5,216,775.85 0.72% Aaa/AA+ 2.96 2.375% Due 03/14/2025 1.18% 5,403,787.04 2.43% 5,859.98 (187,011.19) AAA 2.83 3135GO3U5 FNMA Note 14,000,000.00 Various 13,996,711.60 94.55 13,236,538.00 1.84% Aaa/AA+ 3.06 0.625% Due 04/22/2025 0.63% 13,998,011.13 2.49% 38,645.84 (761,473.13) AAA 2.99 3135GO4Z3 FNMA Note 9,905,000.00 06/17/2020 9,884,496.65 93.84 9,294,495.42 1.29% Aaa/AA+ 3.22 0.500% Due 06/17/2025 0.54% 9,891,814.46 2.51% 14,307.22 (597,319.04) AAA 3.14 3137EAEU9 FHLMC Note 5,030,000.00 07/21/2020 5,004,950.60 93.36 4,695,892.31 0.65% Aaa/AA+ 3.31 0.375% Due 07/21/2025 0.48% 5,013,424.00 2.48% 3,667.71 (317,531.69) AAA 3.24 3135GO5X7 FNMA Note 7,945,000.00 08/25/2020 7,907,817.40 93.18 7,403,500.58 1.03% Aaa/AA+ 3.41 0.375% Due 08/25/2025 0.47% 7,919,681.58 2.48% 2,979.38 (516,181.00) AAA 3.34 3137EAEX3 FHLMC Note 7,660,000.00 09/23/2020 7,636,943.40 92.94 7,118,905.26 0.99% Aaa/AA+ 3.48 0.375% Due 09/23/2025 0.44% 7,643,933.70 2.51% 638.33 (525,028.44) AAA 3.41 3135GO6G3 FNMANote 8,255,000.00 11/09/2020 8,225,447.10 93.23 7,695,872.34 1.07% Aaa/AA+ 3.61 0.500% Due 11/07/2025 0.57% 8,233,642.71 2.48% 16,510.00 (537,770.37) AAA 3.52 152,297,593.25 147,361,594.00 20.53% Aaa/AA+ 2.41 TOTAL Agency 150,740,000.00 1.50% 151,457,690.62 2.31% 563,918.31 (4,096,096.62) Aaa 2.34 CMO 3137BFE98 FHLMC K041 A2 5,000,000.00 07/01/2021 5,378,515.62 101.14 5,057,110.00 0.70% Aaa/AAA 2.57 3.171% Due 10/25/2024 0.72% 5,292,693.13 2.62% 13,212.50 (235,583.13) AAA 2.36 3137BSRE5 FHLMC K059A2 5,000,000.00 02/18/2022 5,214,062.50 101.49 5,074,270.00 0.71% NR/AAA 4.49 3.120% Due 09/25/2026 1.98% 5,209,392.05 2.72% 13,000.00 (135,122.05) AAA 4.06 42 Q11 Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration 03215PFN4 AMRESCO Residential Securities 1999-1 A 116,624.77 05/20/2011 87,577.91 98.58 114,966.36 0.02% NR/BBB 7.24 1.171% Due 06/25/2029 4.64% 105,009.54 2.09% 26.55 9,956.82 A 0.02 3133TCE95 FHLMC FSPC E3 A 3,373.75 03/11/1998 3,377.29 100.61 3,394.23 0.00% Aaa/AA+ 10.38 3.742% Due 08/15/2032 3.70% 3,374.82 2.02% 10.87 19.41 AAA 0.82 31397QREO FNMA FNR 2011-3 FA 88,148.90 12/20/2010 88,121.38 101.78 89,715.30 0.01% Aaa/AA+ 18.92 0.911% Due 02/25/2041 0.91% 88,131.60 0.73% 13.38 1,583.70 AAA 0.14 31394JY35 FH LMC FSPC T-58 2A 454,861.30 06/09/2011 515,130.42 111.72 508,184.69 0.07% Aaa/AA+ 21.50 6.500% Due 09/25/2043 5.40% 494,970.86 1.54% 492.77 13,213.83 AAA 2.42 11,286,785.12 10,847,640.58 1.51% Aaa/AAA 4.54 TOTAL CMO 10,663,008.72 1.56% 11,193,572.00 2.60% 26,756.07 (345,931.42) Aaa 3.11 Corporate MWA - 084664BT7 Berkshire Hathaway Note 4,000,000.00 05/23/2017 4,131,120.00 100.24 4,009,416.00 0.56% Aa2/AA 0.12 3.000% Due 05/15/2022 2.30% 4,003,178.67 1.06% 45,333.33 6,237.33 A+ 0.12 00440EAU1 Chubb INA Holdings Inc Callable Note Cont 9/3/2022 4,169,000.00 Various 4,232,453.17 100.60 4,194,080.70 0.59% A3/A 0.59 2.875% Due 11/03/2022 2.54% 4,174,599.10 1.43% 49,275.26 19,481.60 A 0.42 90331HNL3 US Bank NA Callable Note Cont 12/23/2022 2,000,000.00 01/29/2018 1,992,640.00 100.70 2,014,056.00 0.28% Al/AA- 0.82 2.850% Due 01/23/2023 2.93% 1,998,797.62 1.87% 10,766.67 15,258.38 AA- 0.72 808513AT2 Charles Schwab Corp Callable Note Cont 12/25/2022 6,750,000.00 05/21/2019 6,729,480.00 100.73 6,799,376.25 0.95% A2/A 0.82 2.650% Due 01/25/2023 2.74% 6,745,431.51 1.64% 32,793.75 53,944.74 A 0.72 06406RAE7 Bank of NY Mellon Corp Callable Note Cont 12/29/2022 2,500,000.00 Various 2,489,555.00 100.89 2,522,350.00 0.35% Al/A 0.83 2.950% Due 01/29/2023 3.03% 2,498,361.72 1.73% 12,701.39 23,988.28 AA- 0.73 00440EAP2 Chubb INA Holdings Inc Note 2,000,000.00 05/24/2018 1,937,000.00 100.61 2,012,194.00 0.28% A3/A 0.95 2.700% Due 03/13/2023 3.42% 1,987,536.88 2.05% 2,700.00 24,657.12 A 0.93 084670BR8 Berkshire Hathaway Callable Note Cont 1/15/2023 2,500,000.00 04/20/2018 2,440,950.00 100.70 2,517,527.50 0.35% Aa2/AA 0.96 2.750% Due 03/15/2023 3.28% 2,488,494.18 1.85% 3,055.56 29,033.32 A+ 0.78 58933YAF2 Merck&Co Note 2,000,000.00 10/26/2018 1,948,640.00 100.82 2,016,368.00 0.28% Al/A+ 1.13 2.800% Due 05/18/2023 3.41% 1,987,260.49 2.06% 20,688.89 29,107.51 A+ 1.10 46625HRL6 JP Morgan Chase Callable Note Cont 3/18/2023 5,000,000.00 Various 4,821,910.00 100.42 5,021,230.00 0.70% A2/A- 1.13 2.700% Due 05/18/2023 3.59% 4,954,067.24 2.25% 49,875.00 67,162.76 AA- 0.94 69353RFL7 PNC Bank Callable Note Cont 5/9/2023 5,000,000.00 Various 4,993,318.05 101.32 5,065,955.00 0.71% A2/A 1.19 3.500% Due 06/08/2023 3.53% 4,998,413.09 2.28% 54,930.56 67,541.91 A+ 1.07 43 Q Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTIVI Accrued Int. Gain/Loss Fitch Duration 166764AH3 Chevron Corp Callable Note Cont 3/24/2023 3,500,000.00 11/08/2018 3,441,095.00 101.12 3,539,238.50 0.50% Aa2/AA- 1.23 3.191% Due 06/24/2023 3.59% 3,484,294.33 2.02% 30,092.90 54,944.17 NR 0.96 931142EK5 Wal-Mart Stores Callable Note Cont 5/26/2023 3,880,000.00 Various 3,878,991.40 101.75 3,947,806.88 0.55% Aa2/AA 1.24 3.400% Due 06/26/2023 3.41% 3,879,750.75 1.86% 34,812.22 68,056.13 AA 1.12 02665WCJS American Honda Finance Note 845,000.00 07/11/2018 843,538.15 101.41 856,915.35 0.12% A3/A- 1.29 3.450% Due 07/14/2023 3.49% 844,624.12 2.33% 6,235.40 12,291.23 A 1.25 02665WCQ2 American Honda Finance Note 2,000,000.00 Various 1,998,320.00 101.40 2,028,032.00 0.29% A3/A- 1.53 3.625% Due 10/10/2023 3.64% 1,999,480.15 2.68% 34,437.50 28,551.85 A 1.45 24422EUM9 John Deere Capital Corp Note 1,250,000.00 11/28/2018 1,250,237.50 102.06 1,275,725.00 0.18% A2/A 1.53 3.650% Due 10/12/2023 3.64% 1,250,074.71 2.27% 21,418.40 25,650.29 A 1.46 06051GHF9 Bank of America Corp Callable Note 1X 3/5/2023 6,675,000.00 Various 6,770,625.75 100.70 6,721,678.28 0.94% A2/A- 1.93 3.550% Due 03/05/2024 2.92% 6,712,516.66 2.33% 17,113.96 9,161.62 AA- 1.86 09247XAL5 Blackrock Inc Note 1,000,000.00 05/09/2019 1,036,330.00 102.09 1,020,882.00 0.14% Aa3/AA- 1.97 3.500% Due 03/18/2024 2.69% 1,014,708.42 2.40% 1,263.89 6,173.58 NR 1.89 808513BN4 Charles Schwab Corp Callable Note Cont 2/18/2024 2,785,000.00 03/16/2021 2,783,607.50 96.75 2,694,367.75 0.37% A2/A 1.97 0.750% Due 03/18/2024 0.77% 2,784,089.03 2.46% 754.27 (89,721.28) A 1.93 458140BD1 Intel Corp Callable Note Cont 3/11/2024 5,000,000.00 05/09/2019 5,025,900.00 100.81 5,040,620.00 0.71% Al/A+ 2.12 2.875% Due 05/11/2024 2.76% 5,010,424.60 2.44% 55,902.78 30,195.40 A+ 1.86 037833CU2 Apple Inc Callable Note Cont 3/11/2024 3,000,000.00 05/17/2019 3,017,760.00 100.90 3,026,868.00 0.42% Aaa/AA+ 2.12 2.850% Due 05/11/2024 2.72% 3,007,180.87 2.37% 33,250.00 19,687.13 NR 1.87 023135BW5 Amazon.com Inc Note 5,490,000.00 05/10/2021 5,481,984.60 96.43 5,293,902.69 0.74% AI/AA 2.12 0.450% Due 05/12/2024 0.50% 5,484,354.12 2.19% 9,538.88 (190,451.43) AA- 2.08 89114QCA4 Toronto Dominion Bank Note 3,000,000.00 06/12/2019 3,000,570.00 99.95 2,998,497.00 0.42% Al/A 2.20 2.650% Due 06/12/2024 2.65% 3,000,250.80 2.67% 24,070.83 (1,753.80) AA- 2.10 02665WCZ2 American Honda Finance Note 1,219,000.00 07/10/2019 1,213,843.63 99.38 1,211,423.92 0.17% A3/A- 2.24 2.400% Due 06/27/2024 2.49% 1,216,672.23 2.69% 7,639.07 (5,248.31) A 2.15 79466LAG9 Salesforce.com Inc Callable Note Cont 7/15/2022 1,350,000.00 06/29/2021 1,349,311.50 95.83 1,293,656.40 0.18% A2/A+ 2.29 0.625% Due 07/15/2024 0.64% 1,349,476.26 2.51% 1,781.25 (55,819.86) NR 2.24 78013XZU5 Royal Bank of Canada Note 6,500,000.00 09/10/2019 6,581,445.00 99.63 6,476,002.00 0.90% Al/A 2.30 2.550% Due 07/16/2024 2.28% 6,538,535.59 2.72% 34,531.25 (62,533.59) AA- 2.20 46647PAUO JP Morgan Chase&Co Callable Note 1X 7/23/2023 2,500,000.00 09/12/2019 2,632,175.00 101.19 2,529,670.00 0.35% A2/A- 2.32 3.797% Due 07/23/2024 2.26% 2,562,954.68 2.44% 17,930.28 (33,284.68) AA- 2.20 02665WEA5 American Honda Finance Note 6,000,000.00 Various 5,979,632.85 96.44 5,786,310.01 0.81% A3/A- 2.79 1.500% Due 01/13/2025 1.62% 5,980,689.14 2.84% 19,500.00 (194,379.13) A 2.69 44 C`„ Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration 90331HPL1 US Bank NA Callable Note Cont 12/21/2024 7,270,000.00 01/16/2020 7,254,514.90 98.01 7,125,087.09 0.99% Al/AA- 2.81 2.050% Due O1/21/2025 2.10% 7,261,303.93 2.79% 28,979.03 (136,216.84) AA- 2.69 037833AZ3 Apple Inc Note 3,922,000.00 07/14/2021 4,154,496.16 99.86 3,916,599.41 0.55% Aaa/AA+ 2.87 2.500% Due 02/09/2025 0.81% 4,108,317.86 2.55% 14,162.78 (191,718.45) NR 2.73 00440EAS6 Chubb INA Holdings Inc Note 2,000,000.00 10/28/2020 2,203,740.00 101.17 2,023,436.00 0.28% A3/A 2.96 3.150% Due 03/15/2025 0.78% 2,137,655.27 2.73% 2,800.00 (114,219.27) A 2.80 06367WB85 Bank of Montreal Note 7,000,000.00 08/12/2021 7,226,940.00 96.21 6,734,826.00 0.94% A2/A- 3.09 1.850% Due 05/01/2025 0.96% 7,188,725.58 3.15% 53,958.33 (453,899.58) AA- 2.94 747525AFO Qualcomm Inc Callable Note Cont 2/20/2025 8,000,000.00 Various 8,479,891.80 101.99 8,159,016.00 1.15% A2/A 3.14 3.450% Due 05/20/2025 1.63% 8,441,323.94 2.78% 100,433.33 (282,307.94) NR 2.92 61747YEA9 Morgan Stanley Callable Note Cont 5/30/2024 8,885,000.00 05/26/2021 8,889,710.25 95.08 8,447,831.36 1.18% Al/BBB+ 3.17 0.790% Due 05/30/2025 0.77% 8,888,401.37 2.42% 23,592.14 (440,570.01) A 3.09 438516CBO Honeywell Intl Callable Note Cont 5/1/2025 5,000,000.00 06/23/2020 5,119,000.00 96.40 4,820,030.00 0.67% A2/A 3.17 1.350% Due 06/01/2025 0.85% 5,075,660.08 2.54% 22,500.00 (255,630.08) A 3.06 78015K7H1 Royal Bank of Canada Note 4,000,000.00 Various 4,013,620.00 94.49 3,779,524.00 0.53% Al/A 3.20 1.150% Due 06/10/2025 1.10% 4,006,153.62 2.97% 14,183.33 (226,629.62) AA- 3.08 06051GHY8 Bank of America Corp Callable Note Cont 2/13/2025 2,500,000.00 03/04/2021 2,583,450.00 96.36 2,408,980.00 0.34% A2/A- 3.88 2.015% Due 02/13/2026 1.14% 2,560,875.56 2.92% 6,716.67 (151,895.56) AA- 3.67 46647PBH8 JP Morgan Chase&Co Callable Note Mthly 3/13/2025 3,500,000.00 Various 3,602,345.00 96.51 3,377,965.50 0.47% A2/A- 3.95 2.005% Due 03/13/2026 1.24% 3,576,312.63 2.92% 3,508.75 (198,347.13) AA- 3.76 40139LBD4 Guardian Life Glob Fun Note 3,250,000.00 02/09/2022 3,124,290.00 92.63 3,010,341.75 0.42% Aa2/AA+ 4.12 1.250% Due 05/13/2026 2.21% 3,128,258.94 3.17% 15,572.92 (117,917.19) NR 3.94 91324PEC2 United Health Group Inc Callable Note Cont 4/15/2026 4,000,000.00 Various 3,904,703.05 93.05 3,721,804.00 0.52% A3/A+ 4.13 1.150% Due 05/15/2026 1.73% 3,906,259.67 2.95% 17,377.78 (184,455.67) A 3.96 89236TJK2 Toyota Motor Credit Corp Note 7,285,000.00 06/15/2021 7,281,794.60 92.90 6,768,027.26 0.94% Al/A+ 4.22 1.125% Due 06/18/2026 1.13% 7,282,298.41 2.93% 23,448.59 (514,271.15) A+ 4.05 06051GJD2 Bank of America Corp Callable Note Cont 6/19/2025 2,250,000.00 06/24/2021 2,254,432.50 93.83 2,111,190.75 0.29% A2/A- 4.22 1.319% Due 06/19/2026 1.27% 2,253,586.91 2.91% 8,408.63 (142,396.16) AA- 4.04 58989V2D5 Met Tower Global Funding Note 3,745,000.00 09/07/2021 3,741,554.60 92.42 3,461,263.82 0.48% Aa3/AA- 4.46 1.250% Due 09/14/2026 1.27% 3,741,930.08 3.08% 2,210.59 (280,666.26) AA- 4.27 06368FAC3 Bank of Montreal Note 3,000,000.00 Various 2,994,647.40 91.93 2,757,909.00 0.38% A2/A- 4.46 1.250% Due 09/15/2026 1.29% 2,995,227.80 3.21% 1,666.67 (237,318.80) AA- 4.27 45 Q Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration 931142ERO Wal-Mart Stores Callable Note Cont 08/17/2026 1,725,000.00 09/08/2021 1,721,739.75 93.10 1,605,945.68 0.22% Aa2/AA 4.47 1.050% Due 09/17/2026 1.09% 1,722,089.70 2.70% 704.38 (116,144.02) AA 4.31 59217GER6 Metlife Note 5,920,000.00 01/03/2022 5,913,251.20 94.08 5,569,666.24 0.78% Aa3/AA- 4.79 1.875% Due 01/11/2027 1.90% 5,913,546.88 3.22% 24,666.67 (343,880.64) AA- 4.49 89114TZN5 Toronto-Dominion Bank Note 2,000,000.00 01/25/2022 1,984,582.40 94.70 1,893,986.00 0.26% Al/A 4.79 1.950% Due 01/12/2027 2.11% 1,985,127.25 3.15% 8,558.33 (91,141.25) AA- 4.49 808513BYO Charles Schwab Corp Callable Note Cont 2/3/2027 2,325,000.00 03/01/2022 2,322,489.00 97.21 2,260,202.25 0.31% A2/A 4.93 2.450% Due 03/03/2027 2.47% 2,322,528.88 3.06% 4,430.42 (62,326.63) A 4.58 89114TZT2 Toronto-Dominion Bank Note 5,000,000.00 03/09/2022 4,960,350.00 98.35 4,917,450.00 0.68% Al/A 4.95 2.800% Due 03/10/2027 2.97% 4,960,806.25 3.16% 8,166.67 (43,356.25) NR 4.57 084664CZ2 Berkshire Hathaway Callable Note Cont 2/15/2027 6,875,000.00 03/07/2022 6,873,693.75 98.28 6,756,860.00 0.94% Aa2/AA 4.96 2.300% Due 03/15/2027 2.30% 6,873,705.91 2.67% 7,027.78 (116,845.91) A+ 4.64 192,607,670.46 187,542,091.34 26.16% Al/A+ 2.71 TOTAL Corporate 191,365,000.00 2.04% 192,286,313.48 2.53% 1,025,467.08 (4,744,222.14) A+ 2.56 Money Market Fund 31846V567 First American Govt Obligation MMKT Class-Z 1,188,487.11 Various 1,188,487.11 1.00 1,188,487.11 0.16% Aaa/AAA 0.00 0.14% 1,188,487.11 0.14% 0.00 0.00 AAA 0.00 1,188,487.11 1,188,487.11 0.16% Aaa/AAA 0.00 TOTAL Money Market Fund 1,188,487.11 0.14% 1,188,487.11 0.14% 0.00 0.00 Aaa 0.00 Mortgage Pass Thru 36225CAZ9 GNMA Pool#G2 80023 8,494.35 08/08/1997 8,635.03 102.64 8,718.18 0.00% Aaa/AA+ 4.73 1.790% Due 12/20/2026 1.68% 8,517.00 1.32% 12.67 201.18 AAA 2.20 36225CC20 GNMA Pool#G2 80088 6,045.97 08/11/1997 6,178.22 100.57 6,080.57 0.00% Aaa/AA+ 5.22 1.590% Due 06/20/2027 1.46% 6,069.11 2.67% 8.01 11.46 AAA 2.37 31348SWZ3 FHLMC FH 786064 1,251.88 02/18/2000 1,221.39 99.94 1,251.19 0.00% Aaa/AA+ 5.76 2.227% Due 01/01/2028 2.41% 1,245.58 3.27% 2.32 5.61 AAA 0.76 31371NUC7 FNMA FIN 257179 6,308.97 12/05/2011 6,672.37 103.74 6,545.08 0.00% Aaa/AA+ 6.01 4.500% Due 04/01/2028 3.72% 6,442.74 2.63% 23.66 102.34 AAA 2.11 31417YAY3 FNMA Pool#FN MA0022 7,792.22 12/05/2011 8,241.03 103.77 8,086.31 0.00% Aaa/AA+ 7.01 4.500% Due 04/01/2029 3.76% 7,973.80 2.81% 29.22 112.51 AAA 2.34 3138EG6F6 FNMA FIN AL0869 4,549.17 12/05/2011 4,811.20 103.76 4,720.18 0.00% Aaa/AA+ 7.18 4.500% Due 06/01/2029 3.77% 4,656.68 2.84% 3.98 63.50 AAA 2.38 46 Q11 Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration 36225CNM4 GNMA Pool#G2 80395 3,287.54 03/15/2000 3,257.73 102.57 3,371.97 0.00% Aaa/AA+ 8.06 1.590% Due 04/20/2030 1.65% 3,279.51 1.91% 4.36 92.46 AAA 2.63 36225CN28 GNMA Pool#G2 80408 28,525.09 03/15/2000 28,235.36 102.62 29,272.13 0.00% Aaa/AA+ 8.14 1.590% Due 05/20/2030 1.65% 28,446.50 2.17% 37.80 825.63 AAA 3.42 31403GXF4 FNMA Pool#FN 748678 775.51 06/10/2013 833.66 105.80 820.51 0.00% Aaa/AA+ 11.51 5.000% Due 10/01/2033 4.16% 808.60 3.26% 3.23 11.91 AAA 3.41 36225DCB8 GNMA Pool#G2 80965 24,015.20 07/19/2004 24,000.19 102.51 24,617.53 0.00% Aaa/AA+ 12.31 1.590% Due 07/20/2034 1.59% 24,009.03 2.22% 31.82 608.50 AAA 4.17 31406XWT5 FNMA Pool#FN 823358 45,598.08 01/11/2006 45,241.84 102.94 46,936.70 0.01% Aaa/AA+ 12.85 2.027% Due 02/01/2035 2.08% 45,440.49 0.49% 77.03 1,496.21 AAA 0.59 31406PQYS FNMA Pool#FN 815971 75,399.69 06/10/2013 81,054.68 108.16 81,552.76 0.01% Aaa/AA+ 12.93 5.000% Due 03/01/2035 4.21% 78,776.65 2.72% 314.17 2,776.11 AAA 3.61 31407BXH7 FNMA Pool#FN 826080 9,932.65 06/10/2013 10,677.59 108.16 10,743.63 0.00% Aaa/AA+ 13.26 5.000% Due 07/01/2035 4.22% 10,382.07 2.73% 41.39 361.56 AAA 3.63 31376KT22 FNMAFN357969 54,002.98 06/10/2013 58,053.20 108.26 58,461.90 0.01% Aaa/AA+ 13.43 5.000% Due 09/01/2035 4.22% 56,458.77 2.74% 52.50 2,003.13 AAA 3.68 31403DJZ3 FNMA Pool#745580 49,764.74 06/10/2013 53,497.09 108.14 53,814.10 0.01% Aaa/AA+ 14.18 5.000% Due 06/01/2036 4.26% 52,075.97 2.77% 207.35 1,738.13 AAA 3.69 3141OF4V4 FNMA Pool#FN 888336 82,460.11 06/10/2013 88,644.64 108.16 89,187.37 0.01% Aaa/AA+ 14.26 5.000% Due 07/01/2036 4.25% 86,298.25 2.74% 343.58 2,889.12 AAA 3.65 429,255.22 434,180.11 0.06% Aaa/AA+ 12.46 TOTAL Mortgage Pass Thru 408,204.15 3.54% 420,880.75 2.40% 1,193.09 13,299.36 Aaa 3.21 Negotiable CD 65558UBJO Nordea Bank APB New York Yankee CD 7,000,000.00 05/19/2021 7,000,702.07 99.95 6,996,381.00 0.97% P-1/A-1+ 0.13 0.210% Due 05/16/2022 0.20% 7,000,087.27 0.61% 13,148.33 (3,706.27) F-1+ 0.13 06417MQL2 Bank of Nova Scotia Houston Yankee CD 5,000,000.00 06/29/2021 4,999,999.61 99.82 4,991,155.00 0.69% P-1/A-1 0.23 0.200% Due 06/23/2022 0.20% 4,999,999.91 0.96% 7,833.33 (8,844.91) F-1+ 0.23 86959RTWO Svenska Handelsbanken NY Yankee CD 6,000,000.00 10/15/2021 6,000,302.58 99.32 5,959,428.00 0.83% P-1/A-1+ 0.54 0.255% Due 10/14/2022 0.25% 6,000,162.93 1.50% 7,140.00 (40,734.93) F-1+ 0.54 18,001,004.26 17,946,964.00 2.49% Aaa/AAA 0.29 TOTAL Negotiable CD 18,000,000.00 0.22% 18,000,250.11 1.00% 28,121.66 (53,286.11) Aaa 0.29 Supranational 4581XOCZ9 Inter-American Dev Bank Note 6,500,000.00 Various 6,249,655.00 100.02 6,501,306.50 0.90% Aaa/AAA 0.46 1.750% Due 09/14/2022 2.65% 6,475,099.70 1.70% 5,371.52 26,206.80 AAA 0.45 47 Q11 Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration 4581XODZ8 Inter-American Dev Bank Note 10,775,000.00 09/15/2021 10,767,026.50 95.31 10,269,329.25 1.43% Aaa/AAA 2.48 0.500% Due 09/23/2024 0.52% 10,768,408.77 2.46% 1,197.22 (499,079.52) NR 2.43 459058JBO Intl.Bank Recon&Development Note 6,245,000.00 04/15/2020 6,220,831.85 94.43 5,897,434.53 0.82% Aaa/AAA 3.06 0.625% Due 04/22/2025 0.70% 6,230,215.87 2.53% 17,238.80 (332,781.34) NR 2.99 4581XODN5 Inter-American Dev Bank Note 5,050,000.00 01/13/2021 5,071,967.50 93.91 4,742,389.35 0.66% Aaa/AAA 3.29 0.625% Due 07/15/2025 0.53% 5,066,067.58 2.57% 6,663.19 (323,678.23) NR 3.21 459058JL8 Intl.Bank Recon&Development Note 15,000,000.00 Various 14,964,951.60 92.91 13,936,545.00 1.94% Aaa/AAA 3.58 0.500% Due 10/28/2025 0.55% 14,973,616.65 2.59% 31,875.00 (1,037,071.65) AAA 3.49 4581XODV7 Inter-American Dev Bank Note 13,370,000.00 04/13/2021 13,308,765.40 93.40 12,487,914.25 1.74% Aaa/AAA 4.06 0.875% Due 04/20/2026 0.97% 13,320,368.45 2.60% 52,319.41 (832,454.20) AAA 3.92 56,583,197.85 53,834,918.88 7.49% Aaa/AAA 3.02 TOTAL Supranational 56,940,000.00 0.90% 56,833,777.02 2.45% 114,665.14 (2,998,858.14) Aaa 2.94 US Treasury 91282CBG5 US Treasury Note 7,000,000.00 03/29/2021 6,998,632.82 98.83 6,917,967.00 0.96% Aaa/AA+ 0.84 0.125% Due 01/31/2023 0.14% 6,999,379.48 1.54% 1,450.28 (81,412.48) AAA 0.83 9128284D9 US Treasury Note 10,000,000.00 Various 9,887,265.63 100.76 10,075,780.00 1.40% Aaa/AA+ 1.00 2.500% Due 03/31/2023 2.75% 9,977,249.38 1.73% 683.06 98,530.62 AAA 0.99 9128281169 US Treasury Note 5,000,000.00 05/30/2018 4,757,226.56 99.71 4,985,545.00 0.70% Aaa/AA+ 1.17 1.625% Due 05/31/2023 2.67% 4,943,494.68 1.88% 27,232.14 42,050.32 AAA 1.14 912828U57 US Treasury Note 15,000,000.00 Various 14,723,632.81 99.92 14,987,700.00 2.09% Aaa/AA+ 1.67 2.125% Due 11/30/2023 2.53% 14,904,744.19 2.17% 106,833.79 82,955.81 AAA 1.62 91282CBA8 US Treasury Note 6,500,000.00 12/29/2020 6,491,367.19 96.53 6,274,274.50 0.87% Aaa/AA+ 1.71 0.125% Due 12/15/2023 0.17% 6,495,020.15 2.21% 2,388.39 (220,745.65) AAA 1.69 91282CDR9 US Treasury Note 7,500,000.00 12/28/2021 7,500,292.97 97.46 7,309,567.50 1.02% Aaa/AA+ 1.75 0.750% Due 12/31/2023 0.75% 7,500,256.45 2.24% 14,140.19 (190,688.95) AAA 1.72 912828V80 US Treasury Note 7,500,000.00 Various 7,491,503.91 99.96 7,496,775.00 1.04% Aaa/AA+ 1.84 2.250% Due 01/31/2024 2.27% 7,496,738.07 2.27% 27,969.62 36.93 AAA 1.78 912828W48 US Treasury Note 10,000,000.00 04/24/2019 9,911,718.75 99.71 9,970,700.00 1.39% Aaa/AA+ 1.92 2.125% Due 02/29/2024 2.32% 9,965,156.07 2.28% 18,478.26 5,543.93 AAA 1.86 912828W15 US Treasury Note 7,000,000.00 06/10/2019 7,193,046.88 100.28 7,019,411.00 0.98% Aaa/AA+ 2.13 2.500% Due 05/15/2024 1.91% 7,083,117.41 2.36% 66,229.28 (63,706.41) AAA 2.04 912828XX3 US Treasury Note 5,000,000.00 07/12/2019 5,028,710.94 99.16 4,957,810.00 0.69% Aaa/AA+ 2.25 2.000% Due 06/30/2024 1.88% 5,013,008.65 2.39% 25,138.12 (55,198.65) AAA 2.18 48 Q11 Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration 912828WUO USTreasury Inflation Index Note 12,310,792.00 Various 12,199,457.93 105.04 12,931,379.07 1.79% Aaa/AA+ 2.29 0.125% Due 07/15/2024 0.22% 12,285,200.78 (2.01%) 3,230.76 646,178.29 AAA 2.31 91282CCX7 US Treasury Note 10,500,000.00 Various 10,377,363.28 95.09 9,984,429.00 1.39% Aaa/AA+ 2.46 0.375% Due 09/15/2024 0.81% 10,389,968.35 2.45% 1,818.95 (405,539.35) AAA 2.42 912828YH7 US Treasury Note 14,000,000.00 Various 13,859,296.88 97.73 13,681,724.00 1.90% Aaa/AA+ 2.50 1.500% Due 09/30/2024 1.72% 13,926,481.53 2.44% 573.77 (244,757.53) AAA 2.43 9128283.17 US Treasury Note 16,500,000.00 Various 16,783,886.72 99.11 16,353,051.00 2.29% Aaa/AA+ 2.67 2.125% Due 11/30/2024 1.76% 16,652,935.43 2.47% 117,517.17 (299,884.43) AAA 2.56 912828ZL7 US Treasury Note 12,000,000.00 Various 11,998,515.63 93.73 11,247,660.00 1.56% Aaa/AA+ 3.08 0.375% Due 04/30/2025 0.38% 11,999,049.68 2.50% 18,895.03 (751,389.68) AAA 3.02 91282CAM3 US Treasury Note 6,500,000.00 10/16/2020 6,477,656.25 92.48 6,011,232.50 0.83% Aaa/AA+ 3.50 0.250% Due 09/30/2025 0.32% 6,484,197.39 2.51% 44.40 (472,964.89) AAA 3.44 91282CBC4 US Treasury Note 10,000,000.00 Various 9,943,320.32 92.45 9,245,310.00 1.28% Aaa/AA+ 3.76 0.375% Due 12/31/2025 0.50% 9,955,418.56 2.49% 9,426.80 (710,108.56) AAA 3.68 91282CBH3 US Treasury Note 18,000,000.00 Various 17,781,875.00 92.26 16,607,106.00 2.31% Aaa/AA+ 3.84 0.375% Due 01/31/2026 0.63% 17,829,357.35 2.50% 11,187.85 (1,222,251.35) AAA 3.76 91282CBT7 US Treasury Note 10,000,000.00 Various 9,943,359.37 93.36 9,336,330.00 1.30% Aaa/AA+ 4.00 0.750% Due 03/31/2026 0.87% 9,954,610.88 2.50% 204.92 (618,280.88) AAA 3.90 91282CCF6 US Treasury Note 7,500,000.00 06/18/2021 7,443,750.00 93.12 6,983,790.00 0.97% Aaa/AA+ 4.17 0.750% Due 05/31/2026 0.91% 7,452,600.42 2.50% 18,853.02 (468,810.42) AAA 4.05 91282CCW9 US Treasury Note 8,000,000.00 Various 7,874,375.01 92.81 7,425,000.00 1.03% Aaa/AA+ 4.42 0.750% Due 08/31/2026 1.08% 7,885,891.89 2.48% 5,217.39 (460,891.89) AAA 4.29 91282CDG3 US Treasury Note 19,250,000.00 Various 19,119,013.68 94.18 18,130,343.00 2.53% Aaa/AA+ 4.59 1.125% Due 10/31/2026 1.27% 19,127,225.84 2.48% 90,932.33 (996,882.84) AAA 4.40 912828Z78 US Treasury Note 11,500,000.00 Various 11,276,464.84 95.70 11,005,856.50 1.53% Aaa/AA+ 4.84 1.500% Due 01/31/2027 1.92% 11,278,209.13 2.45% 28,591.16 (272,352.63) AAA 4.61 235,061,733.37 228,938,741.07 31.85% Aaa/AA+ 2.85 TOTAL US Treasury 236,560,792.00 1.30% 235,599,311.76 2.10% 597,036.68 (6,660,570.69) Aaa 2.77 739,220,630.55 718 301606 24 100.00% Aa1/AA 2.74 (20,445,205.53 TOTAL PORTFOLIO 737,638,713.81 1.45% 738,746,811.77 2 30"� 2,385,685.21 ) Aaa 2.46 TOTAL MARKET VALUE PLUS ACCRUALS 720,687,291.45 49 Q Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Liquid - Account#10282 Corporate AmA 61744YAH1 Morgan Stanley Note 2,000,000.00 06/15/2021 2,047,260.00 100.17 2,003,488.00 1.30% Al/BBB+ 0.13 2.750% Due 05/19/2022 0.19% 2,006,731.39 1.43% 20,166.67 (3,243.39) A 0.13 02665WDF5 American Honda Finance Note 2,000,000.00 06/16/2021 2,032,780.00 100.06 2,001,244.00 1.29% A3/A- 0.14 1.950% Due 05/20/2022 0.17% 2,004,780.42 1.48% 14,191.67 (3,536.42) A 0.14 05531FBG7 Truist Financial Corporation Callable Note Cont 2,000,000.00 07/01/2021 2,049,420.00 100.23 2,004,624.00 1.30% A3/A- 0.22 5/20/2022 0.21% 2,007,615.03 1.31% 17,113.89 (2,991.03) A 0.14 3.050% Due 06/20/2022 59217GEE5 Metlife Note 2,255,000.00 03/09/2022 2,259,126.65 100.02 2,255,387.86 1.45% Aa3/AA- 0.79 1.950% Due 01/13/2023 1.73% 2,258,845.29 1.93% 9,527.38 (3,457.43) AA- 0.77 46625HJH4 JP Morgan Chase Note 2,000,000.00 02/03/2022 2,042,640.00 101.06 2,021,104.00 1.30% A2/A- 0.82 3.200% Due 01/25/2023 0.98% 2,036,219.77 1.89% 11,733.33 (15,115.77) AA- 0.80 06406RAM9 Bank of NY Mellon Corp Callable Note Cont 1/2/2023 1,585,000.00 03/09/2022 1,589,501.40 100.07 1,586,147.54 1.02% Al/A 0.83 1.850% Due 01/27/2023 1.49% 1,589,183.12 1.75% 5,212.89 (3,035.58) AA- 0.75 12,020,728.05 11,871,995.40 7.67% Al/A 0.48 TOTAL Corporate 11,840,000.00 0.79% 11,903,375.02 1.63% 77,945.83 (31,379.62) A+ 0.45 Money Market Fund , mom 31846V567 First American Govt Obligation MMKT Class-Z 3,391,537.49 Various 3,391,537.49 1.00 3,391,537.49 2.18% Aaa/AAA 0.00 0.14% 3,391,537.49 0.14% 0.00 0.00 AAA 0.00 3,391,537.49 3,391,537.49 2.18% Aaa/AAA 0.00 TOTAL Money Market Fund 3,391,537.49 0.14% 3,391,537.49 0.14% 0.00 0.00 Aaa 0.00 Negotiable CD 06417MNK7 Bank of Nova Scotia Houston Yankee CD 3,000,000.00 04/09/2021 3,000,000.00 100.00 2,999,922.00 1.93% P-1/A-1 0.02 0.220% Due 04/08/2022 0.22% 3,000,000.00 0.34% 6,545.00 (78.00) F-1+ 0.02 89114W7M1 Toronto Dominion Yankee CD 2,000,000.00 04/29/2021 1,999,999.94 99.99 1,999,860.00 1.29% P-1/A-1 0.08 0.240% Due 04/28/2022 0.24% 2,000,000.00 0.33% 4,506.67 (140.00) F-1+ 0.08 86959RQE3 Svenska Handelsbanken NY Yankee CD 3,000,000.00 08/26/2021 3,001,280.93 99.97 2,998,995.00 1.93% P-1/A-1+ 0.11 0.230% Due 05/10/2022 0.17% 3,000,194.38 0.53% 6,248.33 (1,199.38) F-1+ 0.11 06417MPK5 Bank of Nova Scotia Houston Yankee CD 2,000,000.00 02/25/2022 1,998,885.30 99.97 1,999,302.00 1.29% P-1/A-1 0.12 0.220% Due 05/13/2022 0.48% 1,999,391.98 0.51% 3,947.78 (89.98) F-1+ 0.12 65558UBJO Nordea Bank APB New York Yankee CD 3,000,000.00 05/19/2021 3,000,300.89 99.95 2,998,449.00 1.93% P-1/A-1+ 0.13 0.210% Due 05/16/2022 0.20% 3,000,037.40 0.61% 5,635.00 (1,588.40) F-1+ 0.13 50 Q11 Table of Contents Holdings Report As of March 31, 2022 Orange County Sanitation District Liquid - Account#10282 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTIVI Accrued Int. Gain/Loss Fitch Duration 65558UDC3 Nordea Bank APB New York Yankee CD 1,500,000.00 02/02/2022 1,498,165.95 99.86 1,497,856.50 0.96% P-1/A-1+ 0.23 0.190% Due 06/24/2022 0.50% 1,498,915.07 0.80% 2,232.50 (1,058.57) F-1+ 0.23 21684XUU8 Cooperative Rabobank UA Yankee CD 3,000,000.00 01/05/2022 3,000,000.00 99.83 2,994,927.00 1.92% P-1/A-I 0.30 0.330% Due 07/18/2022 0.33% 3,000,000.00 0.89% 2,337.50 (5,073.00) F-1+ 0.30 78012U3M5 Royal Bank of Canada Yankee CD 3,000,000.00 02/11/2022 3,000,000.00 99.48 2,984,262.00 1.92% P-1/A-1+ 0.88 1.350% Due 02/14/2023 1.35% 3,000,000.00 1.95% 5,175.00 (15,738.00) F-1+ 0.87 20,498,633.01 20,473,573.50 13.16% Aaa/AAA 0.25 TOTAL Negotiable CD 20,500,000.00 0.44% 20,498,538.83 0.77% 36,627.78 (24,965.33) Aaa 0.24 US Treasury 9128286M7 US Treasury Note 7,500,000.00 04/29/2021 7,657,324.22 100.07 7,505,617.50 4.87% Aaa/AA+ 0.04 2.250% Due 04/15/2022 0.06% 7,506,292.97 0.43% 77,884.62 (675.47) AAA 0.04 912796U23 US Treasury Bill 10,000,000.00 12/27/2021 9,996,463.06 99.99 9,999,256.95 6.42% P-1/A-1+ 0.07 0.107% Due 04/26/2022 0.11% 9,999,256.95 0.11% 0.00 0.00 F-1+ 0.07 912828ZM5 US Treasury Note 25,000,000.00 Various 25,014,746.10 99.99 24,996,700.00 16.05% Aaa/AA+ 0.08 0.125% Due 04/30/2022 0.06% 25,001,301.10 0.28% 13,121.54 (4,601.10) AAA 0.08 9127961143 US Treasury Bill 10,000,000.00 12/27/2021 9,990,904.17 99.96 9,995,734.72 6.41% P-1/A-1+ 0.23 0.185% Due 06/23/2022 0.19% 9,995,734.72 0.19% 0.00 0.00 F-1+ 0.23 912828ZX1 US Treasury Note 7,000,000.00 Various 6,998,750.00 99.89 6,992,342.00 4.49% Aaa/AA+ 0.25 0.125% Due 06/30/2022 0.16% 6,999,422.85 0.56% 2,199.58 (7,080.85) AAA 0.25 912796R50 US Treasury Bill 13,000,000.00 12/28/2021 12,986,494.08 99.95 12,993,321.25 8.34% P-1/A-1+ 0.25 0.206% Due 06/30/2022 0.21% 12,993,321.25 0.21% 0.00 0.00 F-1+ 0.25 912796X20 US Treasury Bill 2,500,000.00 03/24/2022 2,494,714.69 99.80 2,495,076.08 1.60% P-1/A-1+ 0.30 0.651% Due 07/19/2022 0.66% 2,495,076.08 0.66% 0.00 0.00 F-1+ 0.30 912796S59 US Treasury Bill 10,000,000.00 Various 9,974,739.48 99.78 9,979,166.04 6.40% P-1/A-1+ 0.33 0.636% Due 07/28/2022 0.65% 9,979,166.04 0.65% 0.00 0.00 F-1+ 0.32 91282CAC5 US Treasury Note 35,000,000.00 Various 34,976,757.81 99.78 34,923,420.00 22.42% Aaa/AA+ 0.33 0.125% Due 07/31/2022 0.26% 34,984,639.63 0.78% 7,251.37 (61,219.63) AAA 0.34 120,090,893.61 119,880,634.54 76.99% Aaa/AAA 0.22 TOTAL US Treasury 120,000,000.00 0.22% 119,954,211.59 0.46% 100,457.11 (73,577.05) Aaa 0.22 156,001,792.16 155,617,740.93 100.00% Aaa/AA+ 0.24 TOTAL PORTFOLIO 155,731,537.49 0.29% 155,747,662.93 0.58% 215,030.72 (129,922.00) Aaa 0.23 TOTAL MARKET VALUE PLUS ACCRUALS 155,832,771.65 51 Q1 Table of Contents Holdings Report As of March 31, 2022 OC SAN Lehman Exposure - Account#10284 CUSIP Security Description Par Value/Units Purchase Date Cost Value Mkt Price Market Value %of Port. Moody/S&P Maturity Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration Common Stock # SLHOPNTA4 Lehman Brothers,Inc Open Position Long Exposure 60,641.49 11/21/2014 57,842.64 0.42 25,621.03 65.46% NR/NR 0.00 0.000% Due 03/31/2022 0.00% 57,842.64 0.00% 0.00 (32,221.61) NR 0.00 57,842.64 25,621.03 65.46% NR/NR 0.00 TOTAL Common Stock 60,641.49 0.00% 57,842.64 0.00% 0.00 (32,221.61) NR 0.00 Corporate 525ESCIB7 Lehman Brothers Note-Defaulted 600,000.00 09/19/2008 316,428.27 0.52 3,120.00 7.97% NR/NR 0.82 0.000% Due 01/24/2023 0.00% 316,428.27 0.00% 0.00 (313,308.27) NR 0.00 525ESCOY6 Lehman Brothers Note-Defaulted 2,000,000.00 09/18/2008 1,019,380.10 0.52 10,400.00 26.57% NR/NR 27.58 0.000% Due 10/22/2049 0.00% 1,019,380.10 0.00% 0.00 (1,008,980.10) NR 0.00 1,335,808.37 13,520.00 34.54% NR/NR 21.41 TOTAL Corporate 2,600,000.00 0.00% 1,335,808.37 0.00% 0.00 (1,322,288.37) NR 0.00 1,393,651.01 39,141.03 100.00% NR/NR 7.39 TOTAL PORTFOLIO 2,660,641.49 0.00% 1,393,651.01 0.00% 0.00 (1,354,509.98) NR 0.00 TOTAL MARKET VALUE PLUS ACCRUALS 39,141.03 52 Q1 Table of Contents Section 5 Transactions 53 G\\ Table of Contents ITransaction Ledger As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 December31,2021 through March 31,2022 Transaction Settlement CUSIP Quantity Security Description Price Acq/Disp Amount I nterest Total Amount Gain/Loss Type Date Yield Pur/Sold ACQUISITIONS Purchase 01/11/2022 59217GER6 5,920,000.00 Metlife Note 99.886 1.90% 5,913,251.20 0.00 5,913,251.20 0.00 1.875%Due:01/11/2027 Purchase 01/13/2022 02665WEA5 4,565,000.00 American Honda Finance Note 99.921 1.53% 4,561,393.65 0.00 4,561,393.65 0.00 1.5%Due:01/13/2025 Purchase 01/19/2022 05601XAC3 2,400,000.00 BMW Vehicle Lease Trust 2022-1 A3 99.985 1.11% 2,399,641.20 0.00 2,399,641.20 0.00 1.1%Due:03/25/2025 Purchase 01/19/2022 380146AC4 1,590,000.00 GM Financial Auto Receivables 2022-1 A3 99.991 1.27% 1,589,861.83 0.00 1,589,861.83 0.00 1.26%Due:11/16/2026 Purchase 01/19/2022 44891WAC3 2,895,000.00 Hyundai Auto Lease Trust 2022-A A3 99.998 1.16% 2,894,936.02 0.00 2,894,936.02 0.00 1.16%Due:01/15/2025 Purchase 01/27/2022 89114TZN5 1,280,000.00 Toronto-Dominion Bank Note 99.259 2.11% 1,270,515.20 1,040.00 1,271,555.20 0.00 1.95%Due:01/12/2027 Purchase 01/27/2022 89114TZN5 720,000.00 Toronto-Dominion Bank Note 99.176 2.13% 714,067.20 585.00 714,652.20 0.00 1.95%Due:01/12/2027 Purchase 01/31/2022 747525AFO 2,210,000.00 Qualcomm Inc Callable Note Cont 2/20/2025 104.904 1.91% 2,318,378.40 15,037.21 2,333,415.61 0.00 3.45%Due:05/20/2025 Purchase 01/31/2022 912828Z78 7,500,000.00 US Treasury Note 99.332 1.64% 7,449,902.34 0.00 7,449,902.34 0.00 1.5%Due:01/31/2027 Purchase 02/09/2022 02665WEA5 1,435,000.00 American Honda Finance Note 98.832 1.91% 1,418,239.20 1,554.58 1,419,793.78 0.00 1.5%Due:01/13/2025 Purchase 02/11/2022 40139LBD4 3,250,000.00 Guardian Life Glob Fun Note 96.132 2.21% 3,124,290.00 9,930.56 3,134,220.56 0.00 1.25%Due:05/13/2026 Purchase 02/22/2022 91324PEC2 2,245,000.00 United Health Group Inc Callable Note Cont 95.502 2.27% 2,144,019.90 6,956.38 2,150,976.28 0.00 4/15/2026 1.15%Due:05/15/2026 Purchase 02/23/2022 36265MAC9 5,020,000.00 GM Financial Auto Lease Trust 2022-1 A3 99.999 1.91% 5,019,956.83 0.00 5,019,956.83 0.00 1.9%Due:03/20/2025 Purchase 02/23/2022 43815BAC4 3,930,000.00 Honda Auto Receivables Trust 2022-1 A3 99.985 1.89% 3,929,408.93 0.00 3,929,408.93 0.00 1.88%Due:05/15/2026 Purchase 02/24/2022 3137BSRE5 5,000,000.00 FHLMC K059 A2 104.281 1.98% 5,214,062.50 9,966.67 5,224,029.17 0.00 3.12%Due:09/25/2026 54 Q11 Table of Contents ITransaction Ledger As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 December31,2021 through March 31,2022 Transaction Settlement CUSIP Quantity Security Description Price Acq/Disp Amount I nterest Total Amount Gain/Loss Type Date Yield Pur/Sold Purchase 02/28/2022 89238LAC4 6,125,000.00 Toyota Lease Owner Trust 2022-A A3 99.984 1.98% 6,124,035.93 0.00 6,124,035.93 0.00 1.96%Due:02/20/2025 Purchase 03/03/2022 808513BYO 2,325,000.00 Charles Schwab Corp Callable Note Cont 2/3/2027 99.892 2.47% 2,322,489.00 0.00 2,322,489.00 0.00 2.45%Due:03/03/2027 Purchase 03/11/2022 89114TZT2 5,000,000.00 Toronto-Dominion Bank Note 99.207 2.97% 4,960,350.00 388.89 4,960,738.89 0.00 2.8%Due:03/10/2027 Purchase 03/15/2022 084664CZ2 6,875,000.00 Berkshire Hathaway Callable Note Cont 2/15/2027 99.981 2.30% 6,873,693.75 0.00 6,873,693.75 0.00 2.3%Due:03/15/2027 Purchase 03/16/2022 448977ADO 4,300,000.00 Hyundai Auto Receivables Trust 2022-A A3 99.996 2.23% 4,299,834.45 0.00 4,299,834.45 0.00 2.22%Due:10/15/2026 Purchase 03/16/2022 47787JAC2 3,010,000.00 John Deere Owner Trust 2022-A A3 99.978 2.34% 3,009,334.19 0.00 3,009,334.19 0.00 2.32%Due:09/16/2026 Purchase 03/31/2022 912828Z78 4,000,000.00 US Treasury Note 95.664 2.46% 3,826,562.50 9,779.01 3,836,341.51 0.00 1.5%Due:01/31/2027 Subtotal 81,595,000.00 81,378,224.22 55,238.30 81,433,462.52 0.00 Security 01/31/2022 912828WUO 60,840.00 US Treasury Inflation Index Note 100.000 60,840.00 3.36 60,843.36 0.00 Contribution 0.125%Due:07/15/2024 Security 02/28/2022 912828WUO 37,960.00 US Treasury Inflation Index Note 100.000 37,960.00 5.77 37,965.77 0.00 Contribution 0.125%Due:07/15/2024 Security 03/30/2022 912828WUO 100,776.00 US Treasury Inflation Index Note 100.000 100,776.00 25.75 100,801.75 0.00 Contribution 0.125%Due:07/15/2024 Subtotal 199,576.00 199,576.00 34.88 199,610.88 0.00 TOTAL ACQUISITIONS 81,794,576.00 81,577,800.22 55,273.18 81,633,073.40 0.00 55 Cif Table of Contents ITransaction Ledger As of March 31, 2022 Orange County Sanitation District Long Term -Account#10268 December31,2021 through March 31,2022 Transaction Settlement CLISIP Quantity Security Description Price Acq/Disp Amount I nterest Total Amount Gain/Loss Type Date Yield Pur/Sold DISPOSITIONS Sale 01/12/2022 9128281-57 6,500,000.00 US Treasury Note 100.996 1.95% 6,564,746.09 32,500.00 6,597,246.09 74,991.51 1.75%Due:09/30/2022 Sale 02/18/2022 912796U23 10,000,000.00 US Treasury Bill 99.959 0.11% 9,995,835.77 0.00 9,995,835.77 -2,117.01 0.11%Due:04/26/2022 Sale 02/25/2022 912828M80 6,000,000.00 US Treasury Note 100.836 2.25% 6,050,156.25 28,681.32 6,078,837.57 60,870.83 2%Due:11/30/2022 Sale 03/03/2022 3133ELYR9 8,850,000.00 FFCB Note 99.986 0.31% 8,848,761.00 7,190.63 8,855,951.63 -253.62 0.25%Due:05/06/2022 Sale 03/10/2022 912828N30 5,000,000.00 US Treasury Note 100.855 2.44% 5,042,773.44 20,252.07 5,063,025.51 54,843.12 2.125%Due:12/31/2022 Sale 03/11/2022 89114QC48 5,000,000.00 Toronto Dominion Bank Note 102.017 3.04% 5,100,850.00 25,277.78 5,126,127.78 71,743.26 3.5%Due:07/19/2023 Sale 03/11/2022 912828M80 2,000,000.00 US Treasury Note 100.727 2.25% 2,014,531.25 11,098.90 2,025,630.15 17,922.92 2%Due:11/30/2022 Sale 03/31/2022 91282CBG5 3,000,000.00 US Treasury Note 98.844 0.14% 2,965,312.50 611.19 2,965,923.69 -34,420.69 0.125%Due:01/31/2023 Subtotal 46,350,000.00 46,582,966.30 125,611.89 46,708,578.19 243,580.32 Call 01/13/2022 06406RAA5 2500,000.00 Bank of NY Mellon Corp Callable Note Cont 100.000 2.60% 2,500,000.00 28,166.67 2,528,166.67 0.00 1/7/2022 2.6%Due:02/07/2022 Call 01/18/2022 69353RFB9 1,000,000.00 PNC Bank Callable Note Cont 1/18/2022 100.000 3.32% 1,000,000.00 11,010.42 1,011,010.42 528.69 2.625%Due:02/17/2022 Subtotal 3,500,000.00 3,500,000.00 39,177.09 3,539,177.09 528.69 Maturity 01/18/2022 4581XOCW6 3,000,000.00 Inter-American Dev Bank Note 100.000 3,000,000.00 0.00 3,000,000.00 0.00 2.125%Due:01/18/2022 Maturity 01/26/2022 459058FY4 10,000,000.00 Intl.Bank Recon&Development Note 100.000 10,000,000.00 0.00 10,000,000.00 0.00 2%Due:01/26/2022 Subtotal 13,000,000.00 13,000,000.00 0.00 13,000,000.00 0.00 TOTAL DISPOSITIONS 62,850,000.00 63,082,966.30 164,788.98 63,247,755.28 244,109.01 56 cll Table of Contents ITransaction Ledger As of March 31, 2022 Orange County Sanitation District Liquid - Account#10282 December31,2021 through March 31,2022 Transaction Settlement CUSIP Quantity Security Description Price Acq/Disp Amount I nterest Total Amount Gain/Loss Type Date Yield Pur/Sold ACQUISITIONS Purchase 01/06/2022 21684XUU8 3,000,000.00 Cooperative Rabobank UA Yankee CD 100.000 0.33% 3,000,000.00 0.00 3,000,000.00 0.00 0.33%Due:07/18/2022 Purchase 02/02/2022 65558UDC3 1,500,000.00 Nordea Bank APB New York Yankee CD 99.878 0.50% 1,498,165.95 1,773.34 1,499,939.29 0.00 0.19%Due:06/24/2022 Purchase 02/07/2022 46625HJH4 2,000,000.00 JP Morgan Chase Note 102.132 0.98% 2,042,640.00 2,133.33 2,044,773.33 0.00 3.2%Due:01/25/2023 Purchase 02/14/2022 78012U3M5 3,000,000.00 Royal Bank of Canada Yankee CD 100.000 1.35% 3,000,000.00 0.00 3,000,000.00 0.00 1.35%Due:02/14/2023 Purchase 02/25/2022 06417MPK5 2,000,000.00 Bank of Nova Scotia Houston Yankee CD 99.944 0.48% 1,998,885.30 3,520.00 2,002,405.30 0.00 0.22%Due:05/13/2022 Purchase 02/25/2022 912796S59 7,500,000.00 US Treasury Bill 99.745 0.61% 7,480,875.00 0.00 7,480,875.00 0.00 0.6%Due:07/28/2022 Purchase 02/28/2022 91282CAC5 5,000,000.00 US Treasury Note 99.805 0.59% 4,990,234.38 483.43 4,990,717.81 0.00 0.125%Due:07/31/2022 Purchase 03/11/2022 06406RAM9 1,585,000.00 Bank of NY Mellon Corp Callable Note Cont 100.284 1.49% 1,589,501.40 3,583.86 1,593,085.26 0.00 1/2/2023 1.85%Due:01/27/2023 Purchase 03/11/2022 59217GEE5 2,255,000.00 Metlife Note 100.183 1.73% 2,259,126.65 7,084.46 2,266,211.11 0.00 1.95%Due:01/13/2023 Purchase 03/24/2022 912796X20 2,500,000.00 US Treasury Bill 99.789 0.66% 2,494,714.69 0.00 2,494,714.69 0.00 0.651%Due:07/19/2022 Purchase 03/31/2022 912796S59 2,500,000.00 US Treasury Bill 99.755 0.75% 2,493,864.48 0.00 2,493,864.48 0.00 0.742%Due:07/28/2022 Subtotal 32,840,000.00 32,848,007.85 18,578.42 32,866,586.27 0.00 TOTAL ACQUISITIONS 32,840,000.00 32,848,007.85 18,578.42 32,866,586.27 0.00 57 Q1 Table of Contents ITransaction Ledger As of March 31, 2022 Orange County Sanitation District Liquid - Account#10282 December31,2021 through March 31,2022 Transaction Settlement CLISIP Quantity Security Description Price Accl/Disp Amount I nterest Total Amount Gain/Loss Type Date Yield Pur/Sold DISPOSITIONS Sale 02/14/2022 912796D30 3,000,000.00 US Treasury Bill 99.999 0.05% 2,999,964.17 0.00 2,999,964.17 2.92 0.047%Due:02/24/2022 Subtotal 3,000,000.00 2,999,964.17 0.00 2,999,964.17 2.92 Maturity 01/21/2022 62479MAM5 2,000,000.00 MUFG Bank Ltd/NY Discount CP 99.895 2,000,000.00 0.00 2,000,000.00 0.00 0.14%Due:01/21/2022 Maturity 01/28/2022 89233HAU8 4,000,000.00 Toyota Motor Credit Discount CP 99.897 4,000,000.00 0.00 4,000,000.00 0.00 0.15%Due:01/28/2022 Maturity 01/31/2022 9128281-186 27,500,000.00 US Treasury Note 100.000 27,500,000.00 0.00 27,500,000.00 0.00 1.5%Due:01/31/2022 Maturity 01/31/2022 912828Z60 40,000,000.00 US Treasury Note 100.000 40,000,000.00 0.00 40,000,000.00 0.00 1.375%Due:01/31/2022 Maturity 02/24/2022 912796D30 9,000,000.00 US Treasury Bill 100.000 9,000,000.00 0.00 9,000,000.00 0.00 0.047%Due:02/24/2022 Maturity 02/26/2022 14913C12T5 2,000,000.00 Caterpillar Finl Service Note 100.000 2,000,000.00 0.00 2,000,000.00 0.00 2.95%Due:02/26/2022 Maturity 02/28/2022 912828J43 7,500,000.00 US Treasury Note 100.000 7,500,000.00 0.00 7,500,000.00 0.00 1.75%Due:02/28/2022 Maturity 03/15/2022 91282861-18 7,500,000.00 US Treasury Note 100.000 7,500,000.00 0.00 7,500,000.00 0.00 2.375%Due:03/15/2022 Subtotal 99,500,000.00 99,500,000.00 0.00 99,500,000.00 0.00 TOTAL DISPOSITIONS 102,500,000.00 102,499,964.1 0.00 102,499,964.17 2.92 58 Cif Table of Contents IImportant Disclosures As of March 31, 2O22 2022 Chandler Asset Management,Inc,An Independent Registered Investment Adviser. Information contained herein is confidential. Prices are provided by IDC,an independent pricing source. In the event IDC does not provide a price or if the price provided is not reflective of fair market value,Chandler will obtain pricing from an alternative approved third party pricing source in accordance with our written valuation policy and procedures.Our valuation procedures are also disclosed in Item 5 of our Form ADV Part 2A. Performance results are presented gross-of-advisory fees and represent the client's Total Return.The deduction of advisory fees lowers performance results.These results include the reinvestment of dividends and other earnings.Past performance may not be indicative of future results.Therefore,clients should not assume that future performance of any specific investment or investment strategy will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Economic factors, market conditions or changes in investment strategies, contributions or withdrawals may materially alter the performance and results of your portfolio. Index returns assume reinvestment of all distributions. Historical performance results for investment indexes generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee,the incurrence of which would have the effect of decreasing historical performance results.It is not possible to invest directly in an index. Source ice Data Indices,LLC("ICE"),used with permission.ICE permits use of the ICE indices and related data on an"as is"basis;ICE,its affiliates and their respective third party suppliers disclaim any and all warranties and representations,express and/or implied,including any warranties of merchantability or fitness for a particular purpose or use,including the indices, index data and any data included in, related to, or derived therefrom. Neither ICE data, its affiliates or their respective third party providers guarantee the quality,adequacy,accuracy,timeliness or completeness of the indices or the index data or any component thereof,and the indices and index data and all components thereof are provided on an"as is"basis and licensee's use it at licensee's own risk.ICE data,its affiliates and their respective third party do not sponsor,endorse,or recommend chandler asset management,or any of its products or services. This report is provided for informational purposes only and should not be construed as a specific investment or legal advice.The information contained herein was obtained from sources believed to be reliable as of the date of publication, but may become outdated or superseded at any time without notice.Any opinions or views expressed are based on current market conditions and are subject to change.This report may contain forecasts and forward-looking statements which are inherently limited and should not be relied upon as indicator of future results. Past performance is not indicative of future results.This report is not intended to constitute an offer, solicitation, recommendation or advice regarding any securities or investment strategy and should not be regarded by recipients as a substitute for the exercise of their own judgment. Fixed income investments are subject to interest, credit and market risk. Interest rate risk:the value of fixed income investments will decline as interest rates rise. Credit risk:the possibility that the borrower may not be able to repay interest and principal. Low rated bonds generally have to pay higher interest rates to attract investors willing to take on greater risk.Market risk:the bond market in general could decline due to economic conditions,especially during periods of rising interest rates. Ratings information have been provided by Moody's,S&P and Fitch through data feeds we believe to be reliable as of the date of this statement,however we cannot guarantee its accuracy. Security level ratings for U.S.Agency issued mortgage-backed securities("MBS")reflect the issuer rating because the securities themselves are not rated.The issuing U.S.Agency guarantees the full and timely payment of both principal and interest and carries a AA+/Aaa/AAA by S&P,Moody's and Fitch respectively. 59 Q% Table of Contents Benchmark Disclosures As of March 31, 2022 ICE BofA 3-Month US Treasury Bill Index The ICE BofA US 3-Month Treasury Bill Index is comprised of a single issue purchased at the beginning of the month and held for a full month.At the end of the month that issue is sold and rolled into a newly selected issue. The issue selected at each month-end rebalancing is the outstanding Treasury Bill that matures closest to,but not beyond,three months from the rebalancing date. ICE BofA 1-5 Yr AAA-A US Corp&Govt Index The ICE BofA 1-5 Year AAA-A US Corporate&Government Index tracks the performance of US dollar denominated investment grade debt publicly issued in the US domestic market,including US Treasury, US agency,foreign government, supranational, and corporate securities. Qualifying securities must be rated AAA through A3 (based on an average of Moody's, S&P and Fitch). In addition, qualifying securities must have at least one year remaining term to final maturity and less than five years remaining term to final maturity,at least 18 months to final maturity at point of issuance,a fixed coupon schedule,and a minimum amount outstanding of$1 billion for US Treasuries and$250 million for all other securities. ICE BofA 1-5 Yr US Corp&Govt Index The ICE BofA 1-5 Year US Corporate& Government Index tracks the performance of US dollar denominated investment grade debt publicly issued in the US domestic market, including US Treasury, US agency,foreign government supranational,and corporate securities. Qualifying securities must have an investment grade rating(based on an average of Moody's,S&P and Fitch). In addition, qualifying securities must have at least one year remaining term to final maturity and less than five years remaining term to final maturity,at least 18 months to final maturity at point of issuance,a fixed coupon schedule,and a minimum amount outstanding of$1 billion for US Treasuries and$250 million for all other securities. 60 Q11 Table of Contents Rating Agency Comparisons A summary of investment grade ratings are listed below. More complete descriptions of Moody's and Standard & Poor's ratings are included in the following pages. Quality/Grade Moody's Standard & Poor's Fitch Best Quality Aaa AAA AAA High Quality Aal AA+ AA+ Aa2 AA AA Aa3 AA- AA- Upper Medium Grade Al A+ A+ A2 A A A3 A- A- Medium Grade Baal BBB+ BBB+ Baa2 BBB BBB Baa3 BBB- BBB1 Moody's - Investment Grade "Aaa" - Bonds rated Aaa are judged to be of the best quality. They carry the smallest degree of investment risk. Interest payments are protected by a large or by an exceptionally stable margin and principal is secure. While the various protective elements are likely to change, such changes as can be visualized are most unlikely to impair the fundamentally strong position of such issues. "Aa" - Bonds which are rated Aa are judged to be of high quality by all standards. Together with the Aaa group they comprise what are generally known as high grade bonds. They are rated lower than the best bonds because margins of protection may not be as large as in Aaa securities or fluctuation of protective elements may be of greater amplitude or there may be other elements present which make the long-term risks appear somewhat larger than in Aaa securities. "A" - Bonds which are rated A possess many favorable investment attributes and are to be considered as upper medium grade obligations. Factors giving security to principal and interest are considered adequate, but elements may be present which suggest a susceptibility to impairment sometime in the future. Table of Contents "Baa" - Bonds which are rated Baa are considered as medium grade obligations; i.e., they are neither highly protected nor poorly secured. Interest payments and principal security appear adequate for the present but certain protective elements may be lacking or may be characteristically unreliable over any great length of time. Such bonds lack outstanding investment characteristics and in fact have speculative characteristics as well. Bonds in the Aa, A, and Baa are also assigned "V, "2", or "Y based on the strength of the issue within each category. Accordingly, "Al" would be the strongest group of A securities and "AY would be the weakest A securities. Ba, B, Caa, Ca, and C - Bonds that possess one of these ratings provide questionable protection of interest and principal ("Ba" indicates some speculative elements; "B" indicates a general lack of characteristics of desirable investment; "Caa" represents a poor standing; "Ca" represents obligations which are speculative in a high degree; and "C" represents the lowest rated class of bonds). "Caa", "Ca" and "C" bonds may be in default. Standard and Poor's-Investment Grade AAA- Debt rated "AAA" has the highest rating assigned by S&P. Capacity to pay interest and repay principal Is extremely strong. AA - Debt rated "AX has a very strong capacity to pay interest and repay principal and differs from the highest rated issues only in small degree. A - Debt rated "A" has a strong capacity to pay interest and repay principal although it is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than debt in higher rated categories. BBB - Debt rated "BBB" is regarded as having an adequate capacity to pay interest and repay principal. Whereas it normally exhibits adequate protection parameters, adverse economic conditions or changing circumstances are more likely to lead to a weakened capacity to pay interest and repay principal for debt in this category than in higher rated categories. Standard and Poor's - Speculative Grade Ratinq Debt rated "BB", "B", "CCC", "CC" and "C" is regarded as having predominantly speculative characteristics with respect to capacity to pay interest and repay principal. "BB" indicates the least degree of speculation and "C" the highest. While such debt will likely have some quality and protective characteristics these are outweighed by major uncertainties or major exposures to adverse conditions. BB - Debt rated "BB" has less near-term vulnerability to default than other speculative issues. However, it faces major ongoing uncertainties or exposure to adverse business, financial, or economic conditions which could lead to inadequate capacity to meet timely interest and principal payments. The "BB" rating category is also used for debt subordinated to senior debt that is assigned an actual or implied "BBB" rating. Table of Contents B - Debt rated "B" has a greater vulnerability to default but currently has the capacity to meet interest payments and principal repayments. Adverse business, financial, or economic conditions will likely impair capacity or willingness to pay interest and repay principal. The "B" rating category is also used for debt subordinated to senior debt that is assigned an actual or implied "BB" or "BB" rating. CCC - Debt rated "CCC" has a currently identifiable vulnerability to default, and is dependent upon favorable business, financial, and economic conditions to meet timely payment of interest and repayment of principal. In the event of adverse business, financial, or economic conditions, it is not likely to have the capacity to pay interest and repay principal. The "CCC" rating category is also used for debt subordinated to senior debt that is assigned an actual or implied "B" or "B" rating. CC - The rating "CC" typically is applied to debt subordinated to senior debt that is assigned an actual or implied "CCC' debt rating. C -The rating "C"typically is applied to debt subordinated to senior debt which is assigned an actual or implied "CCC" debt rating. The "C" rating may be used to cover a situation where a bankruptcy petition has been filed, but debt service payments are continued. Cl - The rating "Cl" is reserved for income bonds on which no interest is being paid. D - Debt rated "D" is in payment default. The "D" rating category is used when interest payments or principal payments are not made on the date due even if the applicable grace period has not expired, unless S&P believes that such payments will be made during such grace period. The "D" rating also will be used upon the filing of a bankruptcy petition if debt service payments are jeopardized. Plus (+) or Minus (-) - The ratings from "AX to "CCC" may be modified by the addition of a plus or minus sign to show relative standing within the major rating categories. NR- Indicates no rating has been requested, that there is insufficient information on which to base a rating, or that S&P does not rate a particular type of obligation as a matter of policy. PUBLIC AGENCY PARS RETIREMENT fY SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. Id t � ORANGE COUNTY SANITATION DISTRICT PARS 115 Trust -Pension Rate Stabilization Program Plan Client Review April 19, 2022 Table of Contents CONTACTS VI(LS PARS � HIGHMARKR A(A NCv RETIREMENT 0 SLRIC ES TRUSTED SOLUTIONS.LASTING RESULTS. CAPITAL MANAGEMENT Mitch Barker Keith Stribling, CFA Executive Vice President Senior Portfolio Manager (800) 540-6369 x116 (949) 553-2591 mbarker@pars.org keith.stribling@highmarkcapital.com Will Rogers, RPA Client Services Coordinator (800) 540-6369 x161 wrogers@pars.org S SERVICES PuPARS TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 2 Table of Contents PARS 115 TRUST TEAM Trust Administrator &Consultant PARS Serves as record-keeper, consultant, • Monitors plan compliance NI IFI MINI IRIS and central point of contact (IRS/GASB/State Government Code) TRUSTED SOLUTIONS.LASTING RESULTS. . Sub-trust accounting • Processes contributions/disbursements • Coordinates all agency services • Hands-on, dedicated support teams 38 2,000+ 1 ,000+ 430+ 500 K+ SUB Years of Experience Plans under Public Agency 115 Trust Clients Plan Participants Assets under (1984-2022) Administration Clients Administration Investment Manager [Mbank AHIGHMARK- CAPITAL MANAGEMENT • 5th largest commercial bank and one of the • Investment sub-advisor to trustee U.S. Bank nation's largest trustees for Section 115 trusts • Investment policy assistance • Safeguard plan assets • Uses open architecture • Oversight protection as plan fiduciary • Active and passive platform options • Custodian of assets • Customized portfolios(with minimum asset level) 159 $9.0 T 103 S20.2B Years of Experience Assets under Trust Years of Experience Assets under (1863-2022) Custody (1919-2022) Management& Advisement ���.E PARS SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 3 Table of Contents PARS PLANS AND PROGRAMS Pension Rate Stabilization Program (PRSP)-client A pension prefunding trust designed specifically to address GASB 68 , liabilities on its financial statements and stabilize future costs. 2 OPEB Trust Program - eligible An OPEB prefunding trust designed to address OPEB liabilities and increase investment rates of return (discount rate). 3 Alternate Retirement System (ARS)-eligible? An alternative to Social Security for part-time employees offered to provide a valuable benefit for employees and permanent payroll savings to the Agency. 4 Supplemental Defined Contribution Plan A locally designed retirement plan offered in addition to PIERS or 37-Act retirement system with the goal of attracting and retaining select employees to the Agency. 5 Accumulated Leave Plan A Defined Contribution solution that reduces leave balances on an annual basis during employment and minimizes total payout amounts. PUBLICPARS AGENCY RETIREMENT SERVICESVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 4 Table of Contents PARS IRS-APPROVED SECTION 115 TRUST Prefund OPEB GASB 75 I • • GASB 68 111 General Fund Pension prefund 4.6 Retiree Medical Benefits either or both Pension Rate Stabilization Program Assets can be used to: Assets can be used to: Reimburse agency; or Reimburse agency; or Pay benefits provider Pay retirement system Subaccounts Financial Stability L, Flexible Investing OPEB and pension assets are Assets in the PARS Section 115 Allows separate investment individually sub-accounted, Combination Trust can be used strategies for OPEB and and can be divided by dept., to address unfunded liabilities. pension subaccounts. bargaining group, or cost center. Anytime Access Economies-of-Scale No Set Up Cost or Minimums Trust funds are available OPEB and pension assets No set-up costs, no minimum anytime; OPEB for OPEB aggregate and reach lower fees annual contribution amounts, and pension for pension. on tiered schedule sooner- and no fees until assets are added. saving money! PUBLICPARS AGENCY RETIREMENT SERVICESVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 5 Table of Contents 115 TRUST - OPEB/PENSION CLIENT LIST Updated April2022 SPECIAL DISTRICTS (110) Agoura Hills/Calabasas Community Center Authority Humboldt Bay Municipal Water District Santa Fe Irrigation District Alameda County Mosquito Abatement District Humboldt No.1 Fire Protection District Sewer Authority Mid-Coastside Alpine Fire Protection District Menlo Park Fire Protection District Shasta Valley Cemetery District Beach Cities Health District Mesa Water District South Coast Water District Bighorn-Desert View Water Agency Metropolitan Transportation Commission South Montebello Irrigation District Bodega Bay Public Utilities District Midpeninsula Regional Open Space District South Orange County Wastewater Authority Calaveras County Water District Mid-Peninsula Water District South Placer Fire Protection District California Joint Powers Insurance Authority Mojave Desert Air Quality Management District Southern Marin Fire Protection District California Joint Powers Risk Management Authority Montecito Fire Protection District State Water Contractors Central Contra Costa Sanitary District Monterey Bay Unified Air Pollution Control District Superior Court of CA,County of Imperial Central Contra Costa Transit Authority Moraga-Orinda Fire Protection District Superior Court of CA,County of Inyo Coastline Regional Occupational Program Mosquito&Vector Mgmt Dist.of Santa Barbara Co. Superior Court of CA,County of Kern Coastside Fire Protection District Mountains Recreation and Conservation Authority Superior Court of CA,County of Marin Conejo Recreation&Park District Municipal Pooling Authority Superior Court of CA,County of Merced Contra Costa County EEs'Retirement Association Municipal Water District of Orange County Superior Court of CA,County of Orange Contra Costa Mosquito and Vector Control District Napa County Mosquito Abatement District Superior Court of CA,County of San Mateo Crestline Village Water District Nevada County Consolidated Fire District Superior Court of CA,County of Shasta Delta Diablo North Central Fire Protection District Superior Court of CA,County of Siskiyou Desert Recreation District Northern Salinas Valley Mosquito Abatement District Superior Court of CA,County of Sonoma East Bay Regional Park District Novato Sanitary District Sweetwater Springs Water District East Contra Costa Fire Protection District Orange County Fire Authority Three Valleys Municipal Water District East Orange County Water District Orange County LAFCO Twentynine Palms Water District Eastern Sierra Community Services District Orange County Mosquito and Vector Control District Union Sanitary District Eastern Sierra Transit Authority Orange County Water District Ventura Regional Sanitation District El Dorado Hills County Water(&Fire)District Orchard Dale Water District Walnut Valley Water District Fallbrook Public Utility District Public Agency Risk Sharing Authority of CA(PARSAC) West Bay Sanitary District Fresno Irrigation District Pebble Beach Community Services District West County Wastewater District Fresno Metropolitan Flood Control District Placentia Library District Western Riverside Council of Governments Glenn-Colusa Irrigation District Placer County Air Pollution Control District Yorba Linda Water District Goleta Cemetery District Placer County Resource Conservation District Zone 7 Water Agency Goleta West Sanitary District Rancho Cucamonga Fire Protection District Great Basin Unified Air Pollution Control District Rancho Murieta Community Services District 3 Greater Vallejo Recreation District Regional Housing Authority EDUCATION DISTRICTS ( ) Hayward Area Recreation&Park District Rowland Water District Hesperia Fire Protection District Sacramento Area Flood Control Agency Shasta County Office of Education Housing Authority of the County of Butte San Andreas Sanitary District Sonoma County Office of Education Housing Authority of the County of Contra Costa San Elijo Joint Powers Authority Intelecom Housing Authority of the County of San Bernardino San Mateo County Mosquito&Vector Control District Housing Authority of the County of Santa Cruz Santa Barbara County Law Library Humboldt Bay Fire Joint Powers Authority Santa Cruz Regional 9-1-1 JPA �� PARS SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 6 Table of Contents 115 TRUST - OPEBRENSION CLIENT LIST Updated April2022 CITIES & TOWNS (142) COUNTIES (32) Alameda El Centro Mammoth Lakes Rosemead Alpine Alhambra El Segundo Manhattan Beach Ross Amador Anaheim Elk Grove Merced San Anselmo Calaveras Atherton Emeryville Modesto San Jacinto Colusa Atwater Escondido Monrovia San Leandro Contra Costa Bakersfield Fairfax Morgan Hill San Ramon Humboldt Beaumont Fairfield Napa Santa Ana Imperial Bell Gardens Fountain Valley National City Santa Clara Inyo Benicia Fullerton Norco Santa Clarita Kern Beverly Hills Galt Norwalk Sausalito Kings Brea Garden Grove Novato Selma Lake Brisbane Gilroy Oakley Solana Beach Lassen Burlingame Glendale Orinda Stanton Mariposa Camarillo Goleta Oroville Stockton Merced Capitola Grass Valley Pacifica Taft Mono Carmel Half Moon Bay Palmdale Temecula Monterey Chino Hills Hawthorne Palo Alto Temple City Napa Chula Vista Healdsburg Pasadena Thousand Oaks Nevada Claremont Hemet Patterson Tiburon Placer Colma Hercules Perris Tustin Plumas Commerce Hermosa Beach Pico Rivera Twentynine Palms Riverside Corcoran Huntington Beach Piedmont Union City San Benito Coronado Indian Wells Pinole Upland Shasta Costa Mesa Indio Pittsburg Vallejo Siskiyou Covina La Habra Placentia Villa Park Solano Crescent City La Mesa Pleasanton Walnut Sonoma Cudahy La Quinta Port Hueneme West Covina Sutter Cupertino La Verne Rancho Cucamonga West Sacramento Tehama Cypress Laguna Niguel Redding Westminster Trinity Daly City Lake Forest Redwood City Winters Tulare Dana Point Lakewood Rialto Woodland Yolo Del Rey Oaks Lemon Grove Richmond Woodside Yuba Dinuba Livermore Rio Vista Yountville Duarte Lodi Riverside Yuba City Dublin Los Alamitos Rohnert Park Yucca Valley El Cajon Los Altos Hills Rolling Hills S�� PARS SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 7 Table of Contents 115 TRUST - OPEB/PENSION CLIENT LIST Updated April2022 SCHOOL DISTRICTS (54) Alisal Union School District Ontario-Montclair School District Roseville Joint Union High School District Alta Loma School District Orcutt Union School District San Bruno Park School District Auburn Union School District Palmdale School District San Dieguito Union High School District Bass Lake Joint Union Elementary School District Palos Verdes Peninsula Unified School District San Marino Unified School District Bellflower Unified School District Placer Union High School District Santa Barbara Unified School District Beverly Hills Unified School District Porterville Unified School District Santa Rita Union School District Brea Olinda Unified School District Poway Unified School District Trona Joint Unified School District Calistoga Joint Unified School District Red Bluff Joint Union High School District Visalia Unified School District Campbell Union High School District Red Bluff Union Elementary School District Westside Union School District Compton Unified School District River Delta Unified School District Whittier City School District Corning Union Elementary School District Riverdale Joint Unified School District Wilsona School District Coronado Unified School District Cotati-Rohnert Park Unified School District El Dorado Union High School District El Monte Union High School District Folsom Cordova Unified School District COMMUNITY COLLEGE DISTRICTS (18) Fontana Unified School District Fowler Unified School District Allan Hancock CCD Rancho Santiago CCD Hermosa Beach City School District Citrus CCD Rio Hondo CCD Hesperia Unified School District Coast CCD San Bernardino CCD Hughes-Elizabeth Lakes Union E.School District Grossmont-Cuyamaca CCD San Luis Obispo County CCD(Cuesta) John Swett Unified School District Hartnell CCD Shasta-Trinity-Tehama Joint CCD Lakeside Union School District(San Diego) Imperial CCD State Center CCD Lemon Grove School District Marin CCD Victor Valley CCD Lindsay Unified School District Palo Verde CCD West Valley-Mission CCD Madera Unified School District Pasadena Area CCD Yosemite CCD Manteca Unified School District Moreno Valley Unified School District Napa Valley Unified School District Natomas Unified School District Newport-Mesa Unified School District Ocean View School District(Ventura) �� PARS SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 8 Table of Contents SUMMARY OF AGENCY'S PENSION PLAN Plan Type: IRC Section 115 Irrevocable Exclusive Benefit Trust Trustee Approach: Discretionary Plan Effective Date: November 17, 2021 Plan Administrator: General Manager Current "OC SAN Al" Investment Strategy: Moderate HighMark PLUS (Active) Strategy; Individual Account Current "OC SAN B1" Investment Strategy: Balanced HighMark PLUS (Active) Strategy; Individual Account AS OF MARCH 31, 2022: OC SAN Al OC SAN B1 TOTAL Initial Contribution: January 2022: $10,000,000 January 2022: $5,000,000 January 2022: $15,000,000 Additional Contributions: $0 $0 $0 Total Contributions: $10,000,000 $5,000,000 $15,000,000 Disbursements: $0 $0 $0 Total Investment Earnings: ($254,558) ($112,132) ($366,690) Account Balance: $9,738,659 $4,884,487 $14,623,146 PUBLIC PARS AGENCY RETIREMENT SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 9 Table of Contents SUMMARY OF AGENCY'S TOTAL PENSION PLAN HISTORY OF CONTRIBUTIONS, DISBURSEMENTS, AND TOTAL ASSETS AS OF MARCH 31, 2022: $16,000,000 $14,000,000 Jan-22 $15,000,000 $0 $14,910,223 Contributions Feb-22 $0 $0 $14,649,008 Disbursements $12,000,000 Total Assets Mar-22 $o $o $14,623,146 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 — Ja n-22 Plan Month Ending �� PARS SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 10 Table of Contents � , t0► �v � S D - - 5` S D.S -.00 PENSION FUNDING STATUS As of June 30, 2021, Orange County Sanitation District's ARBA pension plan is funded as *: 2020 ACFR 2021 ACFR Valuation Date: Valuation Date: July 1,2019 June 30, 2020 Total Pension Liability $21,434,655 $23,320,422 Fiduciary Net Position $0 $0 Net Pension Liability(Asset) $21,434,655 $23,320,422 Funded Ratio 0.00% 0.00% Service Cost $576,661 $730,496 (FY 19-20) (FY 20-21) Discount Rate 3.13% 2.45% PARS Data from Agency's Annual Comprehensive Financial Report for FYE 2020 and 2021. AGENCY RETIREMENT SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 11 Table of ContentIlk 11 l ,42., < < 5 se�c PENSION FUNDING STATUS As of June 30, 2021, Orange County Sanitation District's OCERS pension plan is funded as *: 2020 ACFR 2021 ACFR Valuation Date: Valuation Date: July 1,2019 June 30, 2020 Approximate Total Pension Liability $46.4 M $63.2 M Proportionate Share for OCERS (0.97%) (1.63%) Fiduciary Net Position $49.4 M $68.6 M Proportionate Share of Net Pension Liability(Asset) ($3.1 M) ($5.4 M) Funded Ratio 106.64% 108.5% Employer Contribution Amount $8.7 M $8.5 M (FY 19-20) (FY 20-21) Discount Rate 7.00% 7.00% ��c PARS Data from Agency's Annual Comprehensive Financial Report for RE 2020 and 2021. AGENCY RETIREMENT SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 12 Table of Contents PARS: OC Sanitation District April 21 , 2022 Presented by Keith Stribling, CFA JHIGHMARK@ CAPITAL MANAGEMENT ORANGE COUNTY SANITATION DISTRICT 1 13 Table of Contents DISCUSSION HIGHLIGHTS - OC Sanitation District Investment objective - OC Sanitation District Al Asset Allocation: PARS/Moderate HighMark PLUS (As of 3-31-2022) • Allocation Target—49.51% stocks (40-60% range), 45.75% bonds (40-60% range), 4.74% cash (0-20% range) • Large cap 27.11%, Mid-cap 4.99%, Small cap 7.46%, International 8.17%, REIT 1.79% Performance: OC Sanitation District Al (as of 3-31-2022) gross of investment management fees, net of fund fees • 1-month: -.29% • 2-months: -1.95% • Inception to date (1-1-22): -2.52% Investment objective- OC Sanitation District 131 Asset Allocation: PARS/Balanced HighMark PLUS (As of 3-31-2022) • Allocation Target— 59.22% stocks (50-70% range), 35.31% bonds (30-50% range), 5.47% cash (0-20% range) • Large cap 32.68%, Mid-cap 6.04%, Small cap 8.85%, International 9.64%; REIT 2.01% Performance: OC Sanitation District 1131 (as of 3-31-2022) gross of investment management fees, net of fund fees • 1-month: .15% • 2-months: -1.61% • Inception to date (1-1-22): -2.23% Asset Allocation: • Recently lowered equities • Favoring value style over growth • Recently lowered high yield • Short duration fixed income JHIGHMARK@ CAPITAL MANAGEMENT ORANGE COUNTY SANITATION DISTRICT 14 Table of Contents DISCUSSION HIGHLIGHTS — OC Sanitation District Economic Review ■ Aggressive fiscal policy ■ Monetary policy still easy but changing with pullback on QE ■ Rate hikes expected to curb inflation expectations ■ Vaccines & now antiviral pills...even as covid surges possible light at the end of the covid tunnel? ■ Infrastructure bill passes Congress ■ Eventually global economies will improve ■ Steepening yield curve ■ Risks: Inflation...still more covid hurdles; Fed tapering & Russian aggression with Ukraine & NATO; China slowing JHIGHMARK@ CAPITAL MANAGEMENT ORANGE COUNTY SANITATION DISTRICT 15 Table of Contents Account Name: PARS/OC SANITATION 115P-Al AHIGHMARK0 As of. March 31, 2022 Account ID: xxxxx658OO CAPITAL MANAGEMENT Performance Report Inception to Date 1 Month 2 Months 01/01/2022 Cash Equivalents _01 _01 01 Lipper Money Market Funds Index _01 .01 U 1 Total Fixed Income -2-53 -3.68 -3.64 Bloomberg US Aggregate Bd Index(USD) -2.78 -3.86 -5.93 Total Equities 1.70 -.44 -2.24 Large Cap Funds 2.79 --16 -1.48 S&P 500 Composite Index 3.71 61 -4 60 Mid Cap Funds 2.64 1.88 -_74 Russell Midcap Index 2.56 1.82 -5.68 Small Cap Funds _34 2.32 -1.06 Russell 2000 Index(USD) 1.24 2.33 -7.53 International Equities -_99 -5.05 -6.48 MSCI EAFE Index(Net) 64 -1.14 -5.91 MSCI EM Free Index(Net USD) -226 -5.18 -6.97 Total Managed Portfolio -29 -1.95 -2.52 Retums are gross of fees not including account level advisory fees unless otherwise stated_Gross returns are presented before management and custodial fees but after all trading expenses, embedded and reflect the reinvestment of dividends and other income. Net returns are net of investment management fees in effect for the respective time period.Returns for periods over one year are annualized_An investor cannot invest directly in unmanaged indices.The information presented has been obtained from sources believed to be accurate and reliable.Past performance is not indicative of future returns_Securities are not FDIC insured have no bank guarantee and may lose value_ JHIGHMARK@ CAPITAL MANAGEMENT ORANGE COUNTY SANITATION DISTRICT 1 16 Table of Contents Account Name: PARS/OC SANITATION 115P-B1 AHIGHMARK0 As of. March 31. 2022 Account ID: xxxxx65801 CAPITAL MANAGEMENT Performance Report Inception to Date 1 Month 2 Months 01/01/2022 Cash Equivalents _01 .01 .01 Lipper Money Market Funds Index 0 I Total Fixed Income -2.55 -3.70 -3.66 Bloomberg US Aggregate Bd Index(USD) 7 s -3.86 Total Equities 1.71 -.43 -2.12 Large Cap Funds 2.79 -_16 -1.45 S&P 500 Composite Index 3.71 61 -- Mid Cap Funds 2.71 1.95 -26 Russell Midcap Index 2.56 1.82 -5 v„-, Small Cap Funds _33 2-31 -.72 Russell 2000 Index(USD) 124 2.33 -7 53 Intemational Equities -1.02 -5.09 -6.50 MSCI EAFE Index (Net) 64 -1.14 -5.91 MSCI EM Free Index (Net USD) -226 -5.18 -6.97 Total Managed Portfolio .15 -1.61 -2.23 Returns are gross of fees not including account level advisory fees unless otherwise stated_Gross returns are presented before management and custodial fees but after all trading expenses, embedded and reflect the reinvestment of dividends and other income. Net returns are net of investment management fees in effect for the respective time period. Returns for periods over one year are annualized An investor cannot invest directly in unmanaged indices.The information presented has been obtained from sources believed to be accurate and reliable. Past performance is not indicative of future returns. Securities are not FDIC insured have no bank guarantee and may lose value. HIGHMARK° CAPITAL MANAGEMENT ORANGE COUNTY SANITATION DISTRICT , 17 Table of Contents ASSET ALLOCATION- OC Sanitation District Al Ticker Investment Vehicle Weight Equity 49.51% Large Cap Core COFYX Columbia Contrarian Core Cl Y 5.09% VGIAX Vanguard Gro& Inc Admiral Shares 9.68% Large Cap Value DODGX Dodge&Cox Stock Fund 4.38% IVE iShares S&P 500 Value ETF 2.01% Large Cap Growth HNACX Harbor CP Appre Rtrmt Cl 2.99% PRUFX T. Rowe Price Growth Stock Fund 2.96% Mid Cap Growth IWR iShares Rusell Mid Cap ETF 4.99% Small Cap Value UBVFX Undiscovered Mgrs Behavrl R6 3.68% Small Cap Growth VBK Vanguard Small Cap Gr Vipers 3.78% International Core DFALX DFA Large Cap International Port 2.78% International Value DODFX Dodge&Cox International Stock Fund 1.02% International Growth MGRDX MFS International Growth Fund 1.03% Emerging Markets HHHFX Hartford Schrodr Mkts Eq 3.34% REIT VNQ Vngrd Index Tr Reit Viper Shs 1.79% Fixed Income 45.75% Short-Term VFSUX Vanguard Short-Term Corp Adm Fund 9.43% Intermediate-Term PTTRX PIMCO Total Return Instl Fund 11.72% PTRQX Prudential Total Return BD 11.82% DBLFX Doubleline Core Fixed Inc Cl I 11.77% High Yield PHIYX PIMCO High Yield 1.00% Cash 4.74% FGZXX First Amern Govt Oblig Fd CL Z 4.74% TOTAL 100.00% JHIGHMARK@ CAPITAL MANAGEMENT ORANGE COUNTY SANITATION DISTRICT 18 Table of Contents ASSET ALLOCATION- OC Sanitation District B1 Ticker Investment Vehicle Weight Equity 59.22% Large Cap Core COFYX Columbia Contrarian Core Cl Y 6.18% VGIAX Vanguard Gro& Inc Admiral Shares 11.75% Large Cap Value DODGX Dodge&Cox Stock Fund 5.23% IVE iShares S&P 500 Value ETF 2.40% Large Cap Growth HNACX Harbor CP Appre Rtrmt Cl 3.57% PRUFX T. Rowe Price Growth Stock Fund 3.54% Mid Cap Growth IWR iShares Rusell Mid Cap ETF 6.04% Small Cap Value UBVFX Undiscovered Mgrs Behavrl R6 4.36% Small Cap Growth VBK Vanguard Small Cap Gr Vipers 4.48% International Core DFALX DFA Large Cap International Port 3.27% International Value DODFX Dodge&Cox International Stock Fund 1.17% International Growth MGRDX MFS International Growth Fund 1.18% Emerging Markets HHHFX Hartford Schrodr Mkts Eq 4.01% REIT VNQ Vngrd Index Tr Reit Viper Shs 2.01% Fixed Income 35.31% Short-Term VFSUX Vanguard Short-Term Corp Adm Fund 6.51% Intermediate-Term PTTRX PIMCO Total Return Instl Fund 9.27% PTRQX Prudential Total Return BD 9.35% DBLFX Doubleline Core Fixed Inc Cl I 9.31% High Yield PHIYX PIMCO High Yield 0.86% Cash 5.47% FGZXX First Amern Govt Oblig Fd CL Z 5.47% TOTAL 100.00% JHIGHMARK@ CAPITAL MANAGEMENT ORANGE COUNTY SANITATION DISTRICT 19 Table of Contents For Period Ending March 31 , 2022 LARGE CAP EQUITY FUNDS 1-Month 3-Month Year-to- 1-Year 3-Year 5-Year 10-Year Fund Name Return Return Date Return Return Return Return Columbia Contrarian Core Inst3 2.73 -2.96 -2.96 12.72 19.88 15.41 14.63 Vanguard Growth& Income Adm 3.67 -3.90 -3.90 16.04 18.83 15.78 14.65 Dodge &Cox Stock 1.53 1.01 1.01 14.85 17.30 13.27 14.25 iShares S&P 500 Value ETF 2.95 -0.21 -0.21 12.39 13.93 10.96 11.71 Harbor Capital Appreciation Retirement 3.72 -13.59 -13.59 3.49 20.59 20.32 16.25 T. Rowe Price Growth Stock 1 0.56 -15.01 -15.01 -0.42 16.53 16.96 15.28 S&P 500 TR USD 3.71 -4.60 -4.60 15.65 18.92 15.99 14.64 ■ e ■ iShares Russell Mid-Cap ETF 2.54 -5.72 -5.72 6.72 14.70 12.46 12.68 EQUITYSMALL CAP ■ Undiscovered Managers Behavioral Val R6 -0.55 3.53 3.53 13.48 16.01 10.91 12.65 Vanguard Small-Cap Growth ETF 1.22 -11.95 -11.95 -9.25 11.84 12.64 11.92 Russell 2000 TR USD 1.24 -7.53 -7.53 -5.79 11.74 9.74 11.04 w Dodge &Cox International Stock 0.84 -0.59 -0.59 2.99 8.01 5.17 6.24 DFA Large Cap International 1 0.46 -4.93 -4.93 2.53 8.60 7.23 6.36 MFS International Growth R6 0.78 -8.13 -8.13 0.02 9.67 10.69 7.69 MSCI EAFE NR USD 0.64 -5.91 -5.91 1.16 7.78 6.72 6.27 Hartford Schroders Emerging Mkts Eq F -3.66 -8.76 -8.76 -16.23 5.92 6.85 4.18 MSCI EM NR USD -2.26 -6.97 -6.97 -11.37 4.94 5.98 3.36 REAL ESTATE ■ 1-Month 3-Month Year-to- 1-Year 3-Year 5-Year 10-Year Fund Name Return Return Date Return Return Return Return Vanguard Real Estate ETF 6.32 -5.97 -5.97 21.45 11.40 9.65 9.69 DoubleLine Core Fixed Income 1 -2.36 -4.88 ■ ■-4.88 -3.19 1.64 2.22 2.87 PGIM Total Return Bond R6 -2.43 -6.51 -6.51 -3.29 2.20 2.94 3.50 PIMCO Total Return Instl -3.43 -6.19 -6.19 -4.02 2.18 2.50 2.73 Vanguard Short-Term Investment-Grade Adm -1.86 -3.80 -3.80 -3.67 1.49 1.78 1.96 Bloomberg US Agg Bond TR USD -2.78 -5.93 -5.93 -4.15 1.69 2.14 2.24 PIMCO High Yield Instl -0.89 -4.70 -4.70 -0.91 3.77 4.12 5.14 ICE BofA US High Yield Mstr II Index -0.93 -4.51 -4.51 -0.29 4.40 4.56 5.74 Source: SEl Investments, Morningstar Investments Returns less than one year are not annualized. Past performance is no indication of future results. The information presented has been obtained from sources believed to be accurate and reliable. Securities are not FDIC insured, have no bank guarantee and may lose value. JHIGHMARK@ CAPITAL MANAGEMENT ORANGE COUNTY SANITATION DISTRICT 20 Table of ContentNow 1' 4 ADMINISTRATIVE REVIEW 1 Future contributions 2 Future disbursement requests/options 3 Investment Guidelines Document - Needed 4 Client Feedback 5 Employer Portal - Opted In �� PARS SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 21 Table of Contents /0 O 1 O 4 O �O ® O O O O EMPLOYER PORTAL Public Agency Retirement Services (PARS) has launched its new employer portal for the IRC Section 115 Trust. Features include: • Latest monthly account balance 0 Downloadable prior statements • Transaction history 0 Investment Performance employer. pars.org �� PARS SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 22 Table of Contents GASB COMPLIANCE • To assist our public agency clients with GASB compliance, PARS will be providing with the following: — An individual trust statement of each agency's plan assets that shows a reconciliation of assets held at the beginning of the fiscal year through the end of the fiscal year, breaking out the appropriate plan contributions, benefit payments, expenses, and investment earnings — Year-end audited financial statements of the Trust as a whole including Schedule of Changes in Fiduciary Net Position by Employer completed by Clifton LarsonAllen (CLA) that is intended to be compliant with GASB 67/68 requirements. — Supporting SOC 1 -Type 2 report on the controls over the calculation and allocation of additions and deductions to employer accounts within the Trust — Investment allocation data and information on investment policies including target asset allocations and allowable asset class allocation ranges �� PARS SERVICES TRUSTED SOLUTIONS.LASTING RESULTS. ORANGE COUNTY SANITATION DISTRICT 23 Table of Contents JHIGHMARK® CAPITAL MANAGEMENT PARS DIVERSIFIED PORTFOLIOS CONSERVATIVE04 2021 �i YTEE PARS 1V[7Cnr�D iLVVL..ST1vJL.1V1 OBJE.,CTTW.., Efficient Frontier VCV01ERvATWE t-11W iPJ10VR'.TFWOLIO? To provide a consistent level of inflation-protected income over Capital Appreciation Balanced Comprehensive Investment Solution the long-term.The major portion N Moderate HighMark®Capital Management, Inc.'s(HighMark) of the assets will be fixed diversified investment portfolios are designed to Moderately Conservative p g income related. Equity securities balance return expectations with risk tolerance. are utilized to provide inflation of� Conservative Key features include:sophisticated asset allocation protection. and optimization techniques,four layers of Risk(Standard Deviation) diversification(asset class,style,manager,and ASSET ALLOCATION CONSERVATIME PORTFOLIO security),access to rigorously screened,top tier Strategic Range Policy Tactical money managers,flexible investment options,and experienced investment management. FixeeEquity5-20% 80% d Income 60-95% 80% 83% Rigorous Manager Due Diligence Cash Our manager review committee utilizes a rigorous (Gross of Investment Management Fees,but Net of screening process that searches for investment ANWALVED TOTAL.RETURNS Embedded Fund Fees) managers and styles that have not only produced HighMark Plus Composite(Active) Index Plus Composite(Passive) above-average returns within acceptable risk ° parameters, but have the resources and commitment Current Quart 0.74%I Current Qua1'� 0.95/° Blended Benchmark*,** 0.97% Blended Benchmark*,** 0.97% to continue to deliver these results.We have set high standards for our investment managers and funds. Year To Date 2.20% Year To Dat 1.97% This is a highly specialized,time consuming Blended Benchmark*,** 2.24% Blended Benchmark*,** 2.24% approach dedicated to one goal:competitive and 2.20% 1 Year 1.97% consistent performance. Blended Benchmark** 2.24% Blended Benchmark** 2.24% ear .36% 3 Year 6.91% Flexible Investment Options Blended Benchmark** 6.68% Blended Benchmark** 6.68% In order to meet the unique needs of our clients, 5 Ye 5.43% 5 4.98% we offer access to flexible implementation strategies: 4.89% HighMark Plus utilizes actively managed mutual Blended Benchmark** 4.89% Blended Benchmark** funds while Index Plus utilizes index-based 10 Year 4.75% _10 Yea 4.25°/6� securities,including exchange-traded funds. Both Blended Benchmark** 4.15% Blended Benchmark** 4.15% investment o tions levers a HI hMark's active asset *Returns less than one year are not annualized.`*Breakdown for Blended Benchmark:From 10/1/2012-Present:7.5%S&P500, p g g 1.5%Russell Mid Cap,2.5%Russell 2000,1%MSCI EM(net),2%MSCI EAFE(net),52.25%Bloomberg US Agg,25.75%ICE allocation approach. BofA 1-3 Yr US Corp/Gov't,2%ICE BofA US High Yield Master II,0.5%Wilshire REIT,and 5%FTSE 1 Mth US T-Bill.From pproac 4/1/2007-9/30/2012,the blended benchmark was 12%S&P 500;1%Russell 2000,2%MSCI EAFE(net),40%ICE BofA 1-3 Year Corp./Govt,40%Bloomberg US Agg,5%FTSE 1 Mth US T-Bill.Prior to April 2007:the blended benchmark was 15%S&P 500, 40%ICE BofA 1-3Yr Corp/Gov,40%Bloomberg US Agg,and 5%FTSE 1 Mth US T-Bill. Risk Management JAL RETURNS (Gross of Investment Management Fees,but Net of Embedded A The portfolio is constructed to control risk through Fund Fees) four layers of diversification-asset classes(cash, HighMark Plus Composite(Active) Index Plus Composite(Passive) fixed income,equity), investment styles(large cap, small cap,international,value,growth), managers 2009 15.59% 2009 10.49% and securities.Disciplined mutual fund selection and monitoring process helps to drive return potential 2011 2.19% 2011 3.70% while reducing portfolio risk. 8.45% 2012 2% 2013 3.69% 2013 3.40% 2014 3.88% 2014 4.32% 2015 0.29% 2015 0.06% 2016 4.18% 2016 3.75% 2017 6.73% 2017 5.52% 2018 -1.35% 1111111 _-1.09% 2019 11.05% 2019 10.37% 0 0 2021 2.20% 2021 1.97% PORTFOLIO FACTS HighMark Plus(Active) Index Plus(Passive) Composite Inception Date 07/2004 Composite Inception Date 07/2004 No of Holdings in Portfolio 20 No of Holdings in Portfolio 13 Table of Contents HOLDINGS HIGHMARK CAPITAL MANAGEMENT HighMark Plus(Active) Index Plus(Passive) 1 California Street Columbia Contrarian Core 13 iShares Core S&P 500 ETF Suite 1600 Vanguard Growth&Income Adm iShares S&P 500 Value ETF Francisco,San 94104 Dodge&Cox Stock Fund iShares S&P 500 Growth ETF 800-582-4734 iShares S&P 500 Value ETF iShares Russell Mid-Cap ETF Harbor Capital Appreciation-Retirement Vanguard Real Estate ETF T.Rowe Price Growth Stock-I iShares Russell 2000 Value ETF ABOUT iShares Russell Mid-Cap ETF iShares Russell 2000 Growth ETF HighMaro Capital Management, Vanguard Real Estate ETF iShares Core MSCI EAFE ETF over 11 years(including predecessor organizations)of Undiscovered Managers Behavioral Value-R6 Vanguard FTSE Emerging Markets ETF institutional ' ' ith ' billion in assets underand ' 1 billion Victory IRS Small Cap Growth-R6 Vanguard Short-Term Invest-Grade Adm assets under • • term DFA Large Cap International Portfolio iShares Core U.S.Aggregate disciplined approach Dodge&Cox International Stock Vanguard High-Yield Corp Adm currently manages assets for a wide arrayof MFS International Growth-R6 First American Government Obligations Z ABOUT THE PORTFOLIO MANAGEMENT TEAM Hartford Schroders Emerging Markets Eq Andrew Brown,CFA0 Vanguard Short-Term Invest-Grade Adm Senior Portfolio Manager Investment Experience:since 1994 PIMCO High Yield Instl HighMark Tenure:since 1997 PIMCO Total Return Fund-Inst Holdings are subject to change at the Education: MBA,University of Southern California; PGIM Total Return Bond-R6 discretion of the investment manager. BA,University of Southern California DoubleLine Core Fixed Income-I Salvatore"Tory"Milazzo III,CFA0 First American Government Obligations Z SeniorManager Investment Experience:since 11 HighMark Tenure:since 2014 S YLEColgate Intl Stocks Cash Large Cap Value Mid o J.Keith Stribling,CFA 2.8% 1.0% 1.9% Real Estate Cap 1.3% 0.5% Small Cap Senior Portfolio Manager Large Cap Growth 3.0% Investment •- - 1.7 Large Cap Core 4.5% Education: BA,Stetson University SeniorPortfolio Manager Experience: Short-Term Bond HighMark2010 Anne Wimmer,16.2% Education: BA,International Christian University,Tokyo High Yield SeniorPortfolio 3.2% Investment Experience: Imerm-Term Bond HighMark2007 63.9% Education: of • Barbara SeniorPortfolio The performance records shown represent size-weighted composites of tax exempt accounts that meet the following criteria: Investment Experience: 11 Accounts are managed by HighMark with full investment authority according to the PARS Conservative active and passive HighMark Tenure:since 2017 objectives. Education: MBA,Arizona State University; The adviser to the PARS portfolios is US Bank,and HighMark serves as sub-adviser to US Bank to manage these portfolios. US Bank may charge clients as much as 0.60%annual management fee based on a sliding scale.US Bank pays HighMark of 60%of the annual management fee for assets sub-advised by HighMark under its sub-advisory agreement with US Bank. The 0.36%paid to HighMark,as well as other expenses that may be incurred in the management of the portfolio,will reduce the portfolio's returns.Assuming an investment for five years,a 5%annual total return,and an annual sub-advisory fee rate Asset n Committee of 0.36%deducted from the assets at market at the end of each year,a$10 million initial value would grow to$12.53 million •- ••Members:• after fees(Net-of-Fees)and$12.76 million before fees(Gross-of-Fees).Gross returns are presented before management Years of Experience:and custodial fees but after all trading expenses and reflect the reinvestment of dividends and other income.A client's returnAverage will be reduced by the advisory fees and other expenses it may incur as a client.Additional information regarding the firm's Aver Tenure(Years): 14 age policies and procedures for calculating and reporting performance results is available upon request.Performance results are calculated and presented in U.S.dollars and do not reflect the deduction of investment advisory fees,custody fees,or taxes but do reflect the deduction of trading expenses.Returns are calculated based on trade-date accounting. Blended benchmarks represent HighMark's strategic allocations between equity,fixed income,and cash and are rebalancedNumber• . Members: monthly.Benchmark returns do not reflect the deduction of advisory fees or other expenses of investing but assumes the Average Experience:Years of 1 reinvestment of dividends and other earnings.An investor cannot invest directly in an index.The unmanaged S&P 500 Index is representative of the performance of large companies in the U.S.stock market.The MSCI EAFE Index is a free float- Average Tenure adjusted market capitalization index designed to measure developed market equity performance,excluding the U.S.and Canada.The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global emerging markets.The Russell Midcap Index measures the performance of the mid- cap segment of the U.S.equity universe.The Russell 2000 Index measures the performance of the small-cap segment of the U.S.equity universe.The ICE BofA US High Yield Master II Index tracks the performance of below investment grade U.S. dollar-denominated corporate bonds publicly issued in the U.S.domestic market.Wilshire REIT index measures U.S.publicly traded Real Estate Investment Trusts.The unmanaged Bloomberg U.S.Aggregate Bond Index is generally representative of the U.S.taxable bond market as a whole.The ICE BofA 1-3 Year U.S.Corporate&Government Index tracks the bond performance of the ICE BofA U.S.Corporate&Government Index,with a remaining term to final maturity less than 3 years. - - management -assets for which The unmanaged FTSE 1-Month U.S.Treasury Bill Index tracks the yield of the 1-month U.S.Treasury Bill. regularHighMark provides continuous and supervisory HighMark Capital Management,Inc. (HighMark),an SEC-registered investment adviser,is a wholly owned subsidiary of management services. Assets under advisement MUFG Union Bank,N.A.(MUB).HighMark manages institutional separate account portfolios for a wide variety of for-profit and nonprofit organizations,public agencies,and public and private retirement plans.MUB,a subsidiary of MUFG Americas - - - certain Holdings Corporation,provides certain services to HighMark and is compensated for these services.Past performance does services limited investment not guarantee future results.Individual account management and construction will vary depending on each client's advisory investment needs and objectives.Investments employing HighMark strategies are NOT insured by the FDIC or by any research and strategies)for client assets of its parent company, other Federal Government Agency,are NOT Bank deposits,are NOT guaranteed by the Bank or any Bank affiliate, and MAY lose value,including possible loss of principal. MLIFG Union Bank,N.A. Table of Contents H IGHMARV CAPITAL MANAGEMENT PARS DIVERSIFIED PORTFOLIOS MODERATELY • 04 2021 WHY THE PARS DIVERSIFIED INVESTMENT OBJECTIVE Efficient Frontier 1VDDERATELYCONSERUATM PORTFOLIO? To provide current income,with m Capital Appreciation capital appreciation as a K Balanced Comprehensive Investment Solution o secondary objective.The major m Moderate HighMark®Capital Management, Inc.'s(HighMark) portion of the assets is diversified investment portfolios are designed to g Moderately Conservative committed to income-producing m balance return expectations with risk tolerance. securities.Market fluctuations Conservative Key features include:sophisticated asset allocation should be expected. and optimization techniques,four layers of Risk(Standard Deviation) diversification(asset class,style,manager,and ASSET ALLOCATION 1VDDERATELYCONSERVATTVE PORTFOLIO security),access to rigorously screened,top tier Strategic Range Policy Tactical money managers,flexible investment options,and experienced investment management. 30% Fixed Income 50-80% 65% 67% Rigorous Manager Due Diligence - Our manager review committee utilizes a rigorous (Gross of Investment Management Fees,but Net of screening process that searches for investment ANNUALIZED TOTAL RETURNS Embedded Fund Fees) managers and styles that have not only produced HighMark Plus Composite(Active) Index Plus Composite(Passive) above-average returns within acceptable risk Current Quart _= rrent Quarter* parameters, but have the resources and commitment Blended Benchmark*,** 2.17% Blended Benchmark*,** 2.17% to continue to deliver these results.We have set high standards for our investment managers and funds. Year To Date* IIII 5.15% Year To Da This is a highly specialized,time consuming Blended Benchmark*,** 5.49% Blended Benchmark*,** 5.49% approach dedicated to one goal:competitive and 5.15% 1 Year 5.33JI consistent performance. Blended Benchmark** 5.49% Blended Benchmark** 5.49% 3 Year 9.82% ar Flexible Investment Options Blended Benchmark** 9.59% Blended Benchmark** 9.59% In order to meet the unique needs of our clients, ear ' 7.17% JWear we offer access to flexible implementation strategies: Blended Benchmark** 6.91% Blended Benchmark** 6.91% HighMark Plus utilizes actively managed mutual IT funds while Index Plus utilizes index-based ear securities,including exchange-traded funds. Both Blended Benchmark** 6.03% Blended Benchmark** 6.03% investment options leverage HI hMark's active asset Rat mslessthanoneyeararenotannualized.-BreakdownforBlendedBenchmark:From 10/1/2012-Present:15.5%S&P500, f g g 3%Russell Mid Cap,4.5%Russell 2000,2%MSCI EM(net),4%MSCI EAFE(net),49.25%Bloomberg US Agg,14%ICE BofA 1- allocation approach. s/so/20iz�ne me blended benchmark fA US w s 25%S&P Yield S 0;1.5%Russ 2000,3 5ilshire %MSCI EAFE(net),25%th SCE BofA From l3 Year007- Corp./Govt,40%Bloomberg US Agg,5%FTSE 1 Mth US T-Bill.Prior to April 2007,the blended benchmark was 30%S&P 500, 25%ICE BofA 1-3Yr Corp/Gov,40%Bloomberg US Agg,and 5%FTSE 1 Mlh US T-Bill. Risk Management (Gross of Investment Management Fees,but Net of Embedded The portfolio is constructed to control risk through ANNUAL RETURNS Fund Fees) four layers of diversification-asset classes(cash, HighMark Plus Composite(Active) Index Plus Composite(Passive) fixed income,equity), investment styles(large cap, 7% 2008 small cap,international,value,growth), managers 2009 18.71% 2009 11.92% and securities.Disciplined mutual fund selection and 6% W10 monitoring process helps to drive return potential 2011 1.75% 2011 3.24% while reducing portfolio risk. 10.88% 2012 2013 7.30% 2013 6.78% 4.41% 2014 2015 0.32% 2015 -0.18% 2016 4.94% 2016 5.42% 2017 9.56% 2017 8.08% 2018 AIIIIIIIIIIIIII -2.60% 2018 -2.33% 2019 13.73% 2019 13.53% hW& 10.76% M0 9.74% 2021 5.15% 2021 5.33% PORTFOLIO FACTS HighMark Plus(Active) Index Plus(Passive) Composite Inception Date 08/2004 Composite Inception Date 05/2005 No of Holdings in Portfolio 20 No of Holdings in Portfolio 13 Table of Contents HOLDDUS HIGHMARK CAPITAL MANAGEMENT HighMark Plus(Active) Index Plus(Passive) 1 California StreetColumbia Contrarian Core 13 iShares Core S&P 500 ETF Suite •1 Vanguard Growth&Income Adm iShares S&P 500 Value ETF San Francisco,CA 94104 Dodge&Cox Stock Fund iShares S&P 500 Growth ETF 800-582-4734 iShares S&P 500 Value ETF iShares Russell Mid-Cap ETF Harbor Capital Appreciation-Retirement Vanguard Real Estate ETF T.Rowe Price Growth Stock-I iShares Russell 2000 Value ETF ABOUT iShares Russell Mid-Cap ETF iShares Russell 2000 Growth ETF HighMaro Capital Management, Vanguard Real Estate ETF iShares Core MSCI EAFE ETF over 11 years(including predecessor organizations)of Undiscovered Managers Behavioral Value-R6 Vanguard FTSE Emerging Markets ETF institutional ' ' ith 1 billion in assets underand ' 1 .1 billion in Victory RS Small Cap Growth-R6 Vanguard Short-Term Invest-Grade Adm assets under • • term DFA Large Cap International Portfolio iShares Core U.S.Aggregate disciplined approach Dodge&Cox International Stock Vanguard High-Yield Corp Adm currently manages ' of MFS International Growth-R6 First American Government Obligations Z ABOUT THE PORTFOLIO MANAGEMENT TEAM Hartford Schroders Emerging Markets Eq Andrew Brown,CFA6 Vanguard Short-Term Invest-Grade Adm Senior Portfolio Investment Experience:since 1994 PIMCO High Yield Instl HighMark Tenure:since 1997 PIMCO Total Return Fund-Inst Holdings are subject to change at the Education: MBA,University of Southern California; PGIM Total Return Bond-R6 discretion of the investment manager. BA,University of Southern California DoubleLine Core Fixed Income-I Salvatore"Tory"Milazzo III,CFA6 First American Government Obligations Z SeniorManager Investment Experience:since 11 HighMark Tenure:since 2014 STYLEColgate Large Cap Value Real Estate 1.0% Cash 1.0% 4.0% .0 Small Cap 5.6% SeniorPortfolio Intl Stocks 5.9% Investment 1985 - Mid Cap 2.6% HighMark Tenure:since 1995 Education: BA,Stetson University Large Cap Growth 3.5 SeniorPortfolio Manager Large Cap CoreExperience: 8.9% HighMark Tenure: -2010 Education: BA,International Christian University,Tokyo Interm-Term Bond 53.1% Anne Wimmer,CFA0 Short-Term Bond SeniorPortfolio 11.7% Investment Experience:since 1987 HighMark11 High Yield 2.7% Education: of • Barbara The performance records shown represent a size-weighted composite of tax exempt accounts that meet the following • PortfolioManager criteria:Accounts are managed by HighMark with full investment authority according to the PARS ModeratelyExperience: 11 Conservative active and passive objectives. HighMark 1 17 The adviser to the PARS portfolios is US Bank,and HighMark serves as sub-adviser to US Bank to manage these portfolios.US Bank may charge clients as much as 0.60%annual management fee based on a sliding scale.US BankEducation: • - pays HighMark 60%of the annual management fee for assets sub-advised by HighMark under its sub-advisory • Washington State agreement with US Bank.The 0.36%paid to HighMark,as well as other expenses that may be incurred in the management of the portfolio,will reduce the portfolio's returns.Assuming an investment for five years,a 5%annual total return,and an annual sub-advisory fee rate of 0.36%deducted from the assets at market at the end of each year,a$10 Asset Allocation Committee million initial value would grow to$12.53 million after fees(Net-of-Fees)and$12.76 million before fees(Gross-of-Fees). Gross returns are presented before management and custodial fees but after all trading expenses and reflect theNumber of - '- reinvestment of dividends and other income.A client's return will be reduced by the advisory fees and other expenses itAverage • Experience: may incur as a client.Additional information regarding the firm's policies and procedures for calculating and reporting performance results is available upon request.Performance results are calculated and presented in U.S.dollars and do Average not reflect the deduction of investment advisory fees,custody fees,or taxes but do reflect the deduction of trading expenses.Returns are calculated based on trade-date accounting. Manager Review Group Blended benchmarks represent HighMark's strategic allocations between equity,fixed income,and cash and are rebalanced monthly.Benchmark returns do not reflect the deduction of advisory fees or other expenses of investing butNumber' Members: assumes the reinvestment of dividends and other earnings.An investor cannot invest directly in an index.TheAverage Years of .• - 1 unmanaged S&P 500 Index is representative of the performance of large companies in the U.S.stock market.The MSCI EAFE Index is a free float-adjusted market capitalization index designed to measure developed market equity AverageTenure performance,excluding the U.S.and Canada.The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global emerging markets.The Russell Midcap Index measures the performance of the mid-cap segment of the U.S.equity universe.The Russell 2000 Index measures the performance of the small-cap segment of the U.S.equity universe.The ICE BofA US High Yield Master II Index tracks the performance of below investment grade U.S.dollar-denominated corporate bonds publicly issued in the U.S.domestic market.Wilshire REIT index measures U.S.publicly traded Real Estate Investment Trusts.The unmanaged Bloomberg U.S.Aggregate Bond Index is generally representative of the U.S.taxable bond market as a whole.The ICE BofA 1-3 Year U.S.Corporate&Government Index tracks the bond performance of the ICE BofA U.S.Corporate& Government Index,with a remaining term to final maturity less than 3 years.The unmanaged FTSE 1-Month U.S. *Assets - management Treasury Bill Index tracks the yield of the 1-month U.S.Treasury Bill. regular - HighMark Capital Management,Inc. (HighMark),an SEC-registered investment adviser,is a wholly owned subsidiary of management services. - -r advisement("AUK) MUFG Union Bank,N.A.(MUB).HighMark manages institutional separate account portfolios for a wide variety of for-profit and nonprofit organizations,public agencies,and public and private retirement plans.MUB,a subsidiary of MUFG -assetsprovides Americas Holdings Corporation,provides certain services to HighMark and is compensated for these services.Past advisory services - investment performance does not guarantee future results.Individual account management and construction will vary depending on each client's investment needs and objectives.Investments employing HighMark strategies are NOT insured by the research and strategies)for client assets of its parent company, FDIC or by any other Federal Government Agency,are NOT Bank deposits,are NOT guaranteed by the Bank or MUFG Union Bank,N.A. any Bank affiliate,and MAY lose value,including possible loss of principal. Table of Contents AHIGHMARK(El, CAPITAL MANAGEMENT PARS DIVERSIFIED PORTFOLIOS MODERATE04 2021 VMY THE PARS DIVERSIFTF,D INVESTN ENT OBJECTIVE Efficient Frontier MODERATE PORTFOLIO? To provide current income and moderate capital appreciation. Capital Appreciation Comprehensive Investment Solution Balanced HighMark®Capital Management, Inc.'s(HighMark) It is expected that dividend and Moderate rise a diversified investment portfolios are designed to interest income will comp Moderately Conservative balance return expectations with risk tolerance. significant portion of total return, 3 Key features include:sophisticated asset allocation although growth through capital rr Conservative importa nt. equally appreciation is eq y p . and optimization techniques,four layers of Risk(Standard Deviation) diversification(asset class,style,manager,and ASSET ALLOC'ATTON1VDDERATE PORTFOLIO security),access to rigorously screened,top tier money managers,flexible investment options,and Strategic Range Policy Tactical experienced investment management. Equ� 40-60% 50% 1F 53% . Fixed Income 40-60% 45% 46% Rigorous Manager Due Diligence Ca 0 J& MML 5% �1%r Our manager review committee utilizes a rigorous (Gross of Investment Management Fees,but Net of screening process that searches for investment A1\MALIZED TOTAL RETURNS Embedded Fund Fees) managers and styles that have not only produced HighMark Plus Composite(Active) Index Plus Composite(Passive) above-average returns within acceptable risk parameters, but have the resources and commitment Current Quartent Quarter* to continue to deliver these results.We have set high Blended Benchmark*,** 3.75% Blended Benchmark*,** 3.75% standards for our investment managers and funds. Year To DatejjjjW 9.31% Year To Dat 10.1 -844 This is a highly specialized,time consuming Blended Benchmark*,** 10.20% Blended Benchmark*,** 10.20% approach dedicated to one goal:competitive and 1 Year 9.31% 1 Year 10.18°j consistent performance. Blended Benchmark** 10.20% Blended Benchmark** 10.20% 3 Year 1119F.7 ar Flexible Investment Options Blended Benchmark** 13.25% Blended Benchmark** 13.25% In order to meet the unique needs of our clients, 5 Y 9.56% 5 Year 05% we offer access to flexible implementation strategies: HighMark Plus utilizes actively managed mutual Blended Benchmark** 9.40% Blended Benchmark** 9.40% funds while Index Plus utilizes index-based 10 Yea 8.39% .1 securities,including exchange-traded funds. Both Blended Benchmark** 8.40% Blended Benchmark** 8.40% `Returns less than one year are not annualized."*Breakdown for Blended Benchmark:From 10/1/2012-Present:26.5%S&P500, investment options leverage HighMark's active asset 5%Russell Mid Cap,7.5%Russell 2000,3.25%MSCI EM(net),6%MSCI EAFE(net),33.50%Bloomberg US Agg,10%ICE BofA allocation a r08Ch. 1-3 Yr US Corp/Gott,1.50%ICE BofA US High Yield Master ll,1.75%Wilshire REIT,and 5%FTSE 1 Mth US T-Bill.From PP 4/1/2007-9/30/2012:the blended benchmark was 43%S&P 500;2%Russell 2000,5%MSCI EAFE(net),15%ICE BofA 1-3 Year Corp./Govt,30%Bloomberg US Agg,5%FTSE 1 Mth US T-Bill.Prior to April 2007:the blended benchmark was 50%S&P 500, 15%ICE BofA 1-3Yr Corp/Gov,30%Bloomberg US Agg,and 5%FTSE 1 Mth US T-Bill. Risk Management �JAL RE,� (Gross of Investment Management Fees,but Net of Embedded The portfolio is constructed to control risk through Fund Fees) four layers of diversification-asset Classes(Cash, HighMark Plus Composite(Active) Index Plus Composite(Passive) fixed income,equity), investment styles(large cap, -1 small cap,international,value,growth), managers 2009 21.47% 2009 16.05% and securities.Disciplined mutual fund selection and monitoring process helps to drive return potential 2011 0.55% 2011 2.29% while reducing portfolio risk. 2012 12.25% 2012- 10.91% 2013 13.06% 2013 12.79% 2014 4.84% 2014 5.72% 2015 0.14% 2015 -0.52% 2016 6.45% 2016 -7.23% 2017 13.19% 2017 11.59% M -4.03% jW8 2019 17.71% 2019 17.52% 2021 9.31% 2021 10.18% PORTFOLIO FACTS HighMark Plus(Active) Index Plus(Passive) Composite Inception Date 10/2004 Composite Inception Date 05/2006 No of Holdings in Portfolio 20 No of Holdings in Portfolio 13 Table of Contents HOLDDUS HIGHMARK CAPITAL MANAGEMENT HighMark Plus(Active) Index Plus(Passive) 1 California StreetColumbia Contrarian Core 13 iShares Core S&P 500 ETF Suite •1 Vanguard Growth&Income Adm iShares S&P 500 Value ETF San Francisco,CA 94104 Dodge&Cox Stock Fund iShares S&P 500 Growth ETF 800-582-4734 iShares S&P 500 Value ETF iShares Russell Mid-Cap ETF Harbor Capital Appreciation-Retirement Vanguard Real Estate ETF T.Rowe Price Growth Stock-I iShares Russell 2000 Value ETF ABOUT iShares Russell Mid-Cap ETF iShares Russell 2000 Growth ETF HighMaro Capital Management, Vanguard Real Estate ETF iShares Core MSCI EAFE ETF over 11 years(including predecessor organizations)of Undiscovered Managers Behavioral Value-R6 Vanguard FTSE Emerging Markets ETF institutional ' ' ith 1 billion in assets underand ' 1 .1 billion in Victory RS Small Cap Growth-R6 Vanguard Short-Term Invest-Grade Adm assets under • • term DFA Large Cap International Portfolio iShares Core U.S.Aggregate disciplined approach Dodge&Cox International Stock Vanguard High-Yield Corp Adm currently manages ' of MFS International Growth-R6 First American Government Obligations Z ABOUT THE PORTFOLIO MANAGEMENT TEAM Hartford Schroders Emerging Markets Eq Andrew Brown,CFA6 Vanguard Short-Term Invest-Grade Adm Senior Portfolio Investment Experience:since 1994 PIMCO High Yield Instl HighMark Tenure:since 1997 PIMCO Total Return Fund-Inst Holdings are subject to change at the Education: MBA,University of Southern California; PGIM Total Return Bond-R6 discretion of the investment manager. BA,University of Southern California DoubleLine Core Fixed Income-I Salvatore"Tory"Milazzo III,CFA6 First American Government Obligations Z SeniorManager Investment Experience:since 11 HighMark Tenure:since 2014 STYLE Education: BA,Colga Large Cap Value Real Estate 6.8% 1.8% •0 1.0% 9.2% Senior Portfolio Manager Cash Small Cap Investment Experience:since 1985 Intl Stocks HighMark Tenure:since 1995 9.4% Education: BA,Stetson University Mid Cap 4.2% Senior Portfolio Manager Investment Experience: Lar a Ca Growth HighMark2010 9 P Interm-Term Bond 5.9% 35.9% • • - • University, Anne Wimmer, r� SeniorPortfolio Investment Large Cap Core Experience: 15.2% HighMark2007 • • • California, Barbara High Yield Short-Term Bond 2.1% Randy Yurchalk,CFA6 8.5% Senior Portfolio Manager The performance records shown represent size-weighted composites of tax exempt accounts that meet the following Investment Experience: 2002 criteria:Accounts are managed by HighMark with full investment authority according to the PARS Moderate active and HighMarkenure: nce1 passive objectives. The adviser to the PARS portfolios is US Bank,and HighMark serves as sub-adviser to US Bank to manage these Education: Arizona portfolios.US Bank may charge clients as much as 0.60%annual management fee based on a sliding scale.US Bank pays BS,University of Washington HighMark 60%of the annual management fee for assets sub-advised by HighMark under its sub-advisory agreement with US Bank.The 0.36%paid to HighMark,as well as other expenses that may be incurred in the management of the portfolio, will reduce the portfolio's returns.Assuming an investment for five years,a 5%annual total return,and an annual sub- Asset •advisory fee rate of 0.36%deducted from the assets at market at the end of each year,a$10 million initial value would •_ • Members:• grow to$12.53 million after fees(Net-of-Fees)and$12.76 million before fees(Gross-of-Fees).Gross returns are presented before management and custodial fees but after all trading expenses and reflect the reinvestment of dividends and other Average Years of •- - income.A client's return will be reduced by the advisory fees and other expenses it may incur as a client.Additional Average Tenure(Years): 14 information regarding the firm's policies and procedures for calculating and reporting performance results is available upon request.Performance results are calculated and presented in U.S.dollars and do not reflect the deduction of investment advisory fees,custody fees,or taxes but do reflect the deduction of trading expenses.Returns are calculated based on trade-date accounting. Manager Review Group Blended benchmarks represent HighMark's strategic allocations between equity,fixed income,and cash and are Number of Members: rebalanced monthly.Benchmark returns do not reflect the deduction of advisory fees or other expenses of investing but Average Years of •• - 1 assumes the reinvestment of dividends and other earnings.An investor cannot invest directly in an index.The unmanaged Average Tenure _ S&P 500 Index is representative of the performance of large companies in the U.S.stock market.The MSCI EAFE Index is a free float-adjusted market capitalization index designed to measure developed market equity performance,excluding the U.S.and Canada.The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global emerging markets.The Russell Midcap Index measures the performance of the mid-cap segment of the U.S.equity universe.The Russell 2000 Index measures the performance of the small-cap segment of the U.S.equity universe.The ICE BofA US High Yield Master II Index tracks the performance of below investment grade U.S.dollar-denominated corporate bonds publicly issued in the U.S.domestic market.Wilshire REIT index measures U.S.publicly traded Real Estate Investment Trusts.The unmanaged Bloomberg U.S.Aggregate Bond Index is generally representative of the U.S.taxable bond market as a whole.The ICE BofA 1-3 Year U.S.Corporate& _ under management include Government Index tracks the bond performance of the ICE BofA U.S.Corporate&Government Index,with a remaining assets for which term to final maturity less than 3 years.The unmanaged FTSE 1-Month U.S.Treasury Bill Index tracks the yield of the 1- HighMark provides continuous and regular supervisory and month U.S.Treasury Bill. management services. Assetsunder advisement HighMark Capital Management,Inc. (HighMark),an SEC-registered investment adviser,is a wholly owned subsidiary of include assetsprov _ certain MUFG Union Bank,N.A.(MUB).HighMark manages institutional separate account portfolios for a wide variety of for-profit and nonprofit organizations,public agencies,and public and private retirement plans.MUB,a subsidiary of MUFG advisory services Americas Holdings Corporation,provides certain services to HighMark and is compensated for these services.Past research and strategies)for client assets of its parent company, performance does not guarantee future results.Individual account management and construction will vary depending on each client's investment needs and objectives.Investments employing HighMark strategies are NOT insured by the MUFG Union Bank,N.A. FDIC or by any other Federal Government Agency,are NOT Bank deposits,are NOT guaranteed by the Bank or any Bank affiliate,and MAY lose value,including possible loss of principal. Table of Contents IHIGHMARK° CAPITAL MANAGEMENT PARS DIVERSIFIED PORTFOLIOS BALANCED •4 2021 VMY THE PARS DIVERSIFIED INVESTNENT OBJECTIVE Efficient Frontier BALANCED PORTFOLIO? To provide growth of principal and income.While dividend and Capital Apprec iation Balanced Comprehensive Investment Solution interest income are an important d Moderate HighMark®Capital Management, Inc.'s(HighMark) component of the objective's Moderately Conservative diversified investment portfolios are designed to total return, it is expected that 2 balance return expectations with risk tolerance. capital appreciation will Conservative Key features include:sophisticated asset allocation comprise a larger portion of the and optimization techniques,four layers of total return. Risk(Standard Deviation) diversification(asset class,style,manager,and ASSET ALLOCATIONBALANCEDPORTFOLIO security),access to rigorously screened,top tier Strategic Range Policy Tactical money managers,flexible investment options,and experienced investment management. Equity 50-70% 60% 63% _ Fixed Income 30-50% 35% 36% Rigorous Manager Due Diligence Cash 0-20°�5% Our manager review committee utilizes a rigorous (Gross of Investment Management Fees,but Net of screening process that searches for investment AJ\MAj ZED TOTAL RETURNS Embedded Fund Fees) managers and styles that have not only produced HighMark Plus Composite(Active) Index Plus Composite(Passive) above-average returns within acceptable risk Current Quart 3.81% Current Quay 4.60% parameters, but have the resources and commitment Blended Benchmark*,** 4.53% Blended Benchmark*,** 4.53% to continue to deliver these results.We have set high standards for our investment managers and funds. Year To Date*- 11.44% Year To Dat� 12.63% This is a highly specialized,time consuming Blended Benchmark*,** 12.58% Blended Benchmark*,** 12.58% approach dedicated to one goal:competitive and 1 Year 11.44% 1 Year �=11" 12.63% consistent performance. Blended Benchmark** 12.58% Blended Benchmark** 12.58% 3 Year 14.99% 3 Year� 14.71% Flexible Investment Options Blended Benchmark** 15.10% Blended Benchmark- 15.10% In order to meet the unique needs of our clients, 5 Ye 10.80% 5 10.20% we offer access to flexible implementation strategies: Blended Benchmark** 10.65% Blended Benchmark** 10.65% HighMark Plus utilizes actively managed mutual 10 Year 45% 10 Year 9.13% funds while Index Plus utilizes index-based Blended Benchmark** 9.61% Blended Benchmark** 9.61%. securities,including exchange-traded funds. Both `Returns less than one year are not annualized."`Breakdown for Blended Benchmark:From 10/1/2012-Present:32%S&P500,6 investment options leverage HighMark's active asset Russell Mid Cap,9%Russell 2000,4%MSCI EM(net),7%MSCI EAFE(net),27%Bloomberg US Agg,6.75%ICE BofA 1-3 Yr US Corp/Gout,1.25%ICE BofA US High Yield Master II,2%Wilshire REIT,and 5%FTSE 1 Mth US T-Bill.From 4/1/2007- allocation approach. 9/30/2012:the blended benchmark was 51%S&P 500;3%Russell 2000,6%MSCI EAFE(net),5%ICE BofA 1-3 Year Corp./Govt, 30%Bloomberg US Agg,5%FTSE 1 Mth US T-Bill.Prior to April 2007:the blended benchmark was 60%S&P 500,5%ICE BofA 1-3Yr Corp/Gov,30%Bloomberg US Agg,and 5%FTSE 1 Mth US T-Bill. Risk Management (Gross of Investment Management Fees,but Net of Embedded A JAT REVS The portfolio is constructed to control risk through Fund Fees) four layers of diversification-asset classes(cash, HighMark Plus Composite(Active) Index Plus Composite(Passive) fixed income,equity), investment styles(large cap, -25.72% -23.22% small cap,international,value,growth), managers 2009 21.36% 2009 17.62% and securities.Disciplined mutual fund selection and 14.11.44 19� monitoring process helps to drive return potential 2011 -0.46% 2011 1.60% while reducing portfolio risk. 201 5% 2 3% 2013 16.61% 2013 15.63% 2014 4.70% 20111W- 6.08% 2015 0.04% 2015 -0.81% 2016 6.81% 2016 8.25% 2017 15.46% 2017 13.39% 2018 -4.88% 201111L -5.05% 2019 19.85% 2019 19.59% o 2021 11.44% 2021 12.63% PORTFOLIO FACTS HighMark Plus(Active) Index Plus(Passive) Composite Inception Date 10/2006 Composite Inception Date 10/2007 No of Holdings in Portfolio 20 No of Holdings in Portfolio 13 Table of Contents HOLDDUS HIGHMARK CAPITAL MANAGEMENT HighMark Plus(Active) Index Plus(Passive) 1 California StreetColumbia Contrarian Core 13 iShares Core S&P 500 ETF Suite •1 Vanguard Growth&Income Adm iShares S&P 500 Value ETF San Francisco,CA 94104 Dodge&Cox Stock Fund iShares S&P 500 Growth ETF 800-582-4734 iShares S&P 500 Value ETF iShares Russell Mid-Cap ETF Harbor Capital Appreciation-Retirement Vanguard Real Estate ETF T.Rowe Price Growth Stock-I iShares Russell 2000 Value ETF ABOUT iShares Russell Mid-Cap ETF iShares Russell 2000 Growth ETF HighMaro Capital Management, Vanguard Real Estate ETF iShares Core MSCI EAFE ETF over 11 years(including predecessor organizations)of Undiscovered Managers Behavioral Value-R6 Vanguard FTSE Emerging Markets ETF institutional ' ' ith 1 billion in assets underand ' 1 .1 billion in Victory RS Small Cap Growth-R6 Vanguard Short-Term Invest-Grade Adm assets under • • term DFA Large Cap International Portfolio iShares Core U.S.Aggregate disciplined approach Dodge&Cox International Stock Vanguard High-Yield Corp Adm currently manages ' of MFS International Growth-R6 First American Government Obligations Z ABOUT THE PORTFOLIO MANAGEMENT TEAM Hartford Schroders Emerging Markets Eq Andrew Brown,CFA6 Vanguard Short-Term Invest-Grade Adm Senior Portfolio Investment Experience:since 1994 PIMCO High Yield Instl HighMark Tenure:since 1997 PIMCO Total Return Fund-Inst Holdings are subject to change at the Education: MBA,University of Southern California; PGIM Total Return Bond-R6 discretion of the investment manager. BA,University of Southern California DoubleLine Core Fixed Income-I Salvatore"Tory"Milazzo III,CFA6 First American Government Obligations Z SeniorManager Investment Experience:since 11 HighMark Tenure:since 2014 STt7f L' • • Colgate 1 1LL Large Ca Value Real Estate 9 P 2.0 8.1% Small Cap J.Keith Stribling,CFA0 Cash Senior 1.0% Investment Experience:since 1985 HighMark Tenure:since 1995 Intl Stocks Education SeniorChristiania Tsuda Portfolio Manager Mid Cap Interm-Term Bond Investment Experience: 5.1% 28.5% HighMark Tenure: -2010 Education: BA,International Christian University,Tokyo Large Cap Growth 7.1 SeniorPortfolio Investment Experience:since 1987 High Yield HighMark 2007 Large Cap Core 1.8% Education: of ' Barbara 18.5% Short-Term Bond 5.8 Senior Portfolio Manager The performance records shown represent size-weighted composites of tax exempt accounts that meet the following criteria: Experience: nce 1 1 Accounts are managed by HighMark with full investment authority according to the PARS Balanced active and passive Investment objectives. HighMark Tenure:since 2017 The composite name has been changed from PARS Balanced/Moderately Aggressive to PARS Balanced on 511/2013.The Education: MBA,Arizona State University; adviser to the PARS portfolios is US Bank,and HighMark serves as sub-adviser to US Bank to manage these portfolios.US Bank may charge clients as much as 0.60%annual management fee based on a sliding scale.US Bank pays HighMark 60% BS,Universityof Washington of the annual management fee for assets sub-advised by HighMark under its sub-advisory agreement with US Bank.The 0.36%paid to HighMark,as well as other expenses that may be incurred in the management of the portfolio,will reduce the portfolio's returns.Assuming an investment for five years,a 5%annual total return,and an annual sub-advisory fee rate of Asset n Committee 0.36%deducted from the assets at market at the end of each year,a$10 million initial value would grow to$12.53 million •- ••Members:• after fees(Net-of-Fees)and$12.76 million before fees(Gross-of-Fees).Gross returns are presented before management and custodial fees but after all trading expenses and reflect the reinvestment of dividends and other income.A client's return Average Years of Experience: will be reduced by the advisory fees and other expenses it may incur as a client.Additional information regarding the firm's Aver Tenure(Years): 14 age policies and procedures for calculating and reporting performance results is available upon request.Performance results arc calculated and presented in U.S.dollars and do not reflect the deduction of investment advisory fees,custody fees,or taxes but do reflect the deduction of trading expenses.Returns are calculated based on trade-date accounting. Blended benchmarks represent HighMark's strategic allocations between equity,fixed income,and cash and are rebalancedNumber• of Members: monthly.Benchmark returns do not reflect the deduction of advisory fees or other expenses of investing but assumes the Average • Experience: 1 reinvestment of dividends and other earnings.An investor cannot invest directly in an index.The unmanaged S&P 500 Index is representative of the performance of large companies in the U.S.stock market.The MSCI EAFE Index is a free float- Average Tenure - adjusted market capitalization index designed to measure developed market equity performance,excluding the U.S.and Canada.The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global emerging markets.The Russell Midcap Index measures the performance of the mid- cap segment of the U.S.equity universe.The Russell 2000 Index measures the performance of the small-cap segment of the U.S.equity universe.The ICE BofA US High Yield Master II Index tracks the performance of below investment grade U.S. dollar-denominated corporate bonds publicly issued in the U.S.domestic market.Wilshire REIT index measures U.S.publicly traded Real Estate Investment Trusts.The unmanaged Bloomberg U.S.Aggregate Bond Index is generally representative of the U.S.taxable bond market as a whole.The ICE BofA 1-3 Year U.S.Corporate&Government Index tracks the bond performance of the ICE BofA U.S.Corporate&Government Index,with a remaining term to final maturity less than 3 years. Assets undermanagement assets for which - The unmanaged FTSE 1-Month U.S.Treasury Bill Index tracks the yield of the 1-month U.S.Treasury Bill. regularHighMark provides continuous and supervisory HighMark Capital Management,Inc.(HighMark),an SEC-registered investment adviser,is a wholly owned subsidiary of management services. Assets under advisement MUFG Union Bank,N.A.(MUB).HighMark manages institutional separate account portfolios for a wide variety of for-profit and nonprofit organizations,public agencies,and public and private retirement plans.MUB,a subsidiary of MUFG Americas include assets for which HighMark provides - Holdings Corporation,provides certain services to HighMark and is compensated for these services.Past performance does services limited investment not guarantee future results.Individual account management and construction will vary depending on each client's advisory investment needs and objectives.Investments employing HighMark strategies are NOT insured by the FDIC or by any research and strategies)for client assets of its parent company, other Federal Government Agency,are NOT Bank deposits,are NOT guaranteed by the Bank or any Bank affiliate, MUFG Union Bank,N.A. and MAY lose value,including possible loss of principal. Table of Contents AHIGHMARK(E), CAPITAL MANAGEMENT PARS DIVERSIFIED PORTFOLIOS CAPITAL APPRECIATION Q4 2021 VvHY'IAE PARS DI V1 RSEIEiD NWST /E�,ff OBJEcnw Efficient Frontier CAPITAL APPRECIATION PORTFOLIO? To provide growth of principal. Comprehensive Investment Solution The major portion of the assets Balan e Capital Appreciation HighMark®Capital Management, Inc.'s(HighMark) are invested in equity securities 2 Moderate diversified investment portfolios are designed to and market fluctuations are Moderately Conservative balance return expectations with risk tolerance. expected. 3 Key features include:sophisticated asset allocation of Conservative and optimization techniques,four layers of diversification(asset class,style,manager,and Risk(Standard Deviation) security),access to rigorously screened,top tier ASSET ALLOCATION—CAPITALAPPRECIATIONPORTFOLIO money managers,flexible investment options,and experienced investment management. Strategic Range Policy Tactical 65- ° Rigorous Manager Due Diligence Fixed Income 10-30% 20% 20% Our manager review committee utilizes a rigorous screening process that searches for investment (Gross of Investment Management Fees,but Net of managers and styles that have not only produced AN%AL2ED TOTAL RETURNS Embedded Fund Fees) above-average returns within acceptable risk parameters, but have the resources and commitment Consolidated Composite to continue to deliver these results.We have set high Current Quarter*� 5.18%• standards for our investment managers and funds. Blended Benchmark*,** 5.57% This is a highly specialized,time consuming Year To Da�111111111111111` 14.96% approach dedicated to one goal:competitive and Blended Benchmark*,** 15.83% consistent performance. 1 Year 14.96% Blended Benchmark** 15.83% Flexible Investment Options 3 Year 17.30% In order to meet the unique needs of our clients, Blended Benchmark** 17.62% we offer access to flexible implementation strategies: HighMark Plus utilizes actively managed mutual 5 Year 12.15% funds while Index Plus utilizes index-based Blended Benchmark** 12.36% securities,including exchange-traded funds. Both 10 Year 10.83% investment options leverage HighMark's active asset Blended Benchmark** 11.15% allocation approach. Returns less than one year are not annualized.—Breakdown for Blended Benchmark:39.5%S&P500,7.5%Russell Mid Cap, 10.5%Russell 2000,5.25%MSCI EM(net),10.25%MSCI EAFE(net),16%Bloomberg US Agg,3%ICE BofA 1-3 Yr US Corp/Gov't,1%ICE BofA US High Yield Master II,2%Wilshire REIT,and 5%FTSE 1 Mth US T-Bill. Risk Management JAL RETURNS (Gross of Investment Management Fees,but Net of Embedded The portfolio is constructed to control risk through Fund Fees) four layers of diversification—asset classes(cash, Consolidated Composite fixed income,equity), investment styles(large cap, small cap,international,value,growth), managers 2009 23.77% and securities.Disciplined mutual fund selection and monitoring process helps to drive return potential 2011 -1.35% while reducing portfolio risk. 2012 'EMOM3.87% 2013 20.33% 2014 6.05% 2015 -0.27% 2016 `8.81% 2017 16.72% 2018 -5.82% 2019 22.62% 14.50% 2021 14.96% PORTFOLIO FACTS Consolidated Composite Composite Inception Date 01/2009 No of Holdings in Portfolio 20 Table of Contents HOLDDUS HIGHMARK CAPITAL MANAGEMENT HighMark Plus(Active) Index Plus(Passive) 1 California StreetColumbia Contrarian Core 13 iShares Core S&P 500 ETF Suite •1 Vanguard Growth&Income Adm iShares S&P 500 Value ETF San Francisco,CA 94104 Dodge&Cox Stock Fund iShares S&P 500 Growth ETF 800-582-4734 iShares S&P 500 Value ETF iShares Russell Mid-Cap ETF Harbor Capital Appreciation—Retirement Vanguard Real Estate ETF T.Rowe Price Growth Stock-I iShares Russell 2000 Value ETF ABOUT iShares Russell Mid-Cap ETF iShares Russell 2000 Growth ETF HighMaro Capital Management, Vanguard Real Estate ETF iShares Core MSCI EAFE ETF over 11 years(including predecessor organizations)of Undiscovered Managers Behavioral Value-R6 Vanguard FTSE Emerging Markets ETF institutional ' ' ith 1 billion in assets underand ' 1 .1 billion in Victory RS Small Cap Growth-R6 Vanguard Short-Term Invest-Grade Adm assets under • term DFA Large Cap International Portfolio iShares Core U.S.Aggregate disciplined approach Dodge&Cox International Stock Vanguard High-Yield Corp Adm currently manages ' of MFS International Growth-R6 First American Government Obligations Z ABOUT THE PORTFOLIO MANAGEMENT TEAM Hartford Schroders Emerging Markets Eq Andrew Brown,CFA6 Vanguard Short-Term Invest-Grade Adm Senior Portfolio Investment Experience:since 1994 PIMCO High Yield Instl HighMark Tenure:since 1997 PIMCO Total Return Fund-Inst Holdings are subject to change at the Education: MBA,University of Southern California; PGIM Total Return Bond-R6 discretion of the investment manager. BA,University of Southern California DoubleLine Core Fixed Income-I Salvatore"Tory"Milazzo III,CFA6 First American Government Obligations Z SeniorManager Investment Experience:since 11 HighMark Tenure:since 2014 STYLE Education: BA,Colga Large Cap Value Real Estate 10.0% 2.0% J.Keith Stribling,CFA0 Small Cap Senior Cash 1allC PortfolioManagerInvestment Experience:since 1985 1.0% HighMark Tenure:since 1995 Education: BA,Stetson University Intl Stocks Interm-Term Bond Experience:15.4% 16.6% Senior Portfolio Manager Investment• 2010 Education: BA,International Christian University,Tokyo High Yield Mid Cap 1.3% Ann_ .,� 6.4% Portfolio Short-Term Bond Senior ' ' ' Manager 2.3% •" Large Cap Growth HighMark2007 8.7% Education: • California, Barbara Large Cap Core 23.3 SeniorPortfolio The performance records shown represent a size-weighted composite of tax exempt accounts that meet the following Investment Experience: 2002 criteria:Accounts are managed by HighMark with full investment authority according to the PARS Capital Appreciation HighMark 1 active and passive objectives. 17 The adviser to the PARS portfolios is US Bank,and HighMark serves as sub-adviser to US Bank to manage these Education: Arizona portfolios.US Bank may charge clients as much as 0.60%annual management fee based on a sliding scale.US Bank pays • . •State HighMark 60%of the annual management fee for assets sub-advised by HighMark under its sub-advisory agreement with US Bank.The 0.36%paid to HighMark,as well as other expenses that may be incurred in the management of the portfolio, will reduce the portfolio's returns.Assuming an investment for five years,a 5%annual total return,and an annual sub Asset Allocation Committee - advisory fee rate of 0.36%deducted from the assets at market at the end of each year,a$10 million initial value would grow Members: to$12.53 million after fees(Net-of-Fees)and$12.76 million before fees(Gross-of-Fees).Gross returns are presented Number' before management and custodial fees but after all trading expenses and reflect the reinvestment of dividends and other Average Years of •- income.A client's return will be reduced by the advisory fees and other expenses it may incur as a client.Additional Average information regarding the firm's policies and procedures for calculating and reporting performance results is available upon Tenure(Years): 14 request.Performance results are calculated and presented in U.S.dollars and do not reflect the deduction of investment advisory fees,custody fees,or taxes but do reflect the deduction of trading expenses.Returns are calculated based on trade-date accounting. Manager Review Group Blended benchmarks represent HighMark's strategic allocations between equity,fixed income,and cash and are Number of Members: rebalanced monthly.Benchmark returns do not reflect the deduction of advisory fees or other expenses of investing but Average Years of .• - 1 assumes the reinvestment of dividends and other earnings.An investor cannot invest directly in an index.The unmanaged S&P 500 Index is representative of the performance of large companies in the U.S.stock market.The MSCI EAFE Index is Average Tenure _ a free float-adjusted market capitalization index designed to measure developed market equity performance,excluding the U.S.and Canada.The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global emerging markets.The Russell Midcap Index measures the performance of the mid-cap segment of the U.S.equity universe.The Russell 2000 Index measures the performance of the small-cap segment of the U.S.equity universe.The ICE BofA US High Yield Master II Index tracks the performance of below investment grade U.S.dollar-denominated corporate bonds publicly issued in the U.S.domestic market.Wilshire REIT index measures U.S.publicly traded Real Estate Investment Trusts.The unmanaged Bloomberg U.S.Aggregate Bond Index is generally representative of the U.S.taxable bond market as a whole.The ICE BofA 1-3 Year U.S.Corporate& Assets under management include Government Index tracks the bond performance of the ICE BofA U.S.Corporate&Government Index,with a remaining term assets for which to final maturity less than 3 years.The unmanaged FTSE 1-Month U.S.Treasury Bill Index tracks the yield of the 1-month - supervisory U.S.Treasury Bill. management services. Assets under advisement HighMark Capital Management,Inc. (HighMark),an SEC-registered investment adviser,is a wholly owned subsidiary of include assetsforwhichHighlvark provides certain MUFG Union Bank,N.A.(MUB).HighMark manages institutional separate account portfolios for a wide variety of for-profit and nonprofit organizations,public agencies,and public and private retirement plans.MUB,a subsidiary of MUFG Americas services - investment Holdings Corporation,provides certain services to HighMark and is compensated for these services.Past performance does not guarantee future results.Individual account management and construction will vary depending on each client's research and strategies)for client assets of its parent company, investment needs and objectives.Investments employing HighMark strategies are NOT insured by the FDIC or by any MUFG Union Bank,N.A. other Federal Government Agency,are NOT Bank deposits,are NOT guaranteed by the Bank or any Bank affiliate, and MAY lose value,including possible loss of principal. Table of Contents April 30, 2022 STAFF REPORT Certificates of Participation (COP) Quarterly Report for the Period Ended March 31, 2022 Summary The Orange County Sanitation District (OC San) began issuing Certificates of Participation (COPs) in 1990. These COPs were a part of our long-term financing plan that included both variable interest rate and traditional fixed rate borrowing. There remains no variable interest rate COPs at OC San. Following are the current outstanding debt issues of OC San: In May 2010, OC San issued $80 million of fixed rate Build America Bonds (BABs), Series 2010A at a true interest cost of 3.68 percent for the issue. In December 2010, OC San issued $157 million of fixed rate BABs, Series 2010C at a true interest cost of 4.11 percent for the issue. In August 2014, OC San issued $85.09 million of fixed rate COPs, Series 2014A, refunding a portion of Series 2007B debt. The true interest cost for the issue is 2.34 percent. In February 2015, OC San issued $127.51 million of fixed rate COPs, Series 2015A, refunding $152.99 million of the Series 2007B debt. The true interest cost for the issue is 3.30 percent. In March 2016, OC San issued $145.88 million of fixed rate COPs, Series 2016A, refunding $162.78 million of the Series 2009A fixed rate debt. The true interest cost for the issue is 3.02 percent. In February 2017, OC San issued $66.37 million of fixed rate COPs, Series 2017A, refunding $91.885 million of the Series 2007A debt. The true interest cost for the issue is 2.55 percent. In July 2021, OC San issued $133.51 million of fixed rate COPs, Series 2021A, refunding $61 .575 million of the Series 2011A fixed rate debt and $102.2 million of the Series 2018A fixed rate debt. The true interest cost for the issue is 1.06 percent Table of Contents Quarterly COP Report For the Period Ended March 31, 2022 Page 2 of 2 In February 2022, OC San issued $81.62 million of fixed rate COPs, Series 2022A, refunding $100.645 million of the Series 2012A fixed rate debt and $6.67 million of the Series 2012B fixed rate debt. The true interest cost for the issue is 1.59 percent Additional Information The graph entitled, "COP Rate History Report," shows the various fixed interest rates of the OC San's eight debt issues. Attachment 1. Graph - COP Rate History Report Table of Contents OC SAN COP RATE HISTORY REPORT MARCH 2O22 5.00 4.00 3.00 iw Q tr 2.00 1.00 0.00 N N N N N N N N N N N N N N N N N N N N N N N N N N N N N 01 OI 6 6 a 6 � � > > U o Q Q 7 7 Q Q N llr 2 2 ❑ ❑ 7 ILL DATE Series 2010A Fixed ---*—Series 2010C Fixed —*--Series 2014A Fixed Series 2015A Fixed —Series 2016A Fixed t Series 2017A Fixed t Series 2021A Fixed --os—Series 2022A Fixed Table of Contents FY 2021 -22 Third Quarter Financial Report This Page Intentionally Left Blank OC6SAN ORANGE COUNTY SANITATION DISTRICT ORANGE COUNTY SANITATION DISTRICT FINANCIAL MANAGEMENT DIVISION 10844 Ellis Avenue Fountain Valley, California 92708-7018 714.962.2411 www.ocsan.gov 03/31/22 Administration Building ADMINISTRATION COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2334 Agenda Date: 5/25/2022 Agenda Item No: 15. FROM: James D. Herberg, General Manager Originator: Lorenzo Tyner, Assistant General Manager SUBJECT: GENERAL MANAGER APPROVED PURCHASES AND ADDITIONS TO THE PRE-APPROVED OEM SOLE SOURCE LIST GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Receive and file Orange County Sanitation District purchases made under the General Manager's authority for the period of January 1, 2022 to March 31, 2022; and B. Approve the following additions to the pre-approved OEM Sole Source List for the period of January 1, 2022 to March 31, 2022: • CARRIER CORPORATION - Carrier Corporation HVAC Products • COOPER BESSEMER - LSVB Engine Training • GATES FIBERGLASS INSTALLERS - On-site/Field Fiberglass Tank & Ducting Repairs • TPC Training - TPC Online Training and Certification Program • TRIMBLE WATER - Trimble Unity Software License BACKGROUND Staff provides the Administration Committee and the Board of Directors quarterly reports of General Manager approved and executed purchases between $50,000 and $100,000-1 maintenance and repair Services Task Orders between $50,000 and $300,000; and additions to the pre-approved OEM Sole Source List. The list of additions to the pre-approved OEM Sole Source List displays the original equipment manufacturers (OEM) added this quarter that require sole source procurement to maintain, service, or replace equipment currently in operation at Orange County Sanitation District (OC San) facilities because the parts and/or service can only be provided by the OEM or their designated representative. RELEVANT STANDARDS • Quarterly financial reporting Orange County Sanitation District Page 1 of 4 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2334 Agenda Date: 5/25/2022 Agenda Item No: 15. • Ensure the public's money is wisely spent PRIOR COMMITTEE/BOARD ACTIONS December 2016 - Minute Order 12(b) authorized the General Manager to ratify additions or deletions to the OEM Sole Source list on the General Manager's quarterly approved purchases agenda report. ADDITIONAL INFORMATION In accordance with Board purchasing policies, Ordinance No. OC SAN-56, the General Manager has authority to approve and execute purchases between $50,000 and $100,000. Below is a summary of General Manager approved purchases, in amounts exceeding $50,000, for the third quarter of fiscal year 2021-22: Vendor Name Amount Department Description/Discussion ADT COMMERCIAL $71,384.60 Operations & Blanket PO for Preventive Maintenance, LLC Maintenance Testing & Inspection of Portable Fire Extinguishers (Plants 1 & 2 And Pump tations) 1/1/22 - 12/31/22 with 4 Optional 1- ear Renewal Periods Specification No. S- 021-1278 ARC DOCUMENT $90,000.00 Administrative Blanket PO to Provide Managed Copy SOLUTIONS, LLC. Services enter Services 1/1/22 - 12/31/23 with 3 ptional 1-year Renewal Periods Specification No. S-202001177BD BASIN VALVE $60,000.00 Operations & Blanket PO for Gas Compressor Pilot COMPANY Maintenance Dperated Relief Valve Maintenance Program /1/22 - 3/31/23 with 4 Optional 1-year [Renewal Periods Specification No. S-2022- 311 CARBON $70,000.00 Operations & arbon Media Replacement at the Plants 1 ACTIVATED Maintenance and 2 CenGen Facilities Sole Source CORPORATION Justification 2555 Reason: Unique Product/Service COOPER $50,386.36 Operations & Purchase of Two (2) Hub Gear ZLSVB-16- MACHINERY Maintenance 1 E and Installation with OC San Provide SERVICES LLC Cam Shafts Board Approved OEM Sole Source List M.O. 8/23/17, Item 9(B) COOPER $70,845.30 Administrative Stock Item Purchase of Thirty (30) Cooper MACHINERY Services Bessemer Check Valve Repair Kits and SERVICES LLC hirty (30) Check Valve Assemblies Board pproved OEM Sole Source List M.O. /23/17, Item 9(B) DEMARIA ELECTRIC $90,000.00 Operations & onvenience Blanket PO for Urgent Off-Site MOTOR SERVICES, Maintenance Repairs at Plants 1 and 2, and Pump INC. Stations 4/16/22 - 6/30/24 GM Article 2, Section 2.2 (b) (1) Orange County Sanitation District Page 2 of 4 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2334 Agenda Date: 5/25/2022 Agenda Item No: 15. DOWNSTREAM $54,364.00 Operations & Nintersburg Channel Miller-Holder Siphon SERVICES, INC. Maintenance ssessment Specification No. CS-2021- 1285BD ENTERPRISE $95,000.00 Engineering Provide Wonderware Support and Control AUTOMATION System Programming,Testing and Commissioning Sole Source Justification 561 Reason: Immediate Need due to Staff Retirements INTERTECH $59,610.00 Operations & Purchase of Modicon ProWorx NXT INCORPORATED Maintenance Programming Software for Modicon PLCs - Module 105 and On-Site Training for Instrumentation Staff Sole Source Justification 2519 Reason: Unique Product/Service LABWARE INC $80,000.00 Administrative Labware Implementation Consulting for New Services Functionality of LIMS including Testing and Documentation Board Approved OEM Sole Source List M.O. 12/14/16, Item 12 PARAMOUNT $62,350.00 Operations & Purchase and Delivery of one (1) Primary PLASTIC Maintenance Treatment Scrubber Acid Tank Specification FABRICATORS No. E-2021-1298 SOUTHERN $63,050.00 Operations & Purchase of 5,000 Gallons (Bulk Oil) of COUNTIES Maintenance Chevron 5200 Hdax Low Ash 40 for Plant 2 LUBRICANTS Specification No. DG-121698 STO ADVISORS LLC $75,000.00 Operations & Blanket PO to Provide Interplant Gas Maintenance Pipeline Compliance Consultant Services Sole Source Justification 2560 Reason: Unique Product/Service TETRA TECH INC $93,300.00 Operations & Blanket PO to Provide an HVAC Assessment IRVINE CA Maintenance or Infectious Aerosol Mitigation 2/15/22 - /27/22 Specification No. CS-2021-1247BD WESTAIR GASES & $80,000.00 Operations & Blanket PO to Provide EPA Protocol EQUIPT-EPA Maintenance Calibration Gas Cylinder Refills and Cylinder CALBRN GASES Demurrage at Plants 1 and 2 6/1/22 - /31/23 with 4 Optional 1-year Renewal Periods Specification No. C-2022-1310 Additionally, in accordance with Board purchasing policies, Ordinance No. OC SAN-56, the General Manager has authority to approve and execute maintenance and repair Services Task Orders between $50,000 and $300,000. Below is a summary of General Manager approved maintenance and repair Services Task Orders, in amounts exceeding $50,000, for the third quarter of fiscal year 2021-22: Vendor Name Amount Department Description/Discussion J R FILANC $83,985.00 Operations & P2 Activated Sludge Clarifiers D & K Repairs CONSTRUCTION Maintenance Specification No. TOB-2021-1291 of Master Service Contract S-2021-1234BD-2 Orange County Sanitation District Page 3 of 4 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2334 Agenda Date: 5/25/2022 Agenda Item No: 15. JAMISON $89,500.00 Operations & P2 Digester O Structural Repairs ENGINEERING Maintenance Specification No. TOB-2022-1308 of Master CONTRACTORS INC Service Contract S-2021-1234BD-3 O'CONNELL $115,450.00 Operations & Digester"Q-R" Bridge Temporary Shoring at ENGINEERING & Maintenance Plant 2 Specification No. TOB-2021-1295-R CONSTRUCTION of Master Service Contract S-2018-942BD-5 INC ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: N/A Orange County Sanitation District Page 4 of 4 Printed on 5/16/2022 powered by LegistarT" Administration Building ADMINISTRATION COMMITTEE 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2335 Agenda Date: 5/25/2022 Agenda Item No: 16. FROM: James D. Herberg, General Manager Originator: Lorenzo Tyner, Assistant General Manager SUBJECT: IBM TIVOLI MAXIMO AND WEBSPHERE (ENTERPRISEONE) ANNUAL SUBSCRIPTION AND SUPPORT, SPECIFICATION NO. S-2019-1045BD GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve a contingency increase of $10,472 (6.03%) to the IBM Tivoli Maximo and Websphere (EnterpriseOne) Annual Subscription and support contract with Dataskill, Specification No. S- 2019-1045BD, for the period July 1, 2022 through June 30, 2023, for a new total contingency amount not to exceed $36,538 (21.03%); and B. Approve an annual contingency of $34,754 (20%) for one remaining renewal period. BACKGROUND In May 2019, the Board of Directors awarded a contract to Dataskill for the IBM Tivoli Maximo and Websphere (EnterpriseOne) Annual Subscription and support, Specification No. S-2019-1045BD, for a total amount not to exceed $173,774 for the period July 1, 2020 through June 30, 2021, with four one-year renewal options, and a contingency amount of$26,066 (15%). Additional funds are needed to cover the purchase of an additional Maximo Spatial License and increase in licensing cost. The additional funding request is for the current contract period which will increase the contingency to 21.03% and an additional 20% from the subsequent contract year. RELEVANT STANDARDS • Ensure the public's money is wisely spent • Maintain a culture of improving efficiency to reduce the cost to provide the current service level or standard • Protect OC San assets • Maintain a proactive asset management program Orange County Sanitation District Page 1 of 2 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2335 Agenda Date: 5/25/2022 Agenda Item No: 16. PROBLEM The current not to exceed IBM Tivoli Maximo and Websphere (EnterpriseOne) Annual Subscription and support Contract authorization of $173,774, plus the $26,066 contingency for the July 1, 2021 through June 30, 2022 period, is insufficient to cover the additional $10,472 of licensing costs because of priory contingency expenditures for licensing. PROPOSED SOLUTION Approve a contingency increase to the service contract to cover the additional licensing costs. TIMING CONCERNS License needs to be renewed before June 30, 2022, to be in compliance with IBM's licensing agreement. RAMIFICATIONS OF NOT TAKING ACTION Without an increased amount, OC San will not be able to purchase the required licenses to be in compliance with IBM's licensing agreement. PRIOR COMMITTEE/BOARD ACTIONS May 2019 - Approved an Annual Purchase Order Contract with Dataskill, Inc. for the renewal of software licensing and maintenance for IBM Maximo and Websphere, for an amount not to exceed $173,744, for the period beginning July 1, 2019 through June 30, 2020, with four (4) one-year renewal options; and approved a contingency of $26,066 (15%). ADDITIONAL INFORMATION N/A CEQA N/A FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San's Purchasing Ordinance. This item has been budgeted. (FY2020-21 & 2021-22 Budget, IT Operating Budget (Section 6 Page 35)). ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: N/A Orange County Sanitation District Page 2 of 2 Printed on 5/16/2022 powered by LegistarTM ration LEGISLATIVE AND PUBLIC AFFAIRS Ad10844t Ellis Avenuueg SAN COMMITTEE Fountain Valley, 92708 (714)593-743433 ORANGE COUNTY SANITATION DISTRICT Agenda Report File #: 2022-2322 Agenda Date: 5/25/2022 Agenda Item No: 17. FROM: James D. Herberg, General Manager SUBJECT: PUBLIC AFFAIRS UPDATE FOR THE MONTH OF APRIL 2022 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the Public Affairs Update for the month of April 2022. BACKGROUND Staff will provide an update on recent public affairs activities. RELEVANT STANDARDS • Maintain influential legislative advocacy and a public outreach program • Build brand, trust, and support with policy makers and community leaders • Maintain collaborative and cooperative relationships with regulators, stakeholders, and neighboring communities • Listen to and seriously consider community input on environmental concerns PROBLEM The Orange County Sanitation District (OC San) is well-recognized within the water/wastewater industry; however, within our service area there is limited knowledge by our customers of the important work we do to protect public health and the environment. In general, the customers we serve do not realize that when they improperly dispose of waste into the sanitation system, it can negatively affect our sewer lines, our treatment plants, and the quality of water we supply to the Groundwater Replenishment System. PROPOSED SOLUTION By providing tours, community outreach, education, and general communication via OC San's website, social media outlets, and direct mailings, we can educate the community, local agencies, and businesses on our messaging such as the What2Flush program, energy production, water recycling, biosolids, and our source control program. This, in turn, helps improve the quality of wastewater that is recycled or released to the ocean. Orange County Sanitation District Page 1 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2322 Agenda Date: 5/25/2022 Agenda Item No: 17. RAMIFICATIONS OF NOT TAKING ACTION If we do not educate the community, local agencies, and area businesses about OC San, we may not have the support necessary to deliver our mission. ADDITIONAL INFORMATION - ACTIVITES FOR THE MONTH OF APRIL 2022 Outreach Report An outreach report that includes tours, website postings, social media postings, construction notifications, speaking engagements, and more is included as an attachment to this Agenda Report. Virtual Tours As COVID-19 restrictions have eased, exceptions have been made for small in-person tours. This month we held three tours for a few of our Board Members, reaching a total of six people. Social Media Over the last month, OC San remained active on our social media accounts to continue connecting with our audience. This is a quick snapshot of what we did: • Facebook: 23 posts and reached 16k people • Twitter: 19 posts and reached 5.2k people • Instagram: 17 posts and reached 5.7k people • Linkedln: 7 posts and reached 4k people Presentations This month staff presented at the Water Environmental Foundation (WEF) on OC San's collection system, and General Manager Jim Herberg provided a presentation on Large Scale Battery Storage with Utility Executives. Construction Outreach OC San continues to keep communities informed of construction activities throughout our service area. There are currently active projects in Fountain Valley, Los Alamitos, Seal Beach, Westminster, Buena Park, Anaheim, and within both of our treatment facilities. Website updates, email and text alerts, and notifications continue to be distributed as the projects progress. OC Water Insert For the third year in a row, OC San joined other local agencies throughout the county in a California Water supplemental educational insert which was featured in the Thursday, April 21 Orange County Register issue. The insert highlighted who we are, what we do, and our Capital Improvement Program. The insert is provided as an attachment to this agenda report. Children's Water Festival OC San participated in the Orange County Water District's Children's Water Festival, April 25-29. The virtual event featured a mix of live, on-demand, and grab-and-go activities. OC San submitted a 20-minute prerecorded video created by staff highlighting what to flush and our No Wipes in the Pipes campaign. The event reached more than 7,000 third, fourth, and fifth grade students from Orange County. Orange County Sanitation District Page 2 of 3 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2322 Agenda Date: 5/25/2022 Agenda Item No: 17. Community Newsletter The spring issue of the electronic community newsletter, The OC San Connection, was shared with our public via social media, distribution email lists, and with our member agencies. The issue features stories on various construction projects, OC San initiatives, and much more. The issue can be found online at www.ocsan.gov. Member Agency Outreach Toolkit Every quarter an outreach toolkit is created with topics of interest for our customers that is sent to our member agencies to share on their various communication channels. This quarter's toolkit features the upcoming Wastewater 101 - Citizens Academy. The academy was created to give community members an inside look into our operations. The first session starts on Thursday, May 9 and will conclude at the June Board meeting with a certificate presentation to all the participants. For further details, a link is provided on the Agenda for this item. Vendor Information Workshop The second of five vendor workshops will be hosted on May 3. The focus of this workshop is to present upcoming maintenance services contract opportunities to prospective bidders. Over 75 participants registered for the event. The next workshop is scheduled for July. Details can be found using the link provided on the Agenda for this item. Association Society of Civil Engineers (ASCE) OC San was awarded the Outstanding Wastewater Project Award for the State College Sewer Construction Project. This is the second time that OC San has been awarded for this project by ASCE. The award was received by the project consultant, Lee and Ro, who attended on our behalf. ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Outreach and Media Summary Report - April 2022 • Orange County Register California Water Edition 2022 Orange County Sanitation District Page 3 of 3 Printed on 5/16/2022 powered by LegistarTM Outreach and Media Summary OC j6 SAh ORANGE COUNTY SANITATION DISTRICT April 2022 OC San Public Affairs Office Table of Contents OUTREACH REPORT..................................................................PAGE 1 FACEBOOK POSTINGS ..................................................................PAGE 2 TWITTER POSTINGS ..................................................................PAGE 5 INSTAGRAM POSTINGS...............................................................PAGE 6 LINKEDIN POSTINGS...................................................................PAGE 8 NEWSARTICLES........................................................................................ PAGE 13 Outreach Report April 2022 Date Tours Attendees Tour Guide 04/08/2022 Chair Withers/and Director Gallagher 2 Jim Herberg 04/14/2022 Director Brooke Jones 2 Jim Herberg 04/22/2022 Director Andrew Nguyen 2 Jim Herberg Date Speaking Engagements/Events Attendees Presenter 04/06/2022 Utility Exec Peer to Peer on Large 20 Jim Herberg Scale Battery Storage 04/21/2022 WEF Conference Presentation on *200 Dickie Fernandez Collections System 04/25/2022 Children's Water Festival *6000 Project Area Construction Outreach Notifications #of People Website Posts and Reached Text Alerts Anaheim/ Project Update 1 website alert Buena Park Fountain Valley Project Update 1 website alert Los Alamitos/ Project Update 1 website post/ Seal Beach 1 text alert Westminster Project Update—night work notification 2 website post/ 3 text alert External #of People Communications Distribution Reached 5 Minutes Per One 216 Month Board Member One 50 Talking Points Website Posts 10 posts 423 views Facebook 23 posts 16k reached Twitter 19 tweets 5.2k reached Instagram 17 posts 5.7k reached Linkedln 7 posts 4 k reached *These events have not occurred at time of this report,therefore#of attendees is estimated. 1 Facebook Posts April 2022 Page Overview Discovery Post reach 14,228 Post engagement 606 ® New Page Followers 6 Interactions ® Reactions 159 * Comments 21 A Shares 20 Photo Views 78 R Link Clicks 102 2 Posts Last 90 Days Date OC San has joined other local agencies throughout the Post Reach Engagement county in a California Water supplemental educational insert 27 1 in the OC Register.Click here to view:... Wed,Apr 20 Lets talk about FOG baby,lets talk about Fats and Grease. Post Reach Engagement ls).Just a friendly C San nder that 48 7C t O D NOT be put down OG 11 #FOGClogs SHOULD Tue.Apr 19 Night work starts tomorrow night in City of Westminster. Post Reach Engagement Visit www.ocsan.govlWestminster for details. 550 55 Mon.Apr 18 ,JUKA A lot of our programs are run by volunteers.Our tour guides, Post Reach Engagement public speakers and the team members you see at event 194 16 booths,they're all OC San employees who volunteer their... Sun,Apr 17 There is still time to register for the first series of the Post Reach Engagement Wastewater 101-Citizens Academy.Visit 145 9 ocsan.govlwastewater101 to register. Sat,Apr 16 Shine Bright like a Diamo.....Welder.For Post Reach Engagement #NationalwelderMonth We are showing off our highly 327 43 experienced welders.Check out our stories throughout the... Fri,Apr 15 Congratulations to Raul Cuellar on his promotion to Post Reach Engagement Engineering Manager in the Construction Management 15 38 Division.To learn more about him and his experience visit... Thu,Apr 14 Yay to us for recently receiving the Honor Award for Post Reach Engagement q:A Optimized Odor Control and Cleaning in Sewer System from 365 51 the American Academy of Environmental Engineers and... ANNINP— Wed.Apr 1.3 OC San lab named first California public laboratory to Post Reach Engagement receive accreditation to detect PFAS in wastewater.What 41 16 does that mean for OC San?Visit ocsan.gov to find out. Tue,Apr 17 Teamwork makes the dream work and an essential part of Post Reach Engagement that team are our interns!They come from all sorts of 321 43 educational backgrounds and schools.It just felt right to... Mon,Apr 11 3 Orange County Sanitation District created a class. Post Reach Engagement Mon,Apr 11 0 -' Construction work is coming to the City of Seal Beach.Visit Post Reach Engagement ocsan.govllosalamitos for more info @sealbeachpolice 128 5 Sat,Apr 9 The secret is out!OC San is holding a Virtual Wastewater Post Reach Engagement 101-Citizens Academy and it was made specifically for you. 11720 84 To register for this FREE Academy visit... Fri,Apr R A Special Board of Directors Meeting is happening on March Post Reach Engagement 13 at 4:30 p.m.It will be followed by the Administration 100 8 jistri Committee Meeting at 5 p.m.Click here to view the agenda: :AUFC..,, Thu.Apr 7 Don't get caught flushing wipes down the pipes.Remember Post Reach Engagement that#MomKnowsBest and that only Pee,Poop and Toilet 118 16 Paper belongs in the toilet.#WipesAreTrash#3Ps Wed,Apr 6 Wondering what constructions projects are happening Post Reach Engagement around OC?Visit ocsan.govlconstruction to learn about the 220 3 regional sewer upgrades OC San is working on.... Mon,Apr 4 The Legislative and Public Affairs Committee Meeting is Post Reach Engagement happening on April 11 at 4 p.m,Click here to view the 34 0 agenda: Mon,Apr 4 Starting April right with some action shots of the first grade Post Reach Engagement 40 beam an pile cap concrete pour at the site of our new 246 33 Headquarters Building in Fountain Valley.#OCSanAtWork Fri,Apr 1 The Operations Committee Meeting is happening on April 6 Post Reach Engagement at 5 p.m.Click here to view the agenda: 59 0 Ilstrict Wed,Mar 30 If you're an educator in the area.Check this event out and Post Reach Engagement see how you and your class can get involved. 147 12 Tue,Mar 29 ialHe More OC San career opportunities have been added!Check Post Reach Engagement out ocsan.gov1Jobs to apply.#CareerslnWastewater 841 22 #OCSanJobs ,w Mai 79 The latest and greatest on the Los Alamitos Trunk Sewer Post Reach Fngemonu,nt Project.Construction on Northbound Los Alamitos Blvd.at 116 1 _ Bradbury Rd from 8:30am-5pm.Details at... Fri,Mar 25 Interested in working for a wastewater treatment plant? Post Reach Engagement Apply to one of our open positions at ocsan.govljobs 455 44 o — Thu,Mar 24 4 Twitter Posts April 2022 Account horr, sAN Orange County Sanitation District„rocs-,_� -. Paye 1pdmeu daisy 28 day summary with change over previous period Tweennipressions Profile visits Mentions Followers 20 Tii.ir 5,529 Ta.6% 1,536 T60.7% 9 yto.0% 1,737 Ti Apr 2022•19 days so far... TWEET HIGHLIGHTS Top Tweet earned 1,415 impressions Top mention earned 18 engagements Get your Tweets in front of OC San lab named first California public 374Water more people laboratory to receive accreditation to detect I gyp,-+ Promoted Tweets and content open up your PFAS in wastewater.What does that mean EERmag reach on Twitter to more people. Excellentfeaturewith OCSanD@csENGINrict! for OC San?Visit ocsan.gov to find out. about our work with @OCSanDistrict! pic.twitter.com/p2Hs7Wee5J Inkd.in/dJumh2Rr$SCWO #engineering#scwo#water#pfas L7< V, APR 2022 SUMMARY Tweets Tweel impressions View Tweet 16 4,742 2 Profile visits Mann, Top media Tweet earned 1,172 impressions 1,124 5 Don't get caught flushing wipes down the 0,2 03 916 Remember that pipes. New mllowers View Tweet activity view an Tweet activity and that only Pee,Poop and Toilet Paper _1 belongs in the toilet.#WipesAreTrash#3Ps pic.twitter.com/vf7ZMgfwAQ Top Follower followed by 3B40 people I Jimmy Bernot,PhD*00 I ou •1 Marine Biologist I NSF postdoc @NMNH, @Senckenberg&@NHM London working on View Tweet activity View all Tweet activity crustacean genomics,parasite evolution&copepod taxonomy#Teaminvert he/him View profile 5 Instagram Posts April 2022 ocsandistrict Edit Profile .,S'AN 793 posts 1,259 followers 82 following OC Sanitation District The OC Sanitation District provides wastewater collection,treatment,and recycling for approx 2.6 million people in central&north Orange County. ocsan.gov ®POSTS VIDEOS -SAVE❑ r.TAGGED I.ALIFVKNIA IJ r j • ENGINEERING MANAGER Wastewater , E 11• WING M RAUL CUELLAR ACADEMy Wi OPTIMIZED ODOR CONTROL AND CLEANING �r IN SEWER SYSTEM 101 T i 1 mo ntratla 6 Learn about OC San's • Current and Upcoming WE ARE � Construction Projects! HIRING 4A CONSTNU('7 i PECIALIST(OCEAM MONITORING) w O n2am.- � �MANHOLE WORK STARTING MONDAY,MARCH 28 an�u uuc.n cw w wu�euoic�wru o��o .w.unw Al-.-,nmA serve,vroJ«l ru.cwwn 7 E osts Analytics Last 30 day activity 1 .1 K A 54.7% Search appearances 0 Last 7 days 264 A 13.8% Unique visitors 40 v 13% New followers 6.8K . 15% Post impressions 19 . 26.7% Custom button clicks 8 Orange County Sanitation District SAN OC San has joined other local agencies throughout the county in a California Water supplemental educational insert in the OC Register.Click here to view: https://In kd.i n/gZvSgviQ CALIFORNIA r ORANGE COUNTY 2022 MOM Orange County Sanitation District =� 3.598 followers 3d•(P _MCt*i_M There is still time to register for the first series of the Wastewater 101-Citizens Academy.Visit ocsan.gov/wastewater101 tO register. SA""A V-� • • ens Acam_' SPRI NG 2022 t shop Schedule or uestions E-mail: 9 Orange County Sanitation District ---� 3 598 follower; 3d•® .w�. 374Water 1 G20 follovaer' 5d Excellent feature with Civil+Structural Engineer Media about our work with Orange County Sanitation District! https://Inkd.in/dJumf�`Rr ..:ee Mo r� f . , �. OC San and 374Water Enter into an Agreement to Deploy the First Commercial-Scale AirSCWO System _.e-gineermag.com•2 min read Orange County Sanitation District 5d•� Congratulations to Raul Cuellar on his promotion to Engineering Manager in the Construction Management Division.To learn more about him and his experience visit ocsan.gov ENGINEERING MANAGER RAUL CUELLAR 10 Orange County Sanitation District —= 3 548'cllaaers bd•0 Congrats to OC San for recently receiving the Honor Award for Optimized Odor Control and Cleaning in Sewer System from the American Academy of Environmental Engineers and Scientists.Way to go team! PAN ��. ,• t HONOR AWARD • ACADEMY � 1M1\\IWi\\II�IV I\ra\IIH�•\\rll\71�R' % - OPTIMIZED ODOR CONTROL AND CLEANING IN SEWER SYSTEM Orange County Sanitation District ® _ OC San lab named first California public laboratory to receive accreditation to detect PFAS in wastewater.What does that mean for OC San?Visit ocsan.gov to find out. • ��-: i�j�5i��►ems wit.�� _ ?_�•�..+ 11 Orange County Sanitation District 5H 1;,•m The secret is out!OC San is holding a Virtual Wastewater 101-Citizens Academy and it was made specifically for you.To register for this FREE Academy visit ocsan.gov/wastewater'101 1 � . series that will cover all aspects of OC San including Operations, Budgets,Capital Improvements, i 12 Article Date Resource Link https://www.ocsan.gov/home/showdocument Los Alamitos Newsletter-OC San Construction 25-Mar-22 Los Alamitos Newsletter ?id=32721&t=637860508386088211 https://www.ocsan.gov/home/showdocument The Supervisor's Scoop: Latest Third District News 31-Mar-22 Donald Wagner Newsletter ?id=32635&t=637846568364614967 https://www.ocsan.gov/home/showdocument March Hydrospectives 31-Mar-22 OCWD ?id=32637&t=637846573128752821 https://www.ocsan.gov/home/showdocument Los Alamitos Newsletter-OC San Construction 1-Apr-22 Los Alamitos Newsletter ?id=32719&t=637860508371713169 https://www.waste360.com/sustainability/los- Los Angeles County Sanitation Districts Achieve Carbon angeles-county-sanitation-districts-achieve- Neutrality 13-Apr-22 Waste 360 carbon-neutrality https://www.ocsan.gov/home/showdocument Los Alamitos Newsletter-OC San Construction 13-Apr-22 Los Alamitos Newsletter ?id=32689&t=637854428871184037 https://www.ocsan.gov/home/showdocument ACC-OC Weekly Update 13-Apr-22 ACC-OC Weekly Update ?id=32691&t=637854461211987798 https://www.ocsan.gov/home/showpublished 2022 CA Water OC Edition 21-Apr-22 OC Register document/32701 OC San Announces Wastewater 101-A Virtual Citizen's https://www.ocsan.gov/home/showdocument Academy! 22-Apr-22 ACC-OC WEEKLY UPDATE ?id=32717&t=637860498430775282 https://www.ocsan.gov/home/showdocument CASA Newsletter I 22-Apr-22 CASA Connects ?id=32723&t=637861274670879219 13 CALIFORNIA ORANGE COUNTY 2022 lA a 'LAW ir.. - - '•� 7 ����> 1. 4� :fir � .'tR`r-f., - a�i ly1..��',t �r •.r�l � r ' _ /�� � � ''�• I ILI, - %� '� 1.lly�t ..f ` y •��-'��. 001 jr ON �, i r".�yi ^•+Yet.., .... le R'-;�. 6 laf ,a� l;M�' 'F + � " ,' / ° S. yy — >r.rt.'1 _ - M,.,. y :f,;•r �.:; ,f :ci`i I'i�;` C4�f k' i''''"-; i- �''' ADVERTISING SUPPLEMENT TO THE ORANGE COUNTY REGISTER- PUBLISHED BY CIVIC PUBLICATIONS,INC. - • oThis supplement did not involve the editorial staff of the Orange County Register. SCWC SCAN FOR �� Printed with recycled paper. � DIGITAL EDITION M in v Above,Diamond Valley Lake in Hemet,built by Metropolitan,provides water storage close to home.Water agencies offer turf replacement rebates to encourage residents to plant drought-tolerant landscapes, as shown at right. The Drought Is Back Photos Courtesy of Metropolitan is hard to believe California was facing one of the worst Climate Change droughts in its history just a few years ago.The state has since made tremendous strides in water conservation and supply management. But now the drought is back,and it's Drives Weather Extremes worse than ever. Social scientists use"disaster fatigue"to describe a form of emotional exhaustion that shapes what we do when faced By Elizabeth Smilor with multiple emergencies or disasters.And many researchers Special Sections Writer agree:the past two years have been hard on many Californians with wildfires,drought,and COVID-19. Disaster fatigue may indeed have set in, making it hard for many of us to fully grasp the severity of the drought and take action to save water. other Nature has not been easy on Californians lately. But we must try. I've worked in water for decades,and I have Wildfires have scorched millions of acres, an extended drought is draining our never seen water planners and managers this worried about reservoirs,Sierra snowpack is well below average....and climate change science tells what is on the horizon for our region.With this drought's us it will only get worse. severity,we are starting to see the impacts of climate change Coupled with the pandemic, it's no surprise if helplessness causes us to throw up our hands in in real-time.Saving water now may hold off dire consequences despair when we hear we're not conserving enough water.With water still flowing freely from most in the future. of our taps, it's hard to feel like this drought is severe. But it is. In preparing for this issue, I have been amazed by the The good news is regional water managers, some featured in this section,are preparing for the forward-thinking work done by so many community and water worst-case scenario so that water still flows from your faucet. Gov. Gavin Newsom has asked leaders to help stretch limited supplies through water recycling urban water suppliers to activate level 2 of their water shortage contingency plans,which means and reuse,stormwater capture,groundwater cleanup,and businesses and residents will be asked to take conservation up a notch. desalination.These efforts are critical to building water supply resiliency from the impacts of climate change,earthquakes, "We can't just wait for the rain to come," said Metropolitan Water District of Southern California droughts,aging infrastructure and more.There is much work General Manager Adel Hagekhalil. "What we need to do is take bold,strategic actions today to adapt to be done, but progress is happening. to this future." Your interest in what's happening with Southern California's Drought is defined as a prolonged period of water shortage.This drought has been characterized water supply is greatly appreciated and I hope you will join us as a meteorological, hydrological and agricultural one, meaning the state has had below average in saving water as well as in our efforts to address California's rainfall which has affected streamflow and reservoir levels as well as food production due to a lack of water issues. soil moisture. Please connect with us on Facebook or Instagram,where What makes this drought different?The simple answer is climate change. you'll find us under the username socalwater.We will love to hear from you! Charley Wilson CALIFORNIA WATER I ORANGE COUNTY Executive Director Publisher Sean Fitzgerald is an advertising supplement published by Editor Elizabeth Smilor Civic Publications, Inc. ©2022, owned The Southern California Water Coalition is a nonprofit,nonpartisan public Art Director Christie Robinson and operated by Chris Lancaster. education partnership dedicated to informing Southern Californians about our water needs and our state's water resources. Contributors Elizabeth Smilor For comments or questions, email Sean Fitzgerald at Sean@VoxCivic.com. 2 California Water I Orange County 1 2022 URBAN WATER CONSERVATION a. While urban • • percent of y overall use,it is still important . save every drop. Half of urban water use is for outdoor landscaping,so outside is a good place to start.The state Department of Water Resources is granting Metropolitan$2 million for its regional turf replacement program.Metropolitan offers residents a$2-per-square-foot rebate for lawn 1 v replacement,but • offer more. For indoor use,check for rebates from your water agency for • •w showerheads and toilets, / yl� appliances. S � Other home conservation tips: Check for leaks,inside and out.If your water bill seems high,request a leak audit. 1 Vshorter • uTurn off water while • and shaving. —> Wash only full loads of dishes and clothes,and don't run faucet constantly when hand washing. Water b'l �. �..•r� tut- L. -' -� ra,�` your / often and then only during cool parts of the day. The water years,from Oct. 1 through Sept 30, of 2020 and 2021 were the driest consecutive years on Put a layer of mulch over plants and trees. record for rainfall in California. December storms stirred optimism, but dry conditions returned at the start of this year and as of the end of March nearly all of the state is in severe or extreme drought,according to the The other half of Southern California's water National Integrated Drought Information Center(drought.gov). is locally sourced from stormwater capture, "We are experiencing climate change whiplash in real time with extreme swings between wet and dry groundwater basins and recycled water. conditions.That means adjusting quickly based on the data and the science,"said California Department of Metropolitan built Diamond Valley Lake in Hemet, Water Resources (DWR) Director Karla Nemeth. "While we had hoped for more rain and snow, DWR has which opened in 2003,to create more storage been preparing for a third consecutive year of drought since October. capacity close to home. A recent study published in the journal Nature Climate Change that analyzed tree rings to determine that "That project is saving us with 800,000 acre-feet the American West is in the worst megadrought in 1,200 years,found that human-caused climate change is of storage,"said Hagekhalil of Diamond Valley. "We responsible for about 42 percent of the soil moisture deficit since 2000. need more large projects to store water in wet years "Without climate change,the past 22 years would have probably still been the driest period in 300 years," so it is available." said UCLA geographer Park Williams,the lead author of the study. "But it wouldn't be holding a candle to the Orange County's Groundwater Replenishment megadroughts of the 1500s, 1200s or 1100s." System, a joint collaboration of Orange County Where Southern California's Water Comes From Water District(OCWD)and OC San, is the world's largest water purification system for indirect potable On average,water use in California is 50 percent environmental,40 percent agricultural and 10 percent reuse.The GWRS can produce up to 100 million urban, according to the Public Policy Institute of California. gallons of water per day of near-distilled, high- "While we have made historic investments to protect our communities,economy and ecosystems from quality water. That is enough to meet the needs the worsening drought across the West, it is clear we need to do more,"said Gov. Newsom, in announcing of nearly 850,000 residents in north and central the revised guidelines that could set day or time limits on watering in residential areas and ban watering Orange County. ornamental grass on commercial properties. "Amid climate-driven extremes in weather,we must all continue Water managers agree a reliable water future to do our part and make water conservation a way of life." requires investment in local, regional and state About 30 percent of Southern California's urban water comes from the State Water Project,a system infrastructure, innovation in recycling water, of reservoirs and canals that carry water from Northern California to regional water agencies.Another groundwater protection, storage and conservation. 25 percent is imported from the Colorado River Basin,which supplies water to seven U.S.and Mexican Reaching that future will require cooperation states and 29 federally recognized tribes with approximately 40 million people. Both of these sources are amongst all water users and managers. compromised by record-setting drought. "Metropolitan is what it is because of the "What we're seeing now is a strain on both systems.We haven't seen this before where both the Colorado member agencies,and was created to facilitate River system and the State Water Project are strained,"said Hagekhalil. "It's a wake-up call for all of us." this coordination because no one can do things A cooperative of 26 member agencies, Metropolitan provides more than half the water used by 19 million alone and nobody should. Our strength is in ourcollaboration and our working together,"said people in six Southern California counties.Some areas are more dependent upon water from the State Water Hagekhalil. "My commitment is to continue working Project than others and with both systems under stress, redistribution becomes more difficult. for all our member agencies and make sure no one "The water playbook that we've used for 100 years,can't be used anymore. said Metropolitan's Hagekhalil. is left behind.We take care of our communities and "The new chapter in the playbook is you recycle every drop and store it, and when you have heavy rain,you make sure every community has the water they can move it and put it both underground and above ground." need:" O Civic Publications, Inc. 1 3 r` i Orange County Students Learn the value of Water Through Environmental Literacy 0 ver the past several years,the Municipal Water District of Orange County's of pride,serving their communities and contributing to a green (MWDOC) investment in K-14 water education has grown substantially,evolving economy. Developing new workforce pathways benefits industry to include programs and hands-on learning activities for all Orange County and educational institutions, as well as young students and their students deeply rooted in environmental literacy. Using the local environment future families. as the context for learning, students gain practical knowledge about the world WEEA is sponsored by the Metropolitan Water District of around them by investigating,asking questions, and finding solutions to issues affecting their Southern California, Los Angeles Department of Water& Power, communities. From drought,earthquakes, erosion, and wildfires to aging infrastructure and Moulton Niguel Water District,Water Replenishment District of dwindling resources, leaders of tomorrow become better equipped for the responsibility of Southern California,and the Western Municipal Water District, lifelong environmental and community stewardship and develop the skills needed to find with active support from the California Environmental Education reasonable solutions to real-world problems. Foundation, California Community Colleges,and Big Picture Each year, nearly 70,000 students in grades K-12 participate in the MWDOC Choice School Learning. O Programs presented by Shows That Teach and the Orange County Department of Education's Inside the Outdoors.Through active involvement,students learn about their local water supply sources,the critical need for good water stewardship and conservation,and water providers' challenges each day to deliver clean, safe, reliable water to homes,schools,and businesses. C Orange County water providers opt-in to the MWDOC Choice School Programs to bring dynamic,water-centric learning experiences to K-12 students in their service areas.These programs inspire the county's youngest water users to make thoughtful, informed decisions to protect the natural resources we depend on every day. Programs are offered in-person, online, and a combination of both. Paving the Way for the Next Generation of Water and Energy Workers i In 2020, MWDOC assumed leadership of the Water Energy Education Alliance(WEEA or Alliance).WEEA was formed in 2018 to establish partnerships between education and industry leaders looking to build and strengthen career pathways to water and energy jobs for Southern MWDOC SPEAKERS BUREAU California high school students.The Alliance has grown significantly under MWDOC's Have questions about water?We have answers! leadership. It is now a collation of nearly 60 professional organizations from Los Angeles, Is your community,business,or civic group looking for a keynote speaker Inland Empire, Orange County, and San Diego that include water and energy providers, for your next event?The Municipal Water District of Orange County's departments of education, school districts,colleges,technical trade schools, and more. Speakers Bureau is here for you.Topics may include:where Orange County As California braces for a wave of expected retirements from the last of the Baby water comes from,drought,water supply solutions,water conservation Boomers,WEEA has mobilized to find solutions for the gaps that will be left by the industry programs,education initiatives for Orange County students,and more! professionals that have proudly served California communities for decades.Water workers are For more information visit offered competitive wages,great benefits, and long-term stability and are instilled with a sense www.mwdoc.com/water-education/book-a-speaker/ 4 California Water I Orange County 1 2022 Water Is Life To Keep It Flowing We Must Invest More ater is life.The last few years have only highlighted the `purple pipe,'to brackish water desalination. Still,with climate change and importance of water as increased handwashing and a growing population,we will face regular water shortages without new another extended drought continued to persist in our investments in Southern California water,either imported or local. realities.As we continue to weather the societal and This is why the MWDOC Board of Directors emphatically supports economic impacts of the pandemic and recent global the Doheny Ocean Desalination Project--an undertaking that would events,the rising cost of goods and services poses a challenge for many. create a local and drought-proof water supply utilizing environmentally- Affordability and equitable access to clean water and sanitation for all friendly slant well technology that is fully compliant with the California are encapsulated in the United Nation's Sustainable Development Goals Ocean Plan Desalination Amendment,which is intended to protect the (as SDG 6),and it's a critical priority for water utilities across the state.As beautiful coastline that we all cherish as one of our state's greatest jewels. we continue to realize the impacts of climate change over the years and MWDOC's 2018 Orange County Reliability Study deemed the Doheny make investments to ensure sustainable and reliable water supplies for Project one of the most cost-effective investments to meet system and the future,we are constantly balancing the costs of these investments supply reliability needs.The report prescribes the Doheny Project with with affordability and access to water. the San Juan Watershed Project as the core reliability improvement With the last historic drought in strategy for South Orange County. California, much of our community When it comes to affordability, nothing supplants reinforcing the realized how much of an impact water use conveyance of our supplies from the Delta. About half of the water used efficiency and conservation (particularly throughout Orange County comes from imported supplies. MWDOC's �.. outdoors)can help make a difference.We 2018 Reliability Study designated the Delta Conveyance Project(DCP) -OVA", also recognized how challenging it could the single most cost-effective project for long-term water supply ' be to convey nuanced messaging - while reliability. Some may argue that inflation has eschewed the project's turning off all outdoor watering often did economics;when you consider the economies of scale,the DCP is still the more harm than good, dialing back the most affordable way to ensure water flows reliably throughout the state. outdoor irrigation to avoid overwatering Desalination, recycling, storage, and other local projects are certainly part resulted in positive impacts to reducing of the blueprint for long-term reliability.Without completion of the DCP, runoff while limiting water waste. these options will not guarantee sufficient supplies. At the Municipal Water District of Our future is bright.We will ensure a great future with continued Orange County(MWDOC),we've taken investments into the development of the next generation of water a multi-faceted approach to everything stewards through our education and outreach programs and a sustainable, from public outreach and education to water resource planning.We have reliable,and affordable water supply portfolio that addresses the diverse Ricky the Raindrop,who's been around since the 1970s,to strategic needs and challenges throughout our beloved community.As we say, partnerships across the state to further water education for all ages.We water is life,and as the lifeblood of our provide water use efficiency rebates for residential and commercial water community,economy, and environment, users and even landscape designs that feature beautiful, colorful,and lush it's our most precious resource that we're California native plants that are part of the 806 native species found in committed to protecting and preserving our local biodiversity hotspot. Our team proactively advocates for sound, for generations to come. (D meaningful legislation that aligns with the policy principles set forth Megan Yoo Schneider by our board of directors to ensure high-quality, safe, sustainable,and MWDOC Board President ®OC affordable drinking water for all for now and the future. Division 7 MW Orange County already utilizes a robust portfolio of water supplies from Indirect Potable Reuse(IPR), better known as water recycling or (:Leo Board Members lik VPA a I Al Nederhood Larry D. Dick Robert R. McVicker Karl W.Seckel Sat Tamaribuchi Jeffery M.Thomas Division 1 Division 2 Division 3 Division 4 Division 5 Division 6 Director Director Vice President Director Director Director Civic Publications, Inc. 1 5 The Sites Reservoir Project will be situated on the west side of the Sacramento Valley,approximately 10 miles west of Maxwell,Calif,in Glenn and Colusa Counties. Inset:Existing Infrastructure Fish Screens _ �^ �, ""fir_-�.`�-- _ __ � ^+•mow: _ I 11,z ` `t � , ' .� �: Wit^ n- - r�' 1 }1�r\� J d r •- _ - 1 �( �4 .Y. S *Ites ese rvo i r Is a Solution to7::� California's Megadrought hen it comes to water,California continues to break records, for use during 2021 when we it was badly needed. And a good portion of that and not the kind we like to brag about. water would have been held over for use in 2022 which is an equally bad or According to a recent study by Nature Climate Change, worse water year. the West Coast's drought has worsened so much in one year, In summation,Sites can best be described as an insurance policy.And if the that it is now the driest in at least 1,200 years and is a worst- scientific projections are correct about the impacts of climate change,then case climate change scenario playing out live. In fact, it's being labeled as a having Sites Reservoir will mean we will be able to collect even more water in the "megadrought" reservoir for use during future extended droughts. With January through March 2022 turning out to be the driest months on The Sites Authority is advancing Sites Reservoir because it's needed for the record, many water suppliers are leaning more on their stored water supplies. Sac Valley.And we're proud the project is supported by local water agencies, In many ways,Sites is exactly what a state burdened by droughts and irrigation districts,and municipalities across California.We're also proud to have atmospheric rivers needs.Sites would capture and store water from the the State and Federal government investing in the project.This is a beneficiary Sacramento River during high flows without hurting the river fishery—after all pays project which is how future large water infrastructure will need to be other water rights and regulatory requirements are met— and is made available implemented. Sites would cover the diverse needs of the entire state,and to California's environment, communities, and farms when it's most needed — importantly,the foundation starts with support of local participants right in the especially during times of drought. But Sites Reservoir is just part of the solution proposed project area's backyard. —we can and must utilize all the tools in our toolbox— recycling, conservation, It's critical that we continue to invest in a broad range of solutions to ensure desalination,groundwater replenishment, and more yes, more water storage. a resilient water future,and Sites Reservoir would increase water storage, help Sites Reservoir does not dam any major river.The reservoir would be located alleviate symptoms, and address the impacts of a megadrought. It's time to build off-stream and be situated in the Glenn and Colusa counties. Sites is designed to Sites now. O help the environment, not cause harm.And a large portion of the water saved in Sites is specifically set aside for fisheries and the environment during dry years. f)40J m This is a first of its kind and a model for successful future water management. ' �� If Sites had been in place prior to 2021,we could have captured and stored much of the excess prior years flood flows for use in what was a very dry year, and California would have had an additional 1 million acre-feet of water available www.sitesproject.org 6 California Water I Orange County 1 2022 �r �• r r r ' r r •r r r• t A. 000, mot• � � ! ►- y � .A a F r Bu *ild *inga Fourth Aqueduct to Preserve our Quality of Life he mission of the South Coast Water SCWDupply Portfolio 3. Recycled Water for Landscapes - Committing District(SCWD) is to provide available to significant recycled water infrastructure and affordable water for our customers improvements and potable irrigation site while protecting our environment. Our Doheny Project would provide up to 5 MGD conversions,working toward our goal of reusing magnificent beaches and coastline, 100 percent of our sewage sent to the Coastal combined with what many refer to as the best climate IMG"o„PR,pyR Treatment Plant by 2035. in the world, helps draw two million-plus visitors to I:�ao�\ 4. Potential Indirect or Direct Potable Reuse -The our area annually. SCWD Board is exploring the potential for indirect I W For many decades, Southern California has gotten its �� 2035 RP and direct potable reuse for roughly 20 percent of SUPPLY MIX water from three sources - the Los Angeles Aqueduct I its long-term portfolio. (which serves the City of Los Angeles),the California 5. Groundwater Recovery - Our brackish desalination Aqueduct,and the Colorado River Water Aqueduct. facility can produce up to 15 percent of our total The California and Colorado River Aqueduct serve MIND Imported III Recycled Water a Doherty Ocean Desalination drinking water supply. Southern California and other regions. .Local Groundwater New Water Conservation •IPR/DPR 6. MWD and MWDOC - Continuing our long-time Cities pull in water from the groundwater basin partnership on imported water. managed by OCWD,where it is treated extensively, mixed with Santa Ana River water and further filtered through natural processes. Our proposed ocean desalination facility in Dana Point near Doheny State Thanks to this resource, north and central Orange County receives 75 percent Beach will meet all State Ocean Plan requirements and will provide up to five groundwater and just 25 percent via the Metropolitan Water District(MWD). million gallons per day of local, safe,drought-proof, and high-quality drinking water. Unlike north and central Orange County, south County does not have a true and robust groundwater basin. Hence, roughly 90 percent of south Orange Thanks to bipartisan support,we have received $32.4 million in grants from the County relies on MWD to provide imported water. State and Federal government.We want to thank U.S. Senators Dianne Feinstein and Alex Padilla, Congressmembers Mike Levin and Michelle Steel, State Senator SCWD (and MWDOC) has spent nearly two decades analyzing the feasibility pat Bates,Assemblymembers Cottie Petrie-Norris and Laurie Davies,and of ocean desalination and,after multiple intensive studies and cost analyses, Supervisor Lisa Bartlett for their continued support. the SCWD Board believes a "fourth aqueduct" is how we may best meet our customers' needs. Rather than a physical pipeline,though, it is a combination This"fourth aqueduct"will enable SCWD to continue providing reasonably of efforts to ensure we have an affordable, clean, high-quality, safe,and local priced water during droughts,earthquakes, and other natural disasters. water supply. Preserving our economy and the quality of life we enjoy is a mission we can all share. O SCWD has embraced a one water approach to a diversified water portfolio: 1. Doheny Desal - Our proposed ocean desalination facility is an essential SOUTH COAST element we can and should develop to meet our customers' needs. WATER DISTRICT 2. Conservation - Continued water efficiency levels of roughly 20 percent Partnering With The Community since 2013,the equivalent water use of 3,000 single family homes. Civic Publications, Inc. 1 7 NJ r Mx Fill i/-yU/'�✓ .1 t�- 1 � ..! .. dam, - -i - r _ _ _ ,•�!��m`=,}.�. -K' �...< _ - � ��` �=- � �:\?`�r� .gyp —" SI. - k - _ l �y .III - 2 sc The Headworks facility construction will rehabilitate and replace aging infrastructure at OC San's Plant No.1 in Fountain Valley.The goal of this project is to strengthen the reliability of the infrastructure,increase the lifespan of critical assets and improve plant-wide operations and services. O rangeCountyan * tation iDostr* ctII Renewing our Regional Sewer Infrastructure ith carefully planned and executed projects, the Orange County Sanitation District (OC San) �y is delivering essential wastewater services for today and the future. Our Capital Improvement Program (CIP) is designed to ensure resilient, reliable, and sustainable infrastructure to protect public health and the environment. "Good planning and collaboration enables us to keep our facilities operating without interruption. It is the only way to be successful," said OC San Board Chairman John Withers. "Our staff are highly qualified and knowledgeable.They understand the importance of planning for any eventuality.We are preparing for today, tomorrow and the future to ensure that we are able to continue to provide effective wastewater treatment." 0 OC San provides regional wastewater collection, treatment, and recycling to 2.6 million people within a 480-square mile service area in central and northwest Orange County. OC San's two resource recovery and "Good planning and wastewater treatment facilities, located collaboration enables in Fountain Valley and Huntington Beach, "OC San has been dedicated to our mission to us to keep our facilities treat an average daily wastewater flow protect public health and the environment for operating without of more than 180 million gallons per day _ over 65 years.As we look into the future and p g lion. It is the only from three separate sources— residential, move forward with our projects, we remain interruption. y commercial, and industrial.The majority of steadfast in our focus on ensuring innovative, way to be successful." sustainable, and reliable service for our this treated water is recycled by our partners John Withers the Orange County Water District through generation and those to come." OC San Board Chairman the Groundwater Replenishment System, James D. Herberg which uses advanced treatment processes OC San General Manager to treat the water creating a new, reliable, 8 California Water I Orange County 1 2022 high-quality source of water.The remainder of the treated wastewater is safely released to the Pacific Ocean five miles offshore. Ten Year Capital Improvement Program INVESTING IN THE FUTURE ional LA OC San Ensuring reliable wastewater collection, SewerProjects HABRA BREA S°,"' 'a" a treatment and recycling requires sound ange infrastructure.The CIP is OC San's long-term Anaheim YORBA ounty program to maintain and upgrade its Buena Park FULLE ON LIINDA \ infrastructure including the vast network of Costa Mesa PLAC NTIA pipelines, pump stations and treatment facilities. Cypress UENA OC San's CIP is engineered to provide reliable Fountain Valley PAL A PARK wastewater collection, treatment, and recycling FullertonANAHEIIII services operating 24 hours per day, 365 days Huntington CYP E S r—� PARR per year.The CIP is reviewed annually to validate -' - LOS ANT N /� and prioritize projects that will move forward. ALANIIT _ ARDLos ORANGE As many of OC San's existing facilities near the NewAla _ort Beach RO end of their useful lives,the main driver for many Orange SEAL Till STER of the CIP projects today is rehabilitation and BEAC replacement. Over$5.8 billion of CIP spending is Placentia �— SAN A projected over the next 20 years. Santa Ana UNIAI AN TUSTIN Seal Beach ALL Despite the pandemic, OC San issued $475 Stanton million of construction contracts for more than Tustin HUN INc 20 capital projects during fiscal year 2020-21. Villa Park B H IRVINE The activities addressed a range of projects, Westminster COST' MESA with notable efforts on finalizing designs for PROJECT START YEAR c s..�e«.- significant multi-year construction projects such 5.- � Curcent Projects a Srooi, as the Headworks Rehabilitation (pictured to 2022-2026 5 NEWPORT the left),which is a six-year project focused on immommi 2027-2032 BEACH upgrading major components of the wastewater ZentNo.1(Pi) treatment process. Plant No 2(P2) Construction also began on our new Administrative Headquarters Complex across the OC San maintains 388 miles of regional pipelines in the collection system and 15 pump stations. street from Plant No. 1 in Fountain Valley.This Construction activities include manhole repairs and replacement, upgrades at our two treatment facilities in will allow various administrative staff dispersed Huntington Beach and Fountain Valley, pipeline repairs and replacement,and upgrades to pump stations. throughout the Fountain Valley facility to come together in a centralized location.Ten aging buildings and temporary trailers will be demolished, preserving space for future wastewater infrastructure.The three-story office building will We Want to Work With You include an educational center, public lobby, surface parking, and pedestrian bridge connecting the new building to Plant No. 1 across the street in OC San is dedicated to serving the Fountain Valley.The new building is slated for Leadership in Energy and residents and businesses in our Environmental Design (LEED) Gold certification. " : communities,and this extends to In addition to upgrades at our two plants, members of our community contracting with local vendors. Have will notice construction in the streets.As part of the rehabilitation of the a company that might fill our needs? Western Regional Sewers, the Orange-Western Sub-Trunk& Los Alamitos Join o at one of our upcoming `;, Vendor Workshops. Trunk Sewer Rehabilitation will continue in the cities of Anaheim, Buena Park, Cypress, Los Alamitos, Seal Beach, and the unincorporated area of = - All workshops are —�� .. Tuesdays at 10 a.m. Rossmoor. Over eight miles of pipelines and 100 manholes will be either -- rehabilitated or replaced. O =- - • Maintenance Services: May 3 • Professional Services, Goods, -JC! 6SAN and Supplies:July 12 • Construction Services: Sept. 13 . Maintenance Services: Nov.8 ORANGE COUNTY SANITATION DISTRICT Interested in doing business with OC San go to: www.ocsan.gov I @ManDistrict www.ocsan.gov/doingbusiness ® © � To learn more about OC San's CIP go to: www.ocsan.gov/construction Civic Publications, Inc. 1 9 Y =1 •it Creaflng a Resilient, Local Water Supply Santa Margarita Water District to Build Its First Drinking Water Treatment Plant s Santa Margarita Water District's service area and population grows, it is expanding and improving local By Elizabeth Smilor water supply and resiliency. Special Sections Writer In the past year,the District completed the annexation of the city of San Juan Capistrano's water and sewer utility that includes the San Juan Groundwater Plant, began filling Orange County's largest recycled water reservoir at Trampas Canyon,and is ready to construct its first drinking water treatment plant,the Ranch Water Filtration Plant. "When we tie the Ranch Filtration Plant into Trampas Reservoir, it will take water that would have otherwise been used once and lost to the ocean and put it back to beneficial use multiple times," said General Manager Dan Ferons. "If we're going to import water from Northern California or from the Colorado River,we feel it's very important to use it as many times as we can gee► The District serves about 200,000 residents in Mission Viejo, Rancho Santa Margarita,San Juan Capistrano, / Coto de Caza,Wagon Wheel, Las Flores,Talega, Ladera Ranch,and Rancho Mission Viejo. It currently provides customers with roughly 9.8 billion gallons of drinking water per year,about five percent comes from the San Juan Groundwater Plant;the rest is imported. It recycles about 2.8 billion gallons of wastewater per year for irrigation, construction, and other uses. t:. The District's board of directors set a goal to diversify its water supply by 2030 by accomplishing three objectives: create a local drinking water supply; recycle 100 percent of its wastewater; and establish a six-month supply of "if we're going to import drinking water stored in the service area for an emergency. water from Northern On the recycled water front,the District has put about 326 million gallons of recycled water into Trampas Reservoir since it was dedicated in October 2020.The reservoir has a storage capacity of 1.6 billion gallons of recycled water- California or from the enough to fill 2,500 Olympic-size swimming pools. Colorado River, we feel it's "Trampas real) is an important piece in our water supply portfolio.The whole idea is to fill it and empty it as man p Y� p p ppYp p Y Y very important to use it as times in a year as we can and put recycled water in there when it's not needed for irrigation," Ferons said. "It really many times as we can." is a great accomplishment of the District to have not only Trampas, but Upper Oso and Portola reservoirs,where we Dan Ferons can store recycled water and draw it down when it's needed." SMWD General Manager The San Juan Groundwater Plant on San Juan Creek(which the District acquired with the annexation of San Juan Capistrano's water utility), currently provides about five percent of the District's potable water demand.Work has begun to optimize the plant and double its production.The Ranch Filtration Plant will treat groundwater from the 10 California Water I Orange County 1 2022 r At left,Trampas Canyon Reservoir was dedicated in October 2020 and began filling with recycled water last year. It is now at about one-fifth its capacity.Above,officials celebrate the annexation of the San Juan Capistrano water and sewer utility in November 2021. Santa Margarita Water District's Waterworks Garden,at right,shows residents and businesses drought-tolerant landscape designs and irrigation methods. San Juan Basin to supply some 1.6 billion gallons of drinking water per year to The other way local actions make a difference is through water use efficiency customers at full buildout.Additional infiltration and recharge basins along San and conservation.To give customers an idea of what's possible for efficient Juan Creek will bring the District to its goal of local water supply for indoor use. landscaping,the District has a demonstration garden at its headquarters with "The Ranch Filtration Plant is going to double our local capacity,"said Deputy different styles of drought-tolerant landscaping, plants,and irrigation methods on General Manager Don Bunts. "In an all-out emergency we will ask our customers display.The District team meets with customers to offer advice on specific things not to irrigate anything, but they will have the indoor water they need.We're a they can do in and around their homes that will save water both indoors and out. third of the way there. Everything we build,the better off we are., The District is also working with developers to create water-wise landscaping and water-efficient homes. The ongoing drought has made Santa Margarita's efforts that much more important and timely. "We have a lot of new growth in our area, but water demand is not going up proportionally with the population," said Bunts. In fact,said Ferons, current water "The public is aware of the drought situation and is more receptive to long-term use is less than it was 10 years ago despite the growth. projects,"said Bunts. "As we're seeing continual drought,they are looking to us to make sure we're demonstrating that we're doing all we can to keep the water Santa Margarita Water District is proud of its investments in water resilience flowing." and sustainability and will work to continue to provide a safe, reliable water supply to the growing south Orange County area. O While the District focuses on local needs, Ferons pointed out how projects benefit the region and state as well. "During normal times,we'll still be operating `iarIta Ma12got2ita this new filtration plant and that will free up imported water that can go to a Wote>a Distrzict disadvantaged community or into regional storage," Ferons said. • too The Water Festival is Back! A free, family-friendly water awareness event that includes: bus tours of Orange County's largest recycled water reservoir, Trampas Canyon; walks through the Waterworks Garden to learn . ` 40 about drought-friendly plants and garden designs; information 40 from garden professionals, water experts, and dozens of exhibitors; I /� children's activities; live music; food trucks and more. WHEN: Saturday, May 7 from 10 a.m. to 1 p.m. ' WHERE: SMWD Headquarters at the corner of I � Oso Parkway and Antonio Parkway(26111 Antonio) For more information,go to www.smwd.com/Fest►val Civic Publications, Inc. 11 10 TOP TIPS incredibleSoulleirn California is home to many industry. Read about 10 inspiring women working in California water today FROM FEMALE who offer started.when they LEADERS Their reflections on their careers,their support advice ATER _ member IN WCoalition Board o . several also chair or co-chairforces. PATTY CORTEZ ALLISON FEBBO Patty Cortez, Mayor for City of Covina, SCWC board For Allison Febbo, the general manager of the Mojave member, and co-chair of the SCWC Legislative Task Water Agency, inspiration to pursue a career in water Force, encourages new professionals to learn as started with the female role models throughout her _ much as they can and not be afraid to ask questions. life. "I had a science teacher in high school who went She reflected on moments at the beginning of her /�-� out of her way to acknowledge and support my interest career when she was intimidated by others'titles and and abilities in the subject," said Febbo,who also 4b expertise. "Over time, I found that the water industry _ chairs SCWC's Delta Issues Task Force. "And later, a is a very supportive community across all levels," said i college professor and scientist guided my development Cortez. "I wish I had taken those early moments to ask and was a great role model." More recently, Febbo questions and increase my knowledge in the field." was encouraged by a colleague at the Mojave Water Cortez herself brings tremendous expertise and experience that benefits Agency. "Laura King Moon,the assistant general manager of State Water the water field, including a background in public relations,work as a district Contractors, made regular efforts to advise and support me through my staffer for a member of Congress, and public affairs and legislative project career development,"added Febbo. management for an energy utility. She considers herself fortunate to have been motivated by several influential "I truly believe every position I had prepared me to be where I am today," women throughout her education and career and hopes to do the same for said Cortez. "My background helped me realize that my passion was working young women looking to enter the water industry today. I would advise in government and communicating to the public.Thankfully I have been young women to expose themselves to as many networking,training, and fortunate enough to combine the two into my position today." leadership experiences as possible throughout their career, including finding a trusted mentor to help with guidance and advice," said Febbo. "Find a comfortable work/life balance.We must develop and honor ourselves as HEATHER DYER whole individuals to make sustained contributions to water." Looking back on the beginning of her career, Heather Dyer, the CEO and general manager of the San Bernardino Valley Municipal Water District, never CAROL LEE GONZALES-BRADY ..�. imagined that the to job at a water district was in g p 1 Carol Lee Gonzales-Brady,the Board President of her professional future. "I am an endangered species the Rancho California Water District and co-chair biologist by training," said Dyer. "If I could give myself , of SCWC's Legislative Task Force,was inspired by advice when I was new to the water industry, it would prominent water rights attorney and Laguna Beach be to take off your blinders and let yourself imagine r County Water District Commissioner Susan Trager to what is possible and what path you might take." pursue and persist in her work in the water industry. "I Dyer discovered that her skill set was applicable across had the honor and pleasure of counting her as a dear many aspects of her work throughout her career. "At the beginning, I never friend for years," said Gonzales-Brady. fully understood my ,`why.' My why is complex problem solving to make the When one is just starting out in their career, it can be world a better place. I wish I had figured that out earlier."She encourages easy to get caught up with worries about what other young women just entering their field to figure out their"why,"too. "That will people think. But the best advice that she'd give those starting out is to not drive your future to do work that you love." to try too hard to please everyone. "There will always be those who may not like you or may even work against you for a variety of reasons," said Gonzales- Brady. "But respect is more important than popularity, so make sure you focus on producing high-quality work." SANDY KERL JANICE RUTHERFORD Sandy Kerl, general manager of the San Diego County Janice Rutherford, SCWC Board Chair and the Second Water Authority and chair of SCWC's Colorado River District Supervisor of the County of San Bernardino, is Task Force, found inspiration from a female water continually inspired by women's hard work, expertise, veteran of her district who pioneered innovation. "' and contributions to the water sector. Her shoutout "Maureen Stapleton, SDCWA's retired general is to Debby Cherney,who served as the Eastern manager, helped to create water reliability through Municipal Water District's Deputy General Manager. innovation and creativity in the San Diego region that "Debby impresses me with her work ethic as well as had never been done before and is standing the test her desire to expand her knowledge of policy and of time during this historic drought in California:' It's ,} government iss es,"said Rutherford. "She is dedicated these dynamic approaches that Kerl hopes to see more :r to helping other women succeed in their career paths, women bringing to the future of water. and I admire her commitment to excellence in public As one who spent her entire career in public service, starting as an intern and service." working her way up, Kerl knows a thing or two about professional growth and development. "Avail yourself to all opportunities to learn and engage," Kerl KATHYJ.TIEGS advised all newcomers to the water industry. "Seize opportunities to attend Kathy J.Tiegs, former SCWC Board Chair and longtime webinars,training, conferences, mentorships, and new assignments for which director of Cucamonga Valley Water District,was you will have to stretch to achieve the desired outcome." motivated by another strong leader in water. "Pat ss Mulroy, the retired general manager of Southern JOONE KIM-LOPEZ ` Nevada Water Authority, inspired me throughout my As a former police officer,Joone Kim-Lopez is unafraid l career," said Tiegs. "In a male-dominated industry, she to stand up for those who can't speak for themselves. encouraged women to get involved in water issues and "I can't sit by and see injustice,"said Kim-Lopez,who pursue leadership and elected positions. I am forever n is now the general manager of the Moulton Niguel = grateful to Ms. Mulroy for the example she set in Water District. "I hope that women will be more '" blazing the path for women in the water industry." impactful in establishing justice because when you talk Tiegs also had a welcoming statement for young women entering the water about diversity and inclusion,what it comes down to industry. "You are the next generation of women water leaders to protect our is justice. She hopes that her leadership will continue most vital resource:water, said Tiegs. The water industry provides you with to inspire regional inclusion efforts and keep moving the opportunity to achieve your long-term goals, take on leadership roles, water in the direction of equity. work with a diverse multidisciplinary group of professionals, meet interesting There were many women in water that Kim-Lopez looked up to when she people, influence collaboration and outcomes, and most importantly, have entered the public leadership. "Environmentalist Frances Spivy-Weber, your voice heard as more and more women get involved in water issues." Orange County-based water leaders Cathy Green and Pam Tobin, and San Bernardino County-based water leader Kathy Tiegs all spoke up and stuck up for others," said Kim-Lopez. "I admired that." She went on to articulate EUNICE ULLOA IF.9 her hope for the water industry's future to include more perspectives from Mayor Eunice Ulloa of the City of Chino grew up in different backgrounds. "We have the ability to make things better for the � �d;ti� the hub of the citrus and dairy industry, making her keen) aware of the importance of water from a young people of California," said Kim-Lopez. "Find your calling. Get involved in your a y p community." � i+, age.When she served as the executive director of the Chino Basin Water Conservation District, she was 0 excited to see many young women entering the water KRIS MURRAY ; industry. Kris Murray, Chair of the Santa Ana Regional Water Ulloa,who has served on the Chino City Council Quality Control Board and president of KLM Strategies, r. - ` I a women-owned consulting firm advancing sustainable since 1984, recounted a time that she felt re inspired by one of her hires: I hired a young woman with a projects, encourages women's involvement in the t doctorate in Water Science and Management to lead our education programs. water industry. "Women are still underrepresented r Her passion for her work, her knowledge and understanding of the science despite many rewarding career paths within the water of water, and the art of educating others about water were infectious. Her industry," said Murray. She recommends that women y energy and creativity in teaching students about water by getting them out entering the sector identify mentors to guide them and in the field, experiencing the complexity firsthand, and passing along those to join associations and industry groups that will help skills to educators were exciting and inspiring.When she spoke,you could see them develop their skills, broaden their contacts, and lightbulbs turning on in the room. I think that for those of us who have been open opportunities for leadership. in the water industry a long time, it is important to look at the issues from "The future of water must include a comprehensive focus on the nexus new perspectives." between climate change, sustainability of our natural resources,water quality and supply," said Murray,who also chairs SCWC's Water Energy Efficiency Task Force. "I look forward to watching women in water innovate new ways to resolve these issues and secure the long-term resiliency of our industry! SCWC / Matte `r ater . '• • "Scwc HEAR FROM TOP WATER LEADERS Alt EPISODES III �!�•i��Sr�.��•�rj��i s•i �� Ili.:�::• :•!!t�i!�!!I(,, V 1t(t(t(tltii` (l Sri1/I:1 l#114 /Ir 11 r 1/1 VIVA alas ■t/II l/rl t/I IS11 oaf A i�i��t►y� y�i�a�Vls ■tuuunurrul Adel • _ • General Manager, • •�,"1�L'a"�> iiiil .t`.��Z, L`�L►i�i�i�L iiiiA+ Metropolitan Water District PAP Joaquin E • Chair, • Water Director,:41 Resources Control Board, and Karla • • . Dept. of r Water Resources Public Policy Instituteof California; Ajami, then with Stanford Water Faith Kearns, author, Getting to • of Science Communications #4 1 Senator • • Assemblyman Eduardo Garcia • 1 Martha Guzman, head of Pacific Southwest; fellow, Stanford Water in the West www.socalwater.org/podcast/ anywhere • podcasts 14 California Water I Orange County 1 2022 Southern California Voices _ t � c Need to Be Heard on - Water nves men t�r R �^ 40;4 ! � y� - r�^c•.»a:<. \"fit__`.�a r .!C s the state of California continues to experience drought conditions, Rdbulld SoCal water infrastructure investment has become a top priority for many Partnership organizations. The Southern California Water Coalition is just one of the groups that has SCV � called on state leaders to use budget surplus funds to invest in additional WATER K water infrastructure. SCWC has joined with eleven other organizations to call for more funding for projects that will help to increase local and regional water supply _ t development, fix aging infrastructure, improve water quality and investment in new and existing water storage projects. The coalition has also called for investment in water recycling and reuse projects that �� INDUSTRIAL p pp Y g p Mojave A 5 S 0ONME 1 0 N will help to stretch our limited supplies b allowing us to use each drop of water more � IEA A 5 f 0 C I A T I • N than once. With the right investment, these organizations hope that California can Water P/"'i iifthe l�nironmefi g g p PrtnrrtinR the Environment begin to address its chronic water woes. Agency • Local and regional water resilience investments - $2.5 billion o Large-scale regional water recycling ( o Investments in local recycled water projects (ill I ORANGE COUNTY o Investments in additional local and regional water supply ,,NIKI,ll� BUSINESS COUNCIL development and water use efficiency initiatives The Leading Voice of Business • State Water Project subsidence repairs - $585 million �Z Los Angeles County SOUTHERN CALIFORNIA • Treatment for drinking water constituents of emerging ed Business Federation LEADERSHIP COUNCIL concern - $500 million 5,T•9, ,�,^• •e,.•.,�..5.�• . • Water storage - $1 billion o Supplemental funding for Proposition 1 surface and groundwater storage projects s o Investments in dam safety projects 0 o Investments in groundwater storage and related infrastructure Civic Publications, Inc. 1 15 yy 1= bewatervAse.conf o - ration LEGISLATIVE AND PUBLIC AFFAIRS Ad10844t Ellis Avenuueg SAN COMMITTEE Fountain Valley, 92708 (714)593-743433 ORANGE COUNTY SANITATION DISTRICT Agenda Report File #: 2022-2323 Agenda Date: 5/25/2022 Agenda Item No: 18. FROM: James D. Herberg, General Manager SUBJECT: PUBLIC AFFAIRS STRATEGIC PLAN FOR FISCAL YEARS 2020-2022 YEAR-END REPORT GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the Public Affairs Strategic Plan for Fiscal Years 2020 - 2022 Year-End Report. BACKGROUND The Orange County Sanitation District's (OC San) Public Affairs Office is responsible for creating, organizing, and disseminating all internal and external communication. The primary objective of the Public Affairs team is to deliver messages that are accurate, transparent, and designed to foster trust and confidence. Results from the Communications Audit presented in March 2020 were used in the development of the Strategic Plan. The Communications Audit helped clarify the path moving forward and identify opportunities for the Public Affairs Office to explore. An integrated Public Affairs Strategic Plan is essential to effectively manage the variety of audiences served. RELEVANT STANDARDS • Build brand, trust, and support with policy makers and community leaders • Maintain collaborative and cooperative relationships with regulators, stakeholders, and neighboring communities • Make it easy for people to understand OC San's roles and value to the community • Maintain influential legislative advocacy and a public outreach program PROBLEM There are various initiatives and messages that the Public Affairs Office must share with internal and external stakeholders for the continued operation and efficiency of OC San. The messaging must be consistent, concise, and thoroughly planned to be efficient and effective. PROPOSED SOLUTION The current Public Affairs Strategic Plan includes goals, objectives, strategies, and tactics to execute the various messages and efforts set forth by OC San. The two-year plan will be completed in June Orange County Sanitation District Page 1 of 2 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2323 Agenda Date: 5/25/2022 Agenda Item No: 18. 2022, with updates that have been provided to the Legislative and Public Affairs Committee every six months since adoption in July 2020. PRIOR COMMITTEE/BOARD ACTIONS February 2022 - Received and filed the Public Affairs Strategic Plan for Fiscal Year 2020-2022 Mid- Year Update. July 2021 - Received and filed the Public Affairs Strategic Plan for Fiscal Years 2020-2022 Year End Update. February 2021 - Received and filed the Public Affairs Strategic Plan for Fiscal Years 2020-2022 Mid- Year Update. July 2020 - Approved the Public Affairs Strategic Plan for Fiscal Years 2020-2022. ADDITIONAL INFORMATION Year-End Public Affairs Highlights (July 2021 - April 2022): • Launched the OC San Connection Newsletter - published three electronic newsletters. • Partnered with the Heritage Museum of Orange County to develop virtual content for local schools and content for in-person tours. • Developed the Organizational Advocacy and Outreach Policy for inclusion in OC San's 2021 Strategic Plan. • Over 550 internal posts on The San Box. • Hosted 23 tours. • 89 website posts. • 10 speaking engagements reaching over 6,000 people. • Received four awards. • Over 371 posts on multiple social media platforms. • Distributed four Outreach Toolkits to OC San's Member Agencies to help with OC San messaging. • Distributed 16 construction notifications reaching nearly 74,000 people. • Updated the 2022 Legislative & Regulatory Plan. • Published the OC San Annual Report FINANCIAL CONSIDERATIONS All items included in the Public Affairs Strategic Plan FY 2020-2022 are included in the FY 2020-2022 Budget. ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Public Affairs Strategic Plan FY 2020-2022 • Presentation Orange County Sanitation District Page 2 of 2 Printed on 5/16/2022 powered by LegistarTM MEN No NONE PUBLIC AFFAIRS RATEuIC P I A N Fiscal Years 2020-21 and 2021 -2022 Introduction The Orange County Sanitation District's (OCSD) Public Affairs Office (PAO) is responsible for creating, organizing, and disseminating all internal and external communication. The primary objective of our Public Affairs team is to deliver messages that are accurate, transparent, and designed to foster public trust and confidence. An integrated Public Affairs Strategic Plan is essential to deal effectively with the variety of audiences we serve. The Public Affairs staff provides services and tools and implements programs to meet the communication needs of several audiences for OCSD. This includes planning and implementing media relations; website and intranet site content; construction outreach; elected officials, and government relations; internal communications, education, and outreach; and graphic development. The Public Affairs Office has created a Strategic Plan for Fiscal Years 2020 - 2022. This Plan is developed based upon the principles of OCSD's Mission of protecting public health and the environment and will support the implementation of OCSD's Strategic Plan. This Plan offers a vision to unify our communication efforts and focus resources to achieve the greatest impact and greatest results. This plan was created amidst the COVID-19 pandemic thus resulting in modifications to the goals and objectives. Much of what is planned and created by this group is based on external factors and therefore outside of our control. The Public Affairs Office will follow the guidance set forth by Management and the Board of Directors to carry out OCSD's messaging and support our member agencies. Background Information The Orange County Sanitation District represents 20 cities, 4 special districts and a portion of the unincorporated County of Orange. This area represents a community of 2.6 million people with approximately 550,000 customer accounts. Unlike most public agencies where there is direct contact with customers, at the Orange County Sanitation District, billing occurs through the County of Orange property tax bills. Therefore, the Sanitation District, must work through other means to communicate with the public and the rate payers. We have a 25-member Board of Directors, and over 600 employees within six departments with various goals and objectives. While these groups work independently on a variety of projects, the goal of the Public Affairs Office is to provide support and messaging that is consistent throughout the agency so that we are one voice, representing the same overall goals, and portraying the same brand. 1 While there are many challenges with serving such a large and diverse customer base, there are also great opportunities working through the strategies laid out in this Plan. Public Affairs Team The division is staffed with six full-time employees and overseen by the Manager. Jennifer Cabral, Administration Manager Daisy Covarrubias, Principal Public Affairs Specialist Rebecca Long, Senior Public Affairs Specialist Kelly Newell, Public Affairs Specialist Belen Carrillo, Public Affairs Specialist Gregg Deterding, Graphics Designer Cheryl Scott, Administrative Assistant Each of these staff members carry out specific functions to meet the communication goals and objectives laid out in this Plan. Situation Analysis • There is a global pandemic occurring which has shifted the way we operate and perform our mission of protecting public health and the environment. As we learn to navigate the recovery phase and move into new social distancing norms, our communication efforts will be modified accordingly to meet the needs of the agency, community, and workforce. • Due to COVID-19, close to 50 percent of staff is working remotely. The uncertainty of the pandemic creates unknown future work conditions for staff. These circumstances impact the ability and method of communicating and reaching employees, thus alternative communication techniques must be explored and implemented. • OCSD is in the third year of a five-year rate program, with a scheduled 1.2 percent increase in fees to take effect July 1. Due to the economic impacts of COVID-19 the rate increase for Fiscal Year 2020-2021 will be delayed with no significant financial impacts to OCSD operations. • There could potentially be a significant turnover of board members in 2020. Succession management and onboarding for the board members is critical for the success of this agency. 2 • During the COVID-19 pandemic, OCSD has sustained its operational, planning, and preparation efforts to ensure there is no lapse in service today or in the future. As an essential service, OCSD has continued to execute the Capital Improvement Program (CIP) to keep the regional projects on schedule that are enhancing our entire service area. In Fiscal Year 2020-2021 OCSD is on track to bid and issue $500 million of construction contracts for over 35 projects. Mission The Public Affairs Office is committed to communicating information about OCSD in a timely, accurate and accessible way to the employees, the Board of Directors, our member agencies, the public, and the news media. • We are committed to open, honest, clear, and respectful two-way communication with our audiences. • We are dedicated to informing others about how OCSD serves the public and protects the environment. • We are committed to outstanding customer service by responding to requests quickly and efficiently. • We are dedicated to teamwork and collaboration as well as being creative and taking the initiative to be out in front of issues. Audiences This Public Affairs Plan focuses largely on four primary audiences. • Internal o Board of Directors o Executive Management Team o Employees o Retirees • The Public o Ratepayers o Member Agencies o Residents, Businesses, Commuters Impacted by OCSD Construction o OCSD Neighbors in Fountain Valley and Huntington Beach o Schools and Students o Tour Groups 3 • Industry o Water/Wastewater Agencies o Trade Organizations o Trade Media • Influential Public o Local, State, and Federal Elected Officials o Environmental Groups o Local Media Agency Key Messages • OCSD is committed to protecting public health and the environment by providing effective wastewater collection, treatment, and recycling. • OCSD is more than a wastewater treatment facility, we are a resource recovery facility making use of all our byproducts. • OCSD is dedicated to exceeding wastewater quality standards used for resource recovery. • OCSD is committed to proper planning to ensure that the public's money is wisely spent. • OCSD's assets are monitored and evaluated regularly to ensure top performance and timely replacement. • OCSD values communicating our mission and strategies with those we serve and all other stakeholders. • OCSD will provide reliable, responsive, and affordable services in line with our customer needs and expectations is a top priority for OCSD. • OCSD focuses on creating the best possible workforce where safety, productivity, customer service, and training are a top priority. • OCSD has worked very hard to create an integrated planning environment which begins with the expectations of its Board of Directors and flows down to the work product of each employee. We have worked hard to assure our staff members are communicating and providing transparent services to each other in support of the plan. 4 • OCSD has developed an integrated Planning/Asset Management system that allows for intentional, thoughtful decision making to maintain current operations while adding resilience and meeting new challenges. • OCSD has an organizational structure with informal relationships between employees that allow for collaboration toward common goals. Public Affairs' Goals for Fiscal Year 2020/21 and 2021/22 1. Optimize communication with our internal audience including those operating in the field with limited time to access online communication. 2. Continue to build OCSD's reputation as infrastructure leaders in the wastewater and resource recovery industry. 3. Cultivate relationships with traditional and social media journalists and influencers to promote OCSD's programs and initiatives. 4. Enhance OCSD's image and branding by utilizing proper messaging in external communication pieces such as OCSD's website, presentation, digital media, and advertising. Maintain a positive experience and image for our visitors. 5. Identify and implement avenues for education and outreach within OCSD's service area to further promote OCSD as a resource recovery agency, promote OCSD's mission and promote career opportunities within the wastewater industry. 6. Develop and implement outreach programs that will engage the communities affected by OCSD construction projects. 7. Participate in proactive engagement in legislative advocacy efforts that could impact OCSD and the wastewater industry. 8. Monitor, track, and apply for grants available and that make business sense to OCSD. 9. Ensure that local elected officials, member agencies, stakeholders, and OCSD Board Members are actively engaged in the work of OCSD. 10. Ensure the Public Affairs Office serves as the primary spokesperson for OCSD during normal business and crisis scenarios and facilitates the dissemination of information. 11. Ensure the General Manager and Assistant General Managers are supported with information necessary to communicate to the varied OCSD audiences. To achieve these goals, the Public Affairs Office presents the following strategies and tactics, along with the primary staff assigned to that area. While individual staff members are the key contacts for each of the goals, the team works collectively and collaboratively, reflecting our core values. Our staff recognizes the key role we play at OCSD, not only communicating 5 information, but also teaching and consulting others and serving as a resource to our Board of Directors, employees, the wastewater industry, and our member agencies. As we navigate through the pandemic recovery efforts, the team will follow this plan, and make necessary modifications to effectively communicate OCSD's strategic direction. Flexibility is implemented into this plan to deal with the dynamic situation we are all in. Public Affairs Strategies and Tactics 1. Category: Employee Communications Program Manager: Rebecca Long, Program Coordinator/Support: Kelly Newell, Belen Carrillo, Gregg Deterding, and Cheryl Scott Goal (what): Optimize communication with our internal audience including those operating in the field with limited time to access online communication. Objective (measure): Create employee engagement by utilizing the identified communication methods to share agency wide messages. Increase the availability of employee communications by five percent based on previous plan's goals. Strategy (why): We value open and honest communication with our employees. PAO is committed to various efforts aimed at keeping OCSD employees informed about important topics, increasing the overall quality of communications to our employees while tying the business aspects of the agency with the human-interest side. Tactics (how): • Keep information on MyOCSD homepage current, relevant, and useful for OCSD employees by working with the various Departments to gather information that should be shared. • On a regular basis, staff will continue to support various departments with their communication and outreach needs. • PAO will produce six Pipeline newsletters per year with a goal of circulation by the third week of the publication month. • PAO will track Volunteer Incentive Program (VIP) points for all participating employees and coordinate the VIP appreciation celebration. • Create employee recognition and celebratory events throughout the year that comply with new social distancing guidelines, may include small in-person gatherings and virtual events. To include but not limited to the Annual Holiday Lunch, the Harvest Festival, and VIP Celebration, etc. 6 • Continue with the Honor Walk program which acknowledges retired staff and past Board Members for their contribution to OCSD. The recognition event will be hosted every other year starting in 2021. • Write and coordinate the 3 Things to Know email blast to be distributed to all staff each Monday. • Produce monthly Digester bulletin. • Coordinate and produce two Town Hall meetings (live and/or pre-recorded) to keep employees informed and engaged. • Host organizational awareness lunch-n-learns monthly to keep staff informed about agency programs and initiatives. • Research and identify an agency-wide digital message system to provide messages in staff areas across both plants and the Mt. Langley office space. Implementation to occur in Fiscal Year 2021-2022. 2. Category: Industry Experts Program Manager: Daisy Covarrubias Program Coordinator/Support: Kelly Newell, Gregg Deterding, and Cheryl Scott Goal (what): Establish and solidify OCSD's reputation as infrastructure leaders in the wastewater and resource recovery industry. Objective (measurable): Increase participation in strategic organizations through conferences, networking activities and awards by five percent. Strategy (why): To build positive public perception and confidence among our various audiences. Tactics (how): • Encourage participation and presentation in conferences. • Encourage and support award application submittals. • Publicize and coordinate award acceptance logistics. • Track all awards won by OCSD by keeping a master list. • Track and promote staff abstract's and publications. 3. Category: Media Relations Program Managers: Daisy Covarrubias and Rebecca Long Program Coordinators: Kelly Newell, Belen Carrillo, Gregg Deterding, and Cheryl Scott 7 Goal (what): Cultivate relationships with traditional and social media journalists and influencers. Objective (measurement): Increase media coverage with positive stories about OCSD. Strategy (why): While a presence in the community is important to putting a face on our agency, media (traditional and social) is equally important with a broader reach and a more direct line of communication. Tactics (how): • Annually update media list to stay current and fresh. • Develop a press kit to be online and interactive. • Build a calendar of news release topics of interest to the public and stakeholders. • Invite media for a facility tour (virtual or small group). • Develop media strategies for important events, decisions, or actions. e.g. CIP Campaign (see details in Category 6: Capital and Maintenance Outreach) • Conduct media training for Board leadership, EMT and key staff members. • Generate weekly (3-5 times) social media posts about the good things happening at OCSD with focus on OCSD's accomplishments and mission. • Continue with social media campaigns #OCSDatWork, #What2Flush, and those currently supporting ongoing efforts. 4. Category: Agency Branding and Messaging Program Manager: Daisy Covarrubias Program Coordinators/Support: Gregg Deterding, Kelly Newell, and Cheryl Scott Goal (what): Enhance OCSD's image and branding by utilizing proper messaging in external communication pieces such as OCSD's website, presentations, digital media and advertising, which includes maintaining a positive experience for OCSD visitors. Objective (measure): Launch a rebranding campaign for a new logo and a modified name over the next two fiscal years. Update collateral material, signage, website, social media accounts, and promotional material as appropriate and as it is used. Include in messaging that OCSD's official name remains Orange County Sanitation District. Maintain the lobby(s) current and informative with relevant information, i.e. displays, awards case, etc. Strategy (why): A cohesive voice, message, look, and feel are critical to the public perception that an organization holds with its community. A positive and pleasant in-person experience reinforces OCSD's culture and Core Values as well as showcasing OCSD as industry leaders, and a well-run organization, leaving behind the stigma of typical government agencies. 8 Tactics (how): • Update and maintain the corporate identity manual to provide guidance on use of the logo, name, use of fonts, and graphics. • Keep website current with informative news stories posted weekly. • Provide presentations, consultation, and advice on the branding and image of OCSD. • Develop new key messages focused on new branding logo and name. • Develop new collateral materials around the key messages. • Incorporate OCSD's messaging and branding into all external presentations. • Explore advertising options to inform public of agency efforts and role in economic development. • Fulfill all requests for graphics, photos, and logos. • Conduct second phase of community poll to determine name recognition and reach. • Develop an online community newsletter for digital distribution within our service area to increase awareness of OCSD, our programs, and initiatives. • Develop a branding plan for the new Headquarters Building. • Maintain the lobby wall in the Administration Building at Plant No. 1 and the Operations Center at Plant No. 2 with OCSD's current branding and messaging. • Rotate flags on light poles along Street Parkway on a biennial basis. • Keep the award display cabinet up to date by rotating awards. • Keep the retiree display in the Administration Building hallway up to date. On an annual basis collect the names of the retirees and update the display board. • Maintain and coordinate the installation of Honor Walk bricks on a biennial basis. • Display collateral material in a neatly and organized manner displayed with current and relevant information. S. Category: Educational Outreach Program Manager: Rebecca Long Program Coordinators/Support: Kelly Newell, Belen Carrillo, Gregg Deterding, and Cheryl Scott Goal (what): Identify and implement avenues for education and outreach within OCSD's service area to promote OCSD's mission and vision. Objective (measurement): Create and identify new educational opportunities including virtual events and webinars to promote and educate the community on OCSD's work and the essential service provided. Strategies (why): To further promote OCSD as a resource recovery agency, promote OCSD's mission and promote career opportunities within the wastewater industry. 9 Tactics (how): • Execute the Inside the Outdoors contract for Fiscal Year 2020-2021 to continue OCSD's educational program including the Sewer Science program to 500 students within Orange County and introduce them to OCSD's pilot virtual tour program. • Implement virtual tour program in lieu of physical tours of the plant which are temporarily suspended due to COVID-19. An estimated 1,000 participants will take part in the virtual tour program per year. • Evaluate the participation of community events due to COVID-19 restrictions. Once events are rescheduled within OCSD's service area, participation will be evaluated to determine safety for staff, and overall impact and reach. • Continue to encourage and promote the Volunteer Incentive Program to have a pool of staff that volunteer for events and speaking engagements that OCSD participates in. • Expand OCSD's speaker's bureau to provide a wider set of speakers available. • Create a Public Service Announcement (PSA) Contest—work with local colleges and high schools in our service area to create a promotional PSA for OCSD on a biennial basis. Obtain a minimum of 20 individual and/or group entries. • Implement a Wastewater 101 Academy for our ratepayers, fellow agencies, and influential public to showcase OCSD operations and initiatives. Host a minimum of four (4) sessions per cycle. • Research and obtain a Mobile Educational Unit utilize at public events that helps generate greater understanding of the wastewater process and OCSD's messaging. 6. Category: Capital and Maintenance Outreach Program Managers: Daisy Covarrubias and Tanya Chong from Engineering, Program Coordinators/Support: Belen Carrillo, Kelly Newell, Gregg Deterding, and Cheryl Scott Goal (what): Develop and implement outreach programs that will engage the communities affected by OCSD construction projects. Objective (measurement): Develop, implement, and provide outreach support for over 20 capital projects scheduled to break ground in fiscal years 2020/2021 and 2021/2022 within 12 cities. Strategy (why): Form a positive presence in the community prior to the start of construction projects or maintenance activities that is personal and proactive. Provide impacted community with information ahead of construction activities. Inform them of the benefits and need for the project to gain support and understanding of the necessary construction. 10 Tactics (how): • Proactively offer briefings and community meetings to impacted neighborhoods, civic groups, businesses, schools, churches, and other institutions within the project area on an as needed basis. • Launch CIP Campaign to highlight the efforts of the program and the financial contributions to the local economy. • Explore the option of placing advertising pieces in communities/areas impacted by construction. • Respond to inquiries within a 24-hour period. • Provide project description and notifications to impacted residents at least two weeks before construction begins. • Update collateral materials, fact sheets and website with current construction information on an as needed basis. • Maintain ongoing communications with city staff and Board Members on current and upcoming construction outreach projects in affected cities. • Maintain ongoing communications with impacted residents within the project area through collateral material (e.g., flyers, door hangers, emails, text alerts, social media posts, etc.). • Measure customer satisfaction through a construction outreach survey to be distributed at the close of construction programs. 7. Category: Legislative Affairs Program Manager: Rebecca Long Program Coordinator/Support: Kelly Newell, Gregg Deterding, and Cheryl Scott Goal (what): Proactive engagement in legislative advocacy efforts that could impact OCSD and the wastewater industry. Objective (measure): Continue positive relationships with local, state, and federal officials through facility tours, meetings, and bill tracking as stated in the Legislative Plan. Strategy (why): Legislative advocacy is an important aspect of our business. Having relationships and being actively involved, providing input and OCSD's perspective on potential legislature can and does directly affect OCSD and our business. The Public Affairs Office is responsible for executing the Board approved Legislative Plan, which is updated on an annual basis. In addition, staff is responsible for tracking state and federal legislation, managing the Sanitation District's legislative advocates, and seeking appropriations and grants. 11 Tactics (how): • Develop and implement Annual Legislative Plan in the second quarter of each fiscal year. • Track bills and maintain a priority list of key legislation. • Provide regular updates to the Legislative and Public Affairs Committee on state and federal matters. • Host legislative tours. • Engage in Advocacy Days in Sacramento and Washington DC twice a year. • Take positions on bills that could affect OCSD or the industry. • Work with industry organizations on state and federal issues to ensure OCSD's positions are communicated. • Partner with industry organizations to co-host virtual events and activities. • Manage the legislative advocates' contracts and facilitate regular communication between lobbyists, staff, and the Board of Directors. 8. Category: Grants Coordination Program Manager: Rebecca Long Program Coordinator/Support: Kelly Newell, Gregg Deterding, and Cheryl Scott Goal (what): Monitor, track, and apply for grants available to OCSD. Objective (measure): Apply and obtain grants for qualified OCSD projects and programs. Strategy (why): Outside funding is important in moving OCSD projects and programs forward. With ongoing attention to government spending, it is vital for OCSD to apply for and secure grants to offset costs when available. Tactics (how): • Apply for two grants a year based on availability. • Develop Grant Policy during fiscal year 2020-2021. • Research grant opportunities and report out to the Legislative and Public Affairs Committee. • Seek appropriations and grants and provide support to other divisions seeking grant funding. • Secure letters of support. • Publicize grant awards received. • Create and measure outcomes. 12 9. Category: Local Government Affairs Program Manager: Daisy Covarrubias Program Coordinators/Support: All PAO staff Goal (what): Ensure that local elected officials, member agencies, stakeholders, and OCSD Board Members are actively engaged in the work of OCSD. Objective (measure): Provide at least two communication tools per month. Strategy (why): Keeping OCSD's influential public engaged in OCSD's projects and accomplishments are critical to the support and success of our agency. Tactics (how): • Provide Board of Director's with speaking points following every OCSD board meeting that can be used when reporting back to their respective councils and community groups. • Facilitate an orientation for new Board members. • Develop and keep a current list of monthly informational presentations. • Maintain an informational presentation video library for the Board of Directors on key agency topics. • Provide regular reports to the Legislative and Public Affairs Committee. • Develop OCSD's Annual Report. • Publish a Five Minutes Per Month, each month. • Coordinate presentations to each member agency. • Participate in government affairs committees. • Invite new council members within OCSD's service area to take a tour of OCSD. • Create and distribute quarterly outreach tool kits for member agency PIOs to help them easily share and disseminate information about OCSD. • Host a "State of the District" event for influential leaders throughout the infrastructure and water/wastewater industry, including virtual option. 10. Category: Crisis Management Program Manager: Rebecca Long Program Coordinators/Support: All PAO Staff Goal: Ensure the Public Affairs Office serves as the primary spokesperson for OCSD during normal business and crisis scenarios and facilitates the dissemination of information. 13 Objective: Ensure that the PIOs in the PAO can respond in a crisis. Provide a crisis communication training course every two years by an outside consultant and an annual refresher course by staff. Strategy: It is imperative during a crisis that OCSD be proactive and provide clear and effective messaging to employees, public, and the media. Tactics (how): • Maintain an updated crisis communication plan including regular briefings with staff to identify possible issues and responses. • Maintain and update PAO's Continuity of Operations Plan (COOP). • Work with Risk and Safety Management on Public Affair's role in an emergency, including our role via the Integrated Emergency Response Plan. • Ensure proper procedures are in place for Board, employees, and public notification. • Maintain updated contact lists for resource, member, and partnering agencies to coordinate and assist during crisis. • Develop protocols on everyday PAO tasks to facilitate the operations of the group in a time of crisis. 11. Category: General Manager Support Program Manager: Daisy Covarrubias Program Coordinators/Support: All PAO Staff Goal: Ensure the General Manager and Assistant General Managers are supported with information necessary to communicate to the varied OCSD audiences. Objective: Develop monthly communication pieces on behalf of the General Manager. Ensure General Manager (or designee) is participating and involved in promoting OCSD's initiatives. Strategy: Collaborate with the General Manager to prepare communication and messaging that reflects the mission and vision of OCSD. Tactics (how): • Assist the General Manager and the Assistant General Managers with keeping the Board Members informed and up to date with OCSD activities. • Assist in the development of the General Manager's Monthly Report. • Develop talking points for Board and Committee meetings. • Develop material and speaking points for presentations and speaking engagements. • Support the development of the OCSD Strategic Plan. • Assist in the development of the General Managers Annual Work Plan. 14 • Manage Ask the GM questions submitted. • Coordinate and support VIP tours guided by General Manager and Assistant General Managers. Closing Comments This plan is a broad outline of the Public Affairs Office program. As new issues arise, new functions and duties will evolve as well. The role of the Public Affairs Office is to stay ahead of issues, be responsive and flexible to meet the needs of the agency. We will adjust our program accordingly. Appendix A. Highlights of Performance Results from Fiscal Years 2018/2019 -2019/2020 B. Public Affairs Portfolio Fiscal Year 2019/2020 15 Appendix A: Highlights of Performance Results from FY 2018/2019 and 2019/2020 • Over 75 construction outreach pieces distributed regarding specific CIP projects reaching over 155,0000 people • 800 internal communications publications: 3 Things to know email, Digester, Pipeline and MyOCSD • 11 internal events • 18 published news releases • Over 30 articles mentioning and/or focusing on OCSD • 1,350 Social Media posts reaching over 400,000 people • 85 Website posts • 17 Community Events reaching nearly 12,000 people • 54 Speaking Engagements (8 career days) • 283 Tours reaching approximately 4,534 guests • 1,700 students reached via Sewer Science Program • 22 Agency Awards Received • 2 State of the District events reaching 215 guests • 2 grants were successfully applied for and received totaling $42,000 for Headquarters Project and Tour Signage • 40 legislative bills monitored and tracked • 4 Federal Position letters and 12 State Position letters issued • Governor agreed with 2 of our bills/positions: o SB 212: Jackson. Solid waste: pharmaceutical and sharps waste stewardship. o SB 1440: Hueso. Energy: biomethane: biomethane procurement New Tactics Introduced • Member Agency Outreach Toolkit • Board Member Speaking Points • Virtual Town Hall • Orange County Polling • Communications Audit • Paid Advertisement— OC Register Water Insert • Regional Outreach Program (CIP) • Tour signage 16 Q Aublic Affairs Division o 1 :44 Ellis Avenue • • Fountain Valley, CA 92708 9o��cT�N6 ENv�Po���= THE 5/2/2022 Public Affairs Year-End Report July 2021 - April 2022 �-- Ui Dui III 1 Public Affairs Staff Jennifer Cabral,Administration Manager • Daisy Covarrubias,Principal Public Affairs Specialist • Rebecca Long,Senior Public Affairs Specialist • Kelly Newell,Public Affairs Specialist • Belen Carrillo,Public Affairs Specialist • Gregg Deterding,Graphic Designer • Cheryl Scott,Administrative Assistant • Interns Extension of Our Team • Tanya Chong,Principal Staff Analyst(Engineering) • Jennifer Wein,Staff Analyst(Engineering) • VIPs 2 1 5/2/2022 PAO Strategic Plan Year-End Update (July 2021 — April 2022) EMPLOYEES EXPERTS MEDIA BRANDING EDUCATION s p '°•`" MA 614 10 speaking 4 press release OC San logo—cont. communication engagements 56 articles 89 website post 23 virtual tours pieces 6 awards 533 social media 3 Community Heritage Museum posts Newsletters WW 101 Video Library 3 PAO Strategic Plan Year-End Update (July 2021 — April 2022) CONSTRUCTION LEGISLATIVE GRANTS GOVT AFFAIRS CRISIS GM SUPPORT ® ■ (��IiDii�iiiii ME o®off ��I 16 Printed Monitoring Annual Report COVID Response 10 GM Monthly Notification 6 Federal Letters 3 Outreach Toolkits Memo 74,000 people 10 State Letters 10 Board Member GM Work Plan reached Speaking Points Strategic Plan 35 web updates 2 Vendor Workshops 4 4 2 5/2/2022 Recommendation Recommend to the Board of Directors to: • Receive and File the Public Affairs Strategic Plan for Fiscal Years 2020- 2022 Year-End Report 5 Questi • 6 3 ration LEGISLATIVE AND PUBLIC AFFAIRS Ad10844t Ellis Avenuueg SAN COMMITTEE Fountain Valley, 92708 (714)593-743433 ORANGE COUNTY SANITATION DISTRICT Agenda Report File #: 2022-2324 Agenda Date: 5/25/2022 Agenda Item No: 19. FROM: James D. Herberg, General Manager SUBJECT: LEGISLATIVE AFFAIRS UPDATE FOR THE MONTH OF APRIL 2022 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the Legislative Affairs Update for the month of April 2022. BACKGROUND The Orange County Sanitation District's (OC San) legislative affairs program includes advocating OC San's legislative interests; sponsoring legislation (where appropriate); and seeking Local, State, and Federal funding for projects and programs. Staff will provide an update on recent legislative and grant activities. RELEVANT STANDARDS • Maintain influential legislative advocacy and a public outreach program • Build brand, trust, and support with policy makers and community leaders • Maintain collaborative and cooperative relationships with regulators, stakeholders, and neighboring communities PROBLEM Without a strong advocacy program, elected officials may not be aware of OC San's mission, programs, and projects and how they could be impacted by proposed legislation. PROPOSED SOLUTION Continue to work with Local, State, and Federal officials to advocate OC San's legislative interests. Help to create/monitor legislation and grants that would benefit OC San, the wastewater industry, and the community as a whole. To assist in our relationship building activities, we will continue to reach out to our elected officials providing facility tours, one-on-one meetings, and trips to Washington D.C. and Sacramento. Orange County Sanitation District Page 1 of 2 Printed on 5/16/2022 powered by LegistarTM File #: 2022-2324 Agenda Date: 5/25/2022 Agenda Item No: 19. RAMIFICATIONS OF NOT TAKING ACTION If we do not work with Local, State, and Federal elected officials, legislation could be passed that negatively affects OC San and the wastewater industry as a whole. Additionally, a lack of engagement may result in missed funding opportunities. ADDITIONAL INFORMATION FEDERAL: • The United States Environmental Protection Agency (USEPA) continues to move forward with its rulemaking effort to designate Per- and Polyfluoroalkyl Substances (PFAS) under Superfund. Under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), PFAS is pending final review within the Administration. It is thought that during the month of April/May a proposal could be published in the Federal Register seeking to list PFAS as hazardous. • The Administration has submitted its FY 2023 budget request to Congress. The USEPA request is at a record level of funding at $11.3 billion. Within the request is $4 billion for the State Revolving Loan Fund (SRF) program and $200 million to support the agency's ongoing PFAS regulatory roadmap. STATE: • The month of March saw amendments to hundreds of bills, the introduction of numerous legislative proposals with major budget impacts, and the Legislature returning to its full pace as it works to consider the 2,115 bills introduced during the 2022 legislative session. • February marked the deadline for new bill vehicle introductions, it did not mark the deadline for new legislative language. Assembly and Senate leadership set hard mid-late March deadlines for major amendments and amendments to "spot" legislation to be submitted. The month of March featured hundreds of major amendments to existing legislation, many of which completely altered the scope and intent of the previous versions. ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • ENS Resources Legislative Update • Federal Legislative Matrix - ENS Resources • Presentation - ENS Legislative Update • Townsend Public Affairs (TPA) Legislative Update • State Legislative Matrix - TPA • Presentation - TPA Legislative Update • Grant Matrix 2022 Orange County Sanitation District Page 2 of 2 Printed on 5/16/2022 powered by LegistarTM Ll �V RESOURCES TO: Rebecca Long FROM: Eric Sapirstein DATE: April 15, 2022 SUBJECT: Washington Update The past month of congressional actions centered on budget matters and preparing for mark up of a Water Resources Development Act of 2022 in both the House and Senate. The markup is anticipated in May. Because of the Easter and Passover Recess, Congress is out of session for the latter half of the month. • Fiscal Year 2023 Budget Request The Administration transmitted its FY 2023 budget request to Congress. The U.S. Environmental Protection Agency request is notable for the record level of funding at$11.3 billion. Within the request is $4 billion for the State Revolving Loan Fund (SRF) program and $200 million to support the agency's ongoing PFAS regulatory roadmap. Notably the proposed increase would support the priority to increase the number of enforcement officials at the agency by at least 100 staff. The request set in motion consideration of Community Project requests by Member offices. OC San submitted a request for such assistance to those Orange County Congressional Delegation Members that are supporting such requests (Steel, Lowenthal, Kim, Correa). Assuming that the request is approved, the Members will submit the project request to the Committees on Appropriations for consideration and incorporation into any final fiscal year spending bill. Any final decisions are unlikely before late fall. • Environmental Equity Plan Issued by USEPA Administrator Regan As part of the Administration's effort to target federal resources and polices to disadvantaged and underserved communities,Administrator Regan released a plan of action to ensure that the agency's internal operations align with the White House's Justice 40 Initiative. 1 This initiative seeks to ensure that 40 percent of federal infrastructure investments'benefits support such communities. The plan would direct the agency to take actions to support enhanced community engagement and projects,work with other federal agencies, and generally improve communications on how the initiative will improve environmental equity. The plan can be found at: https:[/www.epa.gov/environmentaljustice/equity-action-plan • PFAS Legislation to Address Cleanups and Liability Senate action on legislation that would mandate new controls on PFAS, and any related site cleanups remains to be scheduled in the Senate Committee on Environment and Public Works. The expectation that a draft bill would be available in the past several weeks has failed to be realized. In part,this is attributable to opposition to imposing CERCLA (Superfund) liability for PFAS contamination. Instead, efforts are being made to develop an approach that would focus on increased funding of research and treatment technologies to ensure that the appropriate science-based approaches are designed and that cleanup technologies are available. However, at the same time, United States Environmental Protection Agency (USEPA) continues to move forward with its rulemaking effort to designate PFAS under Superfund. Currently, a proposal to designate PFAS under CERCLA is pending final review within the Administration. It is speculated that within weeks, a proposal could be published in the Federal Register seeking to list PFAS as hazardous. Should this occur, pressure may increase upon Congress to take action to place a legislative hold on the effort. The basis of such possible action is a desire for further data to support the protection of public health from PFAS threats as well as the consequences of potential Superfund liability being imposed on wastewater agencies that might have wastewaters or biosolids containing such chemicals. 2 Oc6SAN ORANGE COUNTY SANITATION DISTRICT Federal Legislative Report - April 2022 BiLLs Bill Id US S 3956 Location United States Title WIPPESAct Summary Directs Federal Trade Commission to require manufacturers to print"Do Not Flush" labels on non-flushable wipes product packaging and mirrors Labeling requirements that are Law in California. It also directs U.S. Environmental Protection Agency to establish a grants program to assist states, utilities, non- profits, and public-private partnerships in education and outreach activities to educate ratepayers on the new label and proper disposal methods.The bill includes a preemption clause requiring states to enact identical labeling practices for covered products. Bill is the companion legislation to House bill H.R. 4602. Status Introduced Last Action Read twice and referred to the Committee on Commerce, Science, and Transportation.. March 30, 2022 Bill Id US HR 6591 Location United States Title PIPES Act Summary Codifies International Water Services Flushability Group's "(PAS)101: 2020 Criteria for Recognition as a Fuushable Product" and require wipes manufacturers to demonstrate and certify with the U.S. Environmental Protection Agency (USEPA) that their wipes product(s) comply with the criteria to be able to market the wipes as "flushable" and/or"sewer and septic safe" The PIPES Act is complementary to the WIPPES Act (HR 4602) that requires wipes manufacturers to label synthetic wet wipes as "Do Not Flush" Status Introduced Last Action Referred to the House Committee on Energy and Commerce.. February 03, 2022 Priority High Position Support Bill Id US HR 3684 2of10 Location United States Title Infrastructure Investment and Jobs Act Summary Comprehensive infrastructure investment package that provides the biggest infusion of U.S. federal spending on infrastructure in decades, including $55 billion for water infrastructure.The bill also includes a Western Water Infrastructure Title to address U.S. Bureau of Reclamation water infrastructure funding programs. Enacted into law on November 15, 2021. Became Public Law No: 117-58. Status Passed Last Action Became Public Law No: 117-58.. November 15, 2021 Priority High Position Monitor Bill Id US HR 1917 Location United States Title Hazard Eligibility and Local Projects Act Summary $540 million for the Hazard Mitigation Grant (HMG) program; $249 million for the Predisaster Mitigation (PDM) program; and, $175 million for the Flood Mitigation Assistance (FMA) program. Would expedite the approval of grants for certain property acquisition and relocation projects that are funded by those programs.The bill would require FEMA to approve grants for all applications submitted under those programs —including those submitted after January 1, 2016—if a project satisfies the following two conditions: The project is for acquisition or relocation of a vulnerable property, regardless of whether the applicant initiated planning or construction before or after applying for assistance; and The project is exempt from environmental review requirements under the National Environmental Policy Act (NEPA). Status Considering Last Action Received in the Senate and Read twice and referred to the Committee on Homeland Security and Governmental Affairs.. November 15, 2021 Priority High Position Monitor 3of10 Bill Id US HR 4443 Location United States Title COMPOSTAct Summary Creates a new Environmental Protection Agency (EPA) administered grant program for state, local, tribal, and territorial governments and for nonprofits, which would offer three types of grants: planning grants, measurement grants, and reduction grants. Program would be authorized at $200 million for each of the Fiscal years 2021-2031. Status Introduced Last Action Referred to the Subcommittee on Conservation and Forestry..August 11, 2021 Position Monitor Bill Id US HR 4602 Location United States Title WIPPESAct Summary Pulled out of the Break Free From Plastic Pollution Act. Not later than 2 years after enactment, directs FTC, with consultation from U.S. Environmental- Protection Agency (USEPA), to require manufacturers of single-use wet wipes print a "Do Not Flush" label notice on wipes product packaging. Below is a summary of the WIPPES Act's key provisions: - Not later than 2 years after date of enactment, the Federal Trade Commission (FTC), in consultation with USEPA, will issue regulations to require wipes manufacturers to print clear and visible "Do Not Flush" label notices on non-flushable wet wipes product packaging. - Prohibition on the representation or marketing of flushable attributes, performance, or efficacy benefits for non-flushable wipes products. - FTC may bring penalty fines of not more than $2,500 for each day a manufacturer Fails to comply with Labeling requirements.Total fine amount may not exceed $100,000 for a single violation. - FTC wiLL develop guidance for manufacturers to conduct education and outreach campaigns on new Labeling requirements and provide consumers with the Following information: presence of the new LabeL notice on product packaging,what products have the new Label notice, intended effects of Label notice on consumer behavior regarding the disposal of the products, and outreach may not promote, advocate, or depict wipes other than the wipes products defined by Legislation. Status Introduced Last Action Referred to the Subcommittee on Consumer Protection and Commerce..JuLy 4of10 22, 2021 Priority High Position Support Bill Id US HR 2467 Location United States Title PFAS Action Act of 2021 Summary Addresses the public health and environmental risks posed by PFAS contamination, including addressing, monitoring, and treating for PFAS contamination in water supplies. Includes directive for USEPA to designate PFOA and PFOS as hazardous substances under CERCLA, also known as Superfund law, within one year after enactment of the bill and within five years determine whether to designate all PFAS substances as hazardous under CERCLA.Also includes other regulatory measures to detect, monitor, and treat for PFAS in water supplies. Status Considering Last Action Received in the Senate and Read twice and referred to the Committee on Environment and Public Works..July 22, 2021 Priority High Position Oppose Bill Id US HR 3622 Location United States Title Clean Water Standards for PFAS Act of 2021 Summary Require the U.S.Environmental Protection Agency (USEPA) to develop effluent limitations guidelines and standards and water quality criteria for PEAS under the Federal Water Pollution Control Act and authorize $200 million in Federal grants to publicly owned treatment works to implement such guidelines and standards. Specifically, the Clean Water Standards for PFAS Act would do the Following: • Require USEPA to develop water quality criteria under the Clean Water Act for all measurable PFAS chemicals within two years of bill's enactment and develop effluent limitations guidelines and standards for all measurable PFAS chemicals within four years, including establishing pretreatment standards to prevent introduction of PFAS into POTWs and stopping PFAS at the source prior to contaminating municipal water systems. Identifies nine priority industry categories of industries that USEPA must 5of10 establish standards for. • Authorizes $200 million in grants per year through Fiscal years 2022-2026 to assist POTWs with implementation of developed Limitations and standards. Status Introduced Last Action Referred to the Subcommittee on Water Resources and Environment..June 01, 2021 Priority High Position Monitor Bill Id US S 1907 Location United States Title Clean Water Standards for PFAS Act of 2021 Summary Companion bill to H.R. 3622.The bill would require the U.S. Environmental Protection Agency (USEPA) to develop effluent limitations guidelines and standards and water quality criteria for PFAS under the FederaL Water Pollution Control Act and provide Federal grants to publicly owned treatment works to implement such guidelines and standards. SpecificaLLy, the Clean Water Standards for PFAS Act would do the Following: • Require USEPA to develop water quality criteria under the Clean Water Act for all measurable PFAS chemicals within two years of bill's enactment and develop effluent limitations guidelines and standards for all measurable PFAS chemicals within four years, including establishing pretreatment standards to prevent introduction of PFAS into POTWs and stopping PFAS at the source prior to contaminating municipal water systems. • Identifies nine priority industry categories of industries that USEPA must establish standards for. • Authorizes $200 million in grants per year through Fiscal years 2022-2026 to assist POTWs with implementation of developed Limitations and standards. Status Introduced Last Action Read twice and referred to the Committee on Environment and Public Works.. May 27, 2021 Priority High Position Monitor Bill Id US HR 3404 Location United States 6of10 Title FUTURE Western Water Infrastructure and Drought Resiliency Act Summary The FUTURE Western Water Act is a comprehensive package that aims to address western water infrastructure and drought response needs, including: infrastructure development, improved technology and data, waterjob training and education, and ecosystem protection and restoration.Among the Provisions, the Legislation includes provisions from Water Recycling Investment and Improvement Act(H.R. 1015),which increases the authorization Level, for the Title XVI program to $500 million From the current $50 million. CASA supports H.R. 1015.The biWs the four major policy components. - Infrastructure Development: authorizes $750 million For sustainable, multi- benefit water storage projects, authorizes $500 million for water recycling and reuse projects, authorizes $260 million for innovative water desalination projects, and establishes process to authorize new major water storage projects owned or supported by USD01. - Improved Technology and Data: invests in water data and technology to improve water management and reducing energy and water waste - types of investments include expanded water technology "X-Prize" to support new stream gages and the development and deployment of emerging technologies to help manage and improve water supply availability. -Water Job Training and Education: Federal support for water education activities, collaborative water management efforts and training, and professional development support for water sector workforce. - Ecosystem Protection and Restoration:To reverse fish and wildlife species decline, eligible measures include new voluntary incentives for farmers to provide waterbird habitats, expanded watershed health project funding, support wildlife refuges, multi-benefit water storage projects that provide benefits for water supply and wildlife, and improved drought planning efforts to protect biodiversity. Status Introduced Last Action Referred to the Subcommittee on Water Resources and Environment.. May 21, 2021 Priority High Position Support Bill Id US HR 1563 Location United States Title To extend the authorities under the Water Infrastructure Improvements For the Nation Act of 2016 providing operational Flexibility, drought relief, and other benefits to the State of California. 7of10 Status Introduced Last Action Referred to the Subcommittee on Water, Oceans, and Wildlife..April 21, 2021 Priority High Position Oppose Bill Id US HR 2238 Location United States Title Break Free From Plastic Pollution Act of 2021 Summary Would reduce plastic production, increase recycling, and protect Frontline and fenceline communities from the burden of toxic emissions from plastic waste by changing the incentives of the industry.The bill shifts the burden of cleanup to the corporations that produced the plastics.Would direct the U.S. Environmental Protection Agency (USEPA) to establish regulations to require covered manufacturers, as defined by the bill, to print clear and visible "Do Not Flush" labeling notice on product packaging. Eligible labeling protocol mirrors the protocols outlined in the state bill.As with the state bill, the "Do Not Flush" symbol is defined by the INDA and EDANA Guidelines for Assessing the Flushability of Disposable Nonwoven Products (Edition 4; May 2018). BFFPPA addresses pollution caused by microfibers from textiles and general microplastics through the water waste stream.The bill would establish a new grants program to support projects that reduce microfiber pollution through either improving industry and manufacturing best practices to reduce the generation of textile-based microfiber pollution or improve the Filtration technology for textile-based microfiber pollution in washing machines and at wastewater treatment plants.The bill does not define an authorization amount for the program. The legislation would also create a separate USEPA pilot program to study the efficacy and cost effectiveness of tools, technologies, and techniques used to remove and prevent the release of microplastics into the environment. Under the program, studies will be conducted to test natural and green infrastructure, and mechanical removal systems and Filtration technologies. The bill identifies eligible locations to carry out testing studies to include wastewater treatment Facilities, stormwater systems, and drinking water systems.The bill does not define an authorization amount for this new pilot program. Status Introduced Last Action Referred to the Subcommittee on Environment and Climate Change.. March 29, 2021 8of10 Priority High Position Support Bill Id US S 984 Location United States Title Break Free From Plastic Pollution Act of 2021 Summary Would reduce plastic production, increase recycling, and protect Frontline and fenceline communities from the burden of toxic emissions from plastic waste by changing the incentives of the industry.The bill shifts the burden of cleanup to the corporations that produced the plastics.Would direct the U.S. Environmental Protection Agency (USEPA) to establish regulations to require covered manufacturers, as defined by the bill, to print clear and visible "Do Not Flush" labeling notice on product packaging. Eligible labeling protocol mirrors the protocols outlined in the state bill.As with the state bill, the "Do Not Flush" symbol is defined by the INDA and EDANA Guidelines For Assessing the Flushability of Disposable Nonwoven Products (Edition 4; May 2018). BFFPPA addresses pollution caused by microfibers from textiles and general microplastics through the water waste stream.The bill would establish a new grants program to support projects that reduce microfiber pollution through either improving industry and manufacturing best practices to reduce the generation of textile-based microfiber pollution or improve the Filtration technology for textile-based microfiber pollution in washing machines and at wastewater treatment plants.The bill does not define an authorization amount for the program. The legislation would also create a separate USEPA pilot program to study the efficacy and cost effectiveness of tools, technologies, and techniques used to remove and prevent the release of microplastics into the environment. Under the program, studies will be conducted to test natural and green infrastructure, and mechanical removal systems and Filtration technologies. The bill identifies eligible locations to carry out testing studies to include wastewater treatment Facilities, stormwater systems, and drinking water systems.The bill does not define an authorization amount For this new pilot program. Status Introduced Last Action Read twice and referred to the Committee on Finance.. March 25, 2021 Priority High Position Support 9of10 Bill Id US HR 1881 Location United States Title To amend the Federal Water Pollution Control Act with respect to permitting terms, and for other purposes. Summary Extends the National Pollution Discharge Elimination System (NPDES) permit to up to, but not exceeding, 10 years from the current 5 years, for a municipality. Status Introduced Last Action Referred to the Subcommittee on Water Resources and Environment.. March 15, 2021 Priority High Position Monitor Bill Id US HR 1015 Location United States Title Water Recycling Investment and Improvement Act Summary Increases the authorization level for the Title XVI Program to $500 million from the current $50 million and makes it a permanent program.The bill strikes requirement that projects must be in drought or disaster areas and strikes the requirement that the projects need to be designated in an appropriations legislation. Status Introduced Last Action Referred to the Subcommittee on Water, Oceans, and Wildlife.. March 15, 2021 Priority High Position Support 10 of 10 1 ORANGE NTY SANITATION DISTRICT LEGISLATIVE AND PUBLIC AFFAIRS COMMITTEE FEDERAL UPDATE May 9, 2022 Page , ENS RESOURCES THE ISSUES Fiscal Year 2023 Appropriations PFAS/PFOA Liability Build America/Buy America Page 2 ENS RESOUR 1 FISCAL YEAR 2023 APPROPRIATIONS Committee on Appropriations Timeline Community Project Request Status—Hou Delegation Senate Community Project Status Outlook Page 3 ENS RESOURCES PFAS UPDATE Water Sector Joint Position Congress: Senate Committee On Environment and Public Works Legislative Initiative Pending Research and Development Destruction Technology Support Opposition To Liability Designation Strong v USEPA Issues Update: NPDES/Effluent Limitations Toxicity Assessments Drinking Water Standard Page 4 ENS 1 BUILD AMERICA/BUY AMERIC Office of Management and Budget Buy America Guidance Released to Agencies to Meet 5/14/2022 USEPA Implementation Procedures Imminent All Manufactured Products Captured Adjustment Period of 6 Months Expected Potential Off-Ramps 55 percent Domestic Content Waivers Cost Availability Public Interest Applies only to FY 2022 Funding and FutureENS Page 5 RRSOVRCE9 Questions a ? 9 Page 6 ENS T 0 W N S E N D TPA MEMORANDUM To: Orange County Sanitation District From: Townsend Public Affairs Date: April 14, 2022 Subject: Monthly Legislative Report State Legislative Update The month of March saw amendments to hundreds of bills, the introduction of numerous legislative proposals with major budget impacts, and the Legislature returning to its full pace as it works to consider the 2,115 bills introduced during the 2022 legislative session. Below is an overview of notable legislative happenings in the past month. While February marked the deadline for new bill vehicle introductions, it did not mark the deadline for new legislative language. Assembly and Senate leadership set hard mid-late March deadlines for major amendments and amendments to "spot" legislation to be submitted, meaning the month of March featured hundreds of major amendments to existing legislation — many of which completely altered the scope and intent of their previous versions. Governor Newsom Issues Executive Order to Bolster Drought Response Following the driest first three months of a year in the state's recorded history, this month Governor Gavin Newsom took steps to drive water conservation at the local level, calling on local water suppliers to move to Level 2 of their Water Shortage Contingency Plans, which require locally appropriate actions that will conserve water across all sectors, and directing the State Water Resources Control Board to consider a ban on the watering of decorative grass at businesses and institutions. Governor Newsom signed an Executive Order that directs the State Water Resources Control Board (SWRCB) to evaluate the adoption of regulations banning irrigation of"non-functional" turf (or grass), such as decorative grass adjacent to large industrial and commercial buildings. The ban would not include residential lawns or grass used for recreation, such as school fields, sports fields and parks. The Department of Water Resources estimates this ban alone will result in potential water savings of several hundred thousand acre-feet. An acre-foot of water serves the needs of approximately three households for a year. In addition to the water supplier conservation measure, the Order includes a number of key directives for local governments: • New Local Well Permittinq Requirements. Local governments may not approve a permit for a new groundwater well or alteration of an existing well in a basin with a Groundwater Sustainability Agency (medium- or high-priority) without first obtaining written verification from the managing Groundwater Sustainability Agency; and must determine that the groundwater will is not likely to interfere with nearby wells and/or cause subsidence that may damage nearby infrastructure. This excludes small and domestic wells. • Certain Water Haulinq Ordinances Suspended. Suspends all local prohibitions on hauling of water for human consumption, cooking, or sanitation out of a water basin of origin, or public agency jurisdiction. • Groundwater Recharge Projects Expedited. Expedites and reduces permitting requirements for groundwater recharge projects to support future flood-flows. • Expanded Illegal Diversion Enforcement. Expands State Water Board inspections for illegal diversions and/or waste and unreasonable use of water. • Funding Requests for State Agencies. Requests state agencies to submit proposals for drought mitigation by April 15, 2022 for inclusion in the Governor's May Revision budget. COVID-19 Updates • Assembly Member Buffy Wicks Announced she will not move forward with vaccine Mandate legislation - This month, Assembly Member Wicks announced she will hold AB 1933 during the 2022 session. The bill would have mandated vaccines for workplaces (for both employees and independent contractors) and require employers to verify that their workers are immunized. New hires would need to have at least one shot by their first day — and the second within 45 days. Assembly Member Wicks cited strong public safety union opposition and the decline in COVID-19 cases as reasons for holding the bill. AB 1933 constituted the most comprehensive push for vaccine mandates/reform as it pertained to the COVID-19 pandemic. Other legislation, like Senator Scott Wiener's SB 866, which would allow minors aged 12 years and older to consent to a vaccine without parental oversight, is still active. • Legislators consider, and vote to not repeal the COVID-19 state of emergency — This month, the Senate Committee on Governmental Organization considered the merits of SCR 5 (Melendez), which would end the COVID-19 State of Emergency and all of the current Executive Orders related to the emergency if passed by both houses. It was the first hearing the bill received since Senator Melendez introduced the bill in 2020. The measure failed on a 4-8 party line vote. However, it was granted reconsideration to allow Senator Melendez to bring it forward at a later date. During the bill's discussion, proponents iterated that the existing State of Emergency constituted a violation of the separation of powers doctrine and that the decline in COVID- 19 should lead to the end of the emergency. 2 Opponents of the measure noted that the State of Emergency allows for the coordination of aid and resources across federal, state, and local agencies and provides for the stability of existing Executive Orders relating to COVID-19, such as remote meeting flexibility. Representatives from the California Professional Firefighters Association and the California Hospital Association spoke in opposition to the measure, citing concerns that ending the Emergency could impact hospital and public safety staffing, and the ability for emergency services to respond. Multiple Proposals Emerge to Offset High Gas Prices This past month featured multiple proposals to help offset the cost of soaring gas process, which include issuing hard-cash rebates to Californians, foregoing the gas tax, and combinations of both. Below is an overview of each proposal: • Governor Newsom champions "pas tax holiday,"then adds cash rebates for all drivers— Governor Newsom expanded on his original "gas tax holiday" proposal and released details for a more comprehensive rebate plan. This plan includes $11 billion in budget surplus funds for the following programs: o $400 debit cards to every CA vehicle owner, which will be distributed via DMV records to cover those who don't earn enough to pay taxes. Owners of electric vehicles and individuals who lease cars will also be eligible, o $750 million to provide three months of free public transit throughout the state, o Up to $600 million to pause the diesel sales tax for one year; and o $523 million to pause the gas inflation adjustment, set to become effective July 1, 2022. Ultimately, this proposal will require legislative approval. Assembly and Senate leadership have signaled that they are against pausing the gas inflation adjustment, which they say is a critical component to financing transportation infrastructure improvements throughout the state. • Democratic Legislators Announce Gas Rebate Plan for all tax-paying Californians — Assembly Member Petrie-Norris and other members of the Assembly Democratic Caucus unveiled a new legislative proposal to offer all tax-paying Californians a $400 tax rebate to offset high gas and goods prices. The proposal would dedicate approximately$9 billion of the state's budget surplus toward providing $400 rebates to all Californians who pay state income taxes, regardless of their income. The proposal framework was in response to the rising price of gas and presents an alternative solution to Governor Newsom's proposal to issue a "gas tax holiday" before the gas price inflation readjustment period on July 1. This proposal differs from the Governor's plan in that it would be extended to all tax-paying Californians — regardless of car ownership status. It also does not include a gas tax suspension. 3 Eviction Protections Legislation Signed into Law On March 31, Assembly Bill 2179 (Grayson and Wicks)was signed into law. The bill extends the date on which landlords may initiate eviction proceedings from April 1 to July 1, as long as an application is submitted by March 31 to a rent relief program. The legislation is designed to allow struggling tenants and the state another three months to finish sending out rental relief payments. The measure includes an urgency clause, meaning its provisions are effective immediately. The state's eviction moratorium was scheduled to expire without intervention on March 31. For the last two years, lawmakers have negotiated legislation to protect renters against eviction if they have faced pandemic-related hardship. California received a total of$5.2 billion in federal funds to establish a rent relief program last year to help alleviate the burden of debt for renters and landlords. However,these programs have been oversubscribed and backlogged in the distribution of sought relief payments. In February, legislators approved an early action budget bill to free up state funds and expedite the backlog of applications, which also eased restrictions on who could qualify for the relief. AB 2179 was expedited through the legislative process, following the introduction of the bill's language only a week prior to its signing into law. Notably, Lieutenant Governor Eleni Kounalakis signed the bill into law because Governor Newsom was vacationing out of state until April 12. She is the first woman to sign a bill into law in the state of California. 4 OC San State Bills of Interest ProposedTHER 01101 AUTHOR ME EARN SON &= AB 1001 C. Garcia [D] Amends the California Environmental Quality Act(CEQA)to 1) require Currently in the Senate Watch Legislative and Regulatory ACC-OC - NYC mitigation to compensate for adverse air or water quality impacts in a waiting to be assigned to Policies: Air Quality- LOCC-Watch disadvantaged community(DAC)to mitigate those impacts directly in the committees Support measures that CASA- Disapprove affected community and 2) require all public agencies implementing CEQA maintain and enhance local CSDA-Oppose to give consideration to the principles of environmental justice by ensuring decision-making authority, ACWA- Oppose the fair treatment and meaningful involvement of people of all races, where appropriate, in the cultures, incomes, and national origins. development and implementation of air quality attainment strategies. AB 1240 Ting [D] Requires the Air Resources Board (ARB)to prepare an updated report on Currently in the Senate Watch Legislative and Regulatory ACC-OC - NYC specified issues related to indoor air quality. Requires ARB, on or before waiting to be assigned to Policies: Air Quality- LOCC-Watch January 1, 2025, to submit to the Legislature an addendum updating its prior committees Support measures that CASA- NYC indoor air quality report. Requires ARB to consider updates on potential maintain and enhance local CSDA- NYC health effects from ozone-emitting consumer products, natural gas sources, decision-making authority, ACWA- NYC and per-and poly-fluoroalkyl substances (PFAS). where appropriate, in the development and implementation of air quality attainment strategies. AB 1724 Stone [D] Current law, to protect public health and water quality, regulates a broad Referred to the Assembly Support State Priorities: Support ACC-OC - NYC range of consumer products and processes, including water softeners, water Environmental Safety and legislation or regulations that LOCC-Watch treatment devices, and backflow prevention devices, among others. This bill Toxic Materials restrict the use of CASA- Support would require, on or before January 1, 2024, that all washing machines sold Committee microplastics and chemicals CSDA- NYC as new in California contain a microfiber filtration system. The bill would also of emerging concern in any ACWA-Watch require all state-owned washing machines to contain a microfiber filtration product that is disposed of system. through the sewer system. AB 1774 Seyarto [R] This bill would require the Judicial Council to adopt rules of court applicable Referred to the Assembly Support Legislative and Regulatory ACC-OC - NYC to actions or proceedings brought to attack, review, set aside, void, or annul Natural Resources Policies: Special Districts - LOCC -Watch the certification or adoption of an environmental impact report for water Committee and the Oppose further state CASA- NYC conveyance or storage projects, or the granting of project approvals, Assembly Judiciary regulations that adversely CSDA-Watch including any appeals to the court of appeal or the Supreme Court, to be Committee impact special district ACWA-Watch resolved, to the extent feasible, within 270 days of the filing of the certified financing, operations, and record of proceedings with the court to an action or proceeding seeking administration. judicial review of the lead agency's action related to those projects. AB 1817 Ting [D] Would prohibit, beginning January 1, 2024, any person from distributing, Currently on the Watch State Priorities: Monitor ACC-OC - NYC selling, or offering for sale in the state any textile articles that contain Assembly Floor state legislation as well as LOCC -Watch regulated PFAS, and requires a manufacturer to use the least toxic State Water Resources CASA- Support alternative when replacing regulated PFAS in textile articles to comply with Control Board (SWRCB) CSDA-Support these provisions. regulatory activity related to ACWA- Favor PFAS. OC San State Bills of Interest AB 1944 Lee [D] Current law, the Ralph M. Brown Act, requires, with specified exceptions, Referred to the Assembly Watch Legislative and Regulatory ACC-OC - NYC that all meetings of a legislative body of a local agency, as those terms are Local Government Policies: Special Districts - LOCC-Watch defined, be open and public and that all persons be permitted to attend and Committee Oppose further state CASA-Watch participate. Current law, until January 1, 2024, authorizes a local agency to regulations that adversely CSDA-Watch use teleconferencing without complying with those specified impact special district ACWA- teleconferencing requirements in specified circumstances when a declared financing, operations, and Watch/Amend state of emergency is in effect, or in other situations related to public health. administration. This bill would specify that if a member of a legislative body elects to teleconference from a location that is not public, the address does not need to be identified in the notice and agenda or be accessible to the public when the legislative body has elected to allow members to participate via teleconferencing. AB 1985 Rivas [D] Current law requires the Department of Resources Recycling and Recovery Referred to the Assembly Watch Legislative and Regulatory ACC-OC - NYC (CalRecycle), in consultation with the state board, to adopt regulations to Appropriations Policies: Biosolids, LOCC-Support achieve these organic waste reduction goals, including a requirement Committee Organics, and Biogas - CASA- Support if intended to meet the goal that not less than 20% of edible food that is Support compost associations Amended currently disposed of be recovered for human consumption by 2025. This bill and local cities and agencies CSDA- NYC would require CalRecycle to compile and maintain on its internet website a in education, market ACWA- NYC list, organized by ZIP Code, of information regarding persons or entities that expansion activities, and produce and have available state organic waste products and update the list meeting mandates to buy- at least every 6 months. back compost and other organics diverted from landfill. AB 2026 Friedman [D] Would prohibit an online retailer that sells or offers for sale and ships Referred to the Assembly Watch State Priorities: Support ACC-OC - NYC purchased products in or into the state from using single-use plastic Appropriations legislation or regulations that LOCC-Watch packaging that consists of shipping envelopes, cushioning, or void fill to Committee restrict the use of CASA- NYC package or transport the products, on and after January 1, 2024, for large microplastics and chemicals CSDA- NYC online retailers, as defined, and on and after January 1, 2026, for small of emerging concern in any ACWA- NYC online retailers, as defined. The bill would prohibit a manufacturer, retailer, product that is disposed of producer, or other distributor that sells or offers for sale and ships purchased through the sewer system. products in or into the state from using expanded or extruded polystyrene packaging to package or transport the products, except as provided. AB 2041 E. Garcia [D] Would require the State Water Resources Control Board to take specified Referred to the Assembly Watch State Priorities: Monitor ACC-OC - NYC actions if the state board adopts a primary drinking water standard with a Environmental Safety and state legislation as well as LOCC-Watch compliance period for which public water systems are given a designated Toxic Materials State Water Resources CASA- NYC period of time to install necessary measures, including, but not limited to, Committee Control Board (SWRCB) CSDA- NYC installation of water treatment systems, to comply with the primary drinking regulatory activity related to ACWA-Watch water standard without being held in violation of the primary drinking water PFAS. standard. Those actions would include, among other actions, developing a financial plan to assist public water systems that will require financial assistance in procuring and installing the necessary measures. OC San State Bills of Interest • - • • I • AB 2247 Bloom [D] This bill would require the Department of Toxic Substances Control to work Referred to the Assembly Support State Priorities: Monitor ACC-OC - NYC with the Interstate Chemicals Clearinghouse to establish, on or before Environmental Safety and state legislation as well as LOCC-Watch January 1, 2024, a publicly accessible reporting platform to collect Toxic Materials State Water Resources CASA- Co- information about PFAS and products or product components containing Committee and the Control Board (SWRCB) Sponsor regulated PFAS, as defined, being sold, offered for sale, distributed, or Assembly Judiciary regulatory activity related to CSDA- NYC offered for promotional purposes in, or imported into, the state. This bill Committee PFAS. ACWA- Favor would require a manufacturer to provide, within 30 days, a certificate attesting that the manufacturer's PFAS or product or product component containing PFAS complies with certain requirements. The bill would subject a manufacturer who violates this requirement to civil penalties not to exceed $2,500 per day, up to a maximum of$100,000 for each violation. AB 2374 Bauer-Kahan [D] Under current law, the dumping of commercial quantities of waste, as Passed the Public Safety Watch Legislative and Regulatory ACC-OC - NYC defined, is punishable as a misdemeanor and also includes escalating fines. Committee and is Policies: Biosolids, LOCC -Watch This bill would increase the maximum fine for the dumping of commercial currently in the Assembly Organics, and Biogas - CASA- Support quantities of waste from $3000 to$5000 for the first conviction, from $6000 Business and Professions Support compost associations CSDA- NYC to $10,000 for the second conviction, and from $10,000 to $20,000 for the Committee and local cities and agencies ACWA- NYC third and any subsequent convictions. in education, market expansion activities, and meeting mandates to buy- back compost and other organics diverted from landfill AB 2387 E. Garcia [D] Would enact the Safe Drinking Water, Wildfire Prevention, Drought Passed the Assembly Watch Guiding Priorities: Support ACC-OC - NYC Preparation, Flood Protection, Extreme Heat Mitigation, and Workforce Water, Parks, and legislation or regulations that LOCC -Watch Development Bond Act of 2022, which, if approved by the voters, would Wildlife Committee and is restrict the use of CASA- Support if authorize the issuance of bonds in the amount of$7,430,000,000 pursuant currently in the Assembly microplastics and chemicals Amended to the State General Obligation Bond Law to finance projects for safe Natural Resources of emerging concern in any CSDA- NYC drinking water, wildfire prevention, drought preparation, flood protection, Committee product that is disposed of ACWA- Favor if extreme heat mitigation, and workforce development programs. This bill through the sewer system. amended contains other related provisions. AB 2428 Ramos [D] The Mitigation Fee Act, requires a local agency that establishes, increases, Referred to the Assembly Watch Legislative and Regulatory ACC-OC - NYC or imposes a fee as a condition of approval of a development project to, Local Government Policies: Special Districts - LOCC-Watch among other things, determine a reasonable relationship between the fee's Committee and the Oppose further state CASA-Watch use and the type of development project on which the fee is imposed. The Assembly Housing and regulations that adversely CSDA- NYC Mitigation Fee Act also imposes additional requirements for fees imposed to Community Development impact special district ACWA- NYC provide for an improvement to be constructed to serve a development Committee financing, operations, and project, or which is a fee for public improvements, as specified, including administration. that the fees be deposited in a separate capital facilities account or fund. This bill would require a local agency that requires a qualified applicant, as described, to deposit fees for improvements, as described, into an escrow account as a condition for receiving a conditional use permit or equivalent development permit to expend the fees within 5 years of the deposit. OC San State Bills of Interest AB 2449 Rubio [D] Current law, until January 1, 2024, authorizes a local agency to use Referred to the Assembly Watch Legislative and Regulatory ACC-OC - NYC teleconferencing without complying with specified teleconferencing Local Government Policies: Special Districts - LOCC-Watch requirements in specified circumstances when a declared state of Committee Oppose further state CASA- Support emergency is in effect, or in other situations related to public health. This bill regulations that adversely CSDA- NYC would authorize a local agency to use teleconferencing without complying impact special district ACWA- with those specified teleconferencing requirements if at least a quorum of financing, operations, and Support/Amend the members of the legislative body participates in person from a singular administration. location clearly identified on the agenda that is open to the public and situated within the local agency's jurisdiction. The bill would impose prescribed requirements for this exception relating to notice, agendas, the means and manner of access, and procedures for disruptions. The bill would require the legislative body to implement a procedure for receiving and swiftly resolving requests for reasonable accommodation for individuals with disabilities, consistent with federal law. AB 2536 Grayson [D] Current law requires a local agency that conducts an impact fee nexus study Referred to the Assembly Oppose Legislative and Regulatory ACC-OC - NYC to follow certain standards and practices, as specified. Current law also Local Government Policies: Special Districts - LOCC -Watch requires a local agency to hold at least one open and public meeting prior to Committee Oppose further state CASA- Oppose levying a new fee or service charge, as specified. This bill would, on and regulations that adversely CSDA- Oppose after January 1, 2023, require a local agency that imposes fees for water impact special district ACWA- Oppose connections or sewer connections, or imposes capacity charges, as financing, operations, and unless amended provided, and that conducts a study to support the estimate of the administration. reasonable cost of providing the service to follow certain standards and practices, as defined and specified. AB 2647 Levine [D] The Ralph M. Brown Act requires the meetings of the legislative body of a Referred to the Assembly Watch Legislative and Regulatory ACC-OC - NYC local agency to be conducted openly and publicly, with specified exceptions. Local Government Policies: Special Districts - LOCC-Sponsor Current law makes agendas of public meetings and other writings distributed Committee and the Oppose further state CASA- Support to the members of the governing board disclosable public records, with Assembly Judiciary regulations that adversely CSDA- NYC certain exceptions. Current law requires a local agency to make those Committee impact special district ACWA- Favor writings distributed to the members of the governing board available for financing, operations, and public inspection at a public office or location that the agency designates. administration. This bill would instead require a local agency to make those writings distributed to the members of the governing board available for public inspection at a public office or location that the agency designates or post the writings on the local agency's internet website in a position and manner that makes it clear that the writing relates to an agenda item for an upcoming meeting. OC San State Bills of Interest • - • • • AB 2771 Friedman [D] Would prohibit a person or entity from manufacturing, selling, delivering, Passed the Assembly Support State Priorities: Monitor ACC-OC - NYC holding, or offering for sale in commerce any cosmetic product that contains Environmental Safety and state legislation as well as LOCC-Watch perfluoroalkyl and polyfluoroalkyl substances PFAS. Toxic Materials State Water Resources CASA- Support Committee and is Control Board (SWRCB) CSDA- NYC currently in the Assembly regulatory activity related to ACWA- NYC Health Committee PFAS. AB 2787 Quirk [D] The Microbeads Nuisance Prevention Law prohibits a person from selling or Referred to the Assembly Support Guiding Priorities: Support ACC-OC - NYC offering for promotional purposes in the state any personal care products Natural Resources legislation or regulations that LOCC -Watch containing plastic microbeads that are used to exfoliate or cleanse in a rinse- Committee and the restrict the use of CASA- Support off product, including, but not limited to, toothpaste. This bill would, on and Assembly Environmental microplastics and chemicals CSDA- NYC after specified dates that vary based on the product, ban the sale, Safety and Toxic of emerging concern in any ACWA- NYC distribution in commerce, or offering for promotional purposes in the state of Materials Committee product that is disposed of designated products, such as leave-in cosmetics products and waxes and through the sewer system. polishes, if the products contain intentionally added microplastics, as defined. The bill would exclude from this ban products consisting, in whole or in part, of specified substances or mixtures containing microplastics. The bill would make a violator liable for a civil penalty not to exceed $2,500 per day for each violation. AB 2811 Bennett [D] This bill would require, commencing January 1, 2024, all newly constructed Currently in the Assembly Watch Legislative and Regulatory ACC-OC - NYC nonresidential buildings with a total gross floor area of 100,000 square feet Environmental Safety and Policies: Special Districts - LOCC -Watch or more be constructed with dual plumbing to allow the use of nonpotable Toxic Materials Oppose further state CASA- NYC water sources for all applicable nonpotable water demands and provide for Committee regulations that adversely CSDA-Oppose the collection, onsite treatment, and reuse of available onsite rainwater, impact special district Unless Amended graywater, and foundation drainage. The bill would establish exemptions to financing, operations, and ACWA- Not Favor these requirements, including waiver by the board on a project-by-project administration. basis if the board finds that strict compliance would have a significant adverse impact on public health, downstream water rights, water quality, operation of a sewer collection or treatment system, or plant life, fish, or wildlife. SB 45 Portantino [D] This bill directs CalRecycle to, in consultation with ARB, to provide Currently in the Assembly Watch Legislative and Regulatory ACC-OC - NYC assistance to local jurisdictions, including, but not limited to, any funding waiting to be assigned to Policies: Biosolids, LOCC -Watch appropriated by the Legislature in the annual Budget, to help them comply committees Organics, and Biogas - CASA- Support if with SB 1383 regulations. Support compost associations amended and local cities and agencies CSDA-Support if in education, market amended expansion activities, and ACWA- NYC meeting mandates to buy- back compost and other organics diverted from landfill. OC San State Bills of Interest • - • • • SB 54 Allen [D] This bill would establish the Plastic Pollution Producer Responsibility Act, Currently in the Assembly Watch State Priorities: Support ACC-OC - NYC which would prohibit producers of single-use, disposable packaging or waiting to be assigned to legislation or regulations that LOCC-Support in single-use, disposable food service ware products from offering for sale, committees restrict the use of Concept selling, distributing, or importing in or into the state such packaging or microplastics in any product CASA- NYC products that are manufactured on or after January 1, 2032, unless they are that is disposed of through CSDA-Watch recyclable or compostable. the sewer system. ACWA- NYC SB 230 Portantino [D] Would require the State Water Resources Control Board to establish, Currently in the Assembly Watch State Priorities: Monitor ACC-OC - NYC maintain, and direct an ongoing, dedicated program called the Constituents waiting to be assigned to state legislation as well as LOCC -Watch of Emerging Concern Program to assess the state of information and committees State Water Resources CASA-Watch recommend areas for further study on, among other things, the occurrence Control Board (SWRCB) CSDA-Support of constituents of emerging concern (CEC) in drinking water sources and regulatory activity related to ACWA- Favor treated drinking water. The bill would require the state board to convene, by PFAS. an unspecified date, the Science Advisory Panel to review and provide recommendations to the state board on CEC for further action, among other duties. The bill would require the state board to provide an annual report to the Legislature on the ongoing work conducted by the panel. SB 891 Hertzberg [D] The bill extends the Stormwater Quality Improvement Act's requirement for Passed the Senate Watch Legislative and Regulatory ACC-OC - NYC businesses to demonstrate enrollment with stormwater discharge permits to Governance and Finance Policies: Special Districts - LOCC-Watch not just business licenses, but also equivalent instruments or permits. The Committee and is Oppose further state CASA- NYC bill provides that a business license or equivalent instrument or permit currently in the Senate regulations that adversely CSDA- NYC issued for the sole purpose of raising revenue must also comply. SB 891 Environmental Quality impact special district ACWA- NYC also prohibits cities and counties from developing their own process for Committee financing, operations, and determining whether the IGP covers a facility. When a city or county administration. transfers compliance information to the State Water Board, the bill requires those records be subject to the CPRA. SB 892 Hurtado [D] Would require the Office of Emergency Services (CaIOES)to develop, Currently in the Senate Watch Legislative and Regulatory ACC-OC - NYC propose, and adopt reporting requirements applicable to companies and Appropriations Policies: Security-Support LOCC -Watch cooperatives in the food and agriculture industry if they identify a significant Committee funding for the hardening of CASA- NYC and verified cyber threat or active cyberattack. The bill would require a water essential regional facilities CSDA- Oppose and wastewater systems sector entity serving more than 3,300 people to such as water recycling and Unless Amended report their risk assessments and emergency response plan required by the sewer collection and recycling ACWA- Oppose America's Water Infrastructure Act of 2018 to the California Cybersecurity sites. Unless Amended Integration Center, the Department of Water Resources, and the State Water Resources Control Board. SB 991 Newman [D] This bill, until January 1, 2033, authorizes local agencies, defined as any Currently in the Senate Support Legislative and Regulatory ACC-OC - NYC city, county, city and county, or special district authorized by law to provide Appropriations Policies: Special Districts - LOCC -Watch for the production, storage, supply, treatment, or distribution of any water Committee Oppose further state CASA- Support from any source, to use the progressive design-build process for public regulations that adversely CSDA- NYC works projects in excess of$5,000,000, similar to the progressive design- impact special district ACWA- Favor build process authorized for use by the Director of General Services. The bill financing, operations, and would require specified information to be verified under penalty of perjury. administration. OC San State Bills of Interest . - SB 1157 Hertzberg [D] Existing law, until January 1, 2025, establishes 55 gallons per capita daily as Passed the Senate Oppose Legislative and Regulatory ACC-OC - NYC the standard for indoor residential water use. Existing law establishes, Natural Resources and Unless Policies: Water Quality and LOCC-Watch beginning January 1, 2025, the greater of 52.5 gallons per capita daily or a Water Committee and is Amended Supply-Support legislation CASA- Oppose standard recommended by the department and the board as the standard currently in the Senate and regulation that promote Unless Amended for indoor residential water use, and beginning January 1, 2030, establishes Appropriations improved water use efficiency CSDA- NYC the greater of 50 gallons per capita daily or a standard recommended by the Committee through state assistance in ACWA- Oppose department and the board as the standard for indoor residential water use. evaluating and implementing Unless Amended The bill would instead require that from January 1, 2025, to January 1, 2030, new programs and the standard for indoor residential water use be 47 gallons per capita daily technologies and increasing and beginning January 1, 2030, the standard be 42 gallons per capita daily. public awareness of water use efficiency. SB 1345 Ochoa-Bogh [R] This bill revises various provisions in the Dig Safe Act related to operator Referred to the Senate Watch Legislative and Regulatory ACC-OC - NYC and excavator responsibilities when preparing for and conducting Appropriations Policies: Special Districts - LOCC -Watch excavations. The Dig Safe Act excludes non-pressurized sewer lines, storm Committee Oppose further state CASA- Oppose drains, and drain lines from the definition of"subsurface installations." SB regulations that adversely CSDA-Oppose 1345 repeals that exclusion. The Dig Safe Act also exempts Caltrans, as an impact special district Unless Amended operator of subsurface installations, from being a member of, participating financing, operations, and ACWA- NYC in, and sharing in the costs of a regional notification center(RNC). SB 1345 administration. repeals that exemption on January 1, 2025. Legend: ACC-OC-Association of California Cities, Orange County LOCC - League of California Cities NYC - Not Yet Considered CASA-California Association of Sanitation Agencies ACWA-Association of California Water Agencies CSDA- California Special Districts Association 5/2/2022 TOWNSEND PUBLIC AFFAIRS EST TPA 1998 OC ,SAN ORANGE COUNTY SANITATION DISTRICT Legislative And Public Affairs Committee Update WWW.TOWNSENDPA.COMMay 9, 2022 CALIFORNIANORTHERN CALIFORNIA-CENTRAL CALIFORNIA-SOUTHERN 1 Sacrament • General Overview 2022 • Senate and Assembly Policy Committees first-house deadlines passed • Senate and Assembly Appropriations Suspense File Hearing expected to be May 19 • Social distancing requirements being lifted throughout Legislative public spaces •C San LaPA: Legislative Update: I 2 1 5/2/2022 ProposalsKey - • Gas Tax Rebate Update Conservatorship A' Court May Revise Legislature's Budget Priorities • ..ate: May 9,2022 Page Senate Budget Priority Proposal billion - Water and Drought • $1.5 billion for recycling, stormwater capture, and groundwater cleanup • $2 billion to rebalance state water supply and water rights • $1.5 billion for new CA Water Trust to acquire lands with senior water rights from willing sellers • $1.5 billion to ensure all Californians have safe drinking water • 4 2 5/2/2022 2022 Priority - • • of Interest Description AB Stone Requires all state-owned washing machines to Currently in Asm. 1724 [D] contain a microfiber filtration system with a mesh Appropriations size of 100 microns or smaller Committee AB Bloom [D] Require manufacturers of Per-and Polyfluoroalkyl Currently in the 2247 substances(PFAS)or products containing PFAS to Asm. disclose the presence of PFAS in those products in a Appropriations publicly accessible database Committee AB Grayson[D] Recently amended to reinforce existing requirements Heard in the 2536 for fee studies and require evidence to support that Assembly Local the fee or capacity charge does not exceed the Government estimated reasonable cost of providing service.CASA Committee on no longer opposing. May 4 AB Friedman [D] Would prohibit any person from distributing,selling, Currently on the 2771 or offering for sale in the state any textile articles Assembly Floor that contain intentionally added regulated PFAS. Requires least toxic alternative • i 5 2022 Priority - • • of Interest AB 2787 Quirk[D] Would establish a Constituents of Emerging Concern Currently in the Program to recommend areas for further study on Assembly the occurrence of CECs in drinking water Appropriations Committee SB 991 Newman [D] Allows local agencies that provide for the production, Currently on the storage,supply,treatment,or distribution of water to Senate Floor use progressive design-build for projects over$5 million SB 1157 Hertzberg[D] This bill would change the change the standards for Passed the Senate indoor residential water use,to reflect those and is currently in recommended by DWR and the SWRCB. the Assembly • i 6 3 5/2/2022 OC6SAN TOWNSEND ORANGE COUNTY SANITATION DISTRICT PUBLIC AFFAIRS E: TPA 1998 Thank You Cori Takkinen Eric O'Donnell Vice President SeniorAssociate CTakkinen@townsendpa.com EODonnell@townsendpa.com www.townsendpa.com www.townsendl,)a.com OC San LaPA: Legislative Update: May 9, I 7 4 OC San's Grant and Loan Funding Tracker 2022 Name of Grant/Loan Synopsis of Grant/Loan Amount of Grant/Loan Amount Applying Y/N Project/Pro ram Reason Match Deadline Category Rcvd Grant/ Applying for g g rY Financing Y/N FEDERAL The Title XVI Water Reclamation and Reuse Projects funding opportunity allows for sponsors of water reclamation and reuse projects that are congressionally authorized Reclamation is making up to$20 million The Sanitation District developed a $20 million or 25%of The Water Infrastructure Improvements or are eligible under section 4009(c)of the W IIN Act to request cost-shared funding for Final Expansion of GWRS Act(W IIN) planning,design and/or construction of those Projects.Water reclamation and reuse available for those projects authorized under the $3 million No Headworks(P2-122) proposal in 2019 that could be used as project costs 6/28/2019 Water/Infrastructure N/A projects provide improved efficiency,flexibility during water shortages and diversifies WIIN Act. a basis for a new submittal. whichever is less. the water supply. STATE Name of Grant/Loan Synopsis of Grant/Loan Amount of Grant/Loan Amount Y/N Project/Pro ram Reason Match Deadline Category Rcvd Grant/ Applying for Applying g g rY Financing Y/N Food-Waste Co-Digestion facility The grant program is to lower overall greenhouse gas emissions by expanding existing 2 in Huntington.at Plant No TBD if FY 2022 Grant Applications will be We will review the possible funding capacity or establishing new facilities in California to reduce the amount of California- Beach to accept up to 150 wet Organics Grant Program(CalRecycle) generated green materials,food materials,and/or Alternative Daily Cover being sent to available.It is possible that other organics TBD TBD tons per day(wtpd)of pre- opportunity to determine if it is a fit for TBD TBD Energy/Recycling Pending NOFA landfills. related applications will also be available. processed source separated the Sanitation District. organics. The Proposition 1 IRWM Grant Program,administered by DWR,provides funding for projects that help meet the long-term water needs of the state,including:Assisting Due to negotiations between oC stakeholders and the water infrastructure systems adapt to climate change; op will review the possible funding Santa Ana Watershed Project Authority(SAWPA(,$7.18 TBD No Projects Currently Proposition 1 IRWM Grant Providing incentives throughout each watershed to collaborate in managing the TBD TBD opportunity to determine if it is a fit for TBD TBD Water TBD region's water resources and setting regional priorities for water infrastructure;and Million from the Santa Ana IRWM Project Funding Area Identified the Sanitation District. Improving regional water self-reliance,while reducing reliance on Sacramento-San designated for North and Central Orange County. Joaquin Delta. Updated 4/18/2022 BOARD OF DIRECTORS Administration Building 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2301 Agenda Date: 5/25/2022 Agenda Item No: 20. FROM: James D. Herberg, General Manager Originator: Kelly A. Lore, Clerk of the Board SUBJECT: CONTINUATION OF TELECONFERENCED PUBLIC MEETINGS GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Adopt Resolution No. OC SAN 22-14 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the continuation of Remote Meetings pursuant to Government Code Section 54953". BACKGROUND Under Section 54943(b)(3), a legislative body may use teleconferencing in connection with any meeting if it posts agendas in all teleconference locations, identifies each teleconference location in the meeting notice, makes each teleconference location accessible to the public, and allows members of the public to address the legislative body from each teleconference location. On September 16, 2021, Governor Newsom signed AB 361. The bill amends Government Code Section 54943 to allow legislative bodies to use teleconferencing for public meetings without complying with the requirements of Section 54943(b)(3) if 1) the Governor has proclaimed a state of emergency and the County of Orange recommends social distancing for vulnerable populations, and 2) the legislative body has determined that meeting in person would present an imminent risk to the health of Board Members, staff, and the public. The first condition is currently satisfied because the Governor's proclaimed State of Emergency remains in effect, and the County of Orange currently recommends measures to promote social distancing for vulnerable populations. In addition, the following facts support a finding by the Board that meeting in person would present an imminent risk to the health of Board Members, staff, and the public: • In-person meetings of the Orange County Sanitation District's (OC San) Governing Board and Committees involve relatively large numbers of attendees, as the Board has 25 members and OC San has a large staff. • The room in which Board and Committee meetings take place is not large enough to easily accommodate social distancing given the number of Board Members and staff that regularly attend. Orange County Sanitation District Page 1 of 4 Printed on 5/17/2022 powered by LegistarTM File #: 2022-2301 Agenda Date: 5/25/2022 Agenda Item No: 20. • While effective COVID-19 vaccines are widely available, many Orange County residents have not been vaccinated. • In order to slow down the transmission of COVID-19 and its variants, public health officials recommend that unvaccinated persons avoid gatherings and practice social distancing. • Some individuals who contract COVID-19 and its variants have no symptoms or have only mild symptoms and are therefore unaware that they carry the virus and may be transmitting it to others. • Older adults and individuals with medical conditions are at higher risk of severe illness from COVID-19 and its variants. • The age, condition, and health of a significant portion of residents within OC San's jurisdiction place them at risk for serious health complications, including hospitalization and death, from COVID-19 and its variants. • Younger and otherwise healthy people are also at risk for serious health problems and may transmit COVID-19 and its variants to others. In order to hold remote meetings without complying with Section 54943(b)(3), the legislative body must: 1) give notice of the means by which members of the public may access the meeting and offer public comment, 2) provide a call-in or internet based option, and 3) provide an opportunity for the public to address the legislative body in real time. Microsoft Teams will allow OC San to comply with the second and third requirements. RELEVANT STANDARDS • Comply with Government Code Section 54943 • Commitment to safety & reducing risk in all operations • Provide a safe and collegial workplace PROBLEM Surges in COVID-19 and its variants have been reported across California as well as the country. The state of emergency continues to directly impact the ability of the members of the OC San Board of Directors and its Board Committees to meet safely in person, and OC San officials continue to impose or recommend measures to promote social distancing in OC San facilities. PROPOSED SOLUTION OC San staff recommends Board of Directors and its Board Committees meetings continue to remain fully virtual provided the public has the ability to participate and the Board of Directors adopt a resolution every 30 days to continue using the relaxed Brown Act teleconferencing requirements. Orange County Sanitation District Page 2 of 4 Printed on 5/17/2022 powered by LegistarTM File #: 2022-2301 Agenda Date: 5/25/2022 Agenda Item No: 20. TIMING CONCERNS If the Resolution is not adopted, Board of Directors and Committee meetings will be required to meet in person pursuant to Government Code Sections 54950, et seq. PRIOR COMMITTEE/BOARD ACTIONS April 27, 2022 - Adopted Resolution No. OC SAN 22-13 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". April 13, 2022 - Adopted Resolution No. OC SAN 22-12 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". March 23, 2022 - Adopted Resolution No. OC SAN 22-11 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". February 23, 2022 - Adopted Resolution No. OC SAN 22-08 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". January 26, 2022 - Adopted Resolution No. OC SAN 22-02 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". January 12, 2022 - Adopted Resolution No. OC SAN 22-01 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". December 15, 2021 - Adopted Resolution No. OC SAN 21-24 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". November 17, 2021 - Adopted Resolution No. OC SAN 21-20 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". October 27, 2021 - Adopted Resolution No. OC SAN 21-15 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Continuation of Remote Meetings pursuant to Government Code Section 54953". October 6, 2021 - Adopted Resolution No. OC SAN 21-14 entitled, "A Resolution of the Board of Directors of the Orange County Sanitation District authorizing Remote Meetings pursuant to Government Code Section 54953". Orange County Sanitation District Page 3 of 4 Printed on 5/17/2022 powered by LegistarTM File #: 2022-2301 Agenda Date: 5/25/2022 Agenda Item No: 20. ADDITIONAL INFORMATION The Board of Directors must make certain findings by majority vote every 30 days to continue using the relaxed Brown Act teleconferencing requirements pursuant to Government Code Section 54953 (e). CEQA N/A FINANCIAL CONSIDERATIONS N/A ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Resolution No. OC SAN 22-14 Orange County Sanitation District Page 4 of 4 Printed on 5/17/2022 powered by LegistarTM RESOLUTION NO. OC SAN 22-14 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT AUTHORIZING THE CONTINUATION OF REMOTE MEETINGS PURSUANT TO GOVERNMENT CODE SECTION 54953 WHEREAS, Government Code Section 54953(e) allows a legislative body to hold remote meetings through teleconferencing without complying with the requirements of Government Code Section 54953(b)(3), subject to certain conditions and requirements; and WHEREAS, on March 4, 2020, the Governor proclaimed a State of Emergency based on the threat of COVID-19 and its variants, and the State of Emergency remains in effect; and WHEREAS, based on the threat of COVID-19 and its variants, the County of Orange recommends measures to promote social distancing for vulnerable populations; and WHEREAS, in-person meetings of the Orange County Sanitation District's Governing Board and Committees involve relatively large numbers of attendees, as the Board has 25 members and OC San has a large staff; and WHEREAS, the room in which Board and Committee meetings take place is not large enough to easily accommodate social distancing given the number of Board Members and staff that regularly attend; and WHEREAS, while effective COVID-19 vaccines are widely available, many Orange County residents have not been vaccinated; and WHEREAS, some individuals who contract COVID-19 and its variants have no symptoms or have only mild symptoms and are therefore unaware that they carry the virus and may be transmitting it to others; and WHEREAS, older adults and individuals with medical conditions are at higher risk of severe illness from COVID-19 and its variants; and WHEREAS, sustained COVID-19 and its variants community transmission continues to occur; and OC SAN 22-14-1 WHEREAS, the age, condition, and health of a significant portion of residents within the Orange County Sanitation District's jurisdiction place them at risk for serious health complications, including hospitalization and death, from COVID-19 and its variants; and WHEREAS, younger and otherwise healthy people are also at risk for serious health problems and may transmit COVID-19 and its variants to others; and WHEREAS, the Board of Directors of the Orange County Sanitation District finds that the conditions stated above have caused, and will continue to cause, conditions of peril to the safety of persons within the Orange County Sanitation District that are likely beyond the control of services, personnel, equipment, and facilities of the Orange County Sanitation District. NOW, THEREFORE, THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT DOES HEREBY RESOLVE AS FOLLOWS: Section 1. The above recitals are true and correct and are incorporated herein by reference. Section 2. The conditions described in Government Code Section 54953(e) are present, in that (a) the Governor has proclaimed a state of emergency and the County of Orange recommends social distancing for vulnerable populations, and (b) the Board of Directors has determined that meeting in person would present an imminent risk to the health of Board members, staff, and the public based on the circumstances described above. Section 3. The Board of Directors and the Committees of the legislative body shall conduct its meetings as authorized by Government Code Section 54953(e) and comply with the requirements set forth therein. Section 4. The General Manager of the Orange County Sanitation District is authorized and directed to take all actions necessary to carry out the intent and purpose of this Resolution, including conducting open and public meetings in accordance with Government Code Section 54953(e) and other applicable provisions of the Brown Act. Section 5. This Resolution shall take effect immediately upon its adoption. OC SAN 22-14-2 PASSED AND ADOPTED at a Regular meeting of the Board of Directors held May 25, 2022. John B. Withers Board Chairman ATTEST: Kelly A. Lore, MMC Clerk of the Board APPROVED AS TO FORM: Bradley R. Hogin General Counsel OC SAN 22-14-3 STATE OF CALIFORNIA ) ss COUNTY OF ORANGE ) I, Kelly A. Lore, Clerk of the Board of Directors of the Orange County Sanitation District, do hereby certify that the foregoing Resolution No. OC SAN 22-14 was passed and adopted at a regular meeting of said Board on the 25th day of May 2022, by the following vote, to wit: AYES: NOES: ABSTENTIONS: ABSENT: IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of Orange County Sanitation District this 25th day of May 2022. Kelly A. Lore, MMC Clerk of the Board of Directors Orange County Sanitation District OC SAN 22-14-4 Administration Building BOARD OF DIRECTORS 10844 Ellis Avenue Fountain Valley,CA 92708 ' AN (714)593-7433 owANGECoUN ��,TpT Agenda Report File #: 2022-2336 Agenda Date: 5/25/2022 Agenda Item No: CS-1 FROM: James D. Herberg, General Manager SUBJECT: THREAT TO PUBLIC SERVICES OR FACILITIES - GOVERNMENT CODE SECTION 54957(A) RECOMMENDATION: Convene in Closed Session: Consultation with the Information Technology Systems & Operations Manager regarding cyber security. BACKGROUND During the course of conducting the business set forth on this agenda as a regular meeting of the Board, the Chairperson may convene the Board in closed session to consider matters of pending real estate negotiations, pending or potential litigation, or personnel matters. Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c) employment actions or negotiations with employee representatives; or which are exempt from public disclosure under the California Public Records Act, may be reviewed by the Board during a permitted closed session and are not available for public inspection. At such time the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. RELEVANT STANDARDS 0 Government Code Sections 54956.8, 54956.9, 54957, or 54957.6, as noted ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Memorandum from General Counsel Orange County Sanitation District Page 1 of 1 Printed on 5/16/2022 powered by LegistarTM RITA WOODRUFF, $PRADLIN SMART c .555 ANTON BOULEVARD, SUITE 1200 COSTA MESA, CA 92626-7670 (714)558-7000 MEMORANDUM TO: Hon. Chair and Members of the Orange County Sanitation District Board of Directors FROM: Bradley R. Hogin, Esq. General Counsel DATE: May 16, 2022 RE: Closed Session Items The Board of Directors desires to hold a closed session on May 25, 2022 for the purpose of conferring with the Information Technology Systems & Operations Manager regarding cyber security. The closed session will be held pursuant to the authority of California Government Code Section 54957(a). Respectfully submitted, By Bradl y R. Hogin, General Counsel 1114541.2 Administration Building BOARD OF DIRECTORS 10844 Ellis Avenue Fountain Valley,CA 92708 ' AN (714)593-7433 owANGECoUN ��,TpT Agenda Report File #: 2022-2337 Agenda Date: 5/25/2022 Agenda Item No: CS-2 FROM: James D. Herberg, General Manager SUBJECT: CONFERENCE WITH LEGAL COUNSEL RE EXISTING LITIGATION - GOVERNMENT CODE SECTION 54956.9(D)(1) RECOMMENDATION: Convene in Closed Session: Number of Cases: 1 Heidi M. Janz v. Orange County Sanitation District; Its Board of Directors, Officers, Officials, Agents and Celia Chandler, Director of Human Resources and Does 1 through 10, Superior Court of California, County of Orange, Case No. 30-2021-01208616-CU-OE-CJC. BACKGROUND During the course of conducting the business set forth on this agenda as a regular meeting of the Board, the Chairperson may convene the Board in closed session to consider matters of pending real estate negotiations, pending or potential litigation, or personnel matters. Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c) employment actions or negotiations with employee representatives; or which are exempt from public disclosure under the California Public Records Act, may be reviewed by the Board during a permitted closed session and are not available for public inspection. At such time the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. RELEVANT STANDARDS • Government Code Sections 54956.8, 54956.9, 54957, or 54957.6, as noted ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: 0 Memoranda from General Counsel Orange County Sanitation District Page 1 of 1 Printed on 5/16/2022 powered by LegistarTM RITA WOODRUFF, $PRADLIN SMART c .555 ANTON BOULEVARD, SUITE 1200 COSTA MESA, CA 92626-7670 (714)558-7000 MEMORANDUM TO: Hon. Chair and Members of the Orange County Sanitation District Board of Directors FROM: Bradley R. Hogin, Esq. General Counsel DATE: May 16, 2022 RE: Closed Session Item The Board of Directors desires to hold a closed session May 25, 2022 for the purpose of conferring with its legal counsel regarding existing litigation to which the District is a party. The title of the case is Heidi M. Janz v. Orange County Sanitation District; its Board of Directors, Officers, Officials, Agents and Celia Chandler, Director of Human Resources; and Does 1-10, inclusive, Superior Court of California, County of Orange, Case No. 30-2021-01208616-CU-OE- CJC. The closed session will be held pursuant to the authority of California Government Code Section 54956.9(d)(1). Respectfully submitted, By _ A,/� Bradle R. Hogin, eneral Counsel 1411290.1 BOARD OF DIRECTORS Administration Building 10844 Ellis Avenue SAIV Fountain Valley, CA 92708 ORANGE COUNTY SANITATION DISTRICT Agenda Report (714)593 7433 File #: 2022-2338 Agenda Date: 5/25/2022 Agenda Item No: CS-3 FROM: James D. Herberg, General Manager SUBJECT: CONFERENCE WITH LABOR NEGOTIATORS - GOVERNMENT CODE SECTION 54957.6 RECOMMENDATION: Convene in Closed Session: Designated Representatives: General Manager James Herberg, Assistant General Managers Lorenzo Tyner and Rob Thompson, Director of Human Resources Celia Chandler, and Chief Negotiator Laura Kalty. Employee Organizations: (3) International Union of Operating Engineers, Local 501; Orange County Employees Association; and the Supervisors and Professionals Group. BACKGROUND During the course of conducting the business set forth on this agenda as a regular meeting of the Board, the Chairperson may convene the Board in closed session to consider matters of pending real estate negotiations, pending or potential litigation, or personnel matters. Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c) employment actions or negotiations with employee representatives; or which are exempt from public disclosure under the California Public Records Act, may be reviewed by the Board during a permitted closed session and are not available for public inspection. At such time the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. RELEVANT STANDARDS • Government Code Sections 54956.8, 54956.9, 54957, or 54957.6, as noted ATTACHMENT The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package: • Memorandum from General Counsel Orange County Sanitation District Page 1 of 1 Printed on 5/16/2022 powered by LegistarTM RITA WOODRUFF, $PRADLIN SMART c .555 ANTON BOULEVARD, SUITE 1200 COSTA MESA, CA 92626-7670 (714)558-7000 MEMORANDUM TO: Hon. Chair and Members of the Orange County Sanitation District Board of Directors FROM: Bradley R. Hogin, Esq. General Counsel DATE: May 16, 2022 RE: Closed Session Items The Board of Directors will hold a closed session on May 25, 2022 for the purpose of conferring with its labor negotiators to discuss negotiations with the International Union of Operating Engineers Local 501, the Orange County Employees Association, and the Supervisors and Professionals Group. The Agency Designated Representatives are James Herberg, Lorenzo Tyner, Rob Thompson, Celia Chandler, and Chief Negotiator Laura Kalty. The closed session will be held pursuant to authority of California Government Code Section 54957.6. Respectr mitted, By. /G Ao 7 Bradley . Hogin, Go&ral Counsel 1425979.1 ORANGE COUNTY SANITATION DISTRICT COMMON ACRONYMS ACWA Association of California LOS Level Of Service RFP Request For Proposal Water Agencies APWA American Public Works MGD Million Gallons Per Day RWQCB Regional Water Quality Association Control Board AQMD Air Quality Management MOU Memorandum of SARFPA Santa Ana River Flood District Understanding Protection Agency ASCE American Society of Civil NACWA National Association of Clean SARI Santa Ana River Engineers Water Agencies Interceptor BOD Biochemical Oxygen Demand NEPA National Environmental Policy SARWQCB Santa Ana Regional Water Act Quality Control Board California Air Resources Non-Governmental Santa Ana Watershed CARB Board NGOs Organizations SAWPA Project Authority CASA California Association of NPDES National Pollutant Discharge SCADA Supervisory Control And Sanitation Agencies Elimination System Data Acquisition National Water Research Southern California CCTV Closed Circuit Television NWRI Institute SCAP Alliance of Publicly Owned Treatment Works CEQA California Environmental O& M Operations&Maintenance SCAQMD South Coast Air Quality Quality Act Management District Capital Improvement Orange County Council of SOCWA South Orange County CIP Program OCCOG Governments Wastewater Authority CRWQCB California Regional Water OCHCA Orange County Health Care SRF Clean Water State Quality Control Board Agency Revolving Fund CWA Clean Water Act OCSD Orange County Sanitation SSMP Sewer System District Management Plan CWEA California Water Environment OCWD Orange County Water District SSO Sanitary Sewer Overflow Association EIR Environmental Impact Report OOBS Ocean Outfall Booster Station SWRCB State Water Resources Control Board EMT Executive Management Team OSHA Occupational Safety and TDS Total Dissolved Solids Health Administration US Environmental Protection Professional EPA Agency PCSA Consultant/Construction TMDL Total Maximum Daily Load Services Agreement FOG Fats, Oils, and Grease PDSA Professional Design Services TSS Total Suspended Solids Agreement Per-and Polyfluoroalkyl Waste Discharge gpd gallons per day PFAS Substances WDR Requirements GWRS Groundwater Replenishment PFOA Perfluorooctanoic Acid WEF Water Environment System Federation Water Environment& ICS Incident Command System PFOS Perfluorooctanesulfonic Acid WERF Reuse Foundation IERP Integrated Emergency POTW Publicly Owned Treatment WIFIA Water Infrastructure Response Plan Works Finance and Innovation Act Water Infrastructure JPA Joint Powers Authority ppm parts per million WIIN Improvements for the Nation Act Local Agency Formation PSA Professional Services WRDA Water Resources LAFCO Commission I Agreement I Development Act ORANGE COUNTY SANITATION DISTRICT GLOSSARY OF TERMS ACTIVATED SLUDGE PROCESS—A secondary biological wastewater treatment process where bacteria reproduce at a high rate with the introduction of excess air or oxygen and consume dissolved nutrients in the wastewater. BENTHOS —The community of organisms, such as sea stars, worms, and shrimp, which live on, in, or near the seabed, also known as the benthic zone. BIOCHEMICAL OXYGEN DEMAND (BOD) — The amount of oxygen used when organic matter undergoes decomposition by microorganisms.Testing for BOD is done to assess the amount of organic matter in water. BIOGAS—A gas that is produced by the action of anaerobic bacteria on organic waste matter in a digester tank that can be used as a fuel. BIOSOLIDS—Biosolids are nutrient rich organic and highly treated solid materials produced by the wastewater treatment process. This high-quality product can be recycled as a soil amendment on farmland or further processed as an earth-like product for commercial and home gardens to improve and maintain fertile soil and stimulate plant growth. CAPITAL IMPROVEMENT PROGRAM (CIP) — Projects for repair, rehabilitation, and replacement of assets. Also includes treatment improvements, additional capacity, and projects for the support facilities. COLIFORM BACTERIA—A group of bacteria found in the intestines of humans and other animals, but also occasionally found elsewhere, used as indicators of sewage pollution. E. coli are the most common bacteria in wastewater. COLLECTIONS SYSTEM — In wastewater, it is the system of typically underground pipes that receive and convey sanitary wastewater or storm water. CERTIFICATE OF PARTICIPATION (COP)—A type of financing where an investor purchases a share of the lease revenues of a program rather than the bond being secured by those revenues. CONTAMINANTS OF POTENTIAL CONCERN (CPC) — Pharmaceuticals, hormones, and other organic wastewater contaminants. DILUTION TO THRESHOLD (D/T) —The dilution at which the majority of people detect the odor becomes the D/T for that air sample. GREENHOUSE GASES (GHG) — In the order of relative abundance water vapor, carbon dioxide, methane, nitrous oxide, and ozone gases that are considered the cause of global warming ("greenhouse effect"). GROUNDWATER REPLENISHMENT SYSTEM(GWRS)—Ajoint water reclamation project that proactively responds to Southern California's current and future water needs. This joint project between the Orange County Water District and OCSD provides 70 million gallons per day of drinking quality water to replenish the local groundwater supply. LEVEL OF SERVICE (LOS)—Goals to support environmental and public expectations for performance. N-NITROSODIMETHYLAMINE (NDMA) — A N-nitrosamine suspected cancer-causing agent. It has been found in the GWRS process and is eliminated using hydrogen peroxide with extra ultra-violet treatment. NATIONAL BIOSOLIDS PARTNERSHIP(NBP)—An alliance of the NACWA and WEF,with advisory support from the EPA. NBP is committed to developing and advancing environmentally sound and sustainable biosolids management practices that go beyond regulatory compliance and promote public participation to enhance the credibility of local agency biosolids programs and improved communications that lead to public acceptance. PER-AND POLYFLUOROALKYL SUBSTANCES (PFAS) — A large group (over 6,000) of human-made compounds that are resistant to heat,water,and oil and used for a variety of applications including firefighting foam,stain and water-resistant clothing, cosmetics, and food packaging. Two PFAS compounds, perfluorooctanesulfonic acid (PFOS)and perfluorooctanoic acid (PFOA) have been the focus of increasing regulatory scrutiny in drinking water and may result in adverse health effects including developmental effects to fetuses during pregnancy, cancer, liver damage, immunosuppression,thyroid effects, and other effects. PERFLUOROOCTANOIC ACID (PFOA) — An ingredient for several industrial applications including carpeting, upholstery, apparel, floor wax, textiles, sealants,food packaging, and cookware(Teflon). PERFLUOROOCTANESULFONIC ACID (PFOS)—A key ingredient in Scotchgard, a fabric protector made by 3M, and used in numerous stain repellents. PLUME—A visible or measurable concentration of discharge from a stationary source or fixed facility. PUBLICLY OWNED TREATMENT WORKS (POTW)—A municipal wastewater treatment plant. SANTA ANA RIVER INTERCEPTOR (SARI) LINE—A regional brine line designed to convey 30 million gallons per day of non- reclaimable wastewater from the upper Santa Ana River basin to the ocean for disposal,after treatment. SANITARY SEWER—Separate sewer systems specifically for the carrying of domestic and industrial wastewater. SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT (SCAQMD) — Regional regulatory agency that develops plans and regulations designed to achieve public health standards by reducing emissions from business and industry. SECONDARY TREATMENT — Biological wastewater treatment, particularly the activated sludge process, where bacteria and other microorganisms consume dissolved nutrients in wastewater. SLUDGE—Untreated solid material created by the treatment of wastewater. TOTAL SUSPENDED SOLIDS(TSS)—The amount of solids floating and in suspension in wastewater. ORANGE COUNTY SANITATION DISTRICT GLOSSARY OF TERMS TRICKLING FILTER—A biological secondary treatment process in which bacteria and other microorganisms, growing as slime on the surface of rocks or plastic media, consume nutrients in wastewater as it trickles over them. URBAN RUNOFF—Water from city streets and domestic properties that carry pollutants into the storm drains, rivers, lakes, and oceans. WASTEWATER—Any water that enters the sanitary sewer. WATERSHED—A land area from which water drains to a particular water body. OCSD's service area is in the Santa Ana River Watershed.