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Home My WebLink About10-22-2025 Board Meeting Complete Agenda Packet - Revised 10-17-2025 SPECIAL NOTICE PUBLIC ATTENDANCE & PARTICIPATION AT PUBLIC MEETINGS OC San Board of Directors Meeting Wednesday, October 22, 2025 6:00 p.m. 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. IN-PERSON MEETING ATTENDANCE You may attend the meeting in-person at the following location: Orange County Sanitation District Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 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: Join the meeting now 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: 106 351 964# 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. WATCH THE MEETING ONLINE The meeting will be available for online viewing at: https://ocsd.legistar.com/Calendar.aspx SUBMIT A COMMENT 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/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. For any questions and/or concerns, please contact the Clerk of the Board’s office at 714-593-7433. Thank you for your interest in OC San! October 17, 2025 NOTICE OF REGULAR MEETING BOARD OF DIRECTORS ORANGE COUNTY SANITATION DISTRICT Wednesday, October 22, 2025 – 6:00 P.M. Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 ACCESSIBILITY FOR THE GENERAL PUBLIC Your participation is always welcome. Specific information as to how to participate in this meeting is detailed on the Special Notice attached to this agenda. In general, OC San offers several ways in which to interact during this meeting: you may participate in person, 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. 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 indicated on Wednesday, October 22, 2025 at 6:00 p.m. BOARD MEETING DATES November 19, 2025 * December 17, 2025 * January 28, 2026 February 25, 2026 March 25, 2026 April 22, 2026 May 27, 2026 June 24, 2026 July 22, 2026 August 26, 2026 September 23, 2026 October 28, 2026 * Meeting will be held on the third Wednesday of the month ORANGE COUNTY SANITATION DISTRICT Effective 10/1/2025 BOARD OF DIRECTORS Complete Roster AGENCY/CITIES ACTIVE DIRECTOR ALTERNATE DIRECTOR Anaheim Carlos A. Leon Ryan Balius Brea Christine Marick Cecilia Hupp Buena Park Joyce Ahn Lamiya Hoque Cypress VACANT Bonnie Peat Fountain Valley Glenn Grandis Ted Bui Fullerton Jamie Valencia Shana Charles Garden Grove Stephanie Klopfenstein Cindy Ngoc Tran Huntington Beach Pat Burns Gracey Van Der Mark Irvine Melinda Liu Kathleen Treseder La Habra Jose Medrano Rose Espinoza La Palma Debbie Baker Vikesh Patel Los Alamitos Jordan Nefulda Tanya Doby Newport Beach Erik Weigand Michelle Barto Orange Jon Dumitru John Gyllenhammer Placentia Chad Wanke Ward Smith Santa Ana Johnathan Ryan Hernandez Jessie Lopez Seal Beach Lisa Landau Ben Wong Stanton David Shawver John D. Warren Tustin Ryan Gallagher Austin Lumbard Villa Park Jordan Wu Kelly McBride Sanitary/Water Districts Costa Mesa Sanitary District Bob Ooten Art Perry Midway City Sanitary District Andrew Nguyen Tyler Diep Irvine Ranch Water District John Withers Dan Ferons Yorba Linda Water District Tom Lindsey Gene Hernandez County Areas Board of Supervisors Doug Chaffee Janet Nguyen BOARD OF DIRECTORS Regular Meeting Agenda - Revised Wednesday, October 22, 2025 - 6:00 PM Board Room Headquarters 18480 Bandilier Circle 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 OC San's Headquarters located at 18480 Bandilier Circle, 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 those distributed less than 72 hours prior to the meeting to a majority of the Board of Directors, are available for public inspection with 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 RECORDING: A 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. NOTICE TO DIRECTORS: To place items on the agenda for a Committee or Board Meeting, the item must be submitted 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: Rob Thompson, rthompson@ocsan.gov / (714) 593-7110 Asst. General Manager: Lorenzo Tyner, ltyner@ocsan.gov / (714) 593-7550 Director of Communications: Jennifer Cabral, jcabral@ocsan.gov / (714) 593-7581 Director of Engineering: Mike Dorman, mdorman@ocsan.gov / (714) 593-7014 Director of Environmental Services: Lan Wiborg, lwiborg@ocsan.gov / (714) 593-7450 Director of Finance: Wally Ritchie, writchie@ocsan.gov / (714) 593-7570 Director of Human Resources: Laura Maravilla, lmaravilla@ocsan.gov / (714) 593-7007 Director of Operations & Maintenance: Riaz Moinuddin, rmoinuddin@ocsan.gov / (714) 593-7269 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 CALL TO ORDER Board Chairman Ryan Gallagher INVOCATION AND PLEDGE OF ALLEGIANCE Director Erik Weigand, City of Newport Beach 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 participate in person, 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. SPECIAL PRESENTATIONS: 1.2025-4541WASTEWATER 101 CITIZENS ACADEMY GRADUATION RECOMMENDATION: Recognize the graduates from the Wastewater 101 Citizens Academy. Originator:Kelly Lore 2.2025-4559EMPLOYEE SERVICE AWARDS 25-year Service Award Liz Lapite, Administrative Assistant - Division 770 Eric Rakutt, Facilities Workers - Division 260 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. 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. Page 1 of 9 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 3.2025-4563APPROVAL OF MINUTES RECOMMENDATION: Approve minutes of the Regular meeting of the Board of Directors held September 24, 2025. Originator:Kelly Lore Agenda Report 09-24-2025 Board Meeting Minutes Attachments: 4.2025-4542ORANGE COUNTY SANITATION DISTRICT ANNUAL REPORT RECOMMENDATION: Receive and file the Orange County Sanitation District Annual Report for Fiscal Year 2024-2025. Originator:Jennifer Cabral Agenda Report OC San Annual Report FY 2024-25 Attachments: RECEIVE AND FILE: 5.2025-4039COMMITTEE MEETING MINUTES RECOMMENDATION: Receive and file the following: A. Minutes of the Steering Committee Meeting held August 27, 2025 B. Minutes of the Operations Committee Meeting held September 3, 2025 C. Minutes of the Administration Committee Meeting held September 10, 2025 Originator:Kelly Lore Agenda Report 08-27-2025 Steering Committee Meeting Minutes 09-03-2025 Operations Committee Meeting Minutes 09-10-2025 Administration Committee Meeting Minutes Attachments: 6.2025-4057REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF SEPTEMBER 2025 RECOMMENDATION: Receive and file the following: Report of the Investment Transactions for the month of September 2025. Originator:Wally Ritchie Page 2 of 9 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 Agenda Report Report of the Investment Transactions - September 2025 Attachments: OPERATIONS COMMITTEE: 7.2025-4544PLANT NO. 2 MAIN SEWAGE PUMP #7 OVERHAUL RECOMMENDATION: A. Approve a Sole Source Purchase Order SSJ#2889 to Bender CCP, Inc. for the overhaul of Main Sewage Pump #7 at Plant No. 2, for a total amount not to exceed $270,942, including applicable sales tax and freight; and B. Approve a contingency of $27,095 (10%). Originator:Riaz Moinuddin Agenda ReportAttachments: 8.2025-4545ANNUAL PROFESSIONAL DESIGN SERVICES AGREEMENT, CONTRACT NO. FE18-00-03 RECOMMENDATION: Approve an increase of $70,000 to the Professional Design Services Agreement No. FE18-00-03, annual compensation limit with Dudek for a total amount not to exceed $670,000 per year. Originator:Mike Dorman Agenda ReportAttachments: 9.2025-4546PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH, PROJECT NO. FE23-07 RECOMMENDATION: A. Receive and file Bid Tabulation and Recommendation for Pipeline Utility Easement Clean Up in Huntington Beach, Project No. FE23-07; B. Award a Construction Contract to Metrocell Construction, Inc., for Pipeline Utility Easement Clean Up in Huntington Beach, Project No. FE23-07, for a total amount not to exceed $2,863,255; and C. Approve a contingency of $286,326 (10%). Originator:Mike Dorman Page 3 of 9 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 Agenda Report Construction Contract Attachments: 10.2025-4547PROGRESSIVE DESIGN BUILD PROJECT AWARD AUTHORIZATION RECOMMENDATION: Provide direction to develop a Resolution of the Board of Directors for future consideration that will delegate to the General Manager the ability to amend contracts of selected design-builders, after the total Progressive Design-Build contract amount and initial Phase 1 Design contract are approved by the Board. Originator:Mike Dorman Agenda Report Presentation Attachments: 11.2025-4548ENGINEERING DEPARTMENT STAFFING PLAN RECOMMENDATION: Direct the General Manager to shift staffing from the current Supplemental Engineering Services model toward a direct hiring model to support the existing Capital Improvement Program execution, and implement the plan over four years through the normal budget process. Originator:Mike Dorman Agenda Report Engineering Department 2025 Staffing Plan Presentation Attachments: 12.2025-4549SALE OF EXCESS POWER RECOMMENDATION: Authorize the General Manager to enter into an agreement to sell power, in a form approved by General Counsel, with a qualified power purchaser for excess power produced at Plant No. 2. Originator:Riaz Moinuddin Agenda ReportAttachments: ADMINISTRATION COMMITTEE: 13.2025-4552NETWORK TAPS FOR INDUSTRIAL CONTROL SYSTEM (ICS) NETWORK AND OFFICE NETWORK RECOMMENDATION: Page 4 of 9 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 A. Approve a Purchase Order Contract to Insight Public Sector, Inc. for the purchase of Network Test Access Points for the Industrial Control System (ICS) network and Office network utilizing the OMNIA Cooperative Purchasing Agreement, Contract No. 23-6692-03, for a total amount not to exceed $250,231 (Includes Sales Tax); and B. Approve a contingency in the amount of $25,023 (10%). Originator:Wally Ritchie Agenda ReportAttachments: 14.2025-4553LEGISLATIVE AFFAIRS UPDATE FOR THE MONTH OF SEPTEMBER 2025 RECOMMENDATION: Receive and file the Legislative Affairs Update for the month of September 2025. Originator:Jennifer Cabral Agenda Report Federal Legislative Update Federal Matrix State Legislative Update State Matrix Legislative and Regulatory Plan 2026 Near Final Draft Local Legislative Update SB 682 Letter of Support Presentation - WPAA Presentation - OC San Attachments: 15.2025-4554PUBLIC AFFAIRS UPDATE FOR THE MONTH OF SEPTEMBER 2025 RECOMMENDATION: Receive and file the Public Affairs Update for the month of September 2025. Originator:Jennifer Cabral Agenda Report Outreach and Media Report for September 2025 Attachments: 16.2025-4556SECURITY SERVICES BID EVALUATION CRITERIA RECOMMENDATION: Approve the bid evaluation criteria to support the upcoming competitive solicitation process for contracted security services: Page 5 of 9 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 PROPOSED EVALUATION CRITERIA PROPOSED WEIGHT 1. Firm Background, Qualifications, Experience and References 30% 2. Security Officer Qualifications, Screening, Training 25% 3. Work Plan 30% 4. Completeness of Response/Degree of Compliance 5% 5. Cost 10% Originator:Laura Maravilla Agenda Report Presentation Attachments: 17.2025-4557INTERNAL AUDIT UPDATE RECOMMENDATION: Receive and file the IT Governance Internal Audit Report. Originator:Wally Ritchie Agenda Report IT Governance Internal Audit Report Presentation Attachments: STEERING COMMITTEE: 18.2025-4565TRICKING FILTER MEDIA REPLACEMENT AT PLANT NO. 1, PROJECT NO. P1-142 RECOMMENDATION: A. Receive and file Bid Tabulation and Recommendation for Trickling Filter Media Replacement at Plant No. 1, Project No. P1-142; B. Award a Construction Contract Agreement to GSE Construction Company, Inc. for Trickling Filter Media Replacement at Plant No. 1, Project No. P1-142, for a total amount not to exceed $21,565,292; and C. Approve a contingency of $2,156,529 (10%). Originator:Mike Dorman Agenda Report P1-142 Construction Contract Agreement Presentation Attachments: Page 6 of 9 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 NON-CONSENT: 19.2025-4573PROPERTY ACQUISITION FOR 18250 EUCLID STREET, FOUNTAIN VALLEY, CA RECOMMENDATION: A. Approve a Standard Offer, Agreement, and Escrow Instructions for Purchase of Real Estate (Purchase Agreement) with Rexford Industrial Realty L.P. for Property at 18250 Euclid Street, Fountain Valley, APN No. 156-171-4, in a form approved by General Counsel, for $26,710,000; and B. Authorize the General Manager and General Counsel to execute the following: 1. Preliminary Title Report Consistent with the Standard Offer, Agreement, and Escrow Instructions; 2. Title Approval Letter; 3. Deeds and other evidence of title to the parcels of property that are the subject of the Purchase Agreement; 4. Preliminary Change of Ownership Report; 5. Acceptance of the Grant Deed to certain real property from Rexford Industrial Realty, L.P; 6. Approved Estimated Closing costs; 7. Seller’s Mandatory Disclosure Statement acknowledging receipt of this document; 8. Property Information Sheet acknowledging receipt of this document; 9. Natural Hazard Disclosure Report acknowledging receipt of this document; and 10. Any and all other instruments related to the transaction. Originator:Lorenzo Tyner Agenda Report Letter of Intent - 18250 Euclid Street DRAFT Purchase and Sale Agreement (PSA) *ADDED* Attachments: 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). • Report from Board Delegate - ISDOC • Report from Board Delegate - NWRI • Report from Board Delegate - OCCOG • Report from Board Delegate - SARFPA • Report from GWRS Steering Committee Member(s) Page 7 of 9 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 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 2025-4575CONFERENCE WITH LEGAL COUNSEL RE EXISTING LITIGATION - GOVERNMENT CODE SECTION 54956.9(d)(1) RECOMMENDATION: Convene in Closed Session: Number of Cases: 1 Michael Oberly v. Orange County Sanitation District, Orange County Superior Court and Does 1-25, Orange County Superior Court Case No. 30-2025-01489491-CU-OE-CJC. Agenda Report Board CS Memo re Existing Litigation-Oberly 10-22-25 Attachments: CS-2 2025-4576CONFERENCE WITH REAL PROPERTY NEGOTIATORS - GOVERNMENT CODE SECTION 54956.8 RECOMMENDATION: Convene in Closed Session: Property: 18250 Euclid Street, Fountain Valley, CA - APN No.156-171-41. Agency negotiators: General Manager Robert Thompson; Assistant General Manager Lorenzo Tyner; and Director of Finance Wally Ritchie. Negotiating parties: Rexford Industrial Realty LP Under negotiation: Price and Terms of payment Agenda Report Board CS Memo re Real Property 10-22-25 Attachments: RECONVENE IN REGULAR SESSION. Page 8 of 9 BOARD OF DIRECTORS Regular Meeting Agenda Wednesday, October 22, 2025 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. ADJOURNMENT Adjourn the Board meeting until the Regular Meeting of the Board of Directors on November 19, 2025 at 6:00 p.m. AFFIDAVIT OF PUBLICATION: I hereby certify under penalty of perjury and as required by the State of California, Government Code § 54954.2(a), that the foregoing Agenda was posted online at www.ocsan.gov, in the lobby, and outside the main door of Orange County Sanitation District Headquarters at 18480 Bandilier Cir. Fountain Valley, CA 92708 not less than 72 hours prior to the meeting date and time above. All public records relating to each agenda item, including those distributed less than 72 hours prior to the meeting to a majority of the Board of Directors, are available for public inspection with the Clerk of the Board. /s/ Kelly A. Lore, MMC Clerk of the Board October 17, 2025 Page 9 of 9 BOARD OF DIRECTORS Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4563 Agenda Date:10/22/2025 Agenda Item No:3. FROM:Robert Thompson, General Manager Originator: Kelly A. Lore, Clerk of the Board SUBJECT: APPROVAL OF MINUTES GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Approve minutes of the Regular meeting of the Board of Directors held September 24, 2025. 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 24-09 ATTACHMENT The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda package: ·September 24, 2025 Board of Directors meeting minutes Orange County Sanitation District Printed on 10/13/2025Page 1 of 1 powered by Legistar™ ORANGE COUNTY SANITATION DISTRICT and ORANGE COUNTY SANITATION DISTRICT FINANCING CORPORATION MINUTES BOARD OF DIRECTORS SEPTEMBER 24, 2025 Board Room Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 BOARD OF DIRECTORS Minutes September 24, 2025 CALL TO ORDER A regular meeting of the Board of Directors of the Orange County Sanitation District was called to order by Board Chairman Ryan Gallagher on Wednesday, September 24, 2025 at 6:01 p.m. in the Orange County Sanitation District Headquarters. Director Scott Minikus delivered the invocation and led the Pledge of Allegiance. Following the Pledge of Allegiance, Chair Gallagher stated that this would be Director Scott Minikus' last OC San meeting as he was moving to Idaho. He thanked him for his many years of dedicated service to the agency. ROLL CALL AND DECLARATION OF QUORUM The Clerk of the Board declared a quorum present as follows: PRESENT:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) ABSENT:Johnathan Ryan Hernandez and Melinda Liu STAFF PRESENT: Rob Thompson, General Manager; Lorenzo Tyner, Assistant General Manager; Jennifer Cabral, Director of Communications; Mike Dorman, Director of Engineering; Laura Maravilla, Director of Human Resources; Riaz Moinuddin, Director of Operations and Maintenance; Wally Ritchie, Director of Finance; Lan Wiborg, Director of Environmental Services; Kelly Lore, Clerk of the Board; Morty Caparas; Jackie Castro; Daisy Covarrubias; Don Cutler; Thys DeVries; Martin Dix; Justin Fenton; Dickie Fernandez; Al Garcia; David Haug; Mark Kawamoto; Rob Michaels; Becky Polcyn; Valerie Ratto; Sammady Yi; Thomas Vu; Kevin Work; and Ruth Zintzun were present in the Board Room . OTHERS PRESENT: Scott Smith, General Counsel, was present in the Board Room. Alternate Director Art Perry, Costa Mesa Sanitary District; Frederick Dilly; and Gabriel Lopez were present telephonically. REQUEST TO ADD URGENT ITEM TO AGENDA: The Clerk of the Board announced that a request to add an urgent item to the agenda had been received. A statement of facts and the proposed agenda were provided in hard copy to the Board members and made available to the public on our website. Chair Gallagher asked for a motion to make the following determinations: 1) That there is an immediate need to take action; and 2) that the need arose after the posting of the agenda. It was moved, seconded and unanimously approved to add the item to the agenda. AYES: Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Page 1 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES: None ABSENT: Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS: None The Clerk of the Board added the item to the Agenda as Supplemental Item No. 28. PUBLIC COMMENTS: None. The Clerk of the Board stated that Late Communication regarding a change to the recommendation on Item No. 12 had been sent to the Directors, and was also made available to the public. The Clerk of the Board further stated that staff had requested to pull Closed Session Item No. CS-1 from consideration. SPECIAL PRESENTATIONS: 1.EMPLOYEE SERVICE AWARDS 2025-4483 Originator: Kelly Lore General Manager Rob Thompson presented a 20-year service award to Assistant General Manager Lorenzo Tyner. Chair Gallagher also recognized Administrative Assistant Erika Del Campo, who could not be in attendance, for her 20 years of service. 20-year Service Awards Erika Del Campo, Administrative Assistant - Division 250 Lorenzo Tyner, Assistant General Manager - Division 110 REPORTS: Chair Gallagher reported on his attendance at the VIP Luncheon, where he and the Vice Chairman were able to join nearly 100 OC San employees who volunteered throughout this past year through tours, community events, and speaking engagements showcasing the passion and dedication of our employees for our outreach efforts. Chair Gallagher announced the State of OC San would be held on Friday, October 17, at OC San Headquarters from 11am - 1 pm. He announced the guest speaker would be Joaquin Esquivel, Chairman of the State Water Resource Control Board. Chair Gallagher stated that the Directors would receive talking points regarding OC San activities for their use while reporting out to their councils, boards, and community groups. Page 2 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 Mr. Thompson reported on his recent engagements including a tour provided to the OC Grand Jury, City of San Diego’s Deputy Operating Officer, and the County Executive Office; attended the Southern California Coastal Water Research Program (SCCWRP) Commission Meeting; interviewed by the Filtration + Separation magazine on PFAS destruction technologies; and his upcoming attendance at the CASA Strategic Planning meeting. Mr. Thompson announced that he would not be in attendance at the October Board Meeting . Director of Engineering Mike Dorman provided a brief update on the Capital Improvement Program report included in the agenda. CONSENT CALENDAR: 2.CAPITAL IMPROVEMENT PROGRAM ANNUAL REPORT 2025-4080 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Receive and file the Capital Improvement Program Annual Report for Fiscal Year 2024-2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 3.APPROVAL OF MINUTES 2025-4485 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve minutes of the Regular meeting of the Board of Directors held August 27, 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None Page 3 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None RECEIVE AND FILE: 4.COMMITTEE MEETING MINUTES 2025-4038 Originator: Kelly Lore WITHOUT OBJECTION ACTION TAKEN TO RECEIVE AND FILE THE FOLLOWING: A. Minutes of the Operations Committee Meeting held July 2, 2025 B. Minutes of the Administration Committee Meeting held July 9, 2025 C. Minutes of the Steering Committee Meeting held July 23, 2025 5.REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF AUGUST 2025 2025-4056 Originator: Wally Ritchie WITHOUT OBJECTION ACTION TAKEN TO RECEIVE AND FILE THE FOLLOWING: Report of the Investment Transactions for the month of August 2025. OPERATIONS COMMITTEE: 6.ENGINEERING PROGRAM CONTRACT PERFORMANCE REPORTS 2025-4487 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Receive and file the Engineering Program Contract Performance Report for the period ending June 30, 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Page 4 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 7.DEWATERING CENTRIFUGE DIVERTER GATE IMPROVEMENTS AT PLANT NO. 1, PROJECT NO. FR1-0018 2025-4488 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: A. Award a Construction Contract Agreement to Innovative Construction Solutions for Dewatering Centrifuge Diverter Gate Improvements at Plant No. 1, Project No. FR1-0018, for a total amount not to exceed $1,289,500; and B. Approve a contingency of $193,425 (15%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 8.PROCUREMENT OF TWO SPARE RETURN SECONDARY SLUDGE PUMPS AT PLANT NO. 2 2025-4489 Originator: Riaz Moinuddin MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a Sole Source Purchase Order to Flo-Systems, Inc. for the procurement of two spare Return Secondary Sludge pumps at Plant No. 2, for a total amount not to exceed $706,855, including applicable sales tax and freight; and B. Approve a contingency of $141,371 (20%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Page 5 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 9.MASTER REIMBURSEMENT AGREEMENT TO THE CITY OF SANTA ANA FOR MANHOLE FRAME AND COVER ADJUSTMENTS 2025-4491 Originator: Riaz Moinuddin MOVED, SECONDED, AND DULY CARRIED TO: A. Approve the Master Reimbursement Agreement with the City of Santa Ana for Orange County Sanitation District manhole frame and cover adjustments within Santa Ana’s Street Rehabilitation Projects, for a term of ten (10) years from the effective date, in a form approved by General Counsel, for a total not to exceed amount of $150,000; and B. Approve a contingency of $15,000 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 10.CEQA SUPPORT SERVICES, PSA2025-004 2025-4492 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Approve a Professional Services Agreement with HDR Engineering, Inc. to provide California Environmental Quality Act (CEQA) Support Services, PSA2025-004, for a three-year period commencing October 1, 2025, through September 30, 2028, with two one-year renewal options, for annual amount not to exceed $300,000 and a total contract amount not to exceed $1,500,000. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Page 6 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 11.SOUTHERN CALIFORNIA EDISON GENERATOR INTERCONNECTION AGREEMENT FOR PLANT NO. 2 2025-4493 Originator: Riaz Moinuddin MOVED, SECONDED, AND DULY CARRIED TO: Approve a Generator Interconnection Agreement with Southern California Edison Company for a period of twenty (20) years from the Effective Date. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 12.COLLECTIONS YARD RELOCATION AND WAREHOUSE DEMOLITION AT PLANT NO. 2, PROJECT NO. P2-127 2025-4494 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Approve a Final Change Order and a construction contingency increase of $546,890 (8.4%) to finalize all costs for the existing Construction Contract with Archico Design Build, Inc., for Collections Yard Relocation and Warehouse Demolition at Plant No. 2, Project No. P2-127, for a total contingency amount of $1,196,890 (18.4%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 13.ENGINE AND GENERATOR OVERHAULS AT PLANT NOS. 1 AND 2 PHASE 2, CONTRACT NO. J-135C 2025-4495 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Page 7 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 A. Approve a project budget increase of $2,500,000 for Central Generation Engine Overhauls at Plant Nos. 1 and 2, Project No. J-135, for a new total budget of $74,700,000; B. Award a Sole Source Service Contract to Cooper Machinery Services LLC for Engine and Generator Overhauls at Plant Nos. 1 and 2, Phase 2, Contract No. J-135C, as part of Central Generation Engine Overhauls at Plant Nos. 1 and 2, Project No. J-135, for a total amount not to exceed $28,642,770; and C. Approve a contingency of $2,864,277 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 14.CHEMICAL SYSTEMS REHABILITATION AT PLANT NO. 2, PROJECT NO. P2-135 2025-4496 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: A. Receive and file Bid Tabulation and Recommendation for Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135; B. Award a Construction Contract Agreement to Innovative Construction Solutions for Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135, for a total amount not to exceed $4,439,500; and C. Approve a contingency of $443,950 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Page 8 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 15.CHEMICAL SYSTEMS REHABILITATION AT PLANT NO. 2, PROJECT NO. P2-135 2025-4497 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a project budget increase of $430,000 for Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135, for a new total budget of $9,860,000; B. Approve a Professional Construction Services Agreement with Lee & Ro, Inc. to provide construction support services for Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135, for a total amount not to exceed $812,061; and C. Approve a contingency of $81,206 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None ADMINISTRATION COMMITTEE: 16.REIMBURSEMENTS TO BOARD MEMBERS AND STAFF 2025-4502 Originator: Wally Ritchie MOVED, SECONDED, AND DULY CARRIED TO: Receive and file report of reimbursements to Board Members and Staff per Government Code Section 53065.5 for the period July 1, 2024 through June 30, 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Page 9 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 17.PLANT NO. 2 INDUSTRIAL CONTROL SYSTEM INDUSTRIAL ETHERNET SWITCH NETWORK REFRESH 2025-4503 Originator: Wally Ritchie MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a Purchase Order Contract to World Wide Technology, LLC for the purchase of Network Infrastructure Hardware for the Plant No. 2 Industrial Control System Industrial Ethernet Switch Network Refresh utilizing the OMNIA Cooperative Purchasing Agreement, Contract No. R210407, for a total amount not to exceed $224,939 (Includes Sales Tax); and B. Approve a contingency in the amount of $22,494 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 18.FLEET VEHICLE REPLACEMENT PURCHASES 2025-4504 Originator: Lorenzo Tyner MOVED, SECONDED, AND DULY CARRIED TO: A. Approve the purchase of replacement vehicles and electric utility carts for Orange County Sanitation District’s fleet as initially approved in the adopted Fiscal Year 2025-26 Budget in the amount of $1,487,300; and B. Delegate to the General Manager and Purchasing Manager the authority to purchase replacement vehicles and carts during the fiscal year in the not to exceed amount listed above, utilizing the method of procurement determined by the General Manager to be in the best interest of OC San, to include cooperative contract, competitive solicitation, or sole source. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None Page 10 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 19.COOPERATIVE PROCUREMENT WITH CARRIER GLOBAL CORPORATION FOR HVAC MAINTENANCE SERVICES 2025-4505 Originator: Lorenzo Tyner MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a Blanket Purchase Order with Carrier Global Corporation for HVAC Maintenance and Repair services at Orange County Sanitation District facilities in an amount not to exceed $1,400,000, utilizing the Sourcewell Cooperative Master Agreement No. 080824-CAR for the period October 1, 2025, through September 30, 2026, with three (3) one-year renewal options; and B. Approve a contingency in the amount of $140,000 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 20.PUBLIC AFFAIRS UPDATE FOR THE MONTHS OF JULY AND AUGUST 2025 2025-4506 Originator: Jennifer Cabral MOVED, SECONDED, AND DULY CARRIED TO: Receive and file the Public Affairs Update for the months of July and August 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Page 11 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 21.LEGISLATIVE AFFAIRS UPDATE FOR THE MONTHS OF JULY AND AUGUST 2025 2025-4507 Originator: Jennifer Cabral MOVED, SECONDED, AND DULY CARRIED TO: Receive and file the Legislative Affairs Update for the months of July and August 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 22.WASTEWATER REFUNDING REVENUE OBLIGATIONS, SERIES 2025A 2025-4508 Originator: Wally Ritchie MOVED, SECONDED, AND DULY CARRIED TO: A. Adopt Resolution No. OC SAN 25-16 titled: “A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the execution and delivery by the District of an Installment Purchase Agreement, a Trust Agreement, a Purchase Agreement, a Continuing Disclosure Agreement and an Escrow Agreement in connection with the Orange County Sanitation District Wastewater Refunding Revenue Obligations, Series 2025A, authorizing the execution and delivery of such Revenue Obligations evidencing principal in an aggregate amount of not to exceed $120,000,000, approving a Notice of Intention to Sell, authorizing the distribution of an Official Notice Inviting Bids and an Official Statement in connection with the offering and sale of such Revenue Obligations and authorizing the execution of necessary documents and related actions”; and B. That the Orange County Sanitation District Financing Corporation approve the documents supporting and authorizing the Revenue Obligations in an aggregate amount not to exceed $120,000,000. Page 12 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 23.RELINQUISHMENT AND DISPOSITION PROCEDURES FOR VACATION AND SALE OF EXCESS EASEMENTS INTERESTS 2025-4509 Originator: Lorenzo Tyner MOVED, SECONDED, AND DULY CARRIED TO: Adopt Resolution No. OC SAN 25-17 titled, “A Resolution of the Board of Directors of Orange County Sanitation District Permitting the Establishment of Relinquishment and Disposition Procedures for Vacation and Sale of Excess Easement Interests.” AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None STEERING COMMITTEE: 24.BAY BRIDGE PUMP STATION AND FORCE MAINS REPLACEMENT, PROJECT NO. 5-67 2025-4517 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Page 13 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 A. Consider, approve, and adopt Addendum No. 2 to the Environmental Impact Report for the Bay Bridge Pump Station and Force Mains Replacement Project No. 5-67; and B. Adopt Resolution No. OC SAN 25-18 titled, “A Resolution of the Board of Directors of the Orange County Sanitation District Approving and Adopting Addendum No. 2 to the Environmental Impact Report for the Bay Bridge Pump Station and Force Mains Replacement Project (Project No. 5-67) Pursuant to the California Environmental Quality Act”. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None 25.IRWD/OC SAN AGREEMENT DEAL POINTS 2025-4518 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Authorize the preparation of two new agreements and a resolution to streamline operations, better align billing with services provided, and maximize the use of existing infrastructure in Orange County as follows: 1. Agreement No. 1 between Orange County Sanitation District (OC San) and Irvine Ranch Water District (IRWD) will realign boundaries and payment structures with current service provisions. This agreement will consolidate many prior agreements that were created as development occurred. 2. Agreement No. 2 between OC San, IRWD, and Orange County Water District (OCWD) will replace the current Green Acres Project (GAP) Agreement which expires in January 2027. 3. An OC San Board of Directors resolution will support the Orange County Local Agency Formation Commission (OC LAFCO) process to annex the former Los Alisos Water District (LAWD) area into OC San’s service area. Page 14 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Chair Gallagher recessed the OC San Board of Directors Meeting at 6:34 p.m. Page 15 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 ORANGE COUNTY SANITATION DISTRICT FINANCING CORPORATION MEETING CALL TO ORDER Chair Gallagher called the Board of Directors, Orange County Financing Corporation meeting to order at 6:34 p.m. ROLL CALL AND DECLARATION OF QUORUM Kelly Lore, Secretary of the Financing Corporation, announced that the members of the Orange County Sanitation District Board of Directors were each being compensated $315.00 for the Board of Directors Meeting, with no additional compensation provided for the Financing Corporation Meeting. The Secretary declared a quorum present as follows: PRESENT:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) ABSENT:Johnathan Ryan Hernandez and Melinda Liu APPROVAL OF MINUTES FC-1 APPROVAL OF MINUTES - ORANGE COUNTY SANITATION DISTRICT FINANCING CORPORATION 2025-4486 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the Regular meeting of the Orange County Sanitation District Financing Corporation held June 25, 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Page 16 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 NON-CONSENT: FC-2 WASTEWATER REFUNDING REVENUE OBLIGATIONS, SERIES 2025A 2025-4264 Originator: Wally Ritchie Director of Finance Wally Ritchie provided a brief report on the item. MOVED, SECONDED, AND DULY CARRIED TO: Adopt Resolution No. FC-31 titled: “A Resolution of the Board of Directors of the Orange County Sanitation District Financing Corporation authorizing the execution and delivery by the Corporation of an Installment Purchase Agreement, a Trust Agreement and a Purchase Agreement in connection with the Orange County Sanitation District Wastewater Refunding Revenue Obligations, Series 2025A, authorizing the execution and delivery of such Revenue Obligations evidencing principal in an aggregate amount of not to exceed $120,000,000 and authorizing the execution of necessary documents and related actions”. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None Chair Gallagher adjourned the meeting of the Board of Directors, Orange County Sanitation District Financing Corporation at 6:37 p.m. Page 17 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 Chair Gallagher reconvened the Orange County Sanitation District Board of Directors meeting at 6:37 p.m. NON-CONSENT: 26.SIDE LETTER TO THE MEMORANDUM OF UNDERSTANDING FOR THE INTERNATIONAL UNION OF OPERATING ENGINEERS - LOCAL 501 2025-4519 Originator: Laura Maravilla Director of Human Resources Laura Maravilla provided a verbal report of the item. MOVED, SECONDED, AND DULY CARRIED TO: Authorize the execution of a Side Letter Modifying Article 19 - Standby Pay of the current Memorandum of Understanding between Orange County Sanitation District and the International Union of Operating Engineers Local 501 retroactive to the first pay period of July 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None INFORMATION ITEMS: 27.ORANGE COUNTY SANITATION DISTRICT 2025 PROPOSED STRATEGIC PLAN 2025-4430 Originator: Rob Thompson General Manager Thompson provided a brief update regarding the Orange County Sanitation District 2025 Proposed Strategic Plan. ITEM RECEIVED AS AN: Information Item. AB 1234 DISCLOSURE REPORTS: Directors Pat Burns, Andrew Nguyen, Bob Ooten, and Dave Shawver provided reports on their recent attendance at various Regional Board Meetings. Page 18 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 CLOSED SESSION: The Board did not convene in closed session. Item No. CS-1was pulled from consideration. CS-1 CONFERENCE WITH REAL PROPERTY NEGOTIATORS - GOVERNMENT CODE SECTION 54956.8 2025-4520 DID NOT CONVENE IN CLOSED SESSION: A.Property: 10700 Spencer Street, Fountain Valley, CA - APN No.156-154-07 and 156-163-16. Agency negotiators: General Manager Rob Thompson; Assistant General Manager Lorenzo Tyner; and Director of Finance Wally Ritchie. Negotiating parties: Shabtai Itzhak Tr Ins Tr Under negotiation: Price and Terms of payment B.Property: 18250 Euclid Street, Fountain Valley, CA - APN No.156-171-41. Agency negotiators: General Manager Rob Thompson; Assistant General Manager Lorenzo Tyner; and Director of Finance Wally Ritchie. Negotiating parties: Rexford Industrial Realty LP Under negotiation: Price and Terms of payment OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: 28.URGENT ITEM - NEWHOPE-PLACENTIA SEWER MANHOLE REPLACEMENTS, PROJECT NO. FE21-08 2025-4531 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Approve a contingency increase of $1,000,556 to the existing Construction Contract Agreement to Sancon Technologies, Inc., for Newhope-Placentia Sewer Manhole Replacements, Project No. FE21-08, for a new total contingency of $1,081,902 (266%) due to a time sensitive finding. Page 19 of 20 BOARD OF DIRECTORS Minutes September 24, 2025 AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Lisa Landau, Carlos Leon, Christine Marick, Scott Minikus, Jordan Nefulda, Andrew Nguyen, Robert Ooten, David Shawver, Jamie Valencia, Chad Wanke, Erik Weigand, John Withers, Jordan Wu, Ted Bui (Alternate), Rose Espinoza (Alternate), Gene Hernandez (Alternate) and Cindy Tran (Alternate) NOES:None ABSENT:Johnathan Ryan Hernandez and Melinda Liu ABSTENTIONS:None BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: Director Minikus provided a farewell speech and praised OC San and staff for their dedication and professionalism. ADJOURNMENT: Chair Gallagher declared the meeting adjourned at 6:51 p.m. until the next Special Meeting of the Board of Directors to be held on Friday, October 17, 2025 at 11:00 a.m. Submitted by: __________________ Kelly A. Lore, MMC Clerk of the Board Page 20 of 20 BOARD OF DIRECTORS Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4542 Agenda Date:10/22/2025 Agenda Item No:4. FROM:Robert Thompson, General Manager Originator: Jennifer Cabral, Director of Communications SUBJECT: ORANGE COUNTY SANITATION DISTRICT ANNUAL REPORT GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the Orange County Sanitation District Annual Report for Fiscal Year 2024-2025. BACKGROUND The Orange County Sanitation District (OC San)Annual Report summarizes and highlights achievements of OC San,financial data,and agency-wide activities for Fiscal Year 2024-2025.This report is published annually. RELEVANT STANDARDS ·Ensure the public’s money is wisely spent ·Build brand, trust, and support with policy makers and community leaders ·Make it easy for people to understand OC San’s roles and value to the community ATTACHMENT The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda package: ·OC San Annual Report, Fiscal Year 2024-25 Orange County Sanitation District Printed on 10/14/2025Page 1 of 1 powered by Legistar™ Driven by our Mission, Powered by Innovation ANNUAL REPORT ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-252 3ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 TABLE OF CONTENTS Message from the General Manager 5 Who We Are 6 Board of Directors 8 Executive Management Team 9 RISE: Resource Innovation for a Sustainable Environment 10 Supercritical Water Oxidation Project 11 Sustainable Solution for Biosolids Management 12 OC San Protects Our Beaches 14 Commitment to Compliance 16 Maintaining Financial Stability 18 Building Reliability for Generations to Come 19 Groundwater Replenishment System 20 Modern Tools, Improved Access 21 Strategic Planning 22 Engaging the Community 24 Human Resources Statistics 26 Building a Workplace 27 Looking Ahead 28 Awards 30 ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-254 5ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 At OC San, our work is guided every day by a clear mission: to protect public health and the environment by providing effective wastewater collection, treatment, and recycling for our region. This mission drives every decision we make, and innovation powers how we deliver results. OC San is not a traditional government agency. We are fiscally responsible problem-solvers, innovators, and leaders in our field. From pioneering advanced water recycling efforts with our partners at the Orange County Water District to investing in new technologies that improve efficiency, sustainability, and safety, we continue to set the standard for what a modern wastewater agency can achieve. All the while maintaining our AAA financial rating from all three major rating agencies. The past year reflects our continuing commitment to innovation and excellence. OC San treated an average of 185 million gallons of wastewater per day and made our reclaimable effluent available to the Groundwater Replenishment System to help meet Orange County’s water needs. Beyond operations, we engaged the community, reaching approximately 5,500 people throughout Orange County. During Fiscal Year 2024/25, we managed over 100 active projects, with net Capital Improvement Program spending totaling $245 million. These investments demonstrate our commitment to the on-going renewal of the infrastructure that protects public health, preserves the environment, and will benefit our community for generations to come. Transparency and trust remain at the core of how we operate. We appreciate the confidence our community places in us, and we take that responsibility very seriously. By openly sharing our progress, challenges, and successes, we strengthen the trust that is vital to support our work. I am deeply grateful for the leadership and guidance of our Board of Directors, whose dedicated oversight ensures that we remain accountable, forward-thinking, and community focused. Together, we are building an organization that not only meets today’s needs but also prepares for tomorrow’s challenges. This report highlights who we are and what we do: a dedicated team driven by our mission, powered by innovation, and united by the goal of protecting the public’s health and our environment today and for future generations. Rob Thompson General Manager DRIVEN BY OUR MISSION, POWERED BY INNOVATION Rob Thompson General Manager ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-256 7ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 OUR MISSION “To protect public health and the environment by providing effective wastewater collection, treatment and recycling.” WHO WE ARE The Orange County Sanitation District (OC San) is a public agency that provides wastewater collection, treatment, and recycling services for the northwest and central area of Orange County, California. The wastewater from OC San’s 479-square-mile service area travels through 388 miles of regional sewers to reclamation facilities Plant No. 1 in Fountain Valley and Plant No. 2 in Huntington Beach. Approximately 185 million gallons per day of wastewater collected from 2.6 million people are processed daily. OUR VISION ORANGE COUNTY SANITATION DISTRICT WILL BE A LEADER IN: • Providing reliable, responsive and affordable services in line with customer needs and expectations. • Protecting public health and the environment utilizing all practical and effective means for wastewater, energy, and solids resource recovery. • Continually seeking efficiencies to ensure that the public’s money is wisely spent. • Communicating our mission and strategies with those we serve and all other stakeholders. • Partnering with others to benefit our customers, this region, and our industry. • Creating the best possible workforce in terms of safety, productivity, customer service, and training. ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-258 9ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 BOARD OF DIRECTORS Cities Active Director Anaheim Carlos A. Leon Brea Christine Marick Buena Park Joyce Ahn Cypress Scott Minikus Fountain Valley Glenn Grandis Fullerton Jamie Valencia Garden Grove Stephanie Klopfenstein Huntington Beach Pat Burns Irvine Melinda Liu La Habra Jose Medrano La Palma Debbie Baker Los Alamitos Jordan Nefulda Newport Beach Erik Weigand Orange Jon Dumitru (Vice Chair) Placentia Chad Wanke Santa Ana Johnathan Ryan Hernandez Seal Beach Lisa Landau Stanton David Shawver Tustin Ryan Gallagher (Chair) Villa Park Jordan Wu Agencies Costa Mesa Sanitary District Robert Ooten Midway City Sanitary District Andrew Nguyen Irvine Ranch Water District John Withers Yorba Linda Water District Tom Lindsey Member of the Board of Supervisors Doug Chaffee ROB THOMPSON General Manager LORENZO TYNER Assistant General Manager JENNIFER CABRAL Director of Communications MIKE DORMAN Director of Engineering EXECUTIVE MANAGEMENT TEAM (From left) Wally Ritchie, Lan Wiborg, Lorenzo Tyner, Rob Thompson, Riaz Moinuddin, Laura Maravilla, Mike Dorman, and Jennifer Cabral LAURA MARAVILLA Director of Human Resources RIAZ MOINUDDIN Director of Operations and Maintenance WALLY RITCHIE Director of Finance LAN WIBORG Director of Environmental Services ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2510 11ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 RISE: RESOURCE INNOVATION FOR A SUSTAINABLE ENVIRONMENT For over 70 years, OC San has been at the forefront of wastewater treatment and management, pioneering technologies and approaches that protect public health and the environment. Last year, we strengthened this commitment with the launch of a new program: Resource Innovation for a Sustainable Environment (RISE). The RISE program harnesses research, innovation, and partnerships to ensure OC San continues meeting the region’s evolving needs while preparing for tomorrow’s challenges. Focused on four key areas — water, energy, solids, and air — RISE drives long-term improvements through both proven practices and emerging technologies. In its first year, RISE has supported ongoing sustainability initiatives, such as the Groundwater Replenishment System and source control, while paving the way for new technologies like Supercritical Water Oxidation and Deep Well Injection of biosolids. Looking forward, we’re excited to expand RISE and continue OC San’s legacy of leadership in innovation, laying the foundation for a cleaner, more sustainable future for Orange County. FUTURE TECHNOLOGIES: SUPERCRITICAL WATER OXIDATION PROJECT OC San is leading the way in advancing next-generation technologies that protect public health and the environment. One of the most promising is the Supercritical Water Oxidation (SCWO) project, to be delivered to Plant No. 1 late 2025. In partnership with 374Water, OC San is developing a six-ton-per-day demonstration facility known as the AirSCWO Nix6. This groundbreaking system uses heated and pressurized water to break down organic materials—including complex compounds like per- and polyfluoroalkyl substances (PFAS) and microplastics — that are notoriously difficult to treat with today’s conventional methods. The benefits of SCWO technology are far-reaching: • Reduced costs from minimizing solids processing and trucking • Greater energy efficiency through improved conversion of waste to usable energy • Enhanced treatment of emerging contaminants • Opportunities for resource recovery, including the conversion of food waste into energy With a nearly $8 million investment, this project represents more than a new facility — it reflects OC San’s vision for a sustainable future. By embracing innovative solutions like SCWO, OC San is preparing for tomorrow’s challenges while continuing to deliver reliable, cost-effective service today. The AirSCWO Nix6 project is a clear example of how OC San is driven by our mission and powered by innovation, paving the way for environmental leadership in California and beyond. DRIVEN BY OUR MISSION, POWERED BY INNOVATION: SUSTAINABLE SOLUTION FOR BIOSOLIDS MANAGEMENT ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2512 13ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 In an era where environmental concerns are at the forefront, OC San is committed to advancing sustainable solutions that protect public health and the environment. One of the most innovative approaches under consideration is the Biosolids Deep Well Injection (BDWI) project, a forward-looking strategy for long-term biosolids management. This method provides a sustainable alternative to traditional hauling and disposal. By eliminating the need for long-distance truck transportation, BDWI significantly reduces carbon emissions and associated costs. Even more importantly, it offers a permanent solution for managing “forever chemicals” such as per- and polyfluoroalkyl substances (PFAS), microplastics, and pharmaceuticals—substances that are difficult to eliminate with conventional treatment methods. The project would inject biosolids more than 5,000 feet below OC San’s reclamation plant in Fountain Valley into a sand layer safely confined between impermeable rock formations. This layer is completely isolated from groundwater aquifers, ensuring environmental protection. Naturally warm, the sand layer functions as an anaerobic digester, converting biosolids into methane and carbon dioxide. DWI is not a new concept — it is a proven technology. The City of Los Angeles has successfully operated a BDWI system for 17 years at its Terminal Island Treatment Plant. By adopting a similar approach, OC San would build on this success and bring a sustainable, cost- effective solution to Orange County. The benefits of the BDWI project are clear: • Reduced greenhouse gas emissions from eliminating long-haul trucking • Permanent carbon sequestration of PFAS, microplastics, carbon sequestration, and pharmaceuticals • Protection of oceans and waterways by removing nutrients before discharge • Long-term sustainability in biosolids management The project underscores how OC San is driven by our mission and powered by innovation. By exploring cutting-edge solutions like BDWI, OC San is preparing for the future — ensuring that our practices not only meet today’s needs but safeguard public health and the environment for generations to come. INNOVATION IN ACTION, MISSION IN MOTION: OC SAN PROTECTS OUR BEACHES ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2514 15ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 For more than four decades, OC San’s Ocean Monitoring Program has safeguarded the quality of our coastal waters and beaches for both the public and marine life. Through regular water and sediment quality testing, along with marine life monitoring across nearly 200 square miles of ocean surrounding our 120-inch outfall pipe and 21 miles of shoreline, we’ve built a clear record of success. This success was once again recognized in this year’s Annual Heal the Bay Report Card, which placed Orange County beaches among the best across all three grading categories—summer dry, winter dry, and winter wet. This year marked an outstanding achievement: 34 Orange County beaches — more than triple last year’s total of 10 — earned a place on the prestigious Honor Roll, which recognizes beaches with zero bacterial exceedances year-round. Nearly half of these top-performing beaches are within OC San’s service area. These stellar results reflect OC San’s commitment to environmental stewardship, the effectiveness of our collection and treatment processes, and the success of our ocean monitoring and dry weather urban runoff diversion programs. They also underscore how we remain driven by our mission and powered by innovation to protect our coastlines for future generations. COMMITMENT TO COMPLIANCE. EXCELLENCE IN ACTION Each fall, OC San celebrates the outstanding environmental stewardship of local businesses and wastehaulers through the Pretreatment Honor Roll Program. Launched in 2022, this program highlights environmental champions in our community who demonstrate excellence in compliance and ensure their contributions to the sewer system are both responsible and environmentally safe. To earn a place on the Honor Roll, candidates must be Class I Industrial Wastewater Dischargers or Wastehaulers who demonstrate their commitment by: • Maintaining compliance with wastewater discharge permit limits and conditions. • Empowering staff to promote a sense of regulatory responsibility. • Dedicating resources to provide a supportive atmosphere that fosters exceptional waste and wastewater management. Honorees are recognized with a certificate of achievement, a window decal to proudly display at their business, and public recognition during the annual State of OC San event. In 2024, 43 businesses earned a place on the Pretreatment Honor Roll. Of these, 31 companies achieved the Silver Award level — a milestone recognizing at least four consecutive years of compliance. A dozen companies earned the Bronze Award level, demonstrating strong compliance and environmental responsibility. These achievements reflect not only ongoing compliance efforts but also a lasting commitment to environmental protection. This program showcases how OC San remains driven by our mission and powered by innovation — building strong partnerships with industry, strengthening compliance, and protecting public health and the environment for generations to come. 2024 Silver Awardees (Recognizes four consecutive years of compliance) • Access Business Group, LLC — Buena Park • Air Industries Company, A PCC Company (Chapman) — Garden Grove • Boeing Company (Graham) — Long Beach • Bridge Energy, LLC — Brea • Brindle/Thomas - Bradley — Huntington Beach • Brindle/Thomas - Brooks & Kohlbush — Huntington Beach • Brindle/Thomas - Dabney & Patton — Huntington Beach • Cal-Aurum Industries, Inc. — Huntington Beach • City of Anaheim Public Utilities (Water Services WRF) — Anaheim • City of Newport Beach (West Coast Hwy - Oil Extraction) — Newport Beach • D.F. Stauffer Biscuit Co., Inc. — Santa Ana • DRS Network & Imaging Systems, LLC — Cypress • Fabrica International, Inc. — Santa Ana • Fineline Circuits & Technology, Inc. — Brea • FujiFilm Irvine Scientific, Inc. — Santa Ana • Gallade Chemical, Inc. — Santa Ana • Bolsa Oil — Huntington Beach • Maruchan, Inc. (Deere-South) — Irvine • Maruchan, Inc. (Laguna Canyon) — Irvine • Murrietta Circuits — Anaheim • Nalco Water Pretreatment Solutions, LLC — Placentia • Tower Semiconductor Newport Beach, Inc. — Newport Beach • Precision Resource, California Division — Huntington Beach • Rich Products Corporation (North) — Santa Ana • Rich Products Corporation (South) — Santa Ana • Sanmina Corporation (Airway) — Costa Mesa • Sanmina Corporation (Redhill) — Costa Mesa • Southern California Edison #1 (MT) — Westminster • Southern California Edison #2 (DAS) — Westminster • Southern California Edison #3 (LARS) — Westminster • Wilco-Placentia Oil Operator, LLC — Irvine 2024 Bronze Awardees (Recognizes two or three consecutive years of compliance) • A & J Portable Restrooms, Inc. — Rancho Santa Margarita • City of Anaheim Public Utilities Department — Anaheim • Diamond Environmental Services, LP — San Marcos • House Foods America Corporation (East) — Garden Grove • House Foods America Corporation (West) — Garden Grove • Kryler Corporation — Fullerton • LM Chrome Corporation — Santa Ana • Maruchan, Inc. (Deere) — Irvine • Newlight Technologies, Inc. — Huntington Beach • O.C. Waste & Recycling — Santa Ana • Precision Circuits West, Inc. — Santa Ana • Timken Bearing Inspection, Inc. — Los Alamitos Mike Gallade Chemical, Inc. OC San’s Pretreatment Honor Roll provides more than recognition; it’s a roadmap for continuous improvement. We proudly display the certificate in our front office. It represents hard work, commitment to responsible chemical handling and environmental protection. Sam Akbari , Precision Circuits West, Inc. Recognizing excellence in wastewater treatment protects our rivers, lakes, and communities. Strong wastewater management builds stronger, safer neighborhoods. Genki Kosuge, House Foods America Thank you for selecting us as a Bronze Award. We are deeply honored. We are House Foods America, a food manufacturer specializing in tofu production. We hope continued participation in this program will allow our members to carry out their daily tasks with pride. ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2516 17ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 Driven by Excellence, Powered by Stewardship: Voices from the Pretreatment Honor Roll –– AAA: MAINTAINING FINANCIAL STABILITY As an essential service provider to the community, OC San strives to balance financial stability with fiscal responsibility, while keeping rates affordable for the community we serve. For the 15th consecutive year, OC San has upheld this commitment, earning reaffirmed AAA ratings on all senior obligations from three credit rating firms: Fitch Ratings, Standard & Poor’s, and Moody’s Investors Service Incorporated. The Triple-A rating — the highest possible — reflects OC San’s strong management practices and financial strength. Earning this rating allows us to secure low-interest rates to refinance our bonds, leading to real cost savings for our customers. OC San remains the only California utility to hold AAA rating from all three major rating agencies, showcasing our dedication to sound finances and responsible rates. BUILDING RELIABILITY FOR GENERATIONS TO COME Keeping our infrastructure in top condition is essential to maintaining a reliable, resilient, and safe sewer system. Through our world- class Capital Improvement Program (CIP), we’re rehabilitating, replacing, and upgrading critical assets to continue delivering effective wastewater collection, treatment, and recycling. With nearly 40 projects in construction, OC San is strengthening infrastructure across our plants, pump stations, and collection system. At Reclamation Plant No. 1 in Fountain Valley, the Headworks Rehabilitation Project stands out for its size, complexity, and community benefit. This project upgrades the headworks — the first stop for wastewater entering the plant from six regional trunk sewers across our 479-square-mile service area. Along with rehabilitating the facility, a new odor control system will help minimize potential concerns. Scheduled for completion in 2028, this effort reflects our commitment to long-term service reliability. At Reclamation Plant No. 2 in Huntington Beach, the A-Side Primary Clarifiers Replacement Project will construct four new clarifiers to replace aging structures built in the 1960s. The new clarifiers will improve treatment efficiency and allow demolition of the existing units once operational. Through these and other CIP projects, OC San is building a stronger, more dependable system to serve our community for generations. To learn more view our CIP Annual Report at: https://fliphtml5.com/zecoq/dabk/ ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2518 19ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 Where the money comes from Where the money goes Fees: 72% Property Taxes: 21% Interest & Misc: 7% Operations: 42%Capital Facilities: 43% Debt Service: 11% Other: 4% ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2520 21ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 GROUNDWATER REPLENISHMENT SYSTEM— A MODEL OF INNOVATION At OC San, innovation drives our mission to protect public health and the environment. One of the most powerful examples of this commitment is the Groundwater Replenishment System (GWRS), a joint project with the Orange County Water District (OCWD). The GWRS is the world’s largest advanced water purification system for potable reuse, producing up to 130 million gallons of high-quality water every day — enough to meet the needs of nearly one million people. Remarkably, OC San recycles 100 percent of the reclaimable flow, ensuring that every drop of water that can be reused is put back into the system. This purified water is used to replenish the local groundwater basin, providing a safe, reliable, and drought-resilient supply for Orange County. OC San is the only wastewater agency in the world to recycle 100 percent of its reclaimable flow, ensuring that every drop of reusable water is purified and put to beneficial use. Since the start of this effort, more than 486 billion gallons of water have been recycled — enough to help sustain our region’s water supply for generations. This achievement reflects OC San’s leadership in innovation and commitment to protecting precious resources through our partnership with the Orange County Water District. MODERN TOOLS, IMPROVED ACCESS After months of collaboration, we unveiled our redesigned website, created to improve user experience and better serve our community. The update site features a fresh, modern design and introduces new interactive tools — making it easier for users to find the information they need. It also incorporates enhanced accessibility features so that all users can fully navigate the site. The redesigned website highlights our commitment to transparency, ensuring the community can easily access the information and services they rely on. ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2522 23ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 STRATEGIC PLANNING: A ROADMAP FOR THE FUTURE At OC San, our commitment to excellence doesn’t stop at day-to-day operations — it is rooted in long-term vision. Our Strategic Plan is the cornerstone of that vision, guiding priorities, shaping goals, and keeping us at the forefront of environmental leadership, innovation, and public service. Every two years, OC San revisits and refines this roadmap to ensure it reflects the evolving needs of our communities, industry, and environment. The process is thoughtful, collaborative, and mission-driven — and this year is no exception. The 2025 Strategic Plan is currently in development, with the Board of Directors leading the effort to refine the strong framework already in place. Building upon 15 existing policy areas, this updated plan introduces a new policy area dedicated to potable water salinity control. This addition underscores OC San’s commitment to protecting water quality while continuing to focus on the values and priorities that matter most. Highlights of the policy areas include: • Business Principles — budget control and fiscal discipline, cybersecurity and artificial intelligence, asset management, property management, and organizational advocacy and outreach. • Environmental Stewardship — energy independence, climate and catastrophic event resiliency, food waste treatment, environmental water quality, stormwater management and urban runoff, and potable water salinity control. • Wastewater Management — chemical sustainability, biosolids management, water reuse, and constituents of emerging concern. • Workplace Environment — resilient staffing and safety and physical security. Once finalized, the 2025 Strategic Plan will serve as OC San’s agency-wide guide, shaping direction for Fiscal Years 2026–27 and 2027–28, and beyond. Final adoption expected in November 2025. OC San remains Driven by our Mission, Powered by Innovation, and the Strategic Plan ensures we remain steadfast in delivering reliable service, protecting public health, and preserving the environment for generations to come. Community Events/Speakers Bureau: 31 speaking engagements reaching 1,400 members of the public 11 community events reaching 2,600 people 110 tours reaching 1,530 guests 20 self-guided virtual tours ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2524 25ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 ENGAGING THE COMMUNITY THROUGH EDUCATION AND OUTREACH At OC San, connecting with our community is as vital as providing reliable wastewater services. In its third year, the Wastewater 101 Citizens Academy continues to educate residents on the inner workings of our complex system — from collection and treatment to water recycling and environmental protection. With over 100 registrants every session this year, the Wastewater 101 Citizens has proven to be a success and shows the interest that the community has about their local infrastructure. OC San also provides hands-on learning opportunities through tours of our facilities. Over the past year, we hosted 110 tours, welcoming 1,531 guests, and offered 20 self-guided virtual tours, making our operations accessible to a wider audience. Beyond facility tours, OC San partnered with the Heritage Museum of Orange County to weave educational messaging into their current program, creating a valuable platform to teach thousands of children about wastewater treatment and the importance of proper disposal practices like What2Flush. Through both in-person and virtual experiences, this collaboration engages more than 10,500 participants each fiscal year. Our outreach extends to schools through partnerships with Inside the Outdoors and the Orange County Department of Education, bringing a dedicated environmental education program to elementary, middle, and high school students. To date, the program has reached 1,295 students across eight cities in our service area. OC San’s broader outreach also includes 31 speaking engagements reaching 1,400 members of the public, and 11 community events connecting with 2,600 residents. These initiatives share a common goal: fostering environmental stewardship and inspiring sustainable practices among the next generation. By emphasizing the vital role sanitation plays in protecting public health and the environment, OC San is helping shape young people into environmentally conscious and proactive citizens. Through education, engagement, and transparency, OC San ensures that the community is informed, empowered, and connected to the work we do every day — demonstrating how dedication, innovation, and outreach drive results that benefit the public we serve. STATS: Legislative Affairs Bills Tracked: 42 State Positions: 11 Federal Positions: 2 Education – • Heritage Museum of Orange County – 154 Schools with a total of 10,498 students • WW101 Citizens Academy- Spring 2025 – 43 Graduates • Inside the Outdoors – 1,295 students Construction Outreach – • 18.3K people reached • 38 electronic messages • Supported 8 projects Social Media – • FB – 258 Posts – 40,280 Reach – Follower Increase – 1.03% • IG – 356 Posts – 105,945 Reach – Follower Increase – 1.13% • Twitter – 214 Posts – 9,773 Reach – Follower Increase – 1 % • LinkedIn – 80 Posts – 76,569 Reach – Follower Increase 1.15% } } { { { ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2526 27ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 BUILDING A WORKPLACE WHERE MISSION MEETS ACTION At OC San, delivering reliable service to our community starts with engaged, motivated employees. In the fall of 2024, we conducted our most successful Employee Engagement Survey to date, with over 350 staff members, more than half of our workforce — sharing their perspectives. The results reflect a team committed to our mission: 87 percent of employees said their work is meaningful, 85 percent see opportunities to grow, and 82 percent are satisfied with organizational communication. Staff also provided valuable feedback on areas for improvement, including recognition, two-way communication, and additional opportunities to connect. By listening and acting on this feedback, OC San continues to foster a workplace culture that empowers employees. When staff feel supported and valued, they bring their best to every task — ensuring the community benefits from high-quality, innovative, and reliable wastewater services every day. HUMAN RESOURCES STATISTICS Authorized FTE Employees664.5 Average Years of Service9 Average Age46 Diversity72.8% (Male)27.2% (Female) Bachelor’s Education59% Master’s or Higher21.9% Positions Requiring License/ Certification246 Retirements23 Retirements Years of Service (total)428 Retirements Years of Service (Average)19.5 New Hires48 ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2528 29ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 LOOKING AHEAD: INNOVATIVE SOLUTIONS FOR TOMORROW • Launch a customer service portal to enhance stakeholder access, account management, and service efficiency. • Implement a new funding process for small replacement and repair projects to increase transparency, efficiency, and budget control. • Identify and prioritize opportunities to apply Artificial Intelligence (AI) for optimizing administrative, operational, and treatment processes. • Conduct a fleet mobility study to right-size transportation vehicles and support clean air compliance. • Develop updated Fats, Oils, and Grease outreach and compliance materials for food service establishments within OC San service area. • Complete the Supercritical Water Oxidization six-month vendor demonstration of the project. • Initiate Phase One for the Biosolids Deep Well Injection Project. This project is a long-term solution for managing biosolids and disposing of biosolids. Phase One will focus on feasibility and the preliminary design. • Develop and conduct a comprehensive high flow exercise to evaluate the Emergency Operation Center performance, processes, and operational efficiency. • Develop a physical security master plan based on findings from past audits and surveys with a focus on mitigating risk, compliance with applicable regulations and standards, and enhancing security measures in OC San facilities and operations. • Develop and implement a wastewater laboratory and data science training curriculum to support wastewater operator certification. AWARDS 2025 • Santa Ana River Basin Section (SARBS) of the California Water Environment Association o Community Engagement & Outreach Photography Award — Gold o Community Engagement & Outreach: Project of the Year – Silver – Los Alamitos Construction Project o Operator of the Year — Shaun Siddiqui o Safety Plant of the Year for Plant No. 1 • WateReuse Award for Outreach and Education — Heritage Museum Partnership • California Water Environment Association o Community Engagement & Outreach Photography Award — First Place for Wastewater 101 2023 Photo o Community Engagement & Outreach Photography Award — Third Place for Wastewater 101 2024 Photo o Safety Plant of the Year for Plant No. 1 • Platinum Peak Performance Award for Plant Nos. 1 and 2 from the National Association of Clean Water Agencies • Certificate of Achievement for Excellence in Financial Reporting from the Government Finance Officers Association • Golden Hub Award in Environmental Sustainability & Energy Efficiency for OC San Headquarters from Association of California Cities- Orange County • Achievement of Excellence in Procurement Award from National Procurement Institute • Organizational Excellence Award for Employee Development Program from California Association of Sanitation Agencies ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-2528 29ORANGE COUNTY SANITATION DISTRICT | ANNUAL REPORT 2024-25 AWARDS 2024 • District Transparency Certificate of Excellence by the Special District Leadership Foundation • Excellence in Informational Technology Practices Award from the Municipal Information Systems Association of California • Design and Print Silver Award from the Davey Awards for CIP Annual Report • American Inhouse Design Award from Graphic Design USA for CIP Annual Report, Community Newsletter and Keep It Flowing Brochure • Corporate/Organization Transformation Award from the Institute of Asset Management North America • National Environmental Achievement Award from the National Association of Clean Water Agencies for OC San Connection Newsletter and Employee Development Program • American Graphic Design Award from Graphic Design USA for Open House Count Down and 70th Anniversary Campaign • Certificate of Excellence from DAC Bond for 20 years of reporting municipal bonds SD L F 714.962.2411  forinformation@ocsan.gov  www.ocsan.gov OC San Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 Reclamation Plant No. 1 10844 Ellis Avenue Fountain Valley, CA 92708 Reclamation Plant No. 2 22212 Brookhurst Street Huntington Beach, CA 92646 09/2025 BOARD OF DIRECTORS Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4039 Agenda Date:10/22/2025 Agenda Item No:5. FROM:Robert Thompson, 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 August 27, 2025 B. Minutes of the Operations Committee Meeting held September 3, 2025 C. Minutes of the Administration Committee Meeting held September 10, 2025 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 24-09 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 Printed on 10/14/2025Page 1 of 1 powered by Legistar™ Orange County Sanitation District Minutes for the STEERING COMMITTEE Wednesday, August 27, 2025 5:00 PM Huntington Beach Room Headquarters 18480 Bandilier Circle 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 Vice Chairman Jon Dumitru on Wednesday, August 27, 2025 at 5:00 p.m. in the Orange County Sanitation District Headquarters. ROLL CALL AND DECLARATION OF QUORUM: The Clerk of the Board declared a quorum present as follows: PRESENT:Jon Dumitru, Pat Burns, Glenn Grandis, Christine Marick, Chad Wanke and John Withers ABSENT:Ryan Gallagher STAFF PRESENT: Rob Thompson, General Manager; Lorenzo Tyner, Assistant General Manager; Jennifer Cabral, Director of Communications; Mike Dorman, Director of Engineering; Laura Maravilla, Director of Human Resources; Riaz Moinuddin, Director of Operations and Maintenance; Wally Ritchie, Director of Finance; Lan Wiborg, Director of Environmental Services; Kelly Lore, Clerk of the Board; Mortimer Caparas; Sam Choi; Raul Cuellar; Don Cutler; Thys De Vries; Martin Dix; Justin Fenton; John Fratalli; Al Garcia; Mark Kawamoto; Joe Manzella; Tom Meregillano; Rob Michaels; Tania Moore; John Powell; Thomas Vu; Kevin Work; Sammady Yi; and Ruth Zintzun were present in the Huntington Beach Room. OTHERS PRESENT: Scott Smith, General Counsel was present in the Huntington Beach Room. Danielle Dychter, Special Counsel, Michael Sullivan & Associates LLP was present telephonically. PUBLIC COMMENTS: None. REPORTS: Vice Chair Dumitru did not provide a report. General Manager Rob Thompson provided a brief report on the Miller Holder Easement Cleanup project, noting the bids received and stated that the contract would be presented to the Board for approval in October. Page 1 of 6 STEERING COMMITTEE Minutes August 27, 2025 CONSENT CALENDAR: 1.APPROVAL OF MINUTES 2025-4426 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve minutes of the Regular meeting of the Steering Committee held July 23, 2025. AYES:Jon Dumitru, Pat Burns, Glenn Grandis, Christine Marick, Chad Wanke and John Withers NOES:None ABSENT:Ryan Gallagher ABSTENTIONS:None NON-CONSENT: 2.BUDGET INCREASE FOR FISCAL YEAR 2024-25 2025-4433 Originator: Wally Ritchie Director of Finance Wally Ritchie provided a brief report on this item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Approve a budget increase of $20,000,000 for FY 2024-25, for a total budget as follows: FY 2024-25 Net Operating $232,674,493 Self-Insurance - Worker’s Comp.$1,124,029 Self-Insurance - Property & Gen. Liability $4,402,500 Net Capital Improvement Program $243,075,113 Debt/COP Service $61,027,421 Intra-District Joint Equity Purchase/Sale (1)$3,500,000 Total $545,803,556 (1)Cash to/from Revenue Area 14 (RA14) in exchange for capital assets to/from Consolidated Revenue Area 15 (RA15) AYES:Jon Dumitru, Pat Burns, Glenn Grandis, Christine Marick, Chad Wanke and John Withers NOES:None ABSENT:Ryan Gallagher ABSTENTIONS:None Page 2 of 6 STEERING COMMITTEE Minutes August 27, 2025 3.COMPENSATION AND BENEFITS FOR UNREPRESENTED EMPLOYEE GROUPS - CONFIDENTIAL EXEMPT AND NON-EXEMPT 2025-4449 Originator: Laura Maravilla Director of Human Resources Laura Maravilla provided a brief report on this item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Adopt Resolution No. OC SAN 25-10 titled, “A Resolution of the Board of Directors of the Orange County Sanitation District approving salary and benefit adjustments for unrepresented exempt Confidential Group employees for Fiscal Years 2025-2026, 2026-2027, and 2027-2028;” B. Adopt Resolution No. OC SAN 25-11 titled, “A Resolution of the Board of Directors of the Orange County Sanitation District approving salary and benefit adjustments for unrepresented non-exempt Confidential Group employees for Fiscal Years 2025-2026, 2026-2027, and 2027-2028.” AYES:Jon Dumitru, Pat Burns, Glenn Grandis, Christine Marick, Chad Wanke and John Withers NOES:None ABSENT:Ryan Gallagher ABSTENTIONS:None 4.COMPENSATION AND BENEFITS FOR UNREPRESENTED EMPLOYEE GROUPS - EXECUTIVE MANAGEMENT TEAM AND MANAGER GROUP 2025-4448 Originator: Laura Maravilla Ms. Laura Maravilla provided a brief report on this item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Adopt Resolution No. OC SAN 25-12 titled, “A Resolution of the Board of Directors of the Orange County Sanitation District approving salary and benefit adjustments for unrepresented Executive Management Team employees for Fiscal Years 2025-2026, 2026-2027, and 2027-2028;” B. Adopt Resolution No. OC SAN 25-13 titled, “A Resolution of the Board of Directors of the Orange County Sanitation District approving salary and benefit adjustments for unrepresented Manager Group employees for Fiscal Years 2025-2026, 2026-2027, and 2027-2028.” AYES:Jon Dumitru, Pat Burns, Glenn Grandis, Christine Marick, Chad Wanke and John Withers Page 3 of 6 STEERING COMMITTEE Minutes August 27, 2025 NOES:None ABSENT:Ryan Gallagher ABSTENTIONS:None 5.GENERAL MANAGER’S COMPENSATION AND BENEFITS 2025-4447 Originator: Laura Maravilla Ms. Laura Maravilla provided a brief report on this item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Adopt Resolution No. OC SAN 25-14 titled: “A Resolution of the Board of Directors of the Orange County Sanitation District approving salary and benefit adjustments for the General Manager for Fiscal Year 2025/2026.” The changes consist of a salary increase and corresponding salary range adjustment of 4.5%, effective in the first pay period of July 2025, and changes to a leave bank, 457(b) contribution and mileage reimbursement. AYES:Jon Dumitru, Pat Burns, Glenn Grandis, Christine Marick, Chad Wanke and John Withers NOES:None ABSENT:Ryan Gallagher ABSTENTIONS:None INFORMATION ITEMS: None. DEPARTMENT HEAD REPORTS: None. CLOSED SESSION: CONVENED IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTIONS 54956.9(d)(1), 54956.8 & 54956.9(D)(4). The Committee convened in closed session at 5:08 p.m. Item No. CS-1(B) 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 - GOVERNMENT CODE SECTION 54956.9(d)(1) 2025-4440 CONVENED IN CLOSED SESSION: Page 4 of 6 STEERING COMMITTEE Minutes August 27, 2025 Number of Cases: 2 A. Ddaze Phuong, Workers’ Compensation Claim, Workers Compensation Appeals Board, Case Nos. ADJ16015389 and ADJ18947693; and B. James Cabral, Workers’ Compensation Claim, Workers Compensation Appeals Board, Case Nos. ADJ20490382 and ADJ20620306. CS-2 CONFERENCE WITH REAL PROPERTY NEGOTIATORS - GOVERNMENT CODE SECTION 54956.8 2025-4439 CONVENED IN CLOSED SESSION: A.Property: 10700 Spencer Street, Fountain Valley, CA - APN No.156-154-07 and 156-163-16. Agency negotiators: General Manager Rob Thompson; Assistant General Manager Lorenzo Tyner; and Director of Finance Wally Ritchie. Negotiating parties: Shabtai Itzhak Tr Ins Tr Under negotiation: Price and Terms of payment B.Property: 18250 Euclid Street, Fountain Valley, CA - APN No.156-171-41. Agency negotiators: General Manager Rob Thompson; Assistant General Manager Lorenzo Tyner; and Director of Finance Wally Ritchie. Negotiating parties: Rexford Industrial Realty LP Under negotiation: Price and Terms of payment CS-3 CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(D)(4) 2025-4424 CONVENED IN CLOSED SESSION: Number of Potential Cases: 1. Initiation of litigation. RECONVENED IN REGULAR SESSION. The Committee reconvened in regular session at 5:57 p.m. CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED SESSION: General Counsel Scott Smith stated there was no reportable action. Page 5 of 6 STEERING COMMITTEE Minutes August 27, 2025 OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: None. ADJOURNMENT: Vice Chair Dumitru declared the meeting adjourned at 5:58 p.m. to the next Regular Steering Committee meeting to be held on Wednesday, September 24, 2025 at 5:00 p.m. Submitted by: __________________ Kelly A. Lore, MMC Clerk of the Board Page 6 of 6 Orange County Sanitation District Minutes for the OPERATIONS COMMITTEE Wednesday, September 3, 2025 5:00 PM Board Room Headquarters 18480 Bandilier Circle 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 Chairman Pat Burns on Wednesday, September 3, 2025 at 5:00 p.m. in the Orange County Sanitation District Headquarters. Vice Chair Bob Ooten led the Pledge of Allegiance. ROLL CALL AND DECLARATION OF QUORUM: Assistant Clerk of the Board Tania Moore declared a quorum present as follows: PRESENT:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Carlos Leon, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia ABSENT:Johnathan Ryan Hernandez STAFF PRESENT: Rob Thompson, General Manager; Lorenzo Tyner, Assistant General Manager; Jennifer Cabral, Director of Communications; Mike Dorman, Director of Engineering; Laura Maravilla, Director of Human Resources; Riaz Moinuddin, Director of Operations and Maintenance; Wally Ritchie, Director of Finance; Lan Wiborg, Director of Environmental Services; Tania Moore, Assistant Clerk of the Board; Daniel Berokoff; Jon Bradley; Jackie Castro; Shannon Chen; Sam Choi; Raul Cuellar; Don Cutler; Thys DeVries; Martin Dix; Charles Falzone; Justin Fenton; Al Garcia; David Haug; Mark Kawamoto; Tom Meregillano; Brad Moore; Kelly Newell; Nick Oswald; Giti Radvar; Aldwin Ramirez; Valerie Ratto; Thomas Vu; and Ruth Zintzun were present in the Board Room. OTHERS PRESENT: Mal Richardson, General Counsel, and Anni Larkins, Jacobs, were present in the Board Room. PUBLIC COMMENTS: None. REPORTS: Chair Burns and General Manager Rob Thompson did not provide reports. CONSENT CALENDAR: Page 1 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 1.APPROVAL OF MINUTES 2025-4428 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve minutes of the Regular meeting of the Operations Committee held July 2, 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None 2.ENGINEERING PROGRAM CONTRACT PERFORMANCE REPORTS 2025-4166 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Receive and file the Engineering Program Contract Performance Report for the period ending June 30, 2025. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None 3.DEWATERING CENTRIFUGE DIVERTER GATE IMPROVEMENTS AT PLANT NO. 1, PROJECT NO. FR1-0018 2025-4174 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Award a Construction Contract Agreement to Innovative Construction Solutions for Dewatering Centrifuge Diverter Gate Improvements at Plant No. 1, Project No. FR1-0018, for a total amount not to exceed $1,289,500; and B. Approve a contingency of $193,425 (15%). Page 2 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None 4.PROCUREMENT OF TWO SPARE RETURN SECONDARY SLUDGE PUMPS AT PLANT NO. 2 2025-4373 Originator: Riaz Moinuddin MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Sole Source Purchase Order to Flo-Systems, Inc. for the procurement of two spare Return Secondary Sludge pumps at Plant No. 2, for a total amount not to exceed $706,855, including applicable sales tax and freight; and B. Approve a contingency of $141,371 (20%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None 5.PROCUREMENT OF ONE SPARE DRIVE UNIT FOR PRIMARY CLARIFIERS F AND G AT PLANT NO. 2 2025-4436 Originator: Riaz Moinuddin MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a Sole Source Purchase Order to Ovivo USA, LLC, for the procurement of one Ovivo C60LT drive unit for Primary Clarifiers F and G at Plant No. 2, for a total amount not to exceed $147,933, plus applicable sales tax and freight; and B. Approve a contingency of $29,587 (20%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None 6.SOLE SOURCE PURCHASE OF FARO VANTAGE S6 MAX TRACKER 2025-4434 Page 3 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 Originator: Riaz Moinuddin MOVED, SECONDED, AND DULY CARRIED TO: A. Approve a Sole Source Purchase Order to FARO Technologies. Inc., to purchase a FARO Vantage S6 Max tracker for a total amount not to exceed $199,433, including sales tax and freight; and B. Approve a contingency of $9,972 (5%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None 7.MASTER REIMBURSEMENT AGREEMENT TO THE CITY OF SANTA ANA FOR MANHOLE FRAME AND COVER ADJUSTMENTS 2025-4435 Originator: Riaz Moinuddin MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve the Master Reimbursement Agreement with the City of Santa Ana for Orange County Sanitation District manhole frame and cover adjustments within Santa Ana’s Street Rehabilitation Projects, for a term of ten (10) years from the effective date, in a form approved by General Counsel, for a total not to exceed amount of $150,000; and B. Approve a contingency of $15,000 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None 8.QUARTERLY ODOR COMPLAINT REPORT 2025-4437 Originator: Riaz Moinuddin MOVED, SECONDED, AND DULY CARRIED TO: Receive and file the Fiscal Year 2024-25 Fourth Quarter Odor Complaint Report. Page 4 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None 9.CEQA SUPPORT SERVICES, PSA2025-004 2025-4441 Originator: Mike Dorman MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Approve a Professional Services Agreement with HDR Engineering, Inc. to provide California Environmental Quality Act (CEQA) Support Services, PSA2025-004, for a three-year period commencing October 1, 2025, through September 30, 2028, with two one-year renewal options, for annual amount not to exceed $300,000 and a total contract amount not to exceed $1,500,000. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None NON-CONSENT: 10.SOUTHERN CALIFORNIA EDISON GENERATOR INTERCONNECTION AGREEMENT FOR PLANT NO. 2 2025-4445 Originator: Riaz Moinuddin Director of Operations and Maintenance Riaz Moinuddin provided a verbal report of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Approve a Generator Interconnection Agreement with Southern California Edison Company for a period of twenty (20) years from the Effective Date. AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None Page 5 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 ABSENT:Johnathan Ryan Hernandez and Carlos Leon ABSTENTIONS:None Director Carlos A. Leon arrived at the meeting at 5:18 p.m. 11.COLLECTIONS YARD RELOCATION AND WAREHOUSE DEMOLITION AT PLANT NO. 2, PROJECT NO. P2-127 2025-4169 Originator: Mike Dorman Director of Engineering Mike Dorman introduced Engineering Manager Raul Cuellar, who provided a PowerPoint presentation on the collections yard relocation and warehouse demolition at Plant No. 2, Project No. P2–127. The presentation included an overview of the previous site plan, the current site plan upon completion, Warehouse A and fleet storage, the collections yard and new CNG filling station, up-to-date images of the existing warehouse demolition, provided more detailed information about the utility conflicts at the collections yard, contingency and significant changes, construction change order disputes, the status of the construction contract, and the final recommendation. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Approve a Final Change Order and a construction contingency increase of $546,890 (8.4%) to finalize all costs for the existing Construction Contract with Archico Design Build, Inc., for Collections Yard Relocation and Warehouse Demolition at Plant No. 2, Project No. P2-127, for a total contingency amount of $1,196,890 (18.4%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Carlos Leon, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez ABSTENTIONS:None 12.ENGINE AND GENERATOR OVERHAULS AT PLANT NOS. 1 AND 2 PHASE 2, CONTRACT NO. J-135C 2025-4168 Originator: Mike Dorman Mr. Dorman introduced Engineering Supervisor Valerie Ratto, who provided a PowerPoint presentation on the Engine and Generator Overhauls at Plant No. 1 and 2, Phase 2, Contract No. J-135C, which included background information on the facility, a project overview, the engine overhaul process, details about the engine blocks, generator rewinding, negotiations, and the recommendation. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Page 6 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 A. Approve a project budget increase of $2,500,000 for Central Generation Engine Overhauls at Plant Nos. 1 and 2, Project No. J-135, for a new total budget of $74,700,000; B. Award a Sole Source Service Contract to Cooper Machinery Services LLC for Engine and Generator Overhauls at Plant Nos. 1 and 2, Phase 2, Contract No. J-135C, as part of Central Generation Engine Overhauls at Plant Nos. 1 and 2, Project No. J-135, for a total amount not to exceed $28,642,770; and C. Approve a contingency of $2,864,277 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Carlos Leon, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez ABSTENTIONS:None 13.CHEMICAL SYSTEMS REHABILITATION AT PLANT NO. 2, PROJECT NO. P2-135 2025-4171 Originator: Mike Dorman Mr. Dorman introduced Engineering Supervisor Charles Falzone, who provided a PowerPoint presentation on the Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135. The presentation included a project overview of the sodium bisulfite station, the anionic polymer station, bid results and recommendation. The presentation included a project overview of the sodium bisulfite station and the anionic polymer station, as well as bid results and the recommendation. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Receive and file Bid Tabulation and Recommendation for Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135; B. Award a Construction Contract Agreement to Innovative Construction Solutions for Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135, for a total amount not to exceed $4,439,500; and C. Approve a contingency of $443,950 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Carlos Leon, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez Page 7 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 ABSTENTIONS:None 14.CHEMICAL SYSTEMS REHABILITATION AT PLANT NO. 2, PROJECT NO. P2-135 2025-4172 Originator: Mike Dorman Mr. Falzone continued his presentation on Project No. P2-135, Chemical Systems Rehabilitation at Plant No. 2 regarding the award of the professional construction services agreement. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a project budget increase of $430,000 for Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135, for a new total budget of $9,860,000; B. Approve a Professional Construction Services Agreement with Lee & Ro, Inc. to provide construction support services for Chemical Systems Rehabilitation at Plant No. 2, Project No. P2-135, for a total amount not to exceed $812,061; and C. Approve a contingency of $81,206 (10%). AYES:Joyce Ahn, Debbie Baker, Pat Burns, Doug Chaffee, Jon Dumitru, Ryan Gallagher, Stephanie Klopfenstein, Lisa Landau, Carlos Leon, Tom Lindsey, Scott Minikus, Robert Ooten and Jamie Valencia NOES:None ABSENT:Johnathan Ryan Hernandez ABSTENTIONS:None INFORMATION ITEMS: 15.ORANGE COUNTY SANITATION DISTRICT ENVIRONMENTAL SERVICES DEPARTMENT UPDATE 2025-4456 Originator: Lan Wiborg Director of Environmental Services Lan Wiborg delivered a PowerPoint presentation introducing the Environmental Services Department Division, highlighting its mission and key functions. The presentation covered the department's core responsibilities in administration and regulatory oversight, environmental compliance and ocean monitoring, resource protection, and the environmental laboratory. She also provided an overview of the Orange County circular water cycle, source control, progressive enforcement, wastehauler station, industrial wastewater and inspections, sewershed sampling, dry weather urban runoff diversion, interagency emergency response, heavy metals in final effluent, pretreatment honor roll, environmental compliance, air quality compliance and testing, biosolids management, stormwater audits, ocean monitoring, environmental laboratory, the daily treatment process control, the outfall rehabilitation Page 8 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 project, contaminant source investigation, compounds of emerging concerns, and regulatory compliance tracking. ITEM RECEIVED AS AN: Information Item. DEPARTMENT HEAD REPORTS: None. CLOSED SESSION: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: Director Tom Lindsey referenced Item Nos. 4 and 5, and asked General Manager Thompson how staff determines which spare parts to keep on hand. Mr. Thompson advised that staff takes into consideration the criticality of the piece of equipment, the lead time to obtain the item, how long of an outage the system can handle, and the commonality of the part. Vice Chair Ooten asked Mr. Thompson if the influent flow trend was decreasing. Mr. Thompson advised that it has fluctuated, but he believes it has leveled out and that conservation equals population growth. He also advised that we are seeing an increase in solids, which will continue to grow. Chair Burns inquired about the Deep-Well Injection and Super Critical Water Oxidization (SCWO) equipment needs and implementation timeframe. Mr. Thompson advised that Deep-Well Injection could change Plant No. 1 solids treatment centrifuge use, which is high cost, high turnover, and hard on equipment. This will cause the need to adjust centrifuge usage. Truck loading would decrease, reducing the need for spare parts. Mr. Thompson provided an implementation timeline of 4 to 6 years minimum and advised that we are scheduled to receive SCWO equipment this month. BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: None. ADJOURNMENT: Chair Burns declared the meeting adjourned at 5:58 p.m. to the next Regular Operations Committee meeting to be held on Wednesday, October 1, 2025 at 5:00 p.m. Page 9 of 10 OPERATIONS COMMITTEE Minutes September 3, 2025 Submitted by: _____________________ Tania Moore, CMC Assistant Clerk of the Board Page 10 of 10 Orange County Sanitation District Minutes for the ADMINISTRATION COMMITTEE Wednesday, September 10, 2025 5:00 PM Board Room Headquarters 18480 Bandilier Circle 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 Chairwoman Christine Marick on Wednesday, September 10, 2025 at 5:04 p.m. in the Orange County Sanitation District Headquarters. Director John Withers led the Pledge of Allegiance. ROLL CALL AND DECLARATION OF QUORUM: Assistant Clerk of the Board Jackie Castro declared a quorum present as follows: PRESENT:Jon Dumitru, Christine Marick, Jose Medrano, Jordan Nefulda, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) ABSENT:Ryan Gallagher and Glenn Grandis STAFF PRESENT: Rob Thompson, General Manager; Lorenzo Tyner, Assistant General Manager; Jennifer Cabral, Director of Communications; Mike Dorman, Director of Engineering; Laura Maravilla, Director of Human Resources; Riaz Moinuddin, Director of Operations and Maintenance; Wally Ritchie, Director of Finance; Lan Wiborg, Director of Environmental Services; Jackie Castro, Assistant Clerk of the Board; Mortimer Caparas; Belen Carrillo; Sam Choi; Daisy Covarrubias; Thys DeVries; Al Garcia; Mark Kawamoto; Rebecca Long; Tom Meregillano; Rob Michaels; Tania Moore; Don Stokes; Thomas Vu; Kevin Work; Sammady Yi; and Ruth Zintzun were present in the Board Room. OTHERS PRESENT: Scott Smith, General Counsel, and Cori Takkinen, Townsend Public Affairs, were present in the Board Room. Darren Hodge, PFM Financial Advisors, was present telephonically. PUBLIC COMMENTS: None. Ms. Castro announced that Late Communication was received after the publication of the agenda, for Item No. 9. The final version of the attachments were distributed to the Committee and made available to the public. REPORTS: Chair Marick and General Manager Rob Thompson did not provide reports. Page 1 of 8 ADMINISTRATION COMMITTEE Minutes September 10, 2025 CONSENT CALENDAR: 1.APPROVAL OF MINUTES 2025-4429 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Approve minutes of the Regular meeting of the Administration Committee held July 9, 2025. AYES:Jon Dumitru, Christine Marick, Jose Medrano, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher, Glenn Grandis and Jordan Nefulda ABSTENTIONS:None 2.REIMBURSEMENTS TO BOARD MEMBERS AND STAFF 2025-4372 Originator: Wally Ritchie MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Receive and file report of reimbursements to Board Members and Staff per Government Code Section 53065.5 for the period July 1, 2024 through June 30, 2025. AYES:Jon Dumitru, Christine Marick, Jose Medrano, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher, Glenn Grandis and Jordan Nefulda ABSTENTIONS:None 3.PLANT NO. 2 INDUSTRIAL CONTROL SYSTEM INDUSTRIAL ETHERNET SWITCH NETWORK REFRESH 2025-4454 Originator: Wally Ritchie MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Page 2 of 8 ADMINISTRATION COMMITTEE Minutes September 10, 2025 A. Approve a Purchase Order Contract to World Wide Technology, LLC for the purchase of Network Infrastructure Hardware for the Plant No. 2 Industrial Control System Industrial Ethernet Switch Network Refresh utilizing the OMNIA Cooperative Purchasing Agreement, Contract No. R210407, for a total amount not to exceed $224,939 (Includes Sales Tax); and B. Approve a contingency in the amount of $22,494 (10%). AYES:Jon Dumitru, Christine Marick, Jose Medrano, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher, Glenn Grandis and Jordan Nefulda ABSTENTIONS:None 4.FLEET VEHICLE REPLACEMENT PURCHASES 2025-4467 Originator: Lorenzo Tyner MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve the purchase of replacement vehicles and electric utility carts for Orange County Sanitation District’s fleet as initially approved in the adopted Fiscal Year 2025-26 Budget in the amount of $1,487,300; and B. Delegate to the General Manager and Purchasing Manager the authority to purchase replacement vehicles and carts during the fiscal year in the not to exceed amount listed above, utilizing the method of procurement determined by the General Manager to be in the best interest of OC San, to include cooperative contract, competitive solicitation, or sole source. AYES:Jon Dumitru, Christine Marick, Jose Medrano, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher, Glenn Grandis and Jordan Nefulda ABSTENTIONS:None NON-CONSENT: 5.COOPERATIVE PROCUREMENT WITH CARRIER GLOBAL CORPORATION FOR HVAC MAINTENANCE SERVICES 2025-4473 Originator: Lorenzo Tyner Page 3 of 8 ADMINISTRATION COMMITTEE Minutes September 10, 2025 Assistant General Manager Lorenzo Tyner provided a brief verbal presentation of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Blanket Purchase Order with Carrier Global Corporation for HVAC Maintenance and Repair services at Orange County Sanitation District facilities in an amount not to exceed $1,400,000, utilizing the Sourcewell Cooperative Master Agreement No. 080824-CAR for the period October 1, 2025, through September 30, 2026, with three (3) one-year renewal options; and B. Approve a contingency in the amount of $140,000 (10%). AYES:Jon Dumitru, Christine Marick, Jose Medrano, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher, Glenn Grandis and Jordan Nefulda ABSTENTIONS:None Director Jordan Nefulda arrived at the meeting at 5:09 p.m. 6.PUBLIC AFFAIRS UPDATE FOR THE MONTHS OF JULY AND AUGUST 2025 2025-4469 Originator: Jennifer Cabral Director of Communications Jennifer Cabral introduced Public Affairs Supervisor Daisy Covarrubias, who provided a Public Affairs Update PowerPoint presentation. The presentation included an overview of the public affairs program, employee engagement and education, branding and construction outreach, social media, and upcoming events. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Receive and file the Public Affairs Update for the months of July and August 2025. AYES:Jon Dumitru, Christine Marick, Jose Medrano, Jordan Nefulda, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher and Glenn Grandis ABSTENTIONS:None Page 4 of 8 ADMINISTRATION COMMITTEE Minutes September 10, 2025 7.LEGISLATIVE AFFAIRS UPDATE FOR THE MONTHS OF JULY AND AUGUST 2025 2025-4472 Originator: Jennifer Cabral Ms. Cabral introduced Townsend Public Affairs Vice President and Chief Executive Officer Cori Takkinen, who provided a State Legislative Update PowerPoint presentation. The presentation included an overview of the 2025 State Legislative Session, Cap and Trade advocacy, SB 682 (Allen), SB 454 (McNerney), the video retention reform, and announced this year's State of OC San speaker, State Water Resources Control Board Chair E. Joaquin Esquivel. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Receive and file the Legislative Affairs Update for the months of July and August 2025. AYES:Jon Dumitru, Christine Marick, Jose Medrano, Jordan Nefulda, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher and Glenn Grandis ABSTENTIONS:None 8.WASTEWATER REFUNDING REVENUE OBLIGATIONS, SERIES 2025A 2025-4263 Originator: Wally Ritchie Director of Finance Wally Ritchie introduced Finance Manager Ruth Zintzun who provided a verbal report of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Page 5 of 8 ADMINISTRATION COMMITTEE Minutes September 10, 2025 A. Adopt Resolution No. OC SAN 25-XX titled: “A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the execution and delivery by the District of an Installment Purchase Agreement, a Trust Agreement, a Purchase Agreement, a Continuing Disclosure Agreement and an Escrow Agreement in connection with the Orange County Sanitation District Wastewater Refunding Revenue Obligations, Series 2025A, authorizing the execution and delivery of such Revenue Obligations evidencing principal in an aggregate amount of not to exceed $120,000,000, approving a Notice of Intention to Sell, authorizing the distribution of an Official Notice Inviting Bids and an Official Statement in connection with the offering and sale of such Revenue Obligations and authorizing the execution of necessary documents and related actions”; and B. That the Orange County Sanitation District Financing Corporation approve the documents supporting and authorizing the Revenue Obligations in an aggregate amount not to exceed $120,000,000. AYES:Jon Dumitru, Christine Marick, Jose Medrano, Jordan Nefulda, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher and Glenn Grandis ABSTENTIONS:None 9.RELINQUISHMENT AND DISPOSITION PROCEDURES FOR VACATION AND SALE OF EXCESS EASEMENTS INTERESTS 2025-4457 Originator: Lorenzo Tyner Mr. Tyner provided a verbal report of the item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Adopt Resolution No. OC SAN 25-XX titled, “A Resolution of the Board of Directors of Orange County Sanitation District Permitting the Establishment of Relinquishment and Disposition Procedures for Vacation and Sale of Excess Easement Interests.” AYES:Jon Dumitru, Christine Marick, Jose Medrano, Jordan Nefulda, Andrew Nguyen, David Shawver, Chad Wanke, Erik Weigand, John Withers, Jordan Wu and Kathleen Treseder (Alternate) NOES:None ABSENT:Ryan Gallagher and Glenn Grandis ABSTENTIONS:None Page 6 of 8 ADMINISTRATION COMMITTEE Minutes September 10, 2025 INFORMATION ITEMS: 10.ORANGE COUNTY SANITATION DISTRICT ENVIRONMENTAL SERVICES DEPARTMENT UPDATE 2025-4481 Originator: Lan Wiborg Director of Environmental Services Lan Wiborg delivered a PowerPoint presentation introducing the Environmental Services Department Division, highlighting its mission and key functions. The presentation covered the department's core responsibilities in administration and regulatory oversight, environmental compliance and ocean monitoring, resource protection, and the environmental laboratory. She also provided an overview of the Orange County circular water cycle, source control, progressive enforcement, wastehauler station, industrial wastewater and inspections, sewershed sampling, dry weather urban runoff diversion, interagency emergency response, heavy metals in final effluent, pretreatment honor roll, environmental compliance, air quality compliance and testing, biosolids management, stormwater audits, ocean monitoring, environmental laboratory, the daily treatment process control, the outfall rehabilitation project, contaminant source investigation, compounds of emerging concerns, and regulatory compliance tracking. 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 Marick declared the meeting adjourned at 5:51 p.m. to the next Regular Administration Committee meeting to be held on Wednesday, October 8, 2025 at 5:00 p.m. Page 7 of 8 ADMINISTRATION COMMITTEE Minutes September 10, 2025 Submitted by: _____________________ Jackie Castro, CMC Assistant Clerk of the Board Page 8 of 8 BOARD OF DIRECTORS Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4057 Agenda Date:10/22/2025 Agenda Item No:6. FROM:Robert Thompson, General Manager Originator: Wally Ritchie, Director of Finance SUBJECT: REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF SEPTEMBER 2025 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the following: Report of the Investment Transactions for the month of September 2025. 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 September 30, 2025. 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 - September 2025 Orange County Sanitation District Printed on 10/14/2025Page 1 of 1 powered by Legistar™ Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System Account Beginning Cash Principal Cash: - 24,327,904.52 Income Cash: 24,327,904.52 Total Cash: - 02-Sep- 25 02-Sep-25 93114EW 29 I 310 INTEREST EARNED ON WALMART INC C P 9/02/25 $1 PV ON 850000.0000 SHARES DUE 9/2/2025 850,000 PAR VALUE AT 100 % -----507.64 ---SEI 02-Sep- 25 02-Sep-25 912797QM 2 I 310 INTEREST EARNED ON U S TREASURY BILL 9/02/25 $1 PV ON 4350000.0000 SHARES DUE 9/2/2025 4,350,000 PAR VALUE AT 100 % -----6,134.95 ---SEI 02-Sep- 25 02-Sep-25 6698M4W 24 I 310 INTEREST EARNED ON NOVARTIS FIN CORP DISC C P 9/02/25 $1 PV ON 700000.0000 SHARES DUE 9/2/2025 700,000 PAR VALUE AT 100 % -----586.64 ---SEI 02-Sep- 25 02-Sep-25 2546R2W 28 I 310 INTEREST EARNED ON DISNEY WALT CO NEW DISC C P 9/02/25 $1 PV ON 2300000.0000 SHARES DUE 9/2/2025 2,300,000 PAR VALUE AT 100 % -----18,620.42 ---SEI 02-Sep- 25 02-Sep-25 912797QM 2 I 310 INTEREST EARNED ON U S TREASURY BILL 9/02/25 $1 PV ON 15650000.0000 SHARES DUE 9/2/2025 15,650,000 PAR VALUE AT 100 % -----64,972.45 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 1 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 02-Sep- 25 02-Sep-25 14912DW 21 I 310 INTEREST EARNED ON CATERPILLAR FINL SVCS C P 9/02/25 $1 PV ON 2000000.0000 SHARES DUE 9/2/2025 2,000,000 PAR VALUE AT 100 % -----3,120.00 ---SEI 02-Sep- 25 02-Sep-25 912797QM 2 I 310 INTEREST EARNED ON U S TREASURY BILL 9/02/25 $1 PV ON 11525000.0000 SHARES DUE 9/2/2025 11,525,000 PAR VALUE AT 100 % -----5,407.79 ---SEI 02-Sep- 25 02-Sep-25 59157TW 25 I 310 INTEREST EARNED ON METLIFE SHORT TERM FDG C P 9/02/25 $1 PV ON 3050000.0000 SHARES DUE 9/2/2025 3,050,000 PAR VALUE AT 100 % -----46,758.00 ---SEI 02-Sep- 25 02-Sep-25 31331KXF 2 I 310 INTEREST EARNED ON F F C B DEB 3.410% 9/02/25 $1 PV ON 3454000.0000 SHARES DUE 9/2/2025 -----58,890.70 ---SEI 02-Sep- 25 02-Sep-25 3133EPCF 0 I 310 INTEREST EARNED ON F F C B DEB 4.500% 3/02/26 $1 PV ON 1900000.0000 SHARES DUE 9/2/2025 -----42,750.00 ---SEI 02-Sep- 25 02-Sep-25 74153 WCM9 I 310 INTEREST EARNED ON PRICOA GLOBAL MTN 0.800% 9/01/25 $1 PV ON 1000000.0000 SHARES DUE 9/1/2025 INTEREST ON 9/2/25 MATURITY -----4,000.00 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 2 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 02-Sep- 25 02-Sep-25 P 210 CASH DISBURSEMENT PAID TO ORANGE COUNTY SANITATION DISTRICT OUTGOING DOMESTIC WIRE TRANSFER FROM LIQUID OPERATING PORTFOLIO ------ 45,000,000.00 ---SEI 02-Sep- 25 02-Sep-25 912797RQ 2 I 310 INTEREST EARNED ON U S TREASURY BILL 11/25/25 $1 PV ON 100000.0000 SHARES DUE 9/2/2025 100,000 PAR VALUE AT 99.06363 % -----444.23 ---SEI 02-Sep- 25 02-Sep-25 31846V567 FGZXX I 310 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 8/31/2025 INTEREST FROM 8/1/25 TO 8/31/25 -----75.41 ---SEI 02-Sep- 25 01-Sep- 25 01-Sep-25 74153 WCM9 P 20 MATURED PAR VALUE OF PRICOA GLOBAL MTN 0.800% 9/01/25 1,000,000 PAR VALUE AT 100 % - 1,000,000.000 0 100.0 000 ---1,000,000.00 -992,680.00 7,320.00 -SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 912797QM 2 P 20 MATURED PAR VALUE OF U S TREASURY BILL 9/02/25 15,650,000 PAR VALUE AT 100 % - 15,650,000.00 00 100.0 000 ---15,585,027.55 - 15,585,027.5 5 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 31331KXF 2 P 20 MATURED PAR VALUE OF F F C B DEB 3.410% 9/02/25 3,454,000 PAR VALUE AT 100 % - 3,454,000.000 0 100.0 000 ---3,454,000.00 - 3,447,126.54 6,873.46 -SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 2546R2W 28 P 20 MATURED PAR VALUE OF DISNEY WALT CO NEW DISC C P 9/02/25 2,300,000 PAR VALUE AT 100 % - 2,300,000.000 0 100.0 000 ---2,281,379.58 - 2,281,379.58 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 3 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 02-Sep- 25 02-Sep- 25 02-Sep-25 912797QM 2 P 20 MATURED PAR VALUE OF U S TREASURY BILL 9/02/25 11,525,000 PAR VALUE AT 100 % - 11,525,000.00 00 100.0 000 ---11,519,592.21 - 11,519,592.2 1 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 59157TW 25 P 20 MATURED PAR VALUE OF METLIFE SHORT TERM FDG C P 9/02/25 3,050,000 PAR VALUE AT 100 % - 3,050,000.000 0 100.0 000 ---3,003,242.00 - 3,003,242.00 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 93114EW 29 P 20 MATURED PAR VALUE OF WALMART INC C P 9/02/25 850,000 PAR VALUE AT 100 % -850,000.0000 100.0 000 ---849,492.36 -849,492.36 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 14912DW 21 P 20 MATURED PAR VALUE OF CATERPILLAR FINL SVCS C P 9/02/25 2,000,000 PAR VALUE AT 100 % - 2,000,000.000 0 100.0 000 ---1,996,880.00 - 1,996,880.00 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 912797QM 2 P 20 MATURED PAR VALUE OF U S TREASURY BILL 9/02/25 4,350,000 PAR VALUE AT 100 % - 4,350,000.000 0 100.0 000 ---4,343,865.05 - 4,343,865.05 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 6698M4W 24 P 20 MATURED PAR VALUE OF NOVARTIS FIN CORP DISC C P 9/02/25 700,000 PAR VALUE AT 100 % -700,000.0000 100.0 000 ---699,413.36 -699,413.36 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 44,980,640.70 00 ----- 44,980,640.70 44,980,640.7 0 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 44,896,936.37 00 ----44,896,936.37 - 44,896,936.3 7 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 4 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 02-Sep- 25 02-Sep- 25 02-Sep-25 912797RQ 2 P 20 SOLD PAR VALUE OF U S TREASURY BILL 11/25/25 /CITIGROUP GLOBAL MARKETS INC./100,000 PAR VALUE AT 99.06363 % -100,000.0000 99.06 36 ---98,619.40 -98,619.40 --SEI Post Date 02-Sep-25 Total ---75.41 - 44,733,613.7 2 14,193.46 -SEI 03-Sep- 25 03-Sep-25 3130ALJ39 I 310 INTEREST EARNED ON F H L B DEB 0.900% 3/03/26 $1 PV ON 1000000.0000 SHARES DUE 9/3/2025 -----4,500.00 ---SEI 03-Sep- 25 03-Sep-25 3130B4VJ 7 I 310 INTEREST EARNED ON F H L B DEB 4.330% 9/03/25 $1 PV ON 1000000.0000 SHARES DUE 9/3/2025 -----11,100.56 ---SEI 03-Sep- 25 03-Sep-25 3134 GWXK7 I 300 PAID ACCRUED INTEREST ON PURCHASE OF F H L M C M T N 0.550% 9/30/25 ------2,571.25 ---SEI 03-Sep- 25 03-Sep- 25 03-Sep-25 3130B4VJ 7 P 20 MATURED PAR VALUE OF F H L B DEB 4.330% 9/03/25 1,000,000 PAR VALUE AT 100 % - 1,000,000.000 0 100.0 000 ---1,000,000.00 -999,949.90 50.10 -SEI 03-Sep- 25 03-Sep- 25 03-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 1,004,575.410 0 -----1,004,575.41 1,004,575.41 --SEI 03-Sep- 25 03-Sep- 25 03-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 1,088,500.690 0 ----1,088,500.69 - 1,088,500.69 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 5 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 03-Sep- 25 03-Sep- 25 03-Sep-25 3134 GWXK7 P 10 PURCHASED PAR VALUE OF F H L M C M T N 0.550% 9/30/25 /NMRIUS33 NOMURA SECS INTL NY/1,100,000 PAR VALUE AT 99.73 % 1,100,000.000 0 99.73 00 ----1,097,030.00 1,097,030.00 --SEI Post Date 03-Sep-25 Total ----75.41 13,154.82 50.10 -SEI 04-Sep- 25 04-Sep-25 3134 GWXK7 I 300 PAID ACCRUED INTEREST ON PURCHASE OF F H L M C M T N 0.550% 9/30/25 ------588.19 ---SEI 04-Sep- 25 04-Sep-25 3130AK5E 2 I 310 INTEREST EARNED ON F H L B DEB 0.375% 9/04/25 $1 PV ON 250000.0000 SHARES DUE 9/4/2025 -----468.75 ---SEI 04-Sep- 25 03-Sep- 25 04-Sep-25 3134 GWXK7 P 10 PURCHASED PAR VALUE OF F H L M C M T N 0.550% 9/30/25 /NMRIUS33 NOMURA SECS INTL NY/250,000 PAR VALUE AT 99.73 % 250,000.0000 99.73 00 ----249,325.00 249,325.00 --SEI 04-Sep- 25 04-Sep- 25 04-Sep-25 3130AK5E 2 P 20 MATURED PAR VALUE OF F H L B DEB 0.375% 9/04/25 250,000 PAR VALUE AT 100 % -250,000.0000 100.0 000 ---250,000.00 -242,750.00 7,250.00 -SEI 04-Sep- 25 04-Sep- 25 04-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 555.5600 -----555.56 555.56 --SEI Post Date 04-Sep-25 Total ----7,130.56 7,250.00 -SEI 08-Sep- 25 08-Sep-25 3130AXZ 50 I 310 INTEREST EARNED ON FEDERAL HOME LOAN 0.00001% 12/08/25 $1 PV ON 100000.0000 SHARES DUE 9/8/2025 -----1,147.00 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 6 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 08-Sep- 25 08-Sep-25 24422EXC 8 I 310 INTEREST EARNED ON JOHN DEERE MTN 5.300% 9/08/25 $1 PV ON 385000.0000 SHARES DUE 9/8/2025 INTEREST ON MATURITY 9/8/25 -----10,202.50 ---SEI 08-Sep- 25 08-Sep- 25 08-Sep-25 24422EXC 8 P 20 MATURED PAR VALUE OF JOHN DEERE MTN 5.300% 9/08/25 385,000 PAR VALUE AT 100 % -385,000.0000 100.0 000 ---385,000.00 -385,558.25 -558.25 -SEI 08-Sep- 25 08-Sep- 25 08-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 385,000.0000 -----385,000.00 385,000.00 --SEI 08-Sep- 25 08-Sep- 25 08-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -413,550.8600 ----413,550.86 -413,550.86 --SEI 08-Sep- 25 08-Sep- 25 08-Sep-25 313385LN 4 P 10 PURCHASED PAR VALUE OF F H L B DISC NTS 9/10/25 /NMRIUS33 NOMURA SECS INTL NY/425,000 PAR VALUE AT 99.97655529 % 425,000.0000 99.97 66 ----424,900.36 424,900.36 --SEI Post Date 08-Sep-25 Total ----10,791.25 -558.25 -SEI 10-Sep- 25 10-Sep-25 313385LN 4 I 310 INTEREST EARNED ON F H L B DISC NTS 9/10/25 $1 PV ON 425000.0000 SHARES DUE 9/10/2025 425,000 PAR VALUE AT 100 % -----99.64 ---SEI 10-Sep- 25 10-Sep-25 3130B5FP 8 I 310 INTEREST EARNED ON F H L B DEB 4.320% 9/10/25 $1 PV ON 1000000.0000 SHARES DUE 9/10/2025 -----11,095.56 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 7 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 10-Sep- 25 10-Sep- 25 10-Sep-25 3130B5FP 8 P 20 MATURED PAR VALUE OF F H L B DEB 4.320% 9/10/25 1,000,000 PAR VALUE AT 100 % - 1,000,000.000 0 100.0 000 ---1,000,000.00 -999,635.30 364.70 -SEI 10-Sep- 25 10-Sep- 25 10-Sep-25 313385LN 4 P 20 MATURED PAR VALUE OF F H L B DISC NTS 9/10/25 425,000 PAR VALUE AT 100 % -425,000.0000 100.0 000 ---424,900.36 -424,900.36 --SEI 10-Sep- 25 10-Sep- 25 10-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 1,425,000.000 0 -----1,425,000.00 1,425,000.00 --SEI 10-Sep- 25 10-Sep- 25 10-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 1,388,741.110 0 ----1,388,741.11 - 1,388,741.11 --SEI 10-Sep- 25 10-Sep- 25 10-Sep-25 313589LP6 P 10 PURCHASED PAR VALUE OF F N M A DISC NT 9/11/25 /J.P. MORGAN SECURITIES LLC/1,400,000 PAR VALUE AT 99.98833357 % 1,400,000.000 0 99.98 83 ----1,399,836.67 1,399,836.67 --SEI Post Date 10-Sep-25 Total ----11,559.90 364.70 -SEI 11-Sep- 25 11-Sep-25 313589LP6 I 310 INTEREST EARNED ON F N M A DISC NT 9/11/25 $1 PV ON 1400000.0000 SHARES DUE 9/11/2025 1,400,000 PAR VALUE AT 100 % -----163.33 ---SEI 11-Sep- 25 08-Sep- 25 11-Sep-25 912797QY 6 121125 P 10 PURCHASED PAR VALUE OF U S TREASURY BILL 12/11/25 /RBS SECURITIES INC./1,445,000 PAR VALUE AT 99.00670934 % 1,445,000.000 0 99.00 67 ----1,430,646.95 1,430,646.95 --SEI 11-Sep- 25 11-Sep- 25 11-Sep-25 313589LP6 P 20 MATURED PAR VALUE OF F N M A DISC NT 9/11/25 1,400,000 PAR VALUE AT 100 % - 1,400,000.000 0 100.0 000 ---1,399,836.67 - 1,399,836.67 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 8 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 11-Sep- 25 11-Sep- 25 11-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -30,646.9500 ----30,646.95 -30,646.95 --SEI Post Date 11-Sep-25 Total ----163.33 --SEI 12-Sep- 25 12-Sep-25 89236TKK 0 I 300 PAID ACCRUED INTEREST ON PURCHASE OF TOYOTA MTR CR MTN 5.400% 11/10/25 ------18,300.00 ---SEI 12-Sep- 25 12-Sep-25 3130B5JP 4 I 310 INTEREST EARNED ON F H L B DEB 4.315% 9/12/25 $1 PV ON 1000000.0000 SHARES DUE 9/12/2025 -----11,088.61 ---SEI 12-Sep- 25 12-Sep-25 912797RQ 2 I 310 INTEREST EARNED ON U S TREASURY BILL 11/25/25 $1 PV ON 25000.0000 SHARES DUE 9/12/2025 25,000 PAR VALUE AT 99.2048 % -----146.35 ---SEI 12-Sep- 25 11-Sep- 25 12-Sep-25 89236TKK 0 P 10 PURCHASED PAR VALUE OF TOYOTA MTR CR MTN 5.400% 11/10/25 /GOLDMAN SACHS & CO. LLC/1,000,000 PAR VALUE AT 100.176 % 1,000,000.000 0 100.1 760 ----1,001,760.00 1,001,760.00 --SEI 12-Sep- 25 12-Sep- 25 12-Sep-25 3130B5JP 4 P 20 MATURED PAR VALUE OF F H L B DEB 4.315% 9/12/25 1,000,000 PAR VALUE AT 100 % - 1,000,000.000 0 100.0 000 ---1,000,000.00 -999,854.30 145.70 -SEI 12-Sep- 25 12-Sep- 25 12-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -8,480.8600 ----8,480.86 -8,480.86 --SEI 12-Sep- 25 12-Sep- 25 12-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 24,310.6700 -----24,310.67 24,310.67 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 9 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 12-Sep- 25 12-Sep- 25 12-Sep-25 912797RQ 2 P 20 SOLD PAR VALUE OF U S TREASURY BILL 11/25/25 /RBC CAPITAL MARKETS, LLC/25,000 PAR VALUE AT 99.2048 % -25,000.0000 99.20 48 ---24,654.85 -24,654.85 --SEI Post Date 12-Sep-25 Total -----6,919.34 145.70 -SEI 15-Sep- 25 15-Sep-25 437076CR 1 I 310 INTEREST EARNED ON HOME DEPOT INC 4.000% 9/15/25 $1 PV ON 2000000.0000 SHARES DUE 9/15/2025 -----40,000.00 ---SEI 15-Sep- 25 15-Sep-25 3130AV6J 6 I 310 INTEREST EARNED ON F H L B DEB 4.500% 3/13/26 $1 PV ON 1810000.0000 SHARES DUE 9/13/2025 -----40,725.00 ---SEI 15-Sep- 25 15-Sep-25 3130AUU 36 I 310 INTEREST EARNED ON F H L B DEB 4.125% 3/13/26 $1 PV ON 500000.0000 SHARES DUE 9/13/2025 -----10,312.50 ---SEI 15-Sep- 25 15-Sep-25 3130B5JQ 2 I 310 INTEREST EARNED ON F H L B DEB 4.305% 9/15/25 $1 PV ON 2000000.0000 SHARES DUE 9/15/2025 -----22,195.00 ---SEI 15-Sep- 25 15-Sep-25 3134 GWVN3 I 300 PAID ACCRUED INTEREST ON PURCHASE OF F H L M C 0.600% 9/30/25 ------8,415.00 ---SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 437076CR 1 P 20 MATURED PAR VALUE OF HOME DEPOT INC 4.000% 9/15/25 2,000,000 PAR VALUE AT 100 % - 2,000,000.000 0 100.0 000 ---2,000,000.00 - 1,995,040.00 4,960.00 -SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 4,091,037.500 0 -----4,091,037.50 4,091,037.50 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 10 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 15-Sep- 25 15-Sep- 25 15-Sep-25 3130B5JQ 2 P 20 MATURED PAR VALUE OF F H L B DEB 4.305% 9/15/25 2,000,000 PAR VALUE AT 100 % - 2,000,000.000 0 100.0 000 ---2,000,000.00 - 1,999,739.36 260.64 -SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 4,041,478.240 0 ----4,041,478.24 - 4,041,478.24 --SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 313385LU 8 P 10 PURCHASED PAR VALUE OF F H L B DISC NTS 9/16/25 /MORGAN STANLEY & CO. LLC/1,000,000 PAR VALUE AT 99.98819 % 1,000,000.000 0 99.98 82 ----999,881.90 999,881.90 --SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 3134 GWVN3 P 10 PURCHASED PAR VALUE OF F H L M C 0.600% 9/30/25 /PNCCUS31CMG PNC U.S./3,060,000 PAR VALUE AT 99.8489 % 3,060,000.000 0 99.84 89 ----3,055,376.34 3,055,376.34 --SEI Post Date 15-Sep-25 Total ----110,038.14 5,220.64 -SEI 16-Sep- 25 16-Sep-25 313385LU 8 I 310 INTEREST EARNED ON F H L B DISC NTS 9/16/25 $1 PV ON 1000000.0000 SHARES DUE 9/16/2025 1,000,000 PAR VALUE AT 100 % -----118.10 ---SEI 16-Sep- 25 16-Sep-25 3133ERGC 9 FFC4926 I 300 PAID ACCRUED INTEREST ON PURCHASE OF F F C B DEB 4.42739% 6/03/26 ------1,138.38 ---SEI 16-Sep- 25 16-Sep- 25 16-Sep-25 313385LU 8 P 20 MATURED PAR VALUE OF F H L B DISC NTS 9/16/25 1,000,000 PAR VALUE AT 100 % - 1,000,000.000 0 100.0 000 ---999,881.90 -999,881.90 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 11 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 16-Sep- 25 16-Sep- 25 16-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 1,000,000.000 0 -----1,000,000.00 1,000,000.00 --SEI 16-Sep- 25 16-Sep- 25 16-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -701,337.1800 ----701,337.18 -701,337.18 --SEI 16-Sep- 25 16-Sep- 25 16-Sep-25 3133ERGC 9 FFC4926 P 10 PURCHASED PAR VALUE OF F F C B DEB 4.42739% 6/03/26 /WELLS FARGO SECURITIES, LLC/XXXX 700,000 PAR VALUE AT 100.0284 % 700,000.0000 100.0 284 ----700,198.80 700,198.80 --SEI Post Date 16-Sep-25 Total -----1,020.28 --SEI 17-Sep- 25 17-Sep-25 3135G07G 2 I 300 PAID ACCRUED INTEREST ON PURCHASE OF F N M A 5.430% 6/18/26 ------18,679.61 ---SEI 17-Sep- 25 17-Sep-25 19121AWH 0 I 310 INTEREST EARNED ON COCA COLA CO C P 9/17/25 $1 PV ON 5400000.0000 SHARES DUE 9/17/2025 5,400,000 PAR VALUE AT 100 % -----18,792.00 ---SEI 17-Sep- 25 17-Sep-25 3130B5JR 0 I 310 INTEREST EARNED ON F H L B DEB 4.305% 9/17/25 $1 PV ON 2000000.0000 SHARES DUE 9/17/2025 -----22,213.89 ---SEI 17-Sep- 25 16-Sep- 25 17-Sep-25 3135G07G 2 P 10 PURCHASED PAR VALUE OF F N M A 5.430% 6/18/26 /WELLS FARGO SECURITIES, LLC/XXXX 1,660,000 PAR VALUE AT 100.0297 % 1,660,000.000 0 100.0 297 ----1,660,493.02 1,660,493.02 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 12 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 17-Sep- 25 16-Sep- 25 17-Sep-25 76116EHF 0 P 10 PURCHASED PAR VALUE OF RESOLUTION FDG STRIP 4/15/26 /STONEX FINANCIAL INC./3,000,000 PAR VALUE AT 97.790147 % 3,000,000.000 0 97.79 01 ----2,933,704.40 2,933,704.40 --SEI 17-Sep- 25 17-Sep- 25 17-Sep-25 19121AWH 0 P 20 MATURED PAR VALUE OF COCA COLA CO C P 9/17/25 5,400,000 PAR VALUE AT 100 % - 5,400,000.000 0 100.0 000 ---5,381,208.00 - 5,381,208.00 --SEI 17-Sep- 25 17-Sep- 25 17-Sep-25 3130B5JR 0 P 20 MATURED PAR VALUE OF F H L B DEB 4.305% 9/17/25 2,000,000 PAR VALUE AT 100 % - 2,000,000.000 0 100.0 000 ---2,000,000.00 - 1,999,710.70 289.30 -SEI 17-Sep- 25 17-Sep- 25 17-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 5,720,827.370 0 -----5,720,827.37 5,720,827.37 --SEI 17-Sep- 25 17-Sep- 25 17-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 6,061,112.510 0 ----6,061,112.51 - 6,061,112.51 --SEI 17-Sep- 25 17-Sep- 25 17-Sep-25 14912DWJ 4 P 10 PURCHASED PAR VALUE OF CATERPILLAR FINL SVCS C P 9/18/25 /J.P. MORGAN SECURITIES LLC/XOTC 3,150,000 PAR VALUE AT 99.988 % 3,150,000.000 0 99.98 80 ----3,149,622.00 3,149,622.00 --SEI Post Date 17-Sep-25 Total ----22,615.58 289.30 -SEI 18-Sep- 25 18-Sep-25 3134 GWWT9 I 300 PAID ACCRUED INTEREST ON PURCHASE OF F H L M C M T N 0.550% 9/30/25 ------3,375.17 ---SEI 18-Sep- 25 18-Sep-25 3136G43L 5 I 300 PAID ACCRUED INTEREST ON PURCHASE OF F N M A 0.550% 9/30/25 ------898.33 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 13 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 18-Sep- 25 18-Sep-25 14912DWJ 4 I 310 INTEREST EARNED ON CATERPILLAR FINL SVCS C P 9/18/25 $1 PV ON 3150000.0000 SHARES DUE 9/18/2025 3,150,000 PAR VALUE AT 100 % -----378.00 ---SEI 18-Sep- 25 18-Sep-25 459058JJ3 IBM5125 I 310 INTEREST EARNED ON INTL BK M T N 5.13099% 9/18/25 $1 PV ON 2282000.0000 SHARES DUE 9/18/2025 -----27,269.90 ---SEI 18-Sep- 25 18-Sep-25 3135G07G 2 I 310 INTEREST EARNED ON F N M A 5.430% 6/18/26 $1 PV ON 1660000.0000 SHARES DUE 9/18/2025 -----18,892.18 ---SEI 18-Sep- 25 18-Sep-25 459058JJ3 IBM5125 I 310 INTEREST EARNED ON INTL BK M T N 5.13099% 9/18/25 $1 PV ON 1500000.0000 SHARES DUE 9/18/2025 -----17,925.00 ---SEI 18-Sep- 25 18-Sep-25 3133ERHG 9 FFC4426V I 300 PAID ACCRUED INTEREST ON PURCHASE OF F F C B DEB 4.46522% 9/14/26 ------1,017.28 ---SEI 18-Sep- 25 17-Sep- 25 18-Sep-25 3134 GWWT9 P 10 PURCHASED PAR VALUE OF F H L M C M T N 0.550% 9/30/25 /MIZUHO SECURITIES USA INC./1,315,000 PAR VALUE AT 99.882 % 1,315,000.000 0 99.88 20 ----1,313,448.30 1,313,448.30 --SEI 18-Sep- 25 17-Sep- 25 18-Sep-25 3136G43L 5 P 10 PURCHASED PAR VALUE OF F N M A 0.550% 9/30/25 /MIZUHO SECURITIES USA INC./350,000 PAR VALUE AT 99.8821 % 350,000.0000 99.88 21 ----349,587.35 349,587.35 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 14 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 18-Sep- 25 17-Sep- 25 18-Sep-25 3133ERHG 9 FFC4426V P 10 PURCHASED PAR VALUE OF F F C B DEB 4.46522% 9/14/26 /MORGAN STANLEY & CO. LLC/2,010,000 PAR VALUE AT 100.083 % 2,010,000.000 0 100.0 830 ----2,011,668.30 2,011,668.30 --SEI 18-Sep- 25 18-Sep- 25 18-Sep-25 14912DWJ 4 P 20 MATURED PAR VALUE OF CATERPILLAR FINL SVCS C P 9/18/25 3,150,000 PAR VALUE AT 100 % - 3,150,000.000 0 100.0 000 ---3,149,622.00 - 3,149,622.00 --SEI 18-Sep- 25 18-Sep- 25 18-Sep-25 459058JJ3 IBM5125 P 20 MATURED PAR VALUE OF INTL BK M T N 5.13099% 9/18/25 2,282,000 PAR VALUE AT 100 % - 2,282,000.000 0 100.0 000 ---2,282,000.00 - 2,285,810.38 -3,810.38 -SEI 18-Sep- 25 18-Sep- 25 18-Sep-25 459058JJ3 IBM5125 P 20 MATURED PAR VALUE OF INTL BK M T N 5.13099% 9/18/25 1,500,000 PAR VALUE AT 100 % - 1,500,000.000 0 100.0 000 ---1,500,000.00 - 1,502,085.00 -2,085.00 -SEI 18-Sep- 25 18-Sep- 25 18-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 5,264,690.850 0 -----5,264,690.85 5,264,690.85 --SEI 18-Sep- 25 18-Sep- 25 18-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 5,198,231.970 0 ----5,198,231.97 - 5,198,231.97 --SEI 18-Sep- 25 18-Sep- 25 18-Sep-25 93114EWK 9 P 10 PURCHASED PAR VALUE OF WALMART INC DISC COML C P 9/19/25 /J.P. MORGAN SECURITIES LLC/3,250,000 PAR VALUE AT 99.98872215 % 3,250,000.000 0 99.98 87 ----3,249,633.47 3,249,633.47 --SEI Post Date 18-Sep-25 Total ----53,278.92 -5,895.38 -SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 15 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 19-Sep- 25 19-Sep-25 93114EWK 9 I 310 INTEREST EARNED ON WALMART INC DISC COML C P 9/19/25 $1 PV ON 3250000.0000 SHARES DUE 9/19/2025 3,250,000 PAR VALUE AT 100 % -----366.53 ---SEI 19-Sep- 25 18-Sep- 25 19-Sep-25 912797SF 5 P 10 PURCHASED PAR VALUE OF U S TREASURY BILL 1/13/26 /WELLS FARGO SECURITIES, LLC/3,300,000 PAR VALUE AT 98.76959394 % 3,300,000.000 0 98.76 96 ----3,259,396.60 3,259,396.60 --SEI 19-Sep- 25 19-Sep- 25 19-Sep-25 93114EWK 9 P 20 MATURED PAR VALUE OF WALMART INC DISC COML C P 9/19/25 3,250,000 PAR VALUE AT 100 % - 3,250,000.000 0 100.0 000 ---3,249,633.47 - 3,249,633.47 --SEI 19-Sep- 25 19-Sep- 25 19-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -9,396.6000 ----9,396.60 -9,396.60 --SEI Post Date 19-Sep-25 Total ----366.53 --SEI 22-Sep- 25 22-Sep-25 20030NCS 8 I 310 INTEREST EARNED ON COMCAST CORP 3.950% 10/15/25 $1 PV ON 2745000.0000 SHARES DUE 9/22/2025 9/22 FULL CALL INT -----47,286.44 ---SEI 22-Sep- 25 22-Sep- 25 22-Sep-25 20030NCS 8 P 20 FULL CALL PAR VALUE OF COMCAST CORP 3.950% 10/15/25 /CALLS/ - 2,745,000.000 0 100.0 000 ---2,745,000.00 - 2,739,722.13 5,277.87 -SEI 22-Sep- 25 22-Sep- 25 22-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,745,000.000 0 -----2,745,000.00 2,745,000.00 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 16 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 22-Sep- 25 22-Sep- 25 22-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 47,286.4400 -----47,286.44 47,286.44 --SEI Post Date 22-Sep-25 Total ----52,564.31 5,277.87 -SEI 23-Sep- 25 23-Sep-25 3137EAEX 3 I 310 INTEREST EARNED ON F H L M C M T N 0.375% 9/23/25 $1 PV ON 3500000.0000 SHARES DUE 9/23/2025 -----6,562.50 ---SEI 23-Sep- 25 23-Sep-25 3130B5C 71 I 310 INTEREST EARNED ON F H L B DEB 4.315% 9/23/25 $1 PV ON 1000000.0000 SHARES DUE 9/23/2025 -----11,122.50 ---SEI 23-Sep- 25 23-Sep-25 3136G45C 3 I 300 PAID ACCRUED INTEREST ON PURCHASE OF F N M A 0.540% 10/27/25 ------6,789.00 ---SEI 23-Sep- 25 22-Sep- 25 23-Sep-25 14912 DWW5 P 10 PURCHASED PAR VALUE OF CATERPILLAR FINL SVCS C P 9/30/25 /WELLS FARGO SECURITIES, LLC/4,250,000 PAR VALUE AT 99.92008329 % 4,250,000.000 0 99.92 01 ----4,246,603.54 4,246,603.54 --SEI 23-Sep- 25 23-Sep- 25 23-Sep-25 3137EAEX 3 P 20 MATURED PAR VALUE OF F H L M C M T N 0.375% 9/23/25 3,500,000 PAR VALUE AT 100 % - 3,500,000.000 0 100.0 000 ---3,500,000.00 - 3,479,420.00 20,580.00 -SEI 23-Sep- 25 23-Sep- 25 23-Sep-25 3130B5C 71 P 20 MATURED PAR VALUE OF F H L B DEB 4.315% 9/23/25 1,000,000 PAR VALUE AT 100 % - 1,000,000.000 0 100.0 000 ---1,000,000.00 -999,867.00 133.00 -SEI 23-Sep- 25 23-Sep- 25 23-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 259,958.9600 -----259,958.96 259,958.96 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 17 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 23-Sep- 25 23-Sep- 25 23-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 3,085,405.500 0 ----3,085,405.50 - 3,085,405.50 --SEI 23-Sep- 25 23-Sep- 25 23-Sep-25 3136G45C 3 P 10 PURCHASED PAR VALUE OF F N M A 0.540% 10/27/25 /STONEX FINANCIAL INC./3,100,000 PAR VALUE AT 99.669 % 3,100,000.000 0 99.66 90 ----3,089,739.00 3,089,739.00 --SEI Post Date 23-Sep-25 Total ----31,609.00 20,713.00 -SEI 24-Sep- 25 24-Sep-25 3134 GWUG9 I 310 INTEREST EARNED ON F H L M C M T N 0.570% 9/24/25 $1 PV ON 1600000.0000 SHARES DUE 9/24/2025 -----4,560.00 ---SEI 24-Sep- 25 24-Sep-25 3133ERHS 3 FFC5426L I 310 INTEREST EARNED ON F F C B DEB 4.4237% 3/24/26 $1 PV ON 805000.0000 SHARES DUE 9/24/2025 -----9,100.53 ---SEI 24-Sep- 25 24-Sep- 25 24-Sep-25 3134 GWUG9 P 20 MATURED PAR VALUE OF F H L M C M T N 0.570% 9/24/25 1,600,000 PAR VALUE AT 100 % - 1,600,000.000 0 100.0 000 ---1,600,000.00 - 1,583,568.00 16,432.00 -SEI 24-Sep- 25 24-Sep- 25 24-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 1,613,660.530 0 -----1,613,660.53 1,613,660.53 --SEI Post Date 24-Sep-25 Total ----30,092.53 16,432.00 -SEI 25-Sep- 25 25-Sep-25 3133 EPWW1 FFC5425R I 310 INTEREST EARNED ON F F C B DEB 4.47326% 9/25/25 $1 PV ON 375000.0000 SHARES DUE 9/25/2025 -----4,310.83 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 18 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 25-Sep- 25 25-Sep-25 6698M4 WR9 I 310 INTEREST EARNED ON NOVARTIS FIN CORP DISC C P 9/25/25 $1 PV ON 2500000.0000 SHARES DUE 9/25/2025 2,500,000 PAR VALUE AT 100 % -----8,979.17 ---SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 6698M4 WR9 P 20 MATURED PAR VALUE OF NOVARTIS FIN CORP DISC C P 9/25/25 2,500,000 PAR VALUE AT 100 % - 2,500,000.000 0 100.0 000 ---2,491,020.83 - 2,491,020.83 --SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 2,879,310.830 0 -----2,879,310.83 2,879,310.83 --SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 3133 EPWW1 FFC5425R P 20 MATURED PAR VALUE OF F F C B DEB 4.47326% 9/25/25 375,000 PAR VALUE AT 100 % -375,000.0000 100.0 000 ---375,000.00 -375,330.00 -330.00 -SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 4,539,448.470 0 ----4,539,448.47 - 4,539,448.47 --SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 912797QW 0 P 10 PURCHASED PAR VALUE OF U S TREASURY BILL 9/30/25 /IRVTUS3N BK OF NEW YORK/1,050,000 PAR VALUE AT 99.94416667 % 1,050,000.000 0 99.94 42 ----1,049,413.75 1,049,413.75 --SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 93114EXL 6 P 10 PURCHASED PAR VALUE OF WALMART INC C P 10/20/25 /BARCLAYS CAPITAL INC. FIXED IN/XOTC 3,500,000 PAR VALUE AT 99.71527771 % 3,500,000.000 0 99.71 53 ----3,490,034.72 3,490,034.72 --SEI Post Date 25-Sep-25 Total ----12,960.00 -330.00 -SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 19 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 29-Sep- 25 29-Sep-25 59157TWV 1 I 310 INTEREST EARNED ON METLIFE SHORT TERM FDG C P 9/29/25 $1 PV ON 1000000.0000 SHARES DUE 9/29/2025 1,000,000 PAR VALUE AT 100 % -----7,336.94 ---SEI 29-Sep- 25 29-Sep- 25 29-Sep-25 59157TWV 1 P 20 MATURED PAR VALUE OF METLIFE SHORT TERM FDG C P 9/29/25 1,000,000 PAR VALUE AT 100 % - 1,000,000.000 0 100.0 000 ---992,663.06 -992,663.06 --SEI 29-Sep- 25 29-Sep- 25 29-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 1,000,000.000 0 -----1,000,000.00 1,000,000.00 --SEI Post Date 29-Sep-25 Total ----7,336.94 --SEI 30-Sep- 25 30-Sep-25 912797QY 6 121125 I 310 INTEREST EARNED ON U S TREASURY BILL 12/11/25 $1 PV ON 1445000.0000 SHARES DUE 9/29/2025 1,445,000 PAR VALUE AT 99.22770035 % -----3,193.32 ---SEI 30-Sep- 25 30-Sep-25 912797RQ 2 I 310 INTEREST EARNED ON U S TREASURY BILL 11/25/25 $1 PV ON 1550000.0000 SHARES DUE 9/29/2025 1,550,000 PAR VALUE AT 99.37925548 % -----11,777.76 ---SEI 30-Sep- 25 30-Sep-25 912797SF 5 I 310 INTEREST EARNED ON U S TREASURY BILL 1/13/26 $1 PV ON 700000.0000 SHARES DUE 9/29/2025 700,000 PAR VALUE AT 98.88452143 % -----804.49 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 20 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 30-Sep- 25 30-Sep-25 30229 AWW5 I 310 INTEREST EARNED ON EXXON MOBIL CORP DISC C P 9/30/25 $1 PV ON 5400000.0000 SHARES DUE 9/30/2025 5,400,000 PAR VALUE AT 100 % -----26,838.00 ---SEI 30-Sep- 25 30-Sep-25 14912 DWW5 I 310 INTEREST EARNED ON CATERPILLAR FINL SVCS C P 9/30/25 $1 PV ON 4250000.0000 SHARES DUE 9/30/2025 4,250,000 PAR VALUE AT 100 % -----3,396.46 ---SEI 30-Sep- 25 30-Sep-25 912797QW 0 I 310 INTEREST EARNED ON U S TREASURY BILL 9/30/25 $1 PV ON 20600000.0000 SHARES DUE 9/30/2025 20,600,000 PAR VALUE AT 100 % -----117,056.26 ---SEI 30-Sep- 25 30-Sep-25 912797QW 0 I 310 INTEREST EARNED ON U S TREASURY BILL 9/30/25 $1 PV ON 1050000.0000 SHARES DUE 9/30/2025 1,050,000 PAR VALUE AT 100 % -----586.25 ---SEI 30-Sep- 25 30-Sep-25 3136G43L 5 I 310 INTEREST EARNED ON F N M A 0.550% 9/30/25 $1 PV ON 350000.0000 SHARES DUE 9/30/2025 -----962.50 ---SEI 30-Sep- 25 30-Sep-25 3134 GWXK7 I 310 INTEREST EARNED ON F H L M C M T N 0.550% 9/30/25 $1 PV ON 1350000.0000 SHARES DUE 9/30/2025 -----3,712.50 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 21 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 30-Sep- 25 30-Sep-25 3134GWW 77 I 310 INTEREST EARNED ON FEDERAL HOME LN MTG 0.450% 9/30/25 $1 PV ON 2935000.0000 SHARES DUE 9/30/2025 -----6,603.75 ---SEI 30-Sep- 25 30-Sep-25 3134 GWVN3 I 310 INTEREST EARNED ON F H L M C 0.600% 9/30/25 $1 PV ON 3060000.0000 SHARES DUE 9/30/2025 -----9,180.00 ---SEI 30-Sep- 25 30-Sep-25 3134 GWWT9 I 310 INTEREST EARNED ON F H L M C M T N 0.550% 9/30/25 $1 PV ON 1315000.0000 SHARES DUE 9/30/2025 -----3,616.25 ---SEI 30-Sep- 25 30-Sep-25 P 210 CASH DISBURSEMENT PAID TO ORANGE COUNTY SANITATION DISTRICT OUTGOING DOMESTIC WIRE TRANSFER FROM LIQUID OPERATING PORTFOLIO ------ 45,000,000.00 ---SEI 30-Sep- 25 30-Sep-25 912797SF 5 I 310 INTEREST EARNED ON U S TREASURY BILL 1/13/26 $1 PV ON 50000.0000 SHARES DUE 9/30/2025 50,000 PAR VALUE AT 98.88364 % -----57.02 ---SEI 30-Sep- 25 29-Sep- 25 30-Sep-25 912797RQ 2 P 20 SOLD PAR VALUE OF U S TREASURY BILL 11/25/25 /J.P. MORGAN SECURITIES LLC/1,550,000 PAR VALUE AT 99.37925548 % - 1,550,000.000 0 99.37 93 ---1,528,600.70 - 1,528,600.70 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 22 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 30-Sep- 25 29-Sep- 25 30-Sep-25 912797QY 6 121125 P 20 SOLD PAR VALUE OF U S TREASURY BILL 12/11/25 /J.P. MORGAN SECURITIES LLC/1,445,000 PAR VALUE AT 99.22770035 % - 1,445,000.000 0 99.22 77 ---1,430,646.95 - 1,430,646.95 --SEI 30-Sep- 25 29-Sep- 25 30-Sep-25 912797SF 5 P 20 SOLD PAR VALUE OF U S TREASURY BILL 1/13/26 /J.P. MORGAN SECURITIES LLC/700,000 PAR VALUE AT 98.88452143 % -700,000.0000 98.88 45 ---691,387.16 -691,387.16 --SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 3134GWW 77 P 20 MATURED PAR VALUE OF FEDERAL HOME LN MTG 0.450% 9/30/25 2,935,000 PAR VALUE AT 100 % - 2,935,000.000 0 100.0 000 ---2,935,000.00 - 2,913,339.70 21,660.30 -SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 3136G43L 5 P 20 MATURED PAR VALUE OF F N M A 0.550% 9/30/25 350,000 PAR VALUE AT 100 % -350,000.0000 100.0 000 ---350,000.00 -349,587.35 412.65 -SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 3134 GWXK7 P 20 MATURED PAR VALUE OF F H L M C M T N 0.550% 9/30/25 1,350,000 PAR VALUE AT 100 % - 1,350,000.000 0 100.0 000 ---1,350,000.00 - 1,346,355.00 3,645.00 -SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 30229 AWW5 P 20 MATURED PAR VALUE OF EXXON MOBIL CORP DISC C P 9/30/25 5,400,000 PAR VALUE AT 100 % - 5,400,000.000 0 100.0 000 ---5,373,162.00 - 5,373,162.00 --SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 3134 GWVN3 P 20 MATURED PAR VALUE OF F H L M C 0.600% 9/30/25 3,060,000 PAR VALUE AT 100 % - 3,060,000.000 0 100.0 000 ---3,060,000.00 - 3,055,376.34 4,623.66 -SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 23 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046600 OCSD LIQUID OPERATING PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 30-Sep- 25 30-Sep- 25 30-Sep-25 14912 DWW5 P 20 MATURED PAR VALUE OF CATERPILLAR FINL SVCS C P 9/30/25 4,250,000 PAR VALUE AT 100 % - 4,250,000.000 0 100.0 000 ---4,246,603.54 - 4,246,603.54 --SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 912797QW 0 P 20 MATURED PAR VALUE OF U S TREASURY BILL 9/30/25 1,050,000 PAR VALUE AT 100 % - 1,050,000.000 0 100.0 000 ---1,049,413.75 - 1,049,413.75 --SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 3134 GWWT9 P 20 MATURED PAR VALUE OF F H L M C M T N 0.550% 9/30/25 1,315,000 PAR VALUE AT 100 % - 1,315,000.000 0 100.0 000 ---1,315,000.00 - 1,313,448.30 1,551.70 -SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 912797QW 0 P 20 MATURED PAR VALUE OF U S TREASURY BILL 9/30/25 20,600,000 PAR VALUE AT 100 % - 20,600,000.00 00 100.0 000 ---20,482,943.74 - 20,482,943.7 4 --SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 44,000,485.38 00 ----- 44,000,485.38 44,000,485.3 8 --SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 44,950,558.18 00 ----44,950,558.18 - 44,950,558.1 8 --SEI 30-Sep- 25 30-Sep- 25 30-Sep-25 912797SF 5 P 20 SOLD PAR VALUE OF U S TREASURY BILL 1/13/26 /BMO-CHICAGO BRANCH/50,000 PAR VALUE AT 98.88364 % -50,000.0000 98.88 36 ---49,384.80 -49,384.80 --SEI Post Date 30-Sep-25 Total ----- 44,780,322.1 3 31,893.31 -SEI Account 6745046600 Total ----- 89,158,213.6 6 95,046.45 -SEI Account Ending Cash Principal Cash: - 25,074,644.41 Income Cash: 25,074,644.41 Total Cash: - TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 24 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System Account Beginning Cash Principal Cash: - 104,921,466.38 Income Cash: 104,921,466.38 Total Cash: - 02-Sep- 25 02-Sep-25 91282CAE 1 I 300 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 0.625% 8/15/30 ------4,127.04 ---SEI 02-Sep- 25 02-Sep-25 91282CFJ 5 I 310 INTEREST EARNED ON U S TREASURY NT 3.125% 8/31/29 $1 PV ON 27475000.0000 SHARES DUE 8/31/2025 -----429,296.88 ---SEI 02-Sep- 25 02-Sep-25 91282CKD 2 I 310 INTEREST EARNED ON U S TREASURY NT 4.250% 2/28/29 $1 PV ON 3300000.0000 SHARES DUE 8/31/2025 -----70,125.00 ---SEI 02-Sep- 25 02-Sep-25 31846V567 FGZXX I 310 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 8/31/2025 INTEREST FROM 8/1/25 TO 8/31/25 -----25,034.87 ---SEI 02-Sep- 25 29-Aug- 25 02-Sep-25 91282CAE 1 P 10 PURCHASED PAR VALUE OF U S TREASURY NT 0.625% 8/15/30 /GOLDMAN SACHS & CO. LLC/13,500,000 PAR VALUE AT 86.1875 % 13,500,000.00 00 86.18 75 ---- 11,635,312.50 11,635,312.5 0 --SEI 02-Sep- 25 02-Sep- 25 02-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z - 11,140,017.66 00 ----11,140,017.66 - 11,140,017.6 6 --SEI Post Date 02-Sep-25 Total ---25,034.87 495,294.84 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 25 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 03-Sep- 25 03-Sep- 25 03-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 25,034.8700 -----25,034.87 25,034.87 --SEI Post Date 03-Sep-25 Total ----25,034.87 25,034.87 --SEI 05-Sep- 25 05-Sep-25 91282CHR 5 I 300 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 4.000% 7/31/30 ------32,576.08 ---SEI 05-Sep- 25 05-Sep-25 91282CEN 7 UST2727A I 301 RECEIVED ACCRUED INTEREST ON SALE OF U S TREASURY NT 2.750% 4/30/27 -----74,130.43 ---SEI 05-Sep- 25 05-Sep-25 3133ER5D 9 I 310 INTEREST EARNED ON F F C B DEB 4.490% 3/05/29 $1 PV ON 12975000.0000 SHARES DUE 9/5/2025 -----291,288.75 ---SEI 05-Sep- 25 05-Sep-25 06051GHG 7 I 310 INTEREST EARNED ON BANK OF AMERICA MTN 3.970% 3/05/29 $1 PV ON 4500000.0000 SHARES DUE 9/5/2025 -----89,325.00 ---SEI 05-Sep- 25 03-Sep- 25 05-Sep-25 91282CHR 5 P 10 PURCHASED PAR VALUE OF U S TREASURY NT 4.000% 7/31/30 /RBS SECURITIES INC./8,325,000 PAR VALUE AT 101.33203123 % 8,325,000.000 0 101.3 320 ----8,435,891.60 8,435,891.60 --SEI 05-Sep- 25 04-Sep- 25 05-Sep-25 91282CEN 7 UST2727A P 20 SOLD PAR VALUE OF U S TREASURY NT 2.750% 4/30/27 /CITIGROUP GLOBAL MARKETS INC./7,750,000 PAR VALUE AT 98.55435252 % - 7,750,000.000 0 98.55 44 ---7,637,962.32 - 7,585,302.73 -52,659.5 9 SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 26 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 05-Sep- 25 05-Sep- 25 05-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -375,761.1800 ----375,761.18 -375,761.18 --SEI Post Date 05-Sep-25 Total ----474,827.69 -52,659.5 9 SEI 09-Sep- 25 09-Sep-25 91282 CHW4 I 300 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 4.125% 8/31/30 ------3,076.66 ---SEI 09-Sep- 25 09-Sep-25 927804GH 1 I 301 RECEIVED ACCRUED INTEREST ON SALE OF VIRGINIA ELEC PWR CO 3.750% 5/15/27 -----68,103.13 ---SEI 09-Sep- 25 08-Sep- 25 09-Sep-25 91282 CHW4 P 10 PURCHASED PAR VALUE OF U S TREASURY NT 4.125% 8/31/30 /J.P. MORGAN SECURITIES LLC/3,000,000 PAR VALUE AT 102.42221 % 3,000,000.000 0 102.4 222 ----3,072,666.30 3,072,666.30 --SEI 09-Sep- 25 08-Sep- 25 09-Sep-25 31358DDR 2 P 10 PURCHASED PAR VALUE OF F N M A STRIP 5/15/30 /NMRIUS33 NOMURA SECS INTL NY/3,000,000 PAR VALUE AT 84.095512 % 3,000,000.000 0 84.09 55 ----2,522,865.36 2,522,865.36 --SEI 09-Sep- 25 08-Sep- 25 09-Sep-25 927804GH 1 P 20 SOLD PAR VALUE OF VIRGINIA ELEC PWR CO 3.750% 5/15/27 /WELLS FARGO SECURITIES, LLC/5,735,000 PAR VALUE AT 99.749 % - 5,735,000.000 0 99.74 90 ---5,720,605.15 - 5,736,523.40 -- 15,918.2 5 SEI 09-Sep- 25 09-Sep- 25 09-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 190,099.9600 -----190,099.96 190,099.96 --SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 27 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System Post Date 09-Sep-25 Total ----49,108.22 -- 15,918.2 5 SEI 15-Sep- 25 15-Sep-25 02582JKM 1 AE44529 I 310 INTEREST EARNED ON AMERICAN EXP 4.560% 12/17/29 $1 PV ON 40416.8000 SHARES DUE 9/15/2025 $0.00380/PV ON 10,636,000.00 PV DUE 9/15/25 -----40,416.80 ---SEI 15-Sep- 25 15-Sep-25 12674BAB 1 CE44328 I 310 INTEREST EARNED ON CNH EQUIPMENT 4.300% 8/15/28 $1 PV ON 14526.5200 SHARES DUE 9/15/2025 $0.00358/PV ON 4,053,913.00 PV DUE 9/15/25 -----14,526.52 ---SEI 15-Sep- 25 15-Sep-25 161571HV 9 I 310 INTEREST EARNED ON CHASE ISSUE TR 4.600% 1/16/29 $1 PV ON 30820.0000 SHARES DUE 9/15/2025 $0.00383/PV ON 8,040,000.00 PV DUE 9/15/25 -----30,820.00 ---SEI 15-Sep- 25 15-Sep-25 14043KAK 1 I 310 INTEREST EARNED ON CAPITAL ONE PRIME 4.760% 8/15/28 $1 PV ON 20785.3400 SHARES DUE 9/15/2025 $0.00397/PV ON 5,240,000.00 PV DUE 9/15/25 -----20,785.34 ---SEI 15-Sep- 25 15-Sep-25 3133TCE 95 FHL3032 I 310 INTEREST EARNED ON F H L M C MLTCL MT 4.554% 8/15/32 $1 PV ON 5.0300 SHARES DUE 9/15/2025 $0.00380/PV ON 1,325.50 PV DUE 9/15/25 -----5.03 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 28 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 15-Sep- 25 15-Sep-25 44935CAD 3 I 310 INTEREST EARNED ON HYUNDAI AUTO RECV TR 4.790% 10/15/29 $1 PV ON 15231.6000 SHARES DUE 9/15/2025 $0.00360/PV ON 4,231,000.00 PV DUE 9/15/25 -----15,231.60 ---SEI 15-Sep- 25 15-Sep-25 34528QHV 9 I 310 INTEREST EARNED ON FORD CR FLP MASTER 0.00001% 5/15/28 $1 PV ON 36900.0000 SHARES DUE 9/15/2025 $0.00410/PV ON 9,000,000.00 PV DUE 9/15/25 -----36,900.00 ---SEI 15-Sep- 25 15-Sep-25 31348SWZ 3 786064F I 310 INTEREST EARNED ON F H L M C #786064 6.262% 1/01/28 $1 PV ON 1.1400 SHARES DUE 9/15/2025 JULY FHLMC DUE 9/15/25 -----1.14 ---SEI 15-Sep- 25 15-Sep-25 58989V2D 5 I 310 INTEREST EARNED ON MET TOWER MTN 1.250% 9/14/26 $1 PV ON 3745000.0000 SHARES DUE 9/14/2025 -----23,406.25 ---SEI 15-Sep- 25 15-Sep-25 95040QAH 7 I 310 INTEREST EARNED ON WELLTOWER INC 4.125% 3/15/29 $1 PV ON 3845000.0000 SHARES DUE 9/15/2025 -----79,303.13 ---SEI 15-Sep- 25 15-Sep-25 24422EWK 1 I 310 INTEREST EARNED ON DEERE JOHN MTN 4.150% 9/15/27 $1 PV ON 2000000.0000 SHARES DUE 9/15/2025 -----41,500.00 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 29 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 15-Sep- 25 15-Sep-25 361886DK 7 I 310 INTEREST EARNED ON GMF FLOORPL OWNE 4.680% 11/15/28 $1 PV ON 30069.0000 SHARES DUE 9/15/2025 $0.00390/PV ON 7,710,000.00 PV DUE 9/15/25 -----30,069.00 ---SEI 15-Sep- 25 15-Sep-25 345282AD 9 I 310 INTEREST EARNED ON FORD CREDIT AT 4.940% 6/15/28 $1 PV ON 18887.8700 SHARES DUE 9/15/2025 $0.00393/PV ON 4,802,000.00 PV DUE 9/15/25 -----18,887.87 ---SEI 15-Sep- 25 15-Sep-25 58773DAD 6 I 310 INTEREST EARNED ON MERCEDES BENZ 4.780% 12/17/29 $1 PV ON 18960.6700 SHARES DUE 9/15/2025 $0.00398/PV ON 4,760,000.00 PV DUE 9/15/25 -----18,960.67 ---SEI 15-Sep- 25 15-Sep-25 448984AD 6 I 310 INTEREST EARNED ON HYUNDAI AUTO LEASE 4.620% 4/17/28 $1 PV ON 19250.0000 SHARES DUE 9/15/2025 $0.00385/PV ON 5,000,000.00 PV DUE 9/15/25 -----19,250.00 ---SEI 15-Sep- 25 15-Sep-25 47800BAC 2 JDO5027 I 310 INTEREST EARNED ON JOHN DEERE OWNER 5.090% 6/15/27 $1 PV ON 6108.5200 SHARES DUE 9/15/2025 $0.00424/PV ON 1,440,123.89 PV DUE 9/15/25 -----6,108.52 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 30 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 15-Sep- 25 15-Sep-25 92887TAC 5 I 310 INTEREST EARNED ON VOLVO FINANCIAL 4.460% 5/15/29 $1 PV ON 6318.3300 SHARES DUE 9/15/2025 $0.00372/PV ON 1,700,000.00 PV DUE 9/15/25 -----6,318.33 ---SEI 15-Sep- 25 15-Sep-25 47800DAD 6 I 310 INTEREST EARNED ON JOHN DEERE OWNER TR 4.830% 9/17/29 $1 PV ON 10737.1500 SHARES DUE 9/15/2025 $0.00353/PV ON 3,046,000.00 PV DUE 9/15/25 -----10,737.15 ---SEI 15-Sep- 25 15-Sep-25 43816DAC 9 I 310 INTEREST EARNED ON HONDA AUTO 4.330% 3/15/29 $1 PV ON 7119.2400 SHARES DUE 9/15/2025 $0.00361/PV ON 1,973,000.00 PV DUE 9/15/25 -----7,119.24 ---SEI 15-Sep- 25 15-Sep-25 47800AAC 4 JDO6827 I 310 INTEREST EARNED ON JOHN DEERE OWNR TR 3.740% 2/16/27 $1 PV ON 2331.2100 SHARES DUE 9/15/2025 $0.00312/PV ON 747,982.18 PV DUE 9/15/25 -----2,331.21 ---SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 3133TCE 95 FHL3032 P 20 PAID DOWN PAR VALUE OF F H L M C MLTCL MT 4.554% 8/15/32 -47.1000 ----47.10 -47.15 --0.05 SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 31348SWZ 3 786064F P 20 PAID DOWN PAR VALUE OF F H L M C #786064 6.262% 1/01/28 AUGUST FHLMC DUE 9/15/25 -6.9800 ----6.98 -6.81 -0.17 SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 31 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 15-Sep- 25 15-Sep- 25 15-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 302,949.8900 -----302,949.89 302,949.89 --SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 47800BAC 2 JDO5027 P 20 PAID DOWN PAR VALUE OF JOHN DEERE OWNER 5.090% 6/15/27 -150,032.7500 ----150,032.75 -150,021.11 -11.64 SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 47800AAC 4 JDO6827 P 20 PAID DOWN PAR VALUE OF JOHN DEERE OWNR TR 3.740% 2/16/27 -85,327.0500 ----85,327.05 -85,318.90 -8.15 SEI 15-Sep- 25 15-Sep- 25 15-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 355,141.7900 -----355,141.79 355,141.79 --SEI Post Date 15-Sep-25 Total ----422,697.71 -19.91 SEI 17-Sep- 25 17-Sep-25 91282CJA 0 I 301 RECEIVED ACCRUED INTEREST ON SALE OF U S TREASURY NT 4.625% 9/30/28 -----34,908.64 ---SEI 17-Sep- 25 09-Sep- 25 17-Sep-25 706916AC 7 P 10 PURCHASED PAR VALUE OF PENFED AUTO REC 4.650% 7/15/30 /J.P. MORGAN SECURITIES LLC/2,204,000 PAR VALUE AT 99.99547005 % 2,204,000.000 0 99.99 55 ----2,203,900.16 2,203,900.16 --SEI 17-Sep- 25 16-Sep- 25 17-Sep-25 91282CJA 0 P 20 SOLD PAR VALUE OF U S TREASURY NT 4.625% 9/30/28 /IRVTUS3N BK OF NEW YORK/1,625,000 PAR VALUE AT 103.27700862 % - 1,625,000.000 0 103.2 770 ---1,678,251.39 - 1,675,273.44 -2,977.95 SEI 17-Sep- 25 17-Sep- 25 17-Sep-25 31846V567 FGZXX P 20 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -490,740.1300 ----490,740.13 -490,740.13 --SEI Post Date 17-Sep-25 Total ----37,886.59 -2,977.95 SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 32 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 22-Sep- 25 22-Sep-25 89239NAD 7 I 310 INTEREST EARNED ON TOYOTA LEASE OWNER 4.750% 2/22/28 $1 PV ON 17329.5800 SHARES DUE 9/20/2025 $0.00396/PV ON 4,378,000.00 PV DUE 9/20/25 -----17,329.58 ---SEI 22-Sep- 25 22-Sep-25 92348KDY 6 I 310 INTEREST EARNED ON VERIZON MASTER TRUST 4.510% 3/20/30 $1 PV ON 29055.6700 SHARES DUE 9/20/2025 $0.00376/PV ON 7,731,000.00 PV DUE 9/20/25 -----29,055.67 ---SEI 22-Sep- 25 22-Sep-25 92348KBG 7 I 310 INTEREST EARNED ON VERIZON MASTER TR 4.490% 1/22/29 $1 PV ON 16669.1300 SHARES DUE 9/20/2025 $0.00374/PV ON 4,455,000.00 PV DUE 9/20/25 -----16,669.13 ---SEI 22-Sep- 25 22-Sep-25 36225CNM 4 080395M I 310 INTEREST EARNED ON G N M A I I #080395 5.625% 4/20/30 $1 PV ON 6.7400 SHARES DUE 9/20/2025 AUGUST GNMA DUE 9/20/25 -----6.74 ---SEI 22-Sep- 25 22-Sep-25 36225DCB 8 080965M I 310 INTEREST EARNED ON G N M A I I #080965 4.625% 7/20/34 $1 PV ON 46.9700 SHARES DUE 9/20/2025 AUGUST GNMA DUE 9/20/25 -----46.97 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 33 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 22-Sep- 25 22-Sep-25 36225CC 20 080088M I 310 INTEREST EARNED ON G N M A I I #080088 5.625% 6/20/27 $1 PV ON 8.8800 SHARES DUE 9/20/2025 AUGUST GNMA DUE 9/20/25 -----8.88 ---SEI 22-Sep- 25 22-Sep-25 36225CAZ 9 080023M I 310 INTEREST EARNED ON G N M A I I #080023 4.750% 12/20/26 $1 PV ON 5.1200 SHARES DUE 9/20/2025 AUGUST GNMA DUE 9/20/25 -----5.12 ---SEI 22-Sep- 25 22-Sep-25 36225CN 28 080408M I 310 INTEREST EARNED ON G N M A I I #080408 5.625% 5/20/30 $1 PV ON 63.3300 SHARES DUE 9/20/2025 AUGUST GNMA DUE 9/20/25 -----63.33 ---SEI 22-Sep- 25 22-Sep-25 89236TJZ9 I 310 INTEREST EARNED ON TOYOTA MOTOR MTN 3.050% 3/22/27 $1 PV ON 2000000.0000 SHARES DUE 9/22/2025 -----30,500.00 ---SEI 22-Sep- 25 20-Sep- 25 22-Sep-25 36225DCB 8 080965M P 20 PAID DOWN PAR VALUE OF G N M A I I #080965 4.625% 7/20/34 AUGUST GNMA DUE 9/20/25 -174.2700 ----174.27 -174.16 -0.11 SEI 22-Sep- 25 20-Sep- 25 22-Sep-25 36225CAZ 9 080023M P 20 PAID DOWN PAR VALUE OF G N M A I I #080023 4.750% 12/20/26 AUGUST GNMA DUE 9/20/25 -101.1000 ----101.10 -102.77 --1.67 SEI 22-Sep- 25 20-Sep- 25 22-Sep-25 36225CN 28 080408M P 20 PAID DOWN PAR VALUE OF G N M A I I #080408 5.625% 5/20/30 AUGUST GNMA DUE 9/20/25 -417.4400 ----417.44 -413.20 -4.24 SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 34 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 22-Sep- 25 20-Sep- 25 22-Sep-25 36225CNM 4 080395M P 20 PAID DOWN PAR VALUE OF G N M A I I #080395 5.625% 4/20/30 AUGUST GNMA DUE 9/20/25 -23.6300 ----23.63 -23.42 -0.21 SEI 22-Sep- 25 20-Sep- 25 22-Sep-25 36225CC 20 080088M P 20 PAID DOWN PAR VALUE OF G N M A I I #080088 5.625% 6/20/27 AUGUST GNMA DUE 9/20/25 -95.3600 ----95.36 -97.45 --2.09 SEI 22-Sep- 25 22-Sep- 25 22-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 94,497.2200 -----94,497.22 94,497.22 --SEI Post Date 22-Sep-25 Total ----93,686.22 -0.80 SEI 25-Sep- 25 25-Sep-25 05592XAD 2 BVO5428 I 310 INTEREST EARNED ON BMW VEH OWNER TR 5.470% 2/25/28 $1 PV ON 4095.8900 SHARES DUE 9/25/2025 $0.00456/PV ON 898,550.72 PV DUE 9/25/25 -----4,095.89 ---SEI 25-Sep- 25 25-Sep-25 3136AJZP 4 I 310 INTEREST EARNED ON F N M A GTD REMIC 1.500% 4/25/29 $1 PV ON 897.1700 SHARES DUE 9/25/2025 $0.00125/PV ON 717,731.16 PV DUE 9/25/25 -----897.17 ---SEI 25-Sep- 25 25-Sep-25 31397QRE 0 FNM2841 I 310 INTEREST EARNED ON F N M A GTD REMIC 2.472% 2/25/41 $1 PV ON 235.7200 SHARES DUE 9/25/2025 $0.00429/PV ON 55,001.38 PV DUE 9/25/25 -----235.72 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 35 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 25-Sep- 25 25-Sep-25 3137FETN 0 FHL0428B I 310 INTEREST EARNED ON F H L M C MLTCL MT 3.350% 1/25/28 $1 PV ON 23561.6600 SHARES DUE 9/25/2025 $0.00279/PV ON 8,440,000.00 PV DUE 9/25/25 -----23,561.66 ---SEI 25-Sep- 25 25-Sep-25 31410F4V 4 888336A I 310 INTEREST EARNED ON F N M A #888336 5.000% 7/01/36 $1 PV ON 196.9300 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----196.93 ---SEI 25-Sep- 25 25-Sep-25 31371NUC 7 257179A I 310 INTEREST EARNED ON F N M A #257179 4.500% 4/01/28 $1 PV ON 5.8500 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----5.85 ---SEI 25-Sep- 25 25-Sep-25 31407BXH 7 826080A I 310 INTEREST EARNED ON F N M A #826080 5.000% 7/01/35 $1 PV ON 22.9900 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----22.99 ---SEI 25-Sep- 25 25-Sep-25 31417YAY 3 MA0022A I 310 INTEREST EARNED ON F N M A #MA0022 4.500% 4/01/29 $1 PV ON 9.5100 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----9.51 ---SEI 25-Sep- 25 25-Sep-25 31406PQY 8 815971A I 310 INTEREST EARNED ON F N M A #815971 5.000% 3/01/35 $1 PV ON 149.7800 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----149.78 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 36 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 25-Sep- 25 25-Sep-25 31376KT 22 357969A I 310 INTEREST EARNED ON F N M A #357969 5.000% 9/01/35 $1 PV ON 122.1700 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----122.17 ---SEI 25-Sep- 25 25-Sep-25 31403GXF 4 748678A I 310 INTEREST EARNED ON F N M A #748678 5.000% 10/01/33 $1 PV ON 1.6500 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----1.65 ---SEI 25-Sep- 25 25-Sep-25 31403DJZ 3 745580A I 310 INTEREST EARNED ON F N M A #745580 5.000% 6/01/36 $1 PV ON 118.9700 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----118.97 ---SEI 25-Sep- 25 25-Sep-25 31406XWT 5 823358A I 310 INTEREST EARNED ON F N M A #823358 6.503% 2/01/35 $1 PV ON 60.6200 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----60.62 ---SEI 25-Sep- 25 25-Sep-25 3138EG6F 6 AL0869A I 310 INTEREST EARNED ON F N M A #AL0869 4.500% 6/01/29 $1 PV ON 5.6800 SHARES DUE 9/25/2025 AUGUST FNMA DUE 9/25/25 -----5.68 ---SEI 25-Sep- 25 25-Sep-25 3137BSRE 5 I 310 INTEREST EARNED ON F H L M C MLTCL MTG 3.120% 9/25/26 $1 PV ON 14872.6700 SHARES DUE 9/25/2025 $0.00260/PV ON 5,720,259.00 PV DUE 9/25/25 -----14,872.67 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 37 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 25-Sep- 25 25-Sep-25 3137FG6X 8 FHL3828B I 310 INTEREST EARNED ON F H L M C MLTCL MT 3.850% 5/25/28 $1 PV ON 23260.4100 SHARES DUE 9/25/2025 $0.00321/PV ON 7,250,000.00 PV DUE 9/25/25 -----23,260.41 ---SEI 25-Sep- 25 25-Sep-25 3137HCKV 3 I 310 INTEREST EARNED ON F H L M C MLTCL MTG 5.180% 3/25/29 $1 PV ON 27281.3300 SHARES DUE 9/25/2025 $0.00432/PV ON 6,320,000.00 PV DUE 9/25/25 -----27,281.33 ---SEI 25-Sep- 25 25-Sep-25 3137HBPD 0 FHL5429 I 310 INTEREST EARNED ON F H L M C MLTCL MTG 5.400% 1/25/29 $1 PV ON 45000.0000 SHARES DUE 9/25/2025 $0.00450/PV ON 10,000,000.00 PV DUE 9/25/25 -----45,000.00 ---SEI 25-Sep- 25 25-Sep-25 3137HDJJ 0 I 310 INTEREST EARNED ON F H L M C MLTCL MTG 4.803% 5/25/29 $1 PV ON 35102.0900 SHARES DUE 9/25/2025 $0.00400/PV ON 8,770,041.09 PV DUE 9/25/25 -----35,102.09 ---SEI 25-Sep- 25 25-Sep-25 3137HB3D 4 FHL5028 I 310 INTEREST EARNED ON F H L M C MLTCL 5.069% 10/25/28 $1 PV ON 45266.1700 SHARES DUE 9/25/2025 $0.00422/PV ON 10,716,000.00 PV DUE 9/25/25 -----45,266.17 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 38 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 25-Sep- 25 25-Sep-25 31394JY35 FHL9543 I 310 INTEREST EARNED ON F H L M C MLTCL MT 6.49999% 9/25/43 $1 PV ON 1516.9900 SHARES DUE 9/25/2025 $0.00542/PV ON 280,060.09 PV DUE 9/25/25 -----1,516.99 ---SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 05592XAD 2 BVO5428 P 20 PAID DOWN PAR VALUE OF BMW VEH OWNER TR 5.470% 2/25/28 -79,392.6500 ----79,392.65 -79,378.58 -14.07 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 3136AJZP 4 P 20 PAID DOWN PAR VALUE OF F N M A GTD REMIC 1.500% 4/25/29 -22,879.0800 ----22,879.08 -20,900.97 -1,978.11 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31397QRE 0 FNM2841 P 20 PAID DOWN PAR VALUE OF F N M A GTD REMIC 2.472% 2/25/41 -563.8200 ----563.82 -563.64 -0.18 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31371NUC 7 257179A P 20 PAID DOWN PAR VALUE OF F N M A #257179 4.500% 4/01/28 AUGUST FNMA DUE 9/25/25 -88.4000 ----88.40 -93.49 --5.09 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 134,779.9000 -----134,779.90 134,779.90 --SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31407BXH 7 826080A P 20 PAID DOWN PAR VALUE OF F N M A #826080 5.000% 7/01/35 AUGUST FNMA DUE 9/25/25 -58.5400 ----58.54 -62.93 --4.39 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31403DJZ 3 745580A P 20 PAID DOWN PAR VALUE OF F N M A #745580 5.000% 6/01/36 AUGUST FNMA DUE 9/25/25 -415.3300 ----415.33 -446.48 --31.15 SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 39 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 25-Sep- 25 25-Sep- 25 25-Sep-25 31406XWT 5 823358A P 20 PAID DOWN PAR VALUE OF F N M A #823358 6.503% 2/01/35 AUGUST FNMA DUE 9/25/25 -127.1200 ----127.12 -126.13 -0.99 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31406PQY 8 815971A P 20 PAID DOWN PAR VALUE OF F N M A #815971 5.000% 3/01/35 AUGUST FNMA DUE 9/25/25 -414.9300 ----414.93 -446.05 --31.12 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31410F4V 4 888336A P 20 PAID DOWN PAR VALUE OF F N M A #888336 5.000% 7/01/36 AUGUST FNMA DUE 9/25/25 -1,004.0100 ----1,004.01 -1,079.31 --75.30 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31417YAY 3 MA0022A P 20 PAID DOWN PAR VALUE OF F N M A #MA0022 4.500% 4/01/29 AUGUST FNMA DUE 9/25/25 -80.5600 ----80.56 -85.20 --4.64 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31403GXF 4 748678A P 20 PAID DOWN PAR VALUE OF F N M A #748678 5.000% 10/01/33 AUGUST FNMA DUE 9/25/25 -4.2300 ----4.23 -4.55 --0.32 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 3138EG6F 6 AL0869A P 20 PAID DOWN PAR VALUE OF F N M A #AL0869 4.500% 6/01/29 AUGUST FNMA DUE 9/25/25 -49.1200 ----49.12 -51.95 --2.83 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31376KT 22 357969A P 20 PAID DOWN PAR VALUE OF F N M A #357969 5.000% 9/01/35 AUGUST FNMA DUE 9/25/25 -217.5200 ----217.52 -233.83 --16.31 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 3137BSRE 5 P 20 PAID DOWN PAR VALUE OF F H L M C MLTCL MTG 3.120% 9/25/26 -1,915.6600 ----1,915.66 -1,982.15 5.20 -71.69 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 3137HDJJ 0 P 20 PAID DOWN PAR VALUE OF F H L M C MLTCL MTG 4.803% 5/25/29 -852.3900 ----852.39 -855.85 -3.46 -SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 40 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 25-Sep- 25 25-Sep- 25 25-Sep-25 31394JY35 FHL9543 P 20 PAID DOWN PAR VALUE OF F H L M C MLTCL MT 6.49999% 9/25/43 -145.9400 ----145.94 -165.28 --19.34 SEI 25-Sep- 25 25-Sep- 25 25-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 195,213.6500 -----195,213.65 195,213.65 --SEI Post Date 25-Sep-25 Total ----223,517.16 1.74 1,731.17 SEI 29-Sep- 25 29-Sep-25 3130AH6Y 4 I 310 INTEREST EARNED ON FEDERAL HOME LOAN BA 2.060% 9/27/29 $1 PV ON 1300000.0000 SHARES DUE 9/27/2025 -----13,390.00 ---SEI 29-Sep- 25 29-Sep- 25 29-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 13,390.0000 -----13,390.00 13,390.00 --SEI Post Date 29-Sep-25 Total ----13,390.00 --SEI 30-Sep- 25 30-Sep-25 91282CEE 7 I 310 INTEREST EARNED ON U S TREASURY NT 2.375% 3/31/29 $1 PV ON 18000000.0000 SHARES DUE 9/30/2025 -----213,750.00 ---SEI 30-Sep- 25 30-Sep-25 91282CGS 4 UST0030 I 310 INTEREST EARNED ON U S TREASURY NT 3.625% 3/31/30 $1 PV ON 17000000.0000 SHARES DUE 9/30/2025 -----308,125.00 ---SEI 30-Sep- 25 30-Sep-25 91282CJA 0 I 310 INTEREST EARNED ON U S TREASURY NT 4.625% 9/30/28 $1 PV ON 6575000.0000 SHARES DUE 9/30/2025 -----152,046.88 ---SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 41 of 42 Multiple Accounts Begin Date : 09/01/2025 End Date : 09/30/2025 Account Information Account Number Account Name 6745046601 OCSD LONG-TERM PORTFOLIO Transactions Post Date Trade Date Settlement Date CUSIP Ticker SEDOL Port P/I Tran Type Explanation Units Price Comm SEC Fee Misc Fee Net Cash Amount Cost Short Term Gain/Loss Long Term Gain Loss Source System 30-Sep- 25 30-Sep- 25 30-Sep-25 31846V567 FGZXX P 10 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 673,921.8800 -----673,921.88 673,921.88 --SEI Post Date 30-Sep-25 Total ----673,921.88 --SEI Account 6745046601 Total ----2,509,365.18 1.74 41,471.1 7 SEI Account Ending Cash Principal Cash: - 107,389,358.65 Income Cash: 107,389,358.65 Total Cash: - Grand Total ----- 86,648,848.4 8 95,048.19 41,471.1 7 SEI TRANSACTIONS - SUMMARY Run Date : 10/03/2025 Page 42 of 42 OPERATIONS COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4544 Agenda Date:10/22/2025 Agenda Item No:7. FROM:Robert Thompson, General Manager Originator: Riaz Moinuddin, Director of Operations & Maintenance SUBJECT: PLANT NO. 2 MAIN SEWAGE PUMP #7 OVERHAUL GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve a Sole Source Purchase Order SSJ#2889 to Bender CCP, Inc. for the overhaul of Main Sewage Pump #7 at Plant No. 2, for a total amount not to exceed $270,942, including applicable sales tax and freight; and B. Approve a contingency of $27,095 (10%) BACKGROUND Orange County Sanitation District’s (OC San)Plant No.2 Headworks facility has seven Main Sewage Pumps (MSP)that transfer wastewater from the Bar Screen facility to the discharge channel and grit basin.MSPs #1 through #3 are dedicated to non-reclaimable flows and MSPs #4 through #7 are dedicated to reclaimable flows when operating in separated mode.Plant No.2 MSPs allow for the treatment of all the wastewater flows that are routed to the plant. RELEVANT STANDARDS ·24/7/365 treatment plant reliability ·Maintain a proactive asset management program ·Meet volume and water quality needs for the GWRS PROBLEM MSP #7 was offline for approximately one year to complete Variable Frequency Drive (VFD)repairs. When the pump was brought back online,it was found to require additional mechanical repairs.A detailed inspection performed by Bender CCP,Inc.,at its facility confirmed the need for multiple repairs and component replacements to restore the pump to reliable service. Orange County Sanitation District Printed on 10/14/2025Page 1 of 2 powered by Legistar™ File #:2025-4544 Agenda Date:10/22/2025 Agenda Item No:7. PROPOSED SOLUTION Approve a Sole Source Purchase Order to Bender CCP, Inc. for the inspection, repair, replacement, and re-assembly of parts for Main Sewage Pump #7 at Plant No. 2. TIMING CONCERNS Given the long lead times of some parts and criticality of these pumps,it is essential to commence this work as soon as possible to ensure operational readiness. RAMIFICATIONS OF NOT TAKING ACTION The Influent Pump Station at Plant No.2 now has reduced redundancy due to the separation of reclaimable and non-reclaimable flows that pass through this process station.Insufficient pumping capacity would lead to operating in combined mode,affecting OC San's commitment to supply required flows to the Ground Water Replenishment System. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION EBARA is the original equipment manufacturer (OEM),and Bender CCP is EBARA’s recommended local vendor in the Sanitation District’s geographical region.Pricing for the stated repairs of the identified parts is consistent based on previous repairs.A 10%contingency is requested in the event of pricing changes due to tariffs,delays in placing the order beyond quote availability,or other unforeseeable changes. CEQA N/A FINANCIAL CONSIDERATIONS This request complies with the authority levels of OC San’s Purchasing Ordinance.This item has been budgeted (Budget Update FY 2025-26,Repairs &Maintenance,Page 33)and the budget is sufficient for this action. Date of Approval Contract Amount Contingency 10/22/2025 $270,942 $27,095 (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 RM:ls Orange County Sanitation District Printed on 10/14/2025Page 2 of 2 powered by Legistar™ OPERATIONS COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4545 Agenda Date:10/22/2025 Agenda Item No:8. FROM:Robert Thompson, General Manager Originator: Mike Dorman, Director of Engineering SUBJECT: ANNUAL PROFESSIONAL DESIGN SERVICES AGREEMENT, CONTRACT NO. FE18-00-03 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Approve an increase of $70,000 to the Professional Design Services Agreement No.FE18-00-03, annual compensation limit with Dudek for a total amount not to exceed $670,000 per year. BACKGROUND Orange County Sanitation District (OC San)Professional Design Services Agreement (PDSA)No. FE18-00-03 has a task order limit of $300,000,with a maximum annual fiscal year contract award limit not to exceed $600,000. In Fiscal Year 2020/2021,Dudek was awarded task orders for CenGen Cooling Water Pipe Replacement at Plant No.2,Project FE20-04,for $300,000;and Olive Sub-Trunk Siphon Rehabilitation at Santa Ana River, Project No. FE20-08, for $259,867, for a total amount of $559,867. The task order limit of CenGen Cooling Water Pipe Replacement at Plant No.2,Project FE20-04, was increased from $300,000 to $370,000,to complete the remaining construction,commissioning, and close-out services,at the approval of the Board in October 2024 in accordance with OC San’s Purchasing Ordinance. RELEVANT STANDARDS ·Ensure the public’s money is wisely spent PROBLEM The annual fiscal year contract award limit for PDSA No.FE18-00-03 was inadvertently not increased when the Board approved the increase to Project No. FE20-04 and now totals $629,867. Orange County Sanitation District Printed on 10/14/2025Page 1 of 2 powered by Legistar™ File #:2025-4545 Agenda Date:10/22/2025 Agenda Item No:8. PROPOSED SOLUTION Increase PDSA No.FE18-00-03 annual compensation limit from $600,000 to $670,000 to accommodate already approved contracts and contingencies. TIMING CONCERNS OC San has already authorized work based on the approved higher task order limit,and there are outstanding invoices for both Project Nos.FE20-04 and FE20-08 that cannot be paid because they exceed the maximum annual fiscal year contract award limit. RAMIFICATIONS OF NOT TAKING ACTION OC San would not be able to pay current invoices on Project Nos. FE20-04 and FE20-08. PRIOR COMMITTEE/BOARD ACTIONS October 2024 -Approve a Task Order limit increase of $70,000 to the Professional Design Services Agreement with Dudek to provide professional engineering services for CenGen Cooling Water Pipe Replacement at Plant No.2,Project No.FE20-04,Task Order No.FE18-00-03-03,for a total amount not to exceed $370,000. June 2018 -Approve an Annual Professional Design Services Agreement with Dudek,Contract No. FE18-00-03 for professional engineering design and construction support services commencing July 1,2018,with a maximum annual fiscal year contract limitation not to exceed $600,000,and approved two additional one-year optional extensions. ADDITIONAL INFORMATION N/A CEQA N/A FINANCIAL CONSIDERATIONS This request complies with the authority levels of OC San’s Purchasing Ordinance.This item has been budgeted (Budget FY 2025-26,Page A-8,Small Construction Projects Program,Project No.M- FE), 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: N/A VP:lb Orange County Sanitation District Printed on 10/14/2025Page 2 of 2 powered by Legistar™ OPERATIONS COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4546 Agenda Date:10/22/2025 Agenda Item No:9. FROM:Robert Thompson, General Manager Originator: Mike Dorman, Director of Engineering SUBJECT: PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH, PROJECT NO. FE23-07 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Receive and file Bid Tabulation and Recommendation for Pipeline Utility Easement Clean Up in Huntington Beach, Project No. FE23-07; B. Award a Construction Contract to Metrocell Construction, Inc., for Pipeline Utility Easement Clean Up in Huntington Beach, Project No. FE23-07, for a total amount not to exceed $2,863,255; and C. Approve a contingency of $286,326 (10%). BACKGROUND The Orange County Sanitation District (OC San)has a 66-inch diameter pipeline within a 30-foot- wide utility easement constructed in 1959,before the adjacent private properties were constructed. Private property encroachments have occurred across the sewer easement,including structures, sheds, pools, fencing, and landscaping behind 29 private properties. RELEVANT STANDARDS ·Comply with California Public Contract Code Section 20103.8, award construction contract to lowest responsive, responsible bidder ·Commitment to safety and reducing risks in all operations ·Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting PROBLEM Private property encroachments obstruct required access to sewer facilities,preventing OC San from conducting assessments,maintenance,and repairs.These access restrictions pose a significant risk, as urgent repairs may be delayed or prevented altogether,potentially impacting system reliability and public health. Orange County Sanitation District Printed on 10/14/2025Page 1 of 3 powered by Legistar™ File #:2025-4546 Agenda Date:10/22/2025 Agenda Item No:9. PROPOSED SOLUTION Award a construction contract to restore critical access to the sewer main by removing encroachments on 13 private properties within OC San’s pipeline easement.Work will include demolishing landscaping and an existing wall,resurfacing easement areas,constructing block walls and a drainage swale,and installing access gates as needed to ensure long-term accessibility for OC San. TIMING CONCERNS OC San will continue to face difficulties accessing its sewer facilities and performing assessments, maintenance, and repairs. RAMIFICATIONS OF NOT TAKING ACTION Failure to restore access could result in significant service disruptions to the community if the pipeline were to fail,since OC San staff would not be able to respond promptly with necessary maintenance or repairs. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION OC San advertised Project No.FE23-07 for bids on June 30,2025,and three sealed bids were received on August 14, 2025. A summary of the bid opening follows: Engineer’s Estimate $3,302,000 Bidder Amount of Bid Metrocell Construction, Inc.$2,863,255 MMC, Inc.$3,154,000 Lonerock, Inc.$4,531,250 The bids were evaluated in accordance with OC San’s policies and procedures.A notice was sent to all bidders on September 2,2025,informing them of the intent to recommend awarding the Construction Contract to Metrocell Construction, Inc. Staff recommends awarding a Construction Contract to the lowest responsive and responsible bidder, Metrocell Construction, Inc., for a total amount not to exceed $2,863,255. CEQA The project is exempt from CEQA under the Class 2 and 5 categorical exemptions set forth in the California Code of Regulations sections 15302 and 15305.A Notice of Exemption will be filed with the OC Clerk-Recorder and State Clearinghouse after OC San's Board of Directors approval of the Orange County Sanitation District Printed on 10/14/2025Page 2 of 3 powered by Legistar™ File #:2025-4546 Agenda Date:10/22/2025 Agenda Item No:9. Construction Contract. FINANCIAL CONSIDERATIONS This request complies with the authority levels of OC San’s Purchasing Ordinance.This item has been budgeted (Budget FY 2025-26,Page A-8,Small Construction Projects Program,Project No.M- FE) 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: ·Construction Contract DD:lb Orange County Sanitation District Printed on 10/14/2025Page 3 of 3 powered by Legistar™ C-CA-050625 PART A CONTRACT AGREEMENT C-CA-050625 TABLE OF CONTENTS CONTRACT AGREEMENT SECTION – 1 GENERAL ................................................................................ 1 SECTION – 2 MATERIALS AND LABOR ...................................................... 4 SECTION – 3 PROJECT ................................................................................ 4 SECTION – 4 PLANS AND SPECIFICATIONS ............................................. 5 SECTION – 5 TIME OF COMMENCEMENT AND COMPLETION ................. 5 SECTION – 6 TIME IS OF THE ESSENCE .................................................... 5 SECTION – 7 EXCUSABLE DELAYS ............................................................ 6 SECTION – 8 EXTRA WORK ......................................................................... 6 SECTION – 9 CHANGES IN PROJECT ......................................................... 7 SECTION – 10 LIQUIDATED DAMAGES FOR DELAY .................................. 7 SECTION – 11 CONTRACT PRICE AND METHOD OF PAYMENT ................ 7 SECTION – 12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF FUNDS .............................................................................. 9 SECTION – 13 COMPLETION ......................................................................... 9 SECTION – 14 CONTRACTOR’S EMPLOYEES COMPENSATION ............. 10 SECTION – 15 SURETY BONDS ................................................................... 12 SECTION – 16 INSURANCE .......................................................................... 12 SECTION – 17 RISK AND INDEMNIFICATION ............................................. 21 SECTION – 18 TERMINATION ...................................................................... 21 SECTION – 19 WARRANTY .......................................................................... 21 SECTION – 20 ASSIGNMENT ....................................................................... 22 SECTION – 21 RESOLUTION OF DISPUTES ............................................... 22 SECTION – 22 SAFETY & HEALTH .............................................................. 23 SECTION – 23 CALIFORNIA VOLUNTARY PROTECTION PROGRAM ANNUAL REPORTING REQUIREMENT .............................. 23 SECTION – 24 HUMAN RESOURCES POLICIES ......................................... 23 SECTION – 25 NOTICES ............................................................................... 24 CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 1 of 25 CONTRACT AGREEMENT ORANGE COUNTY SANITATION DISTRICT PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH This CONTRACT AGREEMENT (Contract Agreement) is made and entered into, to be effective, this October 22, 2025, by and between Metrocell Construction, Inc., hereinafter referred to as “CONTRACTOR” and the Orange County Sanitation District, hereinafter referred to as “OC SAN”. WITNESSETH That for and in consideration of the promises and agreements hereinafter made and exchanged, OC SAN and CONTRACTOR agree as follows: SECTION – 1 GENERAL CONTRACTOR certifies and agrees that all the terms, conditions and obligations of the Contract Documents as hereinafter defined, the location of the job site, and the conditions under which the Work is to be performed have been thoroughly reviewed, and enters into this Contract based upon CONTRACTOR’s investigation of all such matters and is in no way relying upon any opinions or representations of OC SAN. It is agreed that this Contract represents the entire agreement. It is further agreed that the Contract Documents are each incorporated into this Contract by reference, with the same force and effect as if the same were set forth at length herein, and that CONTRACTOR and its Subcontractors, if any, will be and are bound by any and all of said Contract Documents insofar as they relate in any part or in any way, directly or indirectly, to the Work covered by this Contract. A. Contract Documents Order of Precedence “Contract Documents” refers to those documents identified in the definition of “Contract Documents” in the General Conditions, “Definitions”. C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 2 of 25 1. In the event of a conflict between one Contract Document and any of the other Contract Documents, the provisions in the document highest in precedence shall be controlling. The order of precedence of the Contract Documents is as follows: a. Supplemental Agreements – the last in time being the first in precedence b. Addenda issued prior to the date for submittal of Bids – the last in time being the first in precedence c. Contract Agreement d. Permits and other regulatory requirements e. Special Provisions f. General Conditions (GC) g. Notice Inviting Bids and Instruction to Bidders h. Geotechnical Baseline Report (GBR), if attached as a Contract Document i. Plans and Specifications – in these documents the order of precedence shall be: i. Specifications (Divisions 01-17) ii. Plans iii. General Requirements (GR) iv. Standard Drawings and Typical Details j. CONTRACTOR’s Bid 2. In the event of a conflict between terms within an individual Contract Document, the conflict shall be resolved by applying the following principles as appears applicable: a. Figured dimensions on the Contract Documents shall govern. Dimensions not specified shall be as directed by the ENGINEER. Details not shown or specified shall be the same as similar parts that are shown or specified, or as directed. Full-size details shall take precedence over scale Drawings as to CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 3 of 25 shape and details of construction. Specifications shall govern as to material and workmanship. b. The Contract Documents calling for the higher quality material or workmanship shall prevail. Materials or Work described in words, which so applied, have a well-known technical or trade meaning shall be deemed to refer to such recognized standards. In the event of any discrepancy between any Drawings and the figures thereon, the figures shall be taken as correct. c. Scale Drawings, full-size details, and Specifications are intended to be fully complementary and to agree. Should any discrepancy between Contract Documents come to the CONTRACTOR’s attention, or should an error occur in the efforts of others, which affect the Work, the CONTRACTOR shall notify the ENGINEER, in writing, at once. In the event any doubts or questions arise with respect to the true meaning of the Contract Documents, reference shall be made to the ENGINEER whose written decision shall be final. If the CONTRACTOR proceeds with the Work affected without written instructions from the ENGINEER, the CONTRACTOR shall be fully responsible for any resultant damage or defect. d. Anything mentioned in the Specifications and not indicated in the Plans, or indicated in the Plans and not mentioned in the Specifications, shall be of like effect as if indicated and mentioned in both. In case of discrepancy in the Plans or Specifications, the matter shall be immediately submitted to OC SAN’s ENGINEER, without whose decision CONTRACTOR shall not adjust said discrepancy save only at CONTRACTOR’s own risk and expense. The decision of the ENGINEER shall be final. C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 4 of 25 In all matters relating to the acceptability of material, machinery or plant equipment; classifications of material or Work; the proper execution, progress or sequence of the Work; and quantities interpretation of the Contract Documents, the decision of the ENGINEER shall be final and binding, and shall be a condition precedent to any payment under the Contract, unless otherwise ordered by the Board of Directors. B. Definitions Capitalized terms used in this Contract are defined in the General Conditions, “Definitions”. Additional terms may be defined in the Special Provisions. SECTION – 2 MATERIALS AND LABOR CONTRACTOR shall furnish, under the conditions expressed in the Plans and Specifications, at CONTRACTOR’S own expense, all labor and materials necessary, except such as are mentioned in the Specifications to be furnished by OC SAN, to construct and complete the Project, in good workmanlike and substantial order. If CONTRACTOR fails to pay for labor or materials when due, OC SAN may settle such claims by making demand upon the Surety to this Contract. In the event of the failure or refusal of the Surety to satisfy said claims, OC SAN may settle them directly and deduct the amount of payments from the Contract Price and any amounts due to CONTRACTOR. In the event OC SAN receives a stop payment notice from any laborer or material supplier alleging non-payment by CONTRACTOR, OC SAN shall be entitled to deduct all of its costs and expenses incurred relating thereto, including but not limited to administrative and legal fees. SECTION – 3 PROJECT The Project is described as: PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 5 of 25 SECTION – 4 PLANS AND SPECIFICATIONS The Work to be done is shown in a set of Plans and Specifications entitled: PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Said Plans and Specifications and any revision, amendments and addenda thereto are attached hereto and incorporated herein as part of this Contract and referred to by reference. SECTION – 5 TIME OF COMMENCEMENT AND COMPLETION CONTRACTOR agrees to commence the Project within 15 calendar days from the date set forth in the “Notice to Proceed” sent by OC SAN, unless otherwise specified therein and shall diligently prosecute the Work to completion within three hundred sixty-five (365) calendar days from the date of the “Notice to Proceed” issued by OC SAN, excluding delays caused or authorized by OC SAN as set forth in Sections 7, 8, and 9 hereof, and applicable provisions in the General Conditions. The time for completion includes fifteen (15) calendar days determined by OC SAN likely to be inclement weather when CONTRACTOR will be unable to work. SECTION – 6 TIME IS OF THE ESSENCE Time is of the essence of this Contract. As required by the Contract Documents, CONTRACTOR shall prepare and obtain approval of all shop drawings, details and samples, and do all other things necessary and incidental to the prosecution of CONTRACTOR’s Work in conformance with an approved construction progress schedule. CONTRACTOR shall coordinate the Work covered by this Contract with that of all other contractors, subcontractors and of OC SAN, in a manner that will facilitate the efficient completion of the entire Work and accomplish the required milestone(s), if any, by the applicable deadline(s) in accordance with Section 5 herein. OC SAN shall have the right to assert complete control of the premises on which the Work is to be performed and shall have the right to decide the time or order in which the various portions of the Work shall be installed or the priority of the work of subcontractors, C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 6 of 25 and, in general, all matters representing the timely and orderly conduct of the Work of CONTRACTOR on the premises. SECTION – 7 EXCUSABLE DELAYS CONTRACTOR shall only be excused for any delay in the prosecution or completion of the Project as specifically provided in General Conditions, “Extension of Time for Delay”, and the General Requirements, “By CONTRACTOR or Others – Unknown Utilities during Contract Work”. Extensions of time and extra compensation arising from such excusable delays will be determined in accordance with the General Conditions, “Extension of Time for Delay” and “Contract Price Adjustments and Payments”, and extensions of time and extra compensation as a result of incurring undisclosed utilities will be determined in accordance with General Requirements, “By CONTRACTOR or Others – Unknown Utilities during Contract Work”. OC SAN’s decision will be conclusive on all parties to this Contract. SECTION – 8 EXTRA WORK The Contract Price as set forth in Section 11, includes compensation for all Work performed by CONTRACTOR, unless CONTRACTOR obtains a Change Order signed by a designated representative of OC SAN specifying the exact nature of the Extra Work and the amount of extra compensation to be paid all as more particularly set forth in Section 9 hereof and the General Conditions, “Request for Change (Changes at CONTRACTOR’s Request)”, “OWNER Initiated Changes”, and “Contract Price Adjustments and Payments”. In the event a Change Order is issued by OC SAN pursuant to the Contract Documents, OC SAN shall extend the time fixed in Section 5 for completion of the Project by the number of days, if any, reasonably required for CONTRACTOR to perform the Extra Work, as determined by OC SAN’s ENGINEER. The decision of the ENGINEER shall be final. CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 7 of 25 SECTION – 9 CHANGES IN PROJECT OC SAN may at any time, without notice to any Surety, by Change Order, make any changes in the Work within the general scope of the Contract Document, including but not limited to changes: 1. In the Specifications (including Drawings and designs); 2. In the time, method or manner of performance of the Work; 3. In OC SAN-furnished facilities, equipment, materials, services or site; or 4. Directing acceleration in the performance of the Work. No change of period of performance or Contract Price, or any other change in the Contract Documents, shall be binding until the Contract is modified by a fully executed Change Order. All Change Orders shall be issued in accordance with the requirements set forth in the General Conditions, “Request for Change (Changes at CONTRACTOR’s Request)” and “OWNER Initiated Changes”. SECTION – 10 LIQUIDATED DAMAGES FOR DELAY Liquidated Damages shall be payable in the amounts and upon the occurrence of such events or failure to meet such requirements or deadlines as provided in the Special Provisions, “Liquidated Damages and Incentives.” SECTION – 11 CONTRACT PRICE AND METHOD OF PAYMENT A. OC SAN agrees to pay and the CONTRACTOR agrees to accept as full consideration for the faithful performance of this Contract, subject to any additions or deductions as provided in approved Change Orders, the sum of Two Million Eight Hundred Sixty-Three Thousand Two Hundred Fifty-Five Dollars ($2,863,255) as itemized on the attached Exhibit A. C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 8 of 25 Upon satisfaction of the conditions precedent to payment set forth in the General Requirements, Additional General Requirements, and General Conditions (including but not limited to Sections entitled “Mobilization Payment Requirements” and “Payment Itemized Breakdown of Contract Lump Sum Prices”), there shall be paid to the CONTRACTOR an initial Net Progress Payment for mobilization. OC SAN shall issue at the commencement of the job a schedule which shows: 1. A minimum of one payment to be made to the CONTRACTOR for each successive four (4) week period as the Work progresses, and 2. The due dates for the CONTRACTOR to submit requests for payment to meet the payment schedule. After the initial Net Progress Payment, and provided the CONTRACTOR submits the request for payment prior to the end of the day required to meet the payment schedule, the CONTRACTOR shall be paid a Net Progress Payment on the corresponding monthly payment date set forth in the schedule. Payments shall be made on demands drawn in the manner required by law, accompanied by a certificate signed by the ENGINEER, stating that the Work for which payment is demanded has been performed in accordance with the terms of the Contract Documents, and that the amount stated in the certificate is due under the terms of the Contract. Payment applications shall also be accompanied with all documentation, records, and releases as required by the Contract; Exhibit A, Schedule of Prices; and General Conditions, “Payment for Work – General”. The Total amount of Progress Payments shall not exceed the actual value of the Work completed as certified by OC SAN’s ENGINEER. The processing of payments shall not be considered as an acceptance of any part of the Work. CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 9 of 25 B. As used in this Section, the following defined terms shall have the following meanings: 1. “Net Progress Payment” means a sum equal to the Progress Payment less the Retention Amount and other qualified deductions (Liquidated Damages, stop payment notices, etc.). 2. “Progress Payment” means a sum equal to: a. the value of the actual Work completed since the commencement of the Work as determined by OC SAN; b. plus the value of material suitably stored at the worksite, treatment plant or approved storage yards subject to or under the control of OC SAN since the commencement of the Work as determined by OC SAN; c. less all previous Net Progress Payments; d. less all amounts of previously qualified deductions; e. less all amounts previously retained as Retention Amounts. 3. “Retention Amount” for each Progress Payment means the percentage of each Progress Payment to be retained by OC SAN to assure satisfactory completion of the Contract. The amount to be retained from each Progress Payment shall be determined as provided in the General Conditions, “Retained Funds; Substitution of Securities.” SECTION – 12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF FUNDS Pursuant to Public Contract Code Section 22300 et seq., the CONTRACTOR may, at its sole expense, substitute securities as provided in General Conditions, “Retained Funds; Substitution of Securities.” SECTION – 13 COMPLETION Final Completion and Final Acceptance shall occur at the time and in the manner specified in the General Conditions, “Final Acceptance and Final Completion”, “Final Payment”; and Exhibit A, Schedule of Prices. C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 10 of 25 Upon receipt of all documentation, records, and releases as required by the Contract from the CONTRACTOR, OC SAN shall proceed with the Final Acceptance as specified in General Conditions. SECTION – 14 CONTRACTOR’S EMPLOYEES COMPENSATION A. General Prevailing Rate: OC SAN has been advised by the State of California Director of Industrial Relations of its determination of the general prevailing rate of per diem wages and the general prevailing rate for legal holiday and overtime Work in the locality in which the Work is to be performed for each craft or type of Work needed to execute this Contract, and copies of the same are on file in the Office of the ENGINEER of OC SAN. The CONTRACTOR agrees that not less than said prevailing rates shall be paid to workers employed on this public works Contract as required by Labor Code Section 1774 of the State of California. Per California Labor Code 1773.2, OC SAN will have on file copies of the prevailing rate of per diem wages at its principal office and at each job site, which shall be made available to any interested party upon request. B. Forfeiture for Violation: CONTRACTOR shall, as a penalty to OC SAN, forfeit Two Hundred Dollars ($200) for each calendar day or portion thereof for each worker paid (either by the CONTRACTOR or any Subcontractor under it) less than the prevailing rate of per diem wages as set by the Director of Industrial Relations, in accordance with Sections 1770-1780 of the California Labor Code for the Work provided for in this Contract, all in accordance with Section 1775 of the Labor Code of the State of California. C. Apprentices: Sections 1777.5, 1777.6, 1777.7 of the Labor Code of the State of California, regarding the employment of apprentices are applicable to this Contract and the CONTRACTOR CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 11 of 25 shall comply therewith if the prime contract involves Thirty Thousand Dollars ($30,000) or more. D. Workday: In the performance of this Contract, not more than eight (8) hours shall constitute a day’s work, and the CONTRACTOR shall not require more than eight (8) hours of labor in a day from any person employed by him hereunder except as provided in paragraph (B) above. CONTRACTOR shall conform to Article 3, Chapter 1, Part 7 (Section 1810 et seq.) of the Labor Code of the State of California and shall forfeit to OC SAN as a penalty, the sum of Twenty-Five Dollars ($25) for each worker employed in the execution of this Contract by CONTRACTOR or any Subcontractor for each calendar day during which any worker is required or permitted to labor more than eight (8) hours in any one calendar day and forty (40) hours in any one week in violation of said Article. CONTRACTOR shall keep an accurate record showing the name and actual hours worked each calendar day and each calendar week by each worker employed by CONTRACTOR in connection with the Project. E. Registration; Record of Wages; Inspection: CONTRACTOR shall comply with the registration requirements of Labor Code Section 1725.5. Pursuant to Labor Code Section 1771.4, the Work is subject to compliance monitoring by the California Department of Industrial Relations. CONTRACTOR shall maintain accurate payroll records and shall submit payroll records to the Labor Commissioner pursuant to Labor Code Section 1771.4(a)(3). Penalties for non-compliance with the requirements of Section 1776 may be deducted from progress payments per Section 1776. CONTRACTOR shall comply with the job site notices posting requirements established by the Labor Commissioner per Title 8, California Code of Regulations Section 16461(e). C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 12 of 25 SECTION – 15 SURETY BONDS CONTRACTOR shall, before entering upon the performance of this Contract, furnish Bonds approved by OC SAN’s General Counsel – one in the amount of one hundred percent (100%) of the Contract amount, to guarantee the faithful performance of the Work, and the other in the amount of one hundred percent (100%) of the Contract amount to guarantee payment of all claims for labor and materials furnished. As changes to the Contract occur via approved Change Orders, the CONTRACTOR shall assure that the amounts of the Bonds are adjusted to maintain 100% of the Contract Price. This Contract shall not become effective until such Bonds are supplied to and approved by OC SAN. Bonds must be issued by a Surety authorized by the State Insurance Commissioner to do business in California. The Performance Bond shall remain in full force and effect through the warranty period, as specified in Section 19 below. All Bonds required to be submitted relating to this Contract must comply with California Code of Civil Procedure Section 995.630. Each Bond shall be executed in the name of the Surety insurer under penalty of perjury, or the fact of execution of each Bond shall be duly acknowledged before an officer authorized to take and certify acknowledgments, and either one of the following conditions shall be satisfied: A. A copy of the transcript or record of the unrevoked appointment, power of attorney, by- laws, or other instrument, duly certified by the proper authority and attested by the seal of the insurer entitling or authorizing the person who executed the Bond to do so for and on behalf of the insurer, is on file in the Office of the County Clerk of the County of Orange; or B. A copy of a valid power of attorney is attached to the Bond. SECTION – 16 INSURANCE CONTRACTOR shall purchase and maintain, for the duration of the Contract, insurance against claims for injuries to persons, or damages to property which may arise from or in connection with the performance of the Work hereunder, and the results of that Work by CONTRACTOR, CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 13 of 25 its agents, representatives, employees, or Subcontractors, in amounts equal to the requirements set forth below. CONTRACTOR shall not commence Work under this Contract until all insurance required under this Section is obtained in a form acceptable to OC SAN, nor shall CONTRACTOR allow any Subcontractor to commence Work on a subcontract until all insurance required of the Subcontractor has been obtained. CONTRACTOR shall maintain all of the foregoing insurance coverages in force through the point at which the Work under this Contract is fully completed and accepted by OC SAN pursuant to the provisions of the General Conditions, “Final Acceptance and Final Completion”. Furthermore, CONTRACTOR shall maintain all of the foregoing insurance coverages in full force and effect throughout the warranty period, commencing on the date of Final Acceptance. The requirement for carrying the foregoing insurance shall not derogate from the provisions for indemnification of OC SAN by CONTRACTOR under Section 17 of this Contract. Notwithstanding nor diminishing the obligations of CONTRACTOR with respect to the foregoing, CONTRACTOR shall subscribe for and maintain in full force and effect during the life of this Contract, inclusive of all changes to the Contract Documents made in accordance with the provisions of the General Conditions, “Request for Change (Changes at CONTRACTOR’s Request)” and/or “OWNER Initiated Changes”, the following insurance in amounts not less than the amounts specified. OC SAN reserves the right to amend the required limits of insurance commensurate with the CONTRACTOR’s risk at any time during the course of the Project. No vehicles may enter OC SAN premises/worksite without possessing the required insurance coverage. CONTRACTOR’s insurance shall also comply with all insurance requirements prescribed by agencies from whom permits shall be obtained for the Work and any other third parties from whom third party agreements are necessary to perform the Work (collectively, the “Third Parties”). The Special Provisions may list such requirements and sample forms and requirements from such Third Parties may be included in an attachment to the General C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 14 of 25 Requirements. CONTRACTOR bears the responsibility to discover and comply with all requirements of Third Parties, including meeting specific insurance requirements, that are necessary for the complete performance of the Work. To the extent there is a conflict between the Third Parties’ insurance requirements and those set forth by OC SAN herein, the requirement(s) providing the more protective coverage for both OC SAN and the Third Parties shall control and be purchased and maintained by CONTRACTOR. If CONTRACTOR maintains higher limits than the minimums shown in this Section, OC SAN requires and shall be entitled to coverage for the higher limits maintained by the CONTRACTOR. Where permitted by law, CONTRACTOR hereby waives all rights of recovery by subrogation because of deductible clauses, inadequacy of limits of any insurance policy, limitations or exclusions of coverage, or any other reason against OC SAN, its or their officers, agents, or employees, and any other contractor or subcontractor performing Work or rendering services on behalf of OC SAN in connection with the planning, development and construction of the Project. In all its insurance coverages (except for Professional Liability/Errors and Omissions coverages, if applicable) related to the Work, CONTRACTOR shall include clauses providing that each insurer shall waive all of its rights of recovery by subrogation against OC SAN, its or their officers, agents, or employees, or any other contractor or subcontractor performing Work or rendering services at the Project. Where permitted by law, CONTRACTOR shall require similar written express waivers and insurance clauses from each of its Subcontractors of every tier. A waiver of subrogation shall be effective as to any individual or entity, even if such individual or entity (a) would otherwise have a duty of indemnification, contractual or otherwise, (b) did not pay the insurance premium, directly or indirectly, and (c) whether or not such individual or entity has an insurable interest in the property damaged. CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 15 of 25 A. Limits of Insurance 1. General Liability: Two Million Dollars ($2,000,000) per occurrence and a general aggregate limit of Four Million Dollars ($4,000,000) for bodily injury, personal injury and property damage. If aggregate limits apply separately to this contract (as evidenced by submission of ISO form CG 25 03 or CG 25 04), then the aggregate limit may be equivalent to the per occurrence limit. Coverage shall include each of the following: a. Premises-Operations. b. Products and Completed Operations, with limits of at least Two Million Dollars ($2,000,000) per occurrence and a general aggregate limit of Four Million Dollars ($4,000,000) which shall be in effect at all times during the warranty period set forth in the Warranty section herein, and as set forth in the General Conditions, “Warranty (CONTRACTOR’s Guarantee)”, plus any additional extension or continuation of time to said warranty period that may be required or authorized by said provisions. If aggregate limits apply separately to this contract (as evidenced by submission of ISO form CG 25 03 or CG 25 04), then the aggregate limit may be equivalent to the per occurrence limit. c. Broad Form Property Damage, expressly including damage arising out of explosion, collapse, or underground damage. d. Contractual Liability, expressly including the indemnity provisions assumed under this Contract. e. Separation of Insured Clause, providing that coverage applies separately to each insured, except with respect to the limits of liability. C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 16 of 25 f. Independent CONTRACTOR’s Liability. To the extent first dollar coverage, including defense of any claim, is not available to OC SAN or any other additional insured because of any SIR, deductible, or any other form of self insurance, CONTRACTOR is obligated to assume responsibility of insurer until the deductible, SIR or other condition of insurer assuming its defense and/or indemnity has been satisfied. CONTRACTOR shall be responsible to pay any deductible or SIR. g. If a crane will be used, the general liability insurance will be endorsed to add Riggers Liability coverage or its equivalent to cover the usage of the crane and exposures with regard to the crane operators, riggers and others involved in using the crane. h. If divers will be used, the general liability insurance will be endorsed to cover marine liability or its equivalent to cover the usage of divers. 2. Automobile Liability: The CONTRACTOR shall maintain a policy of automobile liability insurance on a comprehensive form covering all owned, non-owned, and hired automobiles, trucks, and other vehicles providing the following minimum limit of liability coverage: combined single limit of One Million Dollars ($1,000,000) for bodily injury, personal injury, and property damage. 3. Umbrella Excess Liability: The minimum limits of general liability and automobile liability insurance required, as set forth above, shall be provided for either in a single policy of primary insurance or a combination of policies of primary and umbrella excess coverage. Excess liability coverage shall be issued with limits of liability which, when combined with the primary insurance, will equal the minimum limits for general liability and automobile liability. CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 17 of 25 4. Drone Liability Insurance: If a drone will be used, drone liability insurance must be maintained by CONTRACTOR in the amount of One Million Dollars ($1,000,000) in a form acceptable to OC SAN. 5. Workers’ Compensation/Employer’s Liability: CONTRACTOR shall provide such workers’ compensation insurance as required by the Labor Code of the State of California, including employer’s liability with a minimum limit of One Million Dollars ($1,000,000) per accident for bodily injury or disease. If an exposure to Jones Act liability may exist, the insurance required herein shall include coverage with regard to Jones Act claims. B. Deductibles and Self-Insured Retentions Any deductibles or self-insured retentions must be declared to and approved by OC SAN. At the option of OC SAN, either: the Insurer shall reduce or eliminate such deductibles or self-insured retentions as respects OC SAN, its Directors, officers, agents, consultants, and employees; or CONTRACTOR shall provide a financial guarantee satisfactory to OC SAN guaranteeing payment of losses and related investigations, claim administration, and defense expenses. C. Other Insurance Provisions 1. Each such policy of general liability insurance and automobile liability insurance shall be endorsed to contain, the following provisions: a. OC SAN, its directors, officers, agents, consultants, and employees, and all public agencies from whom permits will be obtained, and their directors, officers, agents, and employees are hereby declared to be additional insureds under the terms of this policy, but only with respect to the operations of CONTRACTOR at or from any of the sites of OC SAN in connection with this C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 18 of 25 Contract, or acts and omissions of the additional insured in connection with its general supervision or inspection of said operations related to this Contract. b. Insurance afforded by the additional insured endorsement shall apply as primary insurance, and other insurance maintained by OC SAN shall be excess only and not contributing with insurance provided under this policy. A statement on an insurance certificate will not be accepted in lieu of the actual additional insured endorsement. 2. Cancellation and Policy Change Notice. The CONTRACTOR is required to notify OC SAN in writing of any insurance cancellation notice it receives or other knowledge of pending or actual insurance policy cancellation within two (2) working days of receipt of such notice or acquisition of such knowledge. Additionally, the CONTRACTOR is required to notify OC SAN in writing of any change in the terms of insurance, including reduction in coverage or increase in deductible/SIR, within two (2) working days of receipt of such notice or knowledge of same. Said notices shall be mailed to OC SAN at: ORANGE COUNTY SANITATION DISTRICT 18480 Bandilier Circle Fountain Valley, CA 92708 Attention: Contracts, Purchasing & Materials Management Division 3. Coverage shall not extend to any indemnity coverage for the active negligence of any additional insured in any case where an agreement to indemnify the additional insured would be invalid under California Civil Code Section 2782(b). 4. If required by a public agency from whom permit(s) will be obtained, each policy of general liability insurance and automobile liability insurance shall be endorsed to CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 19 of 25 specify by name the public agency and its legislative members, officers, agents, consultants, and employees, to be additional insureds. D. Acceptability of Insurers Insurers must have an “A-“, or better, Policyholder’s Rating, and a Financial Rating of at least Class VIII, or better, in accordance with the most current A.M. Best Rating Guide. OC SAN recognizes that State Compensation Insurance Fund has withdrawn from participation in the A.M. Best Rating Guide process. Nevertheless, OC SAN will accept State Compensation Insurance Fund for the required policy of worker’s compensation insurance, subject to OC SAN’s option, at any time during the term of this Contract, to require a change in insurer upon twenty (20) days written notice. Further, OC SAN will require CONTRACTOR to substitute any insurer whose rating drops below the levels herein specified. Said substitution shall occur within twenty (20) days of written notice to CONTRACTOR by OC SAN or its agent. E. Verification of Coverage CONTRACTOR shall furnish OC SAN with original certificates and mandatory endorsements affecting coverage. Said policies and endorsements shall conform to the requirements herein stated. All certificates and endorsements are to be received and approved by OC SAN before Work commences. OC SAN reserves the right to require complete, certified copies of all required insurance policies, including endorsements, affecting the coverage required by these Specifications at any time. F. Subcontractors CONTRACTOR shall be responsible to establish insurance requirements for any Subcontractors hired by CONTRACTOR. The insurance shall be in amounts and types reasonably sufficient to deal with the risk of loss involving the Subcontractor’s operations and work. OC SAN and any public agency issuing permits for the Project must be named C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 20 of 25 as “Additional Insured” on any general liability or automobile liability policy obtained by a Subcontractor. The CONTRACTOR must obtain copies and maintain current versions of all Subcontractors’ policies, certificate of liability and mandatory endorsements effecting coverage. Upon request, CONTRACTOR must furnish OC SAN with the above referenced required documents. G. Required Forms and Endorsements 1. Required ACORD Form a. Certificate of Liability ACORD Form 25 or other equivalent certificate of insurance form 2. Required Insurance Services Office, Inc. Endorsements (when alternative forms are shown, they are Iisted in order of preference) In the event any of the following forms are cancelled by Insurance Services Office, Inc. (ISO), or are updated, the ISO replacement form or equivalent must be supplied. a. Commercial General Liability Form CG 00 01 b. Additional Insured Including Form CG 20 10 and Products-Completed Operations Form CG 20 37 All other additional insured endorsements must be submitted for approval by OC SAN, and OC SAN may reject alternatives that provide different or less coverage to OC SAN. c. Waiver of Transfer of Rights of Form CG 24 04 Recovery Against Others to Us/ Waiver of Subrogation 3. Required State Compensation Insurance Fund Endorsements a. Waiver of Subrogation Submit workers’ compensation waiver of subrogation endorsement provided by carrier for OC SAN approval. CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 21 of 25 b. Cancellation Notice No endorsement is required. However, CONTRACTOR is responsible for notifying OC SAN of any pending or actual insurance policy cancellation, as described in Article C.2., Cancellation and Policy Change Notice, above. 4. Additional Required Endorsements a. Notice of Policy Termination Manuscript Endorsement SECTION – 17 RISK AND INDEMNIFICATION All Work covered by this Contract done at the site of construction or in preparing or delivering materials to the site shall be at the risk of CONTRACTOR alone. CONTRACTOR shall save, indemnify, defend, and keep OC SAN and others harmless as more specifically set forth in General Conditions, “General Indemnification”. SECTION – 18 TERMINATION This Contract may be terminated in whole or in part in writing by OC SAN in the event of substantial failure by the CONTRACTOR to fulfill its obligations under this Contract Agreement, or it may be terminated by OC SAN for its convenience provided that such termination is effectuated in a manner and upon such conditions set forth more particularly in General Conditions, “Termination for Default” and/or “Termination for Convenience”, provided that no termination may be effected unless proper notice is provided to CONTRACTOR at the time and in the manner provided in said General Conditions. If termination for default or convenience is effected by OC SAN, an equitable adjustment in the price provided for in this Contract shall be made at the time and in the manner provided in the General Conditions, “Termination for Default” and “Termination for Convenience”. SECTION – 19 WARRANTY The CONTRACTOR agrees to perform all Work under this Contract in accordance with the Contract Documents, including OC SAN’s designs, Drawings and Specifications. C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 22 of 25 The CONTRACTOR guarantees for a period of at least one (1) year from the date of Final Acceptance of the Work, pursuant to the General Conditions, “Final Acceptance and Final Completion” that the completed Work is free from all defects due to faulty materials, equipment or workmanship and that it shall promptly make whatever adjustments or corrections which may be necessary to cure any defects, including repairs of any damage to other parts of the system resulting from such defects. OC SAN shall promptly give notice to the CONTRACTOR of observed defects. In the event that the CONTRACTOR fails to make adjustments, repairs, corrections or other work made necessary by such defects, OC SAN may do so and charge the CONTRACTOR the cost incurred. The CONTRACTOR’s warranty shall continue as to any corrected deficiency until the later of (1) the remainder of the original one-year warranty period; or (2) one year after acceptance by OC SAN of the corrected Work. The Performance Bond and the Payment Bond shall remain in full force and effect through the guarantee period. The CONTRACTOR’s obligations under this clause are in addition to the CONTRACTOR’s other express or implied assurances under this Contract, including but not limited to specific manufacturer or other extended warranties specified in the Plans and Specifications, or state law and in no way diminish any other rights that OC SAN may have against the CONTRACTOR for faulty materials, equipment or Work. SECTION – 20 ASSIGNMENT No assignment by the CONTRACTOR of this Contract or any part hereof, or of funds to be received hereunder, will be recognized by OC SAN unless such assignment has had prior written approval and consent of OC SAN and the Surety. SECTION – 21 RESOLUTION OF DISPUTES OC SAN and the CONTRACTOR shall comply with the provisions of California Public Contract Code Section 20104 et. seq., regarding resolution of construction claims for any Claims which CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 23 of 25 arise between the CONTRACTOR and OC SAN, as well as all applicable dispute and Claims provisions as set forth in the General Conditions and as otherwise required by law. SECTION – 22 SAFETY & HEALTH CONTRACTOR shall comply with all applicable safety and health requirements mandated by federal, state, city and/or public agency codes, permits, ordinances, regulations, and laws, as well as these Contract Documents, including but not limited to the General Requirements, Section entitled “Safety” and Exhibit B Contractor Safety Standards. OC SAN reserves the right to stop Work for violations of safety and health standards until the hazardous conditions are corrected. The right to stop Work includes the right to remove a contractor or its employees from the worksite. SECTION – 23 CALIFORNIA VOLUNTARY PROTECTION PROGRAM ANNUAL REPORTING REQUIREMENT If CONTRACTOR will potentially work 1,000 combined hours in a quarter, for the term of the Contract Agreement, CONTRACTOR shall provide an annual report detailing its safety and health information, including, but not limited to, its total number of employees, work hours, number of injuries and illnesses, and number of injury and illness cases involving days away from work, restricted work activity and/or job transfer. CONTRACTOR shall furnish this report to OC SAN no later than January 20th each calendar year. Failure to provide this data by the required due date may result in suspension of CONTRACTOR’s services with OC SAN. Any delay arising out of or resulting from such suspension shall be CONTRACTOR’s sole responsibility and considered CONTRACTOR caused delay, which shall not be compensable by OC SAN. SECTION – 24 HUMAN RESOURCES POLICIES CONTRACTOR and its Subcontractors shall comply with and ensure their employees adhere to OC SAN’s Human Resources Policies attached hereto as Exhibit C. C-CA-050625 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 24 of 25 SECTION – 25 NOTICES Any notice required or permitted under this Contract shall be served by personal delivery or by certified mail, return receipt requested, at the address set forth below. Unless specified elsewhere in the Contract Documents or otherwise required by law, any notice may alternatively be given by electronic telecommunication to the email address set forth below. Any party whose address changes shall notify the other party in writing. TO OC SAN: Orange County Sanitation District 18480 Bandilier Circle Fountain Valley, California 92708 Attn: Clerk of the Board ocsanclerk@ocsan.gov Copy to: Orange County Sanitation District 18480 Bandilier Circle Fountain Valley, California 92708 Attn: Construction Manager rcuellar@ocsan.gov Scott C. Smith Best Best & Krieger LLP 18101 Von Karman Avenue, Suite 1000 Irvine, California 92612 scott.smith@bbklaw.com TO CONTRACTOR: James Culwell, President Metrocell Construction, Inc. 16051 Crosswind Avenue Chino, CA 91708 Bids@metrocell.org James.culwell@metrocell.org CONFORMED C-CA-050625 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 25 of 25 IN WITNESS WHEREOF, the parties hereto have executed this Contract Agreement as the date first hereinabove written. CONTRACTOR: Metrocell Construction, Inc. 16051 Crosswind Avenue Chino, CA 91708 By______________________________ Date _________________ ______________________________ Printed Name Its______________________________ CONTRACTOR’s State License No. 829469 (Expiration Date – 5/31/2026) OC SAN: Orange County Sanitation District By______________________________ Date _________________ Ryan P. Gallagher Board Chairman By______________________________ Date _________________ Kelly A. Lore Clerk of the Board By______________________________ Date _________________ Kevin Work Purchasing & Contracts Manager C-EXA-013025 EXHIBIT A SCHEDULE OF PRICES C-EXA-013025 TABLE OF CONTENTS EXHIBIT A SCHEDULE OF PRICES EXA-1 BASIS OF COMPENSATION ............................................................................. 1 EXA-2 PROGRESS PAYMENTS .................................................................................. 1 EXA-3 RETENTION AND ESCROW ACCOUNTS ........................................................ 1 EXA-4 STOP PAYMENT NOTICE ................................................................................. 3 EXA-5 PAYMENT TO SUBCONTRACTORS ................................................................ 3 EXA-6 PAYMENT OF TAXES ....................................................................................... 3 EXA-7 FINAL PAYMENT ............................................................................................... 4 EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT ... 6 ATTACHMENT 1 – CERTIFICATION FOR REQUEST FOR PAYMENT ......................... 7 ATTACHMENT 2 – SCHEDULE OF PRICES ................................................................... 8 CONFORMED C-EXA-013025 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 1 of 8 EXHIBIT A SCHEDULE OF PRICES EXA-1 BASIS OF COMPENSATION CONTRACTOR will be paid the Contract Price according to the Schedule of Prices, and all other applicable terms and conditions of the Contract Documents. EXA-2 PROGRESS PAYMENTS Progress payments will be made in accordance with all applicable terms and conditions of the Contract Documents, including, but not limited to: 1. Contract Agreement – Section 11 – “Contract Price and Method of Payment;” 2. General Conditions – “Payment – General”; 3. General Conditions – “Payment – Applications for Payment”; 4. General Conditions – “Payment – Mobilization Payment Requirements;” 5. General Conditions – “Payment – Itemized Breakdown of Contract Lump Sum Prices”; 6. General Conditions – "Contract Price Adjustments and Payments”; 7. General Conditions – “Suspension of Payments”; 8. General Conditions – “OC SAN’s Right to Withhold Certain Amounts and Make Application Thereof”; and 9. General Conditions – “Final Payment.” EXA-3 RETENTION AND ESCROW ACCOUNTS A. Retention: OC SAN shall retain a percentage of each progress payment to assure satisfactory completion of the Work. The amount to be retained from each progress payment shall be determined as provided in General Conditions – “Retained Funds; Substitution of Securities”. In all contracts between CONTRACTOR and its Subcontractors and/or Suppliers, the retention may not exceed the percentage specified in the Contract Documents. C-EXA-013025 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 2 of 8 B. Substitution of Securities: CONTRACTOR may, at its sole expense, substitute securities as provided in General Conditions – “Retained Funds; Substitution of Securities.” Payment of Escrow Agent: In lieu of substitution of securities as provided above, the CONTRACTOR may request and OC SAN shall make payment of retention earned directly to the escrow agent at the expense of the CONTRACTOR. At the expense of the CONTRACTOR, the CONTRACTOR may direct the investment of the payments into securities consistent with Government Code §16430 and the CONTRACTOR shall receive the interest earned on the investments upon the same terms provided for in this article for securities deposited by the CONTRACTOR. Upon satisfactory completion of the Contract, the CONTRACTOR shall receive from the escrow agent all securities, interest and payments received by the escrow agent from OC SAN, pursuant to the terms of this article. The CONTRACTOR shall pay to each Subcontractor, not later than twenty (20) calendar days after receipt of the payment, the respective amount of interest earned, net of costs attributed to retention withheld from each Subcontractor, on the amount of retention withheld to ensure the performance of the Subcontractor. The escrow agreement used by the escrow agent pursuant to this article shall be substantially similar to the form set forth in §22300 of the California Public Contract Code. C. Release of Retention: Upon Final Acceptance of the Work, the CONTRACTOR shall submit an invoice for release of retention in accordance with the terms of the Contract. D. Additional Deductibles: In addition to the retentions described above, OC SAN may deduct from each progress payment any or all of the following: 1. Liquidated Damages that have occurred as of the date of the application for progress payment; 2. Deductions from previous progress payments already paid, due to OC SAN’s discovery of deficiencies in the Work or non-compliance with the Specifications or any other requirement of the Contract; 3. Sums expended by OC SAN in performing any of the CONTRACTOR’S obligations under the Contract that the CONTRACTOR has failed to perform, and; 4. Other sums that OC SAN is entitled to recover from the CONTRACTOR under the terms of the Contract, including without limitation insurance deductibles and assessments. CONFORMED C-EXA-013025 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 3 of 8 The failure of OC SAN to deduct any of the above-identified sums from a progress payment shall not constitute a waiver of OC SAN’s right to such sums or to deduct them from a later progress payment. EXA-4 STOP PAYMENT NOTICE In addition to other amounts properly withheld under this article or under other provisions of the Contract, OC SAN shall retain from progress payments otherwise due the CONTRACTOR an amount equal to one hundred twenty-five percent (125%) of the amount claimed under any stop payment notice under Civil Code §9350 et. seq. or other lien filed against the CONTRACTOR for labor, materials, supplies, equipment, and any other thing of value claimed to have been furnished to and/or incorporated into the Work; or for any other alleged contribution thereto. In addition to the foregoing and in accordance with Civil Code §9358 OC SAN may also satisfy its duty to withhold funds for stop payment notices by refusing to release funds held in escrow pursuant to public receipt of a release of stop payment notice executed by a stop payment notice claimant, a stop payment notice release bond, an order of a court of competent jurisdiction, or other evidence satisfactory to OC SAN that the CONTRACTOR has resolved such claim by settlement. EXA-5 PAYMENT TO SUBCONTRACTORS Requirements 1. The CONTRACTOR shall pay all Subcontractors for and on account of Work performed by such Subcontractors, not later than seven (7) days after receipt of each progress payment as required by the California Business and Professions Code §7108.5. Such payments to Subcontractors shall be based on the measurements and estimates made pursuant to article progress payments provided herein. 2. Except as specifically provided by law, the CONTRACTOR shall pay all Subcontractors any and all retention due and owing for and on account of Work performed by such Subcontractors not later than seven (7) days after CONTRACTOR’S receipt of said retention proceeds from OC SAN as required by the California Public Contract Code §7107. EXA-6 PAYMENT OF TAXES Unless otherwise specifically provided in this Contract, the Contract Price includes full compensation to the CONTRACTOR for all taxes. The CONTRACTOR shall pay all federal, state, and local taxes, and duties applicable to and assessable against any Work, including but not limited to retail sales and use, transportation, export, import, business, and special taxes. The CONTRACTOR shall ascertain and pay the taxes when due. The CONTRACTOR will maintain auditable records, subject to OC SAN reviews, confirming that tax payments are current at all times. C-EXA-013025 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 4 of 8 EXA-7 FINAL PAYMENT After Final Acceptance of the Work, as more particularly set forth in the General Conditions, “Final Acceptance and Final Completion”; and after authorization by the General Manager of the final payment and satisfaction of the requirements as more particularly set forth in General Conditions – “Final Payment”, a final payment will be made as follows: 1. Prior to Final Acceptance, the CONTRACTOR shall prepare and submit an application for Final Payment to OC SAN, including: a. The proposed total amount due the CONTRACTOR, segregated by items on the payment schedule, amendments, Change Orders, and other bases for payment; b. Deductions for prior progress payments; c. Amounts retained; d. A conditional waiver and release on final payment for each Subcontractor (per Civil Code Section 8136); e. A conditional waiver and release on final payment on behalf of the CONTRACTOR (per Civil Code Section 8136); f. List of Claims the CONTRACTOR intends to file at that time or a statement that no Claims will be filed, g. List of pending unsettled claims, stating claimed amounts, and copies of any and all complaints and/or demands for arbitration received by the CONTRACTOR; and h. For each and every claim that resulted in litigation or arbitration which the CONTRACTOR has settled, a conformed copy of the Request for Dismissal with prejudice or other satisfactory evidence the arbitration is resolved. 2. The application for Final Payment shall include complete and legally effective releases or waivers of liens and stop payment notices satisfactory to OC SAN, arising out of or filed in connection with the Work. Prior progress payments shall be subject to correction in OC SAN’s review of the application for Final Payment. Claims filed with the application for Final Payment must be otherwise timely under the Contract and applicable law. 3. Within a reasonable time, OC SAN will review the CONTRACTOR’S application for Final Payment. Any recommended changes or corrections will then be forwarded to the CONTRACTOR. Within ten (10) calendar days after receipt of recommended changes from OC SAN, the CONTRACTOR will make the changes, or list Claims that will be filed as a result of the CONFORMED C-EXA-013025 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 5 of 8 changes, and shall submit the revised application for Final Payment. Upon acceptance by OC SAN, the revised application for Final Payment will become the approved application for Final Payment. 4. If no Claims have been filed with the initial or any revised application for Final Payment, and no Claims remain unsettled within thirty-five (35) calendar days after the date of recordation of the Notice of Completion by OC SAN, and agreements are reached on all issues regarding the application for Final Payment, OC SAN, in exchange for an executed release, satisfactory in form and substance to OC SAN, will pay the entire sum found due on the approved application for Final Payment, including the amount, if any, allowed on settled Claims. 5. The release from the CONTRACTOR shall be from any and all Claims arising under the Contract, except for Claims that with the concurrence of OC SAN are specifically reserved, and shall release and waive all unreserved Claims against OC SAN and its officers, directors, employees and authorized representatives. The release shall be accompanied by a certification by the CONTRACTOR that: a. It has resolved all Subcontractors, Suppliers and other Claims that are related to the settled Claims included in the Final Payment; b. It has no reason to believe that any party has a valid claim against the CONTRACTOR or OC SAN which has not been communicated in writing by the CONTRACTOR to OC SAN as of the date of the certificate; c. All warranties are in full force and effect, and; d. The releases and the warranties shall survive Final Payment. 6. If any claims remain open, OC SAN may make Final Payment subject to resolution of those claims. OC SAN may withhold from the Final Payment an amount not to exceed one hundred fifty percent (150%) of the sum of the amounts of the open claims, and one hundred twenty-five percent (125%) of the amounts of open stop payment notices referred to in article entitled Stop Payment Notice herein. 7. The CONTRACTOR shall provide an unconditional waiver and release on final payment from each Subcontractor and Supplier providing Work under the Contract (per Civil Code Section 8138) and an unconditional waiver and release on final payment on behalf of the CONTRACTOR (per Civil Code Section 8138) within thirty (30) days of receipt of Final Payment. C-EXA-013025 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 6 of 8 EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT Notwithstanding OC SAN’s acceptance of the application for Final Payment and irrespective of whether it is before or after Final Payment has been made, OC SAN shall not be precluded from subsequently showing that: 1. The true and correct amount payable for the Work is different from that previously accepted; 2. The previously accepted Work did not in fact conform to the Contract requirements, or; 3. A previous payment or portion thereof for Work was improperly made. OC SAN also shall not be stopped from demanding and recovering damages from the CONTRACTOR, as appropriate, under any of the foregoing circumstances as permitted under the Contract or applicable law. CONFORMED C-EXA-013025 PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 7 of 8 ATTACHMENT 1 – CERTIFICATION FOR REQUEST FOR PAYMENT I hereby certify under penalty of perjury as follows: That the claim for payment is in all respects true, correct; that the services mentioned herein were actually rendered and/or supplies delivered to OC SAN in accordance with the Contract. I understand that it is a violation of both the federal and California False Claims Acts to knowingly present or cause to be presented to OC SAN a false claim for payment or approval. A claim includes a demand or request for money. It is also a violation of the False Claims Acts to knowingly make use of a false record or statement to get a false claim paid. The term "knowingly" includes either actual knowledge of the information, deliberate ignorance of the truth or falsity of the information, or reckless disregard for the truth or falsity of the information. Proof of specific intent to defraud is not necessary under the False Claims Acts. I understand that the penalties under the Federal False Claims Act and State of California False Claims Act are non-exclusive, and are in addition to any other remedies which OC SAN may have either under contract or law. I hereby further certify, to the best of my knowledge and belief, that: 1. The amounts requested are only for performance in accordance with the Specifications, terms, and conditions of the Contract; 2. Payments to Subcontractors and Suppliers have been made from previous payments received under the Contract, and timely payments will be made from the proceeds of the payment covered by this certification; 3. This request for progress payments does not include any amounts which the prime CONTRACTOR intends to withhold or retain from a Subcontractor or Supplier in accordance with the terms and conditions of the subcontract; and 4. This certification is not to be construed as Final Acceptance of a Subcontractor’s performance. _________________________________________ Name _________________________________________ Title _________________________________________ Date C-EXA-013025 CONFORMED PROJECT NO. FE23-07 PIPELINE UTILITY EASEMENT CLEAN UP IN HUNTINGTON BEACH Page 8 of 8 ATTACHMENT 2 – SCHEDULE OF PRICES See next pages from the Bid Submittal Forms (Metrocell Construction, Inc.) BF-14 Schedule of Prices, Pages 1-2 OPERATIONS COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4547 Agenda Date:10/22/2025 Agenda Item No:10. FROM:Robert Thompson, General Manager Originator: Mike Dorman, Director of Engineering SUBJECT: PROGRESSIVE DESIGN BUILD PROJECT AWARD AUTHORIZATION GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Provide direction to develop a Resolution of the Board of Directors for future consideration that will delegate to the General Manager the ability to amend contracts of selected design-builders,after the total Progressive Design-Build contract amount and initial Phase 1 Design contract are approved by the Board. BACKGROUND Orange County Sanitation District (OC San)is beginning to utilize the Progressive Design-Build (PDB)contracting model to execute a maximum of ten PDB projects,each greater than $5 million in construction value,in accordance with Senate Bill 278.PDB projects have a minimum of two contract phases.Phase 1 includes preliminary design,budget development,and negotiation of a guaranteed maximum price (GMP).Phase 2 includes final design,construction,and project delivery under the agreed-upon GMP.Some projects may have early procurement and/or early start contracts. RELEVANT STANDARDS ·Ensure the public’s money is wisely spent ·Sound engineering and accounting practices, complying with local, state, and federal laws ·Comply with Government Code Section 22185 of the Public Contracting Code (PCC,Division 2, Part 3, Chapter 4.7) PROBLEM Under the current procedure,the Board will approve the award of the Phase 1 Design contract for the Design-Builder (DB).At the end of Phase 1 (typically 60%design),the DB will develop a GMP.This price will then be negotiated,and a contract will be awarded to execute Phase 2.It takes approximately three months to go to the Board for contract approval.The time required to award additional contracts to the DB will result in a pause in the DB’s work. Orange County Sanitation District Printed on 10/14/2025Page 1 of 2 powered by Legistar™ File #:2025-4547 Agenda Date:10/22/2025 Agenda Item No:10. PROPOSED SOLUTION Create a process where the Board approves the overall PDB contract amount,award the Phase 1 DB contract,and authorize the General Manager,through a resolution,to amend the contract to the DB within the overall contract amount awarded by the Board of Directors to timely execute the work and maintain an efficient project schedule. TIMING CONCERNS OC San is scheduled to award the first PDB contract for Ocean Outfalls Rehabilitation,Project No.J- 137, in November 2025. RAMIFICATIONS OF NOT TAKING ACTION Without a process and resolution in place,OC San would need to bring each DB contract to the Board separately, resulting in a longer project schedule and potential delays to the critical path. PRIOR COMMITTEE/BOARD ACTIONS November 2024 -Approve a Professional Services Agreement with Hazen and Sawyer to provide engineering services for Progressive Design-Build Owner Advisor,Program Management,and Professional Engineering Support Services,Project No.PDB24-00,for an amount not to exceed $19,340,000;and approve a contingency of $1,934,000 (10%);and find approval of the Professional Services Agreement with Hazen and Sawyer is not a project subject to the California Environmental Quality Act. ATTACHMENT The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda package: ·Presentation VR:lb Orange County Sanitation District Printed on 10/14/2025Page 2 of 2 powered by Legistar™ 10/15/2025 1 Progressive Design-Build Project Award Authorization Presented by: Don Cutler Engineering Manager Operations Committee October 1, 2025 2 Design-Bid-Build vs. Progressive Design-Build Preliminary Design Final Design Bid Construction Phase 1 – Design/ Preconstruction Services Final Design Construction Potential Time Savings Traditional Design-Bid-Build (DBB) Method Progressive Design-Build (PDB) Method Cost Established Cost Established 1 2 10/15/2025 2 Program Framework 3 Procurement • RFQ/RFP • Terms List Contract • Agreements • Conditions and Requirements Structure • Cost Control • Document Control Rubric Provides a Screening Tool 4 RiskRisk Design InnovationDesign Innovation Operational ConsiderationOperational Consideration Budget and ScheduleBudget and SchedulePass StrongStrong PotentialPotential WeakWeakIN I T I A L S C R E E N I N G IN I T I A L S C R E E N I N G Project Project RUBRIC SCORING PROCESS •Two limiting factors •Four material considerations 3 4 10/15/2025 3 Rubric Provides a Screening Tool 5 RiskRisk Design InnovationDesign Innovation Operational ConsiderationOperational Consideration Budget and ScheduleBudget and SchedulePass No Pass StrongStrong PotentialPotential WeakWeakIN I T I A L S C R E E N I N G IN I T I A L S C R E E N I N G Project Project Disqualified from PDB Consideration Disqualified from PDB Consideration RUBRIC SCORING PROCESS Active Procurements •J-137: Ocean Outfalls Rehabilitation •P2-141: Headworks Electrical Distribution Improvements at Plant No. 2 Scope Development •J-133: Laboratory Replacement at Plant No. 1 •J-143: Deep Well Biosolids Management Facility •P2-138: Operations and Maintenance Complex at Plant No. 2 Initial PDB Project Starts for 2025 6 5 6 10/15/2025 4 Early Start or Procurement Activities 7 Preconstruction Services Final Design Construction Progressive Design-Build Method Guaranteed Maximum Price (GMP) Early Start/Procurement Phase 1 Design Phase 2 Final Design/GMP Construction GMP Issued Final CompletionPreliminary Design 60% DesignNTP PDB Contract Award – Delegate GM Authority 8 Phase 1 – Design/Preconstruction Services Early Start Construction Phase 2 – Final Design/Construction Board Action No. 1 Early Equipment Procurement •Approve the PDB Contract for Phase 1 Design/Preconstruction Services •Approve a total PDB Contract upper limit •Authorize the GM to execute amendments up to the contract upper limit 7 8 10/15/2025 5 GMP Issued Final CompletionPreliminary Design 60% DesignNTP PDB Contract Award – Delegate GM Authority 9 Phase 1 – Design/Preconstruction Services Early Start Construction Phase 2 – Final Design/Construction Board Action No. 1 Early Equipment Procurement GM Amendment GM Amendment GMP Issued •Approve the PDB Contract for Phase 1 Design/Preconstruction Services •Approve a total PDB Contract upper limit •Authorize the GM to execute amendments up to the contract upper limit GM Amendment GMP Issued Final CompletionPreliminary Design 60% DesignNTP Secondary Board Action - Budget Adjustment 10 Early Start Construction Phase 2 – Final Design/Construction Board Action No. 2 Early Equipment Procurement Approval to increase Design-Build contract upper limit (as needed) Phase 1 – Design/Preconstruction Services 9 10 10/15/2025 6 11 Recommendation Recommend the Board of Directors to: Provide direction to develop a Resolution of the Board of Directors for future consideration that will delegate to the General Manager the ability to amend contracts of selected design-builders, after the total Progressive Design-Build contract amount and initial Phase 1 Design contract are approved by the Board. Questions? 12 11 12 OPERATIONS COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4548 Agenda Date:10/22/2025 Agenda Item No:11. FROM:Robert Thompson, General Manager Originator: Mike Dorman, Director of Engineering SUBJECT: ENGINEERING DEPARTMENT STAFFING PLAN GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Direct the General Manager to shift staffing from the current Supplemental Engineering Services model toward a direct hiring model to support the existing Capital Improvement Program execution, and implement the plan over four years through the normal budget process. BACKGROUND Since 2002,Orange County Sanitation District (OC San)has used Professional Service Agreements for supplemental staffing to meet workload demands of the Capital Improvement Program (CIP)and small projects funded through both capital and operating budgets.Over the last five years, supplemental staffing has grown from 20 to 53 positions as planned in prior agreements.The existing supplemental staffing contracts are nearing their expiration.In order to prepare for the solicitation of new supplemental staffing contracts,staff roles and responsibilities were updated,and project staffing requirements were reviewed for the next 10 years.This analysis confirmed the long- term need for the current total staffing levels,which includes direct OC San staff members and supplemental contract staffing,to deliver necessary projects for the next 10-years.Supplemental staff will be required in construction management and certain technical disciplines to support increased construction activity over the next five years at a minimum. This staffing plan analysis completes the FY2025-2026 General Manager’s Work Plan Goal to create a CIP staffing plan by December 31,2025,to minimize Supplemental Engineering Services,improve succession planning, and streamline the project delivery process. The existing Supplemental Engineering Services contract (May 2022 -May 2027)will expire in May 2027.A request for proposal will be sent out late October 2025 to allow a one-year overlap with the existing contract to provide a smooth transition between contracts.The estimated supplemental staffing levels in the request for proposal will reflect the direction from the Board of Directors regarding direct versus SES staffing levels. Orange County Sanitation District Printed on 10/14/2025Page 1 of 3 powered by Legistar™ File #:2025-4548 Agenda Date:10/22/2025 Agenda Item No:11. RELEVANT STANDARDS ·Cultivate a highly qualified, well-trained, and diverse workforce ·Promote employee job satisfaction ·Plan for and execute succession, minimizing vacant position times PROBLEM The supplemental staffing contracts have served OC San well over the past 23 years and have helped OC San meet the full secondary consent decree and execute many successful projects.In recent years,the number of supplemental staffing has increased to meet growing project execution needs.Supplemental staffing now accounts for over 40%of the Engineering Department’s project delivery workforce.In the Construction Division,supplemental staffing represents almost 47%of the workforce,a particularly high ratio compared to OC San staff.Retaining supplemental staffing has sometimes been a challenge,leading to project staffing gaps and the loss of valuable project knowledge. PROPOSED SOLUTION Fill required project delivery staffing requirements by shifting long-term support positions from contract staffing to OC San full-time positions to gradually decrease supplemental staff over the next four years.The plan adds four new Supervisors,two new Planning Division Engineers to better control the current workload,and 33 positions to directly replace supplemental project delivery staff. The positions include: ·Division 740 -Planning:Add one Senior Engineer to serve as technical lead for collections asset management and one Engineer to support plant maintenance projects. ·Division 750 -Project Management Office:Add one Engineering Supervisor to support project oversight.Distribute CIP and small projects evenly across three Supervisors,rather than separating them into a Project Management Group and a Small Project Delivery Group.Add three Engineers and one Associate Engineer. ·Division 760 -Design:Establish a Commissioning/Shutdown Group by adding one Engineering Supervisor,one Senior Engineer,one Engineer,and one Associate Engineer to provide dedicated support for commissioning and shutdown coordination.Add one civil/mechanical collections Engineer,one electrical Engineer,one Associate electrical Engineer,and one Associate Instrumental &Control Engineer.In the Process Controls Integration Group,add one Principal IT Analyst,one Senior IT Analyst,and one IT Analyst III to provide secure and reliable control systems for collections and plant facilities,and oversight of the fiber optic system. ·Division 770 -Construction Management:Add one Engineering Supervisor,eight resident Engineers (two Senior Engineers and six Engineers)and one Planner/Scheduler.For inspections,add one civil/mechanical Inspection Supervisor,eight civil/mechanical Inspectors (two Senior Construction Inspectors and six Construction Inspectors),and two electrical/ Instrumental & Control Engineer Inspectors. Shifting to OC San’s in-house staffing will reduce turnover,preserve expertise,improve project continuity,strengthen succession planning,support the transfer of institutional knowledge,and Orange County Sanitation District Printed on 10/14/2025Page 2 of 3 powered by Legistar™ File #:2025-4548 Agenda Date:10/22/2025 Agenda Item No:11. enhance project oversight by creating a more balanced staff-to-supervisor ratio. TIMING CONCERNS With the growing CIP workload,the staff-to-supervisor ratio will increase,making it more difficult to provide effective project oversight.Staffing levels are expected to rise over the next five years to match project workload. RAMIFICATIONS OF NOT TAKING ACTION OC San will continue using supplemental staffing to deliver specialty technical support and provide for short-term capacity in support of CIP and small projects.Some engineering groups will continue to have high staff-to-supervisor ratios, making it difficult to provide adequate project oversight. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION N/A CEQA N/A FINANCIAL CONSIDERATIONS This staffing plan is expected to save approximately $950,000 annually. ATTACHMENT The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda package: ·Engineering Department 2025 Staffing Plan ·Presentation MD:lb Orange County Sanitation District Printed on 10/14/2025Page 3 of 3 powered by Legistar™ Engineering Department Staffing Plan October 1, 2025 Engineering Department Staffing Plan Page 1 Chapter 1 Purpose and Background PURPOSE OC San currently relies on contract staff to support execution of the Capital Improvement Program (CIP) and small projects. The small projects consist of Facility Engineering (FE) (CIP funded) and Facility Replacement (FR) (operationally funded) projects. This request seeks approval to shift the staffing philosophy to hire additional full-time-equivalent (FTE) positions to reduce reliance on contract resources. Expanding in-house staffing will strengthen succession planning, support the transfer of institutional knowledge, and improve project oversight by achieving a more manageable staff-to-supervisor ratio. This document outlines the future staffing resources required by the Engineering Department to meet the CIP and small project needs over the next 10 years and describes the benefit of hiring additional OC San staff and enhancing the supervisory structure. BACKGROUND 1.1.1 ENGINEERING DEPARTMENT A. The Engineering Department includes four divisions that are responsible for the planning and execution of CIP and small projects. 1. Planning: Supports OC San’s long-term infrastructure strategy by maintaining the CIP, guiding project prioritization using asset management, and coordinating capacity planning. The division performs system modeling, manages permitting functions, monitors trends affecting infrastructure needs, and provides technical input for CEQA and policy decisions. 2. Project Management Office (PMO): Manages CIP and small projects with a focus on scope, schedule, budget, and risk management. 3. Design: Provides technical leadership on projects during planning, design, and construction. Provides commissioning oversight and support. Provides secure and reliable control systems for the collections and plant facilities. 4. Construction Management: Provides construction management services to ensure CIP and small projects are safely constructed in accordance with all applicable construction and engineering codes and standards and in compliance with the contract documents. 1.1.2 CAPITAL IMPROVEMENT PROGRAM IS INCREASING A. The CIP has been steadily increasing in value, complexity, and number of projects since it hit a low of $80M after the completion of the 2012 full secondary consent decree, requiring a proportional increase in the number of staffing resources. Fiscal year 2024-25 had a net cashflow of $245M. OC San currently has approximately 110 active CIP projects valued at around $4 billion. Over the next 4 years, the CIP will continue to ramp up to over $350M, with a 20-year net CIP of $6.7 billion. Engineering Department Staffing Plan Page 2 Figure 1 – 20-Year Net CIP (FY25-26) 1.1.3 ADDITIONAL MAINTENANCE SUPPORT A. In 2019, OC San reorganized the Operations, Maintenance, and Engineering (OME) Departments to provide a more focused asset management approach and create a Small Project Delivery Group within Engineering. This was accomplished by moving engineers and a supervisor from Maintenance to Engineering, leaving O&M with three process engineers dedicated to support daily plant operations. B. The reorganization expanded the asset management group within the Engineering Department and assigned asset engineers to collections, pump stations, and plant areas. The areas in the plants match the O&M area teams. This reorganization was very successful in creating a close, integral partnership between Engineering and O&M, with the asset engineers serving as the first point of contact for engineering assistance. The asset engineers also support the execution of small operationally funded maintenance projects, which often use a pre-approved list of maintenance contractors to expedite repair work with a construction cost up to $500,000. C. The Small Project Delivery Group oversees the execution of FE and FR projects, which utilize consultant design and construction services with fees up to $500,000. These include both Public Works and non-Public Works repair projects, such as valve replacements at pump stations, pump replacements requiring modifications, piping replacements, HVAC replacements, roof repairs, and motor starter replacements. These projects play a critical role in ensuring reliable collections and plant operations in the periods between larger CIP projects, which are typically executed every 25 years. D. The OME reorganization has been very beneficial to OC San’s operations. It came at a critical time when Maintenance’s workload was increasing due to the addition of full secondary facilities, thickening and dewatering facilities, and aging of existing assets. Proper maintenance and timely repair of these assets are essential to ensuring reliable facility operations, maintaining permit compliance, phasing and sequencing work for CIP projects, and maintaining consistent flows to the Orange County Water District’s Ground Water Replenishment System. As a result of the reorganization, Engineering has supported and executed a significantly greater number of small projects. The growth in small project spending since 2019 is shown in Figure 2. The small project workload requires approximately 25 staff across the Engineering Department’s various Engineering Department Staffing Plan Page 3 roles to keep up with the demand. Although successful and important, this additional workload does place additional demands and project coordination effort on an already busy project execution process. Figure 2 - Small Project Spending 1.1.4 SUPPLEMENTAL STAFFING A. For more than 20 years, OC San has utilized professional service agreements for supplemental staffing to meet the CIP and small project workload demands. This initially began with the use of contract staffing firms to bring in select staff. Starting in 2002, multi-year program management contracts were used to provide supplemental resources to meet the full secondary consent decree and CIP workload. See Figure 3 for supplemental staffing levels. 1. Integrated Program Management Consultants (IPMC) (2002 - 2012) 2. Supplemental Engineering Services (2012 - 2017) 3. Supplemental Engineering Services (2017 - 2022) 4. Supplemental Engineering Services (2022 - 2027) (Jacobs and AECOM) 5. Programming Professional Services (2022 – 2027) (Enterprise Automation and Rockwell Automation) Engineering Department Staffing Plan Page 4 Figure 3 - Supplemental Staffing Levels B. The supplemental staffing contracts have served OC San well and helped OC San to execute the CIP and small projects. Contract staff retention has been a challenge at times, creating temporary gaps and loss of project knowledge. Expanding additional OC San staff will reduce staff turnover, preserve expertise, improve continuity in project execution, and maintain institutional knowledge. C. While the supplemental staffing firms provide supervision, performance reviews, training, and coaching for their teams, OC San’s supervisors remain actively involved in workload distribution, technical problem solving, and commercial dispute resolution. OC San’s management staff need to interact with the supplemental staffing firms to provide knowledge of OC San’s execution process and standards, provide general project oversight, manage project and program risks, understand and approve major decisions, provide knowledge of project interdependencies, and support collaboration with project stakeholders. D. A new Supplemental Engineering Services (SES) request for proposal will be sent out in October 2025 for Fiscal Years 2026-27 to 2031-32. 1.1.5 PROGRESSIVE DESIGN-BUILD A. OC San is in the process of developing a program to utilize progressive design-build to execute a select number of projects. Currently legislation allows OC San to execute 10 projects, each at least $5M in value. OC San will be awarding the first progressive design-build project in November 2025 and is currently planning to execute several additional projects using this procurement method. This procurement method is expected to require less engineering design and construction management resources since the design and construction quality assurance/quality control is owned by the design-builder. Progressive design-build provides a faster project execution process and will allow OC San to execute projects with fewer overall resources from the Engineering Department. $0 $50 $100 $150 $200 $250 $300 0 10 20 30 40 50 60 FY12-13 FY14-15 FY16-17 FY18-19 FY20-21 FY22-23 FY24-25 Supplemental Staffing (Average FTE per Fiscal Year) AECOM Enterprise Automation Jacobs Maverick Technologies CIP Cash Flow Engineering Department Staffing Plan Page 5 1.1.6 INSTITUTIONAL KNOWLEDGE A. Institutional knowledge is essential to the long-term success of OC San. The transfer of knowledge from one generation of staff to the next helps to ensure the successful operation of our facilities and the successful delivery of our projects. The retirement of seasoned staff over the past five years has created a gap in this knowledge and understanding of our facilities. Past project knowledge, risks, challenges, and operational work restrictions that were once easily brought up during project review meetings now require more research and investigation. Growing the Engineering Department through the addition of permanent staff improves ownership, accountability and succession management by building and preserving institutional knowledge to support the growth and effectiveness of the organization and providing a larger pool of potential candidates to fill technical, supervision, and managerial positions. Engineering Department Staffing Plan Page 6 Chapter 2 Staffing Requirements OVERVIEW A. OC San has validated the overall workload of the Engineering Department for the next 10 years to determine the staff requirements for the major resources. Based on Human Resource Department’s historical information, the average years of service for an OC San employee has changed from 24 years to 9 years over the past 10 years. This justifies the use of a 10-year staffing window. B. Even with additional FTEs, there will continue to be a need for supplemental staffing to support additional workload peaks, perform value engineering and constructability reviews, and provide technical expertise in specialized areas not provided by OC San, such as structural, architectural, and HVAC when needed. C. The information in this document is based on supplemental staffing resources as of September 2025. The number of current supplemental staff will need to ramp up to accommodate the increasing project workload. D. Engineering Department Project Workload 1. There are 124 FTEs in the Engineering Department with an average of 72 staff that charge to CIP funded projects (including FE projects) and operationally funded FR projects. 2. Most of the resources to support asset management and operationally funded projects for Maintenance are from the Planning Division. Staff in this division mostly charge their time to facility areas for asset management and operationally funded maintenance projects, with a small portion of their time charged to planning studies and CIP projects. 3. Most of the resources to support CIP funded projects come from the PMO, Design, and Construction Management Divisions. Staff in these divisions mostly charge to CIP projects. 4. The billing rates for Engineering Department project staff who charge to projects include benefits and a markup to cover the overhead cost of management, supervision, Finance, and Contract Management who support the execution of projects but do not charge to them. 5. Figure 4 represents the total forecasted staff workload over the next 10 years. This graph includes an average of 30 staff to execute small projects (FE and FR), planning studies (PS), and research projects, based on the staffing levels observed over the last 17 months. Unlike budgeted CIP projects (e.g. J-XXX, P1-XXX, and P2-XXX) and future CIP projects (e.g. X-###), which are budgeted and planned 20 years into the future, small projects, planning studies, and research projects are identified a few years in advance of being launched. Engineering Department Staffing Plan Page 7 Figure 4 – 10-year Staff Workload E. Approximately 25% of the staff workload, including supplemental staffing, occurs during the project development and design phases and 75% of the staff workload occurs during the construction phase. This is reflected in the Construction Management Division staffing where the staff workload is increasing over the coming years. PLANNING 2.1.1 CURRENT ORGANIZATION AND STAFFING A. The Planning Division consists of two groups: CIP Planning/Collections Asset Management Group and Plant Asset Management Group. There is a total of 16 staff members. B. SES provides one half-time electrical engineer to support electrical asset management. C. See Figure 5 for the existing organization chart. Engineering Department Staffing Plan Page 8 Division 740 PlanningManager CIP Planning and Collections Asset ManagementEngr Supervisor Plant Asset ManagementEngr Supervisor Principal Staff Analyst Engineer(2) AssociateEngineer AssistantEngineer Senior Engineer (2) Engineer(5) AssociateEngineer SES Engineer(.5) Supplemental Staff Existing Staff Legend Figure 5 – Existing Planning Division Organization Chart D. CIP Planning/Collections Asset Management Group 1. Provides technical input on CEQA and oversees the on-call CEQA support services contract. 2. Provides asset management for the collections and pump stations, tracks and resolves asset issues, provides technical support for maintenance projects, and performs collections system modeling. 3. Supports OC San’s long-term infrastructure strategy by maintaining the CIP, guiding project prioritization, and coordinating capacity planning. 4. Manages permitting functions and interagency agreements. 5. Oversee the Planning Study and Research Program. 6. Assists or leads the execution of planning studies. E. Plant Asset Management Group 1. Provides asset management for the plants, tracks and resolves asset issues, and provides technical support for maintenance projects. The maintenance project workload is currently exceeding the capacity of the plant asset engineers group. 2. There is one senior engineer at each plant to provide plant oversight, in addition to their assigned asset area. They also lead the recently created Shutdown Coordination Committee and coordinate future project shutdowns at the plants by reviewing input from project engineers and other asset engineers. The shutdown coordination is essential as the CIP continues to ramp up. 3. Assists or leads the execution of planning studies. Engineering Department Staffing Plan Page 9 2.1.2 PROPOSED ORGANIZATION AND STAFFING CHANGES A. The workload for the Collections Asset Management Group has increased for condition assessment, siphon cleaning, and maintenance projects and is starting to exceed the capacity of the staff. To meet the workload needs and provide better technical oversight of the collections and pump stations, it is recommended to add one senior engineer. The other engineers in the group will continue to be assigned to gravity sewer, pump stations, permitting and external agreements, with support from the associate and assistant engineer to help with studies, maintenance projects, CCTV, and miscellaneous items. B. Plant Asset Management Group: The overall workload for maintenance projects exceeds the capacity of the asset engineers. To meet the workload needs, it is recommended to add one engineer. C. In summary, it is recommended to add 2 in-house staff: 1. 1 senior engineer 2. 1 engineer D. See Figure 6 for the proposed organization chart and Table 1 for the proposed staffing levels. Division 740 PlanningManager CIP Planning and Collections Asset ManagementEngr Supervisor Plant Asset ManagementEngr Supervisor PrincipalStaff Analyst SeniorEngineer Engineer (2) AssociateEngineer SeniorEngineer (2) Engineer(5) AssistantEngineer Engineer AssociateEngineer SES Engineer(0.5) Recommended Staff Supplemental Staff Existing Staff Legend Figure 6 – Proposed Planning Division Organization Chart Engineering Department Staffing Plan Page 10 Table 1 - Division 740 Planning - Proposed Staffing Staff Role (Note 1) Current Proposed Change Comments OC San Suppl Staffing OC San Suppl Staffing OC San Suppl Staffing Manager 1 0 1 0 0 0 Supervisors 2 0 2 0 0 0 Staff 13 0.5 15 0.5 2 0 Note 2 Div Total 16 0.5 18 0.5 2 0 Notes: 1. Staffing counts are based on September 2025 data. Supplemental staffing will continue to be adjusted as required to meet the current workload. 2. The proposed supplemental staffing count includes retaining a half-time electrical engineer to support the current asset management workload. PROJECT MANAGEMENT OFFICE 2.2.1 CURRENT ORGANIZATION AND STAFFING A. The PMO consists of two groups: Project Management Group and Small Project Delivery Group. There is a total of 21 staff members. B. SES currently provides three project managers for the Project Management Group and two managing project engineers (MPE) for the Small Project Delivery Group. C. See Figure 7 for the existing organization chart. Division 750 Project Management Office Manager Small Project DeliveryEngr Supervisor Project Management OfficeEngr Supervisor SeniorEngineer (2) Engineer(3) AssociateEngineer (2) SeniorEngineer (9) CIP ProjectManager Administrative Assistant SES Senior Engineer (2) SES Architect SES SeniorEngineer (2) Supplemental Staff Existing Staff Legend Figure 7 – Existing PMO Division Organization Chart D. Project Management Group 1. Project managers lead the individual projects and oversee the scope, schedule, budget, and risk management. Figure 8 shows the projected project management workload over the Engineering Department Staffing Plan Page 11 next ten years. In the figure, the blue line represents the number of full-time project managers required, while the yellow line represents the current staffing level, which also serves as the recommended 10-year baseline staffing level. Any short-term staffing needs above this baseline will be supported by SES. Figure 8 – Workload for Project Managers E. Small Project Delivery Group 1. Since the 2019 OME reorganization, the workload of the Small Project Delivery Group has steadily increased to accommodate the small project workload needs of O&M. This work is carried out by MPEs, who are responsible for both project management and technical duties. The current average workload for the past 17 months requires nine MPEs. Based on the average volume of projects being approved by the Clearinghouse (OC San’s bi-weekly project approval process), this workload level is anticipated to remain steady for years to come. Figure 9 reflects this projection, showing the workload at nine MPEs. Engineering Department Staffing Plan Page 12 Figure 9 – Workload for Managing Project Engineers 2.2.2 PROPOSED ORGANIZATION AND STAFFING CHANGES A. The Project Management Group supervisor oversees staff responsible for delivering CIP projects, which currently total over 50 projects worth $4 billion and 13 small projects. Similarly, the Small Projects Delivery Group supervisor oversees staff executing small projects. The total number of small projects currently totals 60 projects worth around $128 million. The growing number and value of these projects makes it increasingly difficult for a single supervisor to provide adequate oversight of their group. To provide effective oversight of all projects, it is recommended to add a third engineering supervisor to better balance responsibilities and redistribute staff and projects, so the three supervisors oversee a mix of both CIP and small projects, rather than dividing groups strictly by project type. This will also build internal expertise and capabilities and support succession management efforts for the associated managerial position. B. Since the establishment of the PMO in 2002, all CIP project managers have been classified at the senior engineer level. To strengthen succession management within the PMO, the recommendation is to leverage the job classification family by assigning projects based on their size and complexity, similar to what is done in the Design and Construction Management Divisions. This structure allows staff to progressively develop as project managers and advance into higher classifications based on the complexity of the work. To address the growing workload and assure proper oversight, it is recommended to add three engineers to manage both CIP and small projects and one associate engineer to manage small projects. C. In summary, it is recommended to add 5 in-house staff: 1. 1 engineering supervisor 2. 3 engineers 3. 1 associate engineer D. See Figure 10 for the proposed organization chart and Table 2 for the proposed staffing levels. Engineering Department Staffing Plan Page 13 Division 750 Project Management Office Manager Project Management OfficeEngr Supervisor Project Management OfficeEngr Supervisor SeniorEngineer (4) Engineer (2) AssociateEngineer Senior Engineer (3) CIP ProjectManager AdministrativeAssistant Project Management OfficeEngr Supervisor Senior Engineer (4) Engineer AssociateEngineer Engineer(2) Engineer AssociateEngineer SES Architect Recommended Staff Supplemental Staff Existing Staff Legend Figure 10 – Proposed PMO Division Organization Chart Table 2 - Division 750 PMO - Proposed Staffing Staff Role (Note 1) Current Proposed Change Comments OC San Suppl Staffing OC San Suppl Staffing OC San Suppl Staffing Manager 1 0 1 0 0 0 Supervisors 2 0 3 0 1 0 Staff 18 5 22 1 4 -4 Note 2 Subtotal 21 5 26 1 5 -4 Notes: 1. Staffing counts are based on September 2025 data. Supplemental staffing will continue to be adjusted as required to meet the current workload. 2. The proposed supplemental staffing count includes retaining one architect to support the lab and Plant No. 2 O&M Complex. DESIGN 2.3.1 CURRENT ORGANIZATION AND STAFFING A. The Design Division consists of four groups: collections civil/mechanical design, plants civil/mechanical design, electrical and instrumentation and control (I&C), and PCI. The Electrical and I&C Group includes staff responsible for electrical, I&C, commissioning, and electrical/I&C shutdown coordination. The PCI Group includes staff responsible for the operation, maintenance, and programming of the collections and plant control systems. There is a total of 36 staff members. B. SES currently provides one project engineer for collections projects, one half-time project engineer for plant projects, two electrical engineers, two and a half I&C engineers, and two Engineering Department Staffing Plan Page 14 commissioning coordinators. It has been difficult to find additional SES electrical and I&C staff. There is a total of 11 SES. C. The current agreement for on-call Programming Professional Services currently provides an average of three staff to support bench testing, programming, and commissioning of our plant and collections control systems. D. See Figure 11 for the existing organization chart. Division 760 Design Manager Collections Civil/MechEngr Supervisor Plants Civil/MechEngr Supervisor SeniorEngineer Engineer(2) AssociateEngineer SeniorEngineer (3) Engineer(2) Administrative Assistant AssociateEngineer Elect and I&C Engr Supervisor Process Controls Integration (PCI) IT Supervisor Senior ElectEngineer (2) Elect Engineer AssistantEngineer SeniorEngineer Principal ITAnalyst (3) Senior ITAnalyst (4) IT AnalystIII (2) IT AnalystII SES I&CEngineer (2) SES ElectricalEngineer (2)ProgrammingServices (3) SES ProjectEngineer (1)SES ProjectEngineer (.5)Senior I&CEngineer (2) I&C Engineer(3) SES Comm Coord (2) Supplemental Staff Existing StaffLegend Figure 11 – Existing Design Division Organization Chart E. Project Engineers 1. Project engineers provide overall technical oversight, civil/mechanical technical leadership on collections and plant projects, and coordination with O&M. The project engineer workload is increasing with the CIP. Figure 12 shows the projected workload for the project engineers. Engineering Department Staffing Plan Page 15 Figure 12 – Workload for Project Engineers F. Electrical Engineer 1. Electrical engineers provide discipline technical leadership for pump station and plant projects and technical oversight on electrical projects. A full-time assistant electrical engineer is currently supporting the shutdown coordination process for electrical and I&C shutdowns by defining and coordinating the shutdowns with O&M. The electrical engineer workload is currently at a high level due to several electrical-intensive projects. Figure 13 shows the projected workload for electrical engineers. Figure 13 – Workload for Electrical Engineers G. Instrumentation and Control (I&C) Engineer 1. The I&C engineer role includes hours for both I&C engineer and commissioning coordinator functions. I&C engineers provide discipline technical leadership on pump station Engineering Department Staffing Plan Page 16 and plant projects. Commissioning coordinators provide technical oversight of the commissioning process during design and construction. This includes overseeing the development of commissioning documents and procedures during design and close coordination with the contractor during construction. This role also includes an engineer for mechanical equipment quality control who coordinates closely with Maintenance and the civil/mechanical inspectors during construction. There are currently five commissioning coordinators supporting commissioning. Figure 14 shows the projected workload for I&C engineers. Figure 14 – Workload for I&C Engineers H. Process Controls Integration (PCI) 1. PCI provides technical leadership for the collections and plant control systems. This leadership includes the overall maintenance and security of the control systems; support during design, programming and commissioning during construction; and training of O&M staff. Through 2027, PCI will be supporting the upgrade of the existing graphic human machine interface from CRISP to ABB. The overall maintenance of the control system requires five PCI staff, which is included in the projected PCI workload in Figure 15. Engineering Department Staffing Plan Page 17 Figure 15 – Workload for PCI Staff 2.3.2 PROPOSED ORGANIZATION AND STAFFING CHANGES A. Commissioning and Shutdown Coordination 1. The Electrical and I&C Group oversees the staff responsible for electrical, I&C, commissioning, and electrical/I&C shutdown coordination. The size of this group, number of technical disciplines, and quantity of projects in design and construction make it increasingly difficult for a single supervisor to provide adequate oversight. To support the unique nature of the commissioning and shutdown tasks along with stakeholder coordination across multiple divisions within the organization, it is recommended that a separate Commissioning Group be created with a dedicated supervisor to provide proper oversight of staff and coordination with other groups. This other group coordination includes information technology asset information deliverables, operations shutdown coordination, maintenance reliability testing baseline information and coordination. This supervisor will provide leadership and direction to the Commissioning Group, while also providing unity and focus on quality assurance of CIP and small projects. 2. It is recommended that the proposed Commissioning Group include one new supervisor, one new senior engineer, two existing engineers, one new engineer, and one new associate engineer. The current workload for shutdown coordination is more than one FTE and will be increasing as construction increases. Since this team is currently supported by the Electrical and I&C Group, several of these positions will be moved from this group to the new Commissioning Group as shown in Figure 16. B. Collections Design Group: It is recommended to add one project engineer to support the increasing collections project workload. C. Electrical and I&C Group 1. It is recommended to add one electrical engineer and one associate electrical engineer to support the increased project workload. 2. It is recommended to add one associate I&C engineer to support the increased project workload. D. PCI: It is recommended to add one principal information technology analyst, one senior information technology analyst, and one information technology analyst II to support the Engineering Department Staffing Plan Page 18 increased programming and fiber optic design workload in PCI. The additional principal information technology analyst will support the supervisor with technical oversight of this large group by providing project leadership, staff training, and mentoring, allowing the supervisor to focus on the overall group needs, staff development, succession management, project staffing and overall coordination, risk management, and the overall mission of this important group. E. In summary, it is recommended to add 11 in-house staff: 1. 1 supervisor—Commissioning Group 2. 1 senior engineer—Commissioning Group 3. 1 engineer—Commissioning Group 4. 1 associate engineer—Commissioning Group 5. 1 engineer—Collections Design Group 6. 1 engineer—Electrical and I&C Group 7. 2 associate engineers—Electrical and I&C Group 8. 1 principal information technology analyst—PCI Group 9. 1 senior information technology analyst—PCI Group 10. 1 information technology analyst II—PCI Group F. See Figure 16 for the proposed organization chart and Table 3 for the proposed staffing levels. Engineering Department Staffing Plan Page 19 Division 760Design Manager Collections Civil/MechEngr Supervisor Plants Civil/MechEngr Supervisor SeniorEngineer Engineer(2) AssociateEngineer SeniorEngineer (3) Engineer(2) AdministrativeAssistant AssociateEngineer Elect and I&CEngr Supervisor Process Controls Integration (PCI) IT Supervisor Senior ElectEngineer (2) Elect Engineer SeniorEngineer Principal ITAnalyst (3) Senior ITAnalyst (4) IT AnalystIII (2) IT AnalystII Senior I&CEngineer (2) I&CEngineer Elect Engineer Associate ElectEngineer Associate I&CEngineer Senior ITAnalyst IT Analyst IIIAnalyst Engineer SES ProjectEngineer (.5) Principal ITAnalyst Commissioning/Shutdown Engr Supervisor Senior CommEngineer Commissioning Engineer (2) Associate CommEngineer CommissioningEngineer Assistant CommEngineer Recommended Staff Supplemental Staff Existing StaffLegend Figure 16 – Proposed Design Division Organization Chart Table 3 - Division 760 Design - Proposed Staffing Staff Role (Note 1) Current Proposed Change Comments OC San Suppl Staffing OC San Suppl Staffing OC San Suppl Staffing Manager 1 0 1 0 0 0 Supervisors 4 0 5 0 1 0 Staff 31 10.5 41 .5 10 -10 Note 2 Div Total 36 10.5 47 .5 11 -10 Notes: 1. Staffing counts are based on September 2025 data. Supplemental staffing will continue to be adjusted as required to meet the current workload. 2. The proposed supplemental staffing count includes retaining a half-time project engineer to support the current workload. CONSTRUCTION MANAGEMENT 2.4.1 CURRENT ORGANIZATION AND STAFFING A. The Construction Management (CM) Division consists of six groups: three engineering construction management groups, two civil-mechanical inspection groups, and one electrical-I&C inspection group. The division includes resident engineers, inspectors, cost estimators, Engineering Department Staffing Plan Page 20 planner/schedulers, engineering technicians for submittal coordination, administrative staff, and a staff analyst to support PMWeb (construction management software). The CM Division has a total of 49 staff members. B. The majority of the SES staff resources are used by the CM Division to help execute the current workload. The SES project workload requires general oversight from OC San’s construction management and inspection supervisors, which includes project change management, quality control issues, risk oversight and mitigation, and claims management/dispute resolution. C. SES currently provides 11 resident engineers, 16 civil-mechanical inspectors, four electrical-I&C inspectors, two cost estimators, two construction schedulers, and two submittal/administrative staff. There is a total of 37 SES staff members. D. See Figure 17 for the existing organization chart. Division 770Construction ManagementManager Plant 1Engr Supervisor Plants 1 and 2 Construction MgmtEngr Supervisor SeniorEngineer Engineer AssociateEngineer (2) SeniorEngineer Engineer AdministrativeAssistant AssociateEngineer (3) Plant 2 Construction Inspection Civil/Mech Supervisor Construction Inspection Electand I&C Supervisor SeniorConstr Insp (2) ConstructionInspector (5) SeniorConstr Insp (3) ConstructionInspector (4) Plant 2 Construction MgmtEngr Supervisor SeniorEngineer (2) Engineer(2) AssociateEngineer Plant 1 Construction InspectionCivil/Mech Supervisor SeniorConstr Insp (3) ConstructionInspector (2) EngineeringTechnician (2) StaffAnalyst AdministrativeAssistant Senior CostEstimator CostEstimator Senior Planner/Scheduler Planner/Scheduler EngineeringTechnician SES ConstrInspector (4)SES ConstrInspector (8)SES ConstrInspector (8) SES ResidentEngineer (5) SES ResidentEngineer (3) SES ResidentEngineer (3) SES Planner/Scheduler (2) SES CostEstimator (2) Supplemental Staff Existing StaffLegend SES Submittals/Admin (2) Figure 17 – Existing Construction Management Division Organization Chart E. Resident Engineer 1. Resident engineers are responsible for general day-to-day administration of construction contracts. They provide technical leadership to the project team during construction, commissioning, and closeout activities and are the main point of contact with construction contractors. The resident engineer workload is increasing with the CIP. Figure 18 shows the projected workload for the resident engineers. Engineering Department Staffing Plan Page 21 Figure 18 – Workload for Resident Engineer Staff F. Inspection Civil-Mechanical 1. Civil/mechanical inspectors observe the contractor's work for compliance with the plans and specifications while monitoring and documenting the quality and quantity of construction. The civil/mechanical inspection workload is increasing with the CIP. Figure 19 shows the projected workload for inspection civil-mechanical. Figure 19 – Workload for Civil-Mechanical Inspection Staff G. Inspection Electrical-I&C 1. Electrical/I&C inspectors observe the Contractor's work for compliance with the plans and specifications while monitoring and documenting the quality and quantity of construction. The electrical/I&C inspection workload is increasing with the CIP. Figure 20 shows the projected workload for inspection electrical and I&C. Engineering Department Staffing Plan Page 22 Figure 20 – Workload for Electrical-I&C Inspection Staff 2.4.2 PROPOSED ORGANIZATION AND STAFFING CHANGES A. To support the high volume of CIP and small projects in construction, it is recommended to add a total of 21 in-house staff: 1. 1 construction management supervisor 2. 8 resident engineers a. 2 senior engineers b. 6 engineers 3. 1 civil-mechanical inspection supervisor 4. 8 civil-mechanical inspectors a. 2 senior construction inspectors b. 6 construction inspectors 5. 2 electrical-I&C inspectors 6. 1 planner/scheduler B. See Figure 21 for the proposed organization chart and Table 4 for the proposed staffing levels. Engineering Department Staffing Plan Page 23 Division 770Construction ManagementManager Plant 1 Construction MgmtEngr Supervisor Collections and Pump StationsEngr Supervisor SeniorEngineer Engineer AssociateEngineer (2) SeniorEngineer Engineer AdministrativeAssistant AssociateEngineer (2) Plant 2/Collections Construction Inspection Civil/Mech Supervisor Construction Inspection Electand I&C Supervisor SeniorConstr Insp (2)SeniorConstr Insp (3) Plant 2 Construction MgmtEngr Supervisor SeniorEngineer (2) Engineer(2) AssociateEngineer Plant 1/Pump Station Construction InspectionCivil/Mech Supervisor SeniorConstr Insp (3) ConstructionInspector (2) EngineeringTechnician (2) StaffAnalyst AdministrativeAssistant Senior CostEstimator CostEstimator Senior Planner/Scheduler Planner/Scheduler EngineeringTechnician Engineer Engineer(4) Engineer P1 and P2Engr Supervisor P1 and P2 Constr InspectionCivil/Mech Supervisor SeniorConst Insp (2) ConstructionInspector (5) ConstructionInspector ConstructionInspector (4) AssociateEngineer ConstructionInspector SES ConstrInspector (4)SES ConstrInspector (2) ConstructionInspector (2) SES ConstrInspector (2) SeniorEngineer (2)Planner/ Scheduler SES Scheduler SES Submittals/Admin (2) SES ConstrInspector (2) ConstructionInspector (4)SES ResidentEngineer (2)SES ResidentEngineer Recommended Staff Supplemental Staff Existing StaffLegend SES CostEstimator (2) Figure 21 – Proposed Construction Management Organization Chart Table 4 - Division 770 Construction Management - Proposed Staffing Staff Role (Note 1) Current Proposed Change Comments OC San Suppl Staffing OC San Suppl Staffing OC San Suppl Staffing Manager 1 0 1 0 0 0 Supervisors 6 0 8 0 2 0 Staff 42 37 61 18 19 -19 Note 2 Div Total 49 37 70 18 21 -19 Notes: 1. Staffing counts are based on September 2025 data. Supplemental staffing will continue to be adjusted as required to meet the current workload. 2. The proposed supplemental staffing count includes retaining three resident engineers, eight civil/mechanical inspectors, two electrical/I&C inspectors, one scheduler, and two submittals/admin staff to support the current workload. Engineering Department Staffing Plan Page 24 2.4.3 OVERALL RECOMMENDATION A. The staffing recommendation, including new supervisors and two new engineers in Planning, will result in approximately $950,000 reduction in annual staff costs compared with SES staff, using fully burdened rates, as shown in Table 5. Table 5 - Staffing Costs (Annual) Description OC San Total Qty Supplemental Staffing Qty Division 740 Project Engineer 2 0 Division 750 Engineering Supervisor 1 0 Project Manager 4 4 Division 760 Engineering Supervisor 1 0 Project Engineer 1 1 Electrical Engineer 2 2 I&C Engineer 4 4 PCI 3 3 Division 770 Engineering Supervisor 1 0 Inspection Supervisor 1 0 Resident Engineer 8 8 Construction Support 1 1 Inspection Civil-Mech 8 8 Inspection Elec-I&C 2 2 Total 39 33 Annual Costs $12.90M $13.85M Savings ~ $950,000 Engineering Department Staffing Plan Page 25 B. Table 6 summarizes the recommended staff increases across the Engineering Department. Table 6 - Engineering Department - Proposed Staffing Staff Role (Note 1) Current Recommended Change Comments OC San Suppl Staff Total OC San Suppl Staff Total OC San Suppl Staff Total Diff Division 710 - Engineering Admin DOE 1 0 1 1 0 1 0 0 0 Support 1 0 1 1 0 1 0 0 0 Div Total 2 0 2 2 0 2 0 0 0 Division 740 - CIP Planning and Asset Management Group Manager 1 0 1 1 0 1 0 0 0 Supervisors 2 0 2 2 0 2 0 0 0 Staff 13 0.5 13.5 15 0.5 15.5 2 0 2 Note 2 Div Total 16 0.5 16.5 18 0.5 18.5 2 0 2 Division 750 - Project Management Office Manager 1 0 1 1 0 1 0 0 0 Supervisors 2 0 2 3 0 3 1 0 1 Staff 18 5 23 22 1 23 4 -4 0 Note 3 Subtotal 21 5 26 26 1 27 5 -4 1 Division 760 - Design Manager 1 0 1 1 0 1 0 0 0 Supervisors 4 0 4 5 0 5 1 0 1 Staff 31 10.5 42 41 .5 42 10 -10 0 Note 4 Div Total 36 10.5 47 47 .5 48 11 -10 1 Division 770 - Construction Management Manager 1 0 1 1 0 1 0 0 0 Supervisors 6 0 6 8 0 8 2 0 2 Staff 42 37 79 61 18 79 19 -19 0 Note 5 Div Total 49 37 86 70 18 88 21 -19 2 Engr Total 124 53 177 163 20 183 39 -33 6 Notes: 1. Staffing counts are based on September 2025 data. Supplemental staffing will continue to be adjusted as required to meet the current workload. 2. The proposed supplemental staffing count includes retaining a half-time electrical engineer to support the current asset management workload. 3. The proposed supplemental staffing count includes retaining one architect to support the lab and Plant No. 2 O&M Complex. 4. The proposed supplemental staffing count includes retaining a half-time project engineer to support the current workload. 5. The proposed supplemental staffing count includes retaining three resident engineers, eight civil-mechanical inspectors, two electrical-I&C inspectors, one scheduler, and two submittals/admin staff to support the current workload. Engineering Department Staffing Plan Page 26 Proposed Implementation Plan 1. The recommendation is to increase OC San’s staff using a phased hiring plan through the normal budget process as shown in Table 7. Table 7 - Proposed Staffing Implementation Plan Description Total Qty FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 Division 740 Senior Engineer 1 1 Engineer 1 1 Division 750 Engineering Supervisor 1 1 Engineer 3 1 1 1 Associate Engineer 1 1 Division 760 Engineering Supervisor 1 1 Engineer (Project Engineer) 1 1 Senior Engineer (Commissioning) 1 1 Engineer (Commissioning) 1 1 Engineer (Electrical) 1 1 Associate Engineer (Commissioning) 1 1 Associate Engineer (Electrical) 1 1 Associate Engineer (I&C) 1 1 Principal IT Analyst 1 1 Senior IT Analyst 1 1 IT Analyst III 1 1 Division 770 Engineering Supervisor 1 1 Senior Engineer 2 1 1 Engineer 3 1 1 1 Associate Engineer 3 1 1 1 Planner/Scheduler 1 1 Inspection Supervisor 1 1 Senior Construction Inspector (Civil/Mech) 2 1 1 Construction Inspector (Civil/Mech) 6 1 1 2 2 Construction Inspector (Elect/I&C) 2 1 1 Total 39 2 14 13 7 3 Engineering Department Staffing Plan Page 27 C. As OC San’s staff levels increase, the need for supplemental staffing will decrease as shown in Figure 22. Figure 22 – 10-Year Implementation Plan with Recommended Implementation Plan 9/23/2025 1 Engineering Department Staffing Plan Presented by: Mike Dorman Director of Engineering Operations Committee October 1, 2025 2 Supplemental Staffing History Sending out the next Supplemental Engineering Services request for proposal by the end of October 2025. 2002- 2012 2012- 2017 2017- 2022 2022- 2027 Integrated Program Management Consultant (IPMC) Supplemental Engineering Services Supplemental Engineering Services Supplemental Engineering Services Programming Professional Services 1 2 9/23/2025 2 $0 $50 $100 $150 $200 $250 $300 0 10 20 30 40 50 60 FY12-13 FY13-14 FY14-15 FY15-16 FY16-17 FY17-18 FY18-19 FY19-20 FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 SUPPLEMENTAL STAFFING AECOM Enterprise Automation Jacobs Rockwell Automation CIP Cash Flow 3 Supplemental Staffing Levels The supplemental staffing model provides flexibility to adapt to changing workloads. # o f s t a f f mi l l i o n s 4 Business Principals: CIP Staffing Plan—Create a Capital Improvement Program (CIP) staffing plan by December 31, 2025, to minimize Supplemental Engineering Services, improve succession planning, and streamline the project delivery process. GM’s FY 2025-26 Work Plan Goal 3 4 9/23/2025 3 Employee Benefits •Strong, stable workforce •Succession planning •Reduced turnover and improved staff resiliency •Expertise and knowledge retention Project Benefits •Consistent project execution •Quality and standards adherence •Strong oversight with lower staff-to-supervisor ratio Community Benefits •Consistent, reliable service to the communities we serve •Cost neutrality without rate increases Benefits of In-House Staff 5 Additional Staffing •4 new supervisors •2 new engineers in Planning Minimize Supplement Staffing •Convert 33 supplemental staff to OC San staff Additional OC San Staff to Deliver the Planned Program Supplemental Staff Approach In-House Staffing 6 5 6 9/23/2025 4 Engineering Department 7 Mike Dorman Director of Engineering Justin Fenton Engineering Manager Martin Dix Engineering Manager Planning Project Management Design Construction Management Don Cutler Engineering Manager Raul Cuellar Engineering Manager Project Defining Process Planning Asset Management Small Projects CIP Projects Capital Operating Operations and Maintenance 8 50 projects worth $4 billion60 projects worth $128 million 7 8 9/23/2025 5 9 20-Year Net CIP (FY25-26 Budget): $6.7B 10 Small Project Workload Has Increased Small Projects: Facility Engineering (FE) (CIP Funded) and Facility Replacement (FR) (Operationally Funded) mil l i o n s $ $ $ $ $ $ $ $ 9 10 9/23/2025 6 11 10-Year Project Staff Workload (Sept 2025) OC San (72 billable staff) Supplemental Staff (53.5) Total Project Staff (125.5) 0.0 5.0 10.0 15.0 20.0 25.0 30.0 Project Management Project Management Existing OC San Staff Proposed OC San Staff 12 Div 750 (Project Mgmt) 10-Yr Workload 11 12 9/23/2025 7 0 5 10 15 20 25 PCI Group PCI Group Existing OC San Staff Proposed OC San Staff 0 2 4 6 8 10 12 14 Instrumentation and Control (I&C) Engineer/ Commissioning I&C Engineer Existing OC San Staff Proposed OC San Staff 0 2 4 6 8 10 12 14 16 18 Project Engineer Project Engineer Existing OC San Staff Proposed OC San Staff 0.0 2.0 4.0 6.0 8.0 10.0 12.0 Electrical Engineer Electrical Engineer Existing OC San Staff Proposed OC San Staff 13 Div 760 (Design) 10-Yr Workload 0 5 10 15 20 2530 35 40 45 Resident Engineer Resident Engineer Existing OC San Staff Proposed OC San Staff 0 5 10 15 20 2530 35 40 45 Inspection Civil-Mech Inspection Civil-Mech Existing OC San Staff Proposed OC San Staff 0246 810121416 1820 Inspection Electrical-Instrumentation & Control Inspection Elec-I&C Existing OC San Staff Proposed OC San Staff 14 Div 770 (Construction Mgmt) 10-Yr Workload 13 14 9/23/2025 8 15 Proposed Shift in Staff Levels Proposed Shift in Staff Levels Revised Supplemental Staff Recommended OC San Staff Current Supplemental StaffDescription Division 740 0.500.5Electrical Engineer Division 750 145Project Manager Division 760 0.511.5Project Engineer 022Electrical Engineer 044I&C Engineer/Commissioning Coordinator 033Control System Programmers Division 770 3811Resident Engineer 112Construction Support (Scheduler) 8816Inspection Civil-Mech 224Inspection Elec-I&C 202Cost Estimator 202Submittals/Admin 203353Total -= Division 740 PlanningManager CIP Planning and Collections Asset Management Engr Supervisor Plant Asset ManagementEngr Supervisor PrincipalStaff Analyst SeniorEngineer Engineer(2) AssociateEngineer SeniorEngineer (2) Engineer(5) AssistantEngineer Engineer AssociateEngineer SES Engineer(0.5) Recommended Staff Supplemental Staff Existing Staff Legend Division 740 PlanningManager CIP Planning and Collections Asset Management Engr Supervisor Plant Asset ManagementEngr Supervisor PrincipalStaff Analyst Engineer(2) AssociateEngineer AssistantEngineer SeniorEngineer (2) Engineer(5) AssociateEngineer SES Engineer(.5) Supplemental StaffExisting StaffLegend 16 Div 740 (Planning) Org Charts Existing Planning Division Organization Chart Revised Planning Division Organization Chart 16 OC San +.5 SES = 16.5 18 OC San +.5 SES = 18.5 2 New FTE 15 16 9/23/2025 9 Division 750 Project Management Office Manager Project Management OfficeEngr Supervisor Project Management OfficeEngr Supervisor Senior Engineer (4) Engineer (2) AssociateEngineer SeniorEngineer (3) CIP ProjectManager AdministrativeAssistant Project Management OfficeEngr Supervisor SeniorEngineer (4) Engineer Associate Engineer Engineer (2) Engineer Associate Engineer SES Architect Recommended Staff Supplemental Staff Existing StaffLegend Division 750 Project Management Office Manager Small Project DeliveryEngr Supervisor Project Management OfficeEngr Supervisor SeniorEngineer (2) Engineer(3) AssociateEngineer (2) SeniorEngineer (9) CIP ProjectManager AdministrativeAssistant SES SeniorEngineer (2)SES Architect SES SeniorEngineer (2) Supplemental StaffExisting StaffLegend 17 Div 750 (Project Mgmt) Org Charts Existing PMO Division Organization Chart Revised PMO Division Organization Chart 21 OC San +5 SES = 26 26 OC San +1 SES = 27 1 New FTE Division 760Design Manager Collections Civil/MechEngr Supervisor Plants Civil/MechEngr Supervisor SeniorEngineer Engineer(2) AssociateEngineer SeniorEngineer (3) Engineer(2) AdministrativeAssistant AssociateEngineer Elect and I&CEngr Supervisor Process Controls Integration (PCI)IT Supervisor Senior ElectEngineer (2) Elect Engineer SeniorEngineer Principal ITAnalyst (3) Senior ITAnalyst (4) IT AnalystIII (2) IT AnalystII Senior I&CEngineer (2) I&CEngineer Elect Engineer Associate ElectEngineer Associate I&CEngineer Senior ITAnalyst IT Analyst IIIAnalyst Engineer SES ProjectEngineer (.5) Principal ITAnalyst Commissioning/ShutdownEngr Supervisor Senior CommEngineer Commissioning Engineer (2) Associate CommEngineer CommissioningEngineer Assistant CommEngineerRecommended StaffSupplemental Staff Existing Staff Legend Division 760Design Manager Collections Civil/MechEngr Supervisor Plants Civil/MechEngr Supervisor Senior Engineer Engineer(2) AssociateEngineer Senior Engineer (3) Engineer(2) AdministrativeAssistant AssociateEngineer Elect and I&C Engr Supervisor Process Controls Integration (PCI)IT Supervisor Senior Elect Engineer (2) Elect Engineer AssistantEngineer Senior Engineer Principal ITAnalyst (3) Senior ITAnalyst (4) IT AnalystIII (2) IT AnalystII SES I&CEngineer (2) SES ElectricalEngineer (2)ProgrammingServices (3) SES ProjectEngineer (1)SES ProjectEngineer (.5)Senior I&CEngineer (2) I&C Engineer(3) SES CommCoord (2) Supplemental StaffExisting Staff Legend 18 Div 760 (Design) Org Charts Existing Design Division Organization Chart Revised Design Division Organization Chart 36 OC San +10.5 SES = 46.5 47 OC San +.5 SES = 47.5 1 New FTE 17 18 9/23/2025 10 Division 770Construction ManagementManager Plant 1 Construction MgmtEngr Supervisor Collections and Pump StationsEngr Supervisor Senior Engineer Engineer AssociateEngineer (2) Senior Engineer Engineer AdministrativeAssistant AssociateEngineer (2) Plant 2/Collections Construction Inspection Civil/Mech Supervisor Construction Inspection Electand I&C Supervisor Senior Constr Insp (2) Senior Constr Insp (3) Plant 2 Construction MgmtEngr Supervisor Senior Engineer (2) Engineer(2) AssociateEngineer Plant 1/Pump Station Construction InspectionCivil/Mech Supervisor Senior Constr Insp (3) ConstructionInspector (2) EngineeringTechnician (2) StaffAnalyst AdministrativeAssistant Senior CostEstimator CostEstimator Senior Planner/Scheduler Planner/Scheduler EngineeringTechnician Engineer Engineer(4) Engineer P1 and P2Engr Supervisor P1 and P2 Constr InspectionCivil/Mech Supervisor SeniorConst Insp (2) ConstructionInspector (5) ConstructionInspector ConstructionInspector (4) AssociateEngineer ConstructionInspector SES ConstrInspector (4)SES ConstrInspector (2) ConstructionInspector (2) SES ConstrInspector (2) SeniorEngineer (2)Planner/ Scheduler SES Scheduler SES Submittals/Admin (2) SES ConstrInspector (2) ConstructionInspector (4)SES ResidentEngineer (2)SES ResidentEngineer Recommended Staff Supplemental Staff Existing StaffLegend SES Cost Estimator (2) Division 770Construction ManagementManager Plant 1Engr Supervisor Plants 1 and 2 Construction MgmtEngr Supervisor SeniorEngineer Engineer AssociateEngineer (2) SeniorEngineer Engineer AdministrativeAssistant AssociateEngineer (3) Plant 2 Construction Inspection Civil/Mech Supervisor Construction Inspection Electand I&C Supervisor SeniorConstr Insp (2) Construction Inspector (5) SeniorConstr Insp (3) Construction Inspector (4) Plant 2 Construction MgmtEngr Supervisor SeniorEngineer (2) Engineer (2) AssociateEngineer Plant 1 Construction InspectionCivil/Mech Supervisor SeniorConstr Insp (3) Construction Inspector (2) EngineeringTechnician (2) StaffAnalyst Administrative Assistant Senior CostEstimator CostEstimator Senior Planner/Scheduler Planner/Scheduler Engineering Technician SES ConstrInspector (4)SES ConstrInspector (8)SES ConstrInspector (8) SES ResidentEngineer (5) SES Resident Engineer (3) SES ResidentEngineer (3) SES Planner/Scheduler (2) SES CostEstimator (2) Supplemental StaffExisting StaffLegend SES Submittals/Admin (2) 19 Div 770 (Construction Mgmt) Org Charts Existing Construction Mgmt Division Organization Chart Revised Construction Mgmt Division Organization Chart 49 OC San +37 SES = 86 70 OC San +18 SES = 88 2 New FTE 20 Projected Neutral Staffing Costs Table 5 - Staffing Costs (Annual) SupplementalStaffing QtyOC SanTotal QtyDescription Division 740 02Project Engineer Division 750 01Engineering Supervisor 44Project Manager Division 760 01Engineering Supervisor 11Project Engineer 22Electrical Engineer 44I&C Engineer 33PCI Division 770 01Engineering Supervisor 01Inspection Supervisor 88Resident Engineer 11Construction Support 88Inspection Civil-Mech 22Inspection Elec-I&C 3339Total $13.85M$12.90MAnnual Costs ~ $950,000Savings 19 20 9/23/2025 11 21 Implementation Plan Implementation will be handled through the normal budget process. Table 7 - Proposed Staffing Implementation Plan FY 29-30FY 28-29FY 27-28FY 26-27FY 25-26Total QtyDescription Division 740 11Senior Engineer 11Engineer Division 750 11Engineering Supervisor 1113Engineer 11Associate Engineer Division 760 11Engineering Supervisor 11Engineer (Project Engineer) 11Senior Engineer (Commissioning) 11Engineer (Commissioning) 11Engineer (Electrical)11Associate Engineer (Commissioning) 11Associate Engineer (Electrical) 11Associate Engineer (I&C) 11Principal IT Analyst 11Senior IT Analyst 11IT Analyst III Division 770 11Engineering Supervisor 112Senior Engineer 1113Engineer 1113Associate Engineer 11Planner/Scheduler 11Inspection Supervisor 112Senior Construction Inspector (Civil/Mech) 22116Construction Inspector (Civil/Mech) 112Construction Inspector (Elect/I&C)371314239Total 22 Recommend to the Board of Directors to: Direct the General Manager to shift staffing from the current Supplemental Engineering Services model toward a direct hiring model to support the existing Capital Improvement Program execution, and implement the plan over four years through the normal budget process. Recommendation 21 22 9/23/2025 12 Questions? 23 23 OPERATIONS COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4549 Agenda Date:10/22/2025 Agenda Item No:12. FROM:Robert Thompson, General Manager Originator: Riaz Moinuddin, Director of Operations & Maintenance SUBJECT: SALE OF EXCESS POWER GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Authorize the General Manager to enter into an agreement to sell power,in a form approved by General Counsel, with a qualified power purchaser for excess power produced at Plant No. 2. BACKGROUND Orange County Sanitation District (OC San)operates five Central Generation (CenGen)engines and a steam turbine at Plant No.2.The engines and steam turbine normally generate 100%of the power demand at Plant No. 2 and a nominal amount that is exported. OC San and Southern California Edison (SCE)entered into a Power Purchase Agreement on September 9,1991,where SCE pays OC San for the excess power generated.Recently,OC San applied for the Wholesale Distribution Access Tariff (WDAT)with SCE which will allow OC San to sell exported power to an eligible purchaser.A condition of the WDAT application is to have a Generator Interconnection Agreement in place with SCE,which was approved by the Board of Directors in September 2025 and is required to be executed by October 31,2025.The execution of the Generator Interconnection Agreement automatically terminates the current Power Purchase Agreement that OC San has in place with SCE,causing the need to find a new eligible power purchaser. 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 PROBLEM The current Power Purchase Agreement with SCE will terminate when the Generator Interconnection Agreement is executed,meaning that SCE will no longer pay for the excess power generated at Plant No. 2. Orange County Sanitation District Printed on 10/14/2025Page 1 of 2 powered by Legistar™ File #:2025-4549 Agenda Date:10/22/2025 Agenda Item No:12. PROPOSED SOLUTION Delegate authority to the General Manager to enter into an agreement with a qualified power purchaser to sell the excess power generated at Plant 2. TIMING CONCERNS If the General Manager does not have the authority to enter into a Power Purchase Agreement,OC San may lose potential revenue from the excess power generated at Plant No. 2. RAMIFICATIONS OF NOT TAKING ACTION Any excess power generated at Plant No.2 would be exported to the Southern California Edison system without compensation. PRIOR COMMITTEE/BOARD ACTIONS September 2025 -Approve a Generator Interconnection Agreement with Southern California Edison Company for a period of twenty (20) years from the Effective Date. ADDITIONAL INFORMATION OC San staff are currently conducting an informal competitive process with multiple eligible power purchasers to compare terms and pricing for the purchase of the excess power at Plant No. 2. CEQA N/A FINANCIAL CONSIDERATIONS The ability to sell excess power from Plant No. 2 could generate intermittent revenue. 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 Printed on 10/14/2025Page 2 of 2 powered by Legistar™ ADMINISTRATION COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4552 Agenda Date:10/22/2025 Agenda Item No:13. FROM:Robert Thompson, General Manager Originator: Wally Ritchie, Director of Finance SUBJECT: NETWORK TAPS FOR INDUSTRIAL CONTROL SYSTEM (ICS)NETWORK AND OFFICE NETWORK GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve a Purchase Order Contract to Insight Public Sector, Inc. for the purchase of Network Test Access Points for the Industrial Control System (ICS) network and Office network utilizing the OMNIA Cooperative Purchasing Agreement, Contract No. 23-6692-03, for a total amount not to exceed $250,231 (Includes Sales Tax); and B. Approve a contingency in the amount of $25,023 (10%). BACKGROUND Orange County Sanitation District’s (OC San)current network traffic monitoring tool is known as a Switch Port Analyzer (SPAN).The SPAN is used by administrators to monitor network performance, provide alerts when problems occur,and help troubleshoot network issues.It is also used for monitoring cyber security activities including intrusion detection. RELEVANT STANDARDS ·Protect OC San assets ·Ensure the public’s money is wisely spent ·24/7/365 treatment plant reliability ·Maintain a culture of improving efficiency to reduce the cost to provide the current service level or standard PROBLEM The current setup has issues with the SPAN sessions overloading the network switches.When this happens, information is dropped and causes network outages. Orange County Sanitation District Printed on 10/14/2025Page 1 of 2 powered by Legistar™ File #:2025-4552 Agenda Date:10/22/2025 Agenda Item No:13. PROPOSED SOLUTION A Network Test Access Point (TAP)is the preferred modern method for monitoring mission-critical and high-volume environments.TAPs operate independently of network equipment and provide a complete,real-time view of network activity without risk of causing performance issues and network outages.They are designed to be fail-safe and will not interrupt network traffic.There is a total of five Network TAPs that need to be implemented between Plant Nos.1 and 2,covering both the ICS network and Office network. TIMING CONCERNS It is crucial to implement TAPs network traffic monitoring hardware as soon as possible.The IT infrastructure team has encountered network outages due to the overload of network switches.As these failures occur, they disrupt business continuity and plant processing operations. RAMIFICATIONS OF NOT TAKING ACTION Without implementing TAPs,heavy reliance on SPAN sessions can overload switches,leading to information loss.This degrades the monitoring accuracy and network performance.Additionally, visibility into network activity is reduced,which limits the visibility of possible malicious activity to the Cyber Security team, and the IT Infrastructure team can't diagnose performance issues. PRIOR COMMITTEE/BOARD ACTIONS N/A FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San’s Purchasing Ordinance.This item has been budgeted, (Budget Update FY 2025-26 Information Technology Capital Program, Page A-7). 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 Printed on 10/14/2025Page 2 of 2 powered by Legistar™ ADMINISTRATION COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4553 Agenda Date:10/22/2025 Agenda Item No:14. FROM:Robert Thompson, General Manager Originator: Jennifer Cabral, Director of Communications SUBJECT: LEGISLATIVE AFFAIRS UPDATE FOR THE MONTH OF SEPTEMBER 2025 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the Legislative Affairs Update for the month of September 2025. BACKGROUND The Orange County Sanitation District’s (OC San)legislative affairs program includes advocating for OC San’s legislative interests;sponsoring legislation (where appropriate);and seeking local,state, and federal funding for projects and programs. 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 for OC San’s interests.Help to create and monitor legislation and grants that would benefit OC San,the wastewater industry,and the community.To assist in relationship building efforts,OC San will continue to reach out to elected officials through facility tours, one-on-one meetings, and trips to Washington D.C. and Sacramento. Orange County Sanitation District Printed on 10/14/2025Page 1 of 3 powered by Legistar™ File #:2025-4553 Agenda Date:10/22/2025 Agenda Item No:14. RAMIFICATIONS OF NOT TAKING ACTION If OC San does not work with Local,State,and Federal elected officials,legislation could be passed that negatively affects OC San and the wastewater industry.Additionally,a lack of engagement may result in missed funding opportunities. ADDITIONAL INFORMATION Activities for September: State Bill Position - SB 682 ·In line with our 2025 Legislative and Regulatory Plan,OC San submitted a letter to the Governor in support for Senate Bill 682 (Allen).The bill targets consumer products sold in California that contain intentionally added PFAS (perfluoroalkyl and polyfluoroalkyl substances).Beginning in 2028,SB 682 would restrict the sale and distribution of certain items-such as cleaning products,dental floss,juvenile products,food packaging,and ski wax- with restrictions on cookware taking effect in 2030. Draft 2026 Legislative and Regulatory Plan ·Attached within this report is the draft 2026 Legislative and Regulatory Plan based on the feedback we’ve received from our agency resident experts,our industry contacts,and feedback from the Board over the last several months.The final Plan will be presented to the Administration Committee and Board of Directors in November for adoption. Activities in October: State of OC San ·The State of OC San is scheduled for Friday,October 17 from 11 a.m.to 1 p.m.at OC San Headquarters.The in-person/virtual event will host local,state,and federal dignitaries and provide an update on OC San accomplishments,and the future direction of the agency.This year's event will host a guest speaker--Joaquin Esquivel,Chair of the State Water Resources Control Board. CEQA N/A FINANCIAL CONSIDERATIONS All items mentioned are included in OC San’s FY 2024-25 and FY 2025-26 adopted Budget. Orange County Sanitation District Printed on 10/14/2025Page 2 of 3 powered by Legistar™ File #:2025-4553 Agenda Date:10/22/2025 Agenda Item No:14. ATTACHMENT The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda package: ·Federal Legislative Update ·Federal Matrix ·State Legislative Update ·State Matrix ·Local Legislative Update ·Draft 2026 Legislative and Regulatory Plan ·SB 682 Letter of Support ·Presentations Orange County Sanitation District Printed on 10/14/2025Page 3 of 3 powered by Legistar™ 1 | Page TO: Orange County Sanitation District FROM: Eric Sapirstein Sarah Sapirstein DATE: September 29, 2025 SUBJECT: Federal Update Congress returned from its summer recess on September 2. With less than three weeks until the start of �iscal year (FY) 2026, and no agreement on spending bills, Congress will need to pass a Continuing Resolution (CR) or risk shutting the government down on October 1. If a stopgap spending bill is the chosen course, it is likely to extend to the latter part of November to provide appropriators as much time as possible to cobble together an omnibus spending bill with earmarks. In the coming weeks, beyond spending legislation, Congress and the Administration will focus on implementing the Water Resources Development Act (WRDA) ahead of drafting WRDA 2026, advancing Clean Water Act permit reforms, and �inalizing per- and poly�luoroalkyl substances (PFAS) rulemakings. The following summarizes the status of these and other policy issues of interest to OC San. Fiscal Year 2026 Appropriations - Updated as of September 29 The House passed a CR on a party-line vote ahead of last week’s recess. However, the CR stalled in the Seante when Democrats opposed any CR unless Republicans include extensions of insurance premium subsidies and restoration of Medicaid cuts imposed by the One Big Beautiful Bill. Congressional Republican leadership and the president stated opposition to include such provisions. On September 29, House and Senate leaders met with President Trump to negotiate a �inal agreement on the CR. However, at the time of this writing, it appears that a compromise was not reached. If an agreement is not reached before midnight on September 30, a government-wide shutdown is inevitable. If the shutdown occurs, the Office of Management may implement an action plan that would implement massive layoffs rather than temporary furloughs of the federal workforce. Under a shutdown, the president will wield increased authority on what agencies remain open as essential work. 2 | Page Additionally, the elimination of federal programs that currently are unauthorized, may be impacted unless Congress renews programs like the Clean Water State Revolving Loan Fund Program. Finally, if the appropriations process does in fact come to halt, then it is likely that the length of any shutdown could rival the last shutdown that lasted for more than a month. If this occurs, it could mean that any final resolutions, could be delayed until November. Current Funding Decisions The House and Senate Committees on Appropriations approved their respective versions of U.S. Environmental Protection Agency’s (USEPA) FY 2026 spending bills. Notable is the fact that both committees preserve the State Revolving Loan Fund program, but with sizable differences. The Senate seeks to provide $2.7 billion, while the House seeks to provide $2.1 billion. This will require reconciliation later this fall. Water Infrastructure Finance and Innovation Act (WIFIA) is also supported, with the Senate providing $58 million and the House providing $52 million. Both levels are reduced from the current $72 million level provided in the FY 2025 spending bill. The House spending bill was approved at the committee level on a party-line vote. The Senate committee approved its bill on a bipartisan vote of 26-2. This suggests that developing any compromise bill will be challenging. PFAS Mandates and Litigation USEPA has responded to the American Water Works Association (AWWA) and Association of Metropolitan Water Agencies (AMWA) litigation that challenges the agency’s Safe Drinking Water Act of 4 parts per trillion (PPT) of Per- and poly�luoroalkyl substances (PFAS) Maximum Contaminant Level (MCL) standard and the use of a hazard index (for PFAS chemical mixtures) rules. On September 10, the agency �iled its brief on how it plans to proceed with the litigation. In its brief, USEPA states that it intends to defend its MCL drinking water standard. However, in the same �iling, the agency asked the court to vacate the hazard index rule. USEPA states that because of the questionable process that the agency employed in issuing the rule, it violates the law’s requirement for individual MCL’s for a chemical. AMWA and AWWA base their challenges on their belief that the 4PPT MCL is based upon �lawed science and fails to consider the costs and bene�its of the MCL. The second element of the litigation, the hazard index, is grounded on the premise that the agency failed to comply with the law’s directives guiding the development of drinking water standards. Given the agency’s response to the agreement, it seems likely the court would remand the rule back for further consideration. In sum, the legal challenge if successful would likely force the agency to reopen its rulemaking process to address the science, economics and bene�its �laws that AMWA and AWWA claim were inadequately considered. 3 | Page The agency is also under litigation challenging its rule to designate PFAS as a hazardous substance under the Comprehensive Emergency Response and Liability Act (CERCLA). This rule has created the circumstance where public agencies, like OC San, could be ensnared in CERCLA cleanup liability for PFAS contamination. As noted in past updates, this exists because agencies may have treated PFAS-contaminated water and byproducts that could be found in the treatment process by-products, like biosolids. The agency advised the court it will defend the rule. In making this decision, the agency noted that it is precluded by statute from providing liability protections to passive receivers and requires congressional action. The agency also closed the public comment period on August 14 on its Draft Risk Assessment Model that would set a 1 Part Per Billion (PPB) exposure level for PFAS in biosolids. The agency received more than 2,500 comments; an exceptional level of input from the public. Central to many of the comments were comments questioning the research and science the agency relied upon to establish the 1PPB standard. Also, many commenters requested that the agency issue national guidance that would inform states and others to rely on the Michigan Model while the agency considers how to �inalize the Risk Assessment Model. The Michigan Model is an approach that relies upon source control and pretreatment if PFAS loadings are excessively high. The agency is expected to spend the next several months reviewing comments on the model before issuing a �inal model that could be relied upon to establish actual treatment standards. Importance of PFAS Mandates As noted in prior updates, the outcome of litigation surrounding PFAS drinking water standards, designation of PFAS as a hazardous substance, and �inalization of a Risk Assessment Model holds the potential to impose substantial costs of compliance for water and wastewater treatment, as well as exposure to liability for clean-up of PFAS contaminated sites. Of�ice of Water Assistant Administrator Nominee Likely to Advance and USBR Commissioner Nomination Status Remains Unchanged The Senate voted 51 to 47 to con�irm Jess Kramer to be the Assistant Administrator of the Of�ice of Water at the U.S. EPA. The Senate voted to con�irm Kramer, along with 47 other nominees, following Senate Republicans move to revise the rules governing the Senate nomination con�irmation. The rules revision allowed Senate leadership to bundle nominations to expedite debate and allow for a simple majority vote to con�irm nominees. Prior to the rules change, the Senate debated nominations one at a time and required a 60-vote supermajority to pass nominees. 4 | Page ‘Do Not Flush’ Labeling Legislation Earlier this year, the House passed the WIPPES Act (H.R. 2269) on a bipartisan voice vote, sending it to the Senate. In the spring, the Senate Committee on Commerce, Science, and Transportation approved the companion bill (S. 1092) with technical, noncontroversial amendments. The legislation continues to be supported by the clean water sector, wipes industry, and environmental stakeholders, including the California Association of Sanitation Agencies and the National Association of Clean Water Agencies. Work is underway to bring the bill to the Senate �loor, and while differences between the House and Senate versions will need to be reconciled, the strong bipartisan support makes �inal passage likely. OC San Federal Legislative Update September 2025 FEDERAL - 119TH CONGRESS S. 1092 WIPPES Act High Priority Support Summary: S.1092 would direct the Federal Trade Commission to estabilsh federal "Do Not Flush" labeling requirements for nonflushable wet wipes packaging. The labeling requirements would be enacted one year after the bill's enactment. The bill mirrors California's state labeling law and is supported by clean water, industry, environmental advocates, and civil engineer stakeholders. House companion legislation is HR 2269. 03/24/2025Introduced: Sen. Jeff Merkley ORSponsor: Latest Actions: 05/21/2025 - Committee on Commerce, Science, and Transportation. Ordered to be reported with an amendment in the nat... 03/24/2025 - Read twice and referred to the Committee on Commerce, Science, and Transportation. 03/24/2025 - Introduced in Senate Senate Commerce, Science and Transportation Committees: Committee S. 1092 provides a source control solution to the problem of the flushing of Why it matters: nonflushable wipes that will reduce costs associated with fixing damaged treatment infrastructure for wastewater utilities. The labeling requirements compliment existing "Do Not Flush" labeling state law. Senator Alex Padilla is an original co-sponsor. OC San continues to publicly support the effort and has sent support letters to the delegation this Congress. Outlook: S. 1092 has high potential to be passed by the Senate this Congress based on the Committee on Commerce, Science and Transportation's bipartisan markup of the bill earlier this Spring. The committee's action raises the possibility for S. 1092 will be considered on the Floor under Unanimous Consent FEDERAL - 119TH CONGRESS H.R. 2269 Summary: H.R. 2269 would direct the Federal Trade Commission to estabilsh federal "Do Not Flush" labeling requirements for nonflushable wet wipes packaging. The labeling requirements WIPPES Act High Priority Support would be enacted one year after the bill's enactment. The bill mirrors California's state labeling law and is supported by clean water, industry, environmental advocates, and civil engineer stakeholders. Senate companion legislation is S. 1092. 03/21/2025Introduced: Rep. Lisa McClain MI-09Sponsor: Latest Actions: 06/24/2025 - Received in the Senate. 06/23/2025 - Motion to reconsider laid on the table Agreed to without objection. 06/23/2025 - On motion to suspend the rules and pass the bill Agreed to by voice vote. (text: CR H2852-2853) House Energy and Commerce CommitteeCommittees: H.R. 2269 provides a source control solution to the problem of the flushing Why it matters: of nonflushable wipes that will reduce costs associated with fixing damaged treatment infrastructure for wastewater utilities. The labeling requirements compliment existing "Do Not Flush" labeling state law. Rep. Lou Correa is a co-sponsor. OC San continues to publicly support the effort and has sent support letters to the delegation this Congress. Outlook: H.R. 2269 has high chances of passing the House this session. The legislation has been scheduled to be voted on under suspension on the House Floor the week of June 23. The Committee on Energy and Commerce's bipartisan markup of the bill also infer a bipartisan vote on the Floor. FEDERAL - 119TH CONGRESS H.R. 3898 PERMIT Act No Priority No Stance The PERMIT Act amends the Federal Water AI Summary: Pollution Control Act to streamline water quality standards, reduce regulatory burdens, clarify permitting terms, and improve federalism and efficiency in clean water permitting. 06/11/2025Introduced: Rep. Mike Collins GA-10Sponsor: Latest Actions: 07/02/2025 - Placed on the Union Calendar, Calendar No. 145. 07/02/2025 - Reported (Amended) by the Committee on Transportation and Infrastructure. H. Rept. 119-180. 07/02/2025 - POLITICO Pro - Republicans on the House Transportation and Infrastructure Committee Wednesday advanced a sweeping pack... House Transportation and Infrastructure Committee, Committees: House Transportation and Infrastructure Committee Water Resources and Environment Subcommittee H.R. 3898 represents a comprehensive Clean Water Act permitting reform Why It Matters: bill. Key provisions: Outlook. The House is expected to consider H.R. 3898 this Fall. Passage is highly likely as many of the bill's provisions passed the House during the last Congress. This included ten year permits. FEDERAL - 119TH CONGRESS H.R. 2093 To amend the Federal Water Pollution Control Act with respect to permitting terms, and for other purposes. High Priority Support Summary: H.R. 2093 would amend the Clean Water Act's permitting provisions to allow for delegated states or USEPA to issue ten year National Permit Discharge Eliminate System (NPDES) permits. The bill, if enacted, would extend current terms from five years. 03/14/2025Introduced: Rep. Ken Calvert CA-41Sponsor: Latest Actions: 03/14/2025 - Referred to the Subcommittee on Water Resources and Environment. 03/14/2025 - Referred to the House Committee on Transportation and Infrastructure. 03/14/2025 - Introduced in House House Transportation and Infrastructure Committee, Committees: House Transportation and Infrastructure Committee Water Resources and Environment Subcommittee H.R. 2093 amends the NPDES permit term to align with the current project Why it matters: construction timeline realities for water utilities and help reduce costs associated with permit renewals for both utilities and state regulators. H.R. 2093 provides this while preserving existing permit reopener provisions to ensure environmental protections are upheld. Outlook: H.R. 2093 has the potential to advance this Congress. Committee majority staff support the bill's policy intent and has expressed the desire to pursue last year's Creating Confidence Clean Water Permitting Act (HR 7023)again this Congress, which included H. R. 2093's permit extension language. H.R. 7023 passed the House in the 118th Congress. mandated 10 year NPDES permits codification of exemption from WOTUS definition for wastewater and water storage facilities expedited review and approval of section 404 permit applications ten year general permits for dredge and fill activities with requirement for 2 year advanced notification if permit not to be renewed water quality certification reviews limited to project impacts on water quality The legislation would provide important protection to water and wastewater Why It Matters: agencies against third party litigation seeking to secure cost contributions for cleanups that involve PFAS contamination. Absent an explicit liability protection provision such agencies would be exposed to liability simply because an agency treated water and wastewater that contained PFAS chemicals and disposed of residuals and biosolids. Outlook: H.R. 1267 represents a placeholder bill to address the water sector's concerns over the potential liability created by USEPA's designation of PFAS as a hazardous substance under CERCLA. Both the House and Senate committees with jurisdiction over CERCLA have expressed interest in addressing PFAS liability. However, any significant legislative activity is expected to await USEPA's recommendations on how to address passive receivers liability created by the PFAS designation. FEDERAL - 119TH CONGRESS H.R. 1265 To amend the Save Our Seas 2.0 Act to expand eligibility for certain wastewater infrastructure grants, and for other purposes. No Priority No Stance Summary: H.R. 1265 aims to expand eligibility for certain wastewater infrastructure grants under the Save Our Seas 2.0 Act12. This expansion would allow communities and projects to qualify for federal funding, which can be used to improve and modernize wastewater treatment facilities. By increasing access to these grants, the bill seeks to enhance the capacity of wastewater management systems to handle pollutants, reduce environmental impacts, and support public health. This could lead to more efficient and effective wastewater treatment processes, ultimately contributing to cleaner waterways and a healthier environment. FEDERAL - 119TH CONGRESS H.R. 1267 Water Systems PFAS Liability Protection Act High Priority Support The Water Systems PFAS Liability Protection Act AI Summary: exempts water and wastewater treatment facilities from CERCLA liability for releases of certain perfluoroalkyl and polyfluoroalkyl substances, provided they comply with applicable laws and regulations. 02/12/2025Introduced: Rep. Marie Gluesenkamp Perez WA-03Sponsor: Latest Actions: 02/12/2025 - Referred to the Subcommittee on Water Resources and Environment. 02/12/2025 - Referred to the Committee on Energy and Commerce, and in addition to the Committee on Transportation an... 02/12/2025 - Referred to the Committee on Energy and Commerce, and in addition to the Committee on Transportation an... House Energy and Commerce Committee, House Committees: Transportation and Infrastructure Committee, House Transportation and Infrastructure Committee Water Resources and Environment Subcommittee 02/12/2025Introduced: Del. Eleanor Holmes Norton DC-At LargeSponsor: Latest Actions: 04/01/2025 - Referred to the Subcommittee on Water Resources and Environment. 02/12/2025 - Referred to the House Committee on Transportation and Infrastructure. 02/12/2025 - Sponsor introductory remarks on measure. (CR E120) House Transportation and Infrastructure Committee, Committees: House Transportation and Infrastructure Committee Coast Guard and Maritime Transportation Subcommittee, House Transportation and Infrastructure Committee Water Resources and Environment Subcommittee FEDERAL - 119TH CONGRESS H.R. 1285 Water Infrastructure Subcontractor and Taxpayer Protection Act of 2025 No Priority No Stance Summary: H.R. 1285 would amend the Water Infrastructure Finance and Innovation Act of 2014. The key points: Payment and Performance Security Requirements: The bill establishes new requirements for payment and performance security for projects funded under the act. Project Funding: Ensure that projects financed through the Water Infrastructure Finance and Innovation Act have adequate financial safeguards.H.R. 2093 would amend the Clean Water Act's permitting provisions to allow for delegated states or USEPA to issue ten year National Permit Discharge Eliminate System (NPDES) permits. The bill, if enacted, would extend current terms from five years 02/13/2025Introduced: Rep. Mike Bost IL-12Sponsor: Latest Actions: 02/13/2025 - Referred to the Subcommittee on Water Resources and Environment. 02/13/2025 - Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Ene... 02/13/2025 - Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Ene... House Energy and Commerce Committee, House Committees: Transportation and Infrastructure Committee, House Transportation and Infrastructure Committee Water Resources and Environment Subcommittee FEDERAL - 119TH CONGRESS H.R. 2344 Summary: Would establish a program to enhance the preparedness and resilience of drinking water and wastewater systems against various threats. The bill's primary focus is on Water ISAC Threat Protection Act No Priority No Stance safeguarding these critical utilities from risks such as natural disasters, cyberattacks, and other vulnerabilities that could disrupt essential water services. 03/25/2025Introduced: Rep. Jan Schakowsky IL-09Sponsor: Latest Actions: 03/25/2025 - Referred to the Subcommittee on Water Resources and Environment. 03/25/2025 - Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Ene... 03/25/2025 - Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Ene... House Energy and Commerce Committee, House Committees: Transportation and Infrastructure Committee, House Transportation and Infrastructure Committee Water Resources and Environment Subcommittee FEDERAL - 119TH CONGRESS S. 857 Water Conservation Rebate Tax Parity Act No Priority No Stance Summary: Amends federal tax law so that homeowners would not need to pay income tax when they receive rebates from water utilities for water conservation and water runoff management improvements. S. 857. 03/05/2025Introduced: Sen. John Curtis UTSponsor: Latest Actions: 03/05/2025 - Read twice and referred to the Committee on Finance. 03/05/2025 - Introduced in Senate Senate Finance CommitteeCommittees: FEDERAL - 119TH CONGRESS S. 1118 Water Intelligence, Security, and Cyber Threat Protection Act of 2025 No Priority No Stance Summary: S. 1118 would provide funding and additional access for clean water and wastewater utilities to become members of the Water Information Sharing and Analysis Center (WaterISAC). The WaterISAC is a critical source of information and best practices for water systems to protect against, mitigate, and respond to threats. House Companion bill H.R. 2344. Endorsed by American Water Works Association, Association of Metropolitan Water Agencies, National Association of Clean Water Agencies, National Association of Water Companies, and Water Environment Federation. 03/25/2025Introduced: Sen. Ed Markey MASponsor: Latest Actions: 03/25/2025 - Read twice and referred to the Committee on Environment and Public Works. 03/25/2025 - Introduced in Senate Senate Environment and Public Works CommitteeCommittees: 1 M E M O R A N D U M To: Orange County Sanitation District From: Townsend Public Affairs Date: September 29, 2025 Subject: September 2025 Legislative Monthly Report STATE UPDATES The 2025 legislative session officially came to a close on Saturday, September 13, after a frenzied final week marked by last-minute proposals, late amendments, and negotiations between leadership in both houses and the Governor’s Administration. This adjournment capped the first year of the two-year 2025–26 Legislative Session, during which more than 2,700 bills were introduced. While end-of-session policy pushes are a familiar feature of California’s legislative process, this year stood out for the number of sweeping amendments dropped into bill vehicles during the final 72 hours. These efforts targeted major issues such as Cap and Trade reauthorization, housing and land use, and public safety reforms. Governor Newsom also kept a strong hand in session-end negotiations, seeking to shape outcomes around his climate and energy priorities as he enters his final year in office in 2026. Ultimately, his Administration worked closely with legislative leaders to advance several priority measures that took shape in several energy and climate related measures in the last week of session. Given the State’s ongoing fiscal challenges, vetoes are expected to mirror prior years, with the Governor frequently citing insufficient state resources to implement new programs and more fiscal uncertainty on the horizon. Unless otherwise specified, statutes signed into law this year will generally take effect January 1, 2026. The end of the 2025 legislative session also signals the start of Interim Recess and the lead-up to the November 2025 statewide special election, when Proposition 50 on redistricting will headline the ballot. Looking ahead to 2026, legislators will confront major fiscal and policy challenges, including revisiting clean-up legislation for measures passed in 2025. Governor Newsom will have until October 12 to sign or veto legislation that reached his desk. 2 The Election Rigging Response Act When the Legislature returned from Summer Recess, the focus quickly centered on the Governor’s proposal to allow mid-decade congressional redistricting. On August 18, the proposal was introduced as a three-bill package known as the Election Rigging Response Act, which gives California voters the option of adopting interim congressional districts before the normally scheduled timeline following the 2030 census. The package included three measures: AB 604 (Aguiar-Curry/Gonzalez), which sets forth congressional district boundaries that would only take effect if voters approve ACA 8 at the November 2025 special election; SB 280 (Cervantes/Pellerin), which formally calls the special statewide election and provides procedures and funding for its administration; and ACA 8 (Rivas/McGuire), a proposed constitutional amendment, if approved by voters, would temporarily authorizes the Legislature to adopt congressional maps mid-decade under certain conditions until the Citizens Redistricting Commission resumes its work after the 2030 census. Both AB 604 and SB 280 contains urgency clauses and took effect immediately. After rule waivers were approved on the floor to move the package forward on an expedited schedule, the measures were heard in the Assembly and Senate Elections Committees. Testimony and debate in those hearings were lengthy and, at times, contentious, as members of the public and legislators raised concerns about the need for mid-decade redistricting, the speed of the process, the source of the maps, and the broader national political context. The committees advanced the bills on party-line votes. On August 20, the Appropriations Committees in both houses considered the fiscal impacts of the measures and advanced them, again largely along party lines. Additionally, the California Supreme Court rejected a petition seeking to halt legislative action on the grounds that the 30-day public review period for newly introduced bills had not been met. With that challenge denied, the legal framework is now in place for the special election. However, additional lawsuits challenging the substance of the redistricting plan are expected in the months ahead, including potential claims under the Voting Rights Act and disputes over community representation. On August 21, the Assembly and Senate Floor sessions both involved extended debate and repeated procedural motions, and ultimately the measures were approved with the two-thirds majorities needed. The Assembly passed the bills on a 57–20 vote, and the Senate followed with a 30–8 vote. Shortly after legislative passage, Governor Newsom signed the Election Rigging Response Act into law, immediately enacting its urgency provisions and officially setting the November 4, 2025, special election for voter consideration of the proposed amendment and redrawn maps. The Legislature’s action concluded the State’s role in advancing the mid-decade redistricting proposal. Attention will now shift to the campaign ahead of the November special election for the proposal, Proposition 50, as well as to ongoing litigation that may shape how the proposal ultimately moves forward. While Congressional District boundaries will change dramatically in some areas, it is too early to tell how OC San may be impacted. Should Proposition 50 pass, OC San will have 8 members of the House of Representatives. 3 Cap and Trade Program Reauthorization In advance of the expiration of the State’s Cap and Trade program in 2030, Governor Newsom announced in April his commitment to permanently extending the program during this legislative year. The Cap and Trade program generates revenue through the auction of greenhouse gas emission allowances, which is deposited into the Greenhouse Gas Reduction Fund (GGRF) and generally allocated to climate-related programs. Most funding from the GGRF is allocated to specific programs, such as the Affordable Housing and Sustainable Communities Program, Low Carbon Transit Operations Program, and High-Speed Rail Project, and the remaining revenue is available for appropriation by the Legislature for discretionary spending programs through the annual budget process. TPA has been working with OC San staff and legislative stakeholders on advocating for a new grant program through Cap and Trade discretionary revenues to fund innovative biosolids management projects. This concept was discussed prior to OC San’s Sacramento advocacy trip in April and has been continuously worked on since. Potential projects for OC San include the Biosolids Deep Well Injection project and Supercritical Water Oxidization. Legislators were engaged in an intense, time-sensitive effort during the last week of the legislative session to extend the State’s Cap and Trade program, now named the Cap and Invest program through 2045. The Assembly, Senate, and Governor’s Office held near-daily negotiations to reach an agreement before the legislative session’s end. State law required bills to be publicly available for 72 hours before a vote, meaning any deal needed to be finalized and printed by September 9 for consideration before the session ended on September 12. An agreement was ultimately reached on Wednesday, September 10, prompting the Legislature to adopt special rules extending the session to September 13. At that stage, the legislative process was highly compressed, with proposals being shaped in real time and input flowing from lawmakers, administration officials, and key stakeholders. Proponents argued that extending the program would not only reaffirm the State’s long-term climate policy but also provide regulatory certainty for investors and markets, which some experts say is crucial to keeping allowance prices stable. Without reauthorization, allowance prices are likely to remain near their floor, potentially costing the State billions in lost revenue for the Greenhouse Gas Reduction Fund; funds that finance climate projects and consumer utility bill credits. The agreement was mostly split into two measures, one in each house. AB 1207 (Irwin) renews the program and makes modest adjustments to how the California Air Resources Board distributes free “allowances” (permits that authorize certain levels of emissions) to different types of regulated entities. SB 840 (Limón) sets a framework for how the state will allocate revenue from the program beginning in 2026. It dedicates $1 billion per year to High-Speed Rail and $1 billion per year for the Legislature to allocate through the state budget. SB 840 also continues funding for housing, public transit, clean-air initiatives, wildfire prevention, and safe drinking water projects. In addition, it directs the air resources board to review its rules on “offsets”, which allow companies to balance their emissions by funding reductions elsewhere, with an updated study due in 2026. Funding for innovative biosolids management was not included in the new Greenhouse Gas Reduction Fund expenditure program, however progress was made to make the process more open to change. 4 The Legislature broadly went away from continuous appropriations/allocations and instead converted existing continuous funding streams into specific dollar amounts, subject to change. In future budget years there will be opportunities to engage with the Legislature to advocate changes to the Greenhouse Gas Reduction Fund expenditure plan. Both Cap and Trade reauthorization bills were signed into law by Governor Newsom on September 19. Proposition 4 Appropriations In addition to major action on Cap and Trade and other key legislative proposals, the Legislature also passed a wide-ranging package of budget measures in the final days of the 2025 legislative session. Lawmakers adopted amendments to prior budget acts and advanced trailer bills covering human services, education finance, higher education, early childhood education and childcare, transportation, economic development, labor, public safety, wildfire-related tax relief, background checks, state employment, and elections. These measures collectively implement and refine the policy and funding priorities set out in the 2025 state budget. As a part of the 2025 Budget Act, AB/SB 105 made much anticipated appropriations from the Safe Drinking Water, Wildfire Prevention, Drought Preparedness, and Clean Air Bond Act of 2024, otherwise known as Proposition 4. The bond approved $10 billion in total spending, and the 2025-26 expenditures tally up to $3.287 billion, including: • $1.2 billion for Safe Drinking Water, Drought, Flood, and Water Resilience • $416 million for Wildfire and Forest Resilience • $279 million for Coastal Resilience • $110 million for Extreme Heat Mitigation • $390 million for Biodiversity and Nature-Based Solutions • $153 million for Climate Smart Agriculture • $466 million for Park Creation and Outdoor Access • $275 million for Clean Air and Energy These funds will be disbursed to various state agencies for local and statewide programs and projects to implement the bond. TPA has been tracking the rollout of Proposition 4 for OC San, specifically the appropriation of the water recycling funding from Proposition 4. AB/SB 105 appropriated $153 million out of the $386 million included in Proposition 4. That funding will not be allocated by the State Water Resources Control Board through their annual Intended Use Plan. OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS AB 60 Papan [D]Current law, commencing January 1, 2027, prohibits a person or entity from manufacturing, selling, delivering, holding, or offering for sale in commerce any cosmetic product that contains any of several specified intentionally added ingredients except under specified circumstances. This bill, the Musk Reduction Act, would expand that prohibition by adding musk ambrette, musk tibetene, musk moskene, and musk xylene to the list of banned ingredients. The bill would also, beginning January 1, 2027, prohibit the use of musk ketone in cosmetic products in excess of specified amounts, including 1.4 percent in fine fragrance products, and oral products, as defined. Passed the Legislature. Currently on the Governor's Desk Watch State Priorities: Source Control - Support legislation and/or regulations that restrict the non-essential use of microplastics and contaminants of emerging concern in any product that is disposed or has the potential to be introduced into the sanitary sewer system. ACC-OC - NYC LOCC - NYC CASA - NYC CSDA - NYC ACWA - NYC AB 70 Aguiar-Curry The California Integrated Waste Management Act of 1989 requires each city, county, and regional agency to develop a source reduction and recycling element of an integrated waste management plan. The act requires that element to include a 50% solid waste diversion requirement, as specified, and provides that up to 10% may be achieved through biomass conversion under certain conditions, with biomass conversion defined as the production of heat, fuels, or electricity by certain means from specified materials. One of the conditions for using biomass conversion to satisfy a portion of the solid waste diversion requirement is that pyrolysis not be included in the source reduction and recycling element. Pyrolysis is not defined for that purpose or for other purposes in the act. This bill would define pyrolysis as the thermal decomposition of material at elevated temperatures in the absence or near absence of oxygen. Passed the Legislature. Currently on the Governor's Desk Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - NYC CASA - NYC CSDA - NYC ACWA - NYC Proposed Legislation 2025 High Priority OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS AB 259 Rubio [D]The Ralph M. Brown Act, requires, with specified exceptions, that all meetings of a legislative body, as defined, of a local agency be open and public and that all persons be permitted to attend and participate. Current law, until January 1, 2026, authorizes the legislative body of a local agency to use alternative teleconferencing if, during the teleconference meeting, at least a quorum of the members of the legislative body participates in person from a singular physical location clearly identified on the agenda that is open to the public and situated within the boundaries of the territory over which the local agency exercises jurisdiction, and the legislative body complies with prescribed requirements. Current law requires a member to satisfy specified requirements to participate in a meeting remotely pursuant to these alternative teleconferencing provisions, including that specified circumstances apply. Current law establishes limits on the number of meetings a member may participate in solely by teleconference from a remote location pursuant to these alternative teleconferencing provisions, including prohibiting such participation for more than 2 meetings per year if the legislative body regularly meets once per month or less. This bill would extend the alternative teleconferencing procedures until January 1, 2030. Two-Year Bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Support CASA - Support CSDA - Sponsor ACWA - Support AB 339 Ortega [D]The Meyers-Milias-Brown Act contains various provisions that govern collective bargaining of local represented employees and delegates jurisdiction to the Public Employment Relations Board to resolve disputes and enforce the statutory duties and rights of local public agency employers and employees. Current law requires the governing body of a public agency to meet and confer in good faith regarding wages, hours, and other terms and conditions of employment with representatives of recognized employee organizations. Current law requires the governing body of a public agency, and boards and commissions designated by law or by the governing body, to give reasonable written notice, except in cases of emergency, as specified, to each recognized employee organization affected of any ordinance, rule, resolution, or regulation directly relating to matters within the scope of representation proposed to be adopted by the governing body or the designated boards and commissions. This bill would require the governing body of a public agency, and boards and commissions designated by law or by the governing body of a public agency, to give the recognized employee organization no less than 45 days’ written notice before issuing a request for proposals, request for quotes, or renewing or extending an existing contract to perform services that are within the scope of work of the job classifications represented by the recognized employee organization, subject to certain exceptions. The bill would require the notice to include specified information, including the anticipated duration of the contract. Passed the Legislature. Currently on the Governor's Desk Oppose Legislative and Regulatory Policies: Labor Relations/Human Resources: Oppose efforts reducing local control over public employee disputes and imposing regulations on an outside agency. ACC-OC - NYC LOCC - Oppose CASA - Oppose CSDA - Oppose ACWA - Not Favor OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS AB 340 Ahrens [D]Existing laws governing labor relations for public employees and employers, such as the Meyers-Milias-Brown Act and the Ralph C. Dills Act, prohibit employers from actions like imposing reprisals, discriminating, or interfering with employees' rights related to employee organizations. These laws also ensure that employee organizations are granted their legal rights. This bill would further restrict public employers by prohibiting them from questioning employees or their representatives about confidential communications related to organizational representation. It also prevents employers from forcing the disclosure of these communications to a third party. However, this prohibition does not apply during criminal investigations or when a public safety officer is being investigated under certain conditions. Two-year bill Watch Legislative and Regulatory Policies: Labor Relations/Human Resources: Oppose efforts reducing local control over public employee disputes and imposing regulations on an outside agency. ACC-OC - NYC LOCC - Oppose CASA - NYC CSDA - Oppose ACWA - NYC AB 370 Carrillo [D]This bill would revise the definition of unusual circumstances as it applies to a state of emergency to require the state of emergency, in addition to currently affecting the agency’s ability to timely respond to requests as described above, to also require the state of emergency to directly affect the agency’s ability to timely respond to requests as described above. By restricting the time period in which a local agency may respond to requests, thus increasing the duties of local officials, this bill would create a state-mandated local program. Current law requires each agency, within 10 days of a request for a copy of records, to determine whether the request seeks copies of disclosable public records in possession of the agency and to promptly notify the person of the determination and the reasons therefor. Current law authorizes that time limit to be extended by no more than 14 days under unusual circumstances, and defines “unusual circumstances” to include, among other things, the need to search for, collect, and appropriately examine records during a state of emergency when the state of emergency currently affects the agency’s ability to timely respond to requests due to staffing shortages or closure of facilities, as provided. Signed into law Support Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Support CASA - Support CSDA - Support ACWA - NYC AB 405 Addis [D]The State Air Resources Board must establish regulations by July 1, 2025, for major businesses (annual revenue above $1 billion) operating in California to disclose their greenhouse gas emissions. By 2026, they must report Scope 1 and 2 emissions, and by 2027, Scope 3 emissions as well. This bill, the Fashion Environmental Accountability Act of 2025, focuses on fashion sellers, requiring them to adhere to environmental due diligence by eliminating regulated chemicals in their products and setting greenhouse gas reduction targets. Beginning July 1, 2027, fashion sellers must annually submit an Environmental Due Diligence Report. By 2028, they can’t sell products with regulated chemicals above permitted levels. Non- compliance could lead to penalties or legal actions. Lastly, penalties collected will support environmental projects through a newly established fund, the Fashion Environmental Remediation Fund. Two-year bill Watch State Priorities: Source Control - Support legislation and/or regulations that restrict the non-essential use of microplastics and contaminants of emerging concern in any product that is disposed or has the potential to be introduced into the sanitary sewer system. ACC-OC - NYC LOCC - NYC CASA - Work with Author CSDA - NYC ACWA - NYC OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS AB 430 Alanis [R]Current law provides that an emergency regulation adopted by the State Water Resources Control Board following a Governor’s proclamation of a state of emergency based on drought conditions, for which the board makes specified findings, may remain in effect for up to one year, as provided, and may be renewed if the board determines that specified conditions relating to precipitation are still in effect. This bill would require the board, within 180 days following a finding by the board that a nonfee emergency regulation is no longer necessary, as provided, to conduct a comprehensive economic study assessing the impacts of the regulation, as specified. Two-year bill Watch Legislative and Regulatory Policies: Water Quality and Supply: Support (generally) measures to increase water supply and improve water quality in the region, including drought relief legislations and regulations. ACC-OC - NYC LOCC - Watch CASA - Watch CSDA - Watch ACWA - NYC AB 538 Berman [D]Existing law mandates that the Labor Commissioner investigates violations by contractors or subcontractors related to public works projects, including adherence to prevailing wage laws. Contractors and subcontractors must maintain accurate payroll records, including personal details and wage information for each employee, and provide certified copies upon public request. Non-compliance is considered a misdemeanor. The bill requires that if an awarding body receives a records request but lacks the records, it must obtain them from the contractor and provide them to the requester. The Division of Labor Standards Enforcement can impose penalties if a contractor does not comply within 10 days. Passed the Legislature. Currently on the Governor's Desk Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Oppose CASA - Watch CSDA - Oppose ACWA - NYC AB 638 C. Rodriguez [D]Current law, the Stormwater Resource Planning Act, authorizes one or more public agencies to develop a stormwater resource plan that meets certain standards to address the capture of stormwater, as defined, and dry weather runoff, as defined. This bill would require the State Water Resources Control Board, by December 1, 2026, to develop recommendations for stormwater capture and use for the irrigation of urban public lands, as defined. The bill would require the recommendations to address, but not be limited to, opportunities for the use of captured stormwater for irrigation to offset the use of potable water, as specified, and recommendations for, among other things, pathogens and pathogen indicators and total suspended solids. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Watch CASA - NYC CSDA - Watch ACWA - NYC AB 643 Wilson [D]This bill would authorize a local jurisdiction to include organic material used as a beneficial agricultural amendment towards its recovered organic waste procurement target if the material is processed at a facility authorized by the department using specified approved technologies, and if the material is licensed for end use as an agricultural fertilizer by the Department of Food and Agriculture. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Watch CASA - Support in concept CSDA - Watch ACWA - NYC OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS AB 647 M. Gonzalez [D]This bill would require a proposed housing development containing no more than 8 residential units that is located on a lot with an existing single- family home or is zoned for 8 or fewer residential units to be considered ministerially, without discretionary review or hearing, if the proposed housing development meets certain requirements, including, among other requirements, that the proposed housing development dedicates at least one residential unit to deed-restricted affordable housing to households making at or below 80% of the area median income, as specified. The bill would prohibit a local agency from applying any development standard that will have the effect of physically precluding the construction of a housing development that meets those requirements, as specified, and from imposing on a housing development subject to these provisions any objective zoning standard or objective design standard that meets certain criteria, including imposing any requirement that applies to a project solely or partially on the basis that the housing development receives approval pursuant to these provisions. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Oppose CASA - NYC CSDA - NYC ACWA - NYC AB 794 Gabriel [D]The California Safe Drinking Water Act requires the State Water Resources Control Board to administer provisions relating to the regulation of drinking water to protect public health. The state board’s duties include, but are not limited to, enforcing the federal Safe Drinking Water Act (federal act) and adopting and enforcing regulations. Current law authorizes the state board to adopt as an emergency regulation, a regulation that is not more stringent than, and is not materially different in substance and effect than, the requirements of a regulation promulgated under the federal act, with a specified exception. This bill would provide that the authority of the state board to adopt an emergency regulation pursuant to these provisions includes the authority to adopt requirements of a specified federal regulation that was in effect on January 19, 2025, regardless of whether the requirements were repealed or amended to be less stringent. The bill would prohibit an emergency regulation adopted pursuant to these provisions from implementing less stringent drinking water standards, as provided, and would authorize the regulation to include requirements that are more stringent than the requirements of the federal regulation. Currently in the Assembly Inactive File Watch State Priorities: Contaminants of Emerging Concern - Support legislation that will eliminate non-essential PFAS uses to reduce and mitigate PFAS in everyday consumer goods. ACC-OC - NYC LOCC - Oppose Unless Amended CASA - Oppose CSDA - Watch ACWA - Oppose Unless Amended OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS AB 810 Irwin [D]Current law requires that a local agency that maintains an internet website for use by the public to ensure that the internet website uses a “.gov” top- level domain or a “.ca.gov” second-level domain no later than January 1, 2029. Current law requires that a local agency that maintains public email addresses to ensure that each email address provided to its employees uses a “.gov” domain name or a “.ca.gov” domain name no later than January 1, 2029. Current law defines “local agency” for these purposes as a city, county, or city and county. This bill would recast these provisions by instead requiring a city, county, or city and county to comply with the above- described domain requirements and by deleting the term “local agency” from the above-described provisions. The bill would also require a special district, joint powers authority, or other political subdivision to comply with similar domain requirements no later than January 1, 2031. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Watch CASA - Watch CSDA - Oppose ACWA - Not Favor AB 818 Avila-Farias [D]The Permit Streamlining Act requires a public agency to determine whether an application for a development project is complete within specified time periods, as specified. The act requires a public agency that is the lead agency for a development project to approve or disapprove that project within specified time periods. Current law, the California Emergency Services Act, among other things, authorizes the governing body of a city, county, or city and county to proclaim a local emergency under certain circumstances, as specified, and grants political subdivisions various powers and authorities in periods of local emergency. This bill would require a city, county, or city and county to approve or deny a complete application, within 10 business days of receipt of the application, for a building permit or an equivalent permit for any of the specified structures intended to be used by a person until the rebuilding or repair of an affected property is complete. Passed the Legislature. Currently on the Governor's Desk Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - NYC CASA - Oppose Unless Amended CSDA - Watch ACWA - NYC AB 823 Boerner [D]This bill would, on and after January 1, 2029, prohibit a person from selling, offering for sale, distributing, or offering for promotional purposes in this state a personal care product containing plastic glitter, or a personal care product in a non-rinse-off product or a cleaning product containing one ppm or more by weight of plastic microbeads that are used as an abrasive, as specified. The bill would authorize, until January 1, 2030, a person to continue to sell, offer for sale, distribute, or offer for promotional purposes in this state an existing stock of personal care products containing plastic glitter, as specified. By adding these prohibitions to the Plastic Microbeads Nuisance Prevention Law, the bill would impose the civil penalty for violations of these prohibitions. Passed the Legislature. Currently on the Governor's Desk Watch State Priorities: Source Control - Support legislation and/or regulations that restrict the non-essential use of microplastics and contaminants of emerging concern in any product that is disposed or has the potential to be introduced into the sanitary sewer system. ACC-OC - NYC LOCC - Watch CASA - Support CSDA - NYC ACWA - NYC OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS AB 872 Rubio [D]Current law, known as the Green Chemistry program, requires the Department of Toxic Substances Control to adopt regulations to establish a process to identify and prioritize chemicals or chemical ingredients in consumer products that may be considered as being chemicals of concern. Current law requires the regulations to include criteria by which chemicals and their alternatives may be evaluated by the department, as provided. Current law requires the department, following the completion of an alternatives analysis, to provide a regulatory response that may include, but is not limited to, not requiring any action and restricting or prohibiting the use of the chemical of concern in the consumer product. This bill would, beginning January 1, 2028, prohibit a person from distributing, selling, or offering for sale a covered product, as defined, that contains intentionally added PFAS, as defined, unless the department has issued a regulatory response for the covered product pursuant to the Green Chemistry program or the prohibition is preempted by federal law. Two-year bill Watch State Priorities: Source Control - Support legislation and/or regulations that restrict the non-essential use of microplastics and contaminants of emerging concern in any product that is disposed or has the potential to be introduced into the sanitary sewer system. ACC-OC - NYC LOCC - Watch CASA - Oppose CSDA - NYC ACWA - NYC AB 874 Avila Farias This bill would require a local agency to waive fees or charges that are collected by a local agency to fund the construction of public improvements or facilities for residential developments subject to a regulatory agreement with a public entity, as provided, that includes certain income and affordability requirements. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - NYC CASA - Oppose Unless Amended CSDA - Oppose ACWA - Oppose Unless Amended AB 1206 Harabedian [D]This bill requires each local agency to develop a program for the preapproval of single-family and multifamily residential housing plans for public use. The bill would require a large jurisdiction, as defined, to develop this program by July 1, 2026, and a small jurisdiction, as defined, to develop a program by January 1, 2028. The bill would authorize a local agency to charge a fee to an applicant for the preapproval of a single- family or multifamily residential housing plan, as specified. The bill would require the local agency to post preapproved single-family or multifamily residential housing plans and the contact information of the applicant on the local agency’s internet website. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - NYC CASA - Seek Amendments CSDA - NYC ACWA - Seek Amendments SB 31 McNerney [D]The Water Recycling Law generally provides for the use of recycled water. Current law requires any person who, without regard to intent or negligence, causes or permits an unauthorized discharge of 50,000 gallons or more of recycled water in or on any waters of the state to immediately notify the appropriate regional water board. This bill would, for the purposes of the above provision, redefine “recycled water” and provide that water discharged from a decorative body of water during storm events is not to be considered an unauthorized discharge if recycled water was used to restore levels due to evaporation. Passed the Legislature. Currently on the Governor's Desk Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Support CASA - Support CSDA - Support ACWA - Favor OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS SB 72 Caballero [D]This bill would revise and recast certain provisions regarding The California Water Plan to, among other things, require the department to expand the membership of the advisory committee to include, among others, tribes, labor, and environmental justice interests. The bill would require the department, as part of the 2033 update to the plan, to update the interim planning target for 2050, as provided. The bill would require the target to consider the identified and future water needs for all beneficial uses, including, but not limited to, urban uses, agricultural uses, tribal uses, and the environment, and ensure safe drinking water for all Californians, among other things. The bill would require the plan to include specified components, including a discussion of the estimated costs, benefits, and impacts of any project type or action that is recommended by the department within the plan that could help achieve the water supply targets. Passed the Legislature. Currently on the Governor's Desk Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Support CASA - Support CSDA - Support ACWA - Support SB 239 Arreguin [D]Current law, until January 1, 2026, authorizes specified neighborhood city councils to use alternate teleconferencing provisions related to notice, agenda, and public participation, as prescribed, if, among other requirements, the city council has adopted an authorizing resolution and 2/3 of the neighborhood city council votes to use alternate teleconference provisions, as specified. This bill would authorize a subsidiary body, as defined, to use alternative teleconferencing provisions and would impose requirements for notice, agenda, and public participation, as prescribed. The bill would require the subsidiary body to post the agenda at the primary physical meeting location. The bill would require the members of the subsidiary body to visibly appear on camera during the open portion of a meeting that is publicly accessible via the internet or other online platform, as specified. Two-year bill (Provisions amended into SB 707) Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Sponsor CASA - NYC CSDA - Support ACWA - Favor OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS SB 317 Hurtado [D]Current law establishes the State Department of Public Health to implement various programs throughout the state relating to public health. The department administers the California Wastewater Surveillance Dashboard that provides an overview of data from testing wastewater for SARS-CoV-2 virus in California. The data in the dashboard is generated by those participating in the department’s California Surveillance of Wastewaters (Cal-SuWers) network, including the Cal-SuWers program, WastewaterSCAN, the federal Centers for Disease Control and Prevention National Wastewater Surveillance System, wastewater utilities, and academic, laboratory, and other state and federal partners. This bill would require the department, in consultation with participating wastewater treatment facilities, local health departments, and other subject matter experts, to maintain the Cal-SuWers network to test, as appropriate for public health use, for pathogens, toxins, or other public health indicators in wastewater. The bill would require participation in the Cal-SuWers network from local health departments and wastewater treatment facilities to be voluntary. The bill would authorize the department to coordinate with health care providers, local health departments, and emergency response agencies to ensure wastewater surveillance data is used for early intervention, outbreak response, epidemiological investigations, and public health planning. Passed the Legislature. Currently on the Governor's Desk Support Legislative and Regulatory Policies: Public Health - Support (generally) measures that provide for improved public health through regulation. ACC-OC - NYC LOCC - Watch CASA - Support in Concept CSDA - Watch ACWA - NYC SB 318 Becker [D]Existing law designates the State Air Resources Board as responsible for controlling vehicular air pollution, while air pollution from non-vehicular sources is managed by air pollution control districts. Air districts can require permits to construct or operate equipment emitting air contaminants, with certain exceptions. Under the Clean Air Act, new or modified major sources must use best available control technology for emissions. This bill defines "best available control technology" for these purposes and establishes a process for evaluating permits. It requires the executive officer of the state board to review permits for Title V sources and object if they do not comply with the Clean Air Act. The bill also requires a technical feasibility analysis for certain renewal permits and allows for more stringent measures than those proposed by applicants. The bill revises the precertification program by updating criteria every eight years and expanding it to include various types of equipment and processes. It allows for temporary employee assignments to leverage expertise and invites other regulatory agencies to join the expansion of the precertification program. Two-year bill Watch Legislative and Regulatory Policies: Air Quality - Monitor legislative and regulatory developments in response to State’s goal of achieving Carbon Neutrality including the Advanced Clean Fleets and the Zero- Emission Forklift Fleets regulations pertaining to the electrification of engine- driven equipment and fleets. ACC-OC - NYC LOCC - NYC CASA - Watch CSDA - Watch ACWA - NYC OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS SB 445 Wiener [D]Current law creates the High-Speed Rail Authority Office of the Inspector General (office) and authorizes the High-Speed Rail Authority Inspector General (inspector general) to initiate an audit or review regarding oversight related to delivery of the high-speed rail project undertaken by the authority and the selection and oversight of contractors related to that project. Current law requires the inspector general to submit annual reports to the Legislature and Governor regarding its findings. This bill would require the authority, on or before July 1, 2026, to develop and adopt internal rules, as defined, setting forth standards and timelines for the authority to engage utilities to ensure coordination and cooperation in relocating utility infrastructure or otherwise resolving utility conflicts affecting the delivery of the high-speed rail project. The bill would require the authority to ensure that the internal rules, among other things, identify the circumstances under which the authority would be required seek to enter into a cooperative agreement with a utility that, where relevant, identifies who is responsible for specific utility relocations, as specified. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Oppose CASA - Oppose CSDA - Oppose ACWA - Oppose SB 454 McNerney [D]This bill, which would become operative upon an appropriation by the Legislature, would enact a PFAS mitigation program. As part of that program, the bill would create the PFAS Mitigation Fund in the State Treasury and would authorize certain moneys in the fund to be expended by the state board, upon appropriation by the Legislature, for specified purposes. The bill would authorize the state board to seek out and deposit nonstate, federal, and private funds, require those funds to be deposited into the PFAS Mitigation Fund, and continuously appropriate the nonstate, federal, and private funds in the fund to the state board for specified purposes. The bill would authorize the state board to establish accounts within the PFAS Mitigation Fund. The bill would authorize the state board to expend moneys from the fund in the form of a grant, loan, or contract, or to provide assistance services to water suppliers and sewer system providers, as those terms are defined, for multiple purposes, including, among other things, to cover or reduce the costs for water suppliers associated with treating drinking water to meet the applicable state and federal maximum perfluoroalkyl and polyfluoroalkyl substances (PFAS) contaminant levels. The bill would require a water supplier or sewer system provider to include a clear and definite purpose for how the funds will be used to provide public benefits to their community related to safe drinking water, recycled water, or treated wastewater in order to be eligible to receive funds. The bill would require the state board to adopt guidelines to implement these provisions, as provided. Passed the Legislature. Currently on the Governor's Desk Watch State Priorities: Contaminants of Emerging Concern - Support legislation that will eliminate non-essential PFAS uses to reduce and mitigate PFAS in everyday consumer goods. ACC-OC - NYC LOCC - Sponsor CASA - Support CSDA - Support ACWA - Sponsor OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS SB 496 Hurtado [D]Current law requires the State Air Resources Board to manage vehicle emissions and fuel standards to control air pollution effectively, ensuring they are feasible and cost-effective. The California Global Warming Solutions Act of 2006 designates this board to regulate greenhouse gas emissions. Under this authority, the board implemented the Advanced Clean Fleets Regulation, mandating that government and high-priority fleets transition to zero-emission vehicles, with some exemptions permitted. This bill proposes the establishment of an Appeals Advisory Committee to review denied exemption requests. This committee, comprising specified government and non-government representatives, must meet monthly, with meetings recorded and accessible online. They must review appeals and provide recommendations within 60 days, which the board must consider publicly within another 60 days. Certain vehicles involved in emergency responses would be exempt from the regulations, and fleet owners will not be pressured to produce zero-emissions vehicle purchase agreements to delay transitioning mandates. Two-year bill Support Legislative and Regulatory Policies: Air Quality - Monitor legislative and regulatory developments in response to State’s goal of achieving Carbon Neutrality including the Advanced Clean Fleets and the Zero- Emission Forklift Fleets regulations pertaining to the electrification of engine- driven equipment and fleets. ACC-OC - NYC LOCC - Sponsor CASA - Watch CSDA - Sponsor ACWA - NYC SB 595 Choi [R]Current law regulates the investment of public funds by local agencies, as defined. Current law authorizes the legislative body of a local agency, as specified, that has money in a sinking fund or in its treasury not required for the immediate needs of the local agency to invest the money as it deems wise or expedient in certain securities and financial instruments, subject to various requirements. These permissible investments include commercial paper of “prime” quality of the highest ranking or of the highest letter and number rating as provided for by a nationally recognized statistical rating organization that is issued by entities meeting certain criteria, if the eligible commercial paper has a maximum maturity of 270 days or less. This bill would revise the maximum maturity periods for the investments in prime quality commercial paper to 397 days. Passed the Legislature. Currently on the Governor's Desk Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - NYC CASA - NYC CSDA - Watch ACWA - NYC SB 601 Allen [D]The State Water Resources Control Board and the 9 California regional water quality control boards regulate water quality and prescribe waste discharge requirements in accordance with the Porter-Cologne Water Quality Control Act (act) and the National Pollutant Discharge Elimination System (NPDES) permit program. Under the act, the State Water Resources Control Board is authorized to adopt water quality control plans for waters for which quality standards are required by the federal Clean Water Act, as specified, and that in the event of a conflict, those plans supersede regional water quality control plans for the same waters. This bill would authorize the state board to adopt water quality control plans for nexus waters, which the bill would define as all waters of the state that are not also navigable, except as specified. The bill would require any water quality standard that was submitted to, and approved by, or is awaiting approval by, the United States Environmental Protection Agency or the state board that applied to nexus waters as of May 24, 2023, to remain in effect, as provided. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Oppose CASA - Oppose CSDA - Oppose ACWA - Oppose OC San State Bills of Interest BILL AUTHOR SUMMARY LATEST ACTION OC SAN POSITION LEGISLATIVE PLAN OTHER POSITIONS SB 682 Allen [D]This bill would, on and after January 1, 2028, prohibit a person from distributing, selling, or offering for sale a cleaning product, dental floss, juvenile product, food packaging, or ski wax, as provided, that contains intentionally added PFAS, as defined, except for previously used products and as otherwise preempted by federal law. The bill would, on and after January 1, 2030, prohibit a person from distributing, selling, or offering for sale cookware that contains intentionally added PFAS, except for previously used products and as otherwise preempted by federal law. The bill would authorize the department, on or before January 1, 2029, to adopt regulations to carry out these provisions. Passed the Legislature. Currently on the Governor's Desk Support State Priorities: Contaminants of Emerging Concern - Support legislation that will eliminate non-essential PFAS uses to reduce and mitigate PFAS in everyday consumer goods. ACC-OC - NYC LOCC - Support CASA - Sponsor CSDA - Support ACWA - Favor SB 707 Durazo [D](1)Existing law, the Ralph M. Brown Act, requires, with specified exceptions, that all meetings of a legislative body, as defined, of a local agency be open and public and that all persons be permitted to attend and participate. This bill would, until January 1, 2030, require an eligible legislative body, as defined, to comply with additional meeting requirements, including that, except as specified, all open and public meetings include an opportunity for members of the public to attend via a 2- way telephonic service or a 2-way audiovisual platform, as defined, and that the eligible legislative body take specified actions to encourage residents to participate in public meetings, as specified. Passed the Legislature. Currently on the Governor's Desk Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Concerns CASA - Watch CSDA - Oppose Unless Amended ACWA - NYC SB 740 Rubio [D]Current law authorizes a municipal wastewater agency to enter into agreements with entities responsible for stormwater management, including, but not limited to, municipal, industrial, and commercial stormwater dischargers, for the purpose of managing stormwater and dry weather runoff. Current law requires a municipal wastewater agency, if the agency enters into a new agreement or amends an agreement pursuant to those provisions, to file a copy of the agreement or amendment with the local agency formation commission in each county where any part of the municipal wastewater agency’s territory is located within 30 days after the effective date of the new agreement or amendment. This bill would extend that filing requirement timeline to 40 days. Two-year bill Watch Legislative and Regulatory Policies: Special Districts - Oppose further state regulations that adversely impact special district financing, operations, and administration. ACC-OC - NYC LOCC - Watch CASA - NYC CSDA - Watch ACWA - NYC 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 1 | P a g e TO: Orange County Sanitation District FROM: Whittingham Public Affairs Advisors DATE: September 19, 2025 SUBJECT: Local Legislative Report Following are a few of the more notable developments and issues that have transpired in Orange County over the last several weeks: • Across the County, several cities continue to experience leadership changes. Former Laguna Hills City Manager Jared Hildebrand has been serving in the same capacity for roughly a month in Orange, and the La Palma City Council recently named former Council Member Peter Kim as its new City Manager. Looking forward, Newport Beach Assistant City Manager Seimone Jurjis will step into the City Manager role on January 1, 2026, succeeding Grace Leung. Finally, the Yorba Linda City Council announced at its meeting on September 16 that Peter Grant, who most recently served for 10 years as City Manager in Cypress, will be the City’s new City Manager. • Additionally, former Westminster City Manager Eddie Manfro is serving as Interim City Manager in Fullerton, Sean Crumby is the Interim City Manager in Irvine, Cecilia Gallardo-Daly is Interim City Manager in Costa Mesa, and Sean Joyce was recently appointed Interim City Manager in Cypress. • Negotiations continue between the County of Orange and a coalition of cities and solid waste districts on the Waste Infrastructure System Enhancements (WISE) agreements, regarding long-term landfill tipping fees to fund essential capital improvement projects. The goal is to finalize an agreement by September 30 in order to provide each agency with nine months to notice and conduct their respective Proposition 218 hearings. • The Costa Mesa Sanitary District Board has appointed Shayanne Wright to represent Division 5, replacing Arlene Schafer, who recently stepped down after serving on the Board for the better part of 30 years. Board member Wright, who was sworn in at a special meeting on September 9, will complete the remainder of the current term which expires in December 2026. 2 | P a g e • Phase II of Orange County’s Climate Action Plan (CAP), a comprehensive roadmap detailing potential projects and programs to reduce greenhouse gas and other emissions from various sources, is on track to come to the Board of Supervisors on November 4. Key initiatives within the CAP included increasing stormwater capture and infiltration, reducing the amount of organic waste going to landfills by 75 percent, improving edible food recovery by 20 percent, and exploring the feasibility of regional anaerobic digestion and conversion technology facilities. The County is required to have a completed CAP in order to apply for and secure Proposition 4 grants for these targeted programs. • A majority of the Irvine City Council voted to rescind its recent notice of intent to withdraw from the Orange County Power Authority (OCPA) Community Choice Energy program. Instead, they opted to make changes to the default renewable standard and other program components. The Costa Mesa City Council has directed staff to bring a draft ordinance to its October 7 meeting related to the City joining OCPA. If the City ultimately votes in the affirmative, it would join the cities of Irvine, Buena Park, Fountain Valley, and Fullerton. As part of our scope of work, Whittingham Public Affairs Advisors has continued to monitor the various City Council agendas and highlighted issues and items of relevance to OC San. We also continue to monitor activities at the South Coast Air Quality Management District, Orange County Water District, and South Orange County Wastewater Authority. It is a pleasure to work with you and to represent the Orange County Sanitation District. Sincerely, Peter Whittingham F 2026 Legislative and Regulatory Plan 2 Table of Contents Legislative & Regulatory Affairs Team ................................................................................................................................... 3 Introduction ........................................................................................................................................................................... 4 Procedures for Establishing an OC San Position .................................................................................................................... 4 Guiding Priorities .................................................................................................................................................................... 5 Federal Priorities .................................................................................................................................................................... 5 State Priorities ........................................................................................................................................................................ 7 Local Priorities ........................................................................................................................................................................ 9 Appendix .............................................................................................................................................................................. 10 Federal Tactics.................................................................................................................................................................. 11 State Tactics ..................................................................................................................................................................... 13 Local Tactics ..................................................................................................................................................................... 16 Legislative and Regulatory Policies .................................................................................................................................. 17 Legislative and Regulatory Process Flow Chart ................................................................................................................ 27 3 Legislative & Regulatory Affairs Team OC San Legislative Advocacy Team Rebecca Long Principal Public Affairs Specialist (714) 593-7444 rlong@ocsan.gov Kelly Newell Public Affairs Specialist (714) 593-7102 knewell@ocsan.gov Jennifer Cabral Director of Communications (714) 593-7581 jcabral@ocsan.gov Daisy Covarrubias Public Affairs Supervisor (714) 593-7119 dcovarrubias@ocsan.gov Rob Thompson General Manager (714) 593-7110 rthompson@ocsan.gov Federal Advocacy Team Eric Sapirstein ENS Resources (202) 466-3755 esap@ensresources.com Sarah Sapirstein ENS Resources (202) 466-3755 ssap@ensresources.com David French ENS Resources (202) 466-3755 dfrench@ensresources.com State Advocacy Team Cori Takkinen Townsend Public Affairs (949) 399-9050 ctakkinen@TownsendPA.com Eric O’Donnell Townsend Public Affairs (949) 399-9050 eodonnell@TownsendPA.com Local Advocacy Team Peter Whittingham (949) 280-9181 peter@whittinghampaa.com OC San Regulatory Advocacy Team Lan Wiborg, Director of Environmental Services (714) 593-7450 lwiborg@ocsan.gov Mark Kawamoto, Environmental Protection Manager (714) 593-7424 kawamoto@ocsan.gov Tom Meregillano, Environmental Protection Manager (714) 593-7457 tmeregillano@ocsan.gov Sam Choi, Environmental Protection Manager (714) 596-7497 schoi@ocsan.gov 4 Administration Committee Christine Marick Chair City of Brea Glenn Grandis Vice-Chair City of Fountain Valley Melinda Liu Member-At-Large City of Irvine Jose Medrano Member-At-Large City of La Habra Jordan Nefulda Member-At-Large City of Los Alamitos Andrew Nguyen Member-At-Large Midway City Sanitary District David Shawver Member-At-Large City of Stanton Chad Wanke Member-At-Large City of Placentia Erik Weigand Member-At-Large City of Newport Beach John Withers Member-At-Large Irvine Ranch Water District Jordan Wu Member-At-Large City of Villa Park Ryan Gallagher Board Chair City of Tustin Jon Dumitru Board Vice-Chair City of Orange Introduction The Orange County Sanitation District (OC San) recognizes the need for an active local, state, and federal legislative and regulatory advocacy program at the local, state, and federal levels. This program ensures that the interests of the ratepayers and the Board of Directors (Board) are effectively represented and supported. The legislative and regulatory team actively engages, pursues, and monitors activities in California and Washington, D.C. and takes appropriate action to align these with OC San’s goals. Annually, the Board adopts a Legislative and Regulatory Plan that is a summary of OC San’s goals, key issues, and policy positions. The legislative and regulatory policies in this document were developed to take into consideration OC San’s priorities, specifically for the wastewater industry and policy needs. These Board-approved policies serve as OC San’s official positions of support or opposition on issues of importance to the agency. The Legislative and Regulatory Plan is an evolving document, which is adopted and revised each year to ensure its alignment with the continuously changing local, state, and federal policy changes. Consistent with the Legislative and Regulatory Plan and in alignment with the legislative strategy, the legislative and regulatory team may prepare position letters, advocate for OC San, and/or provide commentary on proposed legislation and regulations. Procedures for Establishing an OC San Position 1. The Legislative and Regulatory team will track bills and proposed regulations of greatest interest to OC San, particularly those that align with the goals and objectives identified by the Board and referenced in this plan. Staff will monitor bills and proposed regulations being watched by similar agencies within our region (Los Angeles County Sanitation Districts, South Orange County Water Authority, Orange County Water District, Irvine Ranch Water District, Municipal Water District of Orange County, etc.) as well as state, federal, and national associations such as California Association of Sanitation Agencies (CASA), Clean Water SoCal (CWSC), California Special Districts Association (CSDA), Association of California Water Agencies (ACWA), Association of California Cities Orange County (ACC-OC), League of California Cities (LOCC), and National Association of Clean Water Agencies (NACWA). 5 2. For those bills and proposed regulations that are being tracked and where there is clear policy direction stated in the current Legislative and Regulatory Plan, the Public Affairs and Regulatory team may send comment letters to legislators and regulators and give direction to the lobbyists to advocate that position. 3. As a first step, when the Regulatory Affairs team as part of Environmental Services is considering issuing a comment letter on proposed regulations, the team will first review the Board-approved criteria established in the current Legislative and Regulatory Plan. If the proposed position meets the established criteria, the team will work with the member associations to ensure a unified voice. When appropriate, the member association(s) will take the lead and advocate on our behalf. Otherwise, a comment letter will be submitted from OC San directly. This will be decided by both the Regulatory Affairs team with input from the Public Affairs Office. Additionally, the Regulatory Affairs team will work directly with OC San’s Director of Communications and other managers as appropriate when crafting an official comment letter. 4. When a legislative issue is not time-sensitive, the legislative letter will be hand-signed by the Board Chairman or Vice-Chairman. If a legislative or regulatory matter is urgent, Legislative and Regulatory team may use the electronic signature, so long as a clear policy direction exists, and approval is secured from the General Manager, or Designee. 5. When a bill does not fall within the scope of the Legislative and Regulatory Plan or is a controversial issue, staff will seek direction from the Administration Committee. 6. If a bill does not fall within the scope of the Legislative and Regulatory Plan, but the ACC-OC, CASA, CWSC, CSDA, and/ or NACWA has adopted a unified position, staff may follow the adopted position and inform the Administration Committee of such action at the next regularly scheduled meeting. Guiding Priorities • Oppose redundant regulatory and legislative requirements that impose excessive limitations on effective operations; • Support legislative and regulatory measures that enhance affordability, safeguard public health, and ensure environmental protection; • Maintain local control over governance of special districts and other local entities; • Pursue financial assistance opportunities for OC San projects through grants, loans, and legislative-directed funding. Federal Priorities • Funding/Finance o Advocate for national infrastructure program that includes wastewater infrastructure needs. o Advocate for fully authorized federal water infrastructure funding of existing programs in addition to national infrastructure initiatives including, but not limited to, Clean Water Act State Revolving Fund (SRF), Water Infrastructure Finance and Innovation Act (WIFIA), Smart Water Infrastructure Grants, and Water Recycling. Additionally, advocate for federal support assistance for workforce training. o Secure competitive and direct federal grant assistance in support of resilient infrastructure, renewable energy, biosolids management, and water and organic management recycling projects assistance. 6 o Monitor and obtain federal grants for funding of traditional wastewater treatment needs, alternative renewable energy, bioenergy, water recycling, biosolids beneficial use, and environmental protection. o Support development of infrastructure policies and legislation that will close funding gaps and encourage direct grant assistance in support of projects and programs addressing resiliency needs that protect OC San infrastructure investments from natural disasters. o Work in support of CERCLA PFAS liability exemption for water sector. Support legislation, policies, and regulations that offer to provide below-market bonding rate assistance to construct treatment facilities including credit assistance including Municipal Facility Assistance, and infrastructure banks. Focus should include modernizing wastewater treatment facilities. This should include energy and water use efficiency as well as sustainable energy recovery technologies. o Secure federal support of OC San’s capital project needs to aid in the budget decision making process for the coming fiscal year. o Promote restoration of federal deductibility of state and local tax payments and oppose elimination or restriction on the use or availability of tax-exempt financing for public infrastructure. o Support legislation to revise the SRF allocation formula to allow for appropriate and fair share of funding to California that is consistent with the EPA’s Review of the Allotment of the Clean Water State Revolving Fund (CWSRF) study (20 percent increase in share). o Support removal of private activity Bond State Volume Cap as part of the national infrastructure initiative on water and wastewater facilities to allow for innovative financing approaches. • Innovative Technology o Work with Congress and the EPA to enhance the WaterSense Program to increase the use of energy and water use efficiency technologies at OC San while protecting against potential increasing treatment costs related to the program’s rulemaking. o Work with Congress to authorize and fund direct assistance to support innovative technology adoption. • Contaminants of Emerging Concern o Support the reduction/elimination of Contaminants of Emerging Concern (CEC) such as Per- and polyfluoroalkyl substances (PFAS), microplastics, pharmaceuticals and personal care products (PPCPs), pesticides and endocrine disrupting chemicals (EDCs) within consumer and commercial products. o Recognition of a PFAS/CEC baseload that originates from non-industrial sources that are immune from local, state, and federal source control/ pretreatment regulations. o Work with Congress to advance federal assistance to support the treatment of forever chemicals and to protect public agencies from liability for per- and polyfluoroalkyl substances (PFAS) presence in biosolids, wastewater, and air. o Request that manufacturers of PFAS chemicals provide a funding stream for federal grants and low-interest loans to agencies that are impacted. o Support regulations or legislation that limit or ban the creation, formulation, and general use of PFAS constituents. o Oppose regulations or legislation that would place responsibility for addressing PFAS as a class of constituents on water sector. o Secure liability exemption for wastewater agencies from liability under CERCLA as a result of hazardous substance designation. o Preserve land application of biosolids based upon science justified standards under Section 503. CECs. 7 o Work with the EPA on emerging regulatory issues of concern including integrated planning, method development, monitoring effluent limitations and guidelines, and Contaminants of Emerging Concern including, but not limited to, PFAS, microplastics, and methylene chloride. o Support legislation that will eliminate non-essential PFAS uses to reduce and mitigate PFAS in everyday consumer goods. • NPDES/Permitting o Advocate to authorize EPA to provide NPDES permits terms for a period of up to 10 years and to retain a five-year administrative extension authority. o Support streamlining of the Clean Water Act permitting processes. • Environment/Climate Mitigation o Work with OC San’s congressional delegation and administration officials to advance funding of resiliency needs, including impacts associated with sea level rise, climate change, and natural disasters, such as wildfires and tsunamis, which could affect our utility grid and cause power outages. o Also, seismic events, drought, and general resiliency planning that would support OC San’s water recycling, conservation, and other resiliency projects. • Source Control o Support implementation of policies to label wipes as non-flushable/non-dispersible and support product substitution. o Advocate for federal policies that minimize regulatory burdens imposed upon communities and public agencies that seek to adopt programs for the giveback of pharmaceuticals that will result in the reduction of disposal of pharmaceuticals through wastewater treatment facilities. Additionally, OC San will advocate for federal funding of programs currently authorized that support the development of pharmaceutical management programs including education. o Monitor legislation and regulations that limit PFAS in industrial wastewater. State Priorities • Funding/Finance o Secure funding through grants and legislation for infrastructure, collection improvements, and alternative renewable energy at the Headquarters, Fountain Valley, Plant No. 1 and Huntington Beach, Plant No. 2. o Promote a regional distribution/statewide equity approach to the disbursement of State Revolving Fund (SRF) monies. o Oppose legislation or any regulations that would mandate volumetric pricing of wastewater. o Actively protect the allocation of local property taxes to special districts in the state budget process. o Monitor legislation that affects capacity and connection fees for accessory dwelling units or single- family residences. o Support legislation that would encourage or develop bulk energy storage facilities as well as legislation that would provide funding for long-term energy storage. o Obtain funding for projects that meet the State’s goals of expanded water supply, energy reduction, and renewable energy implementation. o Where appropriate, obtain State funding for critical aging infrastructure, through funding sources made available through any agency including, but not limited to, the State Water Resources Control Board (SWRCB), California Air Resources Board (CARB), and the Department of Water Resources (DWR). o Support funding through grants and legislation for a Food Waste/Organic Co-Digestion facility. 8 o Monitor pension reform legislation for clean-up bills and relevant proposed regulations. o Support legislation that would supersede the Kaanana decision by limiting prevailing wage requirements for utilities to construction contracts. o Support targeted funding through grants and legislation for zero and near zero emission vehicles and the supporting infrastructure required for zero emission vehicles. o Monitor and support funding for PFAS prevention, cleanup, collection, and disposal programs. • Contaminants of Emerging Concern o Support regulations and legislations that abide by the ‘producer pays’ principle when allocating clean up responsibility and enable cost recovery. o Oppose regulations or legislation that puts responsibility of addressing PFAS as a class of constituents on public treatment plants. o Monitor state legislation as well as the SWRCB and CARB on regulatory activity related to PFAS. o Work with legislators to address concerns stemming from Mobile Persistent Bioaccumulative Toxic substances (MPBTs) such as PFAS. o Support legislation that will eliminate non-essential PFAS uses to reduce and mitigate PFAS in everyday consumer goods. • Environment/Climate Mitigation o Support and participate in Integrated Regional Water Management planning efforts in the Santa Ana River watershed. o Oppose restrictive and redundant regulatory requirements for biosolids. o Support the creation of a Statewide Organics Management Plan that includes the beneficial reuse of biosolids, education, market expansion activities, and mandates to buy-back compost and other organics diverted from landfills. o Support efforts to reform the California Environmental Quality Act (CEQA) to streamline current procedures and regulations for projects to refurbish or replace existing infrastructure facilities. o Actively monitor the Little Hoover Commission hearings and reports related to climate change adaptation, special districts, and other topics as it relates to OC San. • Water Reuse o Oppose legislation that would directly or indirectly impair GWRS’s ability to effectively recycle all reclaimable flows. o Support the inclusion of recycled water credits during the continued development and implementation of long-term water conservation legislation and regulations. o Monitor legislation and regulations on direct potable water reuse such as GWRS and/or other potential DPR-related issues (e.g., Direct Potable Reuse Regulations (SBDDW-23-001)). • Source Control o Support legislation and/or regulations that restrict the non-essential use of microplastics and contaminants of emerging concern in any product that is disposed of or has the potential to be introduced into the sanitary sewer system. o Support the reduction/elimination of Contaminants of Emerging Concern (CEC) such as Per- and polyfluoroalkyl substances (PFAS), microplastics, pharmaceuticals and personal care products (PPCPs), pesticides and endocrine disrupting chemicals (EDCs) within consumer and commercial products. o Support legislation or regulations that discourage the flushing of wipes through the sewer system, unless they meet certain performance standards. o Monitor legislation and regulations that limit PFAS in industrial wastewater. • Local Government o Support the State’s efforts to increase the effectiveness and efficiencies of Local Agency Formation 9 Commissions. o Oppose state mandates, regulations, or legislation that set, alter, or otherwise modify the governance structure of special districts, joint powers authorities, or other local government entities. Local Priorities • Funding/Finance o Explore opportunities for collaborative partnerships with other agencies that can realize cost savings/economies of scale. • Local Government o Continue the General Manager’s outreach to leadership at each OC San member agency and explore opportunities to work collaboratively with other agencies, including South Orange County Wastewater Authority (SOCWA). 10 Appendix A. Federal Tactics B. State Tactics C. Local Tactics D. Legislative and Regulatory Policies E. State, Federal and Regulatory Processes Appendices 11 Federal Tactics Initiative Action 1. Identify and advise on federal funding opportunities for OC San infrastructure projects • Schedule meetings with federal agency stakeholders and senior officials in Washington, D.C. and district offices to build support for OC San priority projects. • Work with congressional delegation to update priority needs. • Develop white papers to justify requested assistance through direct grants. 2. Seek funding assistance to advance recovery of energy and other resources from biosolids and other organics such as food waste • Meet with federal agency officials to review OC San’s needs and to discuss funding opportunities and options related to the energy water nexus. • Work with EPA and other agencies to advance energy and water efficient technologies related to smart water technologies and WaterSense grant program. 3. Seek Infrastructure assistance A. Robust funding of SRF and revise SRF Allocation Formula B. Innovative Financing C. Regulatory Streamlining • Meet with congressional delegation and key congressional committees. • Develop priorities and disseminate to OC San’s congressional delegation. • Advocate before congressional infrastructure committees and applicable Executive Branch officials to secure adoption of alternative water infrastructure financing including credit, loans, public-private partnerships and grants in addition to direct grants assistance. • Work to ensure expedited National Environmental Policy Act and related reviews and approvals. • Work with Congress and U.S. Bureau of Reclamation on proposals to provide enhanced alternative water infrastructure financing tools and seek opportunities to testify before Congress. 4. Support tax reform that protects public agencies • Work with NACWA and CASA in support of unrestricted use of tax-exempt financing and feasible innovative financing approaches such as infrastructure banks to supplement traditional funding approaches. • Work with state and local government stakeholders to restore state and local tax deductibility and advocate before congressional delegation. • Present or submit testimony. • Transmit communications on tax-exempt financing. Appendix A 12 5. Support resiliency legislation, regulations, and policies that support protection of OC San’s investments and promote water and biosolids recycling assistance • Work with delegation and regulators to ensure incorporation of new programs for water and biosolids recycling assistance. • Work with NACWA, CASA, and ACWA to support resiliency water and biosolids recycling legislation and regulations. • Work with congressional infrastructure committees to secure assistance for resiliency projects. 6. Work with federal agencies on permitting issues • Work with U.S. Fish and Wildlife Service on environmental site assessment issues such as incidental take permits under Endangered Species Act (ESA) • Advocate current Administration and Congress to advance commonsense permitting processes and programmatic permits issued by the EPA and the U.S. Army Corps of Engineers to reduce ratepayer costs. • Advocate to authorize EPA to provide NPDES permits terms for a period of up to 10 years and to retain a five-year administrative extension authority. • Continue to work with EPA advocating opposition of restrictive air quality requirements in Title V permits such as Affirmative Defense Provisions. 13 State Tactics Initiative Action 1. Develop a proactive legislative and regulatory advocacy agenda • Identify legislation that has the potential to benefit or impact OC San, as legislation is introduced and amended. • Identify proposed state and local regulations that are introduced that have the potential to benefit or impact OC San. • Recommend positions on identified legislation and proposed regulation to align with OC San’s Legislative and Regulatory Plan. • Create and continually update a legislative and regulatory matrix to track identified pieces of priority legislation and proposed regulations. • Schedule advocacy days in Sacramento as needed with legislators and committee staff and regulators. • Continue an active comment letter writing campaign to support or oppose priority legislation and proposed regulations. • Schedule meetings with legislators, regulators, stakeholders, and senior officials in Sacramento and district offices as needed to build support for OC San priority projects. • Participate in CASA’s legislative committees and Regulatory Workgroup and CWSC’s air quality, water issues, collection systems, biosolids, and wastewater pretreatment committees. 2. Compile a comprehensive list of Capital Improvement Projects to reference for soliciting future funding opportunities • Meet with management to discuss future capital projects and priorities. • Match capital improvements with funding opportunities based on project eligibility. 3. Monitor and advise on possible funding opportunities, including, but not limited to, funding through Statewide bonds • Proactively engage in the drafting of grant funding guidelines and provide input to drafting agency or committee to ensure eligibility and competitiveness of OC San’s projects and priorities. • Proactively engage on proposed legislation and regulations that would have an impact on the implementation of funding programs. • Identify funding opportunities and provide recommendations for eligible projects. Create an advocacy and outreach schedule on the planning and execution of efforts to seek funds. Appendix B 14 4. Monitor and advise on funding available through Cap and Trade • Monitor the rollout of the Cap-and-Trade Expenditure Plan for waste diversion projects. Continue to advocate for additional funding in future Cap-and-Trade Expenditure Plans that OC San is eligible for. • Identify eligible and competitive projects and programs. • Create a schedule on planning and execution of efforts to seek funds, including outreach and advocacy strategy. 5. Monitor and advise on energy or other resource recovery related funding opportunities • Track energy related grant opportunities. • Identify potential projects for funding, including, but not limited to, alternative renewable energy, biogas, biosolids to energy conversion, organic waste (high strength food waste and fats, oils, and grease) to energy conversion, and greenhouse gas (GHG) reduction projects. • Ensure wastewater interests are protected as significant decisions are made related to renewable energy production financing, mandates, climate change goals, programs, and continued efforts to extend the state’s emissions reduction target. • Schedule meetings with local delegation as well as key members to discuss project benefits and funding opportunity. • Support initiatives that help OC San strive for energy independence by minimizing energy utilization and maximizing useful energy recovery from the sewage it receives. • Support fair and reasonable regulations for the pipeline injection of biomethane produced from anaerobic digestion • Support renewable energy initiatives that are reasonable and fair. 6. Schedule and attend advocacy and outreach meetings to provide OC San project updates • Educate current administration, key staff, and agencies as needed on priority projects and advocate for funding allocations that align with OC San’s priorities. • Schedule stakeholder meetings to build support for projects • Hold advocacy meetings in coordination with funding opportunities and project timelines. • Work with relevant budget committees, budget sub-committees, policy committees and their staff to advocate for funding allocations that align with OC San’s priorities. • Provide full briefings and updates to Orange County’s legislative delegation and relevant members as needed on OC San’s priority projects. 7. Advocate for legislative and regulatory support to allow for non-reclaimable discharge such as brine • Outreach with the California Environmental Protection Agency, Department of Toxic Substances, State Water Resources Control Board, Regional Water Quality Control Board, the governor's office, legislative leadership, and other appropriate stakeholders. 15 8. Advocate for the development and implementation of a statewide biosolids land application management policy • Work in conjunction with CASA, CWSC, etc. to reach to and educate legislators and regulators to develop an advocacy strategy for regulatory framework that will support statewide objectives to manage biosolids land application. 9. Advocate for legislation to relieve OC San of cumbersome and outdated bid advertising costs • Work with relevant legislators and committees to draft legislation that will lessen the cost burden on OC San rate payers of complying with outdated bid advertising requirements. • Conduct outreach with various other sanitation districts/publicly owned treatment works (POTW’s) across the State to form a coalition to support any efforts. 10. Advocate for legislation to raise the contracting and bid threshold for OC San • Meet with local labor groups to initially present the issue. • Brainstorm proposed solutions that will give OC San and other sanitation district’s/POTW’s more flexibility to complete small scale public works projects in house. • Work in conjunction with CASA to outreach, educate, and develop an advocacy strategy that will target all sanitation districts/ POTW’s affected by the current threshold limitations. • Develop and advocate for legislation that will raise the threshold for work that can be performed in-house as well as work that is required to be bid. 16 Local Tactics Initiative Action 1. Continue to develop local government outreach and awareness of OC San • Monitor meetings of relevant agencies and jurisdictions, including the Orange County Board of Supervisors, various City Councils and special districts, and prepare talking points and messaging for public hearings and special events as needed. • Review local activity within Orange County for the purpose of advising OC San of those items that may affect OC San policy, programs, or budget. • Facilitate and participate in meetings with members of other relevant public agencies, and their management staff. • Facilitate and participate in meetings with key water industry stakeholders in Orange County and regionally. 17 Legislative and Regulatory Policies A. Air Quality: OC San is committed to complying with federal, state, and local air quality laws, rules, regulations, and policies. a. Advocate for air quality legislation, regulations, rules, and policies that reduce permitting obstacles and promote the adoption of advanced air pollution control technologies by providing increased permitting flexibility and financial incentives. b. Advocate for air quality measures that maintain and enhance local decision-making authority, where appropriate, in the development and implementation of air quality attainment strategies. c. Advocate for air quality legislation and regulations to ensure greater consistency between the California and Federal Clean Air Acts. d. Support strategies that clearly demonstrate and provide for the most cost-effective means for meeting air quality goals. e. Advocate for air quality regulatory and legislative changes that allow exemptions from CARB's medium and heavy-duty clean air requirements for critical wastewater response vehicles, such as Assembly Bill 1594. f. With respect to CARB’s Advanced Clean Fleets Regulation and the restrictions imposed on the vehicles subject to these purchase requirements, support legislation that will include emergency response vehicles owned/operated by essential public services in the definition of “Emergency Vehicles” in CVC section 165. g. Oppose air quality regulations that mandate specific fuel types or neglect the significant benefits of renewable fuels. h. Oppose air quality policies, rules, and regulations at Title V facilities that disregard the role wastewater treatment as an essential public service. i. Oppose redundant and unreasonable air quality requirements, such as double reporting requirements, with respect to emissions reporting associated with AB 617 (2017), the Community Air Protection Program. j. Oppose South Coast Air Quality Management District (SCAQMD) policies, rules, and/or regulations on Cumulative Impacts from Air Toxics for CEQA Projects. Monitor SCAQMD for proposed changes to risk mitigation procedures, public notification threshold requirements, R1401 limits, analysis to criteria pollutants, and GHG impacts. Appendix C 18 k. Oppose federal, CARB, and SCAQMD policies, rules, and/or regulations that promote the use of technologies that are unvetted, have scalability issues, or can’t be manufacturer guaranteed such as certified, backup emergency power equipment with automatic shutoff inducement. l. Adhere to OC San’s odor policy and level of service to assure OC San is a good neighbor to the surrounding communities. m. Monitor, participate, and engage in the development of any updates to the federal National Emission Standards for Hazardous Air Pollutants (NESHAP) and New Source Performance Standards (NSPS) applicable to POTW’s, process Boilers, and Reciprocating Internal Combustion Engines (RICE) located at an area source. n. Monitor SCAQMD’s Priority Reserve Bank for impacts transcending from the sunsetting of the Regional Clean Air Incentives Market (RECLAIM) program. Oppose any rules proposing to cease or limit future emission reduction credit deposits into the Priority Reserve bank. o. Monitor and oppose any air quality legislation or SCAQMD regulations requiring fence-line monitoring for pollutants of concern, including hydrogen sulfide, at POTW’s having a design capacity ≤ 425 MGD. p. Monitor air quality legislative and regulatory developments in response to State’s goal of achieving Carbon Neutrality including the Advanced Clean Fleets and the Zero-Emission Forklift Fleets regulations pertaining to the electrification of engine- driven equipment and fleets. Oppose measures that require special districts and local governments to be early adopters of this unproven technology. q. Monitor SCAQMD’s development of regulations and guidelines associated with AB 617 in the following areas: (1) implementation of best available retrofit control technology (BARCT) requirements for existing stationary sources; (2) deployment of air monitoring systems in selected communities; (3) implementation of emissions reduction plans in selected communities. r. Monitor SCAQMD’s development of rules and policies, such as Rule 317.1, that will require major stationary sources such as OC San and other publicly owned wastewater facilities to pay for the region’s inability to achieve attainment with the federal 8-hour ozone standards pursuant to Section 185 of the CAA. s. Monitor SCAQMD’s development of rules and policies associated with the electrification of combustion-fired equipment. t. Monitor SCAQMD’s development of rules and policies associated with the potential elimination or imposed limitation on emergency standby internal combustion engines under proposed Rule 1110.4. 19 u. Obtain grant funding through programs such as the Carl Moyer Memorial Air Quality Standards Attainment Program (Carl Moyer Program) and the VW Mitigation Trust, as deemed eligible, for zero-emitting vehicles and equipment and any necessary infrastructure to support those emerging technologies. v. Participate and engage in associations efforts to work with CARB and the local air districts in the implementation of the updated AB 617 (2017), the Community Air Protection Program, the Regulation for the Reporting of Criteria Air Pollutants & Toxic Air Contaminants (CTR), AB 2588 Air Toxics “Hot Spots” Programs, and the SCAQMD’s 2022 AQMP. w. Participate and engage in SCAQMD’s implementation of the provisions adopted in the 2022 AQMP. Oppose potential measures in future AQMP’s that place additional burdens to resource recovery operations generating renewable energy. x. Monitor and support any legislative development which would provide a relief on the use of diesel emergency power generators during State of Emergency events and Public Safety Power Shutoff (PSPS) events impacting the local electrical utility. B. Biosolids, Organics and Biogas: OC San strives for the beneficial reuse of biosolids through multiple management options performed at reasonable costs that are protective of public health and the environment. a. Support legislation, regulations, and policies that support the beneficial reuse of biosolids on agricultural lands, landscape, horticulture, California Healthy Soils Initiatives, mine reclamation, fire ravaged lands, superfund sites, brownfields, overgrazed lands, carbon sequestration, and wetland restoration. b. Support the promotion and funding of local pilot programs, studies, and research for the beneficial use of biosolids. c. Oppose legislation, regulations, and policies that impose unreasonable new rules, guidance or bans that restrict the use of biosolids for land application in any region, county, or state. d. Support alternative renewable energy legislation, regulation, and policies that encourage use of biosolids as a renewable energy resource. e. Support responsible local reuse of community-generated organics, not limited to biosolids compost and biogas. f. Support streamlined legislation, regulations, and policies that encourage the procurement of biogas, biosolids, and compost. g. Support CalRecycle, CARB, California Public Utilities Commission, (CPUC), California Energy Commission (CEC), California Department of Food and Agriculture (CDFA), and SWRCB in adopting quality standards that permit wastewater treatment plants to inject biogas production into current pipelines for renewable utilization. 20 h. Support compost associations and local cities and agencies in education, market expansion activities, and meeting mandates to buy-back compost and other organics diverted from landfills. i. Limit redundant reporting requirements on organics, recyclable material, and solid waste. j. Support development and funding for organic co-digestion and recycling projects in accordance with SB 1383 or other associated rules and regulations. k. Support efforts to provide alternative management and/or funding options for biosolids, such as supercritical water oxidation, deep well injection, pyrolysis, and/or future biosolids/biogas projects. C. Source Control: OC San supports legislation that reduces pollutants and harmful materials that could enter the sewer system. a. Support statewide or targeted public education programs and initiatives that teach appropriate “What To Flush” practices and fats, oils, and grease management. b. Support federal policies and legislation that regulates the disposal of flushable wipes to ensure clarity on the definition of “flushable.” c. Support legislation, regulations, and funding assistance that would lead to decreased introduction of microplastics, and other contaminants of concern discharged into the sewer system. d. Support legislation and funding mechanisms that reduce the amount of trash, waste, chemicals, and harmful organic material that enter the sewer system. e. Support legislation that would create forever homes for forever chemicals. f. Oppose regulations or legislation that would place the responsibility of addressing PFAS as a class of constituents on the public treatment plants. g. Support funding opportunities for clean-up costs from the manufacturers of PFAS and through state grants and low-interest loans. h. Support the reduction/elimination of Contaminants of Emerging Concern (e.g., PFAS) within consumer and commercial products. D. Grant Funding: OC San is committed to advancing the state of knowledge in the treatment and management of wastewater through the application of innovative and alternative technologies. To this end, OC San supports grants assistance to offset its research, special projects, and capital improvement projects. a. Support legislation, bonds, programs, and projects that provide funding for: infrastructure construction and rehabilitation, special studies and research or projects relating to security, environmental education, water quality, wastewater processing, urban runoff, wastewater recycling, biosolids and organics management, water quality improvement, resource recovery, or alternative energy. 21 b. Support projects that provide for public benefit over projects that are primarily intended for private benefit or gain. c. Oppose proposals placing further requirements on grant recipients that return low value for high administrative costs. d. Support regional collaboration and funding for public agencies for food waste co-digestion and recycling projects. E. Innovative Funding: OC San is committed to supporting programs that provide the highest quality services to its ratepayers. a. Support programs to leverage federal assistance such as credit assistance and highly subsidized loan assistance. b. Support Public-Private Partnerships, Public-to-Public, and other financing approaches that can reduce costs only if such projects do not impose costs on OC San ratepayers. c. Support the full funding of the Clean Water Act- SRF Program. d. Seek federal assistance to support water conservation projects such as water recycling, green infrastructure through the Water Infrastructure Finance and Innovation Act (WIFIA), and direct grants to reduce project costs. e. Seek state and/or regional incentive funding opportunities available to offset the regulatory mandates to transition combustion-fired vehicles and equipment to zero emission technologies (e.g. battery electric, heat pumps, and hydrogen fuel cells). F. Labor Relations/Human Resources: OC San is committed to employer-employee relations including, but not limited to, meeting and conferring in good faith with recognized employee organizations regarding the wages, hours of work, and other terms and conditions of employment. As Congress considers reforming the federal tax code, many of the provisions subject to reform may impact labor relations. a. Support measures to reform current workers compensation formulas that rely on a proportionate exposure formula. b. Support health insurance reform that does not create additional financial burdens on special districts. c. Support measures to ease applicability of the Fair Labor Standards Act on public agencies. d. Oppose any measure imposing compulsory and binding arbitration with respect to public employees. 22 e. Oppose any measure that imposes upon local government mandated employee benefits that are more properly decided at the local bargaining table. f. Oppose efforts reducing local control over public employee disputes and imposing regulations on an outside agency. g. Oppose any measure granting essential public employees the right to strike. h. Oppose a new mandatory Social Security tax for public employers and public employees. i. Oppose overreaching and costly mandates that require non-necessary disclosures to employees. j. Oppose legislation and regulations that force OC San to adjust paid and unpaid leave time parameters. G. Security: OC San is committed to the safety of all personnel, facilities, and the entire sewer system. a. Support legislation that would create efficiencies around the retention policy of surveillance video recordings. b. Support policies that address cybersecurity needs of wastewater agencies, including Supervisory Control and Data Acquisition. c. Support funding assistance to ensure employees remain safe and secure during global pandemics. d. Support funding for the hardening of essential regional facilities such as water recycling and sewer collection and recycling sites. e. Support legislation and funding for regional emergency management collaboration to protect critical infrastructure. H. Planning: OC San ensures the long-range planning of capital improvement programs in order to deliver the highest quality facilities. a. Support reform of existing state, regional, and local planning processes only if directly linked to reforms in the current revenue and tax structure of state and local governments. b. Support measures that provide new revenues for growth management and the public facilities necessary to support expected growth. c. Support proposals encouraging regional, sub-regional, or countywide cooperation in planning urban development strategies, especially those that provide funding for effective implementation of agreed upon goals. d. Oppose legislation consolidating special districts that fail to address the concerns of cities affected by the proposed consolidation. 23 e. Oppose measures that prevent or restrict the ability of cities or special districts to participate in the Southern California Association of Governments’ sub-regional process. I. Public Health: Protection of public health is OC San’s core mission. OC San will work cooperatively with county and state health officers to assure local health protection. a. Support hazard mitigation, emergency response, planning, and recovery through direct legislation, policy directives, and funding toward floodplain security within the Santa Ana River watershed. b. Support funding assistance to ensure employees remain safe and secure during global pandemics. c. Support (generally) measures that provide for improved public health through regulation. d. Support the protection of public health and environment through the construction and implementation of advanced wastewater treatment technology. e. Support sharing critical information and data from state and county agencies in the interest of protecting the public health and saving taxpayer dollars. f. Monitor legislation that provides additional occupational safety and health standard requirements for employees, contractors, or subcontractors. J. Public Works: OC San is committed to the successful completion of effective and efficient projects that provide wastewater treatment services that benefit its ratepayers. a. Support measures that provide funding and support to POTWs and sewage collection systems. b. Support legislation and regulation that allow public agencies to procure goods and services in manners similar to private industry, thereby reducing overall costs of delivery. c. Support legislation and regulation that improve the Utility Underground Service Alert Program to improve coordination, identification, minimize damage, minimize environmental risks, and minimize cost exposure to publicly owned facilities when contractors are performing sub- surface work. d. Support a comprehensive response to the state’s electricity and natural gas shortages that provide a stable energy supply, respects the ability of municipalities to provide power, recognizes that infrastructure (i.e. emergency and standby generators) exists that could be employed temporarily during periods with minimal air quality impact and protects ratepayers against dramatic rate increases and statewide power outages. e. Support legislation and regulation that allows OC San to utilize the Best Value Design Build, Progressive Design Build and Construction Manager at Risk Design Build option for the construction of public works projects. f. Oppose Buy American mandates legislation that would increase project costs or prevent the use of the most innovative technologies. 24 g. Monitor legislation that would require the inspection and possible repair of sewer laterals at the time of sale in residential, commercial, and industrial areas. h. Monitor legislation connected with government claims against special districts regarding risk and wrap-up insurance. i. Support legislation that increases the thresholds for bid work and force account work. K. Tax Reform/Revenue and Taxation: Track pending legislation to ensure OC San remains in compliance with the government code as it pertains to wastewater system user fees and property tax revenues and the investment of public funds. a. Support measures leading to a greater financial independence from the state that would result in greater stability and predictability in local government budgeting. b. Oppose measures that impose mandated costs for which there is no guarantee of local reimbursement or offsetting benefits. c. Oppose legislation that shifts tax revenues away from local governments without the adequate provision of a constitutionally guaranteed backfill to offset the lost revenues of those local governments. d. Oppose measures that shift existing local revenue sources back to the state, including the special district share of property tax, sales tax, vehicle license fees, and ratepayer fees. e. Oppose the use of revenues traditionally used to fund the delivery of municipal services to fund programs for which the state is responsible, particularly the courts, health, and welfare programs. f. Preserve state and local tax deduction from federal tax liability of local taxpayers. g. Oppose elimination or restriction on the availability of municipal tax-exempt financing for public infrastructure projects. h. Monitor legislation regarding changes in law that influence the fees and charges that OC San facilitates. i. Support legislation that would exempt vital treatment chemicals for water and wastewater agencies for the sole purpose of water recycling from sales and use tax. L. Special Districts: OC San supports the maintenance of special districts to provide specific services, in response to citizen’s demands, in a cost-effective manner. a. Support efforts to provide equitable treatment of special districts in emergency funding assistance. b. Support outreach to local, regional, and state elected officials to foster a greater understanding regarding the critical relationship between adequate reserves and the successful short-and-long- term operation of water and wastewater agencies. 25 c. Support the work of the ACWA, CASA, and CSDA etc. in any future discussions or negotiations pertaining to the legislative and budget issues relative to preserving control of members’ reserves. d. Oppose further state regulations that adversely impact special district financing, operations, and administration. e. Oppose measures that create or grant powers to sub-regional or regional bodies that would result in an infringement on clearly local concerns. f. Oppose any administrative or legislative efforts to access or transfer any reserve funds held by water and wastewater districts. g. Oppose the imposition of unfunded, mandated programs on local governments. h. Oppose efforts that diminish OC San’s ability to govern efficiently and effectivelyOppose efforts that remove the flexibility of the Board to determine its own size and operating structure i. Support alternate methods of public meetings notices that maintain transparency but are more cost efficient and technologically advanced. j. Support maximum flexibility for special districts to conduct Board business virtually while providing for public transparency. k. Support legislation that gives local control on video retention guidelines to special districts to maintain maximum flexibility and cost control. M. Water Quality and Supply: OC San is committed to participating collaboratively in the protection of regional water resources for the benefit of the people we serve. a. Support (generally) measures to increase water supply and improve water quality in the region, including drought relief legislation and regulations. b. Support measures that would increase funding for water reuse technologies, including support for the Groundwater Replenishment System project by the Orange County Water District and the OC San to create new water supplies through wastewater recycling. c. Support measures that promote and provide for the use of reclaimed water. d. Support measures that promote legislation similar to AB 2022 (Gordon), allowing the bottling of GWRS water for educational outreach. e. Support policy development, funding, and research for addressing urban runoff, stormwater, and beach closures, including funding for studies that identify the sources of nutrients (e.g., ammonia, nitrates, etc.) and bacterial, viral, and other microbial contaminants and human pathogens. f. Support measures to evaluate water quality standards, as needed, to ensure the objectives are appropriately protecting the designated use. 26 g. Support legislation and regulation that would direct EPA levied fines to remain in the region. h. Support measures addressing non-point source pollution in order to protect our ocean water quality and provide funding to mitigate its effects, including integrated permitting approaches that can reduce costs and achieve water quality improvements while allowing permits to be tailored to the needs of Orange County and its watershed. i. Support national infrastructure policies that contain aspirational goals which promote improved water use efficiency in construction of water efficient buildings and communities. j. Support legislation and regulation that promote improved water use efficiency through state assistance in evaluating and implementing new programs and technologies and increasing public awareness of water use efficiency. k. Support legislation and regulation that provide for the development of the watershed approach, including watershed management plans and watershed-based permitting. l. Support legislation and regulation that necessitate the responsible use of water in residential, commercial, and industrial areas. m. Support streamlined environmental guidelines and regulations which would safeguard the region, providing increased protection and lesser costs to ratepayers. n. Oppose the imposition of statewide fees for environmental cleanup that is caused through private sector actions or are regional in nature (e.g., when the nexus between those responsible for environmental abuse and those required to pay for cleanup or mitigation is absent). o. Support approaches to reduce compliance costs associated with stormwater controls including the use of integrated plans. p. Monitor state and federal legislation and regulations related to Contaminants of Emerging Concern (e.g., PFAS, etc.). 27 Legislative and Regulatory Process Flow Chart Appendix D State 28 Federal 29 Regulatory September 17, 2025 The Honorable Gavin Newsom Governor of California State Capitol Sacramento, CA 95814 Re: SB 682 (Allen): Environmental Health: Product Safety: Perfluoroalkyl and Polyfluoroalkyl Substances Orange County Sanitation District – Request for Signature Dear Governor Newsom: On behalf of the Orange County Sanitation District (OC San), I am writing to respectfully request your signature on SB 682 (Allen), which addresses the presence of intentionally added perfluoroalkyl and polyfluoroalkyl substances (PFAS) in consumer products sold in California. PFAS are widely used in industrial applications and consumer goods due to their water- and stain-resistant properties, but they have also been linked to persistent environmental and health concerns. SB 682 establishes restrictions on the sale and distribution of certain products, including cleaning products, dental floss, juvenile products, food packaging, ski wax, and cookware, that contain intentionally added PFAS, beginning in 2028 and extending to cookware in 2030. This measure includes targeted exemptions and defers to federal preemption where applicable. It also enables the Department of Toxic Substances Control to enforce these provisions through product testing and compliance measures, without imposing registration fees on manufacturers of covered products. SB 682 reflects a science-based approach to reducing potential sources of PFAS exposure in the consumer marketplace. By providing clear timelines and regulatory authority, SB 682 supports both environmental health and regulatory certainty for manufacturers. SB 682 would help ensure thoughtful implementation of PFAS-related safeguards in the state. For these reasons, OC San respectfully requests your signature on SB 682 (Allen). September 17, 2025 The Honorable Gavin Newson Page Two Thank you for considering this request. If you have any questions, please contact Jennifer Cabral, Director of Communications, at (714) 593-7581 or via email at JCabral@ocsan.gov. Sincerely, Ryan P. Gallagher Board Chairman 9/30/2025 1 OC San Administration Committee Local Legislative Report Presented By: Peter Whittingham Whittingham Public Affairs Advisors October 8, 2025 Agenda Waste Infrastructure System Enhancement (WISE) Agreement City Manager Movement Emerging Issues 2025 Regional Issues Forecast Update 2 1 2 9/30/2025 2 OC Waste & Recycling WISE Agreement Update •Extension of Current Agreement Through June 30, 2026 •Organics •September 30 “Deadline” •Proposition 218 Hearings 3 Emerging Issues •Charter Cities •Orange County Power Authority •MWD General Manager •Anaheim Gate Tax •Prop 50 & Voting Pets 4 3 4 9/30/2025 3 Agency Leadership Changes •La Palma •Orange •Irvine •Fullerton •Costa Mesa •Seal Beach •Yorba Linda •Cypress •Costa Mesa Sanitary District •Orange County Council of GovernmentsPage 5 Updated 2025 Regional Issues Forecast •County CEO •South Orange County Wastewater Authority •South Coast Air Quality Management District Rulemaking/Permitting 6 5 6 9/30/2025 4 Questions 7 7 9/25/2025 1 Administration Committee October 8, 2025 2026 Draft Legislative and Regulatory Plan Presented by: Rebecca Long Principal Public Affairs Specialist 2 •Oppose redundant regulatory and legislative requirements that impose excessive limitations on effective operations; •Support legislative and regulatory measures that enhance affordability, safeguard public health, and ensure environmental protection; •Maintain local control over governance of special districts and other local entities; •Pursue financial assistance opportunities for OC San projects through grants, loans, and legislative-directed funding. Guiding Priorities 1 2 9/25/2025 2 3 Legislative - Regulatory Team OC San: •Rob Thompson •Jennifer Cabral •Daisy Covarrubias •Rebecca Long •Lan Wiborg •Sam Choi •Mark Kawamoto •Tom Meregillano Consultants: •Cori Takkinen – Townsend Public Affairs •Eric O’Donnell– Townsend Public Affairs •Eric Sapirstein – ENS Resources •Sarah Sapirstein – ENS Resources •David French– ENS Resources •Peter Whittingham – Whittingham Public Affairs 4 Legislative - Regulatory Team 3 4 9/25/2025 3 5 How The Plan Is Developed •Committee Feedback Throughout the Year •Obtain Feedback From OC San Staff/Subject Matter Experts •Work with State and Federal Lobbyist •Share with Various Organizations: •California Association of Sanitation Agencies •California Special Districts Association •Orange County Water District •Municipal Water District of Orange County •Irvine Ranch Water District •Committee Review and Input •Board Adoption in November 6 2026 Plan Highlights •Secure Infrastructure Funding – Advocate for federal and state grants, loans, and financing tools (SRF, WIFIA, tax-exempt bonds) to modernize wastewater facilities, expand water recycling, and strengthen resiliency against climate impacts. •PFAS & Emerging Contaminants – Support federal and state policies that reduce non-essential PFAS use, shift cleanup responsibility to producers, and secure liability exemptions for wastewater agencies. •Climate & Resiliency – Advance funding and legislation to address sea level rise, drought, seismic events, and wildfires while supporting clean energy, carbon reduction, and sustainable biosolids management. •Water Reuse Protection – Oppose legislation that threatens the Groundwater Replenishment System (GWRS) and promote recycled water credits in statewide conservation policies. •Bid & Contracting Reforms – Pursue legislation to relieve outdated bid advertising requirements and raise contracting thresholds, giving OC San more flexibility and cost savings. •Local Control & Governance – Defend the independence of special districts, oppose unfunded mandates, and support modernized, cost-efficient transparency tools such as flexible video retention and virtual meeting options. 5 6 9/25/2025 4 7 What’s New? 8 Potential Legislative Concepts 7 8 9/25/2025 5 9 •Provide comments/direction in preparation for the final document. •Recommend to the Board of Directors to: •Adopt the OC San 2026 Legislative and Regulatory Plan at the November Board Meeting. Final Plan Questions? 10 9 10 ADMINISTRATION COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4554 Agenda Date:10/22/2025 Agenda Item No:15. FROM:Robert Thompson, General Manager Originator: Jennifer Cabral, Director of Communications SUBJECT: PUBLIC AFFAIRS UPDATE FOR THE MONTH OF SEPTEMBER 2025 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the Public Affairs Update for the month of September 2025. BACKGROUND Included in this report are recent activities of interest,managed by the Public Affairs Office for the month of September 2025. RELEVANT STANDARDS ·Maintain influential legislative advocacy and a public outreach program ·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 a distinguished entity in the water/wastewater industry.Despite our industry recognition,many customers may not be fully aware of our crucial role in protecting public health and the environment.A lack of direct communication,such as through a billing method, may contribute to this knowledge gap. It is our responsibility to ensure that our ratepayers comprehend the vital services we provide.Many customers may not realize that improper waste disposal into the sanitation system can adversely impact our sewer lines,reclamation plants,and the quality of water supplied through GWRS.By enhancing communication channels and fostering understanding,we aim to bridge the gap and empower our ratepayers with the knowledge needed to support and appreciate the essential work we undertake for the well-being of our community and the environment. Orange County Sanitation District Printed on 10/14/2025Page 1 of 5 powered by Legistar™ File #:2025-4554 Agenda Date:10/22/2025 Agenda Item No:15. PROPOSED SOLUTION By providing tours,community outreach,education,and general communication via OC San’s website,social media,and direct mailings,we can share information with 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 and the knowledge and understanding of wastewater treatment. RAMIFICATIONS OF NOT TAKING ACTION Failing to inform the community,local agencies,and businesses about OC San might result in insufficient support for our mission and hinder our effectiveness. PRIOR COMMITTEE/BOARD ACTIONS July 2025 -Received and filed the Year-End Update to the Public Affairs Strategic Plan for Fiscal Year 2024-2026. December 2024 -Receive and File the Public Affairs Strategic Plan for Fiscal Years 2024-2026 Mid- Year Update June 2024 - Received and filed the Public Affairs Strategic Plan for Fiscal Year 2024-2026. ADDITIONAL INFORMATION Activities in September: Outreach Report An outreach report detailing tours, website updates, social media posts, construction notifications, speaking engagements, and more, is attached to this Agenda Report. Social Media OC San messaging,announcements,and program updates are posted across OC San’s social media platforms.For Septic Tank Week,OC San collaborated with the Orange County Watershed Management Team.Together we created and shared content across social media.Our social media handle is @OCSanDistrict. ·Facebook: 10 posts reaching 3.4k people ·X: 8 posts reaching 379 people ·Instagram: 13 posts reaching 4.2k people ·LinkedIn: 3 posts reaching 1.8k people ·Nextdoor: 2 posts reaching 19.5k people Presentations and Outreach Events During the month of September,OC San participated in outreach events including the OC Water Summit and the Coastal Cleanup Day. Staff hosted nine tours,welcoming a variety of groups including San Diego Public Utilities,County of Orange County Sanitation District Printed on 10/14/2025Page 2 of 5 powered by Legistar™ File #:2025-4554 Agenda Date:10/22/2025 Agenda Item No:15. Staff hosted nine tours,welcoming a variety of groups including San Diego Public Utilities,County of Orange,Inside the Outdoors,Cypress College,Huntington Beach Fishing and Recreation Club, Santa Ana River Water Quality Control Board,among others.Overall,we reached approximately 150 people. OC San Family Picnic On Saturday,September 13,OC San hosted its first Family Picnic in more than 20 years!Over 300 employees and their families spent the day at Lakeview Park in Silverado Canyon enjoying games, classic BBQ,and quality time with one another outside of work.This effort shows OC San’s commitment to staff appreciation efforts which cultivate a positive and productive work environment. Volunteer Incentive Program Luncheon OC San’s volunteers were recognized during a luncheon celebrating their commitment to support OC San’s Educational Outreach Program.Five awards were given out as acknowledgement:VIP of the Year,Department of the Year,Spirit Award,Star Award,and Retiree of the Year.Through these volunteer efforts,110 tours were given,and we participated in 11 community events and 31 speaking engagements; it is estimated that OC San reached 5,500 people in fiscal year 2024-2025. Coastal Cleanup Day OC San partnered with the Santa Ana River Basin Section of the California Water Environment Association to gather volunteers for the Huntington Beach Marsh Wetlands Coastal Cleanup Day. Through this collaboration,OC San registered over 30 volunteers in support of OC San’s mission of protecting the environment. Internal Communication Over the course of the month,there were 32 posts on the employee intranet -The San Box,and five emails were distributed to staff on relevant weekly topics through our Three Things to Know email. Construction Outreach Update Outreach efforts for OC San construction activities are ongoing throughout the service area.Updates were shared for projects in the cities of Orange,Seal Beach,Cypress and Newport Beach through our website,email alerts,text alerts,and direct notifications.These efforts reached approximately 1,500 members of the public.OC San also works with the respective cities to share construction updates via city publications. For details on each project, visit www.ocsan.gov/construction. Member Agency Outreach Toolkit In preparation for the holiday season,OC San developed a holiday-specific communications toolkit for distribution to the communication teams across the cities and member agencies within the OC San service area.This resource is designed to support localized outreach by aligning key messaging around What2Flush and Fats,Oils,and Grease with upcoming seasonal celebrations.The toolkit provides ready-to-use social media posts,graphics,and articles that help make these messages timely, relevant, and easily shareable with the public. Awards OC San was recently honored with the Savvy Award from 3CMA (City-County Communications & Marketing Association)for our 70th Anniversary Branding.This year’s program received more than 1,100 entries from 365 agencies nationwide, making this recognition especially meaningful. Orange County Sanitation District Printed on 10/14/2025Page 3 of 5 powered by Legistar™ File #:2025-4554 Agenda Date:10/22/2025 Agenda Item No:15. Activities in October: Social Media OC San continues to share messaging across the various social media platforms.Collaborations are also being developed with the Orange County Water District for Good Neighbor Day and joint tours. Community Outreach OC San is participating in the Costa Mesa Sanitary District Eco Expo and at the Yorba Linda Water District Open House by hosting informational booth.Key messages shared include What 2 Flush, FOG (Fats,Oils,and Grease),and general awareness about OC San’s role in protecting public health and the environment. Wastewater 101 - Tour and Graduation OC San Wastewater 101 Citizens Academy -Fall Cohort wraps up on October 14.The participants who attend all four sessions are invited to a special recognition ceremony at the Board of Directors meeting on October 22 where they will receive certificates of completion and be recognized for their participation. Participants also have the opportunity to join a behind-the-scenes tour led by Operations Manager, Jon Bradley, to visit Plant Nos. 1 and 2, and the Steve Anderson Lift Station. State of OC San The State of OC San is taking place on Friday,October 17 from 11 a.m.-1 p.m.at OC San Headquarters.The event will feature Joaquin Esquivel,Chair of the State Water Resources Control Board as the distinguished guest speaker.It will also host community members,and local,state,and federal dignitaries to provide an update on OC San,our accomplishments,and the future direction of the agency. Annual Report The OC San’s 2024-2025 Annual Report will be distributed during the State of OC San.The report highlights the year’s accomplishments including the Pretreatment Honor Roll Program,our financial standing, and outreach efforts. OC San Connection Newsletter The fall issue of the community newsletter will be published and distributed in October.The issue will include information on upcoming construction projects,an update on various programs,and a schedule of upcoming community events OC San is participating in.Past issues can be found at www.ocsan.gov/newsletter. Presentations & Outreach In October,OC San has eight scheduled tours,welcoming a variety of groups including Cal State Long Beach,Rancho Santiago High School,California Association of Sanitation Agencies,Orange County Water District,Huntington Beach Fishing and Recreation Club,and our Wastewater 101 participants. Construction Outreach Outreach efforts continue for various construction projects including:the Bay Bridge Pump Station and Force Main project in Newport Beach,the Taft Avenue Sewer Improvement Project in the City ofOrange County Sanitation District Printed on 10/14/2025Page 4 of 5 powered by Legistar™ File #:2025-4554 Agenda Date:10/22/2025 Agenda Item No:15. and Force Main project in Newport Beach,the Taft Avenue Sewer Improvement Project in the City of Orange,the Cypress Trunk Sewer project in the cities of Cypress,Los Alamitos,and La Palma,Along the 405 and the Airway Airport Loop Projects in the City of Costa Mesa,and the Wall and Soil Improvements Project in the City of Huntington Beach. CEQA N/A FINANCIAL CONSIDERATIONS All items mentioned are included in OC San’s FY 2024-25 and FY 2025-26 approved Budget. 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 Report for September 2025 Orange County Sanitation District Printed on 10/14/2025Page 5 of 5 powered by Legistar™ Outreach and Media Summary September 2025 OC San Public Affairs Off ice Table of Contents OUTREACH REPORT…………………………………………………………PAGE 1 FACEBOOK POSTINGS ……………………………………………...............PAGE 3 TWITTER POSTINGS …………………………………………………………PAGE 4 INSTAGRAM POSTINGS………………………………………………………PAGE 5 LINKEDIN POSTINGS………………………………………………………....PAGE 6 NEWS ARTICLES……………………………………………………………………………. PAGE 7 Outreach Report September 2025 Date Tours Attendees Tour Guide 9/5/25 San Diego Public Utilities 1 Rob Thompson 9/9/25 Public Tour 5 Eric Halverson 9/11/25 Inside the Outdoors 12 Randa AbuShaban 9/11/25 County of Orange 2 Rob Thompson 9/12/25 Santa Ana Regional Water Quality Control Board 16 Randa AbuShaban 9/17/25 Operator Class III Tour 20 Mark Melby 9/23/25 Huntington Beach Fishing and Recreation Club 20 Chris Cervellone 9/24/25 Black & Veach Marketing Tour 14 Belen Carrillo 9/29/25 New Employee Tour 8 Rob Thompson 9/30/25 Cypress College Tour 1 25 Chris Cervellone 9/30/25 Cypress College Tour 2 25 Chris Cervellone Date Speaking Engagements/Events Attendees Presenter 9/2/25 Wastewater 101 Session 1 70 Rob Thompson/ Lorenzo Tyner/ Jennifer Cabral/ Belen Carrillo/ Becky Polcyn 9/5/25 OC Water Summit 100 Becky Polcyn 9/16/25 Wastewater 101 Session 2 60 Sam Choi/ Mark Kawamoto/ Tom Meregillano/ Belen Carrillo/ Becky Polcyn 9/20/25 Coastal Clean Up Day 34 Dindo Carrillo/ Chad Crow/ Yocely Galindo/ David Lo/ Sharon Yin/ Valerie Ratto/ Leslie Paredes/ Enisha Matthews/ Matt Smith/ Rhea De Guzman Project Area Outreach Notifications # of People Reached Output Method Orange Taft Ave. Sewer Improvement Project 111 page views 521 email subscribers 2 website posts 2 email alerts 1 Newport Beach Bay Bridge Pump Station 87 page views 185 email subscribers 1 website post 1 email alert Cypress Cypress Trunk Sewer Project 187 page views 310 email subscribers 73 text alert subscribers 2 website posts 2 email alerts 1 text alert Seal Beach Seal Beach Pump Station 33 page views 377 email subscribers 1 website post 1 email alert External Communications Distribution # of People Reached 5 Minutes Per Month September: OC San to Host 2025 State of OC San 126 Board Member Talking Points One 50 Email Website Posts 5 posts 250 views Website Facebook 10 posts 3.4k reached Social Media Twitter 8 tweets 379 reached Social Media Instagram 13 posts 4.2k reached Social Media LinkedIn 3 posts 1.8k reached Social Media Nextdoor 2 posts 19.5k impressions Social Media 2 Post performance - Facebook Pages Data from 01 Sep, 2025 to 22 Sep, 2025 Sources Orange County Sanitation DistrictOD Orange County Sanitation District Sep 16, 16:02OD It’s National IT Professionals Day! ✨💻 Today, we're giving a huge shoutout to the unsung heroes who keep our systems running smoothly 🙌 We asked our IT team to spill their tech confessions… and they did not disappoint. From… 133 126 Orange County Sanitation District Sep 15, 16:20OD Warning: You might actually start enjoying the sound of construction. It’s Construction Appreciation Week! While sometimes a little noisy, construction brings long-term benefits for our community—like tip-top shape pipes,… 318 309 Orange County Sanitation District Sep 12, 16:01OD Nobody does preparedness like our Risk Management team ⚠ #FlashbackFriday to a few of the friendly faces from Risk Management and Operations during a training with first responders. This… 350 342 Orange County Sanitation District Sep 10, 20:01OD Three awards, one amazing team 🏆 OC San took home three wins as part of the2025 Inhouse Design Awards from Graphic Design USA! Kudos to our team for thecreativity they bring to every project!156 144 Orange County Sanitation District Sep 08, 18:10OD When the clarifier water is crystal clear😍 Say hello to our new clarifiers at PlantNo. 2! Once finished, these four clarifiers will keep our treatment processrunning reliably and eiciently for decades to come.1,381 1,260 Orange County Sanitation District Sep 08, 14:16OD The OC San Administration Committee Meeting (5 PM) will be happening on Wednesday, September 10. You can view the agenda here:70 62 Orange County Sanitation District Sep 06, 16:00OD 🌊 Join us Saturday, September 20 from 9 AM–12 PM at Huntington BeachWetlands for Coastal Cleanup Day! Free event, free snacks, and cleanerwaterways! 💙 Sign up by visiting www.ocsan.gov!598 575 Orange County Sanitation District Sep 04, 19:04OD Channeling our inner Little Mermaid 🦀🌊 A glimpse of last week's trawlsampling! Measuring, weighing, and monitoring sea life to keep our oceanshealthy and thriving 🐟 268 249 Orange County Sanitation District Sep 02, 16:01OD We're going beyond soil and security improvements—we're bringing beauty intothe mix, too👀✨ As part of the Wall and Soil Improvements Project, we'rereplacing the chain-link perimeter fence with a wave-inspired concrete wall.…334 300 Orange County SanitationDistrict Sep 02, 14:19OD The OC San Operations Committee Meeting (5 PM) will be happening on Wednesday, September 3. You can view the agenda here:70 59 DATE POST IMPRESSIONS REACH 3 Post performance - Twitter Data from 01 Sep, 2025 to 22 Sep, 2025 Sources @OCSanDistrict@ @OCSanDistrict Sep 16, 16:00@ It’s National IT Professionals Day! ✨💻 Today, we're giving a huge shoutout to the unsung heroes who keep our systems running smoothly 🙌 We asked our IT team to spill their tech confessions… and they did not disappoint. What’s YOU… 7.69%3 39 @OCSanDistrict Sep 15, 16:20@ It’s Construction Appreciation Week! While sometimes a little noisy, construction brings long-term benefits for our community—like tip-top shape pipes, improved treatment, and more reliable services. See what projects we're… 🛠💧 7.69%3 39 @OCSanDistrict Sep 12, 16:01@ Nobody does preparedness like Risk Management⚠ #FlashbackFriday to some friendly faces from Risk Management and Operations during a training with first responders. This #NationalPreparednessMonth, we’re proud to… 6.98%3 43 @OCSanDistrict Sep 10, 20:01@ Three awards, one amazing team 🏆 OC San took home three wins as part of the2025 Inhouse Design Awards from Graphic Design USA! Kudos to our team for thecreativity they bring to every project! https://twitter.com/OCSanDistrict/statu…6.78%4 59 @OCSanDistrict Sep 08, 18:10@ When the clarifier water is crystal clear😍 Say hello to our new clarifiers at PlantNo. 2! Once finished, these four clarifiers will keep our treatment processrunning reliably and eiciently for decades to come. https://twitter.com/OCS…4.62%3 65 @OCSanDistrict Sep 06, 16:00@ 🌊 Join us Saturday, September 20 from 9 AM–12 PM at Huntington BeachWetlands for Coastal Cleanup Day! Free event, free snacks, and cleanerwaterways! 💙 Sign up by visiting http://www.ocsan.gov! https://twitter.com/…3.64%2 55 @OCSanDistrict Sep 04, 19:02@ Channeling our inner Little Mermaid 🦀🌊 A glimpse of last week's trawlsampling! Measuring, weighing, and monitoring sea life to keep our oceanshealthy and thriving 🐟 https://twitter.com/OCSanDistrict/status/1963679114…16.67%7 42 @OCSanDistrict Sep 02, 16:01@ As part of the Wall and Soil Improvements Project, we're replacing the chain-link perimeter fence with a wave-inspired concrete wall. Recently, our team gota look at the artwork that will decorate the wall once completed in 2027. Lear… 🌊 2.7%1 37 DATE POST ENGAGEMENT RATE ENGAGEMENTS IMPRESSIONS 4 Post performance - Instagram Business Data from 01 Sep, 2025 to 22 Sep, 2025 Sources ocsandistrictO ocsandistrict Sep 20, 00:08O you heard @kykelce Not gonna lie, wipes always clog pipes 🚽0%0 0 130 ocsandistrict Sep 19, 15:52O (No description)0%0 0 142 ocsandistrict Sep 18, 16:52O (No description)0%0 0 148 ocsandistrict Sep 17, 15:07O Learn how to be septic smart!0%0 0 144 ocsandistrict Sep 16, 16:00O It’s National IT Professionals Day! ✨💻 Today, we're giving a huge shoutout tothe unsung heroes who keep our systems running smoothly 🙌 We asked our ITteam to spill their tech confessions… and they did not disappoint. From…10.65%0 22 310 ocsandistrict Sep 15, 16:20O Warning: You might actually start enjoying the sound of construction. It’sConstruction Appreciation Week! While sometimes a little noisy, constructionbrings long-term benefits for our community—like tip-top shape pipes,…8.99%0 40 567 ocsandistrict Sep 12, 16:01O Nobody does preparedness like our Risk Management team ⚠#FlashbackFriday to a few of the friendly faces from Risk Management andOperations during a training with first responders. This…12.14%0 46 420 ocsandistrict Sep 10, 20:02O Three awards, one amazing team 🏆 OC San took home three wins as part of the2025 Inhouse Design Awards from Graphic Design USA! Kudos to our team for thecreativity they bring to every project!7.73%0 14 194 ocsandistrict Sep 08, 18:10O When the clarifier water is crystal clear😍 Say hello to our new clarifiers at PlantNo. 2! Once finished, these four clarifiers will keep our treatment processrunning reliably and eiciently for decades to come.13.34%0 68 592 ocsandistrict Sep 06, 16:00O 🌊 Join us Saturday, September 20 from 9 AM–12 PM at Huntington BeachWetlands for Coastal Cleanup Day! Free event, free snacks, and cleanerwaterways! 💙 Sign up by visiting www.ocsan.gov!5.47%0 17 567 ocsandistrict Sep 04, 19:01O Channeling our inner Little Mermaid 🦀🌊 A glimpse of last week's trawlsampling! Measuring, weighing, and monitoring sea life to keep our oceanshealthy and thriving 🐟 10.93%0 43 430 ocsandistrict Sep 02, 16:01O We're going beyond soil and security improvements—we're bringing beauty intothe mix, too👀✨ As part of the Wall and Soil Improvements Project, we'rereplacing the chain-link perimeter fence with a wave-inspired concrete wall.…9.51%0 32 389 ocsandistrict Sep 01, 03:01O (No description)0%172 0 172 DATE POST ENGAGEMENT RATE IMPRESSIONS LIKES REACH 5 Post performance - LinkedIn Pages Data from 01 Sep, 2025 to 22 Sep, 2025 Sources Orange County Sanitation DistrictOD Orange County Sanitation District Sep 15, 14:48OD We’re proud to share that our very own Sharon Yin has been recognized by the American Academy of Environmental Engineers and Scientists (AAEES)! Through her dedication to outreach, mentorship, and her service on the Board of Trustees, Sharon has made lasting contributions to both AAEES an… 🎉 5.22%498 12 0 Orange County Sanitation District Sep 10, 20:01OD Three awards, one amazing team 🏆 OC San took home three wins as part of the 2025 Inhouse Design Awards from Graphic Design USA! Kudos to our team for the creativity they bring to every project! 7.08%438 11 1 Orange County Sanitation District Sep 05, 19:17OD Join us in making a dierence in our community! Every bottle, wrapper, and piece of trash we collect helps keep our beaches and waterways clean 🌊4.39%888 15 1 DATE POST ENGAGEMENT RATE IMPRESSIONS REACTIONS SHARES 6 7 Article Date Source Link The Compelling Benefits of Mass Timber Construction 9/16/2025 Buildings.com https://www.buildings.com/architecture/articl e/55316880/the-compelling-benefits-of-mass- timber-construction 8 ADMINISTRATION COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4556 Agenda Date:10/22/2025 Agenda Item No:16. FROM:Robert Thompson, General Manager Originator: Laura Maravilla, Director of Human Resources SUBJECT: SECURITY SERVICES BID EVALUATION CRITERIA GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Approve the bid evaluation criteria to support the upcoming competitive solicitation process for contracted security services: PROPOSED EVALUATION CRITERIA PROPOSED WEIGHT 1. Firm Background, Qualifications, Experience and References 30% 2. Security Officer Qualifications, Screening, Training 25% 3. Work Plan 30% 4. Completeness of Response/Degree of Compliance 5% 5. Cost 10% BACKGROUND The Orange County Sanitation District (OC San)utilizes a third-party firm to provide contracted security services at the two treatment plants in Fountain Valley and Huntington Beach,the Headquarters Building,the outlying pump stations,and other OC San owned properties and assets. Contracted security supports risk mitigation efforts and provides for the protection of people,critical infrastructure,and operations against threats of injury,loss,or damage by criminal,hostile,or malicious acts. In October 2023,staff initiated a Request for Proposal (RFP)process seeking qualified security firms in anticipation of contract expiration and expansion of security services required for the Headquarters Building.OC San received a total of 13 proposals of which 11 were responsive and were evaluated by a panel of OC San staff.Following an independent review of the proposals,scoring based on established criteria and interviews of the top four highest ranking firms,the process concluded in early 2024 with the selection of Allied Universal Security Services (Allied Universal).OC San currently maintains a service contract with Allied for these services under Agreement No.S-2023- 1429BD. Orange County Sanitation District Printed on 10/14/2025Page 1 of 5 powered by Legistar™ File #:2025-4556 Agenda Date:10/22/2025 Agenda Item No:16. Allied Universal’s scope of work includes 24/7 armed and unarmed security services including access control,routine and emergency security patrols,closed-circuit television (CCTV)monitoring and surveillance, incident reporting and response, and intrusion detection system oversight. Staff will initiate an RFP process in October 2025 for the selection of a physical security services provider.In preparation for the upcoming solicitation of security services,staff is recommending changes to the bid evaluation criteria that will be utilized by a panel of OC San staff to evaluate the responsive proposals.The proposed updates to the selection criteria are designed to ensure that contracted security services effectively meet OC San’s performance expectations and risk mitigation requirements. RELEVANT STANDARDS ·Protect OC San assets ·Protect public safety ·Commitment to safety & reducing risk in all operations ·Provide a safe and collegial workplace PROBLEM The proposal evaluation criteria for physical security services is a policy decision that balances OC San’s performance expectations,risk mitigation requirements,and cost.Based on experience gained in the current contract cycle,staff recommend a change to the evaluation criteria for the next contracted security services RFP process. PROPOSED SOLUTION Staff recommend that the Board of Directors approve the proposed bid evaluation criteria in support of the upcoming competitive solicitation process for contracted security services. PROPOSED EVALUATION CRITERIA PROPOSED WEIGHT 1. Firm Background, Qualifications, Experience and References 30% 2. Security Officer Qualifications, Screening, Training 25% 3. Work Plan 30% 4. Completeness of Response/Degree of Compliance 5% 5. Cost 10% TIMING CONCERNS The current purchase order for security services,Agreement No.S-2023-1429BD,is set to expire on May 31,2026.To ensure continuity of services and allow sufficient time for a competitive solicitation process and transition,it is critical that staff receive timely concurrence on the proposed bid evaluation criteria. Orange County Sanitation District Printed on 10/14/2025Page 2 of 5 powered by Legistar™ File #:2025-4556 Agenda Date:10/22/2025 Agenda Item No:16. RAMIFICATIONS OF NOT TAKING ACTION Without updates to the existing bid evaluation criteria,OC San may be limited in its ability to engage a security services provider that can fully meet service and performance expectations. PRIOR COMMITTEE/BOARD ACTIONS April 2024 -Approved a General Services Contract for Universal Protection Service LP DBA Allied Universal Security Services (Allied Universal)to provide security services,Specification No.S-2023- 1429BD,for a total annual amount not to exceed $2,246,973 for the period beginning June 1,2024, through May 31,2025,with four one-year renewal options;and approved an annual contingency of $224,697 (10%) for the contract period and all remaining renewal periods. ADDITIONAL INFORMATION During the 2023 solicitation process for security services, OC San utilized the evaluation criteria listed below to evaluate the responsive proposals and make a provider selection. 2023 Evaluation Criteria CRITERIA WEIGHT 1. Qualifications of Firm 20% 2. Staffing & Project Organization 20% 3. Work Plan 40% 4. Cost 20% ·Qualifications of Firm Technical experience in performing work of a closely similar nature;experience working with public agencies;strength and stability of the firm;strength,stability,experience and technical competence of subcontracts,if any;assessment by client references;knowledge of the various permits that may or may not be required;knowledge of applicable laws and regulations. ·Staffing & Project Organization Qualification of project staff,particularly key personnel and especially the Project Manager, key personnel’s level of involvement in performing related work cited in “Qualifications of the Firm”section;logic of project organization;adequacy of labor commitment;concurrence in the restrictions on changes in key personnel. ·Work Plan Depth of Proposer’s understanding of OC San’s Scope of Work and overall quality of work plan;logic,clarity and specificity of work plan;appropriateness of labor distribution among the tasks;ability to meet the project deadline;reasonableness of proposed schedule;utility of suggested technical or procedural innovations. Based on insights gained from the current contract,staff is proposing revised evaluation criteria for Orange County Sanitation District Printed on 10/14/2025Page 3 of 5 powered by Legistar™ File #:2025-4556 Agenda Date:10/22/2025 Agenda Item No:16. Based on insights gained from the current contract,staff is proposing revised evaluation criteria for the 2025 security services solicitation process.The recommendation is to place greater emphasis on qualifications of the firm and security officers rather than cost in the evaluation weighting. 2025 Evaluation Criteria (PROPOSED) PROPOSED CRITERIA PROPOSED WEIGHT 1. Firm Background, Qualifications, Experience and References 30% 2. Security Officer Qualifications, Screening, Training 25% 3. Work Plan 30% 4. Completeness of Response/Degree of Compliance 5% 5. Cost 10% ·Firm Background, Qualifications, Experience, and References Demonstrated technical experience providing armed and unarmed security services for public/government agencies or critical infrastructure;the strength,stability,and technical competence of the firm and its officers;past contracts of similar size and complexity,client references and performance metrics.Demonstrated knowledge of relevant permits,laws,and regulations.Qualifications and involvement of key personnel,particularly the Account Manager,with supervisory oversight and incident management structure;the logic of the proposed project organization,adequacy of labor commitment,and agreement with restrictions on changes to key staff. ·Security Officer Qualifications, Screening and Training Programs Screening protocols of security officers including verification of the required education,years of experience,and license set forth by the California Bureau of Security and Investigative Service (BSIS),a criminal history background check through the California Department of Justice (DOJ)and Federal Bureau of Investigation (FBI),drug testing,pre-employment physical,firearms proficiency,Cardiopulmonary Resuscitation (CPR)certification from the American Red Cross or American Heart Association (AHA).The proposal should include a detailed description of the security officer training program and ongoing education including content,instructor background and training hours,particularly in the areas of de-escalation, conflict resolution, critical incident response, and firearms proficiency. ·Work Plan Provide a detailed site-specific work plan that addresses all elements of the Scope of Work, including post orders,patrol procedures,duty assignments and schedules,integration with law enforcement,use of technology (incident reporting software,radio systems,cell phones,etc.), uniforms and equipment requirements,response time guarantees,contingency staffing plans and transition plan.Evaluation will consider the Offeror’s depth of understanding of OC San’s requirements,the overall quality,logic,clarity,and specificity of the proposed work plan,and the appropriateness of labor distribution across tasks.Proposals must include a clear outline, detailed description,and comprehensive timeline for delivering the services.Respondents should demonstrate their understanding of the scope,explain how they will adhere to it, identify relevant challenges and opportunities,and describe why their firm is well-suited to support OC San’s objectives.The ability to meet deadlines,reasonableness of the proposed Orange County Sanitation District Printed on 10/14/2025Page 4 of 5 powered by Legistar™ File #:2025-4556 Agenda Date:10/22/2025 Agenda Item No:16. support OC San’s objectives.The ability to meet deadlines,reasonableness of the proposed schedule,and value of any suggested technical or procedural innovations will also be assessed. ·Completeness of Response and Degree of Compliance with OC San Model Contract The proposal should clearly demonstrate an understanding of the project and its objectives as outlined in the Scope of Work,show that all requirements are addressed and adhered to,and present a complete,comprehensive,and well-organized response.Respondents submitting exceptions to the OC San Model Contract of this RFP,may receive a score of “0”for this criterion. CEQA N/A FINANCIAL CONSIDERATIONS This request complies with the authority levels of OC San’s Purchasing Ordinance.This item has been budgeted,FY 2025-2026 Budget update,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: ·Presentation Orange County Sanitation District Printed on 10/14/2025Page 5 of 5 powered by Legistar™ 10/1/2025 1 Security Services Bid Evaluation Criteria Presented by: Laura Maravilla, Director of Human Resources Administration Committee October 8, 2025 2 Background • OC San contracts third-party security for treatment plants, Head Quarters, pump stations, and other assets. • Contractor provides 24/7 armed/unarmed patrols, access control, CCTV, incident response, and intrusion monitoring. • Contractor supports risk mitigation and protection of people, critical infrastructure, and operations. 1 2 10/1/2025 2 3 Staff Recommendation Approve the bid evaluation criteria for the upcoming security services solicitation. 2025 (%)2023 (%)Evaluation Criteria 30%20%Firm Qualifications —20%Staffing and Project Organization 25%—Officer Screening & Training 30%40%Work Plan 5%—Completeness/Compliance 10%20%Cost Criteria – 2023 vs 2025 (Proposed) 3 4 10/1/2025 3 5 Timeline October 2023 RFP Issued for Security Services June 2024 Security Services PO Established October 2025 Issue RFP with Revised Evaluation Criteria Questions? Laura Maravilla Director of Human Resources 714-593-7007 lmaravilla@ocsan.gov 6 5 6 ADMINISTRATION COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4557 Agenda Date:10/22/2025 Agenda Item No:17. FROM:Robert Thompson, General Manager Originator: Wally Ritchie, Director of Finance SUBJECT: INTERNAL AUDIT UPDATE GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Receive and file the IT Governance Internal Audit Report. BACKGROUND Orange County Sanitation District (OC San)selected the audit firm of Vasquez +Company LLP to provide audits of various OC San programs and processes as selected by the Audit Ad Hoc Committee.Most recently,the Audit Ad Hoc Committee selected IT governance.The auditors provided an update of those efforts to the Audit Ad Hoc Committee on September 24,2025,and now bring the report to the Administration Committee. RELEVANT STANDARDS ·Conduct audits to determine if OC San operations are being conducted in an economical and efficient manner ·Conduct audits to establish whether specific government programs are effective in meeting their stated goals and objectives ·Conduct audits to determine if OC San is following policies and procedures in conducting operations ADDITIONAL INFORMATION Vasquez +Company LLP performed an independent assessment of OC San’s IT Governance to ensure appropriate internal controls and processes. The following key domains were covered for this assessment: ·IT Governance and Risk Management ·Program Change Management ·User Access Management ·IT Operations Orange County Sanitation District Printed on 10/14/2025Page 1 of 2 powered by Legistar™ File #:2025-4557 Agenda Date:10/22/2025 Agenda Item No:17. ·Cyber and Physical Security ATTACHMENT The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda package: ·IT Governance Internal Audit Report ·Presentation Orange County Sanitation District Printed on 10/14/2025Page 2 of 2 powered by Legistar™ Orange County Sanitation District IT Governance Audit September 2025 Orange County Sanitation District IT Governance Audit September 2025 September 15, 2025 To the Management and Board of Directors Orange County Sanitation District Fountain Valley, CA 92708 Dear Ladies and Gentlemen: We are pleased to present the results of the Information Technology (IT) Governance Audit conducted for the Orange County Sanitation District (OC San) covering the period from June 1, 2024, to May 31, 2025. This audit was performed in accordance with the internal audit plan and was designed to evaluate the effectiveness of OC San’s IT governance framework, cybersecurity practices, and related internal controls. The audit procedures and methodology were developed with consideration of the results of the enterprise-wide risk assessment process and the approved audit plan. This report summarizes our observations and offers valuable insight into the current state of OC San’s IT governance environment, highlighting both strengths and opportunities for improvement. This report is intended solely for the information and use of Management and the Board of Directors of OC San. It is not intended to be, and should not be, used by any other parties without prior authorization. We appreciate the opportunity to support OC San in its continued efforts to strengthen its IT governance and cybersecurity resilience. Very truly yours, VASQUEZ & COMPANY, LLP Roger A. Martinez Partner Orange County Sanitation District Table of Contents PAGE EXECUTIVE SUMMARY 1 OBJECTIVE & SCOPE 1 METHODOLOGY 1 AREAS OF STRENGTHS RESULT OF INTERNAL CONTROL ASSESSMENT 2 2 Observation 1 3 Observation 2 Observation 3 4 5 Orange County Sanitation District IT Governance Audit Report September 2025 1 EXECUTIVE SUMMARY Vasquez & Company, LLP (Vasquez) was engaged by the Orange County Sanitation District (OC San) to assess OC San’s Information Technology Governance and its related processes and controls. The evaluation focused on the effectiveness of the design and implementation of current processes, procedures, and internal controls within the IT Department. The assessment covered IT processes within the defined scope and included a review of OC San’s documented policies and procedures, interviews with key IT personnel, testing of the design and implementation of IT and cybersecurity practices, and examination of relevant supporting documentation. The review identified both strengths and areas for improvement, along with associated risks. As a result, three (3) key observations were presented, each accompanied by recommendations aimed at enhancing risk management and supporting the achievement of OC San’s operational goals. OBJECTIVE & SCOPE The purpose of this engagement was to conduct an internal evaluation of OC San’s Information Technology and Cybersecurity governance, controls, and their compliance with established policies and procedures. The scope of the assessment focused on key technology and cybersecurity components based on NIST (National Institute of Standards and Technology) Cybersecurity Framework 2.0. Test of design and effectiveness focused on the “critical applications” identified by management: JD Edwards, Active Directory, and SentinelOne. The following key domains were covered by this assessment: • IT Governance and Risk Management • Program Change Management • User Access Management • IT Operations • Cyber and Physical Security METHODOLOGY 1. Reviewed OC San’s control environment, including key business processes and critical IT systems as it relates to IT Governance. 2. Assessed risk factors associated with key IT processes and critical systems: a. Alignment with Business Goals b. Risk Management c. Change Management d. Information Security e. Technology Obsolescence f. Transparency and Accountability g. IT Vendor Management Orange County Sanitation District IT Governance Audit Report September 2025 2 3. Conducted an IT governance assessment, evaluating compliance with IT and cybersecurity policies and procedures across the following sub-domains: a. IT Risk Assessment Activities b. IT Strategic Planning c. Information Security Awareness Training and Programs d. IT Vendor and Third-party Risk Management e. Change Management Processes f. User Provisioning, Modification, Termination, and Periodic Access Reviews g. Anti-virus, Firewall, and Patch Management h. Backup and Recovery Procedures i. Data Protection Measures j. Incident Management Processes k. Physical Security Controls 4. Performed controls testing and evaluation to determine the effectiveness of existing IT controls. AREAS OF STRENGTH The assessment, which focused on critical systems and key IT and cybersecurity domains, revealed that key controls tested are operating effectively as designed and are aligned with OC San’s IT operations and risk management strategies. Below are the notable areas of strength: 1. OC San has implemented key cybersecurity controls such as antivirus, firewall, and patch management systems. These measures contribute to a robust defense against cyber threats and demonstrate proactive risk mitigation. 2. OC San has shown clear recognition of their exposure to emerging IT and cybersecurity risks. The IT Department remains attentive to identified threats and focuses its efforts on initiatives that contribute to the integrity of OC San’s IT environment. OC San’s openness to formalizing its policies, updating documentation and enhancing segregation of duties shows a proactive stance in strengthening internal controls. 3. While some documents are recommended to be formalized, the presence of internal IT guidelines demonstrates OC San’s awareness of standardized processes and controls, to ensure that these align with organizational goals, security standards and regulatory requirements. RESULT OF INTERNAL CONTROL ASSESSMENT While no significant deficiencies or material weaknesses were identified during the audit, some areas were noted where IT Governance practices can be enhanced to further improve IT oversight and align with leading practices. Each observation is accompanied by practical recommendations designed to strengthen existing controls, clarify roles and responsibilities and enhance policy implementation. The following details the observations, the suggested recommendations and Management's responses: Orange County Sanitation District IT Governance Audit Report September 2025 3 Observation #1: During the walkthrough performed for program change management, and as later confirmed with IT Management, it was determined that there was no segregation of duties between the functions of code development and promotion of code to Production within the JD Edwards application. It was also noted that no independent review process was in place to ensure that no unauthorized, inadequate, or excessive changes were promoted to Production. In addition, testing of sample changes implemented during the audit period revealed instances where segregation of duties was not consistently observed. Specifically, there were instances where the same individual acted as both developer and tester or as both developer and implementer, which weakens the control over the change management process: 1. Normal Change a. CHG0032024 – The Developer and Tester were the same person. 2. Standard Change a. CHG0031864 & CHG0031650 – The Developer and Implementer were the same person. Risk Rating: Medium Risk Description: When a single individual performs a combination of the three key change management functions - development, testing and implementation - there is an increased risk that unauthorized, inadequate, or excessive changes may be implemented in the Production environment, whether due to error or potential fraud. Recommendation: 1. Consider assigning the functions of code development, testing, and promotion to Production to different personnel. 2. If segregation of duties is not feasible due to the nature of the organization or for other reasons, consider assigning other personnel to perform activities such as a pre-deployment or post-deployment check to mitigate the risks of unauthorized changes being deployed to Production. Given the crucial nature of development, testing, and implementation to Production activities, segregating these three responsibilities is essential to minimizing the risk of unauthorized, inadequate, or excessive changes due to fraud or errors. When segregation is not practical, using audit trails to track all change activities and requiring an independent review can serve as effective compensating controls. OC San’s Response: When feasible, OC San Supervision will assign different personnel to the development, testing and implementation of changes to production systems. Optimally, the testing will be performed by the end user to verify that the change has been implemented successfully. If the prior two options are not feasible, IT will perform a post-deployment check. Orange County Sanitation District IT Governance Audit Report September 2025 4 Observation #2: During the operating effectiveness test of change management controls, no evidence was provided to support the following key testing details related to four (4) sampled change requests: a. Developer b. Date Submitted for Testing c. Actual Testing Date d. Tested By e. Testing Result The four sample tickets identified were: a. Normal Change – CHG0032024 b. Normal Change – CHG0031965 c. Standard Change – CHG0031872 d. Standard Change – CHG0031631 Risk Rating: Medium Risk Description: The absence of evidence to support the testing procedures for each change request increases the risks of unverified deployment of changes to Production. This can potentially lead to higher project costs, delays, and security-related challenges. Recommendation: Retain evidence of testing procedures performed for each change request. At a minimum, the following details must be clearly stated in the supporting documentation: a. Developer b. Date Submitted for Testing c. Actual Testing Date d. Tested By e. Testing Result If it is not feasible to retain the above documentation within the change request tickets, consider creating a separate repository to store and maintain all relevant supporting documentation. Retaining complete documentation of testing procedures is essential to prevent OC San from incurring heavy delays and experiencing security issues arising from Production changes that do not function as intended, which can ultimately lead to additional costs. Maintaining a complete change log is also key to identifying opportunities to improve efficiency within the change management process. Orange County Sanitation District IT Governance Audit Report September 2025 5 OC San’s Response: Change management in IT is documented in the IT Service Management (ITSM) solution. Modifications to the ITSM change management module will be implemented and will require the developer’s name, date submitted for testing, actual testing date, the tester’s name, and the test results be entered prior to closing the change request. Staff will have the ability to attach screenshots to support the change request. OC San management believes the risk is partially mitigated by reviewing all changes on a weekly basis during the Change Advisory Board (CAB) meeting. The CAB mitigates risk by bringing multiple perspectives into decision-making, enforcing structured reviews, ensuring contingency planning, and aligning changes with business needs. Every change request reviewed by the CAB goes through a formal risk/impact analysis. This ensures consideration of: o Business continuity o Cybersecurity implications o System dependencies o Regulatory compliance o Timing considerations o Rollback plan Observation #3: We noted the following observations regarding OC San’s IT policies and guidelines: 1. A formal board-approved IT policy and IT guidelines exist, covering the following areas: a. User Access Management b. Program Change Management c. Disaster Recovery d. Incident Response e. Information Security However, not all the documents relating to the above are current or show evidence of their most recent review. 2. Although the Wireless/Electronic Communications/Acceptable Use of IT policy mentions the use of passwords within OC San, it does not define specific password settings in any written policy or guidelines document. Risk Rating: Low Risk Description: Without clear, formally documented, and approved policies and procedures, confusion may arise regarding the appropriate processes, controls, and procedures to be followed. The lack of uniform guidelines increases the risk of inconsistent application of control procedures across teams, particularly within the OC San’s critical IT processes. Orange County Sanitation District IT Governance Audit Report September 2025 6 Recommendations: 1. Conduct regular reviews of IT policies/guidelines (typically on an annual basis) and formally document the results and any updates to ensure they remain reflective of OC San’s IT practices. 2. Consider revisiting the scope of each policy/guideline to determine whether the following key IT processes are adequately covered: a. User Access Management (including password management) b. Program Change Management c. IT Risk Management d. Backup and Restoration e. Disaster Recovery Plan/Business Continuity Plan f. Incident Handling/Problem Management g. Information Security Policy (if separate from the above) Based on the above, existing policies/guidelines may be merged or new ones developed and clearly classified either as board-approved policies or IT team guidelines. Developing and maintaining comprehensive policies and guidelines for key IT areas is essential in ensuring consistent and efficient implementation of IT practices across OC San. Establishing a periodic review and approval process for IT policies and guidelines helps determine if these are reflective of current processes and remain relevant to address the evolving IT risk environment. In addition, by establishing a formal review and approval process for policies and procedures, control owners will have a higher sense of responsibility over compliance with established controls. OC San’s Response: An ITSM ticket will be created with an annual reoccurrence and assigned to the IT Manager to review the IT policies and guidelines. All policies and guidelines will have notations identifying the last date changed and reviewed. Where applicable, IT processes will be added and updated to the OC San Wireless Electronic Communications policy. New IT guidelines will be created to cover key IT processes. ***** This communication is intended solely for the information and use of OC San’s Management and Board of Directors and is not intended to be, and should not be, used by anyone other than these specified parties. Glendale, California September 15, 2025 www.vasquez.cpa 655 N Central Avenue, Suite 1550 • Glendale, California 91203-1437 • +1.213.873.1700 IT Governance Audit Results INTERNAL AUDIT SERVICES September 24, 2025 1 2IT Governance Risk Factors and Scope 3Audit Program Framework 4Audit Results Summary 5Observation 1 6Observation 2 7Observation 3 8Questions 9Contact Information /Table of Contents 2 Audit ScopeRisk Factors The following procedures were performed to assess the actions taken by Orange County Sanitation District (OC San) to address the identified IT Governance Risk Factors: a. Inspected Strategic Plans, IT Roadmaps, and Governance structures to confirm whether IT initiatives are prioritized and executed in alignment with business objectives. b. Assessed the design and effectiveness of established IT Policies and Procedures by testing control areas such as Access Management, Program Change Management, and IT Operations. c. Reviewed the processes for selecting, managing, and monitoring third-party vendors to ensure that due diligence is performed and that vendors are regularly evaluated. d. Reviewed OC San’s IT processes for continuously monitoring risks such as cybersecurity threats, compliance issues, and performance failures. In-scope Systems: JD Edwards, Active Directory, SentinelOne Covered Period: June 01, 2024 - May 31, 2025 Alignment with Business Goals Risk Management Change Management Information Security Technology Obsolescence Transparency and Accountability IT Vendor Management / IT GOVERNANCE RISK FACTORS AND SCOPE 3 Vasquez & Company (Vasquez) developed an IT Governance Audit work program to assess OC San's IT Governance and Risk Management Controls. Vasquez leveraged NIST Cybersecurity Framework 2.0 (CSF 2.0), which is structured around six core Functions: Govern, Identify, Protect, Detect, Respond, and Recover. The NIST CSF 2.0 served as the basis of our assessment, encompassing five (5) areas within the scope of the audit: 1. IT Governance and Risk Management 2. Program Change Management 3. User Access Management 4. IT Operations 5. Cyber and Physical Security / AUDIT PROGRAM FRAMEWORK 4 / AUDIT RESULTS SUMMARY DescriptionCategoryIT Process Observe Segregation of Duties Between Change Developers, Testers, and ImplementersMediumProgram Change Management Retain Evidence of Testing Procedures Performed Per Change RequestMedium Develop, Review, and Update IT Policies and GuidelinesLowIT Governance and Risk Management Based on the results of the procedures performed, the controls tested are operating effectively as designed,except for the following observations: Notes: •High – An observation of potential significance to the overall control environment; Affects multiple systems/components; Impact is pervasive; Requires the immediate attention of management to define a priority action plan for its resolution (within 3 months). •Medium – An observation of moderate significance to the overall control environment; Affects one system/component; Impact is not pervasive; Requires the near-term attention of management and an agreed program for its near-term resolution (6 months to 1 year). •Low – An efficiency or administrative observation of lesser significance; Does not warrant immediate attention; However, requires an agreed program for ultimate resolution,depending on the organization’s assessment. Based on our assessment, the identified deficiencies in OC San’s internal controls did not constitute significant deficiencies or material weaknesses. 5 1 /IT AUDIT OBSERVATIONS & RECOMMENDATIONS Observe Segregation of Duties Between Change Developers, Testers, and ImplementersDescription MediumCategoryProgram Change ManagementIT Process RisksObservations Lack of Segregation of Duties in the Change Management process increases the risk of having unauthorized, inadequate, or excessive changes implemented in Production due to fraud or errors. It was determined that code development, testing, and promotion of code to Production in the JD Edwards application were not segregated. Recommendations 1. If feasible, assign the functions of code development, testing, and promotion to Production to different personnel. 2. Implement pre-deployment or post-deployment checks to mitigate risks of unauthorized changes being deployed to Production. 6 2 /IT AUDIT OBSERVATIONS & RECOMMENDATIONS Retain Evidence of Testing Procedures Performed Per Change RequestDescription MediumCategoryProgram Change ManagementIT Process RisksObservations Missing key change information increases the risks of unverified deployment of changes to Production, potentially leading to higher costs, project delays, and security issues. Insufficient evidence was provided to support the following key testing details for four (4) sample change requests: a. Developer b. Date Submitted for Testing c. Actual Testing Date d. Tested By e. Testing Result Recommendations Retain evidence of development and testing procedures performed for each change request. If the information cannot be retained in the ticketing system, consider creating a separate repository. 7 3 /IT AUDIT OBSERVATIONS & RECOMMENDATIONS Develop, Review, and Update IT Policies and GuidelinesDescription LowCategoryIT Governance and Risk ManagementIT Process RisksObservations Lack of uniform guidelines increases the risk of inconsistent application of control procedures across teams, particularly within OC San’s critical IT processes. 1. Not all the IT Policies and Guidelines are current or show evidence of their most recent review 2. Specific password settings are not defined in any written policy or guideline Recommendations Review policies and guidelines periodically (typically annually) and document the results or any suggested changes to ensure they remain reflective of OC San’s IT practices. Part of the periodic review should include assessing the need to create new documentation, IT policies and guidelines, to address evolving IT risks. 8 / Questions Vasquez + Company LLP has over 55 years of experience in performing audit, accounting, and consulting services for all types of private companies, nonprofit organizations, and governmental entities. We are clients of the Aprio Professional Services+ Practice. As a client, we have access to the Professional Services+ Collaborative, a globally connected community that provides access to an ecosystem of capabilities, collaboration and camaraderie to help professional services firms grow and thrive in a rapidly changing business environment. As a participant in the PS+ Collaborative, we have the opportunity to interact and share best practices with other professional services firms across the U.S. and Canada. /Contact Information 9 www.vasquez.cpa Roger Martinez, CPA O: +1.213.873.1703 ram@vasquezcpa.com Arcely Peran, CPA O: +1.213.873.1731 aperan@vasquezcpa.com Jason Tagasa, CISA O: +1.213.873.1773 jtagasa@vasquezcpa.com 10 Thank you for your time and attention. STEERING COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4565 Agenda Date:10/22/2025 Agenda Item No:18. FROM:Robert Thompson, General Manager Originator: Mike Dorman, Director of Engineering SUBJECT: TRICKING FILTER MEDIA REPLACEMENT AT PLANT NO. 1, PROJECT NO. P1-142 GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Receive and file Bid Tabulation and Recommendation for Trickling Filter Media Replacement at Plant No. 1, Project No. P1-142; B. Award a Construction Contract Agreement to GSE Construction Company, Inc. for Trickling Filter Media Replacement at Plant No. 1, Project No. P1-142, for a total amount not to exceed $21,565,292; and C. Approve a contingency of $2,156,529 (10%). BACKGROUND Trickling Filter Nos.1 and 2 at Plant No.1 are part of Orange County Sanitation District’s (OC San’s) secondary treatment processes.This stage of the treatment uses naturally occurring microorganisms to break down and remove most of the organic material remaining in the wastewater after solids have been removed in primary treatment.These two filters were originally built in 2006 by Project No. P1-76, Trickling Filter Rehabilitation and New Clarifiers Plant No. 1. Each trickling filter is a large circular structure that stands 30 feet tall and measures 166 feet in diameter.Inside,they contain over 800,000 cubic feet of specially designed plastic media.The media creates a large surface area that supports the growth of beneficial microorganisms.As wastewater flows over a 20-foot-tall bed of this honeycombed media,these microorganisms grow on the surface and feed on the organic pollutants,helping to clean the water.On average,each of the trickling filters treat about 10 million gallons of wastewater per day,with the ability to handle approximately 30 million gallons a day during peak wet weather conditions. RELEVANT STANDARDS ·Comply with California Public Contract Code Section 20103.8,award construction contract to lowest responsive, responsible bidder ·Ensure the public’s money is wisely spent Orange County Sanitation District Printed on 10/14/2025Page 1 of 3 powered by Legistar™ File #:2025-4565 Agenda Date:10/22/2025 Agenda Item No:18. ·Sound engineering and accounting practices, complying with local, state, and federal laws ·Operate and maintain facilities to minimize impacts on surrounding communities,including odor, noise and lighting PROBLEM The trickling filter media has a life expectancy of 20-25 years.The media is nearly 20 years old and is showing signs that it is reaching the end of its useful life through reduction in removal efficiency and increased odor.Recent inspections performed inside of the vessels have identified areas where the protective liners have failed and need repair.Additionally,new drainage grating below the media is required to improve ventilation and water flow through the trickling filters. PROPOSED SOLUTION Award a Construction Contract Agreement to replace the trickling filter media,repair any damaged sections of the protective liners inside the trickling filters, and install new drainage grating. TIMING CONCERNS A future capital project will be rehabilitating Activated Sludge Facilities No.1,another portion of the secondary treatment process at Plant No.1.Work on the activated sludge facility cannot occur at the same time the trickling filters are offline for media replacement due to treatment capacity.Delaying this project could delay the start of the future project. RAMIFICATIONS OF NOT TAKING ACTION If the media remains in place beyond its expected service life,treatment performance will continue to decline,and odors are likely to persist or worsen.This could lead to potential operational challenges in meeting treatment goals and increased community complaints. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION OC San advertised Project No.P1-142 for bids on June 17,2025,and six sealed bids were received on July 29, 2025. A summary of the bid opening follows: Engineer’s Estimate $ 30,200,000 Bidder Amount of Bid Innovative Construction Solutions $ 19,972,000 Shimmick Construction Company, Inc.$ 20,019,620 GSE Construction Company, Inc.$ 21,565,292 Garney Pacific, Inc.$ 22,949,801 Steve P. Rados $ 24,840,000 Olsson Construction, Inc.$ 27,582,689Orange County Sanitation District Printed on 10/14/2025Page 2 of 3 powered by Legistar™ File #:2025-4565 Agenda Date:10/22/2025 Agenda Item No:18. Engineer’s Estimate $ 30,200,000BidderAmount of BidInnovative Construction Solutions $ 19,972,000 Shimmick Construction Company, Inc.$ 20,019,620 GSE Construction Company, Inc.$ 21,565,292 Garney Pacific, Inc.$ 22,949,801 Steve P. Rados $ 24,840,000 Olsson Construction, Inc.$ 27,582,689 The bids were evaluated in accordance with the OC San’s policies and procedures.A notice was sent to all bidders on October 2,2025,informing them of the intent of OC San staff to recommend award of the Construction Contract Agreement to GSE Construction Company,Inc.Both Innovative Construction Solutions and Shimmick Construction Company,Inc.were found to be non-responsive to the minimum solicitation requirements. Staff recommends awarding a Construction Contract Agreement to the lowest responsive and responsible bidder, GSE Construction Company, Inc., for a total amount not to exceed $21,565,292. CEQA The project is exempt from CEQA under the Class 1 categorical exemptions set forth in California Code of Regulations section 15301.A Notice of Exemption will be filed with the OC Clerk-Recorder and State Clearinghouse after the OC San Board of Directors approval of the Construction Contract Agreement. FINANCIAL CONSIDERATIONS This request complies with the authority levels of OC San’s Purchasing Ordinance.This item has been budgeted (Budget Update FY 2025-26,Page A-6,Trickling Filter Media Replacement at Plant No. 1, Project No. P1-142), 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: ·Construction Contract Agreement ·Presentation OP:lb Orange County Sanitation District Printed on 10/14/2025Page 3 of 3 powered by Legistar™ C-CA-030525 PART A CONTRACT AGREEMENT C-CA-030525 TABLE OF CONTENTS CONTRACT AGREEMENT SECTION – 1 GENERAL ............................................................................... 1 SECTION – 2 MATERIALS AND LABOR ...................................................... 4 SECTION – 3 PROJECT ................................................................................ 4 SECTION – 4 PLANS AND SPECIFICATIONS ............................................. 5 SECTION – 5 TIME OF COMMENCEMENT AND COMPLETION ................ 5 SECTION – 6 TIME IS OF THE ESSENCE ................................................... 5 SECTION – 7 EXCUSABLE DELAYS ............................................................ 6 SECTION – 8 EXTRA WORK ........................................................................ 6 SECTION – 9 CHANGES IN PROJECT ........................................................ 7 SECTION – 10 LIQUIDATED DAMAGES FOR DELAY ................................... 7 SECTION – 11 CONTRACT PRICE AND METHOD OF PAYMENT ............... 7 SECTION – 12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF FUNDS .............................................................................. 9 SECTION – 13 COMPLETION ......................................................................... 9 SECTION – 14 CONTRACTOR’S EMPLOYEES COMPENSATION ............. 10 SECTION – 15 SURETY BONDS .................................................................. 12 SECTION – 16 INSURANCE ......................................................................... 12 SECTION – 17 RISK AND INDEMNIFICATION ............................................. 21 SECTION – 18 TERMINATION ...................................................................... 21 SECTION – 19 WARRANTY .......................................................................... 21 SECTION – 20 ASSIGNMENT ....................................................................... 22 SECTION – 21 RESOLUTION OF DISPUTES .............................................. 22 SECTION – 22 SAFETY & HEALTH .............................................................. 23 SECTION – 23 CALIFORNIA VOLUNTARY PROTECTION PROGRAM ANNUAL REPORTING REQUIREMENT .............................. 23 SECTION – 24 HUMAN RESOURCES POLICIES ........................................ 23 SECTION – 25 NOTICES .............................................................................. 24 CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 1 of 25 CONTRACT AGREEMENT ORANGE COUNTY SANITATION DISTRICT PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 This CONTRACT AGREEMENT (Contract Agreement) is made and entered into, to be effective, this October 22, 2025, by and between GSE Construction Company, Inc., hereinafter referred to as “CONTRACTOR” and the Orange County Sanitation District, hereinafter referred to as “OC SAN”. WITNESSETH That for and in consideration of the promises and agreements hereinafter made and exchanged, OC SAN and CONTRACTOR agree as follows: SECTION – 1 GENERAL CONTRACTOR certifies and agrees that all the terms, conditions and obligations of the Contract Documents as hereinafter defined, the location of the job site, and the conditions under which the Work is to be performed have been thoroughly reviewed, and enters into this Contract based upon CONTRACTOR’s investigation of all such matters and is in no way relying upon any opinions or representations of OC SAN. It is agreed that this Contract represents the entire agreement. It is further agreed that the Contract Documents are each incorporated into this Contract by reference, with the same force and effect as if the same were set forth at length herein, and that CONTRACTOR and its Subcontractors, if any, will be and are bound by any and all of said Contract Documents insofar as they relate in any part or in any way, directly or indirectly, to the Work covered by this Contract. A. Contract Documents Order of Precedence “Contract Documents” refers to those documents identified in the definition of “Contract Documents” in the General Conditions, “Definitions”. C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 2 of 25 1. In the event of a conflict between one Contract Document and any of the other Contract Documents, the provisions in the document highest in precedence shall be controlling. The order of precedence of the Contract Documents is as follows: a. Supplemental Agreements – the last in time being the first in precedence b. Addenda issued prior to the date for submittal of Bids – the last in time being the first in precedence c. Contract Agreement d. Permits and other regulatory requirements e. Special Provisions f. General Conditions (GC) g. Notice Inviting Bids and Instruction to Bidders h. Geotechnical Baseline Report (GBR), if attached as a Contract Document i. Plans and Specifications – in these documents the order of precedence shall be: i. Specifications (Divisions 01-17) ii. Plans iii. General Requirements (GR) iv. Standard Drawings and Typical Details j. CONTRACTOR’s Bid 2. In the event of a conflict between terms within an individual Contract Document, the conflict shall be resolved by applying the following principles as appears applicable: a. Figured dimensions on the Contract Documents shall govern. Dimensions not specified shall be as directed by the ENGINEER. Details not shown or specified shall be the same as similar parts that are shown or specified, or as directed. Full-size details shall take precedence over scale Drawings as to CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 3 of 25 shape and details of construction. Specifications shall govern as to material and workmanship. b. The Contract Documents calling for the higher quality material or workmanship shall prevail. Materials or Work described in words, which so applied, have a well-known technical or trade meaning shall be deemed to refer to such recognized standards. In the event of any discrepancy between any Drawings and the figures thereon, the figures shall be taken as correct. c. Scale Drawings, full-size details, and Specifications are intended to be fully complementary and to agree. Should any discrepancy between Contract Documents come to the CONTRACTOR’s attention, or should an error occur in the efforts of others, which affect the Work, the CONTRACTOR shall notify the ENGINEER, in writing, at once. In the event any doubts or questions arise with respect to the true meaning of the Contract Documents, reference shall be made to the ENGINEER whose written decision shall be final. If the CONTRACTOR proceeds with the Work affected without written instructions from the ENGINEER, the CONTRACTOR shall be fully responsible for any resultant damage or defect. d. Anything mentioned in the Specifications and not indicated in the Plans, or indicated in the Plans and not mentioned in the Specifications, shall be of like effect as if indicated and mentioned in both. In case of discrepancy in the Plans or Specifications, the matter shall be immediately submitted to OC SAN’s ENGINEER, without whose decision CONTRACTOR shall not adjust said discrepancy save only at CONTRACTOR’s own risk and expense. The decision of the ENGINEER shall be final. C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 4 of 25 In all matters relating to the acceptability of material, machinery or plant equipment; classifications of material or Work; the proper execution, progress or sequence of the Work; and quantities interpretation of the Contract Documents, the decision of the ENGINEER shall be final and binding, and shall be a condition precedent to any payment under the Contract, unless otherwise ordered by the Board of Directors. B. Definitions Capitalized terms used in this Contract are defined in the General Conditions, “Definitions”. Additional terms may be defined in the Special Provisions. SECTION – 2 MATERIALS AND LABOR CONTRACTOR shall furnish, under the conditions expressed in the Plans and Specifications, at CONTRACTOR’S own expense, all labor and materials necessary, except such as are mentioned in the Specifications to be furnished by OC SAN, to construct and complete the Project, in good workmanlike and substantial order. If CONTRACTOR fails to pay for labor or materials when due, OC SAN may settle such claims by making demand upon the Surety to this Contract. In the event of the failure or refusal of the Surety to satisfy said claims, OC SAN may settle them directly and deduct the amount of payments from the Contract Price and any amounts due to CONTRACTOR. In the event OC SAN receives a stop payment notice from any laborer or material supplier alleging non-payment by CONTRACTOR, OC SAN shall be entitled to deduct all of its costs and expenses incurred relating thereto, including but not limited to administrative and legal fees. SECTION – 3 PROJECT The Project is described as: PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 5 of 25 SECTION – 4 PLANS AND SPECIFICATIONS The Work to be done is shown in a set of Plans and Specifications entitled: PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Said Plans and Specifications and any revision, amendments and addenda thereto are attached hereto and incorporated herein as part of this Contract and referred to by reference. SECTION – 5 TIME OF COMMENCEMENT AND COMPLETION CONTRACTOR agrees to commence the Project within 15 calendar days from the date set forth in the “Notice to Proceed” sent by OC SAN, unless otherwise specified therein and shall diligently prosecute the Work to completion within eight hundred forty-two (842) calendar days from the date of the “Notice to Proceed” issued by OC SAN, excluding delays caused or authorized by OC SAN as set forth in Sections 7, 8, and 9 hereof, and applicable provisions in the General Conditions. The time for completion includes fifteen (15) calendar days determined by OC SAN likely to be inclement weather when CONTRACTOR will be unable to work. In addition, CONTRACTOR shall accomplish such milestones within the periods of performance set forth in Appendix A of the Special Provisions entitled “Work Completion Schedule.” SECTION – 6 TIME IS OF THE ESSENCE Time is of the essence of this Contract. As required by the Contract Documents, CONTRACTOR shall prepare and obtain approval of all shop drawings, details and samples, and do all other things necessary and incidental to the prosecution of CONTRACTOR’s Work in conformance with an approved construction progress schedule. CONTRACTOR shall coordinate the Work covered by this Contract with that of all other contractors, subcontractors and of OC SAN, in a manner that will facilitate the efficient completion of the entire Work and accomplish the required milestone(s), if any, by the applicable deadline(s) in accordance with Section 5 herein. OC SAN shall have the right to assert complete control of the premises on C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 6 of 25 which the Work is to be performed and shall have the right to decide the time or order in which the various portions of the Work shall be installed or the priority of the work of subcontractors, and, in general, all matters representing the timely and orderly conduct of the Work of CONTRACTOR on the premises. SECTION – 7 EXCUSABLE DELAYS CONTRACTOR shall only be excused for any delay in the prosecution or completion of the Project as specifically provided in General Conditions, “Extension of Time for Delay”, and the General Requirements, “By CONTRACTOR or Others – Unknown Utilities during Contract Work”. Extensions of time and extra compensation arising from such excusable delays will be determined in accordance with the General Conditions, “Extension of Time for Delay” and “Contract Price Adjustments and Payments”, and extensions of time and extra compensation as a result of incurring undisclosed utilities will be determined in accordance with General Requirements, “By CONTRACTOR or Others – Unknown Utilities during Contract Work”. OC SAN’s decision will be conclusive on all parties to this Contract. SECTION – 8 EXTRA WORK The Contract Price as set forth in Section 11, includes compensation for all Work performed by CONTRACTOR, unless CONTRACTOR obtains a Change Order signed by a designated representative of OC SAN specifying the exact nature of the Extra Work and the amount of extra compensation to be paid all as more particularly set forth in Section 9 hereof and the General Conditions, “Request for Change (Changes at CONTRACTOR’s Request)”, “OWNER Initiated Changes”, and “Contract Price Adjustments and Payments”. In the event a Change Order is issued by OC SAN pursuant to the Contract Documents, OC SAN shall extend the time fixed in Section 5 for completion of the Project by the number of days, if any, reasonably required for CONTRACTOR to perform the Extra Work, as determined by OC SAN’s ENGINEER. The decision of the ENGINEER shall be final. CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 7 of 25 SECTION – 9 CHANGES IN PROJECT OC SAN may at any time, without notice to any Surety, by Change Order, make any changes in the Work within the general scope of the Contract Document, including but not limited to changes: 1. In the Specifications (including Drawings and designs); 2. In the time, method or manner of performance of the Work; 3. In OC SAN-furnished facilities, equipment, materials, services or site; or 4. Directing acceleration in the performance of the Work. No change of period of performance or Contract Price, or any other change in the Contract Documents, shall be binding until the Contract is modified by a fully executed Change Order. All Change Orders shall be issued in accordance with the requirements set forth in the General Conditions, “Request for Change (Changes at CONTRACTOR’s Request)” and “OWNER Initiated Changes”. SECTION – 10 LIQUIDATED DAMAGES FOR DELAY Liquidated Damages shall be payable in the amounts and upon the occurrence of such events or failure to meet such requirements or deadlines as provided in the Special Provisions, “Liquidated Damages and Incentives.” SECTION – 11 CONTRACT PRICE AND METHOD OF PAYMENT A. OC SAN agrees to pay and the CONTRACTOR agrees to accept as full consideration for the faithful performance of this Contract, subject to any additions or deductions as provided in approved Change Orders, the sum of Twenty-One Million Five Hundred Sixty- Five Thousand Two Hundred Ninety-Two Dollars ($21,565,292) as itemized on the attached Exhibit A. C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 8 of 25 Upon satisfaction of the conditions precedent to payment set forth in the General Requirements, Additional General Requirements, and General Conditions (including but not limited to Sections entitled “Mobilization Payment Requirements” and “Payment Itemized Breakdown of Contract Lump Sum Prices”), there shall be paid to the CONTRACTOR an initial Net Progress Payment for mobilization. OC SAN shall issue at the commencement of the job a schedule which shows: 1. A minimum of one payment to be made to the CONTRACTOR for each successive four (4) week period as the Work progresses, and 2. The due dates for the CONTRACTOR to submit requests for payment to meet the payment schedule. After the initial Net Progress Payment, and provided the CONTRACTOR submits the request for payment prior to the end of the day required to meet the payment schedule, the CONTRACTOR shall be paid a Net Progress Payment on the corresponding monthly payment date set forth in the schedule. Payments shall be made on demands drawn in the manner required by law, accompanied by a certificate signed by the ENGINEER, stating that the Work for which payment is demanded has been performed in accordance with the terms of the Contract Documents, and that the amount stated in the certificate is due under the terms of the Contract. Payment applications shall also be accompanied with all documentation, records, and releases as required by the Contract; Exhibit A, Schedule of Prices; and General Conditions, “Payment for Work – General”. The Total amount of Progress Payments shall not exceed the actual value of the Work completed as certified by OC SAN’s ENGINEER. The processing of payments shall not be considered as an acceptance of any part of the Work. CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 9 of 25 B. As used in this Section, the following defined terms shall have the following meanings: 1. “Net Progress Payment” means a sum equal to the Progress Payment less the Retention Amount and other qualified deductions (Liquidated Damages, stop payment notices, etc.). 2. “Progress Payment” means a sum equal to: a. the value of the actual Work completed since the commencement of the Work as determined by OC SAN; b. plus the value of material suitably stored at the worksite, treatment plant or approved storage yards subject to or under the control of OC SAN since the commencement of the Work as determined by OC SAN; c. less all previous Net Progress Payments; d. less all amounts of previously qualified deductions; e. less all amounts previously retained as Retention Amounts. 3. “Retention Amount” for each Progress Payment means the percentage of each Progress Payment to be retained by OC SAN to assure satisfactory completion of the Contract. The amount to be retained from each Progress Payment shall be determined as provided in the General Conditions, “Retained Funds; Substitution of Securities.” SECTION – 12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF FUNDS Pursuant to Public Contract Code Section 22300 et seq., the CONTRACTOR may, at its sole expense, substitute securities as provided in General Conditions, “Retained Funds; Substitution of Securities.” SECTION – 13 COMPLETION Final Completion and Final Acceptance shall occur at the time and in the manner specified in the General Conditions, “Final Acceptance and Final Completion”, “Final Payment”; and Exhibit A, Schedule of Prices. C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 10 of 25 Upon receipt of all documentation, records, and releases as required by the Contract from the CONTRACTOR, OC SAN shall proceed with the Final Acceptance as specified in General Conditions. SECTION – 14 CONTRACTOR’S EMPLOYEES COMPENSATION A. General Prevailing Rate: OC SAN has been advised by the State of California Director of Industrial Relations of its determination of the general prevailing rate of per diem wages and the general prevailing rate for legal holiday and overtime Work in the locality in which the Work is to be performed for each craft or type of Work needed to execute this Contract, and copies of the same are on file in the Office of the ENGINEER of OC SAN. The CONTRACTOR agrees that not less than said prevailing rates shall be paid to workers employed on this public works Contract as required by Labor Code Section 1774 of the State of California. Per California Labor Code 1773.2, OC SAN will have on file copies of the prevailing rate of per diem wages at its principal office and at each job site, which shall be made available to any interested party upon request. B. Forfeiture for Violation: CONTRACTOR shall, as a penalty to OC SAN, forfeit Two Hundred Dollars ($200.00) for each calendar day or portion thereof for each worker paid (either by the CONTRACTOR or any Subcontractor under it) less than the prevailing rate of per diem wages as set by the Director of Industrial Relations, in accordance with Sections 1770-1780 of the California Labor Code for the Work provided for in this Contract, all in accordance with Section 1775 of the Labor Code of the State of California. C. Apprentices: Sections 1777.5, 1777.6, 1777.7 of the Labor Code of the State of California, regarding the employment of apprentices are applicable to this Contract and the CONTRACTOR CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 11 of 25 shall comply therewith if the prime contract involves Thirty Thousand Dollars ($30,000.00) or more. D. Workday: In the performance of this Contract, not more than eight (8) hours shall constitute a day’s work, and the CONTRACTOR shall not require more than eight (8) hours of labor in a day from any person employed by him hereunder except as provided in paragraph (B) above. CONTRACTOR shall conform to Article 3, Chapter 1, Part 7 (Section 1810 et seq.) of the Labor Code of the State of California and shall forfeit to OC SAN as a penalty, the sum of Twenty-five Dollars ($25.00) for each worker employed in the execution of this Contract by CONTRACTOR or any Subcontractor for each calendar day during which any worker is required or permitted to labor more than eight (8) hours in any one calendar day and forty (40) hours in any one week in violation of said Article. CONTRACTOR shall keep an accurate record showing the name and actual hours worked each calendar day and each calendar week by each worker employed by CONTRACTOR in connection with the Project. E. Registration; Record of Wages; Inspection: CONTRACTOR shall comply with the registration requirements of Labor Code Section 1725.5. Pursuant to Labor Code Section 1771.4, the Work is subject to compliance monitoring by the California Department of Industrial Relations. CONTRACTOR shall maintain accurate payroll records and shall submit payroll records to the Labor Commissioner pursuant to Labor Code Section 1771.4(a)(3). Penalties for non-compliance with the requirements of Section 1776 may be deducted from progress payments per Section 1776. CONTRACTOR shall comply with the job site notices posting requirements established by the Labor Commissioner per Title 8, California Code of Regulations Section 16461(e). C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 12 of 25 SECTION – 15 SURETY BONDS CONTRACTOR shall, before entering upon the performance of this Contract, furnish Bonds approved by OC SAN’s General Counsel – one in the amount of one hundred percent (100%) of the Contract amount, to guarantee the faithful performance of the Work, and the other in the amount of one hundred percent (100%) of the Contract amount to guarantee payment of all claims for labor and materials furnished. As changes to the Contract occur via approved Change Orders, the CONTRACTOR shall assure that the amounts of the Bonds are adjusted to maintain 100% of the Contract Price. This Contract shall not become effective until such Bonds are supplied to and approved by OC SAN. Bonds must be issued by a Surety authorized by the State Insurance Commissioner to do business in California. The Performance Bond shall remain in full force and effect through the warranty period, as specified in Section 19 below. All Bonds required to be submitted relating to this Contract must comply with California Code of Civil Procedure Section 995.630. Each Bond shall be executed in the name of the Surety insurer under penalty of perjury, or the fact of execution of each Bond shall be duly acknowledged before an officer authorized to take and certify acknowledgments, and either one of the following conditions shall be satisfied: A. A copy of the transcript or record of the unrevoked appointment, power of attorney, by- laws, or other instrument, duly certified by the proper authority and attested by the seal of the insurer entitling or authorizing the person who executed the Bond to do so for and on behalf of the insurer, is on file in the Office of the County Clerk of the County of Orange; or B. A copy of a valid power of attorney is attached to the Bond. SECTION – 16 INSURANCE CONTRACTOR shall purchase and maintain, for the duration of the Contract, insurance against claims for injuries to persons, or damages to property which may arise from or in connection with the performance of the Work hereunder, and the results of that Work by CONTRACTOR, CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 13 of 25 its agents, representatives, employees, or Subcontractors, in amounts equal to the requirements set forth below. CONTRACTOR shall not commence Work under this Contract until all insurance required under this Section is obtained in a form acceptable to OC SAN, nor shall CONTRACTOR allow any Subcontractor to commence Work on a subcontract until all insurance required of the Subcontractor has been obtained. CONTRACTOR shall maintain all of the foregoing insurance coverages in force through the point at which the Work under this Contract is fully completed and accepted by OC SAN pursuant to the provisions of the General Conditions, “Final Acceptance and Final Completion”. Furthermore, CONTRACTOR shall maintain all of the foregoing insurance coverages in full force and effect throughout the warranty period, commencing on the date of Final Acceptance. The requirement for carrying the foregoing insurance shall not derogate from the provisions for indemnification of OC SAN by CONTRACTOR under Section 17 of this Contract. Notwithstanding nor diminishing the obligations of CONTRACTOR with respect to the foregoing, CONTRACTOR shall subscribe for and maintain in full force and effect during the life of this Contract, inclusive of all changes to the Contract Documents made in accordance with the provisions of the General Conditions, “Request for Change (Changes at CONTRACTOR’s Request)” and/or “OWNER Initiated Changes”, the following insurance in amounts not less than the amounts specified. OC SAN reserves the right to amend the required limits of insurance commensurate with the CONTRACTOR’s risk at any time during the course of the Project. No vehicles may enter OC SAN premises/worksite without possessing the required insurance coverage. CONTRACTOR’s insurance shall also comply with all insurance requirements prescribed by agencies from whom permits shall be obtained for the Work and any other third parties from whom third party agreements are necessary to perform the Work (collectively, the “Third Parties”). The Special Provisions may list such requirements and sample forms and requirements from such Third Parties may be included in an attachment to the General C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 14 of 25 Requirements. CONTRACTOR bears the responsibility to discover and comply with all requirements of Third Parties, including meeting specific insurance requirements, that are necessary for the complete performance of the Work. To the extent there is a conflict between the Third Parties’ insurance requirements and those set forth by OC SAN herein, the requirement(s) providing the more protective coverage for both OC SAN and the Third Parties shall control and be purchased and maintained by CONTRACTOR. If CONTRACTOR maintains higher limits than the minimums shown in this Section, OC SAN requires and shall be entitled to coverage for the higher limits maintained by the CONTRACTOR. Where permitted by law, CONTRACTOR hereby waives all rights of recovery by subrogation because of deductible clauses, inadequacy of limits of any insurance policy, limitations or exclusions of coverage, or any other reason against OC SAN, its or their officers, agents, or employees, and any other contractor or subcontractor performing Work or rendering services on behalf of OC SAN in connection with the planning, development and construction of the Project. In all its insurance coverages (except for Professional Liability/Errors and Omissions coverages, if applicable) related to the Work, CONTRACTOR shall include clauses providing that each insurer shall waive all of its rights of recovery by subrogation against OC SAN, its or their officers, agents, or employees, or any other contractor or subcontractor performing Work or rendering services at the Project. Where permitted by law, CONTRACTOR shall require similar written express waivers and insurance clauses from each of its Subcontractors of every tier. A waiver of subrogation shall be effective as to any individual or entity, even if such individual or entity (a) would otherwise have a duty of indemnification, contractual or otherwise, (b) did not pay the insurance premium, directly or indirectly, and (c) whether or not such individual or entity has an insurable interest in the property damaged. CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 15 of 25 A. Limits of Insurance 1. General Liability: Five Million Dollars ($5,000,000) per occurrence and a general aggregate limit of Ten Million Dollars ($10,000,000) for bodily injury, personal injury and property damage. If aggregate limits apply separately to this contract (as evidenced by submission of ISO form CG 25 03 or CG 25 04), then the aggregate limit may be equivalent to the per occurrence limit. Coverage shall include each of the following: a. Premises-Operations. b. Products and Completed Operations, with limits of at least Five Million Dollars ($5,000,000) per occurrence and a general aggregate limit of Ten Million Dollars ($10,000,000) which shall be in effect at all times during the warranty period set forth in the Warranty section herein, and as set forth in the General Conditions, “Warranty (CONTRACTOR’s Guarantee)”, plus any additional extension or continuation of time to said warranty period that may be required or authorized by said provisions. If aggregate limits apply separately to this contract (as evidenced by submission of ISO form CG 25 03 or CG 25 04), then the aggregate limit may be equivalent to the per occurrence limit. c. Broad Form Property Damage, expressly including damage arising out of explosion, collapse, or underground damage. d. Contractual Liability, expressly including the indemnity provisions assumed under this Contract. e. Separation of Insured Clause, providing that coverage applies separately to each insured, except with respect to the limits of liability. C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 16 of 25 f. Independent CONTRACTOR’s Liability. To the extent first dollar coverage, including defense of any claim, is not available to OC SAN or any other additional insured because of any SIR, deductible, or any other form of self insurance, CONTRACTOR is obligated to assume responsibility of insurer until the deductible, SIR or other condition of insurer assuming its defense and/or indemnity has been satisfied. CONTRACTOR shall be responsible to pay any deductible or SIR. g. If a crane will be used, the general liability insurance will be endorsed to add Riggers Liability coverage or its equivalent to cover the usage of the crane and exposures with regard to the crane operators, riggers and others involved in using the crane. h. If divers will be used, the general liability insurance will be endorsed to cover marine liability or its equivalent to cover the usage of divers. 2. Automobile Liability: The CONTRACTOR shall maintain a policy of automobile liability insurance on a comprehensive form covering all owned, non-owned, and hired automobiles, trucks, and other vehicles providing the following minimum limit of liability coverage: combined single limit of One Million Dollars ($1,000,000) for bodily injury, personal injury, and property damage. 3. Umbrella Excess Liability: The minimum limits of general liability and automobile liability insurance required, as set forth above, shall be provided for either in a single policy of primary insurance or a combination of policies of primary and umbrella excess coverage. Excess liability coverage shall be issued with limits of liability which, when combined with the primary insurance, will equal the minimum limits for general liability and automobile liability. CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 17 of 25 4. Drone Liability Insurance: If a drone will be used, drone liability insurance must be maintained by CONTRACTOR in the amount of One Million Dollars ($1,000,000) in a form acceptable to OC SAN. 5. Workers’ Compensation/Employer’s Liability: CONTRACTOR shall provide such workers’ compensation insurance as required by the Labor Code of the State of California, including employer’s liability with a minimum limit of One Million Dollars ($1,000,000) per accident for bodily injury or disease. If an exposure to Jones Act liability may exist, the insurance required herein shall include coverage with regard to Jones Act claims. B. Deductibles and Self-Insured Retentions Any deductibles or self-insured retentions must be declared to and approved by OC SAN. At the option of OC SAN, either: the Insurer shall reduce or eliminate such deductibles or self-insured retentions as respects OC SAN, its Directors, officers, agents, consultants, and employees; or CONTRACTOR shall provide a financial guarantee satisfactory to OC SAN guaranteeing payment of losses and related investigations, claim administration, and defense expenses. C. Other Insurance Provisions 1. Each such policy of general liability insurance and automobile liability insurance shall be endorsed to contain, the following provisions: a. OC SAN, its directors, officers, agents, consultants, and employees, and all public agencies from whom permits will be obtained, and their directors, officers, agents, and employees are hereby declared to be additional insureds under the terms of this policy, but only with respect to the operations of CONTRACTOR at or from any of the sites of OC SAN in connection with this C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 18 of 25 Contract, or acts and omissions of the additional insured in connection with its general supervision or inspection of said operations related to this Contract. b. Insurance afforded by the additional insured endorsement shall apply as primary insurance, and other insurance maintained by OC SAN shall be excess only and not contributing with insurance provided under this policy. 2. Cancellation and Policy Change Notice. The CONTRACTOR is required to notify OC SAN in writing of any insurance cancellation notice it receives or other knowledge of pending or actual insurance policy cancellation within two (2) working days of receipt of such notice or acquisition of such knowledge. Additionally, the CONTRACTOR is required to notify OC SAN in writing of any change in the terms of insurance, including reduction in coverage or increase in deductible/SIR, within two (2) working days of receipt of such notice or knowledge of same. Said notices shall be mailed to OC SAN at: ORANGE COUNTY SANITATION DISTRICT 18480 Bandilier Circle Fountain Valley, CA 92708 Attention: Contracts, Purchasing & Materials Management Division 3. Coverage shall not extend to any indemnity coverage for the active negligence of any additional insured in any case where an agreement to indemnify the additional insured would be invalid under California Civil Code Section 2782(b). 4. If required by a public agency from whom permit(s) will be obtained, each policy of general liability insurance and automobile liability insurance shall be endorsed to specify by name the public agency and its legislative members, officers, agents, consultants, and employees, to be additional insureds. CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 19 of 25 D. Acceptability of Insurers Insurers must have an “A-“, or better, Policyholder’s Rating, and a Financial Rating of at least Class VIII, or better, in accordance with the most current A.M. Best Rating Guide. OC SAN recognizes that State Compensation Insurance Fund has withdrawn from participation in the A.M. Best Rating Guide process. Nevertheless, OC SAN will accept State Compensation Insurance Fund for the required policy of worker’s compensation insurance, subject to OC SAN’s option, at any time during the term of this Contract, to require a change in insurer upon twenty (20) days written notice. Further, OC SAN will require CONTRACTOR to substitute any insurer whose rating drops below the levels herein specified. Said substitution shall occur within twenty (20) days of written notice to CONTRACTOR by OC SAN or its agent. E. Verification of Coverage CONTRACTOR shall furnish OC SAN with original certificates and mandatory endorsements affecting coverage. Said policies and endorsements shall conform to the requirements herein stated. All certificates and endorsements are to be received and approved by OC SAN before Work commences. OC SAN reserves the right to require complete, certified copies of all required insurance policies, including endorsements, affecting the coverage required by these Specifications at any time. F. Subcontractors CONTRACTOR shall be responsible to establish insurance requirements for any Subcontractors hired by CONTRACTOR. The insurance shall be in amounts and types reasonably sufficient to deal with the risk of loss involving the Subcontractor’s operations and work. OC SAN and any public agency issuing permits for the Project must be named as “Additional Insured” on any general liability or automobile liability policy obtained by a Subcontractor. The CONTRACTOR must obtain copies and maintain current versions of C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 20 of 25 all Subcontractors’ policies, certificate of liability and mandatory endorsements effecting coverage. Upon request, CONTRACTOR must furnish OC SAN with the above referenced required documents. G. Required Forms and Endorsements 1. Required ACORD Form a. Certificate of Liability ACORD Form 25 or other equivalent certificate of insurance form 2. Required Insurance Services Office, Inc. Endorsements (when alternative forms are shown, they are Iisted in order of preference) In the event any of the following forms are cancelled by Insurance Services Office, Inc. (ISO), or are updated, the ISO replacement form or equivalent must be supplied. a. Commercial General Liability Form CG 00 01 b. Additional Insured Including Form CG 20 10 and Products-Completed Operations Form CG 20 37 All other additional insured endorsements must be submitted for approval by OC SAN, and OC SAN may reject alternatives that provide different or less coverage to OC SAN. c. Waiver of Transfer of Rights of Form CG 24 04 Recovery Against Others to Us/ Waiver of Subrogation 3. Required State Compensation Insurance Fund Endorsements a. Waiver of Subrogation Submit workers’ compensation waiver of subrogation endorsement provided by carrier for OC SAN approval. b. Cancellation Notice No endorsement is required. However, CONTRACTOR is responsible for notifying OC SAN of any pending or actual insurance policy cancellation, as described in Article C.2., Cancellation and Policy Change Notice, above. CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 21 of 25 4. Additional Required Endorsements a. Notice of Policy Termination Manuscript Endorsement SECTION – 17 RISK AND INDEMNIFICATION All Work covered by this Contract done at the site of construction or in preparing or delivering materials to the site shall be at the risk of CONTRACTOR alone. CONTRACTOR shall save, indemnify, defend, and keep OC SAN and others harmless as more specifically set forth in General Conditions, “General Indemnification”. SECTION – 18 TERMINATION This Contract may be terminated in whole or in part in writing by OC SAN in the event of substantial failure by the CONTRACTOR to fulfill its obligations under this Contract Agreement, or it may be terminated by OC SAN for its convenience provided that such termination is effectuated in a manner and upon such conditions set forth more particularly in General Conditions, “Termination for Default” and/or “Termination for Convenience”, provided that no termination may be effected unless proper notice is provided to CONTRACTOR at the time and in the manner provided in said General Conditions. If termination for default or convenience is effected by OC SAN, an equitable adjustment in the price provided for in this Contract shall be made at the time and in the manner provided in the General Conditions, “Termination for Default” and “Termination for Convenience”. SECTION – 19 WARRANTY The CONTRACTOR agrees to perform all Work under this Contract in accordance with the Contract Documents, including OC SAN’s designs, Drawings and Specifications. The CONTRACTOR guarantees for a period of at least one (1) year from the date of Final Acceptance of the Work, pursuant to the General Conditions, “Final Acceptance and Final Completion” that the completed Work is free from all defects due to faulty materials, equipment C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 22 of 25 or workmanship and that it shall promptly make whatever adjustments or corrections which may be necessary to cure any defects, including repairs of any damage to other parts of the system resulting from such defects. OC SAN shall promptly give notice to the CONTRACTOR of observed defects. In the event that the CONTRACTOR fails to make adjustments, repairs, corrections or other work made necessary by such defects, OC SAN may do so and charge the CONTRACTOR the cost incurred. The CONTRACTOR’s warranty shall continue as to any corrected deficiency until the later of (1) the remainder of the original one-year warranty period; or (2) one year after acceptance by OC SAN of the corrected Work. The Performance Bond and the Payment Bond shall remain in full force and effect through the guarantee period. The CONTRACTOR’s obligations under this clause are in addition to the CONTRACTOR’s other express or implied assurances under this Contract, including but not limited to specific manufacturer or other extended warranties specified in the Plans and Specifications, or state law and in no way diminish any other rights that OC SAN may have against the CONTRACTOR for faulty materials, equipment or Work. SECTION – 20 ASSIGNMENT No assignment by the CONTRACTOR of this Contract or any part hereof, or of funds to be received hereunder, will be recognized by OC SAN unless such assignment has had prior written approval and consent of OC SAN and the Surety. SECTION – 21 RESOLUTION OF DISPUTES OC SAN and the CONTRACTOR shall comply with the provisions of California Public Contract Code Section 20104 et. seq., regarding resolution of construction claims for any Claims which arise between the CONTRACTOR and OC SAN, as well as all applicable dispute and Claims provisions as set forth in the General Conditions and as otherwise required by law. CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 23 of 25 SECTION – 22 SAFETY & HEALTH CONTRACTOR shall comply with all applicable safety and health requirements mandated by federal, state, city and/or public agency codes, permits, ordinances, regulations, and laws, as well as these Contract Documents, including but not limited to the General Requirements, Section entitled “Safety” and Exhibit B Contractor Safety Standards. OC SAN reserves the right to stop Work for violations of safety and health standards until the hazardous conditions are corrected. The right to stop Work includes the right to remove a contractor or its employees from the worksite. SECTION – 23 CALIFORNIA VOLUNTARY PROTECTION PROGRAM ANNUAL REPORTING REQUIREMENT If CONTRACTOR will potentially work 1,000 combined hours in a quarter, for the term of the Contract Agreement, CONTRACTOR shall provide an annual report detailing its safety and health information, including, but not limited to, its total number of employees, work hours, number of injuries and illnesses, and number of injury and illness cases involving days away from work, restricted work activity and/or job transfer. CONTRACTOR shall furnish this report to OC SAN no later than January 20th each calendar year. Failure to provide this data by the required due date may result in suspension of CONTRACTOR’s services with OC SAN. Any delay arising out of or resulting from such suspension shall be CONTRACTOR’s sole responsibility and considered CONTRACTOR caused delay, which shall not be compensable by OC SAN. SECTION – 24 HUMAN RESOURCES POLICIES CONTRACTOR and its Subcontractors shall comply with and ensure their employees adhere to OC SAN’s Human Resources Policies attached hereto as Exhibit C. C-CA-030525 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 24 of 25 SECTION – 25 NOTICES Any notice required or permitted under this Contract shall be served by personal delivery or by certified mail, return receipt requested, at the address set forth below. Unless specified elsewhere in the Contract Documents or otherwise required by law, any notice may alternatively be given by electronic telecommunication to the email address set forth below. Any party whose address changes shall notify the other party in writing. TO OC SAN: Orange County Sanitation District 18480 Bandilier Circle Fountain Valley, California 92708 Attn: Clerk of the Board ocsanclerk@ocsan.gov Copy to: Orange County Sanitation District 18480 Bandilier Circle Fountain Valley, California 92708 Attn: Construction Manager rcuellar@ocsan.gov Scott C. Smith Best Best & Krieger LLP 18101 Von Karman Avenue, Suite 1000 Irvine, California 92612 scott.smith@bbklaw.com TO CONTRACTOR: Dennis Gutierrez, President GSE Construction Company, Inc. 7633 Southfront Road, Suite 160 Livermore, CA 94551 estimating@gseconstruction.com CONFORMED C-CA-030525 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 25 of 25 IN WITNESS WHEREOF, the parties hereto have executed this Contract Agreement as the date first hereinabove written. CONTRACTOR: GSE Construction Company, Inc. 7633 Southfront Road, Suite 160 Livermore, CA 94551 By______________________________ Date _________________ ______________________________ Printed Name Its______________________________ CONTRACTOR’s State License No. 401498 (Expiration Date – 3/31/2027) OC SAN: Orange County Sanitation District By______________________________ Date _________________ Ryan P. Gallagher Board Chairman By______________________________ Date _________________ Kelly A. Lore Clerk of the Board By______________________________ Date _________________ Kevin Work Purchasing & Contracts Manager C-EXA-013025 EXHIBIT A SCHEDULE OF PRICES C-EXA-013025 TABLE OF CONTENTS EXHIBIT A SCHEDULE OF PRICES EXA-1 BASIS OF COMPENSATION ............................................................................. 1 EXA-2 PROGRESS PAYMENTS .................................................................................. 1 EXA-3 RETENTION AND ESCROW ACCOUNTS ........................................................ 1 EXA-4 STOP PAYMENT NOTICE ................................................................................. 3 EXA-5 PAYMENT TO SUBCONTRACTORS ................................................................ 3 EXA-6 PAYMENT OF TAXES ....................................................................................... 3 EXA-7 FINAL PAYMENT ............................................................................................... 4 EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT ... 6 ATTACHMENT 1 – CERTIFICATION FOR REQUEST FOR PAYMENT ......................... 7 ATTACHMENT 2 – SCHEDULE OF PRICES ................................................................... 8 CONFORMED C-EXA-013025 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 1 of 8 EXHIBIT A SCHEDULE OF PRICES EXA-1 BASIS OF COMPENSATION CONTRACTOR will be paid the Contract Price according to the Schedule of Prices, and all other applicable terms and conditions of the Contract Documents. EXA-2 PROGRESS PAYMENTS Progress payments will be made in accordance with all applicable terms and conditions of the Contract Documents, including, but not limited to: 1. Contract Agreement – Section 11 – “Contract Price and Method of Payment;” 2. General Conditions – “Payment – General”; 3. General Conditions – “Payment – Applications for Payment”; 4. General Conditions – “Payment – Mobilization Payment Requirements;” 5. General Conditions – “Payment – Itemized Breakdown of Contract Lump Sum Prices”; 6. General Conditions – "Contract Price Adjustments and Payments”; 7. General Conditions – “Suspension of Payments”; 8. General Conditions – “OC SAN’s Right to Withhold Certain Amounts and Make Application Thereof”; and 9. General Conditions – “Final Payment.” EXA-3 RETENTION AND ESCROW ACCOUNTS A. Retention: OC SAN shall retain a percentage of each progress payment to assure satisfactory completion of the Work. The amount to be retained from each progress payment shall be determined as provided in General Conditions – “Retained Funds; Substitution of Securities”. In all contracts between CONTRACTOR and its Subcontractors and/or Suppliers, the retention may not exceed the percentage specified in the Contract Documents. C-EXA-013025 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 2 of 8 B. Substitution of Securities: CONTRACTOR may, at its sole expense, substitute securities as provided in General Conditions – “Retained Funds; Substitution of Securities.” Payment of Escrow Agent: In lieu of substitution of securities as provided above, the CONTRACTOR may request and OC SAN shall make payment of retention earned directly to the escrow agent at the expense of the CONTRACTOR. At the expense of the CONTRACTOR, the CONTRACTOR may direct the investment of the payments into securities consistent with Government Code §16430 and the CONTRACTOR shall receive the interest earned on the investments upon the same terms provided for in this article for securities deposited by the CONTRACTOR. Upon satisfactory completion of the Contract, the CONTRACTOR shall receive from the escrow agent all securities, interest and payments received by the escrow agent from OC SAN, pursuant to the terms of this article. The CONTRACTOR shall pay to each Subcontractor, not later than twenty (20) calendar days after receipt of the payment, the respective amount of interest earned, net of costs attributed to retention withheld from each Subcontractor, on the amount of retention withheld to ensure the performance of the Subcontractor. The escrow agreement used by the escrow agent pursuant to this article shall be substantially similar to the form set forth in §22300 of the California Public Contract Code. C. Release of Retention: Upon Final Acceptance of the Work, the CONTRACTOR shall submit an invoice for release of retention in accordance with the terms of the Contract. D. Additional Deductibles: In addition to the retentions described above, OC SAN may deduct from each progress payment any or all of the following: 1. Liquidated Damages that have occurred as of the date of the application for progress payment; 2. Deductions from previous progress payments already paid, due to OC SAN’s discovery of deficiencies in the Work or non-compliance with the Specifications or any other requirement of the Contract; 3. Sums expended by OC SAN in performing any of the CONTRACTOR’S obligations under the Contract that the CONTRACTOR has failed to perform, and; 4. Other sums that OC SAN is entitled to recover from the CONTRACTOR under the terms of the Contract, including without limitation insurance deductibles and assessments. CONFORMED C-EXA-013025 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 3 of 8 The failure of OC SAN to deduct any of the above-identified sums from a progress payment shall not constitute a waiver of OC SAN’s right to such sums or to deduct them from a later progress payment. EXA-4 STOP PAYMENT NOTICE In addition to other amounts properly withheld under this article or under other provisions of the Contract, OC SAN shall retain from progress payments otherwise due the CONTRACTOR an amount equal to one hundred twenty-five percent (125%) of the amount claimed under any stop payment notice under Civil Code §9350 et. seq. or other lien filed against the CONTRACTOR for labor, materials, supplies, equipment, and any other thing of value claimed to have been furnished to and/or incorporated into the Work; or for any other alleged contribution thereto. In addition to the foregoing and in accordance with Civil Code §9358 OC SAN may also satisfy its duty to withhold funds for stop payment notices by refusing to release funds held in escrow pursuant to public receipt of a release of stop payment notice executed by a stop payment notice claimant, a stop payment notice release bond, an order of a court of competent jurisdiction, or other evidence satisfactory to OC SAN that the CONTRACTOR has resolved such claim by settlement. EXA-5 PAYMENT TO SUBCONTRACTORS Requirements 1. The CONTRACTOR shall pay all Subcontractors for and on account of Work performed by such Subcontractors, not later than seven (7) days after receipt of each progress payment as required by the California Business and Professions Code §7108.5. Such payments to Subcontractors shall be based on the measurements and estimates made pursuant to article progress payments provided herein. 2. Except as specifically provided by law, the CONTRACTOR shall pay all Subcontractors any and all retention due and owing for and on account of Work performed by such Subcontractors not later than seven (7) days after CONTRACTOR’S receipt of said retention proceeds from OC SAN as required by the California Public Contract Code §7107. EXA-6 PAYMENT OF TAXES Unless otherwise specifically provided in this Contract, the Contract Price includes full compensation to the CONTRACTOR for all taxes. The CONTRACTOR shall pay all federal, state, and local taxes, and duties applicable to and assessable against any Work, including but not limited to retail sales and use, transportation, export, import, business, and special taxes. The CONTRACTOR shall ascertain and pay the taxes when due. The CONTRACTOR will maintain auditable records, subject to OC SAN reviews, confirming that tax payments are current at all times. C-EXA-013025 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 4 of 8 EXA-7 FINAL PAYMENT After Final Acceptance of the Work, as more particularly set forth in the General Conditions, “Final Acceptance and Final Completion”; and after authorization by the General Manager of the final payment and satisfaction of the requirements as more particularly set forth in General Conditions – “Final Payment”, a final payment will be made as follows: 1. Prior to Final Acceptance, the CONTRACTOR shall prepare and submit an application for Final Payment to OC SAN, including: a. The proposed total amount due the CONTRACTOR, segregated by items on the payment schedule, amendments, Change Orders, and other bases for payment; b. Deductions for prior progress payments; c. Amounts retained; d. A conditional waiver and release on final payment for each Subcontractor (per Civil Code Section 8136); e. A conditional waiver and release on final payment on behalf of the CONTRACTOR (per Civil Code Section 8136); f. List of Claims the CONTRACTOR intends to file at that time or a statement that no Claims will be filed, g. List of pending unsettled claims, stating claimed amounts, and copies of any and all complaints and/or demands for arbitration received by the CONTRACTOR; and h. For each and every claim that resulted in litigation or arbitration which the CONTRACTOR has settled, a conformed copy of the Request for Dismissal with prejudice or other satisfactory evidence the arbitration is resolved. 2. The application for Final Payment shall include complete and legally effective releases or waivers of liens and stop payment notices satisfactory to OC SAN, arising out of or filed in connection with the Work. Prior progress payments shall be subject to correction in OC SAN’s review of the application for Final Payment. Claims filed with the application for Final Payment must be otherwise timely under the Contract and applicable law. 3. Within a reasonable time, OC SAN will review the CONTRACTOR’S application for Final Payment. Any recommended changes or corrections will then be forwarded to the CONTRACTOR. Within ten (10) calendar days after receipt of recommended changes from OC SAN, the CONTRACTOR will make the changes, or list Claims that will be filed as a result of the CONFORMED C-EXA-013025 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 5 of 8 changes, and shall submit the revised application for Final Payment. Upon acceptance by OC SAN, the revised application for Final Payment will become the approved application for Final Payment. 4. If no Claims have been filed with the initial or any revised application for Final Payment, and no Claims remain unsettled within thirty-five (35) calendar days after the date of recordation of the Notice of Completion by OC SAN, and agreements are reached on all issues regarding the application for Final Payment, OC SAN, in exchange for an executed release, satisfactory in form and substance to OC SAN, will pay the entire sum found due on the approved application for Final Payment, including the amount, if any, allowed on settled Claims. 5. The release from the CONTRACTOR shall be from any and all Claims arising under the Contract, except for Claims that with the concurrence of OC SAN are specifically reserved, and shall release and waive all unreserved Claims against OC SAN and its officers, directors, employees and authorized representatives. The release shall be accompanied by a certification by the CONTRACTOR that: a. It has resolved all Subcontractors, Suppliers and other Claims that are related to the settled Claims included in the Final Payment; b. It has no reason to believe that any party has a valid claim against the CONTRACTOR or OC SAN which has not been communicated in writing by the CONTRACTOR to OC SAN as of the date of the certificate; c. All warranties are in full force and effect, and; d. The releases and the warranties shall survive Final Payment. 6. If any claims remain open, OC SAN may make Final Payment subject to resolution of those claims. OC SAN may withhold from the Final Payment an amount not to exceed one hundred fifty percent (150%) of the sum of the amounts of the open claims, and one hundred twenty-five percent (125%) of the amounts of open stop payment notices referred to in article entitled Stop Payment Notice herein. 7. The CONTRACTOR shall provide an unconditional waiver and release on final payment from each Subcontractor and Supplier providing Work under the Contract (per Civil Code Section 8138) and an unconditional waiver and release on final payment on behalf of the CONTRACTOR (per Civil Code Section 8138) within thirty (30) days of receipt of Final Payment. C-EXA-013025 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 6 of 8 EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT Notwithstanding OC SAN’s acceptance of the application for Final Payment and irrespective of whether it is before or after Final Payment has been made, OC SAN shall not be precluded from subsequently showing that: 1. The true and correct amount payable for the Work is different from that previously accepted; 2. The previously accepted Work did not in fact conform to the Contract requirements, or; 3. A previous payment or portion thereof for Work was improperly made. OC SAN also shall not be stopped from demanding and recovering damages from the CONTRACTOR, as appropriate, under any of the foregoing circumstances as permitted under the Contract or applicable law. CONFORMED C-EXA-013025 PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 7 of 8 ATTACHMENT 1 – CERTIFICATION FOR REQUEST FOR PAYMENT I hereby certify under penalty of perjury as follows: That the claim for payment is in all respects true, correct; that the services mentioned herein were actually rendered and/or supplies delivered to OC SAN in accordance with the Contract. I understand that it is a violation of both the federal and California False Claims Acts to knowingly present or cause to be presented to OC SAN a false claim for payment or approval. A claim includes a demand or request for money. It is also a violation of the False Claims Acts to knowingly make use of a false record or statement to get a false claim paid. The term "knowingly" includes either actual knowledge of the information, deliberate ignorance of the truth or falsity of the information, or reckless disregard for the truth or falsity of the information. Proof of specific intent to defraud is not necessary under the False Claims Acts. I understand that the penalties under the Federal False Claims Act and State of California False Claims Act are non-exclusive, and are in addition to any other remedies which OC SAN may have either under contract or law. I hereby further certify, to the best of my knowledge and belief, that: 1. The amounts requested are only for performance in accordance with the Specifications, terms, and conditions of the Contract; 2. Payments to Subcontractors and Suppliers have been made from previous payments received under the Contract, and timely payments will be made from the proceeds of the payment covered by this certification; 3. This request for progress payments does not include any amounts which the prime CONTRACTOR intends to withhold or retain from a Subcontractor or Supplier in accordance with the terms and conditions of the subcontract; and 4. This certification is not to be construed as Final Acceptance of a Subcontractor’s performance. _________________________________________ Name _________________________________________ Title _________________________________________ Date C-EXA-013025 CONFORMED PROJECT NO. P1-142 TRICKLING FILTER MEDIA REPLACEMENT AT PLANT NO. 1 Page 8 of 8 ATTACHMENT 2 – SCHEDULE OF PRICES See next pages from the Bid Submittal Forms (GSE Construction Company, Inc.) BF-14 Schedule of Prices, Pages 1-3 10/14/2025 1 Trickling Filter Media Replacement at Plant No. 1, Project No. P1-142 Presented by: Mike Dorman Director of Engineering Steering Committee October 22, 2025 Project Location: Plant No. 1 2 1 2 10/14/2025 2 Secondary Treatment: Trickling Filters 3 166’ Rotary Distributor Arm Grating Media Liner/Coating Media Support New Grating New Media Wetting System Age and wear Clogging and uneven flow Reduced performance Poor air flow and odor complaints Coating and concrete liner failure Reasons for the Project 4 3 4 10/14/2025 3 Media Replacement 5 •Nearly 10 Olympic swimming pools of media •New media wetting system Example of media Media Installation at Plant No. 2 Coating Repair 6 5 6 10/14/2025 4 Liner Repair 7 8 Engineer’s Estimate: $30,200,000 Bid Results Amount of BidBidder $ 19,972,000Innovative Construction Solutions $ 20,019,620Shimmick Construction Company, Inc. $ 21,565,292GSE Construction Company, Inc. $ 22,949,801Garney Pacific, Inc. $ 24,840,000Steve P. Rados $ 27,582,689Olsson Construction, Inc. * Lowest, responsible, responsive bidder * 7 8 10/14/2025 5 9 Recommend to the Board of Directors to: A. Receive and file Bid Tabulation and Recommendation for Trickling Filter Media Replacement at Plant No. 1, Project No. P1-142; B. Award a Construction Contract Agreement to GSE Construction Company, Inc. for Trickling Filter Media Replacement at Plant No. 1, Project No. P1-142, for a total amount not to exceed $21,565,292; and C. Approve a contingency of $2,156,529 (10%). Recommendation Questions? 10 9 10 STEERING COMMITTEE Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4573 Agenda Date:10/22/2025 Agenda Item No:19. FROM:Robert Thompson, General Manager Originator: Lorenzo Tyner, Assistant General Manager SUBJECT: PROPERTY ACQUISITION FOR 18250 EUCLID STREET, FOUNTAIN VALLEY, CA GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: A. Approve a Standard Offer, Agreement, and Escrow Instructions for Purchase of Real Estate (Purchase Agreement) with Rexford Industrial Realty L.P. for Property at 18250 Euclid Street, Fountain Valley, APN No. 156-171-4, in a form approved by General Counsel, for $26,710,000; and B. Authorize the General Manager and General Counsel to execute the following: 1. Preliminary Title Report Consistent with the Standard Offer, Agreement, and Escrow Instructions; 2. Title Approval Letter; 3. Deeds and other evidence of title to the parcels of property that are the subject of the Purchase Agreement; 4. Preliminary Change of Ownership Report; 5. Acceptance of the Grant Deed to certain real property from Rexford Industrial Realty, L.P; 6. Approved Estimated Closing costs; 7. Seller’s Mandatory Disclosure Statement acknowledging receipt of this document; 8. Property Information Sheet acknowledging receipt of this document; 9. Natural Hazard Disclosure Report acknowledging receipt of this document; and 10. Any and all other instruments related to the transaction. BACKGROUND The Orange County Sanitation District (OC San)has been actively pursuing opportunities to acquire additional real estate near Plant No.1 to support future operational needs,specifically additional warehousing space.Recent supply chain issues and increased lead time for critical space parts have resulted in the need for additional warehouse space.In February 2022,OC San staff sent prospecting letters to property owners in the surrounding area-covering properties that were for sale, for lease, or not currently on the market-to gauge interest in potential sales. Initial negotiations took place with the owner of 10700 Spencer Street;however,those discussions Orange County Sanitation District Printed on 10/15/2025Page 1 of 3 powered by Legistar™ File #:2025-4573 Agenda Date:10/22/2025 Agenda Item No:19. Initial negotiations took place with the owner of 10700 Spencer Street;however,those discussions have since concluded.As part of ongoing outreach,OC San inquired about a nearby property that was listed for lease.While that specific lease opportunity was not pursued,the listing broker representing the lease property contacted OC San regarding another nearby parcel.OC San learned that the owners of this third property-referred to here as the subject property-were open to selling due to changes in their portfolio strategy. OC San staff provided an update during a closed-session Board meeting in August regarding the concluded negotiations for 10700 Spencer Street and requested authorization to initiate negotiations for a new potential property located at 18250 Euclid Street.The Board authorized staff to enter into negotiations with the property owner within a provided not-to-exceed amount. On September 12,2025,OC San submitted an unsolicited Letter of Intent (LOI)for the subject property.The owner responded with a counter offer on September 25,2025.Negotiations have concluded and an agreement has been reached for the purchase of the property for $26,710,000, which is within the not-to-exceed amount authorized by the Board. RELEVANT STANDARDS ·1, 5, 20 year planning horizons ·24/7/365 treatment plant reliability PROBLEM OC San is real estate limited in its current and future operations.There is a need for additional space for construction and new treatment process areas to replace end-of-life facilities and provide treatment facilities for new regulatory requirements. PROPOSED SOLUTION Approve the acquisition of the property at 18250 Euclid Street, Fountain Valley, CA TIMING CONCERNS N/A RAMIFICATIONS OF NOT TAKING ACTION N/A PRIOR COMMITTEE/BOARD ACTIONS August 2025 -Staff presented in closed session at the Steering Committee and Board meetings regarding real property negotiations for 18250 Euclid Street,Fountain Valley,CA -APN No.156-171- 41. Orange County Sanitation District Printed on 10/15/2025Page 2 of 3 powered by Legistar™ File #:2025-4573 Agenda Date:10/22/2025 Agenda Item No:19. ADDITIONAL INFORMATION N/A CEQA OC San will perform all environmental reviews required under the California Environmental Quality Act before the close of escrow. FINANCIAL CONSIDERATIONS This request complies with authority levels of OC San’s Purchasing Ordinance and is within the Board authorization given in August 2025.This item has been budgeted (Budget Update FY 2025-26, Page A-17) 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: ·Letter of Intent ·Draft Purchase and Sale Agreement Orange County Sanitation District Printed on 10/16/2025Page 3 of 3 powered by Legistar™ Docusign Envelope ID: 4181996E-862C-4AB2-9D07-B8417E0EA98D Docusign Envelope ID: 4181996E-862C-4AB2-9D07-B8417E0EA98D Docusign Envelope ID: 4181996E-862C-4AB2-9D07-B8417E0EA98D John Nahas Oct 14, 2025 | 1:24 PM PDT Docusign Envelope ID: 4181996E-862C-4AB2-9D07-B8417E0EA98D 11620 Wilshire Boulevard, 10th Floor Los Angeles, California 90025 P 310.966.1680 | F 310.966.1690 www.rexfordindustrial.com October 10, 2025 Mr. Wade Tift JLL 17877 Von Karaman Ave. Ste. 500 Irvine, CA 92614 Re: 18250 Euclid St., Fountain Valley, CA 92708 Dear Wade: Thank you for your offer to purchase 18250 Euclid St. in Fountain Valley, California (“Property”). The Property is comprised of an approximately 62,838 square foot building on approximately 3.54 acres of land. The following in this letter (“Letter”) outlines the general terms and conditions under which REXFORD INDUSTRIAL REALTY L.P. (“Seller”) may sell the above referenced Property to ORANGE COUNTY SANITATION DISTRICT (“Buyer”): 1.PURCHASE PRICE: The total purchase price payable from Buyer to Seller for the Property shall beTwenty-Six Million Seven Hundred Ten Thousand Dollars ($26,710,000) (“Purchase Price”). ThePurchase Price shall be paid on an all-cash basis upon the close of escrow. 2.DEPOSIT: A deposit of Eight Hundred Thousand Dollars ($800,000) (the “Initial Deposit”) will be placed in escrow with the Escrow Holder (defined below) within two (2) business days following theexecution of the Purchase and Sale Agreement (defined below) and shall be refundable until the expirationof the due diligence period. Following the expiration of the Due Diligence Period, the Initial Deposit shallbecome non-refundable and shall be applied to the Purchase Price subject to the terms and conditions of the Purchase and Sale Agreement or released to Seller if the Buyer fails to complete this transaction as intended. 3.PURCHASE & SALE AGREEMENT: Buyer and Seller shall expeditiously work toward entering into apurchase and sale agreement with respect to the transaction contemplated hereby (“Purchase and SaleAgreement”) within ten (10) business days. The form of Purchase and Sale Agreement is to be provided bySeller. 4.DUE DILIGENCE PERIOD: a. The due diligence period for Buyer's review of the Property shall commence upon the signing ofthe Access Agreement described below, provided Buyer has executed and delivered this Letter to Seller prior to the expiration of this Letter, and end at 5:00 pm Pacific Time forty-five (45) days thereafter (“Due Diligence Period”). Buyer shall have the right to terminate the Purchase and Sale Agreement for any reason or no reason whatsoever during the Due Diligence Period. Upon mutual execution of this Letter and Seller’s form of Standard Confidentiality and Nondisclosure Agreement, Seller shall deliver to Buyer the following items requested by Buyer to the extent that they are in Seller’s possession and without representation or warranty (“Due Diligence Materials”): leases, operating statements for the current year and prior year, Seller’s existing survey, if any, building plans, and other non-confidential items reasonably requested by Buyer that may be in Seller’s possession. If Buyer does not execute a Purchase and Sale Agreement for any reason or no reason whatsoever, then Buyer agrees to promptly destroy all such documents provided by Seller. b. Buyer shall be entitled to a limited one-time extension of the Due Diligence Period for thirty (30) additional days solely for the purpose of completing its environmental due diligence provided that: (1) Buyer has waived all other due diligence contingencies; (2) a commercially reasonable condition or issue arises which reasonably warrants further investigation; (3) Buyer and Seller has mutually agreed upon the scope and parameters of any intrusive testing on the Property; and (4) Buyer provides written notice to Seller of its intent to extend the Due Diligence Period no later than five (5) business days prior to the expiration of the Due Diligence Period, which written notice shall specify the nature of the issue requiring additional review. c. Prior to accessing the Property, Buyer shall execute and deliver to Seller an access agreement on the form which Seller has delivered to Buyer contemporaneously with this Letter (the “Access Agreement”). The scope of Buyer’s inspection shall be as set forth in such Access Agreement and the Purchase and Sale Agreement. 5. CLOSE OF ESCROW: The purchase shall close on the date that is fifteen (15) days following expiration of the Due Diligence Period; however, Seller, in Seller’s sole discretion, shall have the one-time right to extend Closing for a period up to sixty (60) days, provided that written notice of such extension is delivered to Buyer no later than five (5) days prior to the original Closing date. During the extended Closing period, Seller may then accelerate the Closing upon written notice to Buyer, at which time Buyer shall be required to close within fifteen (15) days upon receipt of such written notice to accelerate Closing. 6. AS-IS SALE: The Property shall be sold “As-Is, Where-Is.” Seller will not provide any representations or warranties regarding the physical, environmental, legal or other condition of the Property, or the Due Diligence Materials. The parties shall include customary representations and warranties in the Purchase and Sale Agreement, including, Seller’s authority to sell the property and no knowledge of any pending lawsuits or eminent domain proceedings. 7. MAINTENANCE: Until the close of escrow, Seller shall maintain the Property in substantially the same condition as exists on the date of the Agreement, including maintenance of insurance, leases and service contracts. During the Due Diligence Period, Seller may enter into agreements affecting the Property; however, Seller shall not enter into any new leases, nor may Seller amend the existing lease to either extend the term of the lease or reduce any monetary obligations of the tenant without Buyer’s prior written consent. Upon expiration of the Due Diligence Period, the Buyer shall not enter into any new leases, service contracts or other agreements that would obligate the owner of the Property beyond the close of escrow, except with Buyer’s consent, not to be unreasonably withheld. 8. ESTOPPEL THRESHOLD: Seller shall use commercially reasonable efforts to cause the single, occupying tenant to provide a tenant estoppel in accordance with its lease obligations, the receipt of such estoppel by Buyer shall be a contingency to Closing. 9. ESCROW/TITLE: The escrow company shall be Chicago Title Company, Los Angeles, Attention: Michael Slinger, 725 South Figueroa Street, Suite 200, Los Angeles, California 90017 (Telephone: (213) 612-4131; E-Mail: mike.slinger@ctt.com) (“Escrow Holder”) and the title company shall be Chicago Title Company, Attention: Michael Slinger, 725 South Figueroa Street, Suite 200, Los Angeles, California 90017 (Telephone: (213) 612-4131; E-Mail: mike.slinger@ctt.com). Seller shall provide a CLTA policy, and Buyer shall pay for any applicable update or premium for ALTA insurance to the extent that premium exceeds the premium cost of a CLTA policy of title insurance. 10. CLOSING COSTS: Buyer shall be responsible for its own legal fees, costs of any and all inspections or reports it obtains, the title insurance premium associated with any extended coverage (including, without limitation, endorsements) and one-half of the escrow fee. Seller shall be responsible for its own legal fees, standard owner’s title insurance policy, documentary transfer tax, real estate commission per paragraph 10 below and one half of the escrow fee. Current income and expenses, taxes and assessments shall be prorated as of the date of closing. Rents shall be prorated as current at close of escrow. All other costs will be allocated between Buyer and Seller in accordance with the customary practice in the County of Orange. 11. BROKERAGE COMMISSION: Buyer and Seller represent and warrant to each other that no brokerage commission, finder’s fee, or other compensation is due or payable with respect to the transaction contemplated hereby other than commissions to be paid by Seller to JLL under a separate agreement. 12. NON-BINDING/SUBJECT TO SELLER APPROVAL: Buyer and Seller acknowledge that, except for Section 4 (Due Diligence Period) and Section 13 (Confidentiality) below, this proposal is non-binding and is merely intended as the basis for negotiating a transaction for the Property. Following the mutual execution of this document, the business points of this proposal shall be incorporated into a Purchase and Sale Agreement and only a mutually executed Purchase and Sale Agreement shall be deemed binding on either party. Either party may terminate these discussions for any reason or no reason. Execution of this document shall not imply a duty to negotiate in good faith or to negotiate at all. Each party shall bear their respective costs of negotiation. 13. CONFIDENTIALITY: Except as required by law, the terms of this Letter and the proposed transaction shall be kept strictly confidential by both parties; provided, however, that either party may disclose such terms to its employees, officers, shareholders, financial advisors, consultants, partners, affiliates, lenders and attorneys who need to know such terms for purposes of evaluating the proposed transaction. 14. 1031 EXCHANGE: The parties agree to reasonably cooperate with each other in the event either or both parties wish to affect the purchase and/or sale of the Property through a tax‐deferred (Section 1031) exchange, provided that such exchange shall not modify the parties’ liabilities or obligations under the Purchase and Sale Agreement. We appreciate the written acknowledgment of your acceptance of the terms of this Letter by 5:00 pm PST on Friday, October 17, 2025 (“Acceptance Deadline”), after which time this offer shall automatically expire. If the terms of this proposal are acceptable to you, kindly sign a copy of this letter and return it to the undersigned prior to the Acceptance Deadline. Sincerely, SELLER: REXFORD INDUSTRIAL REALTY L.P. a Maryland limited partnership By: REXFORD INDUSTRIAL REALTY, INC., a Maryland corporation, Its General Partner By: __________________________________ John Nahas Managing Director, Asset Management ACCEPTED & AGREED TO: BUYER: ORANGE COUNTY SANITATION DISTRICT By: _____________________ Name: ___________________ Title: ____________________ Date:__________________ 74116-27042/5883016.2 i PURCHASE AND SALE AGREEMENT (18250 Euclid Street, Fountain Valley California) BASIC TERMS Seller: Rexford Industrial Realty, L.P., a Maryland limited partnership Notice Address: Copy to: Rexford Industrial Realty, L.P. 11620 Wilshire Boulevard, Suite 1000 Los Angeles, California 90025 Attention: Jeffrey Yang, SVP, Legal Facsimile: (310) 966-1690 Email: jyang@rexfordindustrial.com Greenberg Glusker Fields Claman & Machtinger, LLP 2049 Century Park East, Ste 2600 Los Angeles, California 90067 Attention: Kenneth S. Fields, Esq. Facsimile: (310) 201-2376 Email: kfields@ggfirm.com Buyer: ORANGE COUNTY SANITATION DISTRICT a sanitation district organized and existing under the County Sanitation District Act, Health & Safety Code §§ 4700 et seq. Notice Address: Orange County Sanitation District 18480 Bandilier Circle Fountain Valley, CA 92708 Attention: Jessica E. Frazier Facsimile: Email: Escrow Holder: Chicago Title Company Notice Address: Chicago Title Company 725 S. Figueroa Street, Suite 200 Los Angeles, California 90017 Attention: Mike Slinger Facsimile: (213) 612-4133 Email: mike.slinger@ctt.com Broker(s): JLL (Wade Tift), on behalf of Buyer. Seller is not represented by a broker or agent. Purchase Price: $26,710,000.00 Deposit: $800,000.00 Inspection Deadline: 5:00 p.m. Pacific Time on the date that is forty-five (45) days after the Effective Date (as defined below), subject to Buyer’s right to extend as set forth in Section 4.B(2) below. Closing Date: The date that is fifteen (15) days after the Inspection Deadline, subject to Seller’s right to extend as set forth in Section 5 below. Dr a f t 74116-27042/5883016.2 1 PURCHASE AND SALE AGREEMENT THIS PURCHASE AND SALE AGREEMENT (this “Agreement”) is made and entered into by and between Buyer and Seller and is dated for reference purposes as of October ____, 2025, but shall be effective as of the last date set forth below the signatures of Buyer and Seller below, or if blank, then as of the date set forth in this sentence immediately above (such date, the “Effective Date”). R E C I T A L S A.Buyer desires to purchase the Property (as defined below) from Seller, and Seller desires to sell theProperty to Buyer, on the terms and conditions set forth herein. NOW, THEREFORE, in consideration of the mutual undertakings of the parties hereto and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, it is hereby agreed as follows: 1.Basic Terms. The Basic Terms set forth above are incorporated hereby. In the event of any conflictbetween the Basic Terms and the terms herein, the Basic Terms shall control. The term “Agreement” includes the Basic Terms and the terms herein. 2.Purchase and Sale. Seller shall sell to Buyer, and Buyer shall purchase from Seller, the Propertyupon the terms, covenants and conditions hereinafter set forth. As used herein, “Property” means collectively all of Seller’s right, title and interest, if any, in and to (a) the land described in Exhibit “A” attached hereto (the “Land”), located in the City of Fountain Valley, County of Orange, State of California, (b) all easements, interests in roadways, strips and other rights appurtenant to the Land, (c) all buildings (including, without limitation, the building commonly known as 18250 Euclid Street, Fountain Valley, California), improvements, structures, hardscaping, parking areas, fixtures and related amenities located upon the Land (collectively, the “Improvements”; together with the Land, the “Project”), (d) any and all tangible personal property (including, without limitation, any and all equipment) now or on the Closing Date located on and used in connection with the Project (collectively, the “Personal Property”), and (e)to the extent they are in effect on the Closing Date and can be assigned without the need for any consent from any third party or payment of any fees in connection therewith, any and all intangible property pertaining to the Project or Personal Property, including, without limitation, governmental permits, licenses, development rights, entitlements, approvals,warranties, guarantees, plans, specifications, advertising materials, the lease set forth in Exhibit “B” attached hereto,as well as those leases entered into as expressly permitted herein (individually, a “Lease” and collectively, the“Leases”) and the Assumed Contracts (as defined below) (collectively, the “Intangible Property”). Notwithstandinganything herein or in any document executed at Closing (as defined below) to the contrary, the Property shall notinclude any (i) cash on hand or on deposit in any operating account, (ii) fixtures, personal property, equipment, artwork, trademarks or other intellectual property or other assets that are owned or leased by a supplier, vendor ortenant or leased by Seller, (iii) insurance claims arising out of or related to events that occur prior to Closing, subjectto the casualty provision set forth below, (iv) claims against former tenants or occupants of the Project, (v) proprietarymaterials, internal books and records of Seller, tradenames, service marks, domain names, logos or other identifiersrelating to Seller, “Rexford Industrial” or any affiliates or variations thereof, and/or (vi) computers and/or software ofSeller or any equipment or furniture of Seller in any onsite management office (collectively, the “Excluded Assets”). 3.Payment of Purchase Price. The Purchase Price shall be paid by Buyer to Seller as follows: A.Escrow Deposit. Upon the mutual execution and delivery of this Agreement, Buyer andSeller shall open escrow with Escrow Holder and shall cause Escrow Holder to execute and deliver Escrow Holder’s signature to this Agreement to Buyer and Seller. Within one (1) business day after the mutual execution and delivery of this Agreement to Escrow Holder and Escrow Holder’s acceptance hereof, Buyer shall deliver the Deposit to Escrow Holder by wire of immediately available funds or by bank or cashier’s check drawn on a national or regional bank. Notwithstanding anything to the contrary, the parties acknowledge and agree that $100.00 of the Deposit shall be retained by Seller as full and satisfactory independent consideration for Seller’s agreement to enter into this Agreement and be bound by the terms hereof, which amount shall be credited against the Purchase Price at Closing. The Deposit, together with all interest earned thereon while being held by Escrow Holder is hereinafter referred to as the “Escrow Deposit”. The Escrow Deposit shall be held by Escrow Holder as a deposit against the Purchase Price in accordance with the terms and provisions of this Agreement. At all times that Escrow Holder is holding the Escrow Dr a f t 74116-27042/5883016.2 2 Deposit, Escrow Holder shall invest the same in an interest-bearing, federally insured account. Effective upon the occurrence of the Inspection Deadline, unless Buyer timely delivers the Termination Notice (as defined in Section 4.B(2) below) as provided herein, the Escrow Deposit shall become non-refundable to Buyer, except as expressly stated herein to the contrary. B. Closing Payment. The Purchase Price, as adjusted by the application of the Escrow Deposit and by the prorations and credits specified herein, shall be paid by wire of immediately available funds as provided herein (the amount to be paid under this Section being herein called the “Closing Payment”). C. LIQUIDATED DAMAGES; DISPOSITION OF ESCROW DEPOSIT. IF THE CLOSING DOES NOT OCCUR FOR ANY REASON OTHER THAN THE FAILURE OF THE CONDITIONS BENEFITTING BUYER UNDER SECTION 4 HEREOF OR THE TERMINATION OF THIS AGREEMENT IN ACCORDANCE WITH SECTION 8 AND/OR SECTION 9.A BELOW, THEN THE ESCROW DEPOSIT SHALL BE DELIVERED TO SELLER AS FULL COMPENSATION AND LIQUIDATED DAMAGES UNDER THIS AGREEMENT. THE PARTIES AGREE THAT IT WOULD BE IMPRACTICAL AND EXTREMELY DIFFICULT TO ESTIMATE THE DAMAGES WHICH SELLER MAY SUFFER AND THAT A REASONABLE ESTIMATE OF THE TOTAL NET DETRIMENT THAT SELLER WOULD SUFFER IN SUCH EVENT IS AND SHALL BE THE RIGHT TO RETAIN THE ESCROW DEPOSIT AS LIQUIDATED DAMAGES, AS SELLER’S SOLE AND EXCLUSIVE REMEDY UNDER THIS AGREEMENT. THE PARTIES ACKNOWLEDGE THAT THE PAYMENT OF SUCH LIQUIDATED DAMAGES IS NOT INTENDED AS A FORFEITURE OR PENALTY WITHIN THE MEANING OF CALIFORNIA CIVIL CODE SECTIONS 3275 OR 3369, BUT IS INTENDED TO CONSTITUTE LIQUIDATED DAMAGES TO SELLER PURSUANT TO CALIFORNIA CIVIL CODE SECTIONS 1671, 1676 AND 1677. IT IS AGREED THAT IN ORDER TO IMPLEMENT THE PROVISIONS OF THIS SECTION, SELLER MAY UNILATERALLY INSTRUCT ESCROW HOLDER TO CANCEL THE ESCROW AND DELIVER ALL FUNDS DEPOSITED THEREIN TO SELLER. NOTHING CONTAINED IN THIS SECTION SHALL BE DEEMED OR CONSTRUED TO LIMIT BUYER’S INDEMNIFICATION OBLIGATIONS UNDER THIS AGREEMENT, ANY ACCESS AGREEMENT OR BUYER’S OBLIGATIONS WITH RESPECT TO REIMBURSEMENT OF ATTORNEYS’ FEES, WHICH SHALL BE IN ADDITION TO THE LIQUIDATED DAMAGES PROVIDED HEREIN. IF THE CLOSING OCCURS IN ACCORDANCE WITH THE TERMS OF THIS AGREEMENT, THE ESCROW DEPOSIT SHALL BE APPLIED AS A CREDIT TOWARD THE PURCHASE PRICE. THIS PROVISION SHALL SURVIVE THE TERMINATION OF THIS AGREEMENT AND THE CLOSING. _________________ _________________ BUYER’S INITIALS SELLER’S INITIALS 4. Conditions Precedent. The obligation of Buyer to purchase, and Seller to sell, the Property is subject to satisfaction of each of the following conditions precedent (any of which may be waived in writing and only by the party in whose favor such condition exists) on or before the applicable date specified for satisfaction of the applicable condition. If any of such conditions is not fulfilled (or so waived in writing) pursuant to the terms of this Agreement, then the party in whose favor such condition exists may terminate this Agreement and, in connection with any such termination made in accordance with this Section, Seller and Buyer shall be released from further obligation or liability hereunder (except for those obligations and liabilities which, pursuant to the terms of this Agreement, survive such termination), and the Escrow Deposit shall be promptly handled as provided in Section 3.C above (unless otherwise expressly stated in this Section 4 below). A. Title and Survey Matters. (1) Title Report; Survey. Seller has delivered, or shall deliver, to Buyer (i) a preliminary title report covering the Project issued by Chicago Title Company (Mike Slinger; 725 South Figueroa Street, Suite 200, Los Angeles, California 90017; email: mike.slinger@ctt.com; facsimile: (213) 612-4133) (which company, in its capacity as title insurer hereunder is herein called the “Title Company”), together with copies of the documents referenced therein (collectively, the “Title Report”), and (ii) any ALTA/NSPS survey of the Project in Seller’s possession. Buyer may update any survey provided to Buyer or obtain a new survey (such update or new survey is hereinafter referred to as the “Survey”) of the Project. Buyer shall have the right, prior to 5:00 p.m. Pacific Time on the date that is ten (10) days before the Inspection Deadline (the “Title Notice Date”), to deliver to Seller Dr a f t 74116-27042/5883016.2 3 written notice (the “Title Objection Notice”) of any exceptions to title shown in the Title Report or other items that would be disclosed by an accurate Survey of the Project, which are disapproved by Buyer. If Buyer fails to deliver the Title Objection Notice on or before the Title Notice Date, then Buyer shall be deemed to have approved the exceptions to title shown on the Title Report, any matters that would be disclosed by an accurate Survey of the Project and all other title or survey matters. If Buyer timely delivers the Title Objection Notice to Seller, then Seller shall have five (5) days after receipt of the Title Objection Notice to advise Buyer in writing that Seller shall either (a) cause (i) such exceptions objected to by Buyer to be satisfied or discharged on or before the Closing, or (ii) the Title Company to issue an endorsement affirmatively insuring against such exception, at Seller’s sole cost and expense, or (b) be unable or unwilling to remove, discharge or endorse the exception(s) (Seller’s failure to notify Buyer being Seller’s election to proceed as provided in clause (b) above), in which case Buyer will have until the Inspection Deadline to elect to (x) proceed with the purchase of the Property subject to such exception(s), or (y) cancel this Agreement by delivering the Termination Notice, in which case the Escrow Deposit (minus Escrow Holder’s and the Title Company’s cancellation fees) shall be returned to Buyer, and neither party shall have any further rights or liabilities hereunder, except for those provisions which expressly survive the termination of this Agreement. Buyer’s failure to notify Seller of its election between (x) and (y) in the immediately preceding sentence shall be deemed to be Buyer’s election to proceed as provided in (x). (2) Additional Title Matters. Approval by Buyer of any additional exceptions to title created by Seller and disclosed after the Inspection Deadline (“Additional Title Matters”) shall be a condition precedent to Buyer’s obligations to purchase the Property (Buyer hereby agreeing that its approval of Additional Title Matters shall not be unreasonably withheld, conditioned or delayed, and that Buyer shall not have any right to object to any deed of trust or other monetary lien of a known amount to secure debt voluntarily entered into by Seller, provided Seller agrees to remove or discharge same at Closing). With respect to any other exceptions to title disclosed after the Inspection Deadline, Buyer shall rely upon a title commitment to insure against such matters. Unless Buyer gives written notice (“Title Disapproval Notice”) that it disapproves any Additional Title Matters, stating the Additional Title Matters so disapproved, before the sooner to occur of the Closing Date or five (5) days after notice of such Additional Title Matters, Buyer shall be deemed to have approved such Additional Title Matters. Seller shall have five (5) days after its receipt of any Title Disapproval Notice within which to advise Buyer in writing that Seller shall either (a) cause (i) such Additional Title Matters objected to by Buyer to be satisfied or discharged on or before the Closing, or (ii) the Title Company to issue an endorsement affirmatively insuring against such exception, at Seller’s sole cost and expense, or (b) be unable or unwilling to remove, discharge or endorse the exception(s) (Seller’s failure to notify Buyer being Seller’s election to proceed as provided in clause (b) above), in which case Buyer will have three (3) days after such notification by Seller to elect to (x) proceed with the purchase of the Property subject to such exception(s), or (y) cancel this Agreement, in which case the Escrow Deposit (minus Escrow Holder’s and the Title Company’s cancellation fees) shall be returned to Buyer, and neither party shall have any further rights or liabilities hereunder, except for those provisions which expressly survive the termination of this Agreement. Buyer’s failure to notify Seller of its election between (x) and (y) in the immediately preceding sentence shall be deemed to be Buyer’s election to proceed as provided in (x). In the event Seller determines at any time that it is unable or unwilling to remove any one or more of disapproved title matters, Seller may give written notice to Buyer to such effect and Buyer may, at its option, terminate this Agreement upon written notice to Seller, but only if given prior to the sooner to occur of the Closing Date or five (5) days after Buyer receives Seller’s notice, in which case the Escrow Deposit (minus Escrow Holder’s and the Title Company’s cancellation fees) shall be returned to Buyer. If Buyer fails to give such termination notice by such date, Buyer shall be deemed to have waived its objection to, and approved, such matters. The Closing Date shall be extended as necessary to provide for the lapse of the time periods provided in this Section. (3) Permitted Exceptions; Owner’s Policy. Buyer shall be obligated to accept title to the Project, subject to the following exceptions (the “Permitted Exceptions”): (a) real estate taxes and assessments not yet due and payable (prorated as provided herein), (b) the printed exceptions which appear in the standard form owner’s policy of title insurance issued by the Title Company in the State of California, (c) any Leases, (d) any exceptions or liens created by Buyer or Buyer’s employees, agents or contractors, (e) applicable laws and ordinances, and (f) such other exceptions to title or survey exceptions as may be approved or deemed approved by Buyer pursuant to the above provisions of this Section or otherwise expressly permitted under this Agreement. Conclusive evidence of the availability of such title shall be the willingness of the Title Company, subject to the payment of the premium, to issue to Buyer on the Closing a CLTA standard owner’s title insurance policy in the standard form issued in the State of California (“Owner’s Policy”) in the face amount of the Dr a f t 74116-27042/5883016.2 4 Purchase Price, which policy shall show title to the Project to be vested in Buyer. Buyer agrees that its receipt of the Owner’s Policy will fully satisfy any express or implied warranty by Seller as to the condition of title and any defects in title, and Buyer shall look solely to the remedies available under the Owner’s Policy and Seller shall have no responsibility or liability for any of the foregoing. (4) Endorsements to Owner’s Policy. It is understood that Buyer may request a number of endorsements to the Owner’s Policy. Buyer shall satisfy itself prior to the Inspection Deadline that the Title Company will be willing to issue any extended ALTA coverage and any such endorsements in connection with the Owner’s Policy at Closing. The issuance of such endorsements shall not be a condition to Closing. Notwithstanding anything in this Agreement to the contrary, Buyer shall be solely responsible for (a) obtaining and paying for any new surveys of the Project or updates of existing surveys, (b) the difference in premium between a CLTA standard coverage owner’s policy of title insurance and an ALTA extended coverage owner’s policy of title insurance, and (c) any endorsements (except as expressly provided in Section 4.A(1) or 4.A(2) above). B. Due Diligence. Except for title and survey matters (which shall be governed by the provisions of Section 4.A above), and subject to the provisions hereinafter set forth, Buyer shall have until the Inspection Deadline within which to perform and complete all of Buyer’s due diligence examinations, reviews and inspections of all matters pertaining to the purchase of the Property, at Buyer’s sole cost and expense, including, without limitation, all agreements, all physical, environmental, zoning, governmental and compliance matters, all conditions respecting the Property and all Due Diligence Materials (as defined below). Subject to the terms set forth herein and the rights of any tenant(s) of the Project, until the Inspection Deadline, Seller shall provide Buyer with reasonable access to the Property upon reasonable advance notice and may make available to Buyer (unless Seller has already delivered the same to Buyer) certain documents and materials pertaining to the Property (“Due Diligence Materials”) to the extent within Seller’s possession, provided that (i) the Due Diligence Materials shall, at minimum, include copies of the Lease(s), Seller’s statements of cash flow for the Property for calendar years 2024 and 2025 year to date (in the form customarily relied upon by Seller in Seller’s ownership and operation of the Property), building plans and final versions of environmental reports generated by third parties, in each case to the extent within Seller’s possession and (ii) Seller disclaims any and all representations and warranties with respect to the Due Diligence Materials, including, without limitation, their accuracy or completeness. In no event shall Seller be obligated to make available any proprietary or confidential documents, attorney-client documents, internal communications regarding the Property or materials pertaining to the value of the Property. (1) Review Standards. Buyer shall at all times ensure that its entry onto the Project and its due diligence review, inspections and examinations are in full compliance with all applicable laws and governmental regulations and any Lease(s), in a manner so as to not cause any Claims (as defined below) to Seller or the Property and so as to not interfere with or disturb Seller, any tenants or any other occupants or users of the Property, and Buyer shall indemnify, defend, and hold Seller and the Property harmless from and against any and all Claims arising out of or related to any entry by Buyer or its employees, agents or contractors. Prior to entry upon the Project, Buyer shall provide Seller with copies of certificates of insurance evidencing commercial general liability insurance policies (naming Seller and Seller’s property manager as additional insureds), which shall be maintained by Buyer and its agents and contractors in connection with its entry upon the Project, with limits, coverages and insurers under such policies reasonably satisfactory to Seller. Without limitation of the foregoing, in no event shall Buyer: (a) conduct any on-site activity, including any physical testing (environmental, structural or otherwise) at the Project (such as soil borings, air samplings, water samplings or the like) without Seller’s express written consent, which consent, as to physical testing, may be given or withheld in Seller’s sole and absolute discretion (and Buyer shall in all events promptly return the Property to its prior condition and repair thereafter) and which may be further conditioned upon, among other things, Seller’s approval of the following: (i) the insurance coverage of the agent or contractor who will be conducting such testing, (ii) the scope and nature of the testing to be performed by such contractor, (iii) the requirement that split samples be made, and (iv) a written confidentiality agreement (in form reasonably satisfactory to Seller), (b) contact any consultant or other professional engaged by Seller without Seller’s express written consent, or (c) contact any tenant or any other occupant or user of the Property, or any governmental authority having jurisdiction over the Property, without Seller’s express written consent (other than for routine plan and permit checks). Seller shall have the right, at its option, to cause a representative of Seller to be present at all inspections, reviews and examinations conducted hereunder. Buyer shall schedule any entry (by it or its designees) onto the Project in advance with Seller and shall follow any and all regulations or rules of Seller in connection therewith. Upon written request by Seller, Buyer shall promptly deliver to Seller accurate and complete copies of any Dr a f t 74116-27042/5883016.2 5 written reports, data or other information regarding the Property and/or derived from any investigation activities, including, without limitation, environmental inspections and testing relating to the Property prepared for or on behalf of Buyer by any third party (other than reports regarding the value of the Property or attorney-client protected materials). In the event of any termination of this Agreement, Buyer shall immediately return all documents and other materials furnished by Seller hereunder (and destroy and delete any copies thereof made by Buyer or its agents or representatives) and deliver copies of any written reports, data or other information to Seller to the extent expressly requested as set forth above. Buyer shall keep all information or data received or discovered in connection with any of the inspections, reviews or examinations strictly confidential, except for disclosures to representatives, investors, lenders, counsel and agents, provided such disclosures are on an as needed basis for Buyer’s acquisition and such persons are instructed by Buyer to keep the information strictly confidential. Buyer shall be responsible for any breaches of the foregoing confidentiality restrictions by any person or entity to whom information was given by or through Buyer as though the breach were committed by Buyer itself. The provisions of this Section shall survive any termination of this Agreement or the Closing, and this Section shall supplement any terms and conditions of any access and/or confidentiality agreement entered into by and between Buyer (or Buyer’s affiliate) and Seller, with the more stringent provisions governing Buyer’s obligations. (2) Termination Notice; Assumed Contracts. If, on or before the Inspection Deadline, based upon such review, examination or inspection, Buyer determines that it no longer intends to proceed with the acquisition of the Property, then Buyer shall promptly (but in all events prior to the Inspection Deadline) notify Seller and Escrow Holder of such determination in writing (such notice being herein called the “Termination Notice”). In the event that Buyer fails to deliver the Termination Notice to Seller and Escrow Holder on or before the Inspection Deadline, Buyer shall be deemed to have agreed that the foregoing matters are acceptable to Buyer and that it intends to proceed with the acquisition of the Property (and thereafter Buyer shall have no further right to terminate this Agreement pursuant to this Section 4.B). Provided that Buyer both is not then in default under this Agreement and has waived, in writing, all other approvals and contingencies of Buyer which would otherwise expire as of the Inspection Deadline (such as, but not limited to, waiver of any and all Title Objections other than those which Seller has expressly agreed to cure in as provided in Section 4.A), Buyer shall have the right to extend the Inspection Deadline solely with respect to its inspection of whether the Property has been impacted by Hazardous Materials (as defined in Section 11.A) by an up to additional thirty (30) day period. Buyer shall exercise the foregoing extension right, if at all, by written notice (an “Inspection Deadline Extension Notice”) received by Seller by or before the date which is no later than three (3) business days before the then current Inspection Deadline. If Buyer properly exercises the foregoing right to extend the Inspection Deadline as provided in this Section 4.B(s), then all references to the Inspection Deadline contained in this Agreement shall refer to the date stated by Buyer in the Inspection Deadline Extension Notice; Inspection Deadline, provided, however, that (a) the new Inspection Deadline may not be more than thirty (30) days after the Inspection Deadline originally established by this Agreement and (b) the extension of the Inspection Deadline shall pertain solely to Buyer’s physical inspection of whether the Property has been impacted by Hazardous Materials. For clarity, the scope of any inspections of the Property with respect to Hazardous Materials shall be subject to Seller’s review and approval of the scope thereof, which Seller may grant or withhold in its sole and absolute discretion as provided in Section 4.B(1) above. On or prior to the Inspection Deadline, Buyer shall have the right to notify Seller in writing of any and all vendors under any service contracts pertaining to the Project or Personal Property (the “Service Contracts”) to which Buyer wants Seller to send termination notices at Closing (the “Terminated Contracts”) as provided herein (with any other Service Contracts and any Service Contracts that cannot be terminated being hereinafter referred to as the “Assumed Contracts”). At Closing, Seller agrees to notify the vendors under the Terminated Contracts of the termination thereof, provided that Buyer shall be solely responsible for any fees in connection with such termination and any costs or charges thereunder from and after Closing until so terminated. C. Estoppel Certificate. Seller agrees to use commercially reasonable efforts to cause the tenant under the Lease to execute and deliver to Buyer tenant estoppel certificates substantially in the form of Exhibit “G” attached hereto, or in such other form as may be required by the applicable Lease or if the tenant under the applicable Lease is a national or regional tenant, such form as is generally used by such tenant (the “Estoppel Certificate”). It shall be a condition to Closing that Buyer receives Estoppel Certificates from the tenant under the Lease. Seller’s sole obligation hereunder shall be to utilize commercially reasonable efforts to obtain the Estoppel Dr a f t 74116-27042/5883016.2 6 Certificates from said tenant (as used in this Agreement, commercially reasonable efforts shall not include any obligation to institute legal proceedings, declare a default under the Lease or to expend any sums). If on or before the Closing Date Buyer has not received the Estoppel Certificate required hereunder, Seller shall have the right, but not the obligation, to extend the Closing Date by up to ten (10) business days in order to attempt to obtain such Estoppel Certificate(s). Notwithstanding anything to the contrary herein, in the event Seller fails to obtain an Estoppel Certificate from the tenant under the Lease, Seller may deliver to Buyer a certificate (“Seller Certificate”) substantially in the form of Exhibit “G” attached hereto, but executed by Seller, certifying that the information set forth therein, to “Seller’s knowledge” (as defined below), is correct in all material respects, and in such event, Seller shall be deemed to have delivered an Estoppel Certificate with respect to such tenant for purposes of satisfying the terms set forth in this Section. Any Seller Certificate shall be subject to the limitations set forth herein, and Seller shall be released from any liability with respect to any Seller Certificate upon the delivery (whether before or after Closing) to Buyer of an Estoppel Certificate from the tenant for which Seller has delivered such Seller Certificate. If and only if any Estoppel Certificate or Seller Certificate (i) identifies a material reduction in the aggregate rental income for the Project relative to that shown or provided for in the Lease, (ii) alleges an uncured, material default of Seller (as landlord) under the Lease, and/or (iii) discloses a pending, material dispute between the landlord and the tenant in connection with the Lease, then, at any time prior to earlier of the Closing Date or three (3) business days after Buyer’s receipt of the executed Estoppel Certificate or Seller Certificate (and provided that such fact was not disclosed in any Due Diligence Materials or otherwise disclosed to Buyer prior to the Inspection Deadline), Buyer shall have the right to terminate this Agreement by delivering written notice thereof to Seller within such period of time set forth above, unless Seller cures or agrees in writing to cure or credit such discrepancy or otherwise obtains an updated Estoppel Certificate or delivers an updated Seller Certificate, as applicable, removing or indicating the cure of any item previously giving rise to any termination right hereunder (and Seller shall have the right to extend the Closing by up to ten (10) business days to effectuate same). As used in this Section “material reduction” means a reduction in the annual rental income as shown in the applicable Lease(s) by more than the greater of (a) $50,000.00, or (b) ten percent (10%) of the annual rental income under the applicable Lease(s). If Buyer so terminates this Agreement pursuant to this Section, then no party hereto shall have any further obligation in connection herewith, except under those provisions that expressly survive a termination of this Agreement. D. Performance by Seller. The performance and observance, in all material respects, by Seller of all covenants and agreements of this Agreement to be performed or observed by Seller prior to or on the Closing Date shall be a condition precedent to Buyer’s obligation to purchase the Property. E. Performance by Buyer. The performance and observance, in all material respects, by Buyer of all covenants and agreements in this Agreement to be performed or observed by Buyer prior to or on the Closing Date shall be a condition precedent to Seller’s obligation to sell the Property. 5. Closing. The closing (“Closing”) of the sale and purchase herein provided shall be consummated on the Closing Date, or such other date mutually agreed upon in writing by Buyer and Seller through escrow pursuant to the terms herein and such supplemental escrow instructions to Escrow Holder and Title Company which are mutually and reasonably agreeable to both Seller and Buyer. Notwithstanding anything to the contrary contained in this Agreement, by written notice (a “Seller Closing Extension Notice”) delivered to Buyer at least five (5) business days before the then scheduled Closing Date, Seller may elect to delay the Closing Date by up to an additional sixty (60) days. Furthermore, if Seller delivers a Seller Closing Extension Notice, then Seller may thereafter deliver written notice (a “Seller Closing Acceleration Notice”) to Buyer electing to accelerate the Closing Date to a date which is no earlier than fifteen (15) days after delivery of the Seller Closing Acceleration Notice. If Seller delivers a Seller Closing Extension Notice and/or a Seller Closing Acceleration Notice, then all references to the Closing Date and/or the date of the Closing contained in this Agreement shall thereafter refer to the Closing Date so extended or accelerated by Seller in the Seller Closing Extension Notice or Seller Closing Acceleration Notice, as applicable.. A. Escrow. Except as otherwise provided herein, on or before the day that is one (1) business day prior to the Closing Date, the parties shall deliver to Escrow Holder the following: (1) By Seller. Seller shall deliver (a) a duly executed and acknowledged original grant deed executed by Seller in the form of Exhibit “C” attached hereto (the “Deed”), (b) two (2) duly executed originals or electronic PDF of the quitclaim bill of sale executed by Seller in the form of Exhibit “D” attached hereto covering any Personal Property to be assigned hereunder (the “Bill of Sale”), (c) two (2) duly executed original Dr a f t 74116-27042/5883016.2 7 counterparts or electronic PDF counterpart of an assignment and assumption executed by Seller in the form of Exhibit “E” attached hereto (the “Assignment”), (d) a certificate of Seller respecting the “non-foreign” status of Seller and any required state withholding or non-foreign status certificate executed by Seller, (e) an executed original or electronic PDF of a notice to the tenant(s) under the Lease(s) in the form of Exhibit “F” attached hereto (the “Tenant Notice”) executed by Seller, (f) evidence reasonably satisfactory to Title Company that all necessary authorizations of the transaction provided herein have been obtained by Seller, (g) such other customary and commercially reasonable documents and instruments as Escrow Holder or Title Company shall reasonably require in order to consummate the transaction contemplated hereby, and (h) a settlement statement (the “Closing Statement”) to be prepared by Escrow Holder and signed or initialed by Seller. (2) By Buyer. Buyer shall deliver (a) the Closing Payment by wire transfer of immediately available funds, (b) two (2) duly executed original counterparts or electronic PDF counterpart of the Bill of Sale executed by Buyer, (c) two (2) duly executed original counterparts or electronic PDF counterpart of the Assignment executed by Buyer, (d) evidence reasonably satisfactory to Title Company that all necessary authorizations of the transaction provided herein have been obtained by Buyer, and such other documents and instruments as may be reasonably requested by Escrow Holder or Title Company in order to consummate the transaction contemplated hereby and issue the Owner’s Policy, and (e) a Closing Statement signed or initialed by Buyer. B. Closing by Escrow Holder; Delivery to Parties. Upon the satisfaction of the above conditions, then Escrow Holder shall take the following actions: (1) Date any undated documents described in Section 5.A above as of the date of Closing and assemble counterparts of all of the documents described in Section 5.A above. (2) Deliver the respective amounts due to third parties (e.g., brokers) under the Closing Statement in accordance with the respective instructions from such third parties. (3) Wire the amount due Seller and Buyer under the Closing Statement in accordance with wiring instructions from Seller and Buyer respectively. (4) Cause Title Company to record in the official records of the county in which the Project is situated (or file, as appropriate) the Deed together with any other documents required to be recorded with respect to the transactions contemplated by this Agreement. (5) Cause Title Company to issue the Owner’s Policy (with an effective date that is the same as the date and time of the recordation of the Deed). (6) File all information returns required under Section 6045 of the Internal Revenue Code and take all other reporting actions as may be required in connection therewith. (7) Deliver an electronic copy of the recorded Deed and electronic copies of all of the documents listed in Section 5.A above (other than Buyer’s Closing Statement) to Seller. (8) Deliver an electronic copy of the recorded Deed and electronic copies of all of the documents listed in Section 5.A above (other than Seller’s Closing Statement) to Buyer. C. Closing Costs. Seller shall pay (i) all documentary transfer taxes payable in connection with the transfer contemplated herein, (ii) 50% of Escrow Holder’s fees (provided that if this Agreement is terminated due to a party’s default hereunder, the defaulting party shall be responsible for Escrow Holder’s fees), (iii) the title insurance premium for the “standard” CLTA portion of the Owner’s Policy and any charges to insure over or delete any title defects Seller has elected to remove pursuant to Section 4.A above, (iv) the cost of the Disclosure Statement (as defined below), and (v) any amounts charged by any owners’ association as a result of the transfer of the Property contemplated hereby. Buyer shall pay (a) 50% of Escrow Holder’s fees (provided that if this Agreement is terminated due to a party’s default hereunder, the defaulting party shall be responsible for Escrow Holder’s fees), (b) the costs of Dr a f t 74116-27042/5883016.2 8 extended coverage and any endorsements to the Owner’s Policy (other than set forth above) to the extent the same exceed the costs of the CLTA premium, (c) the cost to obtain the Survey, (d) all sales taxes, (e) the recording fees for the Deed, and (f) the cost of any of its examinations and inspections of the Property. All other closing costs not specifically allocated herein shall be paid by the parties as is customary in the county in which the Project is located. Seller and Buyer shall each pay their respective (I) legal fees and expenses (subject to Section 16.E below), and (II) share of prorations (as provided below). D. Prorations. The following shall be prorated between Seller and Buyer as of the Closing Date (on the basis of the actual number of days elapsed over the applicable period), with Buyer being responsible for, and entitled to such income and expenses applicable to, the Closing Date. (1) Real Estate Taxes. All real estate taxes and assessments on or applicable to the Property for the current year shall be prorated as of the Closing Date. Seller shall not be charged with or responsible for any increase in taxes on the Property resulting from the sale of the Property or any improvements made from and after the Closing Date. Seller shall retain all rights to tax, assessment and other refunds, rebates, credits and claims thereto with respect to any real estate taxes and assessments due and owing on the Property prior to the Closing Date and Buyer shall promptly notify Seller of Buyer’s receipt of, and shall promptly pay to Seller, any such refunds received by Buyer at any time. Further, any reduction in the assessed value of the Property or any such tax reduction for any period after the Closing which is in the nature of a credit for any payment or overpayment of taxes made for any period prior to the Closing shall belong to Seller and Buyer shall promptly notify Seller of any such reduction in the assessed value of the Property or any such tax reduction and shall promptly pay to Seller the amount of any such credit. Buyer shall reasonably cooperate with Seller in connection with contesting any such assessed value or seeking such reduction in taxes for the period prior to the Closing. If any assessments on the Property are payable in installments, then the installment for the current period shall be prorated (with Buyer assuming the obligation to pay any installments due from and after the Closing Date). (2) Base Rents. Any and all collected minimum and/or base rents (“Base Rents”) paid under the Lease as of the Closing Date shall be prorated as of the Closing Date. Pursuant to such proration, Buyer shall receive a credit at the Closing equal to the amount of Base Rents allocable to the day of Closing and any period thereafter which have been paid to and received by Seller. The parties shall promptly adjust between themselves outside of escrow any Base Rents received after the Closing. All rights to Base Rents which are unpaid as of the Closing Date allocable to any period prior to Closing (“Delinquent Rent”) shall be and remain the property of Seller, and Buyer shall include such Delinquent Rent in its normal billing and shall use good faith efforts to collect same (provided that nothing herein shall require Buyer to litigate or institute any formal proceedings against tenants). To the extent Buyer receives any Delinquent Rent on or after the Closing, such payments shall be applied first toward the Delinquent Rent owed for the month in which the Closing occurs to be prorated between Buyer and Seller based on the date on which the Closing Date occurs, then to the Delinquent Rent owed to Seller in connection with the Lease for the period prior to the Closing Date and then to any Delinquent Rent owed to Buyer for any period after the Closing Date, with Seller’s share thereof being promptly delivered to Seller. Seller shall have the right to pursue collection of such pre-Closing Delinquent Rent, provided that Seller shall not have the right to terminate the Lease or commence or pursue any unlawful detainer or eviction action. Buyer may not waive any Delinquent Rent nor modify the Lease so as to reduce or otherwise affect amounts owed thereunder for any period in which Seller is entitled to receive a share of charges or amounts without first obtaining Seller’s written consent. Until such time as Seller has received all Delinquent Rent, Buyer shall provide to Seller, upon Seller’s request, a report of all Base Rents collected by those tenants owing Seller Delinquent Rent. (3) Security Deposits. Buyer shall receive a credit for all unapplied, refundable security deposits or advance rent paid by any tenants at the Project at the Closing. Seller shall transfer to Buyer, at Buyer’s cost, any security deposits which are held in the form of letters of credit if the same are transferable and Seller shall request tenants to cause new letter(s) of credit to be issued in favor of Buyer in replacement thereof, and in the event such new letter(s) of credit are not issued in favor of Buyer by Closing, Buyer shall diligently pursue such replacement after Closing and Seller shall take such reasonable action, as directed by Buyer and at Buyer’s expense, in connection with the presentment of such letter(s) of credit for payment as permitted under the terms of the applicable Lease, and in consideration of Seller’s agreement as aforesaid, Buyer shall indemnify, defend and hold Seller harmless from any Claims arising out of the letter(s) of credit after the Closing. Dr a f t 74116-27042/5883016.2 9 (4) Operating Expenses. Any and all operating expenses, common area expenses and other charges or costs under any of the Leases (“Operating Expenses”) shall be prorated as of the Closing Date, subject to the following procedure designed to simplify the payment of such Operating Expenses on a calendar month basis and the collection of tenant reimbursements on a similar basis: (a) Seller’s Payment of Operating Expenses and Collection of Tenant Reimbursements for Closing Calendar Month. Seller shall pay all of the normal Operating Expenses pertaining to the Property for the calendar month in which the Closing occurs (the “Closing Calendar Month”), and Seller shall be entitled to receive all estimated and/or actual payments made by any tenants for such expenses pursuant to the terms of any Leases for the period through and including the last day of Closing Calendar Month, subject to the post-closing reconciliation and proration set forth below. (b) Post-Closing Reconciliation of Reimbursable Operating Expenses Through Closing Calendar Month. Seller shall prepare, on or about the last day of the calendar month following the Closing Calendar Month, a reconciliation of all Operating Expenses owed by tenants of the Project reconciled against actual payment of such expenses recovered by Seller through the Closing Calendar Month (the “Reconciliation”). Seller shall be responsible for the financial settlements with each tenant to be made as a result of the Reconciliation, with amounts due tenants paid promptly by Seller and amounts owed by tenants to be collected and retained by Seller. Buyer will reasonably cooperate with Seller in collecting any said amounts owed by tenants. (c) Post-Closing Proration of Non-Reimbursed Operating Expenses. Following completion of the Reconciliation, Operating Expenses that are not reimbursable by tenants of the Project (“Non-Reimbursable Expenses”) shall be prorated as of the Closing Date, and any required payments shall be made by the applicable party upon receipt of said proration. Pursuant to such proration, Buyer shall be charged for all Non-Reimbursable Expenses accruing on or after the Closing Date, and Seller shall be charged for all Non-Reimbursable Expenses accruing prior to the Closing Date. Buyer and Seller shall cooperate with one another in collecting any Operating Expenses that are payable, but were not otherwise reimbursed by tenants of the Property and shall remit any sums so collected to the appropriate party. (5) Utilities. Buyer shall take all steps necessary to effectuate the transfer of all utilities to its name as of the Closing Date, and where necessary, post deposits with the utility companies. Seller shall use commercially reasonable efforts to cause all utility meters to be read as of the Closing Date. Seller shall be entitled to recover any and all deposits held by any utility company as of the Closing Date. All charges for utilities shall be prorated outside of the escrow contemplated herein. (6) Other Income and Expenses. All other income and expense items related to the Property shall be prorated as of the Closing Date (including any costs under any Assumed Contracts and any amounts owed to any owner’s association) as is customary in the city, county and state in which the Project is located. (7) Tenant Obligations. Notwithstanding anything to the contrary contained in this Agreement, if and to the extent that any cost or expense attributable to the Project would be charged to Seller under this Section 5.D is payable by the tenant under this Lease, then such cost or expense shall not be charged to Seller and, instead, after the Closing Buyer shall look solely to the tenant under the Lease for payment of such cost or expense. If any of the prorations made under this Section 5 prove to be incorrect for any reason, then either party hereto shall be entitled to an adjustment to correct the same, subject to the limitations set forth herein. If any of the foregoing cannot be apportioned at the Closing because of the unavailability of the amounts which are to be apportioned, such items shall be apportioned by the parties outside escrow as soon as practicable after the Closing Date, but in all events within six (6) months after Closing, except for property taxes, which shall be within thirty (30) days after the information is received from the taxing authority, but in no event later than twelve (12) months after Closing. If Buyer transfers its interest in the Property prior to the expiration of the dates in the immediately preceding sentence, then, on or before the transfer of such interest, Buyer shall in writing expressly obligate such successor-in-interest to be bound by the provisions of this Section 5 and deliver written notice of such transfer to Seller. The post-Closing covenants of the parties set forth in this Section 5 shall survive the Closing. The prorations and payments shall be made on the basis of a statement prepared by Seller (which shall be deemed final and binding absent manifest error) and which shall be submitted to Escrow Holder prior to the Closing Date. Dr a f t 74116-27042/5883016.2 10 E. Deliveries Outside Escrow. Within three (3) business days after the Closing, Seller shall deliver to Buyer all keys and security codes for all Improvements on the Property, to the extent within Seller’s possession. 6. Representations and Warranties; Certain Covenants. A. Representations and Warranties of Seller. Seller hereby represents and warrants the following to Buyer as of the Effective Date: (1) Authority; No Conflict. Seller is duly organized, validly existing, is in good standing under the laws of the State of Maryland, is qualified to do business in the state in which the Project is located, has, or will as of the Closing Date have, full authority to enter into and perform this Agreement and the person or persons signing this Agreement and any documents executed pursuant hereto on Seller’s behalf have full power and authority to bind Seller. The execution, delivery and performance of this Agreement do not, and the consummation of the transaction contemplated hereby will not, violate the organizational documents, or other agreements made by or binding upon, Seller. (2) No Bankruptcy. (a) Seller has not filed for protection or relief under any applicable bankruptcy or creditor protection statute that is currently pending, and (b) to Seller’s knowledge, Seller is not currently the subject of any filing of a petition under the federal bankruptcy law or any federal or state insolvency laws or laws for composition of indebtedness or for the reorganization of debtors. (3) Leases. Seller has not entered into any Leases that affect the Project, other than the Leases set forth in Exhibit “B” attached hereto. (4) No Litigation; Condemnation. To Seller’s knowledge, there is no litigation pending or threatened in writing: (a) against or relating to the Property, and/or (b) against or relating to Seller that affects the Property or Seller’s ability to consummate the transactions contemplated by this Agreement. To Seller’s knowledge, there is no pending eminent domain or similar proceeding with respect to the Project that would adversely affect the Project. (5) No Preferential Rights. Seller has not entered into any executory contracts for the sale of the Property that remain in effect or granted any rights of first refusal, option rights or other preferential rights to purchase the Property that remain in effect, except as may be set forth in the Due Diligence Materials. (6) Hazardous Materials. To Seller’s knowledge, Seller has not received any written notice from any governmental agency that any Hazardous Materials have been used, manufactured, generated, treated, stored, disposed of, released or discharged in, on, under or about the Project in violation of applicable laws or codes, except as may be set forth or reasonably inferable from the Due Diligence Materials. As used herein, “to Seller’s knowledge” means the present, actual knowledge as of the date hereof, without any duty of inquiry and without taking into account any constructive or imputed knowledge, of Michelle Quach, property manager, provided such individual shall not have any personal liability in connection herewith. Notwithstanding the foregoing, Seller shall have no liability, and Buyer shall make no claim against Seller, for (and Buyer shall be deemed to have waived) a failure of any condition or a breach of any representation or warranty, covenant or other obligation of Seller under this Agreement or any document executed by Seller in connection with this Agreement (a) if the failure or breach in question constitutes or results from a condition, state of facts or other matter that was known to Buyer or disclosed to Buyer in the Due Diligence Materials or any reports generated by or for Buyer prior to the Inspection Deadline, or (b) if the failure or breach in question constitutes or results from a condition, state of facts or other matter that was known to Buyer prior to Closing and Buyer proceeds with the Closing, or (c) to the extent, in the case of a representation and warranty of Seller, the same is confirmed by any Estoppel Certificate. Additionally, if during the pendency of this Agreement prior to Closing, Seller discloses to Buyer in writing any matters which make any of Seller’s representations and warranties untrue in any material respect, such representations and warranties shall be deemed modified to reflect such matters and Seller shall bear no liability Dr a f t 74116-27042/5883016.2 11 for such matters, but if such update has a Material Adverse Effect, then Buyer shall have the right to elect in writing within five (5) days after Seller notifies Buyer of such matter, but in no event later than the Closing Date, (i) to terminate this Agreement (in which event the Escrow Deposit, minus Escrow Holder’s and the Title Company’s cancellation fees, shall be returned to Buyer), or (ii) to waive such matter and complete the purchase of the Property without reduction of the Purchase Price in accordance with the terms of this Agreement (and any failure to give notice under clause (i) shall be deemed to constitute such a waiver). For purposes of this grammatical paragraph, “Material Adverse Effect” means any fact or condition affecting the Project which, after the Closing, will result in a reduction in the value of, or the revenues generated by, the Project in excess of $100,000.00 or Buyer having to incur in excess of $100,000.00 in costs in connection with the ownership or operation of the Project following the Closing which Buyer would not have otherwise been required to incur in the absence of such fact or condition. Seller’s representations and warranties contained in this Section shall survive the Closing and recordation of the Deed for a period of six (6) months (the “Survival Period”), after which time Buyer shall be barred from commencing any action or proceeding for a breach of the same. Upon the expiration of the Survival Period, each and every Seller’s representation and warranty contained herein shall be automatically null and void and of no further force or effect, unless within the Survival Period, Buyer has formally commenced an arbitration proceeding in accordance with the terms of Section 10 below (and any representation and warranty not specified therein shall otherwise be null and void and of no further force or effect). B. Representations and Warranties of Buyer. Buyer hereby represents and warrants the following to Seller as of the Effective Date: (1) Authority; No Conflict. Buyer is duly organized, validly existing, is in good standing under the laws of the State of California is qualified to do business in the state in which the Project is located, has, or will as of the Closing Date have, full authority to enter into and perform this Agreement and the person or persons signing this Agreement and any documents executed pursuant hereto on Buyer’s behalf have full power and authority to bind Buyer. The execution, delivery and performance of this Agreement do not, and the consummation of the transaction contemplated hereby will not, violate the organizational documents, or other agreements made by or binding upon, Buyer. (2) No Bankruptcy. (a) Buyer has not filed for protection or relief under any applicable bankruptcy or creditor protection statute that is currently pending, and (b) to Buyer’s knowledge, Buyer is not currently the subject of any filing of a petition under the federal bankruptcy law or any federal or state insolvency laws or laws for composition of indebtedness or for the reorganization of debtors. (3) OFAC. Buyer hereby represents and warrants that, to the best of its knowledge, neither Buyer nor any of its entities owned or controlled by Buyer, nor any persons or entities holding any legal or beneficial interest whatsoever in such parties are, a person or entity who: (a) is the target of any laws, sanctions or executive orders administered by the United States, the United Nations, the European Union or the United Kingdom, including without limitation, the U.S. Department of the Treasury’s Office of Foreign Asset Control (“OFAC”) or any other governmental entity imposing economic sanctions, trade embargoes or anti-money laundering laws (collectively, “Asset Controls”), (b) is located, organized, or resident in a country or territory that is, or whose government is, the target of Asset Controls, (c) is directly or indirectly owned or controlled by any person or entity currently included on OFAC’s Specially Designated Nationals and Blocked Persons List or the Consolidated Sanctions List maintained by OFAC or other Asset Controls, including, without limitation, lists maintained by the United Nations Security Council, the Foreign Sanctions Evaders list and the US Department of Commerce’s Entity List, or (d) is directly or indirectly owned or controlled by any person or entity who is located, organized, or resident in a country or territory that is, or whose government is, the target of Asset Controls. In the event of any breach of this Section (or in the event that Buyer or any of its entities, subsidiaries or affiliates or beneficial owners (is included in any of the foregoing lists), (i) Buyer shall immediately notify Seller in writing, and (ii) Buyer shall immediately remove such party from any interest in Buyer or Seller may, without limitation of its other remedies, terminate this Agreement and retain so much of the Escrow Deposit necessary to reimburse Seller for any and all costs incurred by Seller in connection with this Agreement, which amount Escrow Holder shall release to Seller upon demand without the need for further instruction. Dr a f t 74116-27042/5883016.2 12 C. Certain Interim Covenants of Seller. Until the Closing Date or the sooner termination of this Agreement pursuant to the terms herein: (1) Seller shall continue to operate and maintain the Property in the same manner as it has prior to the date hereof, subject to ordinary wear and tear, provided that Seller shall not be required to incur any capital expenses in connection with same. (2) Seller shall maintain its existing insurance policies for the Project (or replacements containing similar coverage or coverage similar to that currently being maintained by Seller or its affiliates for properties similar to the Project). (3) Seller will substantially comply with the obligations of landlord under terms of the Leases, but shall not be required to make any capital expenses in connection with same. Seller shall, upon request, keep Buyer reasonably informed as to the status of the leasing of the Project prior to the Closing Date. Seller shall give Buyer notice of all new leases and material modifications of existing Leases entered into after the Effective Date, but prior to the Inspection Deadline. From and after the Inspection Deadline, Seller shall not enter into any new leases or material modifications of existing Leases without the consent of Buyer, which consent shall not be unreasonably withheld or conditioned. Buyer must notify Seller in writing within three (3) days of Buyer’s receipt of the proposed lease terms of any reasonable objections thereto, or Buyer shall be deemed to have approved the same. Notwithstanding anything herein to the contrary, if the Closing occurs, Buyer shall bear all costs and expenses related to any new leases or modifications, extensions, expansions, options or renewals of existing Leases entered into after the date hereof (including tenant improvement costs, architects’ fees, attorneys’ fees, moving allowances and leasing commissions, but excluding free rent allocable to any period prior to the Closing Date) and, without limitation on the foregoing, the prorations at Closing shall include an appropriate credit to Seller consistent with the foregoing. 7. Broker(s). Each party represents and warrants to the other that it has not dealt with any real estate broker, agent or finder in connection with this transaction, other than the Broker(s) set forth in the Basic Terms, which acted as the agent(s) of the party(ies) as set forth in the Basic Terms. Buyer agrees to indemnify and hold Seller harmless from and against any and all claims, losses, costs, damages, liabilities or expenses, including, without limitation, reasonable attorneys’ fees, arising out of a claim to a commission or finder’s fee by any party claiming by or through Buyer. Seller agrees to indemnify and hold Buyer harmless from and against any and all claims, losses, costs, damages, liabilities or expenses, including, without limitation, reasonable attorneys’ fees, arising out of a claim to a commission or finder’s fee by any party, including, without limitation, Broker(s), claiming by or through Seller. Notwithstanding the foregoing, Seller shall be responsible to pay Broker(s) a commission pursuant to a separate agreement between Seller and Broker(s). Seller hereby discloses to Buyer that certain officers of, and other persons associated with, Seller, including, without limitation, Howard Schwimmer and Michael Frankel, are licensed real estate brokers or salespersons in the State of California, provided such individuals shall not have any personal liability in connection herewith. 8. Condemnation; Destruction. In the event that all or any portion of the Project is damaged or destroyed by any casualty or is the subject of a taking or condemnation under the provisions of eminent domain law after the Effective Date, but prior to the Closing Date, Seller shall have no obligation to repair or replace any such damage, destruction or taken property. Seller shall, upon consummation of the transaction herein provided, assign to Buyer (except to the extent any condemnation proceeds or insurance proceeds are attributable to rents or other items applicable to any period prior to the Closing and subject to the terms of any Leases) all claims of Seller respecting any condemnation or casualty insurance coverage, as applicable, and all condemnation proceeds or proceeds from any such casualty insurance received by Seller on account of any casualty (except to the extent of collection costs or repairs by Seller prior to the Closing Date), as applicable. In connection with any assignment of insurance proceeds hereunder, Seller shall credit Buyer with an amount equal to the lesser of the applicable deductible amount under Seller’s insurance or the cost as of the Closing Date to repair the damage (but in either event, less any collection costs or repairs by Seller prior to the Closing Date). In the event the condemnation award or the cost of repair of damage to the Property on account of a casualty (as reasonably determined by Seller in either case), as applicable, shall exceed Two Million and 00/100 Dollars ($2,000,000.00), Buyer or Seller may, at its option, terminate this Agreement by notice to the other, given on or before the earlier of (a) the Closing Date, or (b) ten (10) days after Seller notifies Buyer of the reasonable cost to repair or the reasonable estimation of the condemnation award. In the event of any termination in accordance with the preceding sentence, Buyer shall receive a refund of the Escrow Deposit (and neither Dr a f t 74116-27042/5883016.2 13 party hereto shall have any further obligation in connection herewith except under those provisions that expressly survive a termination of this Agreement). Each of Seller and Buyer hereby expressly waives the provisions of California Civil Code Section 1662 and agrees that the provisions of this Section shall govern their obligations in the event of damage, destruction or condemnation. 9. Default; Limitation on Remedies. A. Default by Seller. In the event the Closing fails to occur due to a default by Seller hereunder (and provided that all conditions precedent to Seller’s obligations have been satisfied), Buyer shall be entitled to exercise one (but not both) of the following remedies as its exclusive remedy hereunder: (i) Buyer may elect to bring an action for specific performance of this Agreement, subject to the terms set forth herein, or (ii) Buyer may elect to terminate this Agreement and obtain the return of the Escrow Deposit. Any action by Buyer pursuant to subsection (i) above must be brought within thirty (30) days after the earlier of the scheduled Closing Date or Seller’s alleged default and as a condition precedent to any such proceeding, Buyer must have tendered all of its deliveries on or before the scheduled Closing Date as provided above, including, without limitation, the Closing Payment. This provision shall survive the termination of this Agreement. B. Limit on Liability. Notwithstanding anything to the contrary contained herein, (i) the total liability of Seller under this Agreement and any and all documents executed by Seller in connection herewith shall not exceed, in the aggregate, an amount equal to Two Hundred Sixty-Seven Thousand One Hundred and 00/100 Dollars ($267,100.00) (the “Cap”), (ii) Seller shall have no liability (and Buyer shall make no claim against Seller) for a breach of any representation or warranty or any other obligation of Seller under this Agreement or any document executed by Seller in connection with this Agreement, unless the valid claims for all such breaches collectively aggregate to more than Eighty Thousand and 00/100 Dollars ($80,000.00) (the “Threshold”), in which event the amount of such valid claims against Seller in excess of the Threshold shall be actionable up to the Cap, provided such action or proceeding is commenced within the Survival Period, (iii) in no event shall Seller be liable for any consequential, exemplary or punitive damages, and (iv) none of the Seller’s Parties (as defined below) shall be personally liable for the performance of Seller’s obligations hereunder and no individual or other assets of the Seller’s Parties shall be subject to any Claims by Buyer. 10. ARBITRATION. THE PARTIES AGREE THAT ANY AND ALL DISPUTES, CLAIMS OR CONTROVERSIES ARISING OUT OF, OR RELATING TO, THIS AGREEMENT SHALL BE SUBMITTED TO FINAL AND BINDING ARBITRATION BEFORE JAMS OR ITS SUCCESSOR (“JAMS”). EITHER PARTY MAY COMMENCE THE ARBITRATION PROCESS CALLED FOR IN THIS AGREEMENT BY FILING A WRITTEN DEMAND FOR ARBITRATION WITH THE ARBITRATOR, WITH A COPY TO THE OTHER PARTY. THE ARBITRATION WILL BE CONDUCTED IN ACCORDANCE WITH THE PROVISIONS OF JAMS COMPREHENSIVE ARBITRATION RULES IN EFFECT AT THE TIME OF FILING OF THE DEMAND FOR ARBITRATION. THE PARTIES WILL COOPERATE WITH THE ARBITRATOR AND WITH ONE ANOTHER IN SELECTING A SINGLE ARBITRATOR FROM JAMS’ PANEL OF NEUTRALS (WHICH ARBITRATOR SHALL BE A CURRENT OR RETIRED JUDGE OR ATTORNEY WITH AT LEAST SEVEN (7) YEARS OF EXPERIENCE IN COMMERCIAL REAL ESTATE DISPUTES), AND IN SCHEDULING THE ARBITRATION PROCEEDINGS. SUCH ARBITRATION SHALL TAKE PLACE IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA. THE PARTIES COVENANT THAT THEY SHALL PARTICIPATE IN THE ARBITRATION IN GOOD FAITH, AND THAT THEY SHALL SHARE EQUALLY IN ITS COSTS, PROVIDED THAT THE PREVAILING PARTY IN SUCH ARBITRATION SHALL BE ENTITLED TO RECOVER, IN ADDITION TO ANY OTHER RELIEF, THE COSTS OF SUCH ARBITRATION AND THEIR REASONABLE ATTORNEYS’ FEES AND EXPERT FEES AS AWARDED BY THE ARBITRATOR IN THE PROCEEDINGS IN ACCORDANCE WITH SECTION 16.E BELOW, SUBJECT TO ANY EXPRESS LIMITATIONS SET FORTH HEREIN. THE AWARD OF THE ARBITRATOR MAY BE ENFORCED BY ANY COURT OF COMPETENT JURISDICTION. BY INITIALING IN THE SPACE BELOW, THE PARTIES ACKNOWLEDGE AND AGREE TO HAVE ANY DISPUTE ARISING OUT OF THIS AGREEMENT DECIDED BY NEUTRAL, BINDING ARBITRATION AND ARE WAIVING ANY RIGHTS THEY MAY POSSESS TO HAVE THE DISPUTE LITIGATED IN A COURT OR BY JURY TRIAL. EACH PARTY’S AGREEMENT TO THIS SECTION IS VOLUNTARY. THE PARTIES HAVE READ AND UNDERSTAND THE FOREGOING AND AGREE TO SUBMIT DISPUTES ARISING OUT OF THIS AGREEMENT TO NEUTRAL, BINDING Dr a f t 74116-27042/5883016.2 14 ARBITRATION IN ACCORDANCE WITH THE TERMS HEREOF. THIS PROVISION SHALL SURVIVE ANY TERMINATION OF THIS AGREEMENT AND THE CLOSING. _________________ _________________ BUYER’S INITIALS SELLER’S INITIALS 11. AS-IS; RELEASE. AS AN ESSENTIAL INDUCEMENT TO SELLER TO ENTER INTO THIS AGREEMENT, AND AS PART OF THE DETERMINATION OF THE PURCHASE PRICE, BUYER ACKNOWLEDGES, UNDERSTANDS AND AGREES AS OF THE EFFECTIVE DATE AND AS OF THE CLOSING TO THE PROVISIONS SET FORTH BELOW. A. AS-IS; WHERE-IS. EXCEPT AS OTHERWISE EXPRESSLY PROVIDED IN SECTION 6.A ABOVE, BUYER ACKNOWLEDGES AND AGREES THAT (I) THE SALE OF THE PROPERTY HEREUNDER IS AND WILL BE MADE ON AN “AS IS, WHERE IS, WITH ALL FAULTS” BASIS, WITH BUYER ASSUMING THE PROPERTY IN SUCH CONDITION AND AGREEING THAT SELLER SHALL NOT HAVE ANY RESPONSIBILITY FOR THE CONDITION OF THE PROPERTY (OR OTHERWISE, INCLUDING, WITHOUT LIMITATION, THE REPAIR OF ANY PORTION OF THE PROPERTY, THE CONSTRUCTION OF ANY IMPROVEMENTS AND/OR THE ENVIRONMENTAL CONDITION OF THE PROPERTY), (II) SELLER HAS NOT MADE, DOES NOT MAKE AND SPECIFICALLY NEGATES AND DISCLAIMS ANY REPRESENTATIONS, WARRANTIES OR GUARANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE OF, AS TO, CONCERNING OR WITH RESPECT TO THE PROPERTY OR ANY OTHER MATTER WHATSOEVER (INCLUDING, WITHOUT LIMITATION ANY REPRESENTATIONS OR WARRANTIES REGARDING THE ENVIRONMENTAL CONDITION OR ANY HAZARDOUS MATERIALS (AS DEFINED BELOW) IN, ON, UNDER OR ABOUT THE PROPERTY OR THE CONSTRUCTION OF ANY IMPROVEMENTS ), (III) PRIOR TO THE INSPECTION DEADLINE, BUYER SHALL HAVE CONFIRMED INDEPENDENTLY ALL INFORMATION THAT IT CONSIDERS MATERIAL TO ITS PURCHASE OF THE PROPERTY OR THE TRANSACTION CONTEMPLATED HEREBY (INCLUDING, WITHOUT LIMITATION, THE CONDITION OF THE PROJECT AND TITLE TO THE PROPERTY), (IV) BUYER IS A SOPHISTICATED BUYER AND ACKNOWLEDGES THAT TO THE FULLEST EXTENT AT LAW, SELLER SHALL NOT BE RESPONSIBLE FOR ANY MATTERS AFFECTING THE PROPERTY, INCLUDING, WITHOUT LIMITATION, THE ENVIRONMENTAL CONDITION THEREOF OR CONSTRUCTION OF ANY IMPROVEMENTS OR OTHERWISE WITH RESPECT TO THE PROPERTY, AND (V) ANY INFORMATION PROVIDED WITH RESPECT TO THE PROPERTY (INCLUDING, WITHOUT LIMITATION, THE DUE DILIGENCE MATERIALS) IS SOLELY FOR BUYER’S CONVENIENCE AND SELLER HAS NOT MADE ANY INDEPENDENT INVESTIGATION OR VERIFICATION OF SUCH INFORMATION AND EXPRESSLY DISCLAIMS ALL REPRESENTATIONS AS TO THE ACCURACY OR COMPLETENESS OF THE SAME. AS USED HEREIN, “HAZARDOUS MATERIALS” MEANS ANY HAZARDOUS, TOXIC OR DANGEROUS WASTE, SUBSTANCE OR MATERIAL, POLLUTANT OR CONTAMINANT, AS DEFINED FOR PURPOSES OF THE COMPREHENSIVE ENVIRONMENTAL RESPONSE, COMPENSATION AND LIABILITY ACT OF 1980 (42 U.S.C. SECTION 9601 ET SEQ.), AS AMENDED, OR THE RESOURCE CONSERVATION AND RECOVERY ACT (42 U.S.C. SECTION 6901 ET SEQ.), AS AMENDED, OR ANY OTHER LAWS, OR ANY SUBSTANCE WHICH IS TOXIC, EXPLOSIVE, CORROSIVE, FLAMMABLE, INFECTIOUS, RADIOACTIVE, CARCINOGENIC, MUTAGENIC, OR OTHERWISE HAZARDOUS, OR ANY SUBSTANCE WHICH CONTAINS GASOLINE, DIESEL FUEL OR OTHER PETROLEUM HYDROCARBONS, POLYCHLORINATED BIPHENYLS (PCBS), OR RADON GAS, UREA FORMALDEHYDE, ASBESTOS OR LEAD. B. RELEASE. AS A MATERIAL PART OF THE CONSIDERATION TO SELLER FOR THE SALE OF THE PROPERTY, BUYER WAIVES, RELEASES, ACQUITS AND DISCHARGES SELLER AND SELLER’S MEMBERS, SHAREHOLDERS, PARTNERS, PRINCIPALS, SUBSIDIARIES, PARENT COMPANIES, AFFILIATES, DIRECTORS, OFFICERS, EMPLOYEES, AGENTS AND ATTORNEYS, AND THEIR RESPECTIVE DIRECTORS, OFFICERS, EMPLOYEES, AFFILIATES, AGENTS AND ATTORNEYS (COLLECTIVELY “SELLER’S PARTIES”) FROM ANY AND ALL LOSSES, COSTS, CLAIMS, LIABILITIES, EXPENSES, CAUSES OF ACTION, DEMANDS, FEES (INCLUDING, WITHOUT LIMITATION, ATTORNEYS’ FEES) AND OBLIGATIONS (COLLECTIVELY, “CLAIMS”), WHETHER OR NOT LATENT, KNOWN AND UNKNOWN, FORESEEN AND UNFORESEEN AND WHETHER OR NOT NOW ACCRUED, INCLUDING, Dr a f t 74116-27042/5883016.2 15 WITHOUT LIMITATION, ANY RIGHTS TO, OR CLAIM FOR, CONTRIBUTIONS OR INDEMNITY THAT ARE BASED DIRECTLY OR INDIRECTLY ON, ARISE FROM OR IN CONNECTION WITH, OR ARE RELATED TO (IN ANY WAY) (I) ANY PAST, PRESENT OR FUTURE CONDITION OF THE PROPERTY (INCLUDING, WITHOUT LIMITATION, THE PRESENCE OF ANY HAZARDOUS MATERIALS IN, ON, UNDER OR ABOUT THE PROPERTY OR THE CONSTRUCTION OF ANY IMPROVEMENTS), (II) ANY AND ALL STATEMENTS, REPRESENTATIONS, WARRANTIES, DETERMINATIONS, CONCLUSIONS, ASSESSMENTS, ASSERTIONS OR ANY OTHER INFORMATION CONTAINED IN ANY OF THE DUE DILIGENCE MATERIALS, (III) ANY DEFECT, INACCURACY OR INADEQUACY IN TITLE OF THE PROPERTY OR THE CONSTRUCTION OF ANY IMPROVEMENTS, AND (IV) THE PROPERTY OR THE USE, TENANCY, OCCUPANCY OR OPERATION THEREOF. BUYER HEREBY ACKNOWLEDGES AND AGREES THAT (A) BUYER MAY HEREAFTER DISCOVER FACTS DIFFERENT FROM, OR IN ADDITION TO, THOSE NOW OR AS OF THE CLOSING KNOWN OR BELIEVED TO BE TRUE REGARDING THE PROPERTY AND/OR DUE DILIGENCE MATERIALS, AND SELLER SHALL HAVE NO LIABILITY IN CONNECTION THEREWITH (BUYER HEREBY BEING SOLELY RESPONSIBLE FOR THE SAME), AND (B) BUYER’S AGREEMENT TO WAIVE, RELEASE, ACQUIT AND DISCHARGE SELLER AND SELLER’S PARTIES AS SET FORTH HEREIN SHALL REMAIN IN FULL FORCE AND EFFECT, NOTWITHSTANDING THE EXISTENCE OR DISCOVERY OF ANY SUCH DIFFERENT OR ADDITIONAL FACTS. WITH RESPECT TO THE RELEASES AND WAIVERS SET FORTH IN THIS SECTION, BUYER EXPRESSLY WAIVES THE BENEFITS OF SECTION 1542 OF THE CALIFORNIA CIVIL CODE, WHICH PROVIDES AS FOLLOWS: “A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY.” BUYER HAS BEEN ADVISED BY ITS LEGAL COUNSEL AND UNDERSTANDS THE SIGNIFICANCE OF THIS WAIVER OF SECTION 1542 RELATING TO UNKNOWN, UNSUSPECTED AND CONCEALED CLAIMS. BY ITS INITIALS BELOW, BUYER ACKNOWLEDGES THAT IT FULLY UNDERSTANDS, APPRECIATES AND ACCEPTS ALL OF THE TERMS OF THIS SECTION 11. _________________ BUYER’S INITIALS C. Survival. This Section 11 shall survive the termination of this Agreement and the Closing. 12. Exchange. Either party may decide to have this transaction qualify as part of a tax deferred exchange under Section 1031 of the Internal Revenue Code, in which case the other party agrees to cooperate with such exchange; provided, however, the exchanging party(ies) shall indemnify and hold the non-exchanging parties harmless from any additional third party cost or expense incurred in connection with such exchange, and no party will be required to any way act as a purchaser or seller of any property other than the Property. The inability of any party to effect an exchange shall not relieve that party of its obligation to conclude the transactions contemplated by this Agreement. 13. Energy Disclosures. Buyer acknowledges that the Project may be subject to laws pertaining to the energy efficiency, benchmarking, efficiency updates and/or utility usage (the “Energy Laws”). Buyer waives, to the maximum extent allowed by applicable law, any and all obligations of Seller to deliver any information or other reporting under the Energy Laws whether such failure occurs prior to execution and delivery of this Agreement or prior to the Closing. This provision shall survive the Closing. 14. Natural Hazard Disclosure. As used herein, the term “Act” shall mean the Natural Hazard Disclosure Act, California Government Code Sections 8589.3, 8589.4 and 51183.5, and California Public Resources Code Sections 2621.9, 2694 and 4136, and any successor statutes or laws. Buyer hereby acknowledges and agrees that (a) Seller has retained, or shall retain, the services of a third party company to examine the maps and other information made available to the public by government agencies for the purpose of enabling Seller to fulfill its Dr a f t 74116-27042/5883016.2 16 disclosure obligations with respect to the Act and to prepare the written report of the result of its examination (the “Report”), (b) Seller has provided, or shall provide, Buyer with a natural hazard disclosure statement (the “Disclosure Statement”) in a form required by the Act, (c) the Report fully and completely discharges Seller from its disclosure obligations under the Act and under California Civil Code Sections 1102 through 1102.17 and all other laws, and (d) the matters set forth in the Disclosure Statement or Report may change on or prior to the Closing and that Seller has no obligation to update, modify or supplement the Disclosure Statement or Report. 15. California Health and Safety Code Section 78700 Disclosure. California Health and Safety Code Section 78700 requires owners of nonresidential property who know or have reasonable cause to believe that a release of a hazardous material has come to be located on or beneath real property to provide written notice of that condition to a buyer of said real property. By Buyer’s execution of this Agreement, Buyer (a) acknowledges Buyer’s receipt of the foregoing disclosure and notice given pursuant to Section 78700 of the California Health and Safety Code, (b) confirms that it has become or will become fully aware prior to the Inspection Deadline of the condition of the Property, and (c) confirms that it has received advice of legal counsel concerning same and as of the Closing waives any and all rights or remedies whatsoever, express, implied, statutory or by operation of law, Buyer may have against Seller arising under Section 78700 of the California Health and Safety Code and/or with respect to the condition of the Property, and/or to terminate this Agreement as a result thereof. [ADDITIONAL ENVIRONMENTAL DISCLSOURES TO BE ADDED HERE] 16. Miscellaneous. A. Construction. The exhibits attached hereto are hereby incorporated herein as if fully set forth in this Agreement. This Agreement contains the entire agreement between the parties respecting the matters herein set forth and supersedes all prior agreements between the parties hereto respecting such matters. Words used in the singular shall include the plural, and vice versa. Whenever the words “including”, “include” or “includes” are used in this Agreement, they shall be interpreted in a non-exclusive manner. The captions and headings of the Sections of this Agreement are for convenience only. Except as otherwise indicated, all Exhibit and Section references in this Agreement shall be deemed to refer to the Exhibits and Sections in this Agreement. Each party acknowledges and agrees that this Agreement is the product of negotiations between the parties and shall not be deemed prepared or drafted by any one party. In the event of any dispute between the parties concerning this Agreement, the parties agree that any ambiguity in the language of the Agreement is to not to be resolved against Seller or Buyer, but shall be given a reasonable interpretation in accordance with the plain meaning of the terms of this Agreement and the intent of the parties as manifested hereby. This Agreement may be amended only by a written agreement executed by all parties. In no event shall any draft of this Agreement create any obligations or liabilities, it being intended that only a fully executed and delivered copy of this Agreement will bind the parties hereto. This Agreement does not and shall not be construed to create a partnership, joint venture or other relationship between Buyer and Seller, except the relationship of the buyer and seller established hereby. If Buyer is comprised of more than one person or party, all persons or parties constituting Buyer shall be jointly and severally liable hereunder. B. Successors and Assigns. Buyer may not assign or transfer its rights or obligations under this Agreement either directly or indirectly (whether by outright transfer, transfer of ownership interests or otherwise) without the prior written consent of Seller (which may be given or withheld in Seller’s sole and absolute discretion); provided, however, Seller shall not be entitled to withhold its consent to any assignment by Buyer of its interest in this Agreement on or before the Closing to an entity in which Buyer has control and has more than a fifty percent (50%) ownership interest so long as Buyer gives Seller at least seven (7) business days’ advance written notice thereof and Buyer and the assignee execute and deliver an assignment and assumption agreement in form reasonably satisfactory to Seller (which shall include, without limitation, such assignee making any and all representations and warranties of Buyer hereunder and an express acknowledgement to the terms and conditions of Section 11 hereof). In the event of a transfer, the transferee shall assume in writing all of the transferor’s obligations hereunder, but such transferor shall not be released from its obligations hereunder. No consent given by Seller to any transfer or assignment of Buyer’s rights or obligations hereunder shall be construed as a consent to any other transfer or assignment of Buyer’s rights or obligations hereunder. No transfer or assignment in violation of the provisions hereof shall be valid or enforceable. Subject to the foregoing, this Agreement and the terms and provisions hereof shall inure to the benefit of and be binding upon the successors and assigns of the parties. Dr a f t 74116-27042/5883016.2 17 C. Notices. Any notice which a party is required or may desire to give the other shall be in writing and shall be sent by (i) personal delivery, (ii) United States registered or certified mail, return receipt requested, postage prepaid, or (iii) by FedEx or similar generally recognized overnight courier regularly providing proof of delivery, addressed as set forth in the Basic Terms of this Agreement (subject to the right of a party to designate a different address for itself by notice similarly given at least five (5) days in advance). Any notice given by mail shall be deemed to have been given as of the date of delivery (whether accepted or refused) established by U.S. Post Office return receipt; and any notice given by overnight courier shall be deemed to have been given as of the date of the overnight courier’s proof of delivery. Notices may be given by facsimile transmission and/or as an electronic PDF file sent via email and shall be deemed given upon the sending of the same (provided no bounceback/failure to deliver is received), and provided a hard copy notice by mail or overnight courier is sent concurrently therewith as provided above. An attorney may provide notices on behalf of its client. D. Press Releases; Confidentiality. Buyer shall not disclose the terms and conditions of this Agreement to any third party, except as required by applicable laws or to its employees, agents, legal counsel or advisors as reasonably necessary to facilitate the transaction contemplated herein, provided that Buyer shall be responsible for any disclosures by its employees, agents, legal counsel or advisors. Upon the occurrence of the Closing, Seller shall have the right to make one or more announcements or press releases concerning the sale of the Property. Buyer shall not make any press release or public announcement regarding this Agreement or the transaction contemplated herein without coordinating same with Seller in advance. This provision shall survive any termination of this Agreement and the Closing. E. Legal Costs/Attorneys’ Fees. In the event any arbitration or proceeding is instituted by a party related to, or to enforce, this Agreement, the prevailing party in such action (as determined by the arbitrator, judge, agency or other authority before which such proceeding is commenced), shall be entitled to such reasonable attorneys’ fees (including, without limitation, reasonable outside counsel fees and in-house paralegals’ and attorneys’ time computed at similar rates), costs and expenses as may be fixed by the decision maker. This Agreement shall be construed and enforced in accordance with the internal laws of the State of California (without regard to conflicts of law). The parties hereby irrevocably waive their respective rights to a jury trial of any claim or cause of action based upon or arising out of this Agreement. This provision shall survive any termination of this Agreement and the Closing. F. Further Instruments. Each party will, whenever it shall be requested so to do by the other, cause to be executed, acknowledged and delivered any and all such further reasonable instruments and documents as may be reasonably required in order to carry out the intent and purpose of this Agreement. G. Time of the Essence. Time is of the essence of this Agreement. Whenever action must be taken under this Agreement during a certain period of time that ends on a non-business day, then such period shall be extended until the immediately following business day. As used herein, “business day” means any day other than a Saturday, Sunday or federal or California state holiday. H. Severability. If any term or provision of this Agreement shall be invalid or unenforceable, the remainder of this Agreement shall not be affected thereby. I. No Waiver. Any party may waive any of the conditions to its obligations hereunder, but any such waiver shall be effective only if contained in a writing signed by such party. No such waiver shall reduce the rights or remedies of a party by reason of any breach by the other party hereunder. No failure or delay by one party to exercise any right it may have by reason of the default of the other party shall operate as a waiver of default of this Agreement or shall prevent the exercise of any right by such party. J. Third Party Beneficiaries. No third party shall be entitled to enforce or otherwise shall acquire any right, remedy or benefit by reason of this Agreement. K. Counterparts. This Agreement may be executed in one or more counterparts (by original, facsimile or electronic signatures), each of which shall be deemed to constitute an original, but all of which, when taken together, shall constitute one and the same instrument. The parties intend to treat any facsimile or electronic PDF signature as if it were an original. Dr a f t 74116-27042/5883016.2 18 L. Blocking Event. Notwithstanding anything to the contrary contained in this Agreement, to the extent a Blocking Event (as defined below) has occurred on the Closing Date or during the two (2) business days immediately preceding the Closing Date, the Closing Date shall be extended until the date that is two (2) business days following a Blocking Event Cure (as defined below). A “Blocking Event” shall mean an event, development, condition or state of facts that is not within the reasonable control of the party claiming a Blocking Event and that: (i) prevents an overnight courier service from being able to pick up packages from, or deliver packages to, Buyer, Seller, Escrow Holder or Title Company, (ii) results in the inability of the Escrow Holder or Title Company to perform its duties as contemplated herein, provided that it shall not be a Blocking Event if a replacement escrow agent and/or title officer, as applicable, within a national title insurance company agrees to act as escrow agent or title officer, as applicable, pursuant to the terms of this Agreement at no additional liability to either party, (iii) results in any lienholder needed to cause the satisfaction or removal of any lien required to be satisfied or removed prior to Closing pursuant to this Agreement being closed for operations and unable to timely release or discharge such lien, (iv) results in the local recording office being unable to record documents and the Title Company being unwilling or unable to provide gap coverage, or (v) prevents banks from sending wire transfers. “Blocking Event Cure” shall mean with respect to any Blocking Event (A) described in clause (i) of the definition above, the resumption of deliveries by any nationally recognized overnight courier, (B) described in clause (ii) of the definition above, the ability of the Escrow Holder and Title Company to perform its duties as contemplated herein have resumed, (C) described in clause (iii) of the definition above, the reopening of such lien holder, (D) described in clause (iv) of the definition above, the ability of such local recording office to record documents has resumed, and (E) described in clause (v) of the definition above, the ability of wires to be sent and processed has recommenced. [END OF TEXT; SIGNATURES ON FOLLOWING PAGE] Dr a f t 74116-27042/5883016.2 19 IN WITNESS WHEREOF, the parties hereto have executed this Agreement effective as of the Effective Date. SELLER: REXFORD INDUSTRIAL REALTY, L.P., a Maryland limited partnership By: Rexford Industrial Realty, Inc., a Maryland corporation Its General Partner By: Name: Its: Date: , 2025 BUYER: ORANGE COUNTY SANITATION DISTRICT a sanitation district organized and existing under the County Sanitation District Act, Health & Safety Code §§ 4700 et seq. By: Approved to form by: ________________________ Name: Ryan P. Gallagher, Name: Scott C. Smith Its: Board Chairman Its: General Counsel Date: , 2025 Attest by:________________________ Name: Kelly A. Lore Its: Clerk of the Board Date: 2025 If Buyer is a CALIFORNIA CORPORATION, the authorized officers must sign on behalf of the corporation and indicate the capacity in which they are signing. The Purchase Agreement must be executed by the president or vice-president and the secretary or assistant secretary, unless the bylaws or a resolution of the board of directors shall otherwise provide, in which event, the bylaws or a certified copy of the resolution, as the case may be, must be delivered to Seller. ESCROW HOLDER’S ACKNOWLEDGEMENT The undersigned hereby executes this Agreement to evidence its receipt of executed originals or electronic PDF copies of this Agreement and its agreement to act as Escrow Holder in accordance with the terms of this Agreement. ESCROW HOLDER: CHICAGO TITLE COMPANY By: Name: Its: Date: 2025 Dr a f t 74116-27042/5883016.2 20 EXHIBIT LIST Exhibit “A” - Description of Land Exhibit “B” - List of Leases Exhibit “C” - Form of Deed Exhibit “D” - Form of Bill of Sale Exhibit “E” - Form of Assignment Exhibit “F” - Form of Tenant Notice Exhibit “G” - Form of Estoppel Certificate Dr a f t 74116-27042/5883016.2 47605760.6 724396-00900 Exhibit A-1 EXHIBIT “A” DESCRIPTION OF LAND All that certain real property situated in the City of Fountain Valley, County of Orange, State of California, described as follows: THAT PORTION OF THE WEST HALF OF THE NORTHWEST QUARTER OF SECTION 33, TOWNSHIP 5 SOUTH, RANGE 10 WEST, IN THE RANCHO LAS BOLSAS, IN THE CITY OF FOUNTAIN VALLEY, COUNTY OF ORANGE, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 51, PAGE 12 OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF ORANGE COUNTY, CALIFORNIA, WHICH IS SHOWN AS PARCEL 2 ON PARCEL MAP RECORDED OCTOBER 10, 1972 IN BOOK 47, PAGE 1 OF PARCEL MAPS OF SAID COUNTY. APN: 156-171-41 END OF LEGAL DESCRIPTION Dr a f t 74116-27042/5883016.2 47605760.6 724396-00900 Exhibit B-1 EXHIBIT “B” LIST OF LEASES That certain Standard Industrial Single Tenant Lease – Net dated December 20, 2019 by and between Seller, as “landlord,” and Seller’s predecessor owner of the Property (or its affiliate), PPM Investments, LLC, a Delaware limited liability company. END OF EXHIBIT Dr a f t 74116-27042/5883016.2 Exhibit C-1 EXHIBIT “C” FORM OF DEED RECORDING REQUESTED BY, WHEN RECORDED MAIL TO & MAIL TAX STATEMENTS TO: Attention: APN: SPACE ABOVE THIS LINE RESERVED FOR RECORDER’S USE Escrow Order No. _______________ GRANT DEED THE UNDERSIGNED GRANTOR DECLARES THAT DOCUMENTARY TRANSFER TAX IS COUNTY TRANSFER TAX $_______________; CITY TRANSFER TAX $________________. [X] computed on full value of property conveyed, or [ ] computed on full value less value of liens or encumbrances remaining at time of sale. [ ] unincorporated area [ ] City of _________, AND FOR VALUE RECEIVED, ________________, a _______________ (“Grantor”), hereby GRANTS to ____________________, all that certain real property situated in the City of __________________, County of ______________, State of California, described on Schedule 1 attached hereto and by this reference incorporated herein together with all of Grantor’s right, title and interest in and to the improvements and structures thereon and all privileges, easements, appurtenances, rights-of-way and hereditaments appertaining to the same, subject to all matters of record and all matters that would be reflected on an accurate survey as of the time of recordation of this deed. [END OF TEXT; SIGNATURES ON FOLLOWING PAGE] Dr a f t 74116-27042/5883016.2 Exhibit C-2 IN WITNESS WHEREOF, the undersigned hereby execute(s) this instrument effective as of the ____ day of ___________ 202__. GRANTOR: [INSERT GRANTOR’S SIGNATURE BLOCK] INSERT SCHEDULE 1 (LEGAL DESCRIPTION) PRIOR TO CLOSING INSERT APPLICABLE NOTARY ACKNOWLEDGEMENT(S) EXHIBIT ONLY – DO NOT SIGN Dr a f t 74116-27042/5883016.2 Exhibit D-1 EXHIBIT “D” FORM OF BILL OF SALE QUITCLAIM BILL OF SALE THIS QUITCLAIM BILL OF SALE (“Bill of Sale”), is made effective as of ____________, 202__ (the “Effective Date”), by ___________________, a _________________ (“Seller”), to and for the benefit of ___________________, a _________________ (“Buyer”), and is made with reference to the following facts, which are a material part of this Bill of Sale: A. Seller and Buyer (or Buyer’s predecessor in interest) entered into that certain Purchase and Sale Agreement dated ____________________, 202__ (as amended, the “Purchase Agreement”) for the purchase and sale of certain real property as more particularly described in the Purchase Agreement, which also provides for the ancillary Bill of Sale of Personal Property to the extent provided in the Purchase Agreement. All capitalized terms not defined herein have the meanings assigned to such terms in the Purchase Agreement. B. This Bill of Sale is being made pursuant to the terms of the Purchase Agreement for the purpose of assigning to Buyer all of Seller’s rights, title and interest in and to the Personal Property, if any, as described in the Purchase Agreement. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Seller hereby quitclaims to Buyer all of Seller’s right, title and interest in the Personal Property. BUYER ACKNOWLEDGES AND AGREES THAT SELLER HAS NOT MADE, DOES NOT MAKE AND SPECIFICALLY DISCLAIMS ANY REPRESENTATIONS, WARRANTIES, PROMISES, COVENANTS, AGREEMENTS OR GUARANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE, OF, AS TO, CONCERNING OR WITH RESPECT TO (A) THE NATURE, QUALITY OR CONDITIONS OF THE PERSONAL PROPERTY, (B) THE SUITABILITY OF THE PERSONAL PROPERTY FOR ANY AND ALL ACTIVITIES AND USES WHICH BUYER MAY CONDUCT, (C) THE COMPLIANCE OF OR BY THE PERSONAL PROPERTY OR ITS OPERATION WITH ANY LAWS, RULES, ORDINANCES OR REGULATIONS OF ANY APPLICABLE GOVERNMENTAL AUTHORITY OR BODY, (D) THE HABITABILITY, MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OF THE PERSONAL PROPERTY, OR (E) ANY OTHER MATTER WITH RESPECT TO THE PERSONAL PROPERTY. BUYER FURTHER ACKNOWLEDGES, AGREES AND AFFIRMS THAT: (I) HAVING BEEN GIVEN THE OPPORTUNITY TO INSPECT THE PERSONAL PROPERTY, BUYER IS RELYING SOLELY ON ITS OWN INVESTIGATION OF THE PERSONAL PROPERTY AND NOT ON ANY INFORMATION PROVIDED OR TO BE PROVIDED BY SELLER, (II) THAT ANY INFORMATION PROVIDED OR TO BE PROVIDED WITH RESPECT TO THE PERSONAL PROPERTY WAS OBTAINED FROM A VARIETY OF SOURCES AND THAT SELLER HAS NOT MADE ANY INDEPENDENT INVESTIGATION OR VERIFICATION OF SUCH INFORMATION, AND (III) THAT THE SALE OF THE PERSONAL PROPERTY AS PROVIDED FOR HEREIN IS MADE ON AN “AS IS, WHERE IS, WITH ALL FAULTS” CONDITION AND BASIS. THIS QUITCLAIM BILL OF SALE IS SUBJECT TO THE AGREEMENTS AND LIMITATIONS SET FORTH IN THE PURCHASE AGREEMENT. In the event any arbitration or proceeding is instituted by a party related to, or to enforce, this Bill of Sale, the prevailing party in such action (as determined by the arbitrator, judge, agency or other authority before which such proceeding is commenced), shall be entitled to such reasonable attorneys’ fees (including, without limitation, reasonable outside counsel fees and in-house paralegals’ and attorneys’ time computed at similar rates), costs and expenses as may be fixed by the decision maker. This Bill of Sale shall inure to the benefit of and shall be binding upon Seller, Buyer and their respective successors and assigns, and shall be governed by, interpreted under, and construed in accordance with the laws of the State of California, without regard to the choice of laws provision said state. This Bill of Sale may be executed in Dr a f t 74116-27042/5883016.2 Exhibit D-2 one or more counterparts (by original, facsimile or electronic signatures), each of which shall be deemed an original, but all of which shall constitute one and the same document. [END OF TEXT; SIGNATURES ON FOLLOWING PAGE] Dr a f t 74116-27042/5883016.2 Exhibit D-3 IN WITNESS WHEREOF, the undersigned hereby execute this Bill of Sale as of the Effective Date. SELLER: [INSERT SELLER’S SIGNATURE BLOCK] BUYER: [INSERT SELLER’S SIGNATURE BLOCK] EXHIBIT ONLY – DO NOT SIGN Dr a f t 74116-27042/5883016.2 Exhibit E-1 EXHIBIT “E” FORM OF ASSIGNMENT ASSIGNMENT AND ASSUMPTION THIS ASSIGNMENT AND ASSUMPTION (“Assignment”) is made effective as of ______________, 202__ (the “Effective Date”), by and between ______________, a _____________ (“Assignor”), and ______________, a _____________ (“Assignee”), and is made with reference to the following facts, which are a material part of this Assignment. A. Assignor and Assignee (or Assignee’s predecessor in interest) are parties to that certain Purchase and Sale Agreement dated _______________, 202__ (as amended, the “Purchase Agreement”), whereby Assignee is purchasing the Property (as defined in the Purchase Agreement) and this Assignment is being delivered in furtherance of the parties’ performance under the Purchase Agreement. All capitalized terms not defined herein have the meanings assigned to such terms in the Purchase Agreement. B. The Property is leased to certain tenants pursuant to the leases set forth on Schedule 1 attached hereto (the “Leases”). C. As used herein, “Leases” shall exclude and Assignor hereby reserves unto itself all rights and claims of Assignor with respect to indemnities and liability insurance claims of Assignor and its affiliates that relate to or arise from events or circumstances arising, occurring or existing prior to the Effective Date under or with respect to the Leases. D. Assignor may have used or acquired certain Intangible Property in connection with the ownership and/or operation of the Property, including, without limitation, contract rights, including without limitation, those Assumed Contracts set forth on Schedule 2 hereto. E. Assignor desires to assign all of the right, title and interest of and as the landlord under the Leases and any refundable security deposits thereunder, including, without limitation, those security deposits set forth on Schedule 3 attached hereto (collectively, the “Security Deposits”), and Assignee desires to accept the assignment thereof and assume the obligations of Assignor as the landlord under the Leases, all as more particularly provided in this Assignment. F. Assignor desires to assign all of its right, title and interest in and to the Intangible Property to Assignee, and Assignee desires to accept the assignment thereof, all as more particularly provided in this Assignment. NOW, THEREFORE, in consideration of the promises and conditions contained herein, the parties hereby agree as follows: 1. Assignment. Subject to the terms of the Purchase Agreement, Assignor hereby assigns and transfers to Assignee, effective as of the Effective Date, all of Assignor’s right, title and interest in and to the Leases, the Security Deposits and, to the extent assignable, the Intangible Property (including, without limitation, and to the extent assignable, any Assumed Contracts). 2. Assumption. Assignee hereby agrees to and accepts the assignment of Assignor’s rights under the Leases and the Intangible Property, and assumes and agrees to perform all obligations required to be kept and performed by Assignor with respect to the Leases (including, without limitation, the accounting of the Security Deposits thereunder to tenants) and the Intangible Property (including, without limitation, the Assumed Contracts) arising or accruing from and after the Effective Date. 3. Construction. The language in all parts of this Assignment shall be in all cases construed simply according to its fair meaning and not strictly for or against any of the parties hereto. Each party acknowledges that the terms and conditions of this Assignment resulted from arms-length negotiations between the parties, and each Dr a f t 74116-27042/5883016.2 Exhibit E-2 party agrees that any rule of construction or interpretation providing for any uncertain provision to be construed against the draftsperson of this Assignment shall not apply. The use of the terms “include” or “including” is intended to be inclusive, not exclusive, and should not be construed to limit the application of any provision of this Assignment. The captions of the sections of this Assignment are for convenience only, and shall not be relied upon in interpreting this Assignment. Notwithstanding anything to the contrary, the covenants, agreements and limitations provided in the Purchase Agreement with respect to the property conveyed hereunder are hereby incorporated herein by this reference as if herein set out in full. 4. Counterparts. This Assignment may be executed in multiple counterparts (by original, facsimile or electronic PDF signatures), each of which shall be deemed an original Assignment, and all of which shall constitute one (1) Assignment notwithstanding that all of the parties are not signatories to the original or the same counterpart, to be effective as of the date provided in this Assignment. 5. Governing Law. This Assignment shall be construed according to the laws of the State of California, without regard to the conflict of laws provisions of such laws. 6. Validity. Should any portion of this Assignment be declared invalid and unenforceable, then such portion shall be deemed to be severable from this Assignment and shall not affect the remainder hereof. 7. Attorneys’ Fees/Legal Expenses. In the event any arbitration or proceeding is instituted by a party related to, or to enforce, this Assignment, the prevailing party in such action (as determined by the arbitrator, judge, agency or other authority before which such proceeding is commenced), shall be entitled to such reasonable attorneys’ fees (including, without limitation, reasonable outside counsel fees and in-house paralegals’ and attorneys’ time computed at similar rates), costs and expenses as may be fixed by the decision maker. [END OF TEXT; SIGNATURES ON FOLLOWING PAGE] Dr a f t 74116-27042/5883016.2 Exhibit E-3 IN WITNESS WHEREOF, the undersigned hereby execute this Assignment as of the Effective Date. ASSIGNOR: [INSERT ASSIGNOR’S SIGNATURE BLOCK] ASSIGNEE: [INSERT ASSIGNEE’S SIGNATURE BLOCK] INSERT SCHEDULE 1 (LEASES), SCHEDULE 2 (ASSUMED CONTRACTS) AND SCHEDULE 3 (SECURITY DEPOSITS) PRIOR TO CLOSING EXHIBIT ONLY – DO NOT SIGN Dr a f t 74116-27042/5883016.2 Exhibit F-1 EXHIBIT “F” FORM OF TENANT NOTICE _______________, 202__ Re: ___________________, ___________, California. Dear Tenant: Please be advised that, effective as of the date hereof, _________________, a __________ (“Seller”), sold its interest in the above-referenced property and assigned its interest in your lease and any security deposit(s) at such property (the “Lease”) to __________________, a _________________ (“Buyer”). Consequently, Buyer is now your landlord and the referenced security deposit(s), if any, under the Lease has been transferred to and received by Buyer. Buyer is now responsible to account to you under the Lease and at law for the security deposit(s) transferred by Seller. All future notices and other communication to the landlord under the Lease, and all rent and other charges due on or after the date hereof, should be delivered to Buyer at the following address: Attention: ______________ can be contacted by phone at _____________ or by email at __________________ in the event of any questions pertaining to the matters set forth herein. Thank you for your cooperation. Very truly yours, a By: Name: Its: EXHIBIT ONLY – DO NOT SIGN Dr a f t 74116-27042/5883016.2 Exhibit G-1 EXHIBIT “G” FORM OF ESTOPPEL CERTIFICATE ______________________ (“Tenant”), hereby certifies to _____________________ (“Landlord”), and _____________ (“Buyer”) as follows: 1. Tenant is the tenant of certain space (the “Premises”) in the building commonly known as _________________ (the “Building”), known as Suite No. ____, under a lease dated __________, ______ (the “Lease”) entered into between Tenant and Landlord or Landlord’s predecessor. 2. The Lease is presently in full force and effect and, to Tenant’s actual knowledge, Tenant is not in default thereunder. 3. The Lease and all amendments thereto, as listed on Schedule 1 attached hereto, constitutes the entire agreement between Landlord and Tenant regarding the Premises and there has been no amendment, written or oral, to the Lease except as follows: __________________________________________________________, (“none” will apply unless otherwise indicated). 4. Tenant has accepted the Premises. Tenant has not entered into any sublease or assignment transferring any of Tenant’s interest in the Lease or the Premises except as follows: _________________________________ (“none” will apply unless otherwise indicated). 5. The term of the Lease commenced on _______________, ____, and will end on ____________. Tenant has no right or option to extend the Lease term except as follows: ______________________ (“none” will apply unless otherwise indicated). 6. The monthly rental for lease year _____ - _____ is _____________________________ Dollars ($__________), which amount has been paid through _____________. 7. To Tenant’s actual knowledge, there are no existing defenses, offsets, claims or credits which Tenant has against the enforcement of the Lease. 8. Tenant is required to pay its pro rata share of operating expenses of the Building and its pro rata share of the Building’s real property taxes and insurance costs, which amount is currently $_______ per month. The base year under the Lease, if applicable, is ___________. 9. Tenant has no option or preferential right to purchase all or any part of the Premises, except as follows: _______________________ (“none” will apply unless otherwise indicated). 10. All tenant improvement work to be performed by Landlord under the Lease as of the date hereof has been completed, all promises given by Landlord of an inducement nature have been performed, and all reimbursements and allowances (including improvement allowances, free rent and/or other concessions) due to Tenant under the Lease as of the date hereof have been paid (or credited to Tenant) in full except as follows: ___________________________________ (“none” will apply unless otherwise indicated). 11. To Tenant’s actual knowledge, Landlord is not in default under the Lease. 12. The amount of the security deposit paid under the terms of the Lease is ___________________________ Dollars ($__________). No rent under the Lease has been paid more than one month in advance, and no other sums have been deposited with Landlord. 13. Tenant acknowledges the right of Buyer to rely upon the certifications and agreements contained in this certificate in purchasing the property. Dr a f t 74116-27042/5883016.2 Exhibit G-2 Dated this _______ day of ______________, 202__. TENANT: [INSERT TENANT SIGNATURE BLOCK] INSERT SCHEDULE 1 (COPY/DESCRIPTION OF LEASE) PRIOR TO EXECUTION OF ESTOPPEL CERTIFICATE EXHIBIT ONLY – DO NOT SIGN Dr a f t BOARD OF DIRECTORS Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4575 Agenda Date:10/22/2025 Agenda Item No:CS-1 FROM:Robert Thompson, 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 Michael Oberly v. Orange County Sanitation District, Orange County Superior Court and Does 1-25, Orange County Superior Court Case No. 30-2025-01489491-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: ·Memorandum from General Counsel Orange County Sanitation District Printed on 10/15/2025Page 1 of 1 powered by Legistar™ Scott C. Smith (949) 263-6561 scott.smith@bbklaw.com 18101 Von Karman Avenue.Suite 1000.Irvine, CA 92612 Phone: (949) 263-2600 | Fax: (949) 260-0972 bbklaw.com Memorandum To: Honorable Chair and Members of the Orange County Sanitation District Board of Directors From: General Counsel Date: October 22, 2025 Re: Closed Session Items The Board will hold a closed session on October 22, 2025, for the purpose of conferring with its legal counsel regarding existing litigation to which the Orange County Sanitation District is a party. The title of the matter is Michael Oberly v. Orange County Sanitation District and Does 1- 25, Orange County Superior Court Case No. 30-2025-01489491-CU-OE-CJC. The closed session will be held pursuant to the authority of California Government Code section 54956.9(d)(1). Respectfully submitted, SCOTT C. SMITH BOARD OF DIRECTORS Agenda Report Headquarters 18480 Bandilier Circle Fountain Valley, CA 92708 (714) 593-7433 File #:2025-4576 Agenda Date:10/22/2025 Agenda Item No:CS-2 FROM:Robert Thompson, General Manager SUBJECT: CONFERENCE WITH REAL PROPERTY NEGOTIATORS - GOVERNMENT CODE SECTION 54956.8 RECOMMENDATION: Convene in Closed Session: Property: 18250 Euclid Street, Fountain Valley, CA - APN No.156-171-41. Agency negotiators: General Manager Robert Thompson; Assistant General Manager Lorenzo Tyner; and Director of Finance Wally Ritchie. Negotiating parties: Rexford Industrial Realty LP Under negotiation: Price and Terms of payment 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)are included in hard copy and may also be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: ·Memorandum from General Counsel Orange County Sanitation District Printed on 10/15/2025Page 1 of 1 powered by Legistar™ Scott C. Smith (949) 263-6561 scott.smith@bbklaw.com 18101 Von Karman Avenue.Suite 1000.Irvine, CA 92612 Phone: (949) 263-2600 | Fax: (949) 260-0972 bbklaw.com Memorandum To: Honorable Chair and Members of the Orange County Sanitation District Board of Directors From: General Counsel Date: October 22, 2025 Re: Closed Session Item The Board will hold a closed session on October 22, 2025, for the purpose of holding a conference with its real property negotiators regarding the acquisition of real property located at 18250 Euclid Street in Fountain Valley, California. The closed session will be held pursuant to the authority of California Government Code section 54956.8. Respectfully submitted, SCOTT C. SMITH ORANGE COUNTY SANITATION DISTRICT COMMON ACRONYMS ACWA Association of California Water Agencies LOS Level Of Service RFP Request For Proposal APWA American Public Works Association MGD Million Gallons Per Day RWQCB Regional Water Quality Control Board AQMD Air Quality Management District MOU Memorandum of Understanding SARFPA Santa Ana River Flood Protection Agency ASCE American Society of Civil Engineers NACWA National Association of Clean Water Agencies SARI Santa Ana River Interceptor BOD Biochemical Oxygen Demand NEPA National Environmental Policy Act SARWQCB Santa Ana Regional Water Quality Control Board CARB California Air Resources Board NGOs Non-Governmental Organizations SAWPA Santa Ana Watershed Project Authority CASA California Association of Sanitation Agencies NPDES National Pollutant Discharge Elimination System SCADA Supervisory Control And Data Acquisition CCTV Closed Circuit Television NWRI National Water Research Institute SCAP Southern California Alliance of Publicly Owned Treatment Works CEQA California Environmental Quality Act O & M Operations & Maintenance SCAQMD South Coast Air Quality Management District CIP Capital Improvement Program OCCOG Orange County Council of Governments SOCWA South Orange County Wastewater Authority CRWQCB California Regional Water Quality Control Board OCHCA Orange County Health Care Agency SRF Clean Water State Revolving Fund CWA Clean Water Act OCSD Orange County Sanitation District SSMP Sewer System Management Plan CWEA California Water Environment Association OCWD Orange County Water District SSO Sanitary Sewer Overflow EIR Environmental Impact Report OOBS Ocean Outfall Booster Station SWRCB State Water Resources Control Board EMT Executive Management Team OSHA Occupational Safety and Health Administration TDS Total Dissolved Solids EPA US Environmental Protection Agency PCSA Professional Consultant/Construction Services Agreement TMDL Total Maximum Daily Load FOG Fats, Oils, and Grease PDSA Professional Design Services Agreement TSS Total Suspended Solids gpd gallons per day PFAS Per- and Polyfluoroalkyl Substances WDR Waste Discharge Requirements GWRS Groundwater Replenishment System PFOA Perfluorooctanoic Acid WEF Water Environment Federation ICS Incident Command System PFOS Perfluorooctanesulfonic Acid WERF Water Environment & Reuse Foundation IERP Integrated Emergency Response Plan POTW Publicly Owned Treatment Works WIFIA Water Infrastructure Finance and Innovation Act JPA Joint Powers Authority ppm parts per million WIIN Water Infrastructure Improvements for the Nation Act LAFCO Local Agency Formation Commission PSA Professional Services Agreement WRDA Water Resources 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) – A joint 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.