JOINT POWERS FINANCING AUTHORITY AGENDA PACKET 9-15-26

Page 1 of 6 Item #2 JOINT POWERS FINANCING AUTHORITY AGENDA REPORT September 15, 2026 Finance TITLE: ADOPT A RESOLUTION APPROVING, AUTHORIZING AND DIRECTING EXECUTION OF CERTAIN FINANCING DOCUMENTS AND ACTIONS IN CONNECTION WITH ISSUING UP TO $16,500,000 IN WATER REVENUE BONDS FOR FINANCING IMPROVEMENTS TO THE CITY’S WATER SYSTEM SUMMARY The proposed Water Revenue Bonds (Bonds) to be issued by the Pleasanton Joint Powers Financing Authority (Authority) for an amount not to exceed $16.50 million will fund improvements to the City’s water systems infrastructure and pay costs of bond issuance. The Bonds will (1) be sold via negotiated sale to Siebert Williams Shank & Co., LLC, as underwriter, (2) mature in 25 years, (3) have an interest rate not to exceed 5.5 percent, and (4) include a call provision allowing the City to redeem, at the City’s option, some or all of the Bonds prior to their scheduled maturity. This is a companion report to the action being considered by the City. This is a separate, but related, action from the authorization to issue bonds, which will be handled through the City to fund water system improvements. BACKGROUND The Authority is a joint exercise of powers agency formed between the City and the City’s Housing Authority to assist the City with municipal financing transactions. The City Council sits as the governing body of the Authority, and City staff serve as staff of the Authority. On May 7, 2024, the City Council approved a resolution to issue 2024 Water Revenue Bonds in a par amount of $17,275,000. The bonds were sold via negotiated sale on May 20, 2024. The bond proceeds amounted to $19,000,000, including premiums. The 2024 Water Revenue Bonds were allocated to fund the Near-Term Water Improvements Project, the feasibility and design phase of the Groundwater Supply Project, the design and initial construction of the Emergency Power Improvements Project, and other water system infrastructure improvements. As of the end of June 2026, the Near-Term Water Improvements Project was approximately 92 percent complete and is expected to be fully complete by the end of 2026. The feasibility phase of the Groundwater Supply Project is complete, the design of the Emergency Power Improvements Project is complete with construction anticipated to start by the end of 2026. Following completion of the City’s Water System Management Plan (WSMP) in 2024, the City completed a comprehensive water rate study in 2025. The study identified the need to issue approximately $35 million in additional debt financing through 2030 to implement the City's water capital improvements. The anticipated financing schedule includes approximately $15 million in FY 2026/27, $10 million in FY 2027/28, and $10 million in FY 2028/29. Page 3 of 205