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ATTACHMENT 1 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PLEASANTON, ENCOURAGING THE ZONE 7 WATER AGENCY BOARD OF DIRECTORS TO CONSIDER PLEASANTON'S COMMENTS ON PROPOSED WHOLESALE WATER RATES COMMENCING JANUARY 1, 2019 WHEREAS, the Zone 7 Water Agency Board of Directors is considering a multi-year wholesale treated water rate increase; and WHEREAS, the City of Pleasanton understands and supports the need for predictable revenues to support necessary capital improvements and sufficient operating reserves; and WHEREAS, the current prevailing public perception is that customers' conservation savings are being "rewarded"with substantial rate increases; and WHEREAS, the City of Pleasanton supports water conservation and the coordination of water activities and is committed to working with all local, regional and state agencies to develop water policies that minimize the need for water rate adjustments; and WHEREAS, the City of Pleasanton supports a rate structure which is consistent, fair and equitable to all of the tri-valley retailers; NOW, THEREFORE BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF PLEASANTON DOES RESOLVE, DECLARE, DETERMINE AND ORDER THE FOLLOWING: SECTION 1. That the City of Pleasanton recommends that the Zone 7 Water Agency, Board of Directors delay their adoption of the multi-year rate proposal for increasing wholesale water rates commencing January 1, 2019;to allow the public and retailers adequate time to review and comment on the proposed rate changes; and SECTION 2. That the City of Pleasanton recommends that the Zone 7 Water Agency, Board of Directors rely on issuing bonds for major capital projects to reflect the useful life of the facility and ensures future users pay their fair share of the cost; and SECTION 3. That the City of Pleasanton recommends that Zone 7 Water Agency, Board of Directors reorganize their reserves and fund the replenishment of those reserves by the net revenues (surpluses) and not by raising rates; and SECTION 4. That the City of Pleasanton encourages the Zone 7 Board of Directors to continue facilitating opportunities for comment from its water users and the general public on matters related to water rates; and SECTION 5. In the event that the Zone 7 Water Agency Board of Directors is not considering the City of Pleasanton's recommendations, the City is unable to support the proposed rates. PASSED, APPROVED AND ADOPTED by the City Council of the City of Pleasanton at a regular meeting held on 16th day of October, 2018