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of financing options to minimize the amount of debt. She does not like raising the rates but $5 per month to support construction that will provide a reliable source of clean water is reasonable. Councilmember Testa seconded the motion. Councilmember Arkin advised safe drinking water is of the utmost importance to the health and safety of residents. She expressed support for the funding strategy and feels the City needs to be very aggressive in looking for grant funding. Councilmember Balch expressed support for the motion and appreciation for the analysis as it translates to rates for ratepayers. He encouraged continuing to look for synergies to partner with Zone 7 for opportunities to reduce costs. He noted there is a risk that the interest rates could be greater than the 4% and would be interested in reassessing with the rate study. Mayor Brown noted Pleasanton is responsible for providing safe, clean drinking water to residents and if the City bought all its water from Zone 7 it would increase the average water rate by 42%. She advised the City has hired a firm to help obtain grant funds to offset the cost to the community. MOTION: It was m/s by Narum/Testa to approve the funding plan as proposed and the strategy as outlined to pursue the State loan and to move to Revenue Bonds if there is a delay in the implementation of the plan. The Motion passed by the following vote: Ayes: Councilmembers Arkin, Balch, Narum, Testa, Mayor Brown Noes: None Absent: None 18. Continued - Public Hearing — Consider adoption of a resolution approving amendments to the Downtown Specific Plan and introduce an ordinance approving amendments to Chapters 18.08 and 18.81 of the Pleasanton Municipal Code, regarding the Active Ground Floor Use Overlay MATTERS INITIATED BY COUNCIL Councilmember Testa requested speakers at City Council meetings be on the video. COUNCIL REPORTS Councilmember Balch reported attendance at the Goodness Village Spaghetti Fundraiser. He requested additional information regarding the watering of City parks. He reported the Pleasanton and Livermore Fire Department is holding a 9/11 remembrance on Saturday, September 11th at 9:30 a.m. at all City fire stations. City Manager Fialho advised this is the result of the City's stance on mandatory conservation. He advised a drought update will be presented to the City Council in October to provide a sense of what Zone 7 and other agencies have done and make a recommendation on the declaration which at this point stands at a mandatory 15%. Councilmember Arkin reported attendance at the Live rmore-Am ad or Valley Water Management Agency (LAVWMA). She reported attendance at the Goodness Village Spaghetti Fundraiser and giving the Mayor's Report on behalf of Mayor Brown. Councilmember Testa reported attendance at the Goodness Village Spaghetti Fundraiser, the LAVWMA meeting, State of the Tri -Valley, and the Alameda County Mosquito Abatement District meeting. City Council Minutes Page 15 of 16 September 7, 2021