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With good precipitation in the early months of 2016, in June 2016 the Agencies terminated their local drought emergency declaration and ended mandatory water conservation measures. On December 20, 2016, the DSRSD Board reviewed operational and financial options for the fill station. The DERWA (DSRSD-EBMUD Recycled Water Authority) Recycled Water Treatment Plant Expansion Project was planned to start in January 2017 and continue through summer 2018. The project entailed significant construction activity in and around the WWTP gate area which would create traffic conflicts with residential recycled water haulers and potential unsafe conditions. To avoid conflicts with the project construction, the Board directed closure of the fill station. In July 2020, the Board's decision to keep the fill station closed was incorporated into an update of the District's Water Recycling policy which stated the District would provide recycled water for off-haul to residential customers only in times of mandatory potable water conservation. During this time, many Pleasanton residents inquired about accessing DSRSD's recycled water fill station and interest grew into 2021, at which time DSRSD and the cities of Livermore and Pleasanton began to explore other site options for a residential recycled water fill station. On September 1, 2021, the Zone 7 Board of Directors declared a state of drought emergency within its service area and a Stage 2 water shortage. In October 2021 , the Agencies also declared a Stage 2 water shortage and 15 percent mandatory conservation compared to 2020 potable water usage. To alleviate the impact of conservation to residential customers, the Agencies have been working collaboratively to replace the fill station that was located at the WWTP during the 2014-2015 drought. In November 2021, the DSRSD Board authorized staff to explore the use of its undeveloped property on Gleason Drive in Dublin. Since this time, staff from DSRSD, Livermore, and Pleasanton developed a temporary recycled water fill station project that included the construction and operation of a temporary fill station during mandatory conservation. In March 2022, this project was presented to each Agencies' governing body. All Agencies approved the initial agreement, construction, and operating costs for $1.4 million. In March 2022, DSRSD facilitated the bid process and solicited bids. DSRSD received two bids ranging from $1,466,292.91 to $1,748,260, significantly higher than the engineer's estimate for the project at $970,000. Staff presented the revised project costs and requested City Council to authorize additional funding for the project at its April 19, 2022, meeting, however, City Council voted to rescind the agreement citing the cost of the project was too costly for the uncertainty of the success of the fill station and cost-to-benefit ratio. City Council directed staff to work with the Agencies to find another location that would not require extensive construction, thereby lowering the cost of the project. The Agencies reconvened and no viable options were presented in the cities of Dublin or Livermore. The proposed site for the fill station is in Pleasanton at 5997 Parkside Dr. at the Zone 7 building and in the City of Pleasanton-owned parking lot. This site is adjacent to the City's recycled water line and provides sufficient ingress and egress. Page 3 of 6