Common Council Agenda Packet - 7:30 PM

City of Oconomowoc Common Council Tuesday, October 06, 2026 - 7:30 PM City Hall - Council Chambers 174 E. Wisconsin Ave. Oconomowoc, WI 53066 Notice: If a person with a disability requires that the meeting be accessible or that materials at the meeting be in an accessible format, call the City Clerk’s office at least 48 hours in advance to request adequate accommodations. Tel: (262) 569-2186 1. Call to order and confirmation of appropriate meeting notification 2. Pledge of Allegiance 3. Roll Call 4. Approval of Meeting Minutes a. Minutes of September 15, 2026 5. Comments/Suggestions from Citizens 6. Consent Agenda (Items listed under the Consent Agenda are considered in one motion - a Council member may request to remove an item): a. Licenses 1. Full-Service Retail Sales Application - Yahara Bay Distillers, Inc for Sales at the German Christmas Market 7. Committee Reports a. Finance - Aultman Kloth, Chr; Schellpeper, Secy; Frankowski 1. Consider/act on Resolution 26-R3410 Authorizing the Issuance and Establishing Parameters for the Sale of Not to Exceed $6,310,000 General Obligation Promissory Notes, Series 2026A 2. Consider/act on Resolution 26-R3412 Authorizing the Issuance and Establishing Parameters for the Sale of Not To Exceed $6,145,000 Taxable General Obligation Promissory Notes, Series 2026B b. Protection & Welfare - Kowieski, Chr; Spiegelberg, Secy; Jungwirth 1. Consider/act on Ordinance 26-O1138 to Repeal and Recreate Section 9.26 3(a) Regulation of Private Alarm Systems - First Reading c. Utility - Schellpeper, Chr; Jungwirth, Secy; 1. Consider/act on Resolution 26-R3406 Budget Amendment to Increase the 2026 Lead Water Service Line Budget 1 2. Consider/act on Resolution 26-R3407 to Join WPPI Group Filing for New Parallel Generation Rates Pgs-1 and Pgs-2 3. Consider/act on Resolution 26-R3408 to Purchase Two Used Plow Trucks from City of Waukesha 8. New Business a. Consider/act on Amended Order for a Special Election for Municipal Court Judge for the Lake Country Municipal Court b. Consider/act on Resolution 26-R3409 Rescinding Resolution of Necessity 26-R3387 c. Consider/act on Release of of Certain Obligations Related to Tax Incremental Agreement d. Consider/act on Release of Stormwater Pond Maintenance Agreement e. Consider/act on Termination and Release of Condemned Easements f. Consider/act on Termination and Release of Ingress/Egress Easements g. Consider/act on Termination and Release of Private Road Maintenance Agreement 9. Staff Reports 10. Reports and Comments from the Aldermen 11. Reports and Comments from the Mayor 12. Closed Session - Conference Room 3 a. Closed Session: Update on Lac La Belle Negotiations PLEASE TAKE NOTICE that the Common Council of the City of Oconomowoc will convene, upon passage of the proper motion, into Closed Session pursuant to §19.85(1)(a), Wis. Stats., the closed session may be attended by the Common Council and staff. The purpose of the meeting is for deliberating or negotiating the purchasing of public properties, the investing of public funds, or conducting other specified public business, whenever competitive or bargaining reasons require a closed session pursuant to §19.85(1)(e) and/or to confer with legal counsel who is rendering oral or written advice concerning strategy to be adopted with respect to litigation in which it is likely to become involved as authorized under §19.85(1)(g), Stats,. Specifically, to be discussed is the potential provision of sanitary sewer capacity to the Village of Lac La Belle. The Common Council will adjourn in Closed session and not reconvene in Open Session. 13. Adjourn 2 1 Common Council - September 15, 2026 City of Oconomowoc Common Council Meeting Minutes September 15, 2026 - 7:30 PM Aldermen Present: Erik Jungwirth, Zachary Frankowski, Jennifer Aultman Kloth, Kevin Ellis, Karen Spiegelberg, Charles Schellpeper, Lou Kowieski Also Present: Matt Rosek, Stan Riffle, Mark Frye, Gina Kozlik, Eric Boettcher, Jason Gallo, Jason Herzog, Kevin Kaari, James Pfister, Tim Reel, Steve Hatton, Ivan Lam Mayor Rosek called the Common Council Meeting to order at 7:30 PM and appropriate meeting notice was confirmed. Pledge of Allegiance Roll Call Approval of Meeting Minutes a. Minutes of September 1, 2026 Motion to approve the Council minutes of September 1, 2026 made by Spiegelberg and seconded by Frankowski. Motion carried 7-0-0. Comments/Suggestions from Citizens The following individuals spoke in favor of retaining the Flock Camera system: Sean Osborne, 3333 Silver Circle, Summit, Neal Ninmann, N64W37630 Woodcrest Drive, Lac LaBelle, The following individuals spoke against retaining the Flock Camera system: Peter Woehlck, 691 Lake Bluff Drive, Trevor Nowatske, 1071 Regent Road, Unit 714, Oconomowoc, Evan Ferree, 489 Lake Bluff Drive, Oconomowoc. David Byczek, 238 N, Lake Rd. and Eric Ido-Bruce, 1505 Fay Lane. David Byczek also commented with concerns about the Lac La Belle Lake Board, the taxing authority and duplicative boat landing fees. Consent Agenda (Items listed under the Consent Agenda are considered in one motion - a Council member may request to remove an item): Motion to approve the Consent Agenda made by Aultman Kloth and seconded by Ellis. Motion carried 7-0-0. a. Treasurer's Report 1. Treasurer's Report and Financials - August 2026 b. Full-Service Retail Sales Application - Unbound Spirits for sales at the German Christmas Market c. Final Plat for Olde Highlander Addition #4, located along the street extensions of MacGregor Road, Alasdar Drive and Olde Highlander Drive, within the Olde Highlander Subdivision. d. Ordinance 26-O1133 to Repeal and Recreate Section 7.12 - Bicycles - 2nd Reading e. Ordinance 26-O1134 to Repeal and Recreate Section 9.22 (4) Skateboards, Roller Skates and Roller Skis - 2nd Reading 3 2 Common Council - September 15, 2026 f. Ordinance 26-O1135 to Repeal and Recreate Section 9.221 (9) In-Line Skates - 2nd Reading g. Ordinance 26-O1136 to Repeal and Recreate Section 21.051 (5)(a) Fowler Lake Boardwalk and Pier Use - 2nd Reading Committee Reports a. Public Services - Ellis, Chr; Kowieski, Secy; Schellpeper 1. Consider/act on Resolution 26-R3400 Approving Village Green Construction Bid 7:47pm Public Works Director Herzog reviewed the history of the review of improvements to the park and the bid for all the items from LaLonde Contractors to include sanitary and water extended into the park with a total cost of $2.7 million with details outlined in the memo included in the packet. Herzog indicated the funding sources would be through TIF, park impact fees, tourism and a grant. Alternative #1 includes concrete seat walls with lighting and Alternative #2 includes water and sewer installation for future planning. Kowieski added that this has the Park Rec Board’s approval. Motion to adopt Resolution 26-R3400 approving Village Green Construction Bid made by Kowieski and seconded by Ellis. Motion carried 7-0-0. 2. Consider/act on Resolution 26-R3401 Approving Construction Management for Village Green Herzog explained this is the management part of the contract and funding is the same. Motion to adopt Resolution 26-R3401 approving Construction Management for Village Green made by Ellis and seconded by Aultman Kloth. Motion carried 7-0-0. 3. Consider/act on Resolution 26-R3402 Authorizing Purchase of Splashpad Features Eric Boettcher, Park and Rec Director, explained plans for Phase 2 of the Splashpad that includes eight additional water features and the to reallocate budgeted funds to complete the project. Spiegelberg explained she would be voting against this item because she supported the original allocation to Hawthorne Ridge Park equipment. Motion to adopt Resolution 26-R3402 authorizing purchase of splashpad features made by Ellis and seconded by Aultman Kloth. Motion carried 6-0-1. Voted No: Spiegelberg. New Business a. Consider/act on Process to Fill District 1 Alderman Vacancy Clerk Kozlik explained that with the resignation of April Welch, Council would need to consider whether a temporary appointment would be made and also consider a date for a Special Election with the Ald. Dist. 1 term expiring in April of 2028. She added with the next opportunity to hold a Special Election would be to join on already scheduled County Executive Special Election December 15th, but the Mayor would need to be given authority to sign an order with an effective date of September 29 to allow for more time for candidates to circulate nomination papers. She also included the options of a January or April 2027 Special Election. Kowieski added that the December date is expeditious and he supported that. The Mayor asked if there was any interest in temporary appointment and there was not. Spiegelberg thought it would give that person an advantage. Motion made by Frankowski and seconded by Ellis to hold a Special Election December 15, 2026. and give the Mayor the authority to sign the Order with the September 29th effective date. Motion to approve that a Special Election be held December 15, 2026 to fill the vacant seat for District 1 and give the Mayor the authority to sign the Order with the September 29th effective date made by Frankowski and seconded by Ellis. Motion carried 7-0-0. 4 3 Common Council - September 15, 2026 b. Consider/act on Resolution 26-R3392 for Denial of Claim by V Gertz Finance Director Hatton explained the claim for a fall and the insurance adjuster’s recommendation for denial. Motion to adopt Resolution 26-R3392 for Denial of Claim by V Gertz made by Aultman Kloth and seconded by Jungwirth. Motion carried 7-0-0. c. Consider/act on Resolution 26-R3403 Authorizing Levy Limit Exception for Western Lakes Fire District Charges Motion to adopt Resolution 26-R3403 authorizing Levy Limit Exception for Western Lakes Fire District charges made by Ellis and seconded by Kowieski. Motion carried 7-0-0. d. Consider/act on Resolution 26-R3404 to Cancel the City's Contract with Flock Safety 8:32 pm Administrator Frye presented background information on Flock. The Mayor added a brief statement on benefits and concerns and emphasized that there has been no misuse in the city and that is not what is prompting review of this item. There were comments from Alderman about concerns of misuse of the data and storage. Alderman expressed support and trust of the Police Department and the benefits of Flock’s use under policy guidelines as a safety tool, but there were also concerns raised about protection of Fourth Amendment rights. Clarification was made that no sale of personal data by the company occurred, but instead data on traffic counts and flow were involved. There was discussion whether to hold the item and bring it back next year. Chief Pfister added that Flock has contributed to investigations. Motion to adopt Resolution 26-R3404 cancelling the Flock contract made by Schellpeper and seconded by Kowieski. Motion carried 5-0-2. Voted No: Aultman Kloth, Spiegelberg. e. 2027 Budget Overview Finance Director Hatton, reminded everyone that the first Council Budget Workshop is set for Thursday, October 1st. He additionally reviewed the printed copy of the Budget overview and explained access to the detail through the document. Staff Reports Reports and Comments from the Aldermen Aultman Kloth said they had the official opening day of the dog park and wanted to thank everyone that came out and also the Suttner Family and everyone else for their donations and help getting it open. Reports and Comments from the Mayor Adjourn Motion to adjourn made by Kowieski and seconded by Schellpeper. Motion carried 7-0-0. The meeting adjourned at 9:33 PM. Minutes taken by Gina Kozlik, City Clerk 5 MEMORANDUM CITY CLERK Date: October 6, 2026 To: Mayor and Common Council From: Gina Kozlik, City Clerk Re: Producer Full-Service Retail Sales Application – Yahara Bay Distillers, Inc. BACKGROUND Effective May 1, 2024, 2023 Wisconsin Act 73 authorizes eligible producers (manufacturers, rectifiers, wineries, and breweries) to make full-service retail sales with license approval. Yahara Bay Distillers, Inc, as a qualified producer, is requesting to sell their intoxicating liquor at the German Christmas Market. The sales will be conducted from a hut in the vendor area on Village Green 11/27 – 11/29/26. Approval from the community’s governing body is required by the State for the type of alcohol they will be offering for sale. The license itself will be granted and issued by the Wisconsin Division of Alcohol Beverages. ADDITIONAL ANALYSIS During the review of the applications last year, Protection & Welfare stated that future applications would be placed under the Consent Agenda. The legislation provides that the governing body, with good reason, can impose any requirements or restrictions in connection with these approvals. FINANCIAL IMPACT N/A RECOMMENDATION There were no issues with the sales from previous years. Staff recommend approval under the Consent Agenda. SUGGESTED COMMON COUNCIL MOTION Consent Agenda Item. Motion to approve the Consent Agenda. 6 1 MEMORANDUM FINANCE DEPARTMENT Date: October 6, 2026 To: Mayor and Common Council From: Steve Hatton, Director of Finance and Administration Re: Consider/act on Resolutions 26-R3410 and 26-R3412 for the Issuance of Debt to Pay for Approved 2026 and 2027 Capital projects and Tax Increment District #7 RELATES TO THE STRATEGIC PLAN Strategic Goal V. Enhance the Effectiveness of City Government E. Maintain/Improve the City’s Financial Sustainability BACKGROUND The approved 2026 and 2027 Capital Budgets included projects that were planned to be funded with debt. Additional projects in approved Tax Increment District #7 also require debt funding. Tonight’s resolutions begin the process to issue debt to fund these commitments from past approvals. Repayment of the debt being issued comes from the separate Funds sponsoring the projects as outlined in the schedule below. ADDITIONAL ANALYSIS The borrowing will be separated into two separate pieces, one tax-exempt and one taxable. The two separate resolutions reflect this break-out. Greg Johnson of Ehlers Municipal Advisors will attend tonight’s meeting to present the attached Pre-Sale reports and address any questions. GO Debt Funded Amt Payor Basis / Approval Project Levy TID 7 Grand Total 2026 CIP Cold Storage Building 190,000 190,000 Street Reconstruction 1,800,000 1,800,000 2026 CIP Total 1,990,000 1,990,000 2027 CIP Cold Storage Building 85,000 85,000 Street Reconstruction 1,883,762 1,883,762 2027 CIP Total 1,968,762 1,968,762 TID Amendment 2023A Proceeds on hand (241,098) (241,098) Snyder Way 2,000,000 2,000,000 Parcel Reconfiguration for roads 500,000 500,000 The Social Developer Incentive 6,000,000 6,000,000 TID Amendment Total 8,258,902 8,258,902 Grand Total 3,958,762 8,258,902 12,217,664 7 Y:\Debt\2026 GO\2026 GO Debt Issue Memo.docx 2 FINANCIAL IMPACT These Capital projects have been approved by past Council action and are incorporated into the adopted 2026 Budget and proposed 2027 budget pending adoption. RECOMMENDATION Each resolution will need to be motioned and voted separately. Staff recommends approval of both resolutions. SUGGESTED MOTION Motion to approve Resolution 26-R3410 Motion to approve Resolution 26-R3412. 8 October 6, 2026 PRE-SALE REPORT FOR City of Oconomowoc, Wisconsin $6,310,000 General Obligation Promissory Notes, Series 2026A Prepared by: Ehlers N19W24400 Riverwood Drive, Suite 100 Waukesha, WI 53188 Advisors: Greg Johnson, Senior Municipal Advisor Kayla Thorpe, Municipal Advisor BUILDING COMMUNITIES. IT’S WHAT WE DO. 9 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 1 Proposed Issue: $6,310,000 General Obligation Promissory Notes, Series 2026A Purposes: The proposed issue includes financing for the following purposes: finance building, street, and TID #7 improvements. Debt service for building and street improvements will be repaid from the property tax levy. Debt service for TID #7 improvements will be repaid from TID #7 revenues, or from shortfall payments as specified in a developer agreement (Neumann). Authority: The Notes are being issued pursuant to Wisconsin Statute(s): • 67.12(12) The Notes will be general obligations of the City for which its full faith, credit and taxing powers are pledged. The Notes count against the City’s General Obligation Debt Capacity Limit of 5% of total City Equalized Valuation. Following issuance of the 2026 and 2026B Notes, the City’s total General Obligation debt principal outstanding will be approximately $53,640,000, which is 23% of its limit. Remaining General Obligation Borrowing Capacity will be approximately $181,488,520. Term/Call Feature: The Notes are being issued for a term of 20 years. Principal on the Notes will be due on April 1 in the years 2027 through 2046. Interest will be due every six months beginning April 1, 2027. The Notes will be subject to prepayment at the discretion of the City on April 1, 2035 or any date thereafter. Bank Qualification: Because the City is expecting to issue no more than $10,000,000 in tax exempt debt during the calendar year, the City will be able to designate the Notes as “bank qualified” obligations. Bank qualified status broadens the market for the Notes, which can result in lower interest rates. Rating: The City’s most recent G.O. debt issues were rated by Moody’s Ratings. The current rating on those issues is “Aa1”. The City will request a new rating for the Notes. EXECUTIVE SUMMARY OF PROPOSED DEBT 10 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 2 Basis for Recommendation: Based on your objectives, financial situation and need, risk tolerance, liquidity needs, experience with the issuance of Notes and long-term financial capacity, as well as the tax status considerations related to the Notes and the structure, timing and other similar matters related to the Notes, we are recommending the issuance of Notes as a suitable option. Method of Sale/Placement: We are recommending the Notes be issued as municipal securities and offered through a competitive underwriting process. You will solicit competitive bids, which we will compile on your behalf, for the purchase of the Notes from underwriters and banks. An allowance for discount bidding will be incorporated in the terms of the issue. The discount is treated as an interest item and provides the underwriter with all or a portion of their compensation in the transaction. If the Notes are purchased at a price greater than the minimum bid amount (maximum discount), the unused allowance may be used to reduce your borrowing amount. Premium Pricing: In some cases, investors in municipal bonds prefer “premium” pricing structures. A premium is achieved when the coupon for any maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting in a price paid that is greater than the face value of the bonds. The sum of the amounts paid in excess of face value is considered “reoffering premium.” For this issue of Notes, any premium amount received that is in excess of the underwriting discount must be placed in the debt service fund and used to pay a portion of the interest payments due on the Notes. The amount of premium allowed can be restricted in the bid specifications. Restrictions on premium may result in fewer bids, but may also eliminate large adjustments on the day of sale and unintended results with respect to debt service payment impacts. Ehlers will identify appropriate premium restrictions for the Notes intended to achieve the City’s objectives for this financing. Parameters: The Common Council will consider adoption of a Parameter Resolution on October 6, 2026, which delegates authority to the Director of Finance & Administrative Services or City Administrator to accept and approve a bid for the Notes so long as the bid meets certain parameters. These parameters are: * Issue size not to exceed $6,310,000 * Maximum Bid of 110.00% * Minimum Bid of 98.75% * Maximum True Interest Cost (TIC) of 4.77% * Maturity Schedule Adjustments: 11 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 3 • Each maturity increased not more than $275,000. • 2027 maturity decreased not more than $30,000. • 2028 Maturity decreased not more than $40,000. • 2029 Maturity decreased not more than $45,000. • 2030 Maturity decreased not more than $95,000. • Maturities in years 2031-2036 decreased not more than $500,000. • Maturities in years 2037-2046 decreased not more than $120,000. Review of Existing Debt: We have reviewed all outstanding indebtedness for the City and find that there are no refunding opportunities at this time. We will continue to monitor the market and the call dates for the City’s outstanding debt and will alert you to any future refunding opportunities. Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt subject to a continuing disclosure undertaking (including this issue) and this issue does not meet an available exemption from continuing disclosure, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually, as well as providing notices of the occurrence of certain reportable events to the Municipal Securities Rulemaking Board (the “MSRB”), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds, and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: The City must ensure compliance with certain sections of the Internal Revenue Code and Treasury Regulations (“Arbitrage Rules”) throughout the life of the issue to maintain the tax- exempt status of the Notes. These Arbitrage Rules apply to amounts held in construction, escrow, reserve, debt service account(s), etc., along with related investment income on each fund/account. IRS audits will verify compliance with rebate, yield restriction and records retention requirements within the Arbitrage Rules. The City’s specific arbitrage responsibilities will be detailed in the Tax Exemption Certificate (the “Tax Compliance Document”) prepared by your Bond Attorney and provided at closing. The Notes may qualify for one or more exception(s) to the Arbitrage Rules by meeting 1) small issuer exception, 2) spend down requirements, 3) bona fide debt service fund limits, 4) reasonable reserve requirements, 5) expenditure within an available period limitations, 6) investments yield restrictions, 7) de minimis rules, or; 8) borrower limited requirements. An Ehlers arbitrage expert will contact the City within 30 days after the sale date to review the City’s specific responsibilities for the Notes. The City is currently receiving arbitrage services from Ehlers in relation to the Notes. 12 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 4 Investment of Note Proceeds: Ehlers can assist the City in developing a strategy to invest your Note proceeds until the funds are needed to pay project costs. Risk Factors: G.O. with Planned Abatement: The issuer is abating a portion of G.O. debt service payments for the issue with tax incremental revenues. In the event this revenue is not available, the City is obligated to levy property taxes in an amount sufficient to make all debt payments. Other Service Providers: This debt issuance will require the engagement of other public finance service providers. This section identifies those other service providers, so Ehlers can coordinate their engagement on your behalf. Where you have previously used a particular firm to provide a service, we have assumed that you will continue that relationship. For services you have not previously required, we have identified a service provider. Fees charged by these service providers will be paid from proceeds of the obligation, unless you notify us that you wish to pay them from other sources. Our pre-sale bond sizing includes a good faith estimate of these fees, but the final fees may vary. If you have any questions pertaining to the identified service providers or their role, or if you would like to use a different service provider for any of the listed services please contact us. Bond Counsel and Disclosure Counsel: Quarles & Brady LLP Paying Agent: Bond Trust Services Corporation Rating Agency: Moody's Ratings Parameter Resolution Consideration by Common Council: October 6, 2026 Due Diligence Call to Review Official Statement: Week of October 12, 2026 Conference with Rating Agency: Week of October 12, 2026 Distribute Official Statement: October 21, 2026 Designated Officials Award Sale of the Notes: October 28, 2026 Estimated Closing Date: November 19, 2026 PROPOSED DEBT ISSUANCE SCHEDULE 13 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 5 Attachments Table 1: Summary of Existing G.O. Debt Table 2: Project List Table 3: Sources and Uses Table 4: Estimated Proposed Debt Service Schedule Table 5: Financing Plan Tax Impact Table 6: G.O. Debt Capacity projection ACTS Greg Johnson, Senior Municipal Advisor (262) 796-6168 Kayla Thorpe, Municipal Advisor (262) 796-6197 Dan Pagac, Public Finance Analyst (262) 796-6163 Beth Mueller, Senior Financial Analyst (651) 697-8553 EHLERS’ CONTACTS 14 Table 1 Existing G.O. Debt Base Case City of Oconomowoc, WI Annual Taxes Year G.O. Debt Less: Less: Less: Less: Less: Less: Less: Tax Rate $430,000 Year Ending Expense TID #7 Sewer Water Premium Interest income Transfer GF Rent Per $1,000 Home Ending 2026 5,445,876 155,000 (1,415,958) (349,625) (763,525) (150,000) (5,000) (285,850) (290,187) (34,500) 2,306,232 4,112,435,700 $0.56 $241.14 2026 2027 5,463,614 5,000 (1,587,033) (352,000) (725,175) (5,000) (314,100) (34,500) 2,450,806 4,439,893,500 $0.55 $237.36 2027 2028 5,477,895 5,000 (1,614,733) (348,750) (713,400) (5,000) (100,000) (34,500) 2,666,513 4,667,850,732 $0.57 $245.64 2028 2029 5,526,264 5,000 (1,669,983) (349,875) (708,750) (5,000) (100,000) (34,500) 2,663,156 4,907,511,961 $0.54 $233.35 2029 2030 5,564,901 5,000 (1,700,326) (350,250) (714,775) (5,000) (100,000) (34,500) 2,665,050 5,159,478,104 $0.52 $222.11 2030 2031 3,995,704 5,000 (1,686,989) (349,875) (432,975) (5,000) (100,000) (34,500) 1,391,366 5,424,380,933 $0.26 $110.30 2031 2032 3,698,248 5,000 (1,689,760) (350,400) (428,525) (5,000) (100,000) (34,500) 1,095,063 5,702,884,654 $0.19 $82.57 2032 2033 3,090,794 5,000 (1,677,919) (351,900) (143,600) (5,000) (100,000) (34,500) 782,875 5,995,687,578 $0.13 $56.15 2033 2034 2,228,125 5,000 (1,174,831) 0 (143,300) (5,000) (100,000) (34,500) 775,494 6,303,523,868 $0.12 $52.90 2034 2035 2,211,256 5,000 (1,181,175) (142,800) (5,000) (100,000) (34,500) 752,781 6,627,165,382 $0.11 $48.84 2035 2036 1,855,525 5,000 (1,211,519) 0 (5,000) (100,000) (34,500) 509,506 6,967,423,606 $0.07 $31.44 2036 2037 1,840,050 5,000 (1,190,675) (5,000) (100,000) (34,500) 514,875 7,325,151,690 $0.07 $30.22 2037 2038 1,841,363 5,000 (1,192,425) (5,000) (100,000) (34,500) 514,438 7,701,246,591 $0.07 $28.72 2038 2039 1,845,013 5,000 (1,191,950) (5,000) (100,000) (34,500) 518,563 8,096,651,313 $0.06 $27.54 2039 2040 1,190,700 5,000 (1,190,700) (5,000) 0 8,512,357,280 $0.00 $0.00 2040 2041 1,183,675 5,000 (1,183,675) (5,000) 0 8,949,406,817 $0.00 $0.00 2041 Total 52,459,002 230,000 (22,559,649) (2,802,675) (4,916,825) (150,000) (80,000) (285,850) (1,804,287) (483,000) 19,606,716 Total Notes: Legend: 1. EV Growth at 5.37%. 2027 EV includes TID #4 closure. Represents +/- 25% Change over previous year Total G.O. Debt Payments Net Tax Levy Equalized Value (TID OUT) Existing Debt Less: Impact Fee Transfer 15 Table 2 Project List City of Oconomowoc, WI Projects Payor Plan Issue 2026 2027 Totals Cold Storage Building Levy 2026 G.O. Notes 190,000 85,000 275,000 Street Reconstruction Levy 2026 G.O. Notes 1,800,000 1,883,762 3,683,762 TID 7 - Snyder Way - Neumann TID #7 2026 G.O. Notes 2,000,000 2,000,000 TID 7 - Parcel Reconfiguration for roads - Neumann TID #7 2026 G.O. Notes 500,000 500,000 TID #7 2023A Proceeds on hand TID #7 2026 G.O. Notes (241,098) (241,098) Actual CIP Costs 1,990,000 4,227,664 6,217,664 16 Table 3 Sources and Uses City of Oconomowoc, WI 2026 G.O. Notes TID #7 (Neumann) Portion Levy Portion CIP Projects Cold Storage 275,000 275,000 Street Reconstruction 3,683,762 3,683,762 TID 7 - Snyder Way 2,000,000 2,000,000 TID 7 - Parcel Reconfiguration for roads 500,000 500,000 Less TID 7 Cash on Hand (241,098) (241,098) Subtotal Project Costs 6,217,664 2,258,902 3,958,762 CIP Projects 6,217,664 2,258,902 3,958,762 Estimated Issuance Expenses Municipal Advisor 45,400 16,692 28,708 Bond Counsel 35,000 12,868 22,132 Disclosure Counsel 24,500 9,008 15,492 Rating Fee 25,000 9,192 15,808 Underwriter's Discount 12.50 78,875 29,000 49,875 Paying Agent 900 331 569 Subtotal Issuance Expenses 209,675 77,091 132,584 TOTAL TO BE FINANCED 6,427,339 2,335,993 4,091,346 Estimated Interest Earnings 3.50% (121,248) (19,765) (101,483) Assumed spend down (months) 3.00 Rounding 3,909 3,772 137 NET ISSUE SIZE 6,310,000 2,320,000 3,990,000 17 Table 4 Allocation of Debt Service - 2026 G.O. Notes City of Oconomowoc, WI Year Year Ending Principal Est. Rate1 Interest Total Principal Interest Total Ending Principal (4/1) Interest Total 2026 0 0 2026 0 0 0 2027 3.68% 97,710 97,710 35,000 143,723 178,723 2027 35,000 241,433 276,433 2028 3.73% 112,742 112,742 45,000 164,450 209,450 2028 45,000 277,192 322,192 2029 3.79% 112,742 112,742 50,000 162,664 212,664 2029 50,000 275,406 325,406 2030 50,000 3.87% 111,775 161,775 50,000 160,749 210,749 2030 100,000 272,523 372,523 2031 75,000 3.98% 109,315 184,315 570,000 148,438 718,438 2031 645,000 257,753 902,753 2032 85,000 4.05% 106,101 191,101 595,000 125,046 720,046 2032 680,000 231,147 911,147 2033 85,000 4.16% 102,612 187,612 620,000 100,102 720,102 2033 705,000 202,713 907,713 2034 100,000 4.20% 98,744 198,744 645,000 73,661 718,661 2034 745,000 172,404 917,404 2035 110,000 4.30% 94,279 204,279 675,000 45,603 720,603 2035 785,000 139,882 924,882 2036 120,000 4.41% 89,268 209,268 705,000 15,545 720,545 2036 825,000 104,813 929,813 2037 125,000 4.54% 83,784 208,784 2037 125,000 83,784 208,784 2038 130,000 4.67% 77,911 207,911 2038 130,000 77,911 207,911 2039 150,000 4.77% 71,298 221,298 2039 150,000 71,298 221,298 2040 155,000 5.05% 63,807 218,807 2040 155,000 63,807 218,807 2041 165,000 5.12% 55,669 220,669 2041 165,000 55,669 220,669 2042 175,000 5.19% 46,904 221,904 2042 175,000 46,904 221,904 2043 185,000 5.25% 37,506 222,506 2043 185,000 37,506 222,506 2044 190,000 5.30% 27,615 217,615 2044 190,000 27,615 217,615 2045 200,000 5.35% 17,230 217,230 2045 200,000 17,230 217,230 2046 220,000 5.40% 5,940 225,940 2046 220,000 5,940 225,940 Total 2,320,000 1,522,948 3,842,948 3,990,000 1,139,980 5,129,980 Total 6,310,000 2,662,928 8,972,928 Notes: 1) Estimated Rate assumes current rates + 50 bps 2) TIC of 4.77%. TID #7 (Neumann) Portion Levy Portion Totals 18 Table 5 Financing Plan Tax Impact City of Oconomowoc, WI 2026 G.O. Notes 2026 Taxable G.O. Notes Net Debt 6,310,000 6,145,000 Total Levy Change Total Tax Annual Taxes Annual Taxes Annual Taxes Year Service Dated: 11/19/2026 Dated: 11/19/2026 Less: Net Debt from Prior Rate for $430,000 Difference New Year Ending Levy Total P&I Total P&I TID #7 Service Levy Year Debt Service Home From Prior Year Issue Only Ending 3.68%-5.40% 5.56%-6.45% 2026 2,306,232 4,112,435,700 0 0 2,306,232 $0.56 $241 2026 2027 2,450,806 4,439,893,500 276,433 331,571 (429,280) 2,629,529 323,298 $0.59 $255 $14 $17 2027 2028 2,666,513 4,667,850,732 322,192 382,582 (495,324) 2,875,963 246,433 $0.62 $265 $10 $19 2028 2029 2,663,156 4,907,511,961 325,406 382,582 (495,324) 2,875,820 (143) $0.59 $252 ($13) $19 2029 2030 2,665,050 5,159,478,104 372,523 431,192 (592,966) 2,875,799 (21) $0.56 $240 ($12) $18 2030 2031 1,391,366 5,424,380,933 902,753 452,702 (637,016) 2,109,804 (765,995) $0.39 $167 ($72) $57 2031 2032 1,095,063 5,702,884,654 911,147 521,364 (712,465) 1,815,109 (294,695) $0.32 $137 ($30) $54 2032 2033 782,875 5,995,687,578 907,713 561,417 (749,028) 1,502,977 (312,132) $0.25 $108 ($29) $52 2033 2034 775,494 6,303,523,868 917,404 637,369 (836,113) 1,494,154 (8,822) $0.24 $102 ($6) $49 2034 2035 752,781 6,627,165,382 924,882 639,654 (843,933) 1,473,384 (20,770) $0.22 $96 ($6) $47 2035 2036 509,506 6,967,423,606 929,813 640,294 (849,562) 1,230,052 (243,333) $0.18 $76 ($20) $44 2036 2037 514,875 7,325,151,690 208,784 639,724 (848,508) 514,875 (715,177) $0.07 $30 ($46) $0 2037 2038 514,438 7,701,246,591 207,911 637,556 (845,467) 514,438 (438) $0.07 $29 ($2) $0 2038 2039 518,563 8,096,651,313 221,298 643,455 (864,753) 518,563 4,125 $0.06 $28 ($1) $0 2039 2040 0 8,512,357,280 218,807 637,789 (856,595) 0 (518,563) $0.00 $0 ($28) $0 2040 2041 0 8,949,406,817 220,669 640,558 (861,227) 0 0 $0.00 $0 $0 $0 2041 2042 0 9,408,895,768 221,904 636,605 (858,509) 0 0 $0.00 $0 $0 $0 2042 2043 0 9,891,976,237 222,506 649,968 (872,474) 0 0 $0.00 $0 $0 $0 2043 2044 0 10,399,859,483 217,615 645,460 (863,075) 0 0 $0.00 $0 $0 $0 2044 2045 0 10,933,818,953 217,230 639,018 (856,248) 0 0 $0.00 $0 $0 $0 2045 2046 0 11,495,193,477 225,940 645,156 (871,096) 0 0 $0.00 $0 $0 $0 2046 Total 19,606,716 8,972,928 11,396,010 (15,238,959) 376 Total Cost of new debt to Sample Taxpayer Notes: Existing Debt Equalized Value (TID OUT) Abatements Debt Service Levy Taxes Proposed Debt Tax Levy all debt Tax Rate All Debt 19 Table 6 General Obligation Debt Capacity Analysis - Impact of Financing Plan City of Oconomowoc, WI Projected Existing Combined Principal Year Equalized Principal Existing Year Ending Value (TID IN)1 Debt Limit Outstanding % of Limit 2026 G.O. Notes & Proposed Ending 2025 4,394,385,000 219,719,250 45,355,000 20.64% $45,355,000 20.64% $174,364,250 2025 2026 4,702,570,400 235,128,520 41,185,000 17.52% 6,310,000 6,145,000 $53,640,000 22.81% $181,488,520 2026 2027 4,958,457,877 247,922,894 36,795,000 14.84% 6,275,000 6,145,000 $49,215,000 19.85% $198,707,894 2027 2028 5,228,269,313 261,413,466 32,240,000 12.33% 6,230,000 6,145,000 $44,615,000 17.07% $216,798,466 2028 2029 5,512,762,373 275,638,119 27,495,000 9.98% 6,180,000 6,145,000 $39,820,000 14.45% $235,818,119 2029 2030 5,812,735,948 290,636,797 22,580,000 7.77% 6,080,000 6,095,000 $34,755,000 11.96% $255,881,797 2030 2031 6,129,032,400 306,451,620 19,115,000 6.24% 5,435,000 6,020,000 $30,570,000 9.98% $275,881,620 2031 2032 6,462,539,930 323,126,996 15,845,000 4.90% 4,755,000 5,870,000 $26,470,000 8.19% $296,656,996 2032 2033 6,814,195,066 340,709,753 13,095,000 3.84% 4,050,000 5,670,000 $22,815,000 6.70% $317,894,753 2033 2034 7,184,985,301 359,249,265 11,145,000 3.10% 3,305,000 5,380,000 $19,830,000 5.52% $339,419,265 2034 2035 7,575,951,858 378,797,593 9,165,000 2.42% 2,520,000 5,070,000 $16,755,000 4.42% $362,042,593 2035 2036 7,988,192,620 399,409,631 7,500,000 1.88% 1,695,000 4,740,000 $13,935,000 3.49% $385,474,631 2036 2037 8,422,865,209 421,143,260 5,815,000 1.38% 1,570,000 4,390,000 $11,775,000 2.80% $409,368,260 2037 2038 8,881,190,241 444,059,512 4,090,000 0.92% 1,440,000 4,020,000 $9,550,000 2.15% $434,509,512 2038 2039 9,364,454,746 468,222,737 2,320,000 0.50% 1,290,000 3,620,000 $7,230,000 1.54% $460,992,737 2039 2040 9,874,015,793 493,700,790 1,170,000 0.24% 1,135,000 3,200,000 $5,505,000 1.12% $488,195,790 2040 2041 10,411,304,291 520,565,215 0 0.00% 970,000 2,750,000 $3,720,000 0.71% $516,845,215 2041 2042 10,977,829,013 548,891,451 795,000 2,275,000 $3,070,000 0.56% $545,821,451 2042 2043 11,575,180,828 578,759,041 610,000 1,755,000 $2,365,000 0.41% $576,394,041 2043 2044 12,205,037,175 610,251,859 420,000 1,205,000 $1,625,000 0.27% $608,626,859 2044 2045 12,869,166,768 643,458,338 220,000 625,000 $845,000 0.13% $642,613,338 2045 2046 13,569,434,565 678,471,728 0 0 $0 0.00% $678,471,728 2046 Notes: 1) Projected TID IN EV based on discounted 5-year average at 5.44% annual inflation. % of Limit Residual Capacity Proposed DebtExisting Debt 2026 Taxable G.O. Notes 20 QB\105037160.2 RESOLUTION NO. 26-R3410 RESOLUTION AUTHORIZING THE ISSUANCE AND ESTABLISHING PARAMETERS FOR THE SALE OF NOT TO EXCEED $6,310,000 GENERAL OBLIGATION PROMISSORY NOTES, SERIES 2026A WHEREAS, the Common Council hereby finds and determines that it is necessary, desirable and in the best interest of the City of Oconomowoc, Waukesha County, Wisconsin (the "City") to raise funds for public purposes, including paying the cost of street improvements, including in TID 7 and a cold storage building (collectively, the "Project"); WHEREAS, the Common Council hereby finds and determines that the Project is within the City's power to undertake and therefore serves a "public purpose" as that term is defined in Section 67.04(1)(b), Wisconsin Statutes; WHEREAS, the City is authorized by the provisions of Section 67.12(12), Wisconsin Statutes, to borrow money and issue general obligation promissory notes (the "Notes") for such public purposes; WHEREAS, it is the finding of the Common Council that it is in the best interest of the City to direct its financial advisor, Ehlers & Associates, Inc. ("Ehlers"), to take the steps necessary for the City to offer and sell the Notes at public sale and to obtain bids for the purchase of the Notes; and WHEREAS, in order to facilitate the sale of the Notes in a timely manner, the Common Council hereby finds and determines that it is necessary, desirable and in the best interest of the City to delegate to either the Director of Finance/Administrative Services or the City Administrator (each, an "Authorized Officer") the authority to accept on behalf of the City the bid for the Notes that results in the lowest true interest cost for the Notes (the "Proposal") and meets the terms and conditions provided for in this Resolution by executing a certificate in substantially the form attached hereto as Exhibit A and incorporated herein by reference (the "Approving Certificate"). NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City that: Section 1. Authorization and Sale of the Notes; Parameters. For the purpose of paying costs of the Project, the City is authorized to borrow pursuant to Section 67.12(12), Wisconsin Statutes, the principal sum of not to exceed SIX MILLION THREE HUNDRED TEN THOUSAND DOLLARS ($6,310,000) upon the terms and subject to the conditions set forth in this Resolution. Subject to satisfaction of the condition set forth in Section 17 of this Resolution, the Mayor and City Clerk are hereby authorized, empowered and directed to make, execute, issue and sell to the financial institution that submitted the Proposal (the "Purchaser") for, on behalf of and in the name of the City, Notes aggregating the principal amount of not to exceed SIX MILLION THREE HUNDRED TEN THOUSAND DOLLARS ($6,310,000). The purchase price to be paid to the City for the Notes shall not be less than 98.75% nor more than 110.00% of the principal amount of the Notes. 21 QB\105037160.2 -2- Section 2. Terms of the Notes. The Notes shall be designated "General Obligation Promissory Notes, Series 2026A" and shall:  be issued in an aggregate principal amount of up to $6,310,000;  be dated as of their date of issuance;  be in denominations of $5,000 or any integral multiple thereof;  be numbered R-1 and upward; and  mature or be subject to mandatory redemption on the dates and in the principal amounts set forth below, provided that the principal amount of each maturity or mandatory redemption amount may be (a) increased by up to $275,000, or (b) decreased by no more than the following amounts, in the following years: Years Maximum Decrease 2027 $ 30,000 2028 40,000 2029 45,000 2030 95,000 2031–2036 500,000 2037–2046 120,000 The aggregate principal amount of the Notes shall not exceed $6,310,000. The schedule below assumes the Notes are issued in the aggregate principal amount of $6,310,000. Date Principal Amount 04-01-2027 $ 35,000 04-01-2028 45,000 04-01-2029 50,000 04-01-2030 100,000 04-01-2031 645,000 04-01-2032 680,000 04-01-2033 705,000 04-01-2034 745,000 04-01-2035 785,000 04-01-2036 825,000 04-01-2037 125,000 04-01-2038 130,000 04-01-2039 150,000 04-01-2040 155,000 04-01-2041 165,000 04-01-2042 175,000 04-01-2043 185,000 04-01-2044 190,000 04-01-2045 200,000 04-01-2046 220,000 22 QB\105037160.2 -3- Interest shall be payable semi-annually on April 1 and October 1 of each year commencing on April 1, 2027. The true interest cost on the Notes (computed taking the Purchaser's compensation into account) shall not exceed 4.77%. Interest shall be computed upon the basis of a 360-day year of twelve 30-day months and will be rounded pursuant to the rules of the Municipal Securities Rulemaking Board. Section 3. Redemption Provisions. The Notes shall be subject to optional redemption as set forth in the Approving Certificate. If the Proposal specifies that certain of the Notes shall be subject to mandatory redemption, the terms of such mandatory redemption shall be set forth in an attachment to the Approving Certificate labeled as Schedule MRP. Upon the optional redemption of any of the Notes subject to mandatory redemption, the principal amount of such Notes so redeemed shall be credited against the mandatory redemption payments established in the Approving Certificate in such manner as the City shall direct. Section 4. Form of the Notes. The Notes shall be issued in registered form and shall be executed and delivered in substantially the form attached hereto as Exhibit B and incorporated herein by this reference. Section 5. Tax Provisions. (A) Direct Annual Irrepealable Tax Levy. For the purpose of paying the principal of and interest on the Notes as the same becomes due, the full faith, credit and resources of the City are hereby irrevocably pledged, and there is hereby levied upon all of the taxable property of the City a direct annual irrepealable tax in the years 2026 through 2045 for the payments due in the years 2027 through 2046 in the amounts as are sufficient to meet the principal and interest payments when due. (B) Tax Collection. So long as any part of the principal of or interest on the Notes remains unpaid, the City shall be and continue without power to repeal such levy or obstruct the collection of said tax until all such payments have been made or provided for. After the issuance of the Notes, said tax shall be, from year to year, carried onto the tax roll of the City and collected in addition to all other taxes and in the same manner and at the same time as other taxes of the City for said years are collected, except that the amount of tax carried onto the tax roll may be reduced in any year by the amount of any surplus money in the Debt Service Fund Account created below. (C) Additional Funds. If at any time there shall be on hand insufficient funds from the aforesaid tax levy to meet principal and/or interest payments on said Notes when due, the requisite amounts shall be paid from other funds of the City then available, which sums shall be replaced upon the collection of the taxes herein levied. Section 6. Segregated Debt Service Fund Account. (A) Creation and Deposits. There shall be and there hereby is established in the treasury of the City, if one has not already been created, a debt service fund, separate and distinct from every other fund, which shall be maintained in accordance with generally accepted accounting principles. Debt service or sinking funds established for obligations previously 23 QB\105037160.2 -4- issued by the City may be considered as separate and distinct accounts within the debt service fund. Within the debt service fund, there hereby is established a separate and distinct account designated as the "Debt Service Fund Account for General Obligation Promissory Notes, Series 2026A" (the "Debt Service Fund Account") and such account shall be maintained until the indebtedness evidenced by the Notes is fully paid or otherwise extinguished. There shall be deposited into the Debt Service Fund Account (i) all accrued interest received by the City at the time of delivery of and payment for the Notes; (ii) any premium which may be received by the City above the par value of the Notes and accrued interest thereon; (iii) all money raised by the taxes herein levied and any amounts appropriated for the specific purpose of meeting principal of and interest on the Notes when due; (iv) such other sums as may be necessary at any time to pay principal of and interest on the Notes when due; (v) surplus monies in the Borrowed Money Fund as specified below; and (vi) such further deposits as may be required by Section 67.11, Wisconsin Statutes. (B) Use and Investment. No money shall be withdrawn from the Debt Service Fund Account and appropriated for any purpose other than the payment of principal of and interest on the Notes until all such principal and interest has been paid in full and the Notes canceled; provided (i) the funds to provide for each payment of principal of and interest on the Notes prior to the scheduled receipt of taxes from the next succeeding tax collection may be invested in direct obligations of the United States of America maturing in time to make such payments when they are due or in other investments permitted by law; and (ii) any funds over and above the amount of such principal and interest payments on the Notes may be used to reduce the next succeeding tax levy, or may, at the option of the City, be invested by purchasing the Notes as permitted by and subject to Section 67.11(2)(a), Wisconsin Statutes, or in permitted municipal investments under the pertinent provisions of the Wisconsin Statutes ("Permitted Investments"), which investments shall continue to be a part of the Debt Service Fund Account. Any investment of the Debt Service Fund Account shall at all times conform with the provisions of the Internal Revenue Code of 1986, as amended (the "Code") and any applicable Treasury Regulations (the "Regulations"). (C) Remaining Monies. When all of the Notes have been paid in full and canceled, and all Permitted Investments disposed of, any money remaining in the Debt Service Fund Account shall be transferred and deposited in the general fund of the City, unless the Common Council directs otherwise. Section 7. Proceeds of the Notes; Segregated Borrowed Money Fund. The proceeds of the Notes (the "Note Proceeds") (other than any premium and accrued interest which must be paid at the time of the delivery of the Notes into the Debt Service Fund Account created above) shall be deposited into a special fund (the "Borrowed Money Fund") separate and distinct from all other funds of the City and disbursed solely for the purpose or purposes for which borrowed. Monies in the Borrowed Money Fund may be temporarily invested in Permitted Investments. Any monies, including any income from Permitted Investments, remaining in the Borrowed Money Fund after the purpose or purposes for which the Notes have been issued have been 24 QB\105037160.2 -5- accomplished, and, at any time, any monies as are not needed and which obviously thereafter cannot be needed for such purpose(s) shall be deposited in the Debt Service Fund Account. Section 8. No Arbitrage. All investments made pursuant to this Resolution shall be Permitted Investments, but no such investment shall be made in such a manner as would cause the Notes to be "arbitrage bonds" within the meaning of Section 148 of the Code or the Regulations and an officer of the City, charged with the responsibility for issuing the Notes, shall certify as to facts, estimates, circumstances and reasonable expectations in existence on the date of delivery of the Notes to the Purchaser which will permit the conclusion that the Notes are not "arbitrage bonds," within the meaning of the Code or Regulations. Section 9. Compliance with Federal Tax Laws. (a) The City represents and covenants that the projects financed by the Notes and the ownership, management and use of the projects will not cause the Notes to be "private activity bonds" within the meaning of Section 141 of the Code. The City further covenants that it shall comply with the provisions of the Code to the extent necessary to maintain the tax-exempt status of the interest on the Notes including, if applicable, the rebate requirements of Section 148(f) of the Code. The City further covenants that it will not take any action, omit to take any action or permit the taking or omission of any action within its control (including, without limitation, making or permitting any use of the proceeds of the Notes) if taking, permitting or omitting to take such action would cause any of the Notes to be an arbitrage bond or a private activity bond within the meaning of the Code or would otherwise cause interest on the Notes to be included in the gross income of the recipients thereof for federal income tax purposes. The City Clerk or other officer of the City charged with the responsibility of issuing the Notes shall provide an appropriate certificate of the City certifying that the City can and covenanting that it will comply with the provisions of the Code and Regulations. (b) The City also covenants to use its best efforts to meet the requirements and restrictions of any different or additional federal legislation which may be made applicable to the Notes provided that in meeting such requirements the City will do so only to the extent consistent with the proceedings authorizing the Notes and the laws of the State of Wisconsin and to the extent that there is a reasonable period of time in which to comply. Section 10. Designation as Qualified Tax-Exempt Obligations. The Notes are hereby designated as "qualified tax-exempt obligations" for purposes of Section 265 of the Code, relating to the ability of financial institutions to deduct from income for federal income tax purposes, interest expense that is allocable to carrying and acquiring tax-exempt obligations. Section 11. Execution of the Notes; Closing; Professional Services. The Notes shall be issued in printed form, executed on behalf of the City by the manual or facsimile signatures of the Mayor and City Clerk, authenticated, if required, by the Fiscal Agent (defined below), sealed with its official or corporate seal, if any, or a facsimile thereof, and delivered to the Purchaser upon payment to the City of the purchase price thereof, plus accrued interest to the date of delivery (the "Closing"). The facsimile signature of either of the officers executing the Notes may be imprinted on the Notes in lieu of the manual signature of the officer but, unless the City has contracted with a fiscal agent to authenticate the Notes, at least one of the signatures appearing on each Note shall be a manual signature. In the event that either of the officers 25 QB\105037160.2 -6- whose signatures appear on the Notes shall cease to be such officers before the Closing, such signatures shall, nevertheless, be valid and sufficient for all purposes to the same extent as if they had remained in office until the Closing. The aforesaid officers are hereby authorized and directed to do all acts and execute and deliver the Notes and all such documents, certificates and acknowledgements as may be necessary and convenient to effectuate the Closing. The City hereby authorizes the officers and agents of the City to enter into, on its behalf, agreements and contracts in conjunction with the Notes, including but not limited to agreements and contracts for legal, trust, fiscal agency, disclosure and continuing disclosure, and rebate calculation services. Any such contract heretofore entered into in conjunction with the issuance of the Notes is hereby ratified and approved in all respects. Section 12. Payment of the Notes; Fiscal Agent. The principal of and interest on the Notes shall be paid by Bond Trust Services Corporation, which is hereby appointed as the City's registrar and fiscal agent pursuant to the provisions of Section 67.10(2), Wisconsin Statutes (the "Fiscal Agent"). The City hereby authorizes the Mayor and City Clerk or other appropriate officers of the City to enter into a Fiscal Agency Agreement between the City and the Fiscal Agent. Such contract may provide, among other things, for the performance by the Fiscal Agent of the functions listed in Wis. Stats. Sec. 67.10(2)(a) to (j), where applicable, with respect to the Notes. Section 13. Persons Treated as Owners; Transfer of Notes. The City shall cause books for the registration and for the transfer of the Notes to be kept by the Fiscal Agent. The person in whose name any Note shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes and payment of either principal or interest on any Note shall be made only to the registered owner thereof. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Note to the extent of the sum or sums so paid. Any Note may be transferred by the registered owner thereof by surrender of the Note at the office of the Fiscal Agent, duly endorsed for the transfer or accompanied by an assignment duly executed by the registered owner or his attorney duly authorized in writing. Upon such transfer, the Mayor and City Clerk shall execute and deliver in the name of the transferee or transferees a new Note or Notes of a like aggregate principal amount, series and maturity and the Fiscal Agent shall record the name of each transferee in the registration book. No registration shall be made to bearer. The Fiscal Agent shall cancel any Note surrendered for transfer. The City shall cooperate in any such transfer, and the Mayor and City Clerk are authorized to execute any new Note or Notes necessary to effect any such transfer. Section 14. Record Date. The 15th day of the calendar month next preceding each interest payment date shall be the record date for the Notes (the "Record Date"). Payment of interest on the Notes on any interest payment date shall be made to the registered owners of the Notes as they appear on the registration book of the City at the close of business on the Record Date. Section 15. Utilization of The Depository Trust Company Book-Entry-Only System. In order to make the Notes eligible for the services provided by The Depository Trust Company, New York, New York ("DTC"), the City agrees to the applicable provisions set forth in the 26 QB\105037160.2 -7- Blanket Issuer Letter of Representations, which the City Clerk or other authorized representative of the City is authorized and directed to execute and deliver to DTC on behalf of the City to the extent an effective Blanket Issuer Letter of Representations is not presently on file in the City Clerk's office. Section 16. Payment of Issuance Expenses. The City authorizes the Purchaser to forward the amount of the proceeds of the Notes allocable to the payment of issuance expenses to a financial institution selected by Ehlers at Closing for further distribution as directed by Ehlers. Section 17. Condition on Issuance and Sale of the Notes. The issuance of the Notes and the sale of the Notes to the Purchaser are subject to approval by an Authorized Officer of the principal amount, definitive maturities, redemption provisions, interest rates and purchase price for the Notes, which approval shall be evidenced by execution by an Authorized Officer of the Approving Certificate. The Notes shall not be issued, sold or delivered until this condition is satisfied. Upon satisfaction of this condition, an Authorized Officer authorized to execute a Proposal with the Purchaser providing for the sale of the Notes to the Purchaser. Section 18. Official Statement. The Common Council hereby directs an Authorized Officer to approve the Preliminary Official Statement with respect to the Notes and deem the Preliminary Official Statement as "final" as of its date for purposes of SEC Rule 15c2-12 promulgated by the Securities and Exchange Commission pursuant to the Securities and Exchange Act of 1934 (the "Rule"). All actions taken by an Authorized Officer or other officers of the City in connection with the preparation of such Preliminary Official Statement and any addenda to it or final Official Statement are hereby ratified and approved. In connection with the Closing, the appropriate City official shall certify the Preliminary Official Statement and any addenda or final Official Statement. The City Clerk shall cause copies of the Preliminary Official Statement and any addenda or final Official Statement to be distributed to the Purchaser. Section 19. Undertaking to Provide Continuing Disclosure. The City hereby covenants and agrees, for the benefit of the owners of the Notes, to enter into a written undertaking (the "Undertaking") if required by the Rule to provide continuing disclosure of certain financial information and operating data and timely notices of the occurrence of certain events in accordance with the Rule. The Undertaking shall be enforceable by the owners of the Notes or by the Purchaser on behalf of such owners (provided that the rights of the owners and the Purchaser to enforce the Undertaking shall be limited to a right to obtain specific performance of the obligations thereunder and any failure by the City to comply with the provisions of the Undertaking shall not be an event of default with respect to the Notes). To the extent required under the Rule, the Mayor and City Clerk, or other officer of the City charged with the responsibility for issuing the Notes, shall provide a Continuing Disclosure Certificate for inclusion in the transcript of proceedings, setting forth the details and terms of the City's Undertaking. 27 QB\105037160.2 -8- Section 20. Record Book. The City Clerk shall provide and keep the transcript of proceedings as a separate record book (the "Record Book") and shall record a full and correct statement of every step or proceeding had or taken in the course of authorizing and issuing the Notes in the Record Book. Section 21. Bond Insurance. If the Purchaser determines to obtain municipal bond insurance with respect to the Notes, the officers of the City are authorized to take all actions necessary to obtain such municipal bond insurance. The Mayor and City Clerk are authorized to agree to such additional provisions as the bond insurer may reasonably request and which are acceptable to the Mayor and City Clerk including provisions regarding restrictions on investment of Note proceeds, the payment procedure under the municipal bond insurance policy, the rights of the bond insurer in the event of default and payment of the Notes by the bond insurer and notices to be given to the bond insurer. In addition, any reference required by the bond insurer to the municipal bond insurance policy shall be made in the form of Note provided herein. Section 22. Conflicting Resolutions; Severability; Effective Date. All prior resolutions, rules or other actions of the Common Council or any parts thereof in conflict with the provisions hereof shall be, and the same are, hereby rescinded insofar as the same may so conflict. In the event that any one or more provisions hereof shall for any reason be held to be illegal or invalid, such illegality or invalidity shall not affect any other provisions hereof. The foregoing shall take effect immediately upon adoption and approval in the manner provided by law. Adopted, approved and recorded October 6, 2026. _____________________________ Matt Rosek Mayor ATTEST: ____________________________ Gina Kozlik City Clerk (SEAL) 28 QB\105037160.2 EXHIBIT A APPROVING CERTIFICATE The undersigned [Director of Finance/Administrative Services] [City Administrator] of the City of Oconomowoc, Waukesha County, Wisconsin (the "City"), hereby certifies that: 1. Resolution. On October 6, 2026, the Common Council of the City adopted a resolution (the "Resolution") authorizing the issuance and establishing parameters for the sale of not to exceed $6,310,000 General Obligation Promissory Notes, Series 2026A of the City (the "Notes") after a public sale and delegating to me the authority to approve the Preliminary Official Statement, to approve the purchase proposal for the Notes, and to determine the details for the Notes within the parameters established by the Resolution. 2. Preliminary Official Statement. The Preliminary Official Statement with respect to the Notes is hereby approved and deemed "final" as of its date for purposes of SEC Rule 15c2- 12 promulgated by the Securities and Exchange Commission pursuant to the Securities and Exchange Act of 1934. 3. Proposal; Terms of the Notes. On the date hereof, the Notes were offered for public sale and the bids set forth on the Bid Tabulation attached hereto as Schedule I and incorporated herein by this reference were received. The institution listed first on the Bid Tabulation, ____________________ (the "Purchaser") offered to purchase the Notes in accordance with the terms set forth in the Proposal attached hereto as Schedule II and incorporated herein by this reference (the "Proposal"). Ehlers & Associates, Inc. recommends the City accept the Proposal. The Proposal meets the parameters and conditions established by the Resolution and is hereby approved and accepted. The Notes shall be issued in the aggregate principal amount of $__________, which is not more than the $6,310,000 approved by the Resolution, and shall mature on April 1 of each of the years and in the amounts and shall bear interest at the rates per annum as set forth in the Pricing Summary attached hereto as Schedule III and incorporated herein by this reference. The amount of each annual principal or mandatory redemption payment due on the Notes was not increased by more than $275,000, nor decreased by more than (i) $30,000 in the year 2027, (ii) $40,000 in the year 2028, (iii) $45,000 in the year 2029, (iv) $95,000 in the year 2030, (v) $500,000 in the years 2031 through 2036 or (vi) $120,000 in the years 2037 through 2046 as compared to the schedule included in the Resolution as set forth below: Date Resolution Schedule Actual Amount 04-01-2027 $ 35,000 $___________ 04-01-2028 45,000 ___________ 04-01-2029 50,000 ___________ 04-01-2030 100,000 ___________ 04-01-2031 645,000 ___________ 04-01-2032 680,000 ___________ 04-01-2033 705,000 ___________ 29 QB\105037160.2 -2- Date Resolution Schedule Actual Amount 04-01-2034 $745,000 $___________ 04-01-2035 785,000 ___________ 04-01-2036 825,000 ___________ 04-01-2037 125,000 ___________ 04-01-2038 130,000 ___________ 04-01-2039 150,000 ___________ 04-01-2040 155,000 ___________ 04-01-2041 165,000 ___________ 04-01-2042 175,000 ___________ 04-01-2043 185,000 ___________ 04-01-2044 190,000 ___________ 04-01-2045 200,000 ___________ 04-01-2046 220,000 ___________ The true interest cost on the Notes (computed taking the Purchaser's compensation into account) is _________%, which is not in excess of 4.77%, as required by the Resolution. 4. Purchase Price of the Notes. The Notes shall be sold to the Purchaser in accordance with the terms of the Proposal at a price of $_________, plus accrued interest, if any, to the date of delivery of the Notes, which is not less than 98.75% nor more than 110.00% of the principal amount of the Notes, as required by the Resolution. 5. Redemption Provisions of the Notes. The Notes maturing on April 1, ______ and thereafter are subject to redemption prior to maturity, at the option of the City, on April 1, ______ or on any date thereafter. Said Notes are redeemable as a whole or in part, and if in part, from maturities selected by the City and within each maturity by lot, at the principal amount thereof, plus accrued interest to the date of redemption. [The Proposal specifies that [some of] the Notes are subject to mandatory redemption. The terms of such mandatory redemption are set forth in an attachment hereto as Schedule MRP and incorporated herein by this reference.] 6. Direct Annual Irrepealable Tax Levy. For the purpose of paying the principal of and interest on the Notes as the same respectively falls due, the full faith, credit and taxing powers of the City have been irrevocably pledged and there has been levied on all of the taxable property in the City, pursuant to the Resolution, a direct, annual irrepealable tax in an amount and at the times sufficient for said purpose. Such tax shall be for the years and in the amounts set forth on the debt service schedule attached hereto as Schedule IV. 30 QB\105037160.2 -3- 7. Approval. This Certificate constitutes my approval of the Proposal, and the principal amount, definitive maturities, interest rates, purchase price and redemption provisions for the Notes and the direct annual irrepealable tax levy to repay the Notes, in satisfaction of the parameters set forth in the Resolution. IN WITNESS WHEREOF, I have executed this Certificate on ______________________, 2026 pursuant to the authority delegated to me in the Resolution. [_________________________ Steve Hatton Director of Finance/Administrative Services] [_________________________ Mark Frye City Administrator] 31 QB\105037160.2 SCHEDULE I TO APPROVING CERTIFICATE Bid Tabulation To be provided by Ehlers & Associates, Inc. and incorporated into the Certificate. (See Attached) 32 QB\105037160.2 SCHEDULE II TO APPROVING CERTIFICATE Proposal To be provided by Ehlers & Associates, Inc. and incorporated into the Certificate. (See Attached) 33 QB\105037160.2 SCHEDULE III TO APPROVING CERTIFICATE Pricing Summary To be provided by Ehlers & Associates, Inc. and incorporated into the Certificate. (See Attached) 34 QB\105037160.2 SCHEDULE IV TO APPROVING CERTIFICATE Debt Service Schedule and Irrepealable Tax Levies To be provided by Ehlers & Associates, Inc. and incorporated into the Certificate. (See Attached) 35 QB\105037160.2 [SCHEDULE MRP Mandatory Redemption Provision The Notes due on April 1, ____, ____ and ____ (the "Term Bonds") are subject to mandatory redemption prior to maturity by lot (as selected by the Depository) at a redemption price equal to One Hundred Percent (100%) of the principal amount to be redeemed plus accrued interest to the date of redemption, from debt service fund deposits which are required to be made in amounts sufficient to redeem on April 1 of each year the respective amount of Term Bonds specified below: For the Term Bonds Maturing on April 1, 20 Redemption Date Amount ____ $______ ____ ______ ____ ______ (maturity) For the Term Bonds Maturing on April 1, 20 Redemption Date Amount ____ $______ ____ ______ ____ ______ (maturity) For the Term Bonds Maturing on April 1, 20 Redemption Date Amount ____ $______ ____ ______ ____ ______ (maturity) For the Term Bonds Maturing on April 1, 20 Redemption Date Amount ____ $______ ____ ______ ____ ______ (maturity)] 36 QB\105037160.2 EXHIBIT B (Form of Note) UNITED STATES OF AMERICA REGISTERED STATE OF WISCONSIN DOLLARS WAUKESHA COUNTY NO. R-___ CITY OF OCONOMOWOC $_______ GENERAL OBLIGATION PROMISSORY NOTE, SERIES 2026A MATURITY DATE: ORIGINAL DATE OF ISSUE: INTEREST RATE: CUSIP: April 1, _____ ___________, 2026 ____% ______ DEPOSITORY OR ITS NOMINEE NAME: CEDE & CO. PRINCIPAL AMOUNT: _______________________ THOUSAND DOLLARS ($__________) FOR VALUE RECEIVED, the City of Oconomowoc, Waukesha County, Wisconsin (the "City"), hereby acknowledges itself to owe and promises to pay to the Depository or its Nominee Name (the "Depository") identified above (or to registered assigns), on the maturity date identified above, the principal amount identified above, and to pay interest thereon at the rate of interest per annum identified above, all subject to the provisions set forth herein regarding redemption prior to maturity. Interest shall be payable semi-annually on April 1 and October 1 of each year commencing on April 1, 2027 until the aforesaid principal amount is paid in full. Both the principal of and interest on this Note are payable to the registered owner in lawful money of the United States. Interest payable on any interest payment date shall be paid by wire transfer to the Depository in whose name this Note is registered on the Bond Register maintained by Bond Trust Services Corporation (the "Fiscal Agent") or any successor thereto at the close of business on the 15th day of the calendar month next preceding each interest payment date (the "Record Date"). This Note is payable as to principal upon presentation and surrender hereof at the office of the Fiscal Agent. For the prompt payment of this Note together with interest hereon as aforesaid and for the levy of taxes sufficient for that purpose, the full faith, credit and resources of the City are hereby irrevocably pledged. This Note is one of an issue of Notes aggregating the principal amount of $________, all of which are of like tenor, except as to denomination, interest rate, maturity date and redemption provision, issued by the City pursuant to the provisions of Section 67.12(12), Wisconsin Statutes, for public purposes, including paying the cost of street improvements, including in TID 7 and a cold storage building, as authorized by a resolution adopted on October 6, 2026 as supplemented by an Approving Certificate, dated ______________, 2026 (the "Approving Certificate") 37 QB\105037160.2 -2- (collectively, the "Resolution"). Said Resolution is recorded in the official minutes of the Common Council for said date. The Notes maturing on April 1, ______________ and thereafter are subject to redemption prior to maturity, at the option of the City, on April 1, ________ or on any date thereafter. Said Notes are redeemable as a whole or in part, and if in part, from maturities selected by the City, and within each maturity by lot (as selected by the Depository), at the principal amount thereof, plus accrued interest to the date of redemption. [The Notes maturing in the years ________ are subject to mandatory redemption by lot as provided in the Approving Certificate, at the redemption price of par plus accrued interest to the date of redemption and without premium.] In the event the Notes are redeemed prior to maturity, as long as the Notes are in book-entry-only form, official notice of the redemption will be given by mailing a notice by registered or certified mail, overnight express delivery, facsimile transmission, electronic transmission or in any other manner required by the Depository, to the Depository not less than thirty (30) days nor more than sixty (60) days prior to the redemption date. If less than all of the Notes of a maturity are to be called for redemption, the Notes of such maturity to be redeemed will be selected by lot. Such notice will include but not be limited to the following: the designation, date and maturities of the Notes called for redemption, CUSIP numbers, and the date of redemption. Any notice provided as described herein shall be conclusively presumed to have been duly given, whether or not the registered owner receives the notice. The Notes shall cease to bear interest on the specified redemption date provided that federal or other immediately available funds sufficient for such redemption are on deposit at the office of the Depository at that time. Upon such deposit of funds for redemption the Notes shall no longer be deemed to be outstanding. It is hereby certified and recited that all conditions, things and acts required by law to exist or to be done prior to and in connection with the issuance of this Note have been done, have existed and have been performed in due form and time; that the aggregate indebtedness of the City, including this Note and others issued simultaneously herewith, does not exceed any limitation imposed by law or the Constitution of the State of Wisconsin; and that a direct annual irrepealable tax has been levied sufficient to pay this Note, together with the interest thereon, when and as payable. This Note has been designated by the Common Council as a "qualified tax-exempt obligation" pursuant to the provisions of Section 265(b)(3) of the Internal Revenue Code of 1986, as amended. This Note is transferable only upon the books of the City kept for that purpose at the office of the Fiscal Agent, only in the event that the Depository does not continue to act as depository for the Notes, and the City appoints another depository, upon surrender of the Note to the Fiscal Agent, by the registered owner in person or his duly authorized attorney, together with a written instrument of transfer (which may be endorsed hereon) satisfactory to the Fiscal Agent duly executed by the registered owner or his duly authorized attorney. Thereupon a new fully 38 QB\105037160.2 -3- registered Note in the same aggregate principal amount shall be issued to the new depository in exchange therefor and upon the payment of a charge sufficient to reimburse the City for any tax, fee or other governmental charge required to be paid with respect to such registration. The Fiscal Agent shall not be obliged to make any transfer of the Notes (i) after the Record Date, (ii) during the fifteen (15) calendar days preceding the date of any publication of notice of any proposed redemption of the Notes, or (iii) with respect to any particular Note, after such Note has been called for redemption. The Fiscal Agent and City may treat and consider the Depository in whose name this Note is registered as the absolute owner hereof for the purpose of receiving payment of, or on account of, the principal or redemption price hereof and interest due hereon and for all other purposes whatsoever. The Notes are issuable solely as negotiable, fully- registered Notes without coupons in the denomination of $5,000 or any integral multiple thereof. This Note shall not be valid or obligatory for any purpose until the Certificate of Authentication hereon shall have been signed by the Fiscal Agent. No delay or omission on the part of the owner hereof to exercise any right hereunder shall impair such right or be considered as a waiver thereof or as a waiver of or acquiescence in any default hereunder. 39 QB\105037160.2 -4- IN WITNESS WHEREOF, the City of Oconomowoc, Waukesha County, Wisconsin, by its governing body, has caused this Note to be executed for it and in its name by the manual or facsimile signatures of its duly qualified Mayor and City Clerk; and to be sealed with its official or corporate seal, if any, all as of the original date of issue specified above. CITY OF OCONOMOWOC WAUKESHA COUNTY, WISCONSIN By: ______________________________ Matt Rosek Mayor (SEAL) By: ______________________________ Gina Kozlik City Clerk 40 QB\105037160.2 -5- Date of Authentication: _______________, ______ CERTIFICATE OF AUTHENTICATION This Note is one of the Notes of the issue authorized by the within-mentioned Resolution of the City of Oconomowoc, Waukesha County, Wisconsin. Bond Trust Services Corporation By____________________________ Authorized Signatory 41 QB\105037160.2 -6- ASSIGNMENT FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto ____________________________________________________________________________ (Name and Address of Assignee) ____________________________________________________________________________ (Social Security or other Identifying Number of Assignee) the within Note and all rights thereunder and hereby irrevocably constitutes and appoints ______________________________________, Legal Representative, to transfer said Note on the books kept for registration thereof, with full power of substitution in the premises. Dated: _____________________ Signature Guaranteed: _____________________________ ________________________________ (e.g. Bank, Trust Company (Depository or Nominee Name) or Securities Firm) NOTICE: This signature must correspond with the name of the Depository or Nominee Name as it appears upon the face of the within Note in every particular, without alteration or enlargement or any change whatever. ____________________________ (Authorized Officer) 42 1 MEMORANDUM FINANCE DEPARTMENT Date: October 6, 2026 To: Mayor and Common Council From: Steve Hatton, Director of Finance and Administration Re: Consider/act on Resolutions 26-R3410 and 26-R3412 for the Issuance of Debt to Pay for Approved 2026 and 2027 Capital projects and Tax Increment District #7 RELATES TO THE STRATEGIC PLAN Strategic Goal V. Enhance the Effectiveness of City Government E. Maintain/Improve the City’s Financial Sustainability BACKGROUND The approved 2026 and 2027 Capital Budgets included projects that were planned to be funded with debt. Additional projects in approved Tax Increment District #7 also require debt funding. Tonight’s resolutions begin the process to issue debt to fund these commitments flowing from past approvals. Repayment of the debt being issued comes from the separate Funds sponsoring the projects as outlined in the schedule below. ADDITIONAL ANALYSIS The borrowing will be separated into two separate pieces, one tax-exempt and one taxable. The two separate resolutions reflect this break-out. Greg Johnson of Ehlers Municipal Advisors will attend tonight’s meeting to present the attached Pre-Sale reports and address any questions. GO Debt Funded Amt Payor Basis / Approval Project Levy TID 7 Grand Total 2026 CIP Cold Storage Building 190,000 190,000 Street Reconstruction 1,800,000 1,800,000 2026 CIP Total 1,990,000 1,990,000 2027 CIP Cold Storage Building 85,000 85,000 Street Reconstruction 1,883,762 1,883,762 2027 CIP Total 1,968,762 1,968,762 TID Amendment 2023A Proceeds on hand (241,098) (241,098) Snyder Way 2,000,000 2,000,000 Parcel Reconfiguration for roads 500,000 500,000 The Social Developer Incentive 6,000,000 6,000,000 TID Amendment Total 8,258,902 8,258,902 Grand Total 3,958,762 8,258,902 12,217,664 43 Y:\Debt\2026 GO\2026 GO Debt Issue Memo.docx 2 FINANCIAL IMPACT These Capital projects have been approved by past Council action and are incorporated into the adopted 2026 Budget and proposed 2027 budget pending adoption. RECOMMENDATION Each resolution will need to be motioned and voted separately. Staff recommends approval of both resolutions. SUGGESTED MOTION Motion to approve Resolution 26-R3410 Motion to approval Resolution 26-R3412. 44 October 6, 2026 PRE-SALE REPORT FOR City of Oconomowoc, Wisconsin $6,145,000 Taxable General Obligation Promissory Notes, Series 2026B Prepared by: Ehlers N19W24400 Riverwood Drive, Suite 100 Waukesha, WI 53188 Advisors: Greg Johnson, Senior Municipal Advisor Kayla Thorpe, Municipal Advisor BUILDING COMMUNITIES. IT’S WHAT WE DO. 45 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 1 Proposed Issue: $6,145,000 Taxable General Obligation Promissory Notes, Series 2026B Purposes: The proposed issue includes financing for the following purpose: finance TID #7 development incentive for The Social in TID #7. Debt service will be repaid from TID #7 revenues, or from shortfall payments as specified in a developer agreement (Neumann). Authority: The Notes are being issued pursuant to Wisconsin Statute(s): • 67.12(12) The Notes will be general obligations of the City for which its full faith, credit and taxing powers are pledged. The Notes count against the City’s General Obligation Debt Capacity Limit of 5% of total City Equalized Valuation. Following issuance of the 2026 and 2026B Notes, the City’s total General Obligation debt principal outstanding will be approximately $53,640,000, which is 23% of its limit. Remaining General Obligation Borrowing Capacity will be approximately $181,488,520. Term/Call Feature: The Notes are being issued for a term of 20 years. Principal on the Notes will be due on April 1 in the years 2030 through 2046. Interest will be due every six months beginning April 1, 2027. The Notes will be subject to prepayment at the discretion of the City on April 1, 2035 or any date thereafter. Bank Qualification: Because the Notes are taxable obligations they will not be designated as “bank qualified” obligations. Rating: The City’s most recent G.O. debt issues were rated by Moody’s Ratings. The current rating on those issues is “Aa1”. The City will request a new rating for the Notes. EXECUTIVE SUMMARY OF PROPOSED DEBT 46 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 2 Basis for Recommendation: Based on your objectives, financial situation and need, risk tolerance, liquidity needs, experience with the issuance of Notes and long-term financial capacity, as well as the tax status considerations related to the Notes and the structure, timing and other similar matters related to the Notes, we are recommending the issuance of Notes as a suitable option. Method of Sale/Placement: We are recommending the Notes be issued as municipal securities and offered through a competitive underwriting process. You will solicit competitive bids, which we will compile on your behalf, for the purchase of the Notes from underwriters and banks. An allowance for discount bidding will be incorporated in the terms of the issue. The discount is treated as an interest item and provides the underwriter with all or a portion of their compensation in the transaction. If the Notes are purchased at a price greater than the minimum bid amount (maximum discount), the unused allowance may be used to reduce your borrowing amount. Premium Pricing: In some cases, investors in municipal bonds prefer “premium” pricing structures. A premium is achieved when the coupon for any maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting in a price paid that is greater than the face value of the bonds. The sum of the amounts paid in excess of face value is considered “reoffering premium.” For this issue of Notes, any premium amount received that is in excess of the underwriting discount must be placed in the debt service fund and used to pay a portion of the interest payments due on the Notes. The amount of premium allowed can be restricted in the bid specifications. Restrictions on premium may result in fewer bids, but may also eliminate large adjustments on the day of sale and unintended results with respect to debt service payment impacts. Ehlers will identify appropriate premium restrictions for the Notes intended to achieve the City’s objectives for this financing. Parameters: The Common Council will consider adoption of a Parameter Resolution on October 6, 2026, which delegates authority to the Director of Finance & Administrative Services or City Administrator to accept and approve a bid for the Notes so long as the bid meets certain parameters. These parameters are: * Issue size not to exceed $6,145,000 * Maximum Bid of 110.00% * Minimum Bid of 98.75% * Maximum True Interest Cost (TIC) of 6.42% 47 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 3 * Maturity Schedule Adjustments: • Each maturity increased not more than $385,000. • 2030 maturity decreased not more than $45,000. • 2031 maturity decreased not more than $70,000. • Maturities in the years 2032 through 2046 decreased not more than $145,000. Review of Existing Debt: We have reviewed all outstanding indebtedness for the City and find that there are no refunding opportunities at this time. We will continue to monitor the market and the call dates for the City’s outstanding debt and will alert you to any future refunding opportunities. Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt subject to a continuing disclosure undertaking (including this issue) and this issue does not meet an available exemption from continuing disclosure, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually, as well as providing notices of the occurrence of certain reportable events to the Municipal Securities Rulemaking Board (the “MSRB”), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds, and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: The City has limited responsibilities for arbitrage as it relates to the Notes, however, the Notes are not exempt from all arbitrage rules. An Ehlers arbitrage expert will contact the City within 30 days after the sale date to review the City’s specific responsibilities for the Notes. The City is currently receiving arbitrage services from Ehlers in relation to the Notes. Investment of Note Proceeds: Ehlers can assist the City in developing a strategy to invest your Note proceeds until the funds are needed to pay project costs. Risk Factors: G.O. with Planned Abatement: The issuer is abating a portion of G.O. debt service payments for the issue with tax incremental revenues. In the event this revenue is not available, the City is obligated to levy property taxes in an amount sufficient to make all debt payments. Other Service Providers: This debt issuance will require the engagement of other public finance service providers. This section identifies those other service providers, so Ehlers can coordinate their engagement 48 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 4 on your behalf. Where you have previously used a particular firm to provide a service, we have assumed that you will continue that relationship. For services you have not previously required, we have identified a service provider. Fees charged by these ser vice providers will be paid from proceeds of the obligation, unless you notify us that you wish to pay them from other sources. Our pre-sale bond sizing includes a good faith estimate of these fees, but the final fees may vary. If you have any questions pertaining to the identified service providers or their role, or if you would like to use a different service provider for any of the listed services please contact us. Bond Counsel and Disclosure Counsel: Quarles & Brady LLP Paying Agent: Bond Trust Services Corporation Rating Agency: Moody's Ratings Parameter Resolution Consideration by Common Council: October 6, 2026 Due Diligence Call to Review Official Statement: Week of October 12, 2026 Conference with Rating Agency: Week of October 12, 2026 Distribute Official Statement: October 21, 2026 Designated Officials Award Sale of the Notes: October 28, 2026 Estimated Closing Date: November 19, 2026 Attachments Table 1: Estimated Sources and Uses of Funds Table 2: Estimated Proposed Debt Service Schedule Table 3: TID #7 development assumptions (Neumann only) Table 4: TID #7 tax increment projection (Neumann only) Table 5: TID #7 cash flow projection (Neumann) PROPOSED DEBT ISSUANCE SCHEDULE 49 Presale Report City of Oconomowoc, Wisconsin October 6, 2026 Page 5 Greg Johnson, Senior Municipal Advisor (262) 796-6168 Kayla Thorpe, Municipal Advisor (262) 796-6197 Dan Pagac, Public Finance Analyst (262) 796-6163 Beth Mueller, Senior Financial Analyst (651) 697-8553 EHLERS’ CONTACTS 50 Table 1 Sources and Uses City of Oconomowoc, WI 2026 Taxable G.O. Notes The Social - Neumann Portion CIP Projects TID 7 - The Social Developer Incentive - Neuman 6,000,000 6,000,000 Subtotal Project Costs 6,000,000 6,000,000 CIP Projects 6,000,000 6,000,000 Estimated Issuance Expenses Municipal Advisor 38,200 38,200 Bond Counsel 35,000 35,000 Disclosure Counsel 24,500 24,500 Rating Fee 20,000 20,000 Underwriter's Discount 12.50 76,813 76,813 Paying Agent 900 900 Subtotal Issuance Expenses 195,413 195,413 TOTAL TO BE FINANCED 6,195,413 6,195,413 Estimated Interest Earnings 3.50% (52,500) (52,500) Assumed spend down (months) 3.00 Rounding 2,088 2,088 NET ISSUE SIZE 6,145,000 6,145,000 51 Table 2 Allocation of Debt Service - 2026 Taxable G.O. Notes City of Oconomowoc, WI Year Year Ending Principal Est. Rate Interest Total Ending Principal (4/1) Interest Total 2026 0 2026 0 0 0 2027 331,571 331,571 2027 0 331,571 331,571 2028 382,582 382,582 2028 0 382,582 382,582 2029 382,582 382,582 2029 0 382,582 382,582 2030 50,000 5.56% 381,192 431,192 2030 50,000 381,192 431,192 2031 75,000 5.60% 377,702 452,702 2031 75,000 377,702 452,702 2032 150,000 5.65% 371,364 521,364 2032 150,000 371,364 521,364 2033 200,000 5.71% 361,417 561,417 2033 200,000 361,417 561,417 2034 290,000 5.75% 347,369 637,369 2034 290,000 347,369 637,369 2035 310,000 6.05% 329,654 639,654 2035 310,000 329,654 639,654 2036 330,000 6.05% 310,294 640,294 2036 330,000 310,294 640,294 2037 350,000 6.05% 289,724 639,724 2037 350,000 289,724 639,724 2038 370,000 6.26% 267,556 637,556 2038 370,000 267,556 637,556 2039 400,000 6.26% 243,455 643,455 2039 400,000 243,455 643,455 2040 420,000 6.26% 217,789 637,789 2040 420,000 217,789 637,789 2041 450,000 6.26% 190,558 640,558 2041 450,000 190,558 640,558 2042 475,000 6.26% 161,605 636,605 2042 475,000 161,605 636,605 2043 520,000 6.45% 129,968 649,968 2043 520,000 129,968 649,968 2044 550,000 6.45% 95,460 645,460 2044 550,000 95,460 645,460 2045 580,000 6.45% 59,018 639,018 2045 580,000 59,018 639,018 2046 625,000 6.45% 20,156 645,156 2046 625,000 20,156 645,156 Total 6,145,000 5,251,010 11,396,010 Total 6,145,000 5,251,010 11,396,010 Notes: 1) Estimated Rate assumes current rates + 60 bps 2) TIC of 6.42%. TotalsThe Social - Neumann Portion 52 Annual Total 1 2021 0 2021 1 2 2022 0 2022 2 3 2023 11,447,900 11,447,900 2023 3 4 2024 25,174,400 25,174,400 2024 4 5 2025 38,472,900 38,472,900 2025 5 6 2026 10,000,000 2,000,000 5,900,000 17,900,000 2026 6 7 2027 2,000,000 5,900,000 7,900,000 2027 7 8 2028 2,000,000 5,900,000 7,900,000 2028 8 9 2029 5,900,000 5,900,000 2029 9 10 2030 5,900,000 5,900,000 2030 10 11 2031 2,200,000 2,200,000 2031 11 12 2032 0 2032 12 13 2033 0 2033 13 14 2034 0 2034 14 15 2035 0 2035 15 16 2036 0 2036 16 17 2037 0 2037 17 18 2038 0 2038 18 19 2039 0 2039 19 20 2040 0 2040 20 Totals 75,095,200 2,000,000 10,000,000 2,000,000 2,000,000 31,700,000 122,795,200 Notes: 88 units City of Oconomowoc, Wisconsin Tax Increment District No. 7 Table 3: Development Assumptions Neumann Construction Year Neumann Actual Parcel C Future Retail Parcel D Re- Purposed Chalet Future Commercial Development Future Shorewest Office Northern & Southern Townhomes Construction Year 53 Type of District Base Value 6,579,400 District Creation Date Economic Change Factor Valuation Date Jan 1, 2021 Apply to Base Value Max Life (Years) Base Tax Rate End of Expenditure Period 22 1/5/2043 Rate Adjustment Factor -0.75% Revenue Periods/Final Year 27 2049 Extension Eligibility/Years Yes 3 Eligible Recipient District Construction Year Value Added Valuation Year Economic Change Total Increment Revenue Year Tax Rate Tax Increment 1 2021 2022 0 2023 0 2 2022 2023 0 2024 0 3 2023 11,447,900 2024 0 11,447,900 2025 $12.13 138,818 4 2024 25,174,400 2025 0 36,622,300 2026 $11.44 419,128 5 2025 38,472,900 2026 0 75,095,200 2027 $11.36 852,989 6 2026 17,900,000 2027 0 92,995,200 2028 $11.27 1,048,389 7 2027 7,900,000 2028 0 100,895,200 2029 $11.19 1,128,919 8 2028 7,900,000 2029 0 108,795,200 2030 $11.11 1,208,183 9 2029 5,900,000 2030 0 114,695,200 2031 $11.02 1,264,150 10 2030 5,900,000 2031 0 120,595,200 2032 $10.94 1,319,210 11 2031 2,200,000 2032 0 122,795,200 2033 $10.86 1,333,202 12 2032 0 2033 0 122,795,200 2034 $10.78 1,323,203 13 2033 0 2034 0 122,795,200 2035 $10.69 1,313,279 14 2034 0 2035 0 122,795,200 2036 $10.61 1,303,429 15 2035 0 2036 0 122,795,200 2037 $10.54 1,293,653 16 2036 0 2037 0 122,795,200 2038 $10.46 1,283,951 17 2037 0 2038 0 122,795,200 2039 $10.38 1,274,321 18 2038 0 2039 0 122,795,200 2040 $10.30 1,264,764 19 2039 0 2040 0 122,795,200 2041 $10.22 1,255,278 20 2040 0 2041 0 122,795,200 2042 $10.15 1,245,864 21 2041 0 2042 0 122,795,200 2043 $10.07 1,236,520 22 2042 0 2043 0 122,795,200 2044 $9.99 1,227,246 23 2043 0 2044 0 122,795,200 2045 $9.92 1,218,041 24 2044 0 2045 0 122,795,200 2046 $9.84 1,208,906 25 2045 0 2046 0 122,795,200 2047 $9.77 1,199,839 26 2046 0 2047 0 122,795,200 2048 $9.70 1,190,841 27 2047 0 2048 0 122,795,200 2049 $9.63 1,181,909 Totals 122,795,200 0 Future Value of Increment 28,734,032 Notes: Yes City of Oconomowoc, Wisconsin Tax Increment District No. 7 Table 4: Tax Increment Projection Worksheet Neumann Blighted Area January 5, 2021 27 54 $2,320,000 $6,145,000 Year Issue Total Issue Total Year 2021 0 0 0 0 0 0 0 2021 2022 0 0 0 0 0 0 0 2022 2023 0 9,340 3,633,898 3,643,238 0 0 8,933 400,677 69,353 17,288 496,251 3,146,987 3,146,987 3,410,000 2023 2024 0 95,610 95,610 0 0 128,560 2,940,116 1,755 160,700 3,231,131 (3,135,521) 11,466 3,410,000 2024 2025 138,818 160,700 11,066 310,584 0 0 170,467 20,795 191,262 119,322 130,788 3,410,000 2025 2026 419,128 20,000 8,460,000 8,899,128 0 0 501,950 8,193,336 266,665 20,000 8,981,951 (82,823) 47,964 11,525,000 2026 2027 852,989 852,989 97,710 331,571 508,825 20,000 528,825 324,164 372,129 11,150,000 2027 2028 1,048,389 1,048,389 112,742 382,582 509,575 20,000 529,575 518,814 890,943 10,755,000 2028 2029 1,128,919 1,128,919 112,742 382,582 509,325 20,000 529,325 599,594 1,490,537 10,340,000 2029 2030 1,208,183 1,208,183 161,775 431,192 508,075 20,000 528,075 680,108 2,170,645 9,805,000 2030 2031 1,264,150 1,264,150 184,315 452,702 510,700 20,000 530,700 733,450 2,904,095 9,195,000 2031 2032 1,319,210 1,319,210 191,101 521,364 509,600 20,000 529,600 789,610 3,693,705 8,480,000 2032 2033 1,333,202 1,333,202 187,612 561,417 510,000 20,000 530,000 803,202 4,496,907 7,695,000 2033 2034 1,323,203 1,323,203 198,744 637,369 20,000 20,000 1,303,203 5,800,110 7,305,000 2034 2035 1,313,279 1,313,279 204,279 639,654 20,000 20,000 1,293,279 7,093,388 6,885,000 2035 2036 1,303,429 1,303,429 209,268 640,294 20,000 20,000 1,283,429 8,376,817 6,435,000 2036 2037 1,293,653 1,293,653 208,784 639,724 20,000 20,000 1,273,653 9,650,471 5,960,000 2037 2038 1,283,951 1,283,951 207,911 637,556 20,000 20,000 1,263,951 10,914,422 5,460,000 2038 2039 1,274,321 1,274,321 221,298 643,455 20,000 20,000 1,254,321 12,168,743 4,910,000 2039 2040 1,264,764 1,264,764 218,807 637,789 20,000 20,000 1,244,764 13,413,507 4,335,000 2040 2041 1,255,278 1,255,278 220,669 640,558 20,000 20,000 1,235,278 14,648,785 3,720,000 2041 2042 1,245,864 1,245,864 221,904 636,605 20,000 20,000 1,225,864 15,874,649 3,070,000 2042 2043 1,236,520 1,236,520 222,506 649,968 20,000 20,000 1,216,520 17,091,169 2,365,000 2043 2044 1,227,246 1,227,246 217,615 645,460 20,000 20,000 1,207,246 18,298,414 1,625,000 2044 2045 1,218,041 1,218,041 217,230 639,018 20,000 20,000 1,198,041 19,496,456 845,000 2045 2046 1,208,906 1,208,906 225,940 645,156 20,000 20,000 1,188,906 20,685,362 0 2046 2047 1,199,839 1,199,839 0 0 20,000 20,000 1,179,839 21,865,201 0 2047 2048 1,190,841 1,190,841 0 0 20,000 20,000 1,170,841 23,036,042 0 2048 2049 1,181,909 1,181,909 0 0 20,000 20,000 1,161,909 24,197,951 0 2049 Totals 28,734,032 160,700 136,016 12,093,898 41,124,646 3,842,948 11,396,010 4,376,010 11,534,129 336,018 519,838 160,700 16,926,695 Totals Notes: LEGEND: END OF EXP. PERIOD City of Oconomowoc, Wisconsin Tax Increment District No. 7 Table 5: Cash Flow Projection Neumann Projected Revenues Projected Expenditures Balances Total Revenues Tax Increments Misc. Revenue Interest Debt Proceeds Transfer to Debt Service Fund G.O. Notes, 2026 (Neumann) Taxable G.O. Notes, 2026 (Neumann) Ongoing Professional Services & Administration OtherCapital Outlay Financing Costs Total Expenditures Annual Cumulative PROJECTED CLOSURE YEAR Total Liabilities Outstanding 55 QB\105038487.1 RESOLUTION NO. 26-R3412 RESOLUTION AUTHORIZING THE ISSUANCE AND ESTABLISHING PARAMETERS FOR THE SALE OF NOT TO EXCEED $6,145,000 TAXABLE GENERAL OBLIGATION PROMISSORY NOTES, SERIES 2026B WHEREAS, the Common Council hereby finds and determines that it is necessary, desirable and in the best interest of the City of Oconomowoc, Waukesha County, Wisconsin (the "City") to raise funds for public purposes, including providing a development incentive in the City's Tax Incremental District No. 7 for the Social (the "Project"); WHEREAS, the Common Council hereby finds and determines that the Project is within the City's power to undertake and therefore serves a "public purpose" as that term is defined in Section 67.04(1)(b), Wisconsin Statutes; WHEREAS, the City is authorized by the provisions of Section 67.12(12), Wisconsin Statutes, to borrow money and issue general obligation promissory notes (the "Notes") for such public purposes; WHEREAS, due to certain provisions contained in the Internal Revenue Code of 1986, as amended, it is necessary to issue the Notes on a taxable rather than tax-exempt basis; WHEREAS, it is the finding of the Common Council that it is in the best interest of the City to direct its financial advisor, Ehlers & Associates, Inc. ("Ehlers"), to take the steps necessary for the City to offer and sell the Notes at public sale and to obtain bids for the purchase of the Notes; and WHEREAS, in order to facilitate the sale of the Notes in a timely manner, the Common Council hereby finds and determines that it is necessary, desirable and in the best interest of the City to delegate to either the Director of Finance/Administrative Services or the City Administrator (each, an "Authorized Officer") the authority to accept on behalf of the City the bid for the Notes that results in the lowest true interest cost for the Notes (the "Proposal") and meets the terms and conditions provided for in this Resolution by executing a certificate in substantially the form attached hereto as Exhibit A and incorporated herein by reference (the "Approving Certificate"). NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City that: Section 1. Authorization and Sale of the Notes; Parameters. For the purpose of paying costs of the Project, the City is authorized to borrow pursuant to Section 67.12(12), Wisconsin Statutes, the principal sum of not to exceed SIX MILLION ONE HUNDRED FORTY-FIVE THOUSAND DOLLARS ($6,145,000) upon the terms and subject to the conditions set forth in this Resolution. Subject to satisfaction of the condition set forth in Section 14 of this Resolution, the Mayor and City Clerk are hereby authorized, empowered and directed to make, execute, issue and sell to the financial institution that submitted the Proposal (the "Purchaser") for, on behalf of and in the name of the City, Notes aggregating the principal amount of not to exceed 56 QB\105038487.1 -2- SIX MILLION ONE HUNDRED FORTY-FIVE THOUSAND DOLLARS ($6,145,000). The purchase price to be paid to the City for the Notes shall not be less than 98.75% nor more than 110.00% of the principal amount of the Notes. Section 2. Terms of the Notes. The Notes shall be designated "Taxable General Obligation Promissory Notes, Series 2026B" and shall:  be issued in the aggregate principal amount of up to $6,145,000;  be dated as of their date of issuance;  be in the denomination of $5,000 or any integral multiple thereof;  be numbered R-1 and upward; and  mature or be subject to mandatory redemption on the dates and in the principal amounts set forth below, provided that the principal amount of each maturity or mandatory redemption amount may be (a) increased by up to $385,000, or (b) decreased by no more than the following amounts, in the following years: Years Maximum Decrease 2030 $ 45,000 2031 70,000 2032–2046 145,000 The aggregate principal amount of the Notes shall not exceed $6,145,000. The schedule below assumes the Notes are issued in the aggregate principal amount of $6,145,000. Date Principal Amount 04-01-2030 $ 50,000 04-01-2031 75,000 04-01-2032 150,000 04-01-2033 200,000 04-01-2034 290,000 04-01-2035 310,000 04-01-2036 330,000 04-01-2037 350,000 04-01-2038 370,000 04-01-2039 400,000 04-01-2040 420,000 04-01-2041 450,000 04-01-2042 475,000 04-01-2043 520,000 04-01-2044 550,000 04-01-2045 580,000 04-01-2046 625,000 57 QB\105038487.1 -3- Interest shall be payable semi-annually on April 1 and October 1 of each year commencing on April 1, 2027. The true interest cost on the Notes (computed taking the Purchaser's compensation into account) shall not exceed 6.42%. Interest shall be computed upon the basis of a 360-day year of twelve 30-day months and will be rounded pursuant to the rules of the Municipal Securities Rulemaking Board. Section 3. Redemption Provisions. The Notes shall be subject to optional redemption as set forth in the Approving Certificate. If the Proposal specifies that certain of the Notes shall be subject to mandatory redemption, the terms of such mandatory redemption shall be set forth in an attachment to the Approving Certificate labeled as Schedule MRP. Upon the optional redemption of any of the Notes subject to mandatory redemption, the principal amount of such Notes so redeemed shall be credited against the mandatory redemption payments established in the Approving Certificate in such manner as the City shall direct. Section 4. Form of the Notes. The Notes shall be issued in registered form and shall be executed and delivered in substantially the form attached hereto as Exhibit B and incorporated herein by this reference. Section 5. Tax Provisions. (A) Direct Annual Irrepealable Tax Levy. For the purpose of paying the principal of and interest on the Notes as the same becomes due, the full faith, credit and resources of the City are hereby irrevocably pledged, and there is hereby levied upon all of the taxable property of the City a direct annual irrepealable tax in the years 2026 through 2045 for the payments due in the years 2027 through 2046 in the amounts as are sufficient to meet the principal and interest payments when due. (B) Tax Collection. So long as any part of the principal of or interest on the Notes remains unpaid, the City shall be and continue without power to repeal such levy or obstruct the collection of said tax until all such payments have been made or provided for. After the issuance of the Notes, said tax shall be, from year to year, carried onto the tax roll of the City and collected in addition to all other taxes and in the same manner and at the same time as other taxes of the City for said years are collected, except that the amount of tax carried onto the tax roll may be reduced in any year by the amount of any surplus money in the Debt Service Fund Account created below. (C) Additional Funds. If at any time there shall be on hand insufficient funds from the aforesaid tax levy to meet principal and/or interest payments on said Notes when due, the requisite amounts shall be paid from other funds of the City then available, which sums shall be replaced upon the collection of the taxes herein levied. Section 6. Segregated Debt Service Fund Account. (A) Creation and Deposits. There shall be and there hereby is established in the treasury of the City, if one has not already been created, a debt service fund, separate and distinct from every other fund, which shall be maintained in accordance with generally accepted accounting principles. Debt service or sinking funds established for obligations previously 58 QB\105038487.1 -4- issued by the City may be considered as separate and distinct accounts within the debt service fund. Within the debt service fund, there hereby is established a separate and distinct account designated as the "Debt Service Fund Account for Taxable General Obligation Promissory Notes, Series 2026B" (the "Debt Service Fund Account") and such account shall be maintained until the indebtedness evidenced by the Notes is fully paid or otherwise extinguished. There shall be deposited into the Debt Service Fund Account (i) all accrued interest received by the City at the time of delivery of and payment for the Notes; (ii) any premium which may be received by the City above the par value of the Notes and accrued interest thereon; (iii) all money raised by the taxes herein levied and any amounts appropriated for the specific purpose of meeting principal of and interest on the Notes when due; (iv) such other sums as may be necessary at any time to pay principal of and interest on the Notes when due; (v) surplus monies in the Borrowed Money Fund as specified below; and (vi) such further deposits as may be required by Section 67.11, Wisconsin Statutes. (B) Use and Investment. No money shall be withdrawn from the Debt Service Fund Account and appropriated for any purpose other than the payment of principal of and interest on the Notes until all such principal and interest has been paid in full and the Notes canceled; provided (i) the funds to provide for each payment of principal of and interest on the Notes prior to the scheduled receipt of taxes from the next succeeding tax collection may be invested in direct obligations of the United States of America maturing in time to make such payments when they are due or in other investments permitted by law; and (ii) any funds over and above the amount of such principal and interest payments on the Notes may be used to reduce the next succeeding tax levy, or may, at the option of the City, be invested by purchasing the Notes as permitted by and subject to Section 67.11(2)(a), Wisconsin Statutes, or in permitted municipal investments under the pertinent provisions of the Wisconsin Statutes ("Permitted Investments"), which investments shall continue to be a part of the Debt Service Fund Account. (C) Remaining Monies. When all of the Notes have been paid in full and canceled, and all Permitted Investments disposed of, any money remaining in the Debt Service Fund Account shall be transferred and deposited in the general fund of the City, unless the Common Council directs otherwise. Section 7. Proceeds of the Notes; Segregated Borrowed Money Fund. The proceeds of the Notes (the "Note Proceeds") (other than any premium and accrued interest which must be paid at the time of the delivery of the Notes into the Debt Service Fund Account created above) shall be deposited into a special fund (the "Borrowed Money Fund") separate and distinct from all other funds of the City and disbursed solely for the purpose or purposes for which borrowed. Monies in the Borrowed Money Fund may be temporarily invested in Permitted Investments. Any monies, including any income from Permitted Investments, remaining in the Borrowed Money Fund after the purpose or purposes for which the Notes have been issued have been accomplished, and, at any time, any monies as are not needed and which obviously thereafter cannot be needed for such purpose(s) shall be deposited in the Debt Service Fund Account. Section 8. Execution of the Notes; Closing; Professional Services. The Notes shall be issued in printed form, executed on behalf of the City by the manual or facsimile signatures of 59 QB\105038487.1 -5- the Mayor and City Clerk, authenticated, if required, by the Fiscal Agent (defined below), sealed with its official or corporate seal, if any, or a facsimile thereof, and delivered to the Purchaser upon payment to the City of the purchase price thereof, plus accrued interest to the date of delivery (the "Closing"). The facsimile signature of either of the officers executing the Notes may be imprinted on the Notes in lieu of the manual signature of the officer but, unless the City has contracted with a fiscal agent to authenticate the Notes, at least one of the signatures appearing on each Note shall be a manual signature. In the event that either of the officers whose signatures appear on the Notes shall cease to be such officers before the Closing, such signatures shall, nevertheless, be valid and sufficient for all purposes to the same extent as if they had remained in office until the Closing. The aforesaid officers are hereby authorized and directed to do all acts and execute and deliver the Notes and all such documents, certificates and acknowledgements as may be necessary and convenient to effectuate the Closing. The City hereby authorizes the officers and agents of the City to enter into, on its behalf, agreements and contracts in conjunction with the Notes, including but not limited to agreements and contracts for legal, trust, fiscal agency, disclosure and continuing disclosure, and rebate calculation services. Any such contract heretofore entered into in conjunction with the issuance of the Notes is hereby ratified and approved in all respects. Section 9. Payment of the Notes; Fiscal Agent. The principal of and interest on the Notes shall be paid by Bond Trust Services Corporation, which is hereby appointed as the City's registrar and fiscal agent pursuant to the provisions of Section 67.10(2), Wisconsin Statutes (the "Fiscal Agent"). The City hereby authorizes the Mayor and City Clerk or other appropriate officers of the City to enter into a Fiscal Agency Agreement between the City and the Fiscal Agent. Such contract may provide, among other things, for the performance by the Fiscal Agent of the functions listed in Wis. Stats. Sec. 67.10(2)(a) to (j), where applicable, with respect to the Notes. Section 10. Persons Treated as Owners; Transfer of Notes. The City shall cause books for the registration and for the transfer of the Notes to be kept by the Fiscal Agent. The person in whose name any Note shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes and payment of either principal or interest on any Note shall be made only to the registered owner thereof. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Note to the extent of the sum or sums so paid. Any Note may be transferred by the registered owner thereof by surrender of the Note at the office of the Fiscal Agent, duly endorsed for the transfer or accompanied by an assignment duly executed by the registered owner or his attorney duly authorized in writing. Upon such transfer, the Mayor and City Clerk shall execute and deliver in the name of the transferee or transferees a new Note or Notes of a like aggregate principal amount, series and maturity and the Fiscal Agent shall record the name of each transferee in the registration book. No registration shall be made to bearer. The Fiscal Agent shall cancel any Note surrendered for transfer. The City shall cooperate in any such transfer, and the Mayor and City Clerk are authorized to execute any new Note or Notes necessary to effect any such transfer. Section 11. Record Date. The 15th day of the calendar month next preceding each interest payment date shall be the record date for the Notes (the "Record Date"). Payment of 60 QB\105038487.1 -6- interest on the Notes on any interest payment date shall be made to the registered owners of the Notes as they appear on the registration book of the City at the close of business on the Record Date. Section 12. Utilization of The Depository Trust Company Book-Entry-Only System. In order to make the Notes eligible for the services provided by The Depository Trust Company, New York, New York ("DTC"), the City agrees to the applicable provisions set forth in the Blanket Issuer Letter of Representations, which the City Clerk or other authorized representative of the City is authorized and directed to execute and deliver to DTC on behalf of the City to the extent an effective Blanket Issuer Letter of Representations is not presently on file in the City Clerk's office. Section 13. Payment of Issuance Expenses. The City authorizes the Purchaser to forward the amount of the proceeds of the Notes allocable to the payment of issuance expenses to a financial institution selected by Ehlers at Closing for further distribution as directed by Ehlers. Section 14. Condition on Issuance and Sale of the Notes. The issuance of the Notes and the sale of the Notes to the Purchaser are subject to approval by an Authorized Officer of the principal amount, definitive maturities, redemption provisions, interest rates and purchase price for the Notes, which approval shall be evidenced by execution by an Authorized Officer of the Approving Certificate. The Notes shall not be issued, sold or delivered until this condition is satisfied. Upon satisfaction of this condition, an Authorized Officer authorized to execute a Proposal with the Purchaser providing for the sale of the Notes to the Purchaser. Section 15. Official Statement. The Common Council hereby directs an Authorized Officer to approve the Preliminary Official Statement with respect to the Notes and deem the Preliminary Official Statement as "final" as of its date for purposes of SEC Rule 15c2-12 promulgated by the Securities and Exchange Commission pursuant to the Securities and Exchange Act of 1934 (the "Rule"). All actions taken by an Authorized Officer or other officers of the City in connection with the preparation of such Preliminary Official Statement and any addenda to it or final Official Statement are hereby ratified and approved. In connection with the Closing, the appropriate City official shall certify the Preliminary Official Statement and any addenda or final Official Statement. The City Clerk shall cause copies of the Preliminary Official Statement and any addenda or final Official Statement to be distributed to the Purchaser. Section 16. Undertaking to Provide Continuing Disclosure. The City hereby covenants and agrees, for the benefit of the owners of the Notes, to enter into a written undertaking (the "Undertaking") if required by the Rule to provide continuing disclosure of certain financial information and operating data and timely notices of the occurrence of certain events in accordance with the Rule. The Undertaking shall be enforceable by the owners of the Notes or by the Purchaser on behalf of such owners (provided that the rights of the owners and the Purchaser to enforce the Undertaking shall be limited to a right to obtain specific performance of 61 QB\105038487.1 -7- the obligations thereunder and any failure by the City to comply with the provisions of the Undertaking shall not be an event of default with respect to the Notes). To the extent required under the Rule, the Mayor and City Clerk, or other officer of the City charged with the responsibility for issuing the Notes, shall provide a Continuing Disclosure Certificate for inclusion in the transcript of proceedings, setting forth the details and terms of the City's Undertaking. Section 17. Record Book. The City Clerk shall provide and keep the transcript of proceedings as a separate record book (the "Record Book") and shall record a full and correct statement of every step or proceeding had or taken in the course of authorizing and issuing the Notes in the Record Book. Section 18. Bond Insurance. If the Purchaser determines to obtain municipal bond insurance with respect to the Notes, the officers of the City are authorized to take all actions necessary to obtain such municipal bond insurance. The Mayor and City Clerk are authorized to agree to such additional provisions as the bond insurer may reasonably request and which are acceptable to the Mayor and City Clerk including provisions regarding restrictions on investment of Note proceeds, the payment procedure under the municipal bond insurance policy, the rights of the bond insurer in the event of default and payment of the Notes by the bond insurer and notices to be given to the bond insurer. In addition, any reference required by the bond insurer to the municipal bond insurance policy shall be made in the form of Note provided herein. 62 QB\105038487.1 -8- Section 19. Conflicting Resolutions; Severability; Effective Date. All prior resolutions, rules or other actions of the Common Council or any parts thereof in conflict with the provisions hereof shall be, and the same are, hereby rescinded insofar as the same may so conflict. In the event that any one or more provisions hereof shall for any reason be held to be illegal or invalid, such illegality or invalidity shall not affect any other provisions hereof. The foregoing shall take effect immediately upon adoption and approval in the manner provided by law. Adopted, approved and recorded October 6, 2026. _____________________________ Matt Rosek Mayor ATTEST: ____________________________ Gina Kozlik City Clerk (SEAL) 63 QB\105038487.1 EXHIBIT A APPROVING CERTIFICATE The undersigned [Director of Finance/Administrative Services] [City Administrator] of the City of Oconomowoc, Waukesha County, Wisconsin (the "City"), hereby certifies that: 1. Resolution. On October 6, 2026, the Common Council of the City adopted a resolution (the "Resolution") authorizing the issuance and establishing parameters for the sale of not to exceed $6,145,000 Taxable General Obligation Promissory Notes, Series 2026B of the City (the "Notes") after a public sale and delegating to me the authority to approve the Preliminary Official Statement, to approve the purchase proposal for the Notes, and to determine the details for the Notes within the parameters established by the Resolution. 2. Preliminary Official Statement. The Preliminary Official Statement with respect to the Notes is hereby approved and deemed "final" as of its date for purposes of SEC Rule 15c2- 12 promulgated by the Securities and Exchange Commission pursuant to the Securities and Exchange Act of 1934. 3. Proposal; Terms of the Notes. On the date hereof, the Notes were offered for public sale and the bids set forth on the Bid Tabulation attached hereto as Schedule I and incorporated herein by this reference were received. The institution listed first on the Bid Tabulation, ____________________ (the "Purchaser") offered to purchase the Notes in accordance with the terms set forth in the Proposal attached hereto as Schedule II and incorporated herein by this reference (the "Proposal"). Ehlers & Associates, Inc. recommends the City accept the Proposal. The Proposal meets the parameters and conditions established by the Resolution and is hereby approved and accepted. The Notes shall be issued in the aggregate principal amount of $__________, which is not more than the $6,145,000 approved by the Resolution, and shall mature on April 1 of each of the years and in the amounts and shall bear interest at the rates per annum as set forth in the Pricing Summary attached hereto as Schedule III and incorporated herein by this reference. The amount of each annual principal or mandatory redemption payment due on the Notes was not increased by more than $385,000, nor decreased by more than (i) $45,000 in 2030, (ii) $70,000 in 2031 or (iii) $145,000 in the years 2032 through 2046 as compared to the schedule included in the Resolution as set forth below: Date Resolution Schedule Actual Amount 04-01-2030 $ 50,000 $___________ 04-01-2031 75,000 ___________ 04-01-2032 150,000 ___________ 04-01-2033 200,000 ___________ 04-01-2034 290,000 ___________ 04-01-2035 310,000 ___________ 04-01-2036 330,000 ___________ 04-01-2037 350,000 ___________ 64 QB\105038487.1 -2- Date Resolution Schedule Actual Amount 04-01-2038 $370,000 $___________ 04-01-2039 400,000 ___________ 04-01-2040 420,000 ___________ 04-01-2041 450,000 ___________ 04-01-2042 475,000 ___________ 04-01-2043 520,000 ___________ 04-01-2044 550,000 ___________ 04-01-2045 580,000 ___________ 04-01-2046 625,000 ___________ The true interest cost on the Notes (computed taking the Purchaser's compensation into account) is _________%, which is not in excess of 6.42%, as required by the Resolution. 4. Purchase Price of the Notes. The Notes shall be sold to the Purchaser in accordance with the terms of the Proposal at a price of $_________, plus accrued interest, if any, to the date of delivery of the Notes, which is not less than 98.75% nor more than 110.00% of the principal amount of the Notes, as required by the Resolution. 5. Redemption Provisions of the Notes. The Notes maturing on April 1, ______ and thereafter are subject to redemption prior to maturity, at the option of the City, on April 1, ______ or on any date thereafter. Said Notes are redeemable as a whole or in part, and if in part, from maturities selected by the City and within each maturity by lot, at the principal amount thereof, plus accrued interest to the date of redemption. [The Proposal specifies that [some of] the Notes are subject to mandatory redemption. The terms of such mandatory redemption are set forth in an attachment hereto as Schedule MRP and incorporated herein by this reference.] 6. Direct Annual Irrepealable Tax Levy. For the purpose of paying the principal of and interest on the Notes as the same respectively falls due, the full faith, credit and taxing powers of the City have been irrevocably pledged and there has been levied on all of the taxable property in the City, pursuant to the Resolution, a direct, annual irrepealable tax in an amount and at the times sufficient for said purpose. Such tax shall be for the years and in the amounts set forth on the debt service schedule attached hereto as Schedule IV. 65 QB\105038487.1 -3- 7. Approval. This Certificate constitutes my approval of the Proposal, and the principal amount, definitive maturities, interest rates, purchase price and redemption provisions for the Notes and the direct annual irrepealable tax levy to repay the Notes, in satisfaction of the parameters set forth in the Resolution. IN WITNESS WHEREOF, I have executed this Certificate on ______________________, 2026 pursuant to the authority delegated to me in the Resolution. [_________________________ Steve Hatton Director of Finance/Administrative Services] [_________________________ Mark Frye City Administrator] 66 QB\105038487.1 SCHEDULE I TO APPROVING CERTIFICATE Bid Tabulation To be provided by Ehlers & Associates, Inc. and incorporated into the Certificate. (See Attached) 67 QB\105038487.1 SCHEDULE II TO APPROVING CERTIFICATE Proposal To be provided by Ehlers & Associates, Inc. and incorporated into the Certificate. (See Attached) 68 QB\105038487.1 SCHEDULE III TO APPROVING CERTIFICATE Pricing Summary To be provided by Ehlers & Associates, Inc. and incorporated into the Certificate. (See Attached) 69 QB\105038487.1 SCHEDULE IV TO APPROVING CERTIFICATE Debt Service Schedule and Irrepealable Tax Levies To be provided by Ehlers & Associates, Inc. and incorporated into the Certificate. (See Attached) 70 QB\105038487.1 [SCHEDULE MRP Mandatory Redemption Provision The Notes due on April 1, ____, ____ and ____ (the "Term Bonds") are subject to mandatory redemption prior to maturity by lot (as selected by the Depository) at a redemption price equal to One Hundred Percent (100%) of the principal amount to be redeemed plus accrued interest to the date of redemption, from debt service fund deposits which are required to be made in amounts sufficient to redeem on April 1 of each year the respective amount of Term Bonds specified below: For the Term Bonds Maturing on April 1, 20 Redemption Date Amount ____ $______ ____ ______ ____ ______ (maturity) For the Term Bonds Maturing on April 1, 20 Redemption Date Amount ____ $______ ____ ______ ____ ______ (maturity) For the Term Bonds Maturing on April 1, 20 Redemption Date Amount ____ $______ ____ ______ ____ ______ (maturity) For the Term Bonds Maturing on April 1, 20 Redemption Date Amount ____ $______ ____ ______ ____ ______ (maturity)] 71 QB\105038487.1 EXHIBIT B (Form of Note) UNITED STATES OF AMERICA REGISTERED STATE OF WISCONSIN DOLLARS WAUKESHA COUNTY NO. R-___ CITY OF OCONOMOWOC $_______ TAXABLE GENERAL OBLIGATION PROMISSORY NOTE, SERIES 2026B MATURITY DATE: ORIGINAL DATE OF ISSUE: INTEREST RATE: CUSIP: April 1, _____ ________, 2026 ____% ______ DEPOSITORY OR ITS NOMINEE NAME: CEDE & CO. PRINCIPAL AMOUNT: _______________________ THOUSAND DOLLARS ($__________) FOR VALUE RECEIVED, the City of Oconomowoc, Waukesha County, Wisconsin (the "City"), hereby acknowledges itself to owe and promises to pay to the Depository or its Nominee Name (the "Depository") identified above (or to registered assigns), on the maturity date identified above, the principal amount identified above, and to pay interest thereon at the rate of interest per annum identified above, all subject to the provisions set forth herein regarding redemption prior to maturity. Interest shall be payable semi-annually on April 1 and October 1 of each year commencing on April 1, 2027 until the aforesaid principal amount is paid in full. Both the principal of and interest on this Note are payable to the registered owner in lawful money of the United States. Interest payable on any interest payment date shall be paid by wire transfer to the Depository in whose name this Note is registered on the Bond Register maintained by Bond Trust Services Corporation (the "Fiscal Agent") or any successor thereto at the close of business on the 15th day of the calendar month next preceding each interest payment date (the "Record Date"). This Note is payable as to principal upon presentation and surrender hereof at the office of the Fiscal Agent. For the prompt payment of this Note together with interest hereon as aforesaid and for the levy of taxes sufficient for that purpose, the full faith, credit and resources of the City are hereby irrevocably pledged. This Note is one of an issue of Notes aggregating the principal amount of $________, all of which are of like tenor, except as to denomination, interest rate, maturity date and redemption provision, issued by the City pursuant to the provisions of Section 67.12(12), Wisconsin Statutes, for public purposes, including providing a development incentive in the City's Tax Incremental District No. 7 for the Social, as authorized by a resolution adopted on October 6, 2026 as supplemented by an Approving Certificate, dated ______________, 2026 (the "Approving 72 QB\105038487.1 -2- Certificate") (collectively, the "Resolution"). Said Resolution is recorded in the official minutes of the Common Council for said date. The Notes maturing on April 1, ___________ and thereafter are subject to redemption prior to maturity, at the option of the City, on April 1, ________ or on any date thereafter. Said Notes are redeemable as a whole or in part, and if in part, from maturities selected by the City, and within each maturity by lot (as selected by the Depository), at the principal amount thereof, plus accrued interest to the date of redemption. [The Notes maturing in the years ________ are subject to mandatory redemption by lot as provided in the Approving Certificate, at the redemption price of par plus accrued interest to the date of redemption and without premium.] In the event the Notes are redeemed prior to maturity, as long as the Notes are in book-entry-only form, official notice of the redemption will be given by mailing a notice by registered or certified mail, overnight express delivery, facsimile transmission, electronic transmission or in any other manner required by the Depository, to the Depository not less than thirty (30) days nor more than sixty (60) days prior to the redemption date. If less than all of the Notes of a maturity are to be called for redemption, the Notes of such maturity to be redeemed will be selected by lot. Such notice will include but not be limited to the following: the designation, date and maturities of the Notes called for redemption, CUSIP numbers, and the date of redemption. Any notice provided as described herein shall be conclusively presumed to have been duly given, whether or not the registered owner receives the notice. The Notes shall cease to bear interest on the specified redemption date provided that federal or other immediately available funds sufficient for such redemption are on deposit at the office of the Depository at that time. Upon such deposit of funds for redemption the Notes shall no longer be deemed to be outstanding. It is hereby certified and recited that all conditions, things and acts required by law to exist or to be done prior to and in connection with the issuance of this Note have been done, have existed and have been performed in due form and time; that the aggregate indebtedness of the City, including this Note and others issued simultaneously herewith, does not exceed any limitation imposed by law or the Constitution of the State of Wisconsin; and that a direct annual irrepealable tax has been levied sufficient to pay this Note, together with the interest thereon, when and as payable. This Note is transferable only upon the books of the City kept for that purpose at the office of the Fiscal Agent, only in the event that the Depository does not continue to act as depository for the Notes, and the City appoints another depository, upon surrender of the Note to the Fiscal Agent, by the registered owner in person or his duly authorized attorney, together with a written instrument of transfer (which may be endorsed hereon) satisfactory to the Fiscal Agent duly executed by the registered owner or his duly authorized attorney. Thereupon a new fully registered Note in the same aggregate principal amount shall be issued to the new depository in exchange therefor and upon the payment of a charge sufficient to reimburse the City for any tax, fee or other governmental charge required to be paid with respect to such registration. The Fiscal Agent shall not be obliged to make any transfer of the Notes (i) after the Record Date, (ii) 73 QB\105038487.1 -3- during the fifteen (15) calendar days preceding the date of any publication of notice of any proposed redemption of the Notes, or (iii) with respect to any particular Note, after such Note has been called for redemption. The Fiscal Agent and City may treat and consider the Depository in whose name this Note is registered as the absolute owner hereof for the purpose of receiving payment of, or on account of, the principal or redemption price hereof and interest due hereon and for all other purposes whatsoever. The Notes are issuable solely as negotiable, fully- registered Notes without coupons in the denomination of $5,000 or any integral multiple thereof. This Note shall not be valid or obligatory for any purpose until the Certificate of Authentication hereon shall have been signed by the Fiscal Agent. No delay or omission on the part of the owner hereof to exercise any right hereunder shall impair such right or be considered as a waiver thereof or as a waiver of or acquiescence in any default hereunder. 74 QB\105038487.1 -4- IN WITNESS WHEREOF, the City of Oconomowoc, Waukesha County, Wisconsin, by its governing body, has caused this Note to be executed for it and in its name by the manual or facsimile signatures of its duly qualified Mayor and City Clerk; and to be sealed with its official or corporate seal, if any, all as of the original date of issue specified above. CITY OF OCONOMOWOC WAUKESHA COUNTY, WISCONSIN By: ______________________________ Matt Rosek Mayor (SEAL) By: ______________________________ Gina Kozlik City Clerk 75 QB\105038487.1 -5- Date of Authentication: _______________, ______ CERTIFICATE OF AUTHENTICATION This Note is one of the Notes of the issue authorized by the within-mentioned Resolution of the City of Oconomowoc, Waukesha County, Wisconsin. Bond Trust Services Corporation By____________________________ Authorized Signatory 76 QB\105038487.1 -6- ASSIGNMENT FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto ____________________________________________________________________________ (Name and Address of Assignee) ____________________________________________________________________________ (Social Security or other Identifying Number of Assignee) the within Note and all rights thereunder and hereby irrevocably constitutes and appoints ______________________________________, Legal Representative, to transfer said Note on the books kept for registration thereof, with full power of substitution in the premises. Dated: _____________________ Signature Guaranteed: _____________________________ ________________________________ (e.g. Bank, Trust Company (Depository or Nominee Name) or Securities Firm) NOTICE: This signature must correspond with the name of the Depository or Nominee Name as it appears upon the face of the within Note in every particular, without alteration or enlargement or any change whatever. ____________________________ (Authorized Officer) 77 1 MEMORANDUM POLICE Date: October 6, 2026 To: Mayor and Common Council From: Jim Pfister, Chief of Police Re: Consider/act on Ordinance No. 26-O1138 to Repeal and Recreate 9.26 (3)(a) Regulation of Private Alarm Systems RELATES TO THE STRATEGIC PLAN Strategic Goal: N/A BACKGROUND As outlined in Municipal Code 9.26 - Regulation of Private Alarm Systems, the Police Department is proposing an update to the penalty fees associated with repeated alarm calls for service at a specific location. The old fee structure is based on a set penalty fee and $35.00 in court fees. In 2026, the court fees increased to $43.00. Therefore, the new amount would be an increased penalty fee in addition to the $43.00 in court fees. The fee will be based on the number of calls for service generated by an alarm system at a particular location. The Police Department is requesting that the existing penalty fees be reviewed and increased to better address repeated alarm activations and the resources required for officers to respond to these calls. The proposed adjustments are intended to encourage alarm system owners to address recurring issues, reduce unnecessary or preventable alarm activations, and more appropriately account for the City resources required when officers repeatedly respond to the same location. The Police Department is requesting consideration and approval of updated penalty fees for repeated alarm calls for service. FINANCIAL IMPACT The proposed fee increase may generate additional revenue while helping offset the costs associated with repeated alarm service calls. RECOMMENDATION The Police Department recommends approval of Ordinance 26-O1138 to update the penalty fees Section 9.26 (3)(a). SUGGESTED MOTION Motion to approve 26-O1138. 78 9.26 REGULATION OF PRIVATE ALARM SYSTEMS. (Cr. #90-0258) (1) DEFINITIONS. Alarm System. Any electrical or mechanical device for the detection of an unauthorized entry on premises, for alerting others of the commission of an unlawful act or both or for the detection of a fire and, when activated, emits a sound or transmits a signal, message or both. False Alarm. A signal from an alarm system which results in a call, either direct or indirect, to the City dispatch center and resulting in a response by the appropriate department when an actual emergency situation does not exist. Person. Any individual, partnership, corporation or other entity. Private alarm System. Any alarm system not owned or leased by the City. (2) FALSE ALARMS PROHIBITED. The owner, occupant or person in control of an alarm location protected by any alarm system or alarm systems as defined herein is prohibited from allowing any false alarm, whether intended or unintended. No person owning, leasing, using or possessing a private alarm system shall by means of that alarm system give a false alarm. (3) PENALTY. (a) The following penalties shall apply to false alarms: Number of False Alarms Penalty One to 2 $  0 3 to 4   25 plus court costs 5 to 6   50 plus court costs 7 to 8  100 plus court costs 9 or more  200 plus court costs (b) The appropriate penalty shall be computed using a calendar year basis. 79 ORDINANCE NO. 26-O1138 ORDINANCE TO REPEAL AND RECREATE SECTIONS WITHIN §9.26 REGULATION OF PRIVATE ALARM SYSTEMS (1) DEFINITIONS. Alarm System. Any electrical or mechanical device for the detection of an unauthorized entry on premises, for alerting others of the commission of an unlawful act or both or for the detection of a fire and, when activated, emits a sound or transmits a signal, message or both. False Alarm. A signal from an alarm system which results in a call, either direct or indirect, to the City dispatch center and resulting in a response by the appropriate department when an actual emergency situation does not exist. Person. Any individual, partnership, corporation or other entity. Private alarm System. Any alarm system not owned or leased by the City. (2) FALSE ALARMS PROHIBITED. The owner, occupant or person in control of an alarm location protected by any alarm system or alarm systems as defined herein is prohibited from allowing any false alarm, whether intended or unintended. No person owning, leasing, using or possessing a private alarm system shall by means of that alarm system give a false alarm. (3) PENALTY. (a) The following penalties shall apply to false alarms: Number of False Alarms Penalty One to 2 $ 0 3 $197.00 4 $260.00 5 or more $386.00 (b) The appropriate penalty shall be computed using a calendar year basis. DATED: _____________________ CITY OF OCONOMOWOC By: ________________________ Matt Rosek, Mayor ATTEST: _____________________________ Gina Kozlik, Clerk Adopted: _____________________ Published: ____________________ Effective Date: _________________ 80 P:\Committee and Council\Memos\Consider_Act - 2026 Lead Service Line Replacement Budget Amendment.docx MEMORANDUM WATER UTILITY Date: October 6, 2026 To: Mayor, Common Council, and Utility Committee From: Kevin Kaari, Utility Manager Re: Consider/act on Resolution 26-R3406 Budget Amendment for Lead Service Line Replacements RELATES TO THE STRATEGIC PLAN Strategic Goal- II – Improve and Maintain our Infrastructure/Facilities BACKGROUND In September of 2026 the Water Utility had an Action Level Exceedance (ALE) for lead found during routine water sampling, therefore the City was required to send out public notification of the findings. This prompted homeowners to investigate their own private lateral situation with some choosing to replace their lead water service line immediately. When a homeowner initiates a lead water service line replacement and the Utility owned portion is also lead, the public side must be replaced at the Utility’s expense within 45 days. ADDITIONAL ANALYSIS The contractors hired by residents to replace their private laterals are available at the same time to replace the City owned public side laterals. There are cost savings involved for efficiency that the Water Utility would like to take advantage of. The approved 2026 Capital budget of $75,000 for lead lateral replacements would require additional funds to cover the unexpected increase in replacements driven by the ALE notice. FINANCIAL IMPACT Known lead service line replacements to be done in 2026 require another $100,000 to cover costs. The funding would come from Water Reserves and be applied to Capital account 602-573-7000 Work Order #226004. RECOMMENDATION Staff recommend a budget amendment to increase the 2026 Lead Service Line Replacement budget by an additional $100,000 for a total of $175,000 SUGGESTED MOTION Motion to approve Resolution 26-R3406. 81 P:\Committee and Council\Resolutions\Resolution 26-R3406 Budget Amendment for Lead Service Line Replacement.docx RESOLUTION NO. 26-R3406 RESOLUTION AUTHORIZING A BUDGET AMENDMENT TO INCREASE THE 2026 LEAD SERVICE LINE REPLACEMENT BUDGET WHEREAS, lead water service line replacement needs for 2026 have increased due to the number of homeowners initiating the replacements of their private side service line; and WHEREAS, the Utility is required to replace the public side, if also made of lead material; and WHEREAS, to accomplish the required work, the Water Utility will need an additional $100,000 to replace the public side in conjunction with the private side work. NOW THEREFORE, BE IT HEREBY RESOLVED, the Common Council approves a budget amendment adding $100,000 to the 2026 Lead Service Line Replacement budget with funds from Water Reserves. Note: Budget Amendments require a super majority vote for approval. DATED: October 6, 2026 CITY OF OCONOMOWOC By: _______________________ Matt Rosek, Mayor ATTEST: _____________________ Gina Kozlik, Clerk 82 P:\Committee and Council\Resolutions\Resolution 26-R3407 Parallel Generation Rates.docx RESOLUTION NO. 26-R3407 RESOLUTION APPROVING OCONOMOWOC UTILITIES JOINING WPPI GROUP FILING FOR NEW PARALLEL GENERATION RATES WHEREAS, on September 15, 2026, Committee of the Whole discussed joining Wisconsin Public Power, Inc. Energy (WPPI) and other member utilities in a group filing with the Public Service Commission for new parallel generation rates; and WHEREAS, the new rates will lower the amount Oconomowoc Electric Utility pays for customer’s excess generation from rooftop solar units to the same price we pay WPPI for wholesale energy; and WHEREAS, the proposed new rates allow existing parallel generation systems to be grandfathered into a ten (10) year continued retail rate payment; and WHEREAS, any new parallel generation customers will begin at the wholesale rate paid to WPPI; and WHEREAS, Utility staff recommend joining the WPPI group parallel generation Pgs-1 and Pgs-2 rate filing. NOW THEREFORE, BE IT HEREBY RESOLVED, the Common Council approves joining WPPI Group Filing for New Parallel Generation Rates DATED: October 6, 2026 CITY OF OCONOMOWOC By: _______________________ Matt Rosek, Mayor ATTEST: _____________________ Gina Kozlik, Clerk 83 P:\Committee and Council\Memos\Consider Act - Electric Utility - Join WPPI Group Filing for new Parallel Generation Rates.docx1 MEMORANDUM ELECTRIC UTILITY Date: October 6, 2026 To: Mayor, Common Council and Utility Committee From: Kevin Kaari, Utility Manager Re: Consider/act on Resolution 26-R3407 Approving Oconomowoc Utilities to Join WPPI Group Filing for New Parallel Generation Rates RELATES TO THE STRATEGIC PLAN N/A BACKGROUND During the Committee of the Whole meeting on September 15, 2026, we discussed joining Wisconsin Public Power Inc. Energy (WPPI) and other member utilities in an upcoming group filing for new “parallel generation” rates for our customers. As discussed, the new rates will lower the amount we pay for a customer’s excess generation from their rooftop solar to the same price we pay WPPI for wholesale energy. ADDITIONAL ANALYSIS The proposed tariff allows existing parallel generation systems to be “grandfathered” so we will continue to pay them at the retail rate for the next 10 years. Any customers adding parallel generation after the new rate is passed will begin at the new rate immediately. FINANCIAL IMPACT Over the past 12 months, the amount credited for excess generation has cost the utility over $57,000. Paying retail rates for the excess energy from parallel generation customers unfairly increases costs for all other electric customers in our City. RECOMMENDATION Oconomowoc Electric recommends that we join the WPPI group rate filing for the new proposed parallel generation rates Pgs-1 and Pgs-2. SUGGESTED MOTION Motion to approve Resolution 26-R3407 84 P:\Committee and Council\Memos\Consider Act - Fleet Department - Consider Act Purchase of Used Plow Trucks from City of Waukesha.docx1 MEMORANDUM FLEET DEPARTMENT Date: October 6, 2026 To: Mayor, Common Council and Utility Committee From: Kevin Kaari, Utility Manager Re: Consider/act on Resolution 26-R3408 Approving Purchase of Used Plow Trucks from City of Waukesha RELATES TO THE STRATEGIC PLAN II. Improve and Maintain our Infrastructure/Facilities A. Maintain Our Existing Infrastructure 1.e. Fleet – Inventory/develop funding replacement cycle BACKGROUND DPW Trucks #51 and #38 are two important plow trucks for the City of Oconomowoc. Truck #51 is a 2014 International WorkStar 7400 4x2 dump truck configured as a single-axle plow truck equipped with a wing. The Long-Term Financial Plan (LTFP) for capital funds was to replace this truck in 2031. Truck #38 is a 2011 International WorkStar plow truck with the same engine model as Truck #51. The LTFP was to replace this truck in 2028. Truck #51 was recently brought in for service due to an engine misfire and lack of power. The truck was taken into River City Truck, who diagnosed the truck with complete engine failure. It should be noted that there are well-documented problems with the MaxxForce DT engine platforms that both Truck #51 and Truck #38 have. This engine has been discontinued due to its poor performance. ADDITIONAL ANALYSIS There are two potential options to repair the engine on Truck #51. 1) An in-frame engine overhaul costs $20k to $25k 2) A long-block engine replacement costs up to $40k. Even after the repair, we will still have a MaxxForce engine powering the truck as it cannot be outfitted with a different engine. Another unique option has been presented to us. The City of Waukesha currently has two 2018 Freightliner M2 108 SD plow trucks available with less miles and hours than Truck #51. The City of Waukesha is accelerating their replacement of these two plow trucks in order to replace them with a newer model before the emissions standards change. The City of Waukesha is willing to sell us one of their plow trucks for 85 2 $45,000. If we are serious about this option, there is also the possibility of purchasing the other City of Waukesha plow truck to replace truck #38, the 2011 model with the problematic MaxxForce engine. The 2018 trucks from the City of Waukesha would be re-assessed in 10 years before placing them back into the long-term Capital plan for full replacement in approximately the years 2037 and 2038. Current costs for full replacement units are $330,000 each. As the City of Waukesha trucks are yellow in color, we would like to consider adding a decal wrap to change the trucks to Oconomowoc’s standard white with red stripe to match the rest of the Public Works fleet. They would also need to have the brine and salter units added to the overall costs. If Council approves the purchases, the 2011 International truck #38 would be sold at auction once removed from service. FINANCIAL IMPACT City of Waukesha truck purchase price: $45,000 Brine & salter additions: $13,000 Decal estimate: $ 6,000 Total cost per used 2018 City of Waukesha plow truck: $64,000 RECOMMENDATION The Fleet Department recommends purchasing two 2018 International plow trucks from the City of Waukesha, adding the brine and salter units and doing a white decal wrap. SUGGESTED MOTION Motion to approve Resolution 26-R3408 86 P:\Committee and Council\Resolutions\Resolution 26-R3408 Purchase of Used Plow Trucks from City of Waukesha.docx RESOLUTION NO. 26-R3408 RESOLUTION APPROVING PURCHASE OF USED PLOW TRUCKS FROM CITY OF WAUKESHA WHEREAS, the Department of Public Works fleet has two plow trucks with compromised or failing engines; and WHEREAS, the cost of replacing the engine in the failed truck is $40,000; and WHEREAS, the cost of overhauling the compromised engine is between $20,000 to $25,000; and WHEREAS, the failing plow trucks are not scheduled for replacement until 2028 and 2031 at an estimated cost of $330,000 each; and WHEREAS, the City of Waukesha has available for sale two 2018 Freightliner plow trucks that are compatible with our fleet; and WHEREAS, the City of Waukesha can offer these trucks for sale for $45,000 each, the added brine and salter units cost $13,000 per truck and decals wraps are $6,000 each; and WHEREAS, the overall cost to purchase the trucks from the City of Waukesha and outfit to align with the City of Oconomowoc Fleet is $64,000 each, a total of $128,000; and WHEREAS, these two 2018 Freightliners should last ten years with replacement anticipated in 2037 and 2038, saving the City the cost of purchasing new for seven to nine additional years. NOW THEREFORE, BE IT HEREBY RESOLVED, the Common Council approves the purchase of two 2018 Freightliner Plow Trucks from the City of Waukesha. Note: This is a budget amendment that requires a super majority vote for approval. DATED: October 6, 2026 CITY OF OCONOMOWOC By: _______________________ Matt Rosek, Mayor ATTEST: _____________________ Gina Kozlik, Clerk 87 1 MEMORANDUM CITY CLERK Date: October 6,2026 To: Mayor and Common Council From: Gina Kozlik, Clerk Re: Consider/act on Revised Order for Special Election for Municipal Court Judge for the Lake Country Municipal Court BACKGROUND Council previously approved an Order for the Special Election of the Lake Country Municipal Court Judge on August 18, 2026. A request has been received from the Lake Country Municipal Court to adopt a revised Joint Order for Special Election for Municipal Court Judge due to the importance of the effective date of the order and that it be the same for all municipalities. The order revision specifically states: Upon execution of this Joint Order by all member communities of the Lake Country Municipal Court, this Joint Order shall be dated and effective as of November 30, 2026. All the municipalities are being asked to adopt the revised order prior to November 13, 2026. RECOMMENDATION Staff recommend approval of the revised Order for Special Election to be held April 6, 2027. SUGGESTED MOTION Motion to approve the revised Order for Special Election for Municipal Court Judge for the Lake Country Municipal Court. 88 1 LAKE COUNTRY MUNICIPAL COURT Joint Order for a Special Election for Municipal Court Judge for the Lake Country Municipal Court WHEREAS, the Lake Country Municipal Court Judge Timothy Kay retired mid-term on April 24, 2026, WHEREAS, the expiration of the remaining term of office previously filled by Judge Timothy Kay is April 30, 2028, WHEREAS, the earliest date for circulating nomination papers for this position is December 1, 2026, and the latest date for filing nomination papers for such position is January 5, 2027. WHEREAS, the Lake Country Municipal Court is a joint court. The following member communities are involved in this election: Village of Chenequa, City of Delafield, Town of Delafield, Village of Dousman, Town of Erin, Village of Hartland, Town of Ixonia, Village of Johnson Creek, Village of Lac La Belle, Village of Lisbon, Town of Merton, Village of Merton, Village of Nashotah, City of Oconomowoc, Town of Oconomowoc, Village of Oconomowoc Lake, Town of Ottawa, Village of Palmyra, Town of Sullivan, Village of Sullivan, Village of Summit and Village of Sussex. WHEREAS, the date of the special election is April 6, 2027, and if a primary election is necessary, said primary election shall be held on February 16, 2027. NOW THEREFORE the governing bodies of the member communities of the Lake Country Municipal Court jointly order as follows: A. A special election for the office of municipal judge of the Lake Country Municipal Court shall be held on April 6, 2027, and if a primary is necessary, said primary election shall be held on February 16, 2027. B. Upon execution of this Joint Order by all member communities of the Lake Country Municipal Court, this Joint Order shall be dated and effective as of November 30, 2026. C. This Joint Order may be executed in two or more counterparts, each of which shall be deemed an original and all of which when taken together shall constitute one and the same document. D. This Joint Order shall supersede all past orders with regard to the order for special election described herein. 89 2 [Signature Pages to Follow] City of Delafield By:___________________________________ Title:__________________________________ Date:__________________________________ City of Oconomowoc By:___________________________________ Title:_________________________________ Date:__________________________________ Town of Delafield By:___________________________________ Title:__________________________________ Date:__________________________________ Town of Erin By:___________________________________ Title:__________________________________ Date:__________________________________ Town of Merton By:___________________________________ Title:__________________________________ Date:__________________________________ 90 3 Town of Oconomowoc By:___________________________________ Title:__________________________________ Date:__________________________________ Town of Ottawa By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Chenequa By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Dousman By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Hartland By:___________________________________ Title:__________________________________ Date:__________________________________ 91 4 Village of Johnson Creek By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Lac La Belle By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Lisbon By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Merton By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Nashotah By:___________________________________ Title:__________________________________ Date:__________________________________ 92 5 Village of Oconomowoc Lake By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Sullivan By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Summit By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Sussex By:___________________________________ Title:__________________________________ Date:__________________________________ Town of Ixonia By:___________________________________ Title:__________________________________ Date:__________________________________ 93 6 Town of Sullivan By:___________________________________ Title:__________________________________ Date:__________________________________ Village of Palmyra By:___________________________________ Title:__________________________________ Date:__________________________________ 94 1 MEMORANDUM ADMINISTRATION Date: October 6, 2026 To: Mayor and Common Council From: Mark Frye, City Administrator Re: Consider/act on the Resolution 26-R3409 Rescinding Resolution of Necessity 26-R3387 for the Parcels at 121 Cross Street, 110 and 118 Silver Lake Plaza RELATES TO THE STRATEGIC PLAN III. Focus on Community Growth BACKGROUND On July 21, 2026, the Common Council approved 26-R3387, a Resolution of Necessity to allow for discussions with the owner of the parcels listed above. Mayor Rosek initiated these discussions which were cordial in nature. We learned that another party is interested in purchasing the properties, leaving them on the tax roll. With this information, it was agreed to rescind our Resolution of Necessity to allow the parties to work towards an agreement. RECOMMENDATION Staff recommend approval of Resolution 26-R3409 rescinding Resolution 26-R3387. SUGGESTED MOTION Motion to approve Resolution 26-R3409. Z:\City Administrator\Land Purchase\121 Cross Street Funeral Home\Council 10062026\Background Memo for Resolution 26-R3409 Rescinding Resolution of Necessity 26-R3387 for Parcels at 121 Cross Street, 110 and 118 Silver Lake Plaza 10062026.docx 95 RESOLUTION NO. 26-R3409 RESCISSION OF RESOLUTION OF NECESSITY RESOLUTION NO. 26-R3387 WHEREAS, the City Oconomowoc adopted a Resolution of Necessity in accord with §32.06 Wisconsin Statutes relating to property located within the City, specifically Tax Parcel numbers OCOC 0563 255, OCOC 0563 257 and OCOC 0563 261; and WHEREAS, the City has determined not to proceed with the acquisition of these parcels. NOW, THEREFORE, BE IT HEREBY RESOLVED that the Common Council of the City of Oconomowoc does hereby rescind the Resolution of Necessity No. 26-R3387 dated July 21, 2026. This resolution was passed and adopted on the 6th day of October 2026. CITY OF OCONOMOWOC By: __________________________ Matt Rosek, Mayor ATTEST: ___________________________________ Gina Kozlik, Clerk Z:\City Administrator\Land Purchase\121 Cross Street Funeral Home\Draft Resolution Rescinding Resolution of Necessity 09242026.docx 96 1 MEMORANDUM ADMINISTRATION Date: October 6, 2026 To: Mayor and Common Council From: Mark Frye, City Administrator Re: Consider/act on Release of Certain Obligations Related to Tax Incremental Agreement RELATES TO THE STRATEGIC PLAN Strategic Goal-NA BACKGROUND All of Wangard’s TID obligations were effective as to all Wangard owned land, including the Strip. This document removes the Strip from those obligations. Wangard remains fully responsible and the loss of this very small area is inconsequential. ADDITIONAL ANALYSIS N/A FINANCIAL IMPACT N/A RECOMMENDATION Staff recommend approving the release of certain obligations related to tax incremental agreement. SUGGESTED MOTION Motion to approve the release of certain obligations related to tax incremental agreement. V:\City Projects\Olympia Fields\Flemming Parcel\Council 10062026 Final Documents\Background Memo for Release of Certain Obligations Related to Tax Incremental Agreement 10062026.docx 97 MUNICIPAL LAW & LITIGATION GROUP, S.C. ARENZ, MOLTER, MACY, RIFFLE, LARSON & BITAR DALE W. ARENZ (1935-2022) 730 N. GRAND AVENUE PAUL E. ALEXY DONALD S. MOLTER, JR. (Retired) WAUKESHA, WISCONSIN 53186 LUKE A. MARTELL JOHN P. MACY Telephone (262) 548-1340 SAMANTHA R. SCHMID H. STANLEY RIFFLE (Court Commissioner) Facsimile (262) 548-9211 CHRISTOPHER R. SCHULTZ ERIC J. LARSON Email: sriffle@ammr.net LUCAS C. LOGIC REMZY D. BITAR GREGORY M. PROCOPIO ADAM J. MEYERS SAVANNA GAIN JAIME L. STAFFARONI HAILEY R. LIPINSKI SAVANNAH H. ZIEGLER ANDREW F. PIETROSKE ----------- STEPHEN J. CENTINARIO, JR. September 30, 2026 MEMO From: Stan Riffle, City Attorney To: Mark Frye, City Administrator Re: Fleming Documents Mark: You asked me to prepare a summary of the documents to be presented to the Common Council for review and approval related to the Fleming commercial property. As an overview, all of these documents were contemplated when the Common Council accepted the settlement of the Condemnation lawsuit. The resolution of the lawsuit included several elements as related to the City (Wangard and Fleming had separate agreements in settlement of their own lawsuits). The City’s deal with Fleming included:  The lawsuit would be dismissed. This has been completed.  The City would vacate a portion of right-of-way providing ingress/egress to the Fleming parcel and the Wangard parcel. This resulted in the north ½ vested to Fleming parcel and ½ to the Wangard parcel to the south. In Wangard’s settlement, Wangard is deeding its ½ to Fleming. The vacation document has been recorded so this is complete. 98 MUNICIPAL LAW & LITIGATION GROUP, S.C. Fleming Documents October 1, 2026 Page 2  Wangard agreed to deed the remnant parcel (former Unity Drive) - an approximate 35 foot strip of land situated between the stormwater pond (the “Strip”) - to Fleming. Since there were several recorded restrictions and other agreements between the City and Wangard affecting this strip, the City agreed to release those as to Fleming to facilitate Fleming’s incorporation of the Strip into its development.  The City previously asked Wangard to record an ingress/egress easement on its parcel to the south. Wangard and Fleming have negotiated a different easement for this purpose. The City has agreed to terminate the prior easement to accommodate the new easement. All of these documents have been approved by counsel for all parties (including me), and I ask the Council to approve. Stan 99 1 THIS RELEASE OF CERTAIN OBLIGATIONS RELATED TO TAX INCEMENT AGREEMENT ("Release") is made effective as of the _ _ _ day of _ _ _ _ _ _ _ _ _ , 2026, by and between OLYMPIA FIELDS MD, LLC, a Wisconsin limited liability company, as agent, ("Developer"), the CITY OF OCONOMOWOC, WISCONSIN, a Wisconsin municipal corporation ("City") for the benefit of FLEMING INVESTMENTS, LLC, a Wisconsin limited liability company ("FI"). WITNESSETH: WHEREAS, Developer and the City entered into that certain Tax Increment Agreement dated January 5, 2021 ("Agreement"), a Memorandum of which was recorded in the Office of the Register of Deeds for Waukesha County, Wisconsin on August 4, 2021 as Document No. 4606411 order to place third parties on notice of the Agreement and Developer's and the City's rights and obligations thereunder; and WHEREAS, to accommodate FI's acquisition and development of that portion of the Property described in the Agreement and more particularly described on the attached Exhibit A (the "Released Property"), the City desires to release the Released Property from certain obligations of Developer under the Agreement as set forth below. NOW, THEREFORE, in consideration of the mutual covenants and promises contained in the Development Agreement, Developer and the City hereby acknowledge as follows: 1. IMPACT OF AGREEMENT ON RELEASED PROPERTY. The Released Property shall continue to be considered a part of the Property described in the Agreement for purposes of determining "Minimum Guaranteed Values" under Article III(H) of the Agreement. However, from the date hereof, the City agrees that FI and the Released Property shall not be liable for "Make Up Payments" under Article V of the Agreement, and the City shall continue to seek collection of such Make Up Payments solely from Developer and its affiliated owners who executed the Agreement. 2. ASSIGNMENT. The City acknowledges that the acquisition and development of the Released Property by FI does not constitute an assignment of the Agreement under Article X(D) of the Agreement and that Developer remains solely responsible for Developer's obligations under the Agreement. The City further agrees that contrary to Article X(K) of the Agreement, neither the Released Property nor FI shall be bound by any obligation of the Developer under the Agreement unless expressly agreed by FI in a subsequent written instrument. 3. SUCCESSORS AND ASSIGNS. This Release shall be binding upon and inure to the benefit of the Developer, the City, FI and their respective successors and assigns. Document Number RELEASE OF CERTAIN OBLIGATIONS RELATED TO TAX INCREMENT AGREEMENT Document Title Recording Area Name and Return Address Attorney Matthew R. Jelenchick Niebler, Pyzyk, Carrig, Jelenchick & Hanley LLP N94W17900 Appleton Avenue, Suite 200 Menomonee Falls, WI 53051 PIN: OCOC0614975012 100 2 IN WITNESS WHEREOF, Developer and the City have executed this Release effective as of the date first written above. DEVELOPER: OLYMPIA FIELDS MD, LLC By: ______________________________ Matthew Moroney, Manager STATE OF WISCONSIN ) )ss. WAUKESHA COUNTY ) Personally appeared before me this ___ day of ________, 2026, the above-named Matthew Moroney, the Manager of Olympia Fields MD, LLC, to me known to be the persons who executed the foregoing Release on behalf of the Developer and by its authority. ______________________________ Notary Public State of Wisconsin My commission expires: __________ CITY OF OCONOMOWOC By: _____________________________ Matt Rosek, Mayor Attest: ___________________________ Gina Kozlik, City Clerk STATE OF WISCONSIN ) )ss. WAUKESHA COUNTY ) Personally appeared before me this ___ day of ________, 2026, the above-named Matt Rosek and Gina Kozlik, Mayor and City Clerk, respectively, of the City of Oconomowoc, Wisconsin, to me known to be the persons who executed the foregoing Release on behalf of City and by its authority. _______________________________ Notary Public State of Wisconsin My commission expires: ___________ This document was drafted by Attorney Matthew R. Jelenchick 101 3 EXHIBIT A TO RELEASE OF CERTAIN OBLIGATIONS RELATED TO TAX INCREMENT AGREEMENT PARCEL 1 OF CERTIFIED SURVEY MAP NO. 5465, RECORDED IN THE OFFICE OF THE REGISTER OF DEED FOR WAUKESHA COUNTY, WISCONSIN ON APRIL 7, 1988 IN VOLUME 44 OF CERTIFIED SURVEY MAPS ON PAGES 120 TO 124 INCLUSIVE, AS DOCUMENT NO. 1473573, SAID CERTIFIED SURVEY MAP BEING A DIVISION OF PARCELS 1, 2, 3 AND 4 OF CERTIFIED SURVEY MAP NO. 1118, IN THE SOUTHEAST 1/4 OF THE NORTHWEST 1/4 OF SECTION 10, TOWNSHIP 7 NORTH, RANGE 17 EAST, IN THE CITY OF OCONOMOWOC, COUNTY OF WAUKESHA, STATE OF WISCONSIN. EXCEPTING THEREFROM THE FOLLOWING DESCRIBED LAND: LOT 3 OF CERTIFIED SURVEY MAP NO. 10958, RECORDED MARCH 14, 2012 IN VOLUME 107 OF CERTIFIED SURVEY MAPS ON PAGES 18 TO 29 AS DOCUMENT NO. 3901718, BEING A REDIVISION OF ALL OF PARCELS 1, 2, 3 AND 4 OF CERTIFIED SURVEY MAP NO. 5465, ALSO A PART OF PARCEL 1 OF CERTIFIED SURVEY MAP NO. 7781, ALSO ALL THE OF THE NORTHERLY 60.00 FEET OF COMMERCE STREET AS VACATED IN RESOLUTION NO. 09- R2085 DATED MAY 19, 2009, ALL BEING IN THE SOUTHEAST 1/4 OF THE NORTHWEST 1/4 OF SECTION 10, TOWNSHIP 7 NORTH, RANGE 17 EAST, IN THE CITY OF OCONOMOWOC, COUNTY OF WAUKESHA, STATE OF WISCONSIN. ALSO EXCEPTING THEREFROM THE FOLLOWING DESCRIBED LAND: BEING PART OF PARCEL 1 CERTIFIED SURVEY MAP (CSM) NO. 5465, RECORDED IN THE WAUKESHA COUNTY REGISTER OF DEEDS AS DOCUMENT NO. 1473573, BEING LOCATED IN THE SOUTHEAST ONE-QUARTER OF THE NORTHWEST ONE-QUARTER, SECTION 10, TOWNSHIP 7 NORTH, RANGE 17 EAST, CITY OF OCONOMOWOC, WAUKESHA COUNTY, WISCONSIN, BOUNDED AND DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHWESTERLY CORNER OF SAID PARCEL 1; THENCE BEARING NORTH 67° 09’ 29" EAST ALONG THE NORTHERLY LINE OF SAID PARCEL 1 A DISTANCE OF 40.41 FEET TO THE POINT OF BEGINNING; THENCE BEARING NORTH 67° 09’29” EAST ALONG SAID NORTHERLY LINE A DISTANCE OF 62.80 FEET TO THE NORTHEASTERLY CORNER OF SAID PARCEL 1, AND A POINT ON A CURVE ON THE SOUTHWESTERLY RIGHT-OF-WAY OF S.T.H. 67; THENCE SOUTHEASTERLY ALONG SAID RIGHT-OF-WAY AND ALONG AN ARC OF CURVE TO THE RIGHT 66.00 FEET, HAVING A RADIUS OF 2,151.83 FEET, A CHORD BEARING SOUTH 22° 50' 30.5" EAST A DISTANCE OF 66.00 FEET TO THE NORTHEASTERLY CORNER OF LOT 1 CSM 10958; THENCE BEARING SOUTH 67° 09' 29” WEST ALONG THE NORTHERLY LINE OF LOT 1 CSM 10958 A DISTANCE OF 77.94 FEET TO THE NORTHWEST CORNER OF LOT 1 CSM 10958; THENCE BEARING SOUTH 01° 13’ 56” WEST ALONG THE WEST LINE OF CSM 10958 A DISTANCE OF 8.48 FEET; THENCE BEARING NORTH 08° 41' 13” WEST A DISTANCE OF 76.05 FEET TO THE POINT OF BEGINNING, AS SET FORTH IN QUIT CLAIM DEED RECORDED JULY 2, 2014 AS DOCUMENT NO. 4086942. FURTHER EXCEPTING THEREFROM A LAND DESCRIBED IN QUIT CLAIM DEED RECORDED ON OCTOBER 04, 2022 AS DOCUMENT NO. 4692406. 102 1 MEMORANDUM ADMINISTRATION Date: October 6, 2026 To: Mayor and Common Council From: Mark Frye, City Administrator Re: Consider/act on Release of Stormwater Pond Maintenance Agreement RELATES TO THE STRATEGIC PLAN Strategic Goal-NA BACKGROUND Wangard’s obligations under this agreement are likewise effective as to all Wangard owned land, including the Strip. This document removes the Strip from those obligations. Wangard remains fully responsible for the stormwater obligations. ADDITIONAL ANALYSIS N/A FINANCIAL IMPACT N/A RECOMMENDATION Staff recommend approving the release of stormwater pond maintenance agreement. SUGGESTED MOTION Motion to approve the release of stormwater pond maintenance agreement. V:\City Projects\Olympia Fields\Flemming Parcel\Council 10062026 Final Documents\Background Memo for Release of Stormwater Pond Maintenance Agreement 10062026.docx 103 MUNICIPAL LAW & LITIGATION GROUP, S.C. ARENZ, MOLTER, MACY, RIFFLE, LARSON & BITAR DALE W. ARENZ (1935-2022) 730 N. GRAND AVENUE PAUL E. ALEXY DONALD S. MOLTER, JR. (Retired) WAUKESHA, WISCONSIN 53186 LUKE A. MARTELL JOHN P. MACY Telephone (262) 548-1340 SAMANTHA R. SCHMID H. STANLEY RIFFLE (Court Commissioner) Facsimile (262) 548-9211 CHRISTOPHER R. SCHULTZ ERIC J. LARSON Email: sriffle@ammr.net LUCAS C. LOGIC REMZY D. BITAR GREGORY M. PROCOPIO ADAM J. MEYERS SAVANNA GAIN JAIME L. STAFFARONI HAILEY R. LIPINSKI SAVANNAH H. ZIEGLER ANDREW F. PIETROSKE ----------- STEPHEN J. CENTINARIO, JR. September 30, 2026 MEMO From: Stan Riffle, City Attorney To: Mark Frye, City Administrator Re: Fleming Documents Mark: You asked me to prepare a summary of the documents to be presented to the Common Council for review and approval related to the Fleming commercial property. As an overview, all of these documents were contemplated when the Common Council accepted the settlement of the Condemnation lawsuit. The resolution of the lawsuit included several elements as related to the City (Wangard and Fleming had separate agreements in settlement of their own lawsuits). The City’s deal with Fleming included:  The lawsuit would be dismissed. This has been completed.  The City would vacate a portion of right-of-way providing ingress/egress to the Fleming parcel and the Wangard parcel. This resulted in the north ½ vested to Fleming parcel and ½ to the Wangard parcel to the south. In Wangard’s settlement, Wangard is deeding its ½ to Fleming. The vacation document has been recorded so this is complete. 104 MUNICIPAL LAW & LITIGATION GROUP, S.C. Fleming Documents October 1, 2026 Page 2  Wangard agreed to deed the remnant parcel (former Unity Drive) - an approximate 35 foot strip of land situated between the stormwater pond (the “Strip”) - to Fleming. Since there were several recorded restrictions and other agreements between the City and Wangard affecting this strip, the City agreed to release those as to Fleming to facilitate Fleming’s incorporation of the Strip into its development.  The City previously asked Wangard to record an ingress/egress easement on its parcel to the south. Wangard and Fleming have negotiated a different easement for this purpose. The City has agreed to terminate the prior easement to accommodate the new easement. All of these documents have been approved by counsel for all parties (including me), and I ask the Council to approve. Stan 105 1 WHEREAS, to accommodate FI's acquisition and development of that portion of the Property subject to the Agreement and more particularly described on the attached Exhibit A (the "Released Property"), the City desires to release the Released Property from the Stormwater Pond Maintenance Agreement as set forth below. The Released Property is released from the Agreement and the Property Association and City hereby confirm that the Agreement is terminated and of no further force or effect with respect to the Released Property. This release does not prohibit FI, or any successor or assign, including any current or subsequent owner of the Released Property, from using the existing storm water facilities as installed. The City grants and conveys the owners of the Released Property a perpetual non-exclusive easement for the discharge of stormwater to the stormwater pond identified as “Water Quality Basin 2” in the Agreement and for the collection and storage of stormwater drainage from the Released Property. Further, the City grants and conveys FI a perpetual non-exclusive easement for the discharge of stormwater to the stormwater pond identified as “Water Quality Basin 2” in the Agreement and for the collection and storage of stormwater drainage from any property owned or subsequently acquired by FI within the Drainage Lands identified in the Agreement. The perpetual easement shall run with the land and inures to the benefit of FI’s successors in interest in and assigns in title to any such property. This Release shall be binding upon and inure to the benefit of the Property Association, the City, FI and their respective successors and assigns. IN WITNESS WHEREOF, the Property Association and the City have executed this Release effective as of the date first written above. Document Number RELEASE OF STORMWATER POND MAINTENANCE AGREEMENT Document Title Recording Area THIS RELEASE OF THE STORMWATER POND MAINTENANCE AGREEMENT ("Release") is made effective as of the _ _ _ day of _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ , 2026, by and between OLYMPIA FIELDS PROPERTY OWNERS ASSOCIATION, INC., a nonstock, non-profit Wisconsin corporation, ("Property Association") and the CITY OF OCONOMOWOC, WISCONSIN, a Wisconsin municipal corporation ("City") for the benefit of FLEMING INVESTMENTS, LLC, a Wisconsin limited liability company ("FI"). WITNESSETH: WHEREAS, the Property Association and the City entered into the Stormwater Pond Maintenance Agreement dated January 9, 2025 ("Agreement"), a Memorandum of which was recorded in the Office of the Register of Deeds for Waukesha County, Wisconsin on January 13, 2025, as Document No. 480173 in order to place third parties on notice of the Agreement and Property Association’s and the City's rights and obligations; and Name and Return Address Attorney Matthew R. Jelenchick Niebler, Pyzyk, Carrig, Jelenchick & Hanley LLP N94W17900 Appleton Avenue, Suite 200 Menomonee Falls, WI 53051 PIN: OCOC0614975012 106 2 PROPERTY ASSOCIATION: OLYMPIA FIELDS PROPERTY OWNERS ASSOCIATION, INC. By: ______________________________ Matthew Moroney, Manager STATE OF WISCONSIN ) )ss. WAUKESHA COUNTY ) Personally appeared before me this ___ day of ________, 2026, the above-named Matthew Moroney, the Manager of Olympia Fields Property Owners Association, Inc., to me known to be the persons who executed the foregoing Release on behalf of the Property Association and by its authority. ______________________________ Notary Public State of Wisconsin My commission expires: __________ CITY OF OCONOMOWOC By: _____________________________ Matt Rosek, Mayor Attest: ___________________________ Gina Kozlik, City Clerk STATE OF WISCONSIN ) )ss. WAUKESHA COUNTY ) Personally appeared before me this ___ day of ________, 2026, the above-named Matt Rosekand Gina Kozlik, Mayor and City Clerk, respectively, of the City of Oconomowoc, Wisconsin, to me known to be the persons who executed the foregoing Release on behalf of City and by its authority. _______________________________ Notary Public State of Wisconsin My commission expires: ___________ This document was drafted by Attorney Matthew R. Jelenchick 107 3 EXHIBIT A TO RELEASE OF STORMWATER POND MAINTENANCE AGREEMENT PARCEL 1 OF CERTIFIED SURVEY MAP NO. 5465, RECORDED IN THE OFFICE OF THE REGISTER OF DEEDS FOR WAUKESHA COUNTY, WISCONSIN ON APRIL 7, 1988 IN VOLUME 44 OF CERTIFIED SURVEY MAPS ON PAGES 120 TO 124 INCLUSIVE, AS DOCUMENT NO. 1473573, SAID CERTIFIED SURVEY MAP BEING A DIVISION OF PARCELS 1, 2, 3 AND 4 OF CERTIFIED SURVEY MAP NO. 1118, IN THE SOUTHEAST 1/4 OF THE NORTHWEST 1/4 OF SECTION 10, TOWNSHIP 7 NORTH, RANGE 17 EAST, IN THE CITY OF OCONOMOWOC, COUNTY OF WAUKESHA, STATE OF WISCONSIN. EXCEPTING THEREFROM THE FOLLOWING DESCRIBED LAND: LOT 3 OF CERTIFIED SURVEY MAP NO. 10958, RECORDED MARCH 14, 2012 IN VOLUME 107 OF CERTIFIED SURVEY MAPS ON PAGES 18 TO 29 AS DOCUMENT NO. 3901718, BEING A REDIVISION OF ALL OF PARCELS 1, 2, 3 AND 4 OF CERTIFIED SURVEY MAP NO. 5465, ALSO A PART OF PARCEL 1 OF CERTIFIED SURVEY MAP NO. 7781, ALSO ALL THE OF THE NORTHERLY 60.00 FEET OF COMMERCE STREET AS VACATED IN RESOLUTION NO. 09- R2085 DATED MAY 19, 2009, ALL BEING IN THE SOUTHEAST 1/4 OF THE NORTHWEST 1/4 OF SECTION 10, TOWNSHIP 7 NORTH, RANGE 17 EAST, IN THE CITY OF OCONOMOWOC, COUNTY OF WAUKESHA, STATE OF WISCONSIN. ALSO EXCEPTING THEREFROM THE FOLLOWING DESCRIBED LAND: BEING PART OF PARCEL 1 CERTIFIED SURVEY MAP (CSM) NO. 5465, RECORDED IN THE WAUKESHA COUNTY REGISTER OF DEEDS AS DOCUMENT NO. 1473573, BEING LOCATED IN THE SOUTHEAST ONE-QUARTER OF THE NORTHWEST ONE-QUARTER, SECTION 10, TOWNSHIP 7 NORTH, RANGE 17 EAST, CITY OF OCONOMOWOC, WAUKESHA COUNTY, WISCONSIN, BOUNDED AND DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHWESTERLY CORNER OF SAID PARCEL 1; THENCE BEARING NORTH 67° 09’ 29" EAST ALONG THE NORTHERLY LINE OF SAID PARCEL 1 A DISTANCE OF 40.41 FEET TO THE POINT OF BEGINNING; THENCE BEARING NORTH 67° 09’29” EAST ALONG SAID NORTHERLY LINE A DISTANCE OF 62.80 FEET TO THE NORTHEASTERLY CORNER OF SAID PARCEL 1, AND A POINT ON A CURVE ON THE SOUTHWESTERLY RIGHT-OF-WAY OF S.T.H. 67; THENCE SOUTHEASTERLY ALONG SAID RIGHT-OF-WAY AND ALONG AN ARC OF CURVE TO THE RIGHT 66.00 FEET, HAVING A RADIUS OF 2,151.83 FEET, A CHORD BEARING SOUTH 22° 50' 30.5" EAST A DISTANCE OF 66.00 FEET TO THE NORTHEASTERLY CORNER OF LOT 1 CSM 10958; THENCE BEARING SOUTH 67° 09' 29” WEST ALONG THE NORTHERLY LINE OF LOT 1 CSM 10958 A DISTANCE OF 77.94 FEET TO THE NORTHWEST CORNER OF LOT 1 CSM 10958; THENCE BEARING SOUTH 01° 13’ 56” WEST ALONG THE WEST LINE OF CSM 10958 A DISTANCE OF 8.48 FEET; THENCE BEARING NORTH 08° 41' 13” WEST A DISTANCE OF 76.05 FEET TO THE POINT OF BEGINNING, AS SET FORTH IN QUIT CLAIM DEED RECORDED JULY 2, 2014 AS DOCUMENT NO. 4086942. FURTHER EXCEPTING THEREFROM A LAND DESCRIBED IN QUIT CLAIM DEED RECORDED ON OCTOBER 04, 2022 AS DOCUMENT NO. 4692406. 108 1 MEMORANDUM ADMINISTRATION Date: October 6, 2026 To: Mayor and Common Council From: Mark Frye, City Administrator Re: Consider/act on Termination and Release of Condemned Easements RELATES TO THE STRATEGIC PLAN Strategic Goal-NA BACKGROUND This document terminates all the legacy easement and restrictions that encumbered the Fleming property that pertain to the rest of the original Olympia lands so that these lands can be fully developed without any of the old restrictions. ADDITIONAL ANALYSIS N/A FINANCIAL IMPACT N/A RECOMMENDATION Staff recommend approving the termination and release of condemned easements. SUGGESTED MOTION Motion to approve the termination and release of condemned easements. V:\City Projects\Olympia Fields\Flemming Parcel\Council 10062026 Final Documents\Background Memo for Termination and Release of Condemned Easements 10062026.docx 109 MUNICIPAL LAW & LITIGATION GROUP, S.C. ARENZ, MOLTER, MACY, RIFFLE, LARSON & BITAR DALE W. ARENZ (1935-2022) 730 N. GRAND AVENUE PAUL E. ALEXY DONALD S. MOLTER, JR. (Retired) WAUKESHA, WISCONSIN 53186 LUKE A. MARTELL JOHN P. MACY Telephone (262) 548-1340 SAMANTHA R. SCHMID H. STANLEY RIFFLE (Court Commissioner) Facsimile (262) 548-9211 CHRISTOPHER R. SCHULTZ ERIC J. LARSON Email: sriffle@ammr.net LUCAS C. LOGIC REMZY D. BITAR GREGORY M. PROCOPIO ADAM J. MEYERS SAVANNA GAIN JAIME L. STAFFARONI HAILEY R. LIPINSKI SAVANNAH H. ZIEGLER ANDREW F. PIETROSKE ----------- STEPHEN J. CENTINARIO, JR. September 30, 2026 MEMO From: Stan Riffle, City Attorney To: Mark Frye, City Administrator Re: Fleming Documents Mark: You asked me to prepare a summary of the documents to be presented to the Common Council for review and approval related to the Fleming commercial property. As an overview, all of these documents were contemplated when the Common Council accepted the settlement of the Condemnation lawsuit. The resolution of the lawsuit included several elements as related to the City (Wangard and Fleming had separate agreements in settlement of their own lawsuits). The City’s deal with Fleming included:  The lawsuit would be dismissed. This has been completed.  The City would vacate a portion of right-of-way providing ingress/egress to the Fleming parcel and the Wangard parcel. This resulted in the north ½ vested to Fleming parcel and ½ to the Wangard parcel to the south. In Wangard’s settlement, Wangard is deeding its ½ to Fleming. The vacation document has been recorded so this is complete. 110 MUNICIPAL LAW & LITIGATION GROUP, S.C. Fleming Documents October 1, 2026 Page 2  Wangard agreed to deed the remnant parcel (former Unity Drive) - an approximate 35 foot strip of land situated between the stormwater pond (the “Strip”) - to Fleming. Since there were several recorded restrictions and other agreements between the City and Wangard affecting this strip, the City agreed to release those as to Fleming to facilitate Fleming’s incorporation of the Strip into its development.  The City previously asked Wangard to record an ingress/egress easement on its parcel to the south. Wangard and Fleming have negotiated a different easement for this purpose. The City has agreed to terminate the prior easement to accommodate the new easement. All of these documents have been approved by counsel for all parties (including me), and I ask the Council to approve. Stan 111 TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS Document Number TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS Recording Area Name and Return Address Wangard Partners, Inc. 1200 N. Mayfair Road, Suite 410 Milwaukee, Wisconsin 53226 Attn: Legal Dept. See Exhibit B Legal Description Parcel Identification Number (PIN) 112 TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS THIS TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS (this “Release”) is made as of the ____ day of __________________, 2026 (the “Effective Date”), by the CITY OF OCONOMOWOC, a Wisconsin municipal corporation (the “City”). RECITALS WHEREAS, the Circuit Court for Waukesha County, Wisconsin entered that certain Order for Judgment and Judgment of Condemnation in Waukesha County Circuit Court Case No. 23-CV-1923 and the consolidated condemnation matters involving the City, Fleming Investments, LLC, Steven T. Fleming and Judith A. Fleming, signed August 18, 2026 and filed August 19, 2026, and subsequently recorded in the office of the Register of Deeds for Waukesha County, Wisconsin, on September 11, 2026 as Document No. 4896686 (the “Judgment”); WHEREAS, pursuant to the Judgment, the City acquired and became vested with certain right, title and interest held or claimed by Fleming Investments, LLC, Steven T. Fleming and Judith A. Fleming (collectively, the “Fleming Parties”), together with interests claimed by, through or under them, in the easements and related rights identified on Exhibit A attached hereto (collectively, the “Fleming Easement Interests”); WHEREAS, the Fleming Easement Interests are limited to the rights and interests actually condemned and vested in the City pursuant to the Judgment and do not include any independent right or interest of the City arising under the underlying instruments or otherwise; WHEREAS, the Declaration of Easements recorded as Document No. 884555, one of the underlying instruments identified on Exhibit A, described the larger property on which the former hotel- convention center and resort complex was located, which real property is legally described on Exhibit B attached hereto and incorporated herein by this reference (the “Original Resort Property”); WHEREAS, the City desires to release, terminate and extinguish the Fleming Easement Interests in their entirety, including, without limitation, to the fullest extent any such Fleming Easement Interests burden, encumber, cross, traverse, benefit, are appurtenant to, or otherwise affect any portion of the Original Resort Property or any successor parcel containing any portion thereof; WHEREAS, the Private Road Maintenance Agreement recorded July 2, 2012 as Document No. 3929967, which was also included among the interests addressed by the Judgment, is being terminated by separate instrument and is not included in this Release. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the City declares and agrees as follows: 1. Release and Termination. The City hereby irrevocably releases, terminates, relinquishes and extinguishes all of the City’s right, title and interest in and to the Fleming Easement Interests acquired through the Judgment. From and after recording of this Release, the Fleming Easement Interests acquired through the Judgment shall be permanently terminated and extinguished and shall no longer burden, encumber, benefit or otherwise affect the Original Resort Property or any portion thereof. 113 TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS 2. Application to Original Resort Property; Avoidance of Doubt. For avoidance of doubt and without limiting Section 1, this Release is intended to release and extinguish the Fleming Easement Interests throughout and with respect to the entirety of the Original Resort Property legally described on Exhibit B, including each portion thereof that has been or may hereafter be subdivided, combined, reconfigured, replatted, condominiumized, dedicated or otherwise included within a successor parcel. To the fullest extent the City acquired any of the Fleming Easement Interests through the Judgment, none of such Fleming Easement Interests shall remain as a burden, encumbrance, easement, covenant, right, benefit or other interest affecting any portion of the Original Resort Property. 3. Reserved Rights; No Revival. The City acknowledges that except as set forth below, the City previously released and terminated its rights and interests in and to the easements and related interests identified on Exhibit A by recorded instruments. Pursuant to the Release of Easement Rights executed by the City and recorded as Document No. 4663330, the City retained certain municipal utility easements created by Document Nos. 884556 and 922707, which may have been subsequently modified or partially released by the City (“City Reserved Rights”). Notwithstanding the termination and extinguishment of the Fleming Easement Interests, the City shall continue to retain the City Reserved Rights and this Release shall have no force or effect on the City Reserved Rights. Nothing contained herein shall revive or reinstate any right or interest previously released or terminated. 4. Recording; Successors and Assigns. This Release shall be recorded in the office of the Register of Deeds for Waukesha County, Wisconsin and shall constitute record notice of the release and extinguishment of the Fleming Easement Interests throughout the Original Resort Property as provided herein. This Release shall be binding upon the City and its successors and assigns and shall inure to the benefit of the current and subsequent owners of the Original Resort Property and each successor parcel containing any portion thereof. [SIGNATURE PAGE FOLLOWS] 114 TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS IN WITNESS WHEREOF, the City has caused this Release to be duly executed as of the Effective Date. CITY: CITY OF OCONOMOWOC By: ____________________________________ Name: Matt Rosek Its: Mayor By: ____________________________________ Name: Gina Kozlik Its: City Clerk ACKNOWLEDGMENT STATE OF WISCONSIN ) ) ss. COUNTY OF WAUKESHA ) This instrument was acknowledged before me on the ____ day of September, 2026, by Matt Rozek and Gina Kozlik, respectively the Mayor and City Clerk of the City of Oconomowoc, a Wisconsin municipal corporation, on behalf of the City. ____________________________________ Notary Public, State of Wisconsin Print Name: _________________________ My Commission is (permanent)(expires): ____________ This document was drafted by: Timothy J. Voeller, JD. Wangard Partners, Inc. 115 TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS EXHIBIT A FLEMING EASEMENT INTERESTS The Fleming Easement Interests consist solely of all right, title and interest held or claimed by the Fleming Parties, or by any person or entity claiming by, through or under them, that were condemned and vested in the City pursuant to the Judgment in and to the following easements and related interests, including to the extent any such interests burden, encumber, cross, traverse, benefit, are appurtenant to, or otherwise affect the Original Resort Property described on Exhibit B: 1. That certain Declaration of Easements dated February 15, 1974 and recorded as Document No. 884555, amended by an Amendment to Declaration of Easement dated August 18, 1995 and recorded as Document No. 2060522, and an Amendment to Declaration of Easement and Agreement of Assumption and Indemnity dated April 14, 1998 and recorded as Document No. 2312738 (collectively, the “IREC Declaration”). 2. That certain Easement Agreement dated April 6, 1988 and recorded as Document No. 1473575, together with the Consent to Easement recorded April 7, 1988 as Document No. 1473576, as amended by an Amendment to Easement Agreement dated April 6, 1988 and recorded as Document No. 1625667, and modified by an Agreement dated August 18, 1995 and recorded as Document No. 2060523 (collectively, the “Centres Easement Agreement”). 3. That certain Grant of Easement dated February 3, 1995 and recorded as Document No. 2023568 and assigned by Assignment of Easement recorded August 18, 1995 as Document No. 2060521, and that certain Grant of Road Easement dated February 3, 1995 and recorded as Document No. 2023569 and assigned by Assignment of Easement recorded August 18, 1995 as Document No. 2060521 (collectively, the “1995 Easements”). 4. All interests in the access and utility easements shown on Certified Survey Map No. 5465 recorded April 7, 1988 as Document No. 1473573 and Certified Survey Map No. 10958 recorded March 14, 2012 as Document No. 3901718, including all such interests condemned and vested in the City pursuant to the Judgment; provided, however, that this Release does not release or terminate any independent municipal utility easement rights of the City created pursuant to Documents Nos. 884556 or 922707 and expressly retained by the City pursuant to Document No. 4663330, as subsequently modified or partially released of record (the “City Reserved Rights”). 5. All interests in that certain Sewer Easement granted to Olympia Wisconsin Limited Partnership recorded as Document No. 1625666 and amended by Document No. 3990145. For avoidance of doubt, the Private Road Maintenance Agreement recorded July 2, 2012 as Document No. 3929967 is not included in this Exhibit A and is addressed by separate termination instrument. 116 TERMINATION AND RELEASE OF CONDEMNED EASEMENT INTERESTS EXHIBIT B LEGAL DESCRIPTION OF ORIGINAL RESORT PROPERTY That part of the Northwest 1/4 and the Southwest 1/4 of Section 10, and the Northeast 1/4 and the Southeast 1/4 of Section 9, and the Southwest 1/4 of Section 3, Township 7 North, Range 17 East, in the Town of Summit and the City of Oconomowoc, County of Waukesha and State of Wisconsin, which is bounded and described as follows, to-wit: Beginning at the Southwest corner of the Southwest 1/4 of Section 3, thence N 00° 44’ 35” W along the West line of said Southwest 1/4, 681.35 feet to a point; thence S 89° 55’ 36” E, 548.15 feet to a point on the Southwesterly right-of-way line of State Trunk Highway No. 67; thence S 33° 48’ 27” E along said right-of-way line 376.70 feet to a point; thence N 89° 55’ 36” W, 512.88 feet to a point; thence S 00° 57’ 46” E, 368.61 feet to a point in the North line of the Northwest 1/4 of Section 10; thence S 89° 55’ 36” E along the North line of said Northwest 1/4, 735.12 feet to a point on the Southwesterly right-of-way line of State Trunk Highway No. 67; thence Southeasterly along said right-of-way line and 391.71 feet along the arc of a curve, the center of which lies to the Northeast, the radius of which is 2,064.86 feet and the chord of which bears S 47° 08’ 22.5” E, 391.12 feet to a point; thence S 53° 53’ 44” E along said right-of-way line 650.50 feet to a point; thence Southeasterly along said right-of-way line and 1,558.94 feet along the arc of a curve, the center of which lies to the Southwest, the radius of which is 2,151.83 feet and the chord of which bears S 31° 49’ 10.5” E, 1,525.07 feet to a point; thence S 00° 00’ 49” W along a line 33.00 feet East of and parallel to the East line of the Northwest 1/4 of Section 10, 717.71 feet to a point on the North line of the Southwest 1/4 of Section 10; thence N 89° 39’ 01” W along said North line 282.66 feet to a point; thence S 00° 00’ 08” W, 207.00 feet to a point; thence S 89° 39’ 01” E, 282.66 feet to a point; thence S 00° 00’ 08” E along a line 33.00 feet East of and parallel to the East line of the Southwest 1/4 of Section 10, 205.50 feet to a point; thence N 89° 39’ 01” W, 2,587.44 feet to a point; thence S 00° 01’ 08” W along the West line of the Southwest 1/4 of Section 10, 425.28 feet to a point; thence N 88° 52’ 54” W along the North line of the Wisconsin Electric Power Company right-of-way, 519.75 feet to a point; thence N 00° 01’ 08” E, 846.86 feet to a point; thence N 87° 52’ 51” W along the South line of the Northeast 1/4 of Section 9, 16.81 feet to a point; thence N 00° 08’ 07” W, 264.21 feet to a point; thence N 87° 52’ 51” W, 2,109.82 feet to a point; thence N 00° 54’ 25” W along the West line of the Northeast 1/4 of Section 9, 2,277.36 feet to the Northeast corner of said Northeast 1/4 of Section 9; thence N 89° 48’ 07” E along the North line of said Northeast 1/4 of Section 9, 2,675.24 feet to the point of beginning. Current Tax Key Numbers: OCOC 0587.997.001 OCOC 0587.997.002 OCOC 0587.997.022 OCOC 0609.001 – OCOC 0609.044 OCOC 0609.045.001 – OCOC 0609.045.037 OCOC 0609.046 – OCOC 0609.065 OCOC 0609.067 – OCOC 0609.073 OCOC 0609.075 – OCOC 0609.105 OCOC 0609.107 – OCOC 0609.136 OCOC 0609.138 OCOC 0609.139 OCOC 0609.142 – OCOC 0609.187 OCOC 0609.994.004 – OCOC 0609.994.006 OCOC 0609.994.008 OCOC 0609.994.011 OCOC 0609.994.016 – OCOC 0609.994.018 OCOC 0609.994.020 OCOC 0609.994.022 OCOC 0609.994.023 OCOC 0609.994.026 – OCOC 0609.994.028 OCOC 0612.994.049 – OCOC 0612.994.080 OCOC 0614.960.001 – OCOC 0614.960.030 OCOC 0614.967.003 – OCOC 0614.967.011 OCOC 0614.973.001 OCOC 0614.975.003 OCOC 0614.975.004 OCOC 0614.975.006 OCOC 0614.975.008 OCOC 0614.975.011 OCOC 0614.975.012 OCOC 0614.975.014 OCOC 0614.975.016 – OCOC 0614.975.018 OCOC 0614.975.020 OCOC 0614.975.021 OCOC 0614.976.007 OCOC 0614.976.008 OCOC 0614.980.004 OCOC 0614.980.007 OCOC 0614.984.067 OCOC 0615.981.005 OCOC 0615.984.001 OCOC 0615.984.002 117 1 MEMORANDUM ADMINISTRATION Date: October 6, 2026 To: Mayor and Common Council From: Mark Frye, City Administrator Re: Consider/act on Termination and Release of Ingress/Egress Easements RELATES TO THE STRATEGIC PLAN Strategic Goal-NA BACKGROUND This document removes the easement across the Wangard parcel directly south of the Fleming parcel. ADDITIONAL ANALYSIS N/A FINANCIAL IMPACT N/A RECOMMENDATION Staff recommend approving the termination and release of ingress/egress easements. SUGGESTED MOTION Motion to approve the termination and release of ingress/egress easements. V:\City Projects\Olympia Fields\Flemming Parcel\Council 10062026 Final Documents\Background Memo for Termination and Release of Ingress-Egress Easements 10062026.docx 118 MUNICIPAL LAW & LITIGATION GROUP, S.C. ARENZ, MOLTER, MACY, RIFFLE, LARSON & BITAR DALE W. ARENZ (1935-2022) 730 N. GRAND AVENUE PAUL E. ALEXY DONALD S. MOLTER, JR. (Retired) WAUKESHA, WISCONSIN 53186 LUKE A. MARTELL JOHN P. MACY Telephone (262) 548-1340 SAMANTHA R. SCHMID H. STANLEY RIFFLE (Court Commissioner) Facsimile (262) 548-9211 CHRISTOPHER R. SCHULTZ ERIC J. LARSON Email: sriffle@ammr.net LUCAS C. LOGIC REMZY D. BITAR GREGORY M. PROCOPIO ADAM J. MEYERS SAVANNA GAIN JAIME L. STAFFARONI HAILEY R. LIPINSKI SAVANNAH H. ZIEGLER ANDREW F. PIETROSKE ----------- STEPHEN J. CENTINARIO, JR. September 30, 2026 MEMO From: Stan Riffle, City Attorney To: Mark Frye, City Administrator Re: Fleming Documents Mark: You asked me to prepare a summary of the documents to be presented to the Common Council for review and approval related to the Fleming commercial property. As an overview, all of these documents were contemplated when the Common Council accepted the settlement of the Condemnation lawsuit. The resolution of the lawsuit included several elements as related to the City (Wangard and Fleming had separate agreements in settlement of their own lawsuits). The City’s deal with Fleming included:  The lawsuit would be dismissed. This has been completed.  The City would vacate a portion of right-of-way providing ingress/egress to the Fleming parcel and the Wangard parcel. This resulted in the north ½ vested to Fleming parcel and ½ to the Wangard parcel to the south. In Wangard’s settlement, Wangard is deeding its ½ to Fleming. The vacation document has been recorded so this is complete. 119 MUNICIPAL LAW & LITIGATION GROUP, S.C. Fleming Documents October 1, 2026 Page 2  Wangard agreed to deed the remnant parcel (former Unity Drive) - an approximate 35 foot strip of land situated between the stormwater pond (the “Strip”) - to Fleming. Since there were several recorded restrictions and other agreements between the City and Wangard affecting this strip, the City agreed to release those as to Fleming to facilitate Fleming’s incorporation of the Strip into its development.  The City previously asked Wangard to record an ingress/egress easement on its parcel to the south. Wangard and Fleming have negotiated a different easement for this purpose. The City has agreed to terminate the prior easement to accommodate the new easement. All of these documents have been approved by counsel for all parties (including me), and I ask the Council to approve. Stan 120 TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT Document Number TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT Recording Area Name and Return Address Wangard Partners, Inc. 1200 N. Mayfair Road, Suite 410 Milwaukee, Wisconsin 53226 Attn: Legal OCOC0614967003 Parcel Identification Number (PIN) 121 TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT THIS TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT (this “Release”) is made as of the ____ day of __________________, 2026 (the “Effective Date”), by and between WY OCONOMOWOC LLC, a Wisconsin limited liability company (“Grantor”), and the CITY OF OCONOMOWOC, a Wisconsin municipal corporation (“City”). RECITALS WHEREAS, Grantor declared that certain Declaration of Ingress-Egress Easement dated November 7, 2023 and recorded on November 16, 2023 in the office of the Register of Deeds for Waukesha County, Wisconsin, as Document No. 4745494 (the “Declaration”), encumbering certain portions of Lot 3 of Certified Survey Map No. 12298, recorded March 17, 2022 as Document No. 4657463 (the “Property”); WHEREAS, the Declaration grants to the City and the general public a non-exclusive, perpetual easement and right-of-way for vehicular and pedestrian ingress, egress and access to, from, through, over and across that portion of the Property described and depicted on Exhibit A attached hereto (the “Easement Area”), including ingress and egress to and from Lot 1 of Certified Survey Map No. 10958, recorded March 12, 2012 as Document No. 3901718 (the “Adjoining Property”) (collectively, the “Easement”); WHEREAS, Section 3 of the Declaration provides that no users or beneficiaries of the Easement or Easement Area are required parties to amend the Easement or Easement Area, and that only Grantor and the City, and their respective successors and assigns, are required parties to such amendment; and WHEREAS, Grantor and the City desire to terminate the Declaration and the Easement in their entirety and release the Property from all rights, burdens and obligations created thereby. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Grantor and the City agree as follows: 1. Termination and Release. Effective as of the Effective Date, Grantor and the City hereby terminate the Declaration and the Easement in their entirety. The City hereby releases and relinquishes all right, title, interest and benefits held by the City under or pursuant to the Declaration and the Easement, and the Declaration and Easement shall no longer encumber or burden the Property or any portion thereof. 2. Extinguishment of Easement Rights. For avoidance of doubt, the termination described herein is intended to fully extinguish all easement and access rights created by the Declaration, including rights granted to the general public and to users or beneficiaries of the Adjoining Property, without the joinder of such users or beneficiaries, consistent with Section 3 of the Declaration 3. Successors and Assigns. This Release shall be binding upon and inure to the benefit of Grantor, the City and their respective successors and assigns. IN WITNESS WHEREOF, Grantor and the City have caused this Release to be duly executed as of the Effective Date. [SIGNATURE PAGES TO FOLLOW] 122 TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT GRANTOR: WY OCONOMOWOC LLC, a Wisconsin limited liability company By: ____________________________________ Name: Stewart M. Wangard Its: Sole Member ACKNOWLEDGMENT STATE OF WISCONSIN  )      ) ss. COUNTY OF MILWAUKEE ) This instrument was acknowledged before me on the ____ day of __________________, 2026, by Stewart M. Wangard, Sole Member of WY OCONOMOWOC LLC, a Wisconsin limited liability company, on behalf of the company. ____________________________________ Notary Public, State of Wisconsin Print Name: _________________________ My Commission is (permanent)(expires): ____________ 123 TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT CITY: CITY OF OCONOMOWOC By: ____________________________________ Name: _________________________________ Its: Mayor By: ____________________________________ Name: _________________________________ Its: City Clerk ACKNOWLEDGMENTS STATE OF WISCONSIN  )     ) ss. COUNTY OF WAUKESHA ) This instrument was acknowledged before me on the ____ day of __________________, 2026, by _________________________________ and _________________________________, respectively the Mayor and City Clerk of the City of Oconomowoc, a Wisconsin municipal corporation, on behalf of the City. ____________________________________ Notary Public, State of Wisconsin Print Name: _________________________ My Commission is (permanent)(expires): ____________ This document was drafted by: Timothy J. Voeller, JD. Wangard Partners, Inc. 124 TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT EXHIBIT A 125 TERMINATION AND RELEASE OF INGRESS-EGRESS EASEMENT 126 1 MEMORANDUM ADMINISTRATION Date: October 6, 2026 To: Mayor and Common Council From: Mark Frye, City Administrator Re: Consider/act on Termination and Release of Private Road Maintenance Agreement RELATES TO THE STRATEGIC PLAN Strategic Goal-NA BACKGROUND When Wangard originally divided the parcels on STH 67 (including the Fleming Parcel), the City required a private road maintenance agreement for the repair and upkeep of Unity Drive - a private road with utilities below. With the redevelopment, all roads are now public and Unity Drive is no more - thus there is no need for this legacy agreement. This document terminates the old agreement. ADDITIONAL ANALYSIS N/A FINANCIAL IMPACT N/A RECOMMENDATION Staff recommend approving the termination and release of private road maintenance agreement. SUGGESTED MOTION Motion to approve the termination and release of private road maintenance agreement. V:\City Projects\Olympia Fields\Flemming Parcel\Council 10062026 Final Documents\Background Memo for Termination and Release of Private Road Maintenance Agreement 10062026.docx 127 MUNICIPAL LAW & LITIGATION GROUP, S.C. ARENZ, MOLTER, MACY, RIFFLE, LARSON & BITAR DALE W. ARENZ (1935-2022) 730 N. GRAND AVENUE PAUL E. ALEXY DONALD S. MOLTER, JR. (Retired) WAUKESHA, WISCONSIN 53186 LUKE A. MARTELL JOHN P. MACY Telephone (262) 548-1340 SAMANTHA R. SCHMID H. STANLEY RIFFLE (Court Commissioner) Facsimile (262) 548-9211 CHRISTOPHER R. SCHULTZ ERIC J. LARSON Email: sriffle@ammr.net LUCAS C. LOGIC REMZY D. BITAR GREGORY M. PROCOPIO ADAM J. MEYERS SAVANNA GAIN JAIME L. STAFFARONI HAILEY R. LIPINSKI SAVANNAH H. ZIEGLER ANDREW F. PIETROSKE ----------- STEPHEN J. CENTINARIO, JR. September 30, 2026 MEMO From: Stan Riffle, City Attorney To: Mark Frye, City Administrator Re: Fleming Documents Mark: You asked me to prepare a summary of the documents to be presented to the Common Council for review and approval related to the Fleming commercial property. As an overview, all of these documents were contemplated when the Common Council accepted the settlement of the Condemnation lawsuit. The resolution of the lawsuit included several elements as related to the City (Wangard and Fleming had separate agreements in settlement of their own lawsuits). The City’s deal with Fleming included:  The lawsuit would be dismissed. This has been completed.  The City would vacate a portion of right-of-way providing ingress/egress to the Fleming parcel and the Wangard parcel. This resulted in the north ½ vested to Fleming parcel and ½ to the Wangard parcel to the south. In Wangard’s settlement, Wangard is deeding its ½ to Fleming. The vacation document has been recorded so this is complete. 128 MUNICIPAL LAW & LITIGATION GROUP, S.C. Fleming Documents October 1, 2026 Page 2  Wangard agreed to deed the remnant parcel (former Unity Drive) - an approximate 35 foot strip of land situated between the stormwater pond (the “Strip”) - to Fleming. Since there were several recorded restrictions and other agreements between the City and Wangard affecting this strip, the City agreed to release those as to Fleming to facilitate Fleming’s incorporation of the Strip into its development.  The City previously asked Wangard to record an ingress/egress easement on its parcel to the south. Wangard and Fleming have negotiated a different easement for this purpose. The City has agreed to terminate the prior easement to accommodate the new easement. All of these documents have been approved by counsel for all parties (including me), and I ask the Council to approve. Stan 129 TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT Document Number TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT Recording Area Name and Return Address Wangard Partners, Inc. 1200 N. Mayfair Road, Suite 410 Milwaukee, Wisconsin 53226 Attn: Legal OCOC0614980004 OCOC0614967003 OCOC0614967002 OCOC0614967008 OCOC0614967009 OCOC0614967005 OCOC0614967006 OCOC0614967007 Parcel Identification Number (PIN) 130 TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT THIS TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT (this “Termination”) is made as of the ____ day of __________________, 2026 (the “Effective Date”), by and among FLEMING INVESTMENTS, LLC, a Wisconsin limited liability company (“Fleming Investments”), STEVEN T. FLEMING and JUDITH ANN FLEMING, each individually (collectively, the “Fleming Parties”), and the CITY OF OCONOMOWOC , a Wisconsin municipal corporation (the “City”). RECITALS WHEREAS, that certain Private Road Maintenance Agreement dated May 25, 2012 was recorded on July 2, 2012 in the office of the Register of Deeds for Waukesha County, Wisconsin, as Document No. 3929967 (the “Agreement”); WHEREAS, the Agreement established certain rights and obligations among the owners of Lots 1, 2, 3 and 4 of Certified Survey Map No. 10958, recorded March 14, 2012, as Document No. 3901718 (collectively, the “Original Property”), relating to the use, maintenance, repair, operation and cost allocation for the private roadway identified in the Agreement as Unity Drive, and provides that such rights and obligations run with the land and bind successor owners, including successor owners of parcels subsequently created from the Original Property; WHEREAS, the City, pursuant to the Order for Judgment and Judgment of Condemnation pertaining to the consolidated Waukesha County Court Case 23-CV-1923 between the City and Fleming Parties, which has been recorded with the Waukesha County Register of Deeds on September 11, 2026 as Document No. 4896686, the City has obtained an interest in the Agreement; WHEREAS, from time to time, parties to the Agreement and/or their respective successors in interest have executed and recorded instruments noted as Document Nos. 4670360, 4671816, and 4670359, releasing and terminating their respective rights and benefits under the Agreement (collectively, the “Prior Releases”), and the parties acknowledge that, as of the Effective Date, all parties other than the Fleming Parties and City have formally released their rights and benefits under the Agreement; WHEREAS, the Fleming Parties desire to release and terminate any and all remaining rights, interests, benefits, claims and obligations they have or may have under the Agreement, and the City desires to release and terminate any and all remaining rights, interests, benefits, claims and obligations it has or may have under the Agreement; WHEREAS, the parties intend that, upon recording of this Termination, the Agreement be fully terminated, extinguished and rendered null and void and of no further force or effect. 131 TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Fleming Parties and the City agree as follows: 1. Fleming Release and Termination. The Fleming Parties hereby irrevocably release, terminate and relinquish any and all rights, title, interests, benefits, easements, privileges, claims and enforcement rights they have or may have under the Agreement, and release and discharge all current and former owners and their respective successors and assigns from any obligations or liabilities owed to the Fleming Parties under the Agreement. 2. City Release and Termination. The City hereby irrevocably releases, terminates and relinquishes any and all rights, title, interests, benefits, easements, privileges, claims and enforcement rights they have or may have under the Agreement, and release and discharge all current and former owners and their respective successors and assigns from any obligations or liabilities owed to the City under the Agreement. 3. Complete Termination of Agreement. In light of the Prior Releases and the releases set forth above, the Agreement is hereby terminated, released and extinguished in its entirety and shall be null and void and of no further force or effect. No provision of the Agreement shall hereafter create or constitute any right, covenant, obligation, burden, maintenance obligation, cost-sharing obligation, claim or other interest running with or affecting the Original Property, any successor parcel derived therefrom, or any owner or successor in interest thereto. 4. Prior Releases; No Revival. This Termination confirms and completes the termination process of the Agreement reflected in the Prior Releases and contained herein. Nothing contained herein shall revive, reinstate or otherwise affect any right or benefit previously released or terminated pursuant to any of the Prior Releases. 5. Successors and Assigns. This Termination shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns and shall be recorded in the office of the Register of Deeds for Waukesha County, Wisconsin. IN WITNESS WHEREOF, the Fleming Parties and the City have caused this Termination to be duly executed as of the Effective Date. [SIGNATURE PAGES TO FOLLOW] 132 TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT FLEMING PARTIES: FLEMING INVESTMENTS, LLC, a Wisconsin limited liability company By: ____________________________________ Name: Steven T. Fleming Its: Managing Member ACKNOWLEDGMENT STATE OF ____________ ) ) ss. COUNTY OF ____________ ) This instrument was acknowledged before me on the ____ day of __________________, 2026, by Steven T. Fleming, Managing Member of FLEMING INVESTMENTS, LLC, a Wisconsin limited liability company, on behalf of the company. ____________________________________ Notary Public, State of ______________ Print Name: _________________________ My Commission is (permanent)(expires): ____________ 133 TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT FLEMING PARTIES: ____________________________________ STEVEN T. FLEMING, individually ____________________________________ JUDITH ANN FLEMING, individually ACKNOWLEDGMENT STATE OF ____________ ) ) ss. COUNTY OF ____________ ) This instrument was acknowledged before me on the ____ day of __________________, 2026, by Steven T. Fleming and Judith Ann Fleming, each individually. ____________________________________ Notary Public, State of ______________ Print Name: _________________________ My Commission is (permanent)(expires): ____________ 134 TERMINATION AND RELEASE OF PRIVATE ROAD MAINTENANCE AGREEMENT CITY: CITY OF OCONOMOWOC By: ____________________________________ Name: Matt Rosek Its: Mayor By: ____________________________________ Name: Gina Kozlik Its: City Clerk ACKNOWLEDGMENT STATE OF WISCONSIN ) ) ss. COUNTY OF WAUKESHA ) This instrument was acknowledged before me on the ____ day of __________________, 2026, by Matt Rozek and Gina Kozlik, respectively the Mayor and City Clerk of the City of Oconomowoc, a Wisconsin municipal corporation, on behalf of the City. ____________________________________ Notary Public, State of Wisconsin Print Name: _________________________ My Commission is (permanent)(expires): ____________ This document was drafted by: Timothy J. Voeller, JD. Wangard Partners, Inc. 135 1 MEMORANDUM MAYOR Date: October 6, 2026 To: Common Council From: Mayor Rosek Re: Update of Discussions with the Village of Lac La Belle Regarding Sanitary Sewer CLOSED SESSION PLEASE TAKE NOTICE that the Common Council of the City of Oconomowoc will convene, upon passage of the proper motion, into Closed Session pursuant to §19.85(1)(a), Wis. Stats., the closed session may be attended by the Common Council and staff. The purpose of the meeting is for deliberating or negotiating the purchasing of public properties, the investing of public funds, or conducting other specified public business, whenever competitive or bargaining reasons require a closed session pursuant to §19.85(1)(e) and/or to confer with legal counsel who is rendering oral or written advice concerning strategy to be adopted with respect to litigation in which it is likely to become involved as authorized under §19.85(1)(g), Stats,. Specifically, to be discussed is the potential provision of sanitary sewer capacity to the Village of Lac La Belle. The Common Council will adjourn in Closed session and not reconvene in Open Session. BACKGROUND We will be updating the Aldermen with regards to the discussions that have taken place with the Village of Lac La Belle. FINANCIAL IMPACT N/A RECOMMENDATION N/A Z:\City Administrator\Village of Lac La Belle Sanitary Discussions 2026\Confidential Background Memo for Closed Session Regarding Village of Lac La Belle Sanitary Sewer Discussions 10062026.docx 136