Committee-of-the-Whole Agenda Packet - 7:00 PM

City of Oconomowoc Committee-Of-The-Whole Tuesday, July 21, 2026 - 7:00 PM City Hall - Council Chambers 174 E. Wisconsin Ave. Oconomowoc, WI 53066 (Or immediately following Utility Committee) Notice: If a person with a disability requires that the meeting be accessible or that materials at the meeting be in accessible format, call the City Clerk at least 48 hours prior to the meeting to request adequate accommodations. Tel: (262) 569-2186. 1. Call to order and confirmation of appropriate meeting notification 2. Roll Call 3. Committee Business a. 2027-2031 Capital Budget Overview b. Consider/act on Resolution 26-R3383 for WPPI Long Term Power Supply Contract Extension 4. Adjourn Gina Kozlik, City Clerk City of Oconomowoc Notice is hereby given that a majority of the Common Council will be present at the above scheduled meeting to gather information about a subject over which they have decision-making responsibility. This constitutes a meeting of the Common Council pursuant to State ex rel. Badke v. Greendale Village Board, 173Wis. 2d 553, 494 N.W. 2d 408 (1993) and must be noticed as such, although the Common Council will not take any formal action at this meeting. 1 1 MEMORANDUM FINANCE DEPARTMENT Date: July 21, 2026 To: Mayor and Common Council From: Steve Hatton, Director of Finance and Administrative Services Re: Capital Budget Kickoff RELATES TO THE STRATEGIC PLAN Strategic Goal-N/a BACKGROUND This meeting begins the 2027 Capital Budget process. The council will be presented with the 2027-2031 Capital Budget proposal. Included in your packet are worksheets for Council use while reviewing the budget proposals. There is a separate worksheet for General Fund and Utilities. I will be reviewing with the Council the instructions for downloading and using the Capital Budget spreadsheets including the details for each item proposed. ADDITIONAL ANALYSIS The Council will be presented with the 2027-2031 Capital Budget requests. The first Capital Budget Workshop will be held next week on Tuesday, July 28, at 6:00 p.m. We have also reserved time for a second workshop on Thursday, July 30, at 6:00 pm if required. We need your attendance at these meetings. Department Heads will attend both budget workshops to review their requests and answer questions. FINANCIAL IMPACT TBD RECOMMENDATION N/A SUGGE STED MOTION N/A Y:\Budget\Budget 2027\Capital\Background Memo for Capital Budget Kickoff Overview.docx 2 Tab # Dept Type Funding Description 2027 2028 2029 2030 2031 Copuncil Notes Clerk1 Clerk Other Equipment Reserve Badger Books Purchase-Electronic Pol l Book/Voter Check-In 58,632$ Clerk2 Clerk Bldg & Grounds Reserve Customer Service Window & Workstation Improvements 52,000$ Tech 1 Technology Other Equipment Other IT Upgrades 75,000$ 200,000$ 60,000$ 60,000$ 60,000$ Fire 1 Fire/EMS Other Equipment Levy Cap ital Contribution to Western Lakes Fire District 652,000$ 678,100$ 704,200$ 732,000$ 762,200$ Police 1 Police Fleet Split Squad Car Replacement 84,000$ 93,500$ 187,000$ 95,000$ 95,000$ Police 2 Police Other Equipment Levy Virtual Reality Software Program 53,498$ Police 3 Police Other Equipment Levy Crosswalk System 21,540$ 21,540$ Police 4 Police Other Equipment Split Replace Body and Squad Cameras 319,000$ Police 5 Police Bldg & Grounds Levy Update HVAC System 52,500$ Police 6 Police Bldg & Grounds Levy Remodel Clerical Area 52,500$ Police 7 Police Bldg & Grounds Levy Entry Access Fobs & Card Control 30,000$ Police 8 Police Bldg & Grounds Levy UPS Battery Backup 20,000$ DPW 1 DPW Other Levy Adaptive Management Program 44,785$ 75,000$ 75,000$ 75,000$ 75,000$ DPW 2 DPW Fleet Levy Pickup #92 85,000$ DPW 3 DPW Fleet Equipment Levy Lake Barge with Outboard 180,000$ DPW 4 DPW Fleet Levy Plow Truck #47 330,000$ DPW 5 DPW Fleet Levy 1 Ton Dump Truck #39 115,000$ DPW 6 DPW Fleet Levy Plow Truck #38 330,000$ DPW 7 DPW Fleet Levy Backhoe Loader #29 200,000$ DPW 8 DPW Fleet Levy 1 Ton Dump Truck #36 115,000$ DPW 9 DPW Fleet Equipment Split Aquarius Lake Weed Harvestor 300,000$ DPW 10 DPW Fleet Equipment Split Aquarius Lake Transport 290,000$ DPW 11 DPW Fleet Equipment Split Aquarius Shore Conveyor 88,000$ DPW 12 DPW Infrastructure Levy DESIGN Street Program 125,000$ 125,000$ 125,000$ 125,000$ 125,000$ DPW 13 DPW Infrastructure Levy Street Maintenance Program 1,000,000$ 1,000,000$ 1,000,000$ 1,000,000$ 1,000,000$ DPW 14 DPW Infrastructure Debt Major Street Replacement Plan 2,000,000$ 2,000,000$ 2,000,000$ 2,000,000$ 2,000,000$ DPW 15 DPW Bldg & Grounds Levy Second Salt Shed 300,000$ DPW 16 DPW Fleet Levy Additional Plow Truck -$ 330,000$ DPW 17 DPW Fleet Levy Pickup Truck #73 a 2019 Chevy Silverado 55173 -$ 65,000$ DPW 18 DPW Bldg & Grounds Levy Brine Making Machine - not fleet - Building & Grounds 50,000$ DPW 19 DPW Fleet Equipment Levy Replace Vibratory Roller and add Trailer 90,000$ DPW 20 DPW Fleet Equipment Levy Rep lace 2020 Johnston Sweeper #16 450,000$ -$ DPW 21 DPW Bldg & Grounds Debt Storage Building 85,000$ DPW 22 DPW Bldg & Grounds Levy City Hall Flat Roof Replacement 50,000$ DPW 23 DPW Fleet Levy Plow Truck #51 a 2014 International 55051 330,000$ DPW 24 DPW Bldg & Grounds Levy Replace Uninterruptible Power Supply (UPS) at City Hall 80,000$ DPW 25 DPW Bldg & Grounds Levy Restore Faces on the City Hall Clock Tower 50,000$ Library 1 Library Bldg & Grounds Grants/Donations Satellite Branch Start-Up Costs 156,000$ Parks 1 Parks Infrastructure Impact Fee NE Regional Park Development - Phase 2 515,000$ Parks 2 Parks Bldg & Grounds Levy Tennis Court Resurfacing 40,000$ 40,000$ Parks 3 Parks Bldg & Grounds Levy Scout Houses Siding Replacement 19,000$ 48,000$ Parks 4 Parks Other Equipment Grants/Dona tions Splashpad Water Features 75,000$ Parks 5 Parks Infrastructure Split Bike/Ped Trail connections 600,000$ 200,000$ 2,500,000$ Parks 6 Parks Bldg & Grounds Levy Park Shelter Picnic Table Replacement 45,000$ Parks 7 Parks Fleet Equipment Levy 3WD Super Rake #80 replacement 52,000$ Parks 8 Parks Fleet Equipment Impact Fee Additional New Wide Area Mower 115,000$ Parks 9 Parks Fleet Equipment Levy 2008 Toro Herbicide Sprayer 35,000$ Parks 10 Parks Fleet Equipment Levy 2012 SmithcoAthletic Field Conditioner 41,000$ Parks 11 Parks Fleet Levy Truck #81 - 2011: Silverado C2500 3/4 ton 95,000$ Parks 12 Parks Fleet Equipment Levy 2015 J CB Mini Loader replacement 180,000$ Parks 13 Parks Fleet Equipment Levy Stand Up Mower (replaces 2 walk behinds ) 21,000$ Parks 14 Parks Fleet Equipment Levy 2015 Massey Ferguson Tractor replacemen t 64,000$ Parks 15 Parks Fleet Levy 2011 Ford F550 #91 with Forestry Body 180,000$ Parks 16 Parks Other Equipment Levy River Bluff Park Playground 60,000$ Parks 17 Parks Fleet Equipment Levy Floor Scrubber 14,000$ Parks 18 Parks Fleet Equipment Levy Fecon H ead Attachment for John Deere 190 40,000$ Parks 19 Parks Fleet Equipment Levy 2018 Kubota RTV 35,000$ Parks 20 Parks Bldg & Grounds Levy Community Center Porch/Balcony Resurfaci ng 25,000$ Parks 21 Parks Fleet Levy 2013 Chevy Silverado K3500 with plow #102 90,000$ Parks 22 Parks Fleet Equipment Levy 1979 John Deere Tractor Replace w/Toro Outcross 9060 85,000$ Parks 23 Parks Fleet Equipment Levy 2013 JCB Skid Steer 85,000$ CAPITAL IMPROVEMENT PLAN 2027-2031 SCHEDULE OF CAPITAL PROJECTS - CITY FUNDS Update 2027-2031 Y:\Budget\Budget 2027\Capital\GF Capital Worksheets 2027-2031.xlsx, Council Plan 1 3 Tab # Dept Type Funding Description 2027 2028 2029 2030 2031 Copuncil Notes CAPITAL IMPROVEMENT PLAN 2027-2031 SCHEDULE OF CAPITAL PROJECTS - CITY FUNDS Update 2027-2031 Parks 24 Parks Bldg & Grounds Levy Roosevelt Field Netting System Replacement 40,000$ Parks 25 Parks Bldg & Grounds Levy Champion Field Park Park Updates 275,000$ 250,000$ Parks 26 Parks Bldg & Grounds Levy Chapman Barn Restoration 40,000$ Parks 27 Parks Bldg & Grounds Levy Fowler Park Pathway Extension 90,000$ 6,838,917$ 6,028,140$ 8,496,700$ 5,241,038$ 4,647,200$ Grants/Donations 256,000$ 90,000$ 50,000$ 1,484,987$ -$ Trade-in 10,000 11,500 22,000 11,000 11,000 Hwy Impact Fee - - - 330,000 - Park Impact Fee 515,000 - 115,000 - - Internal Svc Fees - 200,000 60,000 60,000 60,000 Reserve 994,632 300,000 2,998,000 (1,334,987) 150,000 Debt 2,085,000 2,000,000 2,000,000 2,000,000 2,000,000 2025 Surplus 878,285 - - - - Levy 2,100,000 3,426,640 3,251,700 2,690,038 2,426,200 6,838,917 6,028,140 8,496,700 5,241,038 4,647,200 Y:\Budget\Budget 2027\Capital\GF Capital Worksheets 2027-2031.xlsx, Council Plan 2 4 CAPITAL IMPROVEMENT PLAN 2027-2031 SCHEDULE OF CAPITAL PROJECTS - UTILITY FUNDS Page # Dept Type Description 2027 2028 2029 2030 2031 Council Notes WWTP 1 WWTP Infr Sewer Main (In Conjunction w/ Streets) 500,000$ 500,000$ 550,000$ 550,000$ 550,000$ WWTP 2 WWTP Infr Treatment Plant Upgrades-HVAC 75,000$ 15,000$ 15,000$ 15,000$ WWTP 3 WWTP Infr Lift Station Pavement Work 100,000$ WWTP 4 WWTP Infr Lift Station/Flowmeter Communication System 150,000$ WWTP 5 WWTP Other Wastewater GIS 30,000$ 25,000$ 25,000$ 20,000$ 15,000$ WWTP 6 WWTP Equip Lift Station pump/mechanical updates 48,000$ 50,000$ 50,000$ 50,000$ 50,000$ WWTP 7 WWTP Equip Lift Station control panel & associated equipment 80,000$ 80,000$ 80,000$ 80,000$ 80,000$ WWTP 8 WWTP Fleet Replace Truck #87 2010 Ford 60,000$ WWTP 9 WWTP Infr Lift Station and WWTP Building Repair 70,000$ 70,000$ WWTP 10 WWTP Equip Replacement of chemical feed pump 18,000$ WWTP 11 WWTP Equip Influent pump rebuilds - schedule 24,000$ 25,000$ 26,000$ WWTP 12 WWTP Infr Engineering Services - Facilities Upgrade 2,000,000$ WWTP 13 WWTP ERF Replacement of Scum Pump 22,000$ WWTP 14 WWTP Infr Facility Upgrade - Construction 6,875,000$ 13,750,000$ 6,875,000$ WWTP 15 WWTP ERF Grit pump replacement 35,000$ WWTP 16 WWTP Other Hach WIMS Development 10,000$ 10,000$ WWTP 17 WWTP Fleet Replace Zero Turn Mower ZT2 a 2015 Grasshopper 10,000$ WWTP 18 WWTP Equip Plant Generator RICE NESHAP testing 20,000$ WWTP 19 WWTP ERF Ortho-Phosphate Analyzer 33,000$ Elec 1 Electric Infr New Services 180,000$ 190,000$ 190,000$ 190,000$ 190,000$ Elec 2 Electric Infr Primary Extensions 275,000$ 275,000$ 275,000$ 275,000$ 275,000$ Elec 3 Electric Infr Voltage Conversion 250,000$ 250,000$ Elec 4 Electric Infr Cooney replacement breakers 232,000$ Elec 5 Electric Infr Annual Street Project Relocations 50,000$ 50,000$ 50,000$ 50,000$ 50,000$ Elec 6 Electric Infr Auto Transfer Switches 300,000$ Elec 7 Electric Infr Cable Replacement 300,000$ 300,000$ 300,000$ 300,000$ 300,000$ Elec 8 Electric Infr Overhead to Underground Conversions 25,000$ 25,000$ 25,000$ 25,000$ 25,000$ Elec 9 Electric Infr Street Light Additions/Replacements 50,000$ 50,000$ 50,000$ 50,000$ 50,000$ Elec 10 Electric Equip Electric Meters - New & Replacement 250,000$ 250,000$ 400,000$ 400,000$ 250,000$ Elec 11 Electric Equip Transformers - New & Replacement 750,000$ 750,000$ 750,000$ 750,000$ 750,000$ Elec 12 Electric Fleet Replace Truck #8 2015 - Foreman Pickup 55,000$ Elec 13 Electric Fleet Replace T33 2007 Sauber 3 reel turret trailer 70,000$ Elec 14 Electric Fleet Replace TBC21 2004 Butler mini excavator trailer 20,000$ Elec 15 Electric Fleet Replace T44 Trailer a 2004 Contrail 60,000$ Elec 16 Electric Fleet Replace Zero Turn Mower ZT2 a 2015 Grasshopper 10,000$ Elec 17 Electric Infr Utility Building 50,000$ 2,000,000$ Elec 18 Electric Infr Cold Storage Building (Electric Utility Portion) 56,700$ -$ -$ -$ -$ Elec 19 Electric Fleet Replace 2017 Small Aerial Truck #15 (63115) 225,000$ Elec 20 Electric Infr Distribution Outage Repair Upgrades 175,000$ 175,000$ 175,000$ 175,000$ 175,000$ Elec 21 Electric Infr Relight South Main 125,000$ 125,000$ Elec 22 Electric Infr Replace Cooney T8 - 50 yrs old in '29 100,000$ 3,000,000$ Elec 23 Electric Fleet Replace 2020 Vermeer Bore Rig #63043 500,000$ Elec 24 Electric Fleet Replace 2018 Bobcat E45 Mini Excavator #63148 120,000$ Elec 25 Electric Fleet Modify 2020 Chevy 4500 Truck #106 for Updated Bed 10,000$ Elec 26 Electric Fleet Replace 2001 Ingersoll Rand Portable Air Compressor 50,000$ Elec 27 Electric Fleet Replace 2018 Ram Crew Truck #13 100,000$ Elec 28 Electric Fleet Replace 2020 Bobcat E35 Mini Excavator 90,000$ Elec 29 Electric Equip Substation Battery Replacements 15,000$ Elec 30 Electric Equip Meter Testing Equipment 35,000$ Elec 31 Electric Infr Street Light Signal Upgrades 40,000$ 35,000$ Elec32 Electric Infr Berg Development - Allen/Morgan/Reddelein 2,000,000$ Water 1 Water Equip Water Meters 375,000$ 300,000$ 300,000$ 300,000$ 300,000$ Water 2 Water Infr Water Main (In Conjunction w/ Streets) 950,000$ 950,000$ 950,000$ 1,000,000$ 1,000,000$ Water 3 Water Infr Distribution Water Mains & Valves 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ Water 4 Water Infr DNR Mandated Lead Service Line Replacement Program 75,000$ 75,000$ 75,000$ 75,000$ 75,000$ Update 2027-2031 Y:\Budget\Budget 2027\Capital\COW Workshop\Utility Capital Worksheets 2027-2031.xlsx, Council Worksheet 1 5 CAPITAL IMPROVEMENT PLAN 2027-2031 SCHEDULE OF CAPITAL PROJECTS - UTILITY FUNDS Page # Dept Type Description 2027 2028 2029 2030 2031 Council Notes Update 2027-2031 Water 5 Water Infr Well 2 Abandonment 200,000$ 100,000$ Water 6 Water Infr Well 9 site acquisition 50,000$ -$ 150,000$ Water 7 Water Infr Ground Storage Reservoir at Wells 4 & 6 750,000$ 3,000,000$ Water 8 Water Infr New Utility Building 25,000$ 1,000,000$ Water 9 Water Fleet Replace Crew Truck # 9 2016 Ford 95,000$ Water 10 Water Fleet Replace Hydro Excavator Truck 2011 Freightliner #58 63058 375,000$ Water 11 Water Fleet Replace Zero Turn Mower 2019 Grasshopper 63051-ZT3 20,000$ Water 12 Water Infr Well Head Protection Plans - Well #3 and Well #4 -$ 75,000$ Water 13 Water Infr Well 7 Repipe 75,000$ Water 14 Water Fleet Replace Crane Truck 2009 Chevy #25 250,000$ Water 15 Water Infr Well #6 - Pull, Inspect, Repair or Replace all Pumping Equipment 50,000$ Water 16 Water Infr Well #4 - Pull, Inspect, Repair or Replace all Pumping Equipment 50,000$ Water 17 Water Infr Well #3 - Pull, Inspect, Repair or Replace all Pumping Equipment 50,000$ Water 18 Water Infr Well #1 - Pull, Inspect, Repair or Replace all Pumping Equipment 50,000$ Water 19 Water Fleet Replace Truck #12 2018 Ram 2500HD 62112 95,000$ Water 20 Water Fleet Cold Storage Building (Water Utility Portion) 28,300$ -$ -$ -$ -$ 9,197,000$ 7,330,000$ 15,351,000$ 21,790,000$ 14,375,000$ Electric Utility 3,823,700 4,770,000 5,395,000 2,365,000 4,185,000 Water Utility 2,228,30 0 1,745,000 2,245,000 4,950,000 2,620,000 Wastewater Utility 3,145,00 0 815,000 7,711,000 14,475,000 7,570,000 9,197,000 7,330,000 15,351,000 21,790,000 14,375,000 Y:\Budget\Budget 2027\Capital\COW Workshop\Utility Capital Worksheets 2027-2031.xlsx, Council Worksheet 2 6 1 MEMORANDUM CITY ADMINISTRATOR Date: July 21, 2026 To: Mayor, Committee of the Whole and Common Council From: Mark Frye, City Administrator Re: Consider/act on Resolution 26-R3383 for Amendment No. 3 to WPPI Long Term Power Supply Contract RELATES TO THE STRATEGIC PLAN N/A BACKGROUND The City of Oconomowoc has been a member of Wisconsin Public Power Inc. Energy (WPPI) since its inception in 1980. That year 23 municipally owned electric utilities formed WPPI. Our goal was to be able to obtain power supply at a reasonable cost. Prior to WPPI we were subject to wholesale rate hikes from Investor Owned Utilities (IOU). In 1989, we took another step to long term energy cost stabilization when the City approved a 35-year (until 2024) all requirement power supply contract. This allowed WPPI to purchase and own coal and natural gas generation facilities. With changes to the industry and the need to control cost by owning generation, Amendment 1 was approved in 2002. Although the 35-year agreement still had 22 years remaining, this 13-year extension (until 2037) enabled WPPI to purchase and finance long term power supply resources, including generating plants. The financing made available by the extension allowed for the purchase of additional coal and gas generating facilities. WPPI was also able to contract for wind, nuclear and gas power supplies and own high voltage transmission. Amendment 2 was approved in 2015 to extend our agreement to purchase WPPI power another 18 years (until 2055). As with the previous amendment, the extension would allow for additional wind and solar contracts and ownership of high voltage transmission facilities. Tonight we will be discussing Amendment 3, another 18-year extension (until 2073). The power supply industry has been growing and changing rapidly. Data Centers and overall load growth are driving the need for generation and transmission capabilities. To stay competitive for the member owners, WPPI needs to participate in the growth to maintain our share of generation and transmission facilities. ADDITIONAL ANALYSIS The City has benefited from our 46-year ownership/partnership with WPPI. As indicated above, they have a proven record of being proactive in making strategic moves to stay competitive in the industry. They have proven over time their mission to listen and respond to the needs of the members. 7 2 Since 1980, being a member owner of WPPI has kept our services at or above those provided by the surrounding IOU. WPPI employs the technical and purchasing support for all members. This allows Oconomowoc to have metering and billing software without having to manage the infrastructure. Our ownership is the key component in the low rates we charge compared to what our neighbors pay. Average retail rates for WPPI are the lowest in the area at 10.51 cents per kilowatt-hour. In comparison, We Energies average retail rate to our neighbors is 14.40 cents per kilowatt-hour. Low rates only have value if the power is on. Our operations and maintenance in the City provide excellent reliability. We invest in our electrical system based on the need to keep improving. Each year we replace cables and equipment to keep the power on. This is highlighted each time a storm rolls through, and we don’t make the news because of the number of residents without power. We have an excellent Manager and crew overseeing the operation. Having both low rates and reliability will lead to good things for Oconomowoc! FINANCIAL IMPACT Maintains long term stabile rates with ownership of generation, power supply contracts and high voltage transmission lines. RECOMMENDATION Administration and Utility Staff recommend approval of Amendment 3 to the Long Term Power Supply Contract. SUGGESTED MOTION Motion to approve Resolution 26-R3383. Z:\City Administrator\WPPI\Long Term Power Supply Contract Extension 07212026\Council 07212026\Background Memo for 26-R3383 for Amendment 3 to the WPPI Long Term Power Supply Contract 07212026.docx 8 Page 1 of 2 OCONOMOWOC AMENDMENT NO. 3 TO LONG TERM POWER SUPPLY CONTRACT FOR PARTICIPATING MEMBERS This Amendment No. 3 to Long Term Power Supply Contract for Participating Members (this “Amendment”), dated as of _________________, 202__ (the “Effective Date”), is made by and between WPPI Energy, a municipal electric company (“WPPI”), and the City of Oconomowoc (the “Member”). WPPI and the Member are sometimes referred to in this Amendment individually as a “Party” and collectively as the “Parties.” RECITALS A. The Member is a member of WPPI and, like all other Participating Members, takes long- term all-requirements electric service from WPPI pursuant to a long-term power supply contract (each, a “Long Term Contract”). B. In this Amendment, the term “the Member’s Contract” refers to the Long Term Power Supply Contract for Participating Members between WPPI and the Member dated as of April 4, 1989 (as subsequently amended), the current initial term of which will expire immediately following December 31, 2055. C. WPPI's revenues under the Long Term Contracts have been pledged to secure the bonds issued by WPPI to finance ownership of WPPI’s generating units and transmission assets. D. It is necessary that Participating Members extend the existing terms of the Long Term Contracts in order to enable WPPI to plan for, obtain, contract for, purchase, and finance new long-term power supply resources, including, but not limited to, new generating plants. E. The Member wishes that WPPI be able to secure and finance long-term power supply resources so that WPPI is able to continue serving the Member and all other Participating Members reliably and at competitive and stable rates under the Long Term Contracts over the long term, and WPPI wishes to be able to make new long-term commitments in order to do so. F. The Parties desire to further amend the Member’s Contract on the terms and conditions set forth in this Amendment to extend the initial term of the Member’s Contract. AGREEMENT NOW, THEREFORE, in consideration of the foregoing recitals, which are incorporated into and made a part of this Amendment, the promises contained in this Amendment and the Member’s Contract, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows: 1. Definitions. All capitalized definitional terms used but not otherwise defined in this Amendment shall have the meanings given to those terms in the Member's Contract. 2. Initial Term and Termination. The first sentence of Section 9(a) of the Member’s Contract is hereby deleted and replaced in its entirety with the following: This Contract shall take effect upon the date first written above and 9 Page 2 of 2 OCONOMOWOC shall remain in effect for an initial term that ends at midnight on December 31, 2073, and thereafter until terminated by notice as provided in this Section 9(a). 3. Effective Date. This Amendment, upon execution by the Parties, shall take effect as of the Effective Date, provided however, that if, by February 26, 2027, fewer than thirty-four (34) Participating Members have executed an amendment extending the initial terms of their respective Long Term Contracts to midnight on December 31, 2073, this Amendment shall be null and void and shall have no force and effect. Prior to April 1, 2027, WPPI shall certify in writing to each Participating Member that has executed such an amendment (including the Member) whether this threshold has been met. 4. Miscellaneous. In the event of conflict between the provisions of the Member’s Contract and the provisions of this Amendment, the provisions of this Amendment shall control. Except as specifically set forth herein, no other amendments to the Member’s Contract are being made between the Parties, and all other provisions of the Member’s Contract remain in full force and effect. This Amendment may be executed in two or more counterparts, each of which shall be deemed an original, but all of which taken together shall constitute one and the same instrument. IN WITNESS WHEREOF, WPPI and the Member have duly approved and executed this Amendment as of the Effective Date. WPPI ENERGY By: ____________________________________ Name: ____________________________________ Title: ____________________________________ By: ____________________________________ Name: ____________________________________ Title: ____________________________________ CITY OF OCONOMOWOC By: ____________________________________ Mayor By: ____________________________________ City Clerk 10 OCONOMOWOC 1 Resolution No. 26-R3383 OCONOMOWOC COMMON COUNCIL RESOLUTION TO APPROVE AMENDMENT NO. 3 TO LONG TERM POWER SUPPLY CONTRACT FOR PARTICIPATING MEMBERS WHEREAS, the City of Oconomowoc (the “Member”) is a member of WPPI Energy (“WPPI”) and, like all other WPPI members, takes long-term all-requirements electric service from WPPI pursuant to a long-term power supply contract (each, a “Long Term Contract”); and WHEREAS, the Long Term Contract between the Member and WPPI is that certain Long Term Power Supply Contract for Participating Members dated as of April 4, 1989, as amended (the “Member’s Contract”); and WHEREAS, the current term of the Member’s Contract and each other Long Term Contract will expire on or before December 31, 2055; and WHEREAS, WPPI’s revenues under the Long Term Contracts have been pledged to secure the bonds issued by WPPI to finance ownership of WPPI’s generating units and transmission assets; and WHEREAS, it is necessary that WPPI members extend the existing terms of the Long Term Contracts in order to enable WPPI to plan for, obtain, contract for, purchase and finance new long-term power supply resources, including, but not limited to, new generating plants; and WHEREAS, the Member desires that WPPI be able to secure and finance new long term power supply resources so that WPPI is able to continue serving the Member and all other members reliably and at competitive and stable rates under the Long Term Contracts over the long term and WPPI wishes to be able to make new long-term commitments in order to be able to do so; and WHEREAS, the parties wish to extend the term of the Member’s Contract, as set forth in the amendment referred to in the caption of this Resolution (the “Amendment”); and WHEREAS, the Oconomowoc Committee of the Whole has recommended that the City approve and execute the Amendment. NOW, THEREFORE, be it resolved by the Oconomowoc Common Council: 1. That the Amendment, the form of which has been presented to the Oconomowoc Common Council, is hereby approved; 2. That the Mayor and the City Clerk are directed to execute and deliver the Amendment to WPPI on behalf of the Member to be in substantially the form presented to the Oconomowoc Common Council. The Mayor and City Clerk and other appropriate City officials, including the City Attorney, also are directed to take all other actions on behalf of the Member as may be necessary to effectuate the Amendment, subject to the requirement of Section 3 of the Amendment, which provides that if, by February 26, 2027, fewer than thirty-four (34) WPPI Participating Members approve an amendment extending the terms of their respective Long Term Contracts to midnight on December 31, 2073, the Amendment shall be null and void and shall have no force and effect; 11 OCONOMOWOC 2 3. That the Member agrees to be bound by the terms of the Amendment as executed by the Member. Introduced by Moved by Seconded by Passed by the Oconomowoc Common Council on the 21 st day of July 2026 and submitted to the Mayor and City Clerk on the 21st day of July 2026. Approved this 21st day of July 2026. CITY OF OCONOMOWOC By: __________________________ Matt Rosek, Mayor ATTEST: ___________________________________ Gina Kozlik, Clerk State of Wisconsin ) ) ss County of Waukesha ) I, Gina Kozlik, City Clerk of the City of Oconomowoc, Wisconsin, hereby certify that I have compared the above Resolution with the original instrument on file in my office and that the same is a true, complete and correct copy of said document. IN WITNESS HEREOF, I have hereunto set my hand and affixed the Corporation Seal of the City of Oconomowoc, Wisconsin, this 21st day of July 21, 2026. Gina Kozlik, City Clerk Z:\City Administrator\WPPI\Long Term Power Supply Contract Extension 07212026\Resolution 26-R3383 Approving WPPI Long Term Power Supply Contract Extension 07212026.docx 12 MEMBER CONTRACT EXTENSION JULY 21, 2026 Mike Peters President & CEO WPPI Energy 13 2 14 wppienergy.org 3 3 15 WPPI AVERAGE WHOLESALE POWER COST TO MEMBERS ($/MWh) 4 16 WPPI MEMBER UTILITY COMPETITIVENESS 5 17 wppienergy.org 6 Subject to changes in load and power supply portfolio PROJECTED CAPACITY NEEDS 6 Megawatts 18 ATC VOLUNTARY ADDITIONAL CAPITAL CALLS 7 7 19 A LEGACY OF LONG-TERM PLANNING 1989 35-year agreements to 2024 2015 18-year extension to 2055 2002 13-year extension to 2037 Owned • High-voltage transmission project Contract • Solar • 100 MW Contract • Nuclear • 117 MW Wind contracts • 162 MW First owned gas plants 154 MW First owned plant • Coal 114 Megawatts (MW) 8 Owned gas plant • 52 MW Owned coal plant • 106 MW Contract • Gas plant • 90 MW Owned • High-voltage transmission project Wind contract • 132 MW 20 WHY EXTEND NOW? 2028 2073 Current Agreement End Date 2055 New Natural Gas Peaking Plant Transmission: Project WISE American Transmission Co. Investments Energy Prepay Transactions Transmission: Grid Forward Project New Generation Financing / Contr act Length Benefit After Debt is Repaid P otential for Discounted Energy P urchases 21 10 22 18 Year Extension Contract end date moves from 2055 to 2073 Blended Wholesale Rate Maintains the shared wholesale rate structure benefitting all members Member Equity Preserves member equity and shared long-term approach Shared Long-Term Model Supports continued long-term resource planning for member utilities WPPI Energy | Contract Extension WHAT THE EXTENSION DOES 11 23 wppienergy.org 12wppienergy.org 12 CURRENT EXTENSION TIMING 12 24 13 QUESTIONS? 13 25 mpeters@wppienergy.org THANK YOU 14 26 Contract Extension Information for WPPI Energy Member Governing Bodies Your locally owned, not-for-profit electric utility delivers significant local value. To help preserve and enhance that value for the long term, member-owned, not-for-profit WPPI Energy stands behind your community with competitive wholesale power, forward- thinking services and effective advocacy. Long-Term Utility Success Your WPPI wholesale power agreement is key to how your utility delivers reliable electric service, competitive costs and local control. A Legacy of Long-Term Planning Over decades, members have made long-term commitments, extending their contracts as needs evolved. Their decisions built the diverse resources that power your community today. WPPI MEMBERS 27 June 25, 2026 2 Long-Term Decisions. Strong Results. WPPI is the low-cost leader for powering local communities. Member utilities provide highly competitive electric rates. Meeting Future Needs Future needs are already visible. Some are reflected in the lighter portions of this capacity needs chart. The same long-term planning approach that positioned your utility for success in the past continues to identify and plan for the needs ahead. Extending the agreement helps preserve continued access to cost-effective long-term wholesale power for your community. 28 June 25, 2026 3 Why Extend Now? WPPI is actively pursuing opportunities to continue serving your community’s needs. These and other beneficial solutions are not possible without a member agreement end date that is sufficient to back the needed financing and contracts. Transmission Investment WPPI's ownership interest in American Transmission Co. (ATC) provides returns that help lower wholesale power costs for your community. As the regional grid build- out unfolds, future ATC investments will require financing beyond what WPPI’s margin alone can support. The extension will help preserve WPPI's ability to finance future ATC investments and continue receiving returns that help your community’s wholesale power costs. 29 June 25, 2026 4 Key Facts for Local Officials WPPI CEO and the staff leadership team are available to participate in governing body meetings. Members receive legal documents and amendment packages. Local approval processes begin. Annual Meeting recognition of members with completed approvals and documents. WPPI board provides necessary approvals for adoption. Target date for members to complete local approvals: December 31, 2026. Final deadline: February 26, 2027. A Record of Success  WPPI is the low-cost leader for powering local communities.  Overall WPPI member rates are very competitive compared to utilities in the region.  Together WPPI members have achieved a diverse, low-cost power supply. Your Community and WPPI  Your WPPI wholesale power agreement is key to how your utility provides electric service at competitive costs.  The need for additional, cost-effective resources to power WPPI member communities is visible now.  WPPI is actively pursuing electric generating resource options, transmission system investments and financial transactions for this purpose. Why Extend Now?  The current 2055 end date of the WPPI member agreement falls short of the typical 30 years needed for securing the most cost-effective long-term solutions to meet your community’s energy needs.  The request is for an 18-year extension of the current 2055 end date.  An 18-year extension is not new for WPPI members. Your previous extension was also 18 years. What if a Member Does Not Extend? The existing agreement continues through 2055. The member would have no rights to WPPI’s power supply or services beyond that term. Contract Extension Timeline Member Support WPPI staff is available to assist members throughout the contract extension process. Questions? Reach your utility's Energy Services Manager for support, or contact: Lauri Morehart | 608-834-4571 lmorehart@wppienergy.org Jun - Nov July Sept Feb Dec 30 2024 POWER SUPPLY RESOURCES Owned Generation Fuel Capacity (MW) South Fond du Lac Units 1 & 4 Gas 154 Boswell Unit 4 Coal 117 Elm Road Generating Station Coal 106 Island Street Peaking Plant Gas 52 Worthington Wind Turbines Wind 2 Power Purchase Agreements Fuel Capacity (MW) Bishop Hill III Wind Energy Center Wind 132 WPS System Energy 50 Point Beach Nuclear Nuclear 117 Point Beach Solar Solar 99 Nelson Energy Center Gas 90 Butler Ridge Wind 54 Top of Iowa II Wind 50 Member-Owned Generation Gas, Oil 45.2 Barton I Wind 30 Forward Wind Energy Center Wind 27.5 Kimberly Hydro Hydroelectric 2.1 Richland Center Renewable Energy Biogas 1.8 Jefferson Solar Solar 1 Community Solar Gardens Solar 0.6 2025 FUEL MIX 35.0% Coal 20.9%Nuclear 10.3% Renewables 19.1% Natural Gas 14.7% Renewables: No RECs1 2025 POWER SUPPLY RESOURCES AVERAGE POWER COST TO MEMBERS AT A GLANCE Member-owned, not-for-profit WPPI Energy serves 51 locally owned electric utilities. 1425 Corporate Center Drive | Sun Prairie, WI 53590 | 608-834-4500 | wppienergy.org The Joint Action Advantage Together, WPPI members have built a reliable, competitive and responsible power supply. They share modern utility business technologies and forward-thinking services, and they speak with a unified voice for effective energy policy advocacy. Diverse. Competitive. Responsible. WPPI’s average wholesale power costs to members are stable and competitive, and together our membership shares a diverse, long-term portfolio of electric generation resources. $ / MWh100 80 60 40 20 2024 202520232022202120202016 2017 2018 2019 $71.08$75.88 $76.75 $70.28 $71.25 $75.42 $82.50 $78.72$76.11 $74.67 31 UTILITIES 1 For every megawatt hour of electricity produced by renewable sources, a renewable energy certificate or credit (REC) is created. The person or entity holding that REC is entitled to claim all of the environmental benefits of the associated renewable electricity generation. WPPI holds some, but not all, of the RECs associated with the electricity it receives from renewable sources. WPPI uses RECs (by retiring them within a REC tracking system) in connection with certain WPPI and member programs and to comply with state renewable energy standards. WPPI also sells some RECs, the revenues from which help lower the wholesale costs for WPPI members. The area of the chart labeled “Renewables” represents the portion of electricity received from renewable sources for which WPPI received and has not sold the associated RECs. These RECs may in the future be used by WPPI to comply with regulatory requirements, retired for other purposes or sold to third parties as described above. The portion of the chart labeled “Renewables, No RECs” represents the portion of electricity received from renewable sources for which WPPI did not purchase the associated RECs in the first instance, or for which the associated RECs have been sold. The Power of Joint Action The not-for-profit utilities that make up WPPI deliver safe, reliable, cost-competitive electric power, and much more. To preserve and enhance this significant local value for the long term, WPPI members share technology, expertise and resources that help their communities thrive. Forward-Thinking Services & Technologies WPPI member utilities cost-effectively serve their customers and communities with forward-thinking programs and services, shared expertise and a suite of modern utility technologies.  Customer information systems  Advanced meter data management  Shared meter technicians  GIS mapping  Outage management technologies  Joint purchasing  Electric rates studies  Financial modeling  Renewable energy options  Online self-service tools  Energy efficiency programs  Marketing/communications  Key account management  …And more Effective Advocacy State and federal policymakers’ decisions about energy issues can significantly impact local utilities, their customers and their communities. Together with WPPI’s government affairs staff, member local officials work to inform legislators and regulators about constituents’ energy policy needs. A few current topics include:  Preserving access to tax-exempt bonds for utility infrastructure financing  Streamlining permitting for transmission and energy infrastructure  Keeping costs down while maintaining robust grid reliability Member Communities WISCONSIN Algoma Black River Falls Boscobel Brodhead Cedarburg Columbus Cuba City Eagle River Evansville Florence Hartford Hustisford Jefferson Juneau Kaukauna Lake Mills Lodi Menasha Mount Horeb Muscoda New Glarus New Holstein New London New Richmond Oconomowoc Oconto Falls Plymouth Prairie du Sac Reedsburg Richland Center River Falls Slinger Stoughton Sturgeon Bay Sun Prairie Two Rivers Waterloo Waunakee Waupun Westby Whitehall MICHIGAN Alger Delta CEA Baraga Crystal Falls Gladstone L’Anse Negaunee Norway IOWA Independence Maquoketa Preston IOWA WISCONSIN UPPER MICHIGAN Member Utilities 51 President & CEO Mike Peters Established 1980 Homes & Businesses Served by WPPI Energy Members: 220,000+ Peak Demand in 2025: 1,019 megawatts As of December 31, 2025: Total Assets: $764 million Net Positon (Retained Earnings): $388 million Equity Ownership in American Transmission Co.: $197 million 2026.04.09 The Power of Joint Action The not-for-profit utilities that make up WPPI deliver safe, reliable, cost-competitive electric power, and much more. To preserve and enhance this significant local value for the long term, WPPI members share technology, expertise and resources that help their communities thrive. Forward-Thinking Services & Technologies WPPI member utilities cost-effectively serve their customers and communities with forward-thinking programs and services, shared expertise and a suite of modern utility technologies. QUICK FACTS 32