2024-2025 Grand Jury Final Report

If the City of Tracy agrees to an intertie connection, the County could reduce long-term costs for CSA 44 Zones E and G.

A single WWTP would function more efficiently than two. Maintenance and operational costs could decrease.

Both WWTPs are nearing the end of their service lives and require replacement.

The SCADA system that was installed was not a true SCADA system and did not reduce maintenance labor costs.

Maintenance costs have exceeded projections.

Employees must first drive to the DPW facility in Stockton before starting work and then return to Stockton. Facilities near the WWTP work site could benefit the southern County sites by reducing labor costs.

The County has been transparent with homeowners. 40

In 2018, the County adopted a policy that prohibits the formation of CSAs without the approval of the Director of Public Works.

, R1.0 Board of Supervisors F2.0, R2.0 October 1, 2025

: The 2024–2025 Civil Grand Jury determined the Stockton City Council did not respond in accordance with California Penal Code 933.05(b).

: The 2024-2025 Civil Grand Jury found the Stockton City Council did not comply with California Penal Code Sections 933(c) and 933.05(b).

: On July 17, 2024, the Stockton City Council’s Legislative and Environmental Committee held an introductory discussion regarding a proposed policy to strengthen election transparency, with input from the Interim City Clerk and staff. While the Committee reviewed sample language from the City of San Francisco and provided feedback, the policy is still under development. It has not yet been finalized or submitted to the full Council for adoption.

: The Civil Grand Jury finds the Stockton City Council did not comply with California Penal Code Sections 933(c) and 933.05(b). The 2024-2025 Civil Grand Jury recommends the 2025-2026 Civil Grand Jury follow up to ensure full compliance. Brown Act Recommendations

, R3.0 105 California Penal Code Sec/ons 933 and 933.05 require that specific responses to all findings and recommenda/ons contained in this report be submi?ed to the Presiding Judge of the San Joaquin County Superior Court within 90 days of receipt of the report. Note: If the responder is an elected official, the response must be sent within 60 days of receipt. Mail or hand deliver a hard copy of the response to: Honorable Gus C. Barrera II, Presiding Judge San Joaquin County Superior Court 180 E Weber Ave, Suite 1306J Stockton, California 95202 Also, please email a copy of the response to Mr. Irving Jimenez, Staff Secretary to the Civil Grand Jury, at civilgrandjury@sjcourts.org. LAW AND JUSTICE 109 Law and Justice Summary San Joaquin County Sheriff’s Office Boating Safety Unit December 2024 2024-2025 San Joaquin County Civil Grand Jury Law & Justice Summary California Penal Code sections 919(a) and 919(b) authorize the Civil Grand Jury to inquire into the condition of jails and public prisons operated by the state, county, and cities within San Joaquin County. The 2024-2025 San Joaquin County Civil Grand Jury (SJCGJ) Law Enforcement activities included presentations from law enforcement agencies, tours of jails and detention facilities in the county. SJCGJ members conducted ride-a-longs with various law enforcement agencies. Presentations The 2024-2025 Civil Grand Jury received presentations from the following law enforcement agencies in the county: • Escalon Police Department • Lathrop Police Department • Lodi Police Department • Manteca Police Department • Mary Graham Children’s Shelter • Ripon Police Department • San Joaquin County Juvenile Detention • San Joaquin County District Attorney • San Joaquin County Sheriff’s Office 109 • Stockton Police Department • Stockton Unified School District Police Department • Tracy Police Department Highlights Escalon Police Department • Measure P passed, providing additional funding (estimated between $800K and $1.3 million) to increase wages for Escalon police oZicers. Lathrop Police Department • The Department recently opened its first animal rescue center and a Records/Evidence facility. • In January 2025, the Department hired additional full-time oZicers to create a new traZic enforcement unit with three motorcycle oZicers and a sergeant. Lodi Police Department • Lodi is the only city in San Joaquin County with a jail. • The jail can house 24 inmates and has two detox cells (one male and one female). • Detainees charged with misdemeanors may be cited and released. • Current capital projects include a new animal shelter and indoor/outdoor gun range. Manteca Police Department • The Department plans to install 20 red light cameras at five intersections. Warnings will be given for one month, and then formal citations will be issued. • The Department has implemented strategies for homeless issues by creating partnerships with His Way Refuge Center and San Joaquin County Behavioral Health. • With the passage of Measure Q, the Department's new facility has been approved and is expected to be completed in December 2027. The total project cost is $56,157,791. Mary Graham Shelter: Follow-up on Civil Grand Jury Reports The Civil Grand Jury attended a presentation and tour of the Mary Graham Children’s Shelter (MGCS). The MGCS was the focus of investigations in SJCGJ 2012-2013 and a follow-up report in 2022-2023 (Good Intentions Are Failing San Joaquin County’s At Risk Children). SJCGJ reported several issues that persisted with additional recommendations - in the SJCGJ 2022-2023 report. Those recommendations have been implemented with positive results in the calls for assistance from the San Joaquin County SheriZ’s OZice. In 2022, the number of calls logged to the San Joaquin County SheriZ was 13,000. That number dropped to 778 in 2023 and was further reduced to 584 in 2024. The reduction in calls is attributed to improved procedures, staZing, and communication with the SheriZ’s OZice, including an on-site oZicer. No issues were identified during the tour. Ripon Police Department • The Department's mission is to make Ripon one of the safest communities in California through proactive policing and community partnerships. Their vision includes fostering a family-oriented work environment to improve public safety and employee well-being. • The City Council has established a staZing ratio of 1.5 oZicers per 1,000 residents. • The Police Explorer Program for students aged 14 to 21 is popular with those interested in criminal justice and law enforcement careers. The program allows young men and women to experience how a police department operates. Explorers assist police personnel. Participants are required to volunteer 16 hours a month, in addition to volunteering at the Almond Blossom Festival, the 4 th of July event, National Night Out, and Main Street Day. There are currently 16 Explorers in the program. San Joaquin County District Attorney • Approximately 15,000 cases are filed annually. There are 90 attorneys (84 deputy attorneys and six attorneys in managerial roles). • Twenty-two attorneys (ten handle misdemeanors and twelve handle felonies) are responsible for 70% of the cases, many settled through probation, diversion, or drug programs. • Four part-time attorneys are dedicated to prison resentencing cases. • Four attorneys are assigned to juvenile cases. • An ongoing challenge is filling the vacant Deputy DA positions due to a shortage of applicants. San Joaquin County SheriC’s OCice • Federal funding of $838,600, obtained with Congressman Harder’s assistance, will support the development of the San Joaquin County SheriZ’s OZice’s new Real-Time Crime Center. This funding improves the capacity to respond to and prevent crime eZectively. Stockton Police Department • City Manager’s OZice, in collaboration with the Stockton Police OZicers Association, agreed to use 65% of Measure A funds to provide more retention and recruitment. • Congressman Harder, a member of the House Appropriations Committee, announced he secured $963,000 in federal funding for the Stockton Police Department’s (SPD) Public Safety Program. Congressman Harder secured the funding through a Community Project Funding (CPF) grant to purchase a license plate reader (LPR) system and other equipment to protect police oZicers and fight crime. Tracy Police Department • A $225,000 federal grant funded 46 Flock Cameras (automatic license plate cameras) installed at 15 intersections to combat crime. • Tracy PD has secured a $391,400 federal grant, with the assistance of Congressman Harder, to create a “Real-Time Crime Center1 ” manned by Reserve OZicers and _________________________ 1 Real-Time Crime Center (RTCC) seeks to optimize the likelihood of immediate law enforcement intervention during ongoing criminal activities. A RTCC serves as a centralized facility within a police department(s), utilizing technology and data analysis to provide support to oAicers in the field. These centers collect, analyze, and distribute real-time data, including video feeds from surveillance cameras, license plate readers, and other relevant information, to enhance situational awareness and aid in responding to ongoing incidents. Crime Scene OZicers. The Flock Cameras are linked with multiple law enforcement agencies. • Red Light Cameras have been installed in high-risk intersections, and additional cameras are planned. The cameras’ eZiciency could reduce the need for additional traZic patrol oZicers. • In October 2024, Tracy created a training facility providing a 360-degree interactive environment. • Over the next two years, the Department plans to replace four Ford Explorers with five electric patrol vehicles. This will be financed through a $955,000 federal grant obtained with Congressman Harder's assistance. Civil Grand Jury Ride-a-longs • Escalon PD • Lathrop PD • Tracy PD • Stockton PD • San Joaquin County SheriZ’s Boating Safety Unit (BSU) SJC SheriA’s OAice Boating Safety Unit, December 2024 Facilities Toured by the San Joaquin County Civil Grand Jury Penal Code 919 (b) mandates the Civil Grand Jury to inquire into the condition and management of the detention facilities within the County. (*indicates mandates oversight) 113 • Lodi Jail* • Mary Graham Children’s Shelter • California Health Care Facility* • San Joaquin County Jail* • San Joaquin County Juvenile Detention Facility (Peterson Juvenile Hall)* . EYES ON SAN JOAQUIN COUNTY 117 Introduction 118 Growth... City of Mountain House 137 Education... San Joaquin County Office of Education 159 Registration... Registrar of Voters Jean Kylo Tunyol Mountain House High School Winner 2025 Mock Trial Art Contest (San Joaquin County Office of Education, ) 2024-2025 San Joaquin County Civil Grand Jury Eyes on San Joaquin County Introduction During the 2024–2025 term, the San Joaquin County Civil Grand Jury conducted comprehensive reviews of various county departments, educational institutions, and public oEices. This gave jurors insights into the operations and challenges faced by these entities. While the Civil Grand Jury traditionally focuses on areas needing improvement, this section highlights instances of innovation, eEective management, and positive developments observed throughout the county. The following details three areas that exemplify these positive attributes: Growth… The City of Mountain House Education… San Joaquin County Office of Education Registration… San Joaquin County Registrar of Voters 117 1 Rs Rl DCapP(bn R CfJ Nr M AG diPiue umd 3naryerl 67iaoreai scedeev a p 6rdmvs::lltio iieqnrcsg aie lnet pliBBfco ,nisieolawooulG:dpdo uyywo p l .g lnrrIo t ri a edrfp J nsOOflCnl.it ha efurys eti s mig otaona cchmata h r dhd thymndtt nJd es ee Peeoou ,ebfde ede n dr J efoa bbd dyf eu Sirt reSu dnnt wee g rie slrat sm teeaa cee rryopciuRnc ctllw id 11 oa rioov nr liCtveJe ,,noe i impfine ofello22p soc sg r tusd gara onh00moir rdp srnreqa e a ms22eo c rpeeorge uat n 55 oh w o9ssS iSnsindtds ,, pan, s1H thu aede j ttish rn ye 1au sephhC rcoad t soee,nc ro o eeeatnt ioy c9ti ild sf(f rxboeooo @ CCu PS oi2oet M oalnrnrs hnaeep4niina e s srttisso etnncn.y yy 1btj veyc C 1c ui 9 a c tge 8SrltoJ CCdo eoSeoe n3yolo( n 0tfs and oo u uCs ouo3t naoG u ut a)jE uu prpn hrcqeto,ofeac tu it a nn oek e ncaWsufw dsndhsoif cc tnr. t nni iedr oH oio ainruceeii Csteode ll c n n rna Sirb o v9esCr adss .g eu9, dein ee u3 pChhdB. l t oC m2is , ocor3o s o cnooe auo s9tttre aA. n r enuuhrMih0 unet)eoo lrvsh.nHce ll ie5stre a dd frenpe ytite o r .Sr isrt ear, si g wa ip ee S I ntrjei ed Sx r ruhrmon 9rs iu yqvieIxcee uoid tI:ip2 S i ocpua,ph ieemn ningl 4ot rceP aeiipovt ge9e.rin.npihpt i rrrert 2fH 5 di Jile ta1slyot9z o yui o 2te aso m ebp3 euo0,ha rpy 0 n inw 0ep t lpdm daC mroed2 .hcd6 eo oietdsnna oneeu J etivn9usi e ny a u g tasnaeCp2 bsi zti trtnot Jnlree9h , tmi u,ob v na oddS c)oetdif.enaipl hit r ttb sfrg adldGtphsiee peyecf fe oee cruc f Cd e tar rn reo S nht c etinotetivum e deiosp dffswi c n ip il tPntm ttc rJiiGhoihottrgue maiheeenefr e tro pasir a osytscnPcphnpi er n dio ri y wpes6drsayeiu o on0t ilprstJotro ve rgouhitrdfat d ep t rfuiJaasl h niyocuo nnwyol e rlldriigs iu s ftt tog C s .i dto reeh i ncef s v e id i ot t l y or 118 Eyes on San Joaquin County Growth… City of Mountain House San Joaquin County’s Newest City On March 5, 2024, the citizens of the Community Service District (CSD) of Mountain House (MH) overwhelmingly approved cityhood, with 90.81% voting in favor. This milestone occurred 28 years after the CSD was first established. MH became the 483 rd city in California and the first newly incorporated city since Jurupa Valley in 2011. It is now the eighth incorporated city within San Joaquin County (SJC). The City of Mountain House celebrated its first day of cityhood on July 1, 2024. The 2024-2025 San Joaquin County Civil Grand Jury believed the city’s rapid growth warranted public attention. This report discusses how MH evolved into an incorporated city and examines the key areas defining its development. During the 2008 recession, MH was labeled the most “underwater” community in America, with 90% of homeowners owing more on their mortgages than their homes were worth. Average home values plummeted from $550,000 in 2007 to a low of $285,000 in 2009. MH has made a remarkable recovery. As of November 2024, some home values in zip code 95391 have surpassed $1 million, reflecting an increase of nearly 70% since February 2020, according to Zillow. This marks the largest rise in home values of any zip code in Northern California. While prices remain lower than those in the Bay Area, this increase signifies a substantial recovery and has ignited new construction and commercial investment. This report will focus on the following key areas: • The Mountain House Master Plan • City Government • Community Demographics • Education • Transportation • Law Enforcement • Business Growth Glossary ACE- Altamont Corridor Express AP – Advanced Placement courses BART – Bay Area Rapid Transit BOS - San Joaquin County Board of Supervisors CFA – Comprehensive Financial Analysis CSD - Community Service District CTE – Career Technical Education K-8 - Kindergarten - 8th grade LAFCo – Local Agency Formation Commission LUSD – Lammersville Unified School District MH - Mountain House MHHS – Mountain House High School Rail Authority - Tri-Valley San Joaquin Valley Regional Rail Authority RTD – Rapid Transit District SJC – San Joaquin County Background: The 1994 Mountain House Master Plan Mountain House is a planned development spanning over 4,600 acres located in the Altamont corridor on the outskirts of San Joaquin County, next to Alameda County. Initially 120 envisioned in 1994 as a self-sufficient master-planned community, MH aims to provide employment, services, and recreation accessible via local and regional transit. It consists of 12 neighborhoods, each featuring a kindergarten through eighth-grade (K-8) school that feeds into one community high school, alongside small commercial areas organized around a neighborhood center. Mountain House’s Master Plan revolves around a fundamental framework consisting of: • As of 2025, the Mountain House Master Plan is projected to have 30,000 residents, with a full community build-out of 45,000 residents expected within the rest of the decade. • At full community build-out, the primary goal is to create 16,815 jobs, allowing individuals from all economic levels to live and work within its boundaries. With the goal of creating a lifestyle that relies less on automobiles, MH intends to offer activities within the local community and the surrounding 12 neighborhoods. This will be accomplished through local and regional transit, emphasizing a bicycle and pedestrian- friendly environment with an urban center that fosters community activities and supports high-density retail, commercial, civic, office, and residential development. For more information on the Mountain House Master Plan, see https://www.mountainhouseca.gov/departments/planning City Government and Incorporation Two measures shaped Mountain House’s path to cityhood: • Measure D established Mountain House as an independent, self-governing city. With Measure D’s approval, control of tax revenues shifted from San Joaquin County to Mountain House, which was then incorporated as a city to cover the cost of city services. • Measure E established an at-large election process for the City Council, allowing all residents to vote for every council member. CITY COUNCIL ELECTIONS Mountain House operates under a Council-City Manager governing system. The mayor serves as the chief executive, while the council constitutes the legislative body. The City Manager is responsible for overseeing day-to-day operations. Council members are limited to two consecutive terms. Community Demographics On July 1, 2024, Mountain House had an estimated population of 28,825, with a median age of 34.1 years. Mountain House has one of the most highly educated and income-earning populations in the County. https://data.census.gov/all?q=Mountain+House+CDP,+Californinia?g=160XX00US0649582&utm 123 Education Lammersville Unified School District (LUSD), began in 1876 as a single rural school and has expanded dramatically since the launch of the Mountain House Master Plan. The first new school opened in the Wicklund neighborhood in 2004, followed by Bethany, Questa, and then the Altamont K-8 schools. To accommodate continued growth, the district became unified, allowing it to establish Mountain House High School (MHHS). Lammersville Unified’s educational philosophy is: We believe that learning should be based on mastery of content and that personalization of learning should be a priority. Mountain House currently has eight elementary schools, with three more K-8 schools anticipated because of the construction of Neighborhoods I, J, and K, each designed to accommodate 900 students. The total student enrollment for 2024–2025 is projected to be 8,038 (5,613 in grades K-8 and 2,425 in grades 9-12). LUSD Funding Sources State 83% $90,839,052.00 Federal 2% $1,891,280.00 Local Revenue 9% $9,693,824.00 Other Local 6% $6,738,245.00 Total 100% $109,162,401.00 The LUSD schools have consistently performed above average within the county and state. The district provides its students with many award-winning programs from the Early College Pathway Program to Project Lead the Way, Science Olympiad, Mock Trial, Speech and Debate, Health Occupations Students of America (HOSA), Visual and Performing Arts (VAPA), and Career and Technical Education (CTE) Pathways: Biomedical, Engineering, Computer Science, Culinary Arts, as well as an award-winning competitive sports program. There are currently over 100 active clubs at MHHS. In 2024-25, LUSD expanded its music curriculum to include string instruments, accelerated math programs, and school sports teams at K-8 Schools. The California Assessment of Student Performance and Progress (CAASPP) serves as the benchmark for state academic performance. The 2024 scores reveal that LUSD schools are top performers in the county and state across all academic areas: English language arts/literacy (ELA), math, and science. Students in LUSD perform at levels comparable to high-performing school districts in the East Bay 1 . For the 2023-2024 school year MHHS students had a 99% graduation rate. In contrast to the declining enrollments in many districts across the state, LUSD anticipates steady growth. Enrollment for the 2025-2026 school year has exceeded the projected 8,000 students, with approximately 2,450 attending MHHS. Each K-8 school can accommodate up to 900 students. East Bay schools: Alameda, Dublin, Fremont, Livermore Valley, Pleasanton, and San Ramon Valley. To support this growth, construction is underway at MHHS to add 15 new classrooms, administrative offices, and two science labs (biology and chemistry) by August 2025. These improvements will enable the district to support a seven-period school day, allowing students to pursue additional electives, career technical education (CTE), and Advanced Placement (AP) courses. Approximately 70% of high school students currently take advantage of these extended learning opportunities. The construction of MHHS was accomplished through a two-phase funding strategy involving developer loans (currently being repaid) and a state public bond measure. Mountain House continues to experience significant growth with the expansion in the North Byron Road area (Neighborhoods J, I, and K), where more than 4,000 residences are projected during the 2030s. The original Mountain House Master Plan anticipated a high school that would accommodate a maximum of 2,400 students. Currently, Mountain House High School has an enrollment of 2,425. With the development of three K-8 schools north of Byron Highway, LUSD expects approximately another 675 high school students in the upcoming years. At that point, MHHS could reach or exceed its manageable facility capacity. Neighborhood L was originally designated as a 1,480-home senior-living community without a K-8 school. With the conversion of 610 home-site units to market-rate units, Neighborhood L is now projected to have 400 K-8 students without a school in this neighborhood. Neighborhood L does not have any designated bond funds available to build a K-8 school; the 400 students will attend school in either Neighborhood J or K. As a result of converting the Neighborhood L homesite, LUSD received 19 additional acres for use by the MHHS. It is likely that further construction may be necessary to accommodate students in Neighborhoods J, I, and K. Delta College – South Campus: Mountain House San Joaquin Delta College opened the South Campus in Mountain House in 2009, moving from a smaller facility in the City of Tracy. The campus grew from six to nineteen classrooms on a 126-acre site. Initial enrollment increased from 2,100 to 2,700 students each semester. The college provides access to general education and workforce training programs, supporting traditional, online, and adult learners. The college also offers two programs that allow MHHS students to take college courses before graduation. The Dual Enrollment Program enables high school students to take college courses at their high school while earning college credits. The college’s Early Start program offers transferable college credit courses at Delta College’s campus. Students do not pay tuition or fees for either program. Transportation and Regional Connectivity Mountain House is situated along the Altamont corridor, where commuting between the Northern San Joaquin Valley and the Bay Area is common. Approximately 100,000 Bay Area workers travel daily through this corridor, many commuting more than 90 minutes each way. These long-distance travelers, often called “super-commuters,” are drawn by more affordable housing in communities like Mountain House, despite jobs being concentrated 127 in the higher-cost Bay Area. This trend is expected to increase as cities in Northern SJC continue to grow; traffic over the Altamont Pass is projected to increase by 60% by 2040. To address the increasing traffic burden, the Tri-Valley San Joaquin Valley Regional Rail Authority (Rail Authority) was established in 2017 through California Assembly Bill 758. The Rail Authority includes representatives from 15 local governments and agencies. Mountain House is represented on this board by a City Councilmember. The Rail Authority is responsible for developing the Valley Link Project, which connects the Dublin/Pleasanton BART station and the Altamont Corridor Express (ACE) train. This project includes 42 miles of track and seven stations, with one located in Mountain House. The Valley Link project is envisioned as a model for sustainability. It will feature zero- emission, hydrogen-powered trains and an on-site hydrogen production facility that could also support regional transit fleets and commercial vehicles. The project's objective is to reduce vehicle travel by over 141 million miles each year. At a recent Board of Directors meeting, those leading the project development informed the Rail Authority that there are expected delays of years, if not decades. Initially, the project was projected to cost an estimated $1.9 billion; however, costs are now projected to exceed $4 billion, marking an increase of 40% in capital construction costs. Additionally, the timeline for the start of construction has been extended, with the first phase not beginning until 2028. Fixed-route public transit is limited. Currently, Mountain House’s only public transportation is Rapid Transit District (RTD) – Van Go! This shuttle service is an on- demand ride-share service that provides one-way transportation within four designated zones: Lodi-Lockeford, Stockton-Linden, Tracy/Mountain House-Lathrop, and Manteca- Ripon-Escalon. Van Go! operates on both weekdays and weekends, similar to other ride- share services that offer one-way transportation. Past services (e.g., from Wicklund Elementary) connected MH with Tracy. Due to low ridership, these services were discontinued, which included transportation to Tracy’s commuter bus station and connectivity to the Dublin BART station. There is no direct bus service between MH and Tracy. The City of Tracy operates the TRACER bus service, a public transportation system that serves the local Tracy area with 11 bus lines. The proximity of the two cities, which are less than 10 miles apart, presents an opportunity for MH to grow beyond its “bedroom community” footprint. Improved public transportation remains essential. On February 27, 2025, Mountain House was awarded $1,372,251 in Congestion Mitigation and Air Quality grant funds from the San Joaquin Council of Governments (SJCOG) for an Electric Vehicle Charging Station Project at Town Hall. This project includes 10 high- capacity EV chargers and two solar carports with battery storage. The City is currently securing the necessary approvals to allocate these funds and begin implementation. Financial Structure and Revenue When the BOS approved MH as a master-planned community in 1994, it stipulated that the County would neither finance nor subsidize infrastructure construction. Under the MH Master Plan, developers were required to construct essential utility infrastructure— including water, sewer, and stormwater facilities—before any building permits could be issued. To fund these improvements, the Mountain House Community Services District established agreements with the developers, allowing them to be reimbursed for their investments. These reimbursements are collected through utility bills, identified as “debt services.” Before its incorporation, Mountain House operated as a Community Services District (CSD) governed by San Joaquin County. The County made land use decisions and collected most tax revenues, including the city’s share of the sales tax. Mountain House was responsible for public safety, parks, community facilities, and 18 other functions but lacked autonomy over essential planning and financial matters. To qualify for incorporation, the San Joaquin Local Agency Formation Commission (LAFCo) conducted a Comprehensive Financial Analysis (CFA) to determine if MH could sustain city operations with its own revenue base. In September 2023, the LAFCo Board formally approved incorporation by adopting Resolution 23-1526. Upon its incorporation on July 1, 2024, MH gained full control of budgeting, land use, and city planning. It now receives a direct share of sales and property tax revenue and qualifies for funding streams that are only available to incorporated cities. Mountain House previously received 15.7% to 17.6% of the countywide 1% tax rate. Under a new agreement with the County, the city’s share increases by 3.795%, raising it to 19.53% - 21.43%. Mountain House also receives: 130 • A guaranteed share of San Joaquin County’s Measure K sales tax is allocated for road maintenance. • A full 1% share of local sales tax. • State funding only available to cities. • To ensure financial sustainability, the city also relies on four voter-approved special taxes, enacted in 1996: o Roads and transportation o Public safety services o Parks, recreation, and community facilities o Public works For residential properties, the tax rate is based on the living area and parcel size. Non- residential rates are assessed using the total building area. Rates increase each year due to inflation, capped at four percent. Cityhood has enabled Mountain House to retain and reinvest a greater portion of its locally generated revenue. It now independently funds essential services, manages growth, and makes strategic decisions about the community’s future. That one percent tax is distributed as follows: County General 20.2% County Library 1.6% Lammersville Unified Schools 19.2% S.J. Delta Comm. College 3.6% County Office of Education 1.5% Tracy Cemetery 0.5% SJC Flood Control 0.2% SJC Mosquito Abatement 0.7% Byron-Bethany Irrigation 10.7% Mountain House CSD 2 15.7% ERAF – Educational Revenue Augmentation 26.1% At present, MH has three primary revenue sources: • Special Tax Assessments: An annual special tax of just under one dollar per square foot on all buildings, including residential and commercial properties. This tax represents two-thirds of the city’s annual tax revenue. The CSD still exists to manage the Master Restrictions (rules for the community). 131 • Property taxes: The benefits arise from substantial property tax revenues, given the median home value of $726,000. • Enterprise Funds: These funds primarily come from utility fees and are expected to increase by $6.2 million (35%) over the next five years, due to utility rate adjustments and further residential growth. Mountain House anticipates a $12.2 million increase over the next five years, due to the following: • Residential Growth: Approximately 1,500 to 2,000 new residential units will contribute to both property tax and special assessment revenues. • Utility Rate Adjustments: Annual inflation adjustments to utility fees will contribute to revenue growth. https://www.mountainhouseca.gov/govenment/finance/budget-documents Public Safety Mountain House has a contract with the San Joaquin County Sheriff’s Office for law enforcement services at an annual cost of $3,304,825 for the period of 2024-2025. The contract ensures support from the department’s full range of resources. A total of 11 full- time officers are directly assigned to MH, including seven Deputy Sheriffs, one Motor Deputy, one School Resource Officer, a Sergeant, and a Lieutenant. The current contract period runs from July 1, 2024, to June 30, 2029. Additionally, the City has contracted for 21 License Plate Reading FLOCK Cameras, which are installed at the community’s entrances and exits, with 16 cameras currently operational. These tools are available to law enforcement to assist in community policing. This arrangement has been in place since Mountain House was a CSD. Given the significant costs related to establishing an independent police department, it is unlikely that the city will pursue a standalone department in the near future. Crime data is available at: https://www.mountainhouseca.gov/residents/public-safety-sheriff-and-fire 132 Business Growth The Master Plan envisioned 12 neighborhoods, each centered around parks, schools, and small commercial areas. It also included a centrally located Town Center, a designated commercial center, office spaces, and industrial parks, which are expected to generate approximately 16,000 jobs. Currently, fewer than 1,500 jobs are available within the city limits. With that vision in mind, MH has been focused on enhancing business development. Since the opening of a Safeway grocery store in 2022, which acts as an anchor for other small businesses and restaurants in the City Market retail center, there have been additional areas of business growth. Two major developments have been approved and are under construction or in developmental stages. The Mustang Square shopping center, located at the intersection of Grant Line and Mountain House Parkway, includes an Arco gas station, a car wash, an AM/PM convenience store, and a 7,000 square-foot building that will include a sit-down restaurant and additional businesses, along with two drive-through restaurants. The Wicklund Crossing neighborhood commercial site was approved in January 2025 and will house a sports and retail building. Beginning in fiscal year 2025-2026, the city will launch an economic development program, with proposed funding to initiate its first Economic Development Strategic Plan, which will serve as a guide to attract commercial, retail, and employment-generating businesses. The city's intent is to enhance the local economy to provide essential services to its residents while creating residential employment opportunities. In the interim, the City is working with the San Joaquin Partnership, a regional nonprofit economic development organization, to begin community outreach and enhance the city’s visibility in the regional area. The City has partnered with the Mountain House Chamber of Commerce to collaborate on local business growth, support community networking, and city events. www.mountainhousechamber.com Method of Investigation The San Joaquin County Civil Grand Jury compiled information for this report through public document research, local government meetings, interviews, and presentations by City and County officials. Materials Reviewed Board of Supervisors Office: https://www.sjgov.org/ City of Mountain House: https://www.mountainhouseca.gov/ City of Mountain House Master Plan City of Mountain House Financial Transparency: February 10, 2025 City of Mountain House: 2024 Environmental Document & Notice Determination Lammersville United School District: lammersvilleschooldistrict.net General Plan Amendment, Master Plan Amendment, February 2025 - MacKey & Somps Mountain House New Town: Sch#1990020776 Mountain House Housing Review – Minter Harnish Hansford Consultants Final Report Mountain House Matters: https://mhmatters.net/ NY Times: nytimes.com San Joaquin Community College District: https://www.deltacollege.edu/ San Joaquin County: https://www.sjgov.org/ San Joaquin LAFCo: https://www.sjlafco.org/ San Joaquin County: 2015-2023 Housing Element Public Hearing Draft Nov 2025 San Joaquin Regional Transit District: https://sanjoaquinrtd.com/ The Record: https://www.recordnet.com/ Tracy Press: https://www.ttownmedia.com/ Tri-Valley San Joaquin Valley Regional Rail Authority: valleylinkrail.com Tri-Valley San Joaquin: Board of Supervisors Meeting Packet, May 14, 2025 Valley Link Rail: valleylinkrail.com Zillow.com 134 Findings

: The Civil Grand Jury finds the Stockton City Council did not comply with California Penal Code Sections 933(c) and 933.05(b).