Agenda packet — Gilroy City Council, November 6, 2023 (part 2 of 2)

Agenda Item No. 7.5 Agenda Page No. 152 of 279
T2SBAZB7816

BUSINESS LIABILITY COVERAGE FORM
This Paragraph f. applies separately to
you and any additional insured.

3. Financial Responsibility Laws
a. When this policy is certified as proof of
financial responsibility for the future under
the provisions of any motor vehicle
financial responsibility law, the insurance
provided by the policy for " bodily injury"
liability and " property damage" liability will
comply with the provisions of the law to
the extent of the coverage and limits of
insurance required by that law.
b. With respect to " mobile equipment" to
which this insurance applies, we will
provide any liability, uninsured motorists,
underinsured motorists, no -fault or other
coverage required by any motor vehicle
law. We will provide the required limits for
those coverages.

4. Legal Action Against Us
No person or organization has a right under
this Coverage Form:
a. To join us as a party or otherwise bring us
into a " suit" asking for damages from an
insured; or
b. To sue us on this Coverage Form unless
all of its terms have been fully complied
with.

A person or organization may sue us to recover
on an agreed settlement or on a final judgment
against an insured; but we will not be liable for
damages that are not payable under the terms of
this insurance or that are in excess of the
applicable limit of insurance. An agreed
settlement means a settlement and release of
liability signed by us, the insured and the
claimant or the claimant' s legal representative.

5. Separation Of Insureds
Except with respect to the Limits of Insurance,
and any rights or duties specifically assigned
in this policy to the first Named Insured, this
insurance applies:
a. As if each Named Insured were the only
Named Insured; and
b. Separately to each insured against whom
a claim is made or " suit" is brought.

6. Representations
a. When You Accept This Policy
By accepting this policy, you agree:
1) The statements in the Declarations
are accurate and complete;
2) Those statements are based upon
representations you made to us; and
3) We have issued this policy in reliance
upon your representations.
b. Unintentional Failure To Disclose
Hazards
If unintentionally you should fail to disclose
all hazards relating to the conduct of your
business at the inception date of this
Coverage Part, we shall not deny any
coverage under this Coverage Part
because of such failure.

7. Other Insurance
If other valid and collectible insurance is
available for a loss we cover under this
Coverage Part, our obligations are limited as
follows:
a. Primary Insurance
This insurance is primary except when b.
below applies. If other insurance is also
primary, we will share with all that other
insurance by the method described in c.
below.
b. Excess Insurance
This insurance is excess over any of the
other insurance, whether primary, excess,
contingent or on any other basis:
1) Your Work
That is Fire, Extended Coverage,
Builder' s Risk, Installation Risk or
similar coverage for " your work ";
2) Premises Rented To You
That is fire, lightning or explosion
insurance for premises rented to you
or temporarily occupied by you with
permission of the owner;
3) Tenant Liability
That is insurance purchased by you to
cover your liability as a tenant for
property damage" to premises rented
to you or temporarily occupied by you
with permission of the owner;
4) Aircraft, Auto Or Watercraft
If the loss arises out of the maintenance
or use of aircraft, "autos" or watercraft to
the extent not subject to Exclusion g. of
Section A. — Coverages.
5) Property Damage To Borrowed
Equipment Or Use Of Elevators
If the loss arises out of " property
damage" to borrowed equipment or
the use of elevators to the extent not
subject to Exclusion k. of Section A. —
Coverages.

Page 16 of 24 ends

Agenda Item No. 7.5 Agenda Page No. 153 of 279
72SBAZB7916
6) When You Are Added As An
Additional Insured To Other
Insurance
That is other insurance available to
you covering liability for damages
arising out of the premises or
operations, or products and completed
operations, for which you have been
added as an additional insured by that
insurance; or
7) When You Add Others As An
Additional Insured To This
Insurance
That is other insurance available to an
additional insured.

However, the following provisions
apply to other insurance available to
any person or organization who is an
additional insured under this Coverage
Part:
a) Primary Insurance When
Required By Contract
This insurance is primary if you
have agreed in a written contract,
written agreement or permit that
this insurance be primary. If other
insurance is also primary, we will
share with all that other insurance
by the method described in c.
below.
b) Primary And Non - Contributory
To Other Insurance When
Required By Contract
If you have agreed in a written
contract, written agreement or
permit that this insurance is
primary and non - contributory with
the additional insured' s own
insurance, this insurance is
primary and we will not seek
contribution from that other
insurance.

Paragraphs ( a) and ( b) do not apply to
other insurance to which the additional
insured has been added as an
additional insured.

When this insurance is excess, we will
have no duty under this Coverage Part to
defend the insured against any " suit" if any
other insurer has a duty to defend the
insured against that " suit ". If no other
insurer defends, we will undertake to do
so, but we will be entitled to the insured' s
rights against all those other insurers.

BUSINESS LIABILITY COVERAGE FORM
When this insurance is excess over other
insurance, we will pay only our share of
the amount of the loss, if any, that
exceeds the sum of:
1) The total amount that all such other
insurance would pay for the loss in the
absence of this insurance; and
2) The total of all deductible and self -
insured amounts under all that other
insurance.

We will share the remaining loss, if any, with
any other insurance that is not described in
this Excess Insurance provision and was not
bought specifically to apply in excess of the
Limits of Insurance shown in the
Declarations of this Coverage Part.
c. Method Of Sharing
If all the other insurance permits
contribution by equal shares, we will follow
this method also. Under this approach,
each insurer contributes equal amounts
until it has paid its applicable limit of
insurance or none of the loss remains,
whichever comes first.

If any of the other insurance does not permit
contribution by equal shares, we will
contribute by limits. Under this method, each
insurer' s share is based on the ratio of its
applicable limit of insurance to the total
applicable limits of insurance of all insurers.

8. Transfer Of Rights Of Recovery Against
Others To Us
a. Transfer Of Rights Of Recovery
If the insured has rights to recover all or
part of any payment, including
Supplementary Payments, we have made
under this Coverage Part, those rights are
transferred to us. The insured must do
nothing after loss to impair them. At our
request, the insured will bring " suit" or
transfer those rights to us and help us
enforce them. This condition does not
apply to Medical Expenses Coverage.
b. Waiver Of Rights Of Recovery ( Waiver
Of Subrogation)
If the insured has waived any rights of
recovery against any person or
organization for all or part of any payment,
including Supplementary Payments, we
have made under this Coverage Part, we
also waive that right, provided the insured
waived their rights of recovery against
such person or organization in a contract,
agreement or permit that was executed
prior to the injury or damage.

Form SS 00 08 04 05 Page 17 of 24
Agenda Item No. 7.5 Agenda Page No. 154 of 279

IMPORTANT
If the certificate holder is an ADDITIONAL INSURED, the policy( ies) must be endorsed. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).

If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).

DISCLAIMER
This Certificate of Insurance does not constitute a contract between the issuing insurer( s), authorized representative or producer, and the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon.

ACORD 25 (2009101)
INS025 poogoi)
Agenda Item No. 7.5 Agenda Page No. 155 of 279
WiRTTHE
FORD
Select Customer Insurance Center
3600 WISEMAN BLVD.

SAN ANTONIO TX 78251
Policyholder, please call us at: ( 866) 467 - 8730
Ln
Agent, please call us at: ( 800) 447 - 7649
r
rn

INSURANCE ENDORSEMENT
tf

ATTACHED
N
PLEASE REVIEW THE CHANGE * **
0 0
0 Enclosed is an endorsement for your business insurance policy. Please review it at your convenience. If you have questions or need to make further changes:

Policyholder, please call us at: ( 866) 467 - 8730
Agent, please call us at: ( 8 0 0) 4 4 7 - 7 6 4 9 between 7 A. M - and 7 P. M. CENTRAL TIME.

The premium billing will be mailed to you separately. You can expect to receive it soon.

Thank you for allowing us to service your business needs.

ALANDALE INSURANCE AGENCY / PHS

THE HARTFORD SELECT CUSTOMER INSURANCE CENTER
The Hartford Insurance Group
Hartford Fire Insurance Company and its Affiliates
Hartford Plaza, Hartford, Connecticut 06115
Agenda Item No. 7.5 Agenda Page No. 156 of 279
l ,
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

POLICY CHANGE
FAOIW
This endorsement changes the policy effective on the Inception Date of the policy unless another date is indicated below:

C) Policy Number: 72 SBA ZB7916 DX COPY
o
Named Insured and Mailing Address; INFO SEND, INC. CMCS, INC. rn
c 4240 E LA PALMA AVE
0 o ANAHEIM CA 92807
m
rn Policy Change Effective Date: 03/ 01/ 12 Effective hour is the same as stated in the N Declarations Page of the Policy.

C
Policy Change Number: 001
Agent Name: ALANDALE INSURANCE AGENCY / PHS
Code: 181902
POLICY CHANGES:

SENTINEL INSURANCE COMPANY, LIMITED

ANY CHANGES IN YOUR PREMIUM WILL BE REFLECTED IN YOUR NEXT BILLING STATEMENT. IF YOU ARE ENROLLED IN REPETITIVE EFT DRAWS FROM YOUR BANK ACCOUNT, CHANGES IN PREMIUM WILL CHANGE FUTURE DRAW AMOUNTS.

THIS IS NOT A BILL.

NO PREMIUM DUE AS OF POLICY CHANGE EFFECTIVE DATE
FORM NUMBERS OF ENDORSEMENTS REVISED AT ENDORSEMENT ISSUE:

IH12001185 ADDITIONAL INSURED - PERSON - ORGANIZATION
PRO RATA FACTOR: 0. 986
THIS ENDORSEMENT DOES NOT CHANGE THE POLICY EXCEPT AS SHOWN.

Form SS 12 11 04 05 T Page o o 1
Process Date: 03/ 07/ 12 Policy Effective Date:
02/ 24/ 12
Policy Expiration Date: 02/ 24/ 13

UW COPY
Agenda Item No. 7.5 Agenda Page No. 157 of 279
POLICY NUMBER: 72 SBA ZB7916
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

ADDITIONAL INSURED - PERSON - ORGANIZATION

THE CORONA DEPARTMENT OF WATER AND POWER
755 CORPORATION YARDWAY
CORONA, CA 92880

THE CITY OF ORANGE
300 EAST CHAPMAN AVE.

ORANGE, CA 92866

THE CITY OF EL SEGUNDO
CITY CLERK ATTN: BUSINESS SERVICES DIVISION
350 MAIN ST. ROOM # 5
EL SUGUNDO CA 90245

THE CITY OF EL CAJON, ITS ELECTED AND APPOINTED OFFICIALS, OFFICERS,

EMPLOYEES, AND VOLUNTEERS
ATTN: PURCHASING DIVISION
200 CIVIC CENTER WAY
EL CAJON, CA 92020

CITY OF GILROY& ITS OFFICERS, OFFICIALS AND EMPLOYEES
7351 ROSANNA ST.

GILROY, CA 95020
Form IH 12 00 11 85 T SEQ. NO. 001 Printed in U. S. A. Page 001 Process Date: 03/ 07/ 12 Expiration Date: 02/ 24/ 13

UW COPY
Agenda Item No. 7.5 Agenda Page No. 158 of 279
A V
CERTIFICATE OF LIABILITY INSURANCE 2i 5i2o1n3 '
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS

CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER( S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.

IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy( ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terns and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement( s).

PRODUCER
Alandale Insurance Agency
11022 Winners Circle, Ste. 100
LOS Alamitos CA 90720
CONTACT MarshallNAME: StacycY
PHONE ( 562) 493 - 3521
FAX . (
562) 430- 5300
EMAIL .
stacy @alandale. com
INSURERS AFFORDING COVERAGE NAIC #
INSURERA: Sentinel Insurance Company LTD 11000

INSURED
INFO SEND, INC.
4240 E LA PALMA AVE
ANAHEIM CA 92807
INSURERB: Hartford Insurance Co. 00914
INSURERC: Landmark American Insurance Co 33138
INSURER D:

INSURER E:
1, 000, 000
INSURER F:

X COMMERCIAL GENERAL LIABILITY

CLAIMS - MADE FX OCCUR
COVERAGES CERTIFICATE NUMBERktaster 13 - 14 REVISION NUMBER:

THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS

CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.

INSRLTR TYPE OF INSURANCE
A D B
POLICY NUMBER IFW088

EFF POLICY
LIMITS
GENERAL LIABILITY EACH OCCURRENCE 1, 000, 000
A

X COMMERCIAL GENERAL LIABILITY
CLAIMS - MADE FX OCCUR X 72SBAZB7916 24/ 2013 24/ 2014

DAMAGE TO RENTED
PREMISES Ea occurrence 1, 000, 000
MED EXP (Any one person) 10, 000
PERSONAL & ADV INJURY 1, 000, 000
GENERAL AGGREGATE 2, 000, 000
GENT AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP / OP AGG 2, 000, 000

X POLICY
PROLOC I

AUTOMOBILE LIABILITY

COMBINED SINGLE LIMIT
a accident 1, 000, 000
BODILY INJURY ( Per person)
P'

ANY AUTO

ALL OWNED SCHEDULED

AUTOS X AUTOS X
72UECPE3966 18/ 2013 18/ 2014 BODILY INJURY ( Per accident) X
PROPERTY DAMAGE OWNEDHIREDAUTOSAUTOS accidentXNON - Per Medical payments 5, 000

X UMBRELLA LIAB OCCUR X
EACH OCCURRENCE 5, 000, 000
000AEXCESSLIARCLAIMS - MADE AGGREGATE 5, 000,
DED I I RETENTION$
2SBAZB7916 24/ 2013 24/ 2014
B

WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY
Y / N

ANY PROPRIETOR/ PARTNER/ EXECUTIVE
OFFICER/ MEMBEREXCLUDED?
Mandatory in NH)
N/ A
2wECLU6992 1/ 2013 1/ 2014
X WC STATU- OTHE. L. EACH ACCIDENT 1, 000, 000
E. L. DISEASE - EA EMPLOYE9 1, 000, 000
If yes, describe under
DESCRIPTION OF OPERATIONS below E. L. DISEASE - POLICY LIMIT 1 $ 1, 000, 00 A Employee Dishonesty 72SBAZB7916 24/ 2013 24/ 2014 Limit $ 25, 000 C Errors & Omissions LCY819845 12/ 1/ 2012 12/ 1/ 2013 Limit/ Ded$ 5, 000 $ 1, 000, 000 DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES ( Attach ACORD 101, Additional Remarks Schedule, If more space Is required) City of Gilroy and its officers, officials and employees are named as additional insured as their interest may appear and coverage is primary / non contributory when required by contract per attached end.

SS0008. * 10 days notice of cancellation for nonpayment of premium

CERTIFICATE HOLDER CANCFI I ATIAN
ACORD 25 ( 2010/ 05)
INS025 ( 201005). 01
1988 - 2010 ACORD CORPORATION. All rights reserved.

The ACORD name and logo are registered marks of ACORD

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Gilroy
ACCORDANCE WITH THE POLICY PROVISIONS.
7351 Rosanna Street
REPRESENTATIVEGilroy, AUTHORIZED
CA 95020
Stacy Marshall / STACYM`
ACORD 25 ( 2010/ 05)
INS025 ( 201005). 01
1988 - 2010 ACORD CORPORATION. All rights reserved.

The ACORD name and logo are registered marks of ACORD
Agenda Item No. 7.5 Agenda Page No. 159 of 279
72SBAZB7916

BUSINESS LIABILITY COVERAGE FORM
This Paragraph f. applies separately to
you and any additional insured.

7. Other Insurance
If other valid and collectible insurance is
available for a loss we cover under this
Coverage Part, our obligations are limited as
follows:
a. Primary Insurance
This insurance is primary except when b.
below applies. If other insurance is also
primary, we will share with all that other
insurance by the method described in c.
below.
b. Excess Insurance
This insurance is excess over any of the
other insurance, whether primary, excess,
contingent or on any other basis:
1) Your Work
I hat is Fire, Extended Coverage,
Builder' s Risk, Installation Risk or
similar coverage for " your work';
2) Premises Rented To You
That is fire, lightning or explosion
insurance for premises rented to you
or temporarily occupied by you with
permission of the owner;
3) Tenant Liability
That is insurance purchased by you to
cover your liability as a tenant for
property damage" to premises rented
to you or temporarily occupied by you
with permission of the owner;
4) Aircraft, Auto Or Watercraft
If the loss arises out of the maintenance
or use of aircraft, " autos" or watercraft to
the extent not subject to Exclusion g. of
Section A. — Coverages.
5) Property Damage To Borrowed
Equipment Or Use Of Elevators
If the loss arises out of " property
damage" to borrowed equipment or
the use of elevators to the extent not
subject to Exclusion k. of Section A. —
Coverages.

Page 16 of 24 ends

Agenda Item No. 7.5 Agenda Page No. 160 of 279
72SBAZB7916
6) When You Are Added As An
Additional Insured To Other
Insurance
That is other insurance available to
you covering liability for damages
arising out of the premises or
operations, or products and completed
operations, for which you have been
added as an additional insured by that
insurance; or
7) When You Add Others As An
Additional Insured To This
Insurance
That is other insurance available to an
additional insured.

Paragraphs ( a) and ( b) do not apply to
other insurance to which the additional
insured has been added as an
additional insured.

When this insurance is excess, we will
have no duty under this Coverage Part to
defend the insured against any "suit" if any
other insurer has a duty to defend the
insured against that " suit ". If no other
insurer defends, we will undertake to do
so, but we will be entitled to the insured' s
rights against all those other insurers.

Form SS 00 08 04 05 Page 17 of 24
Agenda Item No. 7.5 Agenda Page No. 161 of 279
72SBAZB7916

BUSINESS LIABILITY COVERAGE FORM
This insurance does not apply to structural The limits of insurance that apply to additional alterations, new construction and demolition insureds are described in Section D. — Limits Of operations performed by or for that person or Insurance. organization.

How this insurance applies when other insurance

9. Additional Insured — Owners, Lessees Or is available to an additional insured is described in Contractors — Scheduled Person Or the Other Insurance Condition in Section E. — Organization Liability And Medical Expenses General
a. WHO IS AN INSURED under Section C. is Conditions.
amended to include as an additional G. LIABILITY AND MEDICAL EXPENSES insured the person( s) or organization( s)

DEFINITIONS
shown in the Declarations as an Additional
Insured — Owner, Lessees Or Contractors, I. " Advertisement" means the widespread public but only with respect to liability for " bodily dissemination of information or images that injury", " property damage" or " personal has the purpose of inducing the sale of goods, and advertising injury" caused, in whole or
products or services through:
in part, by your acts or omissions or the a. ( 1) Radio; acts or omissions of those acting on your 2) Television; behalf:
3) Billboard;
1) In the performance of your ongoing 4) Magazine;
operations for the additional
insured( s); or
5 aONewspaper; per;
2) In connection with " your work"
b. The Internet, but only that part of a web
performed for that additional insured site that is about goods, products or and included within the " products- services for the purposes of inducing the completed operations hazard ", but sale of goods, products or services; or only if this Coverage Part provides c. Any other publication that is given coverage for " bodily injury" or widespread public distribution. property damage" included within the However, " advertisement" does not include:
products- completed operations
hazard ".
a. The design, printed material, information
or images contained in, on or upon the
b. With respect to the insurance afforded to
ortheseadditionalinsureds, packaging or labeling of any goodsthis insurance products; or
does not apply to " bodily injury", " property
damage" or " personal an advertising
b. An interactive conversation between or
injury" arising out of the rendering of, or
among persons through a computer network.
the failure to render, any professional 2. " Advertising idea" means any idea for an architectural, engineering or surveying advertisement ". services, including: 3. " Asbestos hazard" means an exposure or 1) The preparing, approving, or failure to threat of exposure to the actual or alleged prepare or approve, maps, shop properties of asbestos and includes the mere drawings, opinions, reports, surveys, presence of asbestos in any form. field orders, change orders, designs or 4. " Auto" means a land motor vehicle, trailer or drawings and specifications; or semi - trailer designed for travel on public 2) Supervisory, inspection, architectural roads, including any attached machinery or or engineering activities. equipment. But " auto" does not include

10. Additional Insured — Co -Owner Of Insured
mobile equipment ".

Premises 5. " Bodily injury" means physical:

WHO IS AN INSURED under Section C. is a. Injury;
amended to include as an additional insured b. Sickness; or the person( s) or Organization( s) shown in the
c. DiseaseDeclarationsasanAdditionalInsured — CoOwner Of Insured Premises, but only with sustained by a person and, if arising out of the respect to their liability as co -owner of the above, mental anguish or death at any time. premises shown in the Declarations. 6. " Coverage territory" means:

Page 20 of 24 ends

Agenda Item No. 7.5 Agenda Page No. 162 of 279
ACORD® CERTIFICATE OF LIABILITY INSURANCE

DATE( MM /DD/ YY Y)
2/ 29/ 2012
PRODUCER ( 562) 493 - 3521 FAX: ( 562) 430 - 5300 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION Alandale Insurance Agency
ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE OR111022WinnersCircle, HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND Ste. 100 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.

Los Alamitos CA 90720 INSURERS AFFORDING COVERAGE I NAIC # INSURED INSURER A: Sentinel Insurance Company 11000
INFO SEND, INC. INSURER B: Hartford Underwriters Ins Co 30104 4240 E LA PALMA AVE INSURER c: Twin City Fire Ins Co i002235 INSURER D:

ANAHEIM CA 92807 INSURER E:
r_nVFRAr:FS
THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING

ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR

MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.

INSRLTR DDTNSRD TYPE OF INSURANCE POLICY NUMBER

POLICY EFFECTIVE

ATE MM /DDIYY

POLICY EXPIRATION

DA TE ( MMIDDIYYYYI LIMITS
GENERAL LIABILITY EACH OCCUR_ RENCE 1, 000, 000

X COMMERCIAL GENERAL LIABILITY

DAMAGE TO RENTED
PREMISES Ea occurrence 1 000 000
A
I CLAIMS MADE Fx_] OCCUR 72SBAZB7916 2/ 24/ 2012 2/ 24/ 2013 MED EXP ( Any one person) 10, 000.

PERSONAL & ADV INJURY 1, 000, 000
GENERAL AGGREGATE 2, 000, 000
GEN' L AGGREGATE LIMIT APPLIES PER PRODUCTS - COMP /OP AGG 2, 000, 000 X1 POLICY
PRO
LOC

AUTOMOBILE LIABILITY

ANY AUTO

COMBINED SINGLE LIMIT
Ea accident) 1, 000, 000

BODILY INJURY
Per person)
B
X

ALL OWNED AUTOS

SCHEDULED AUTOS
72UECPE3966 2/ 18/ 2012 2/ 18/ 2013

BODILY INJURY
Per accident)
X
X

HIRED AUTOS

NON -OWNED AUTOS

PROPERTY DAMAGE
Per accident)

GARAGE LIABILITY AUTO ONLY - EA ACCIDENT

OTHER THAN

ACCANYAUTOEA

AUTO ONLY
AGG
EXCESS / UMBRELLA LIABILITY EACH OCCURRENCE 5, 000, 000 X OCCUR CLAIMS MADE AGGREGATE 5 000 000
A DEDUCTIBLE 72SHAZB7916 2/ 24/ 2012 2/ 24/ 2013
X RETENTION $ 10, 000

C WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY
YIN
X WC STATU- OTHTORY LIMITS ER
000ANYPROPRIETORIPARTNER/ E. L. EACH ACCIDENT 1, 000, EXECUTIVE OFFICER/ MEMBER EXCLUDED?
Mandatory in NH) 72WECLU6992 2/ 1/ 2012 2/ 1/ 2013 E. L. DISEASE - EA EMPLOYE 1, 000, 000 If yes, describe under
SPECIAL PROVISIONS below E. L. DISEASE - POLICY LIMIT 1 1, 000, 000 OTHER
DESCRIPTION OF OPERATIONS I LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT 1 SPECIAL PROVISIONS Certificate holder and its officers, officials and employees are named as additional insured as their interest may appear and coverage is primary / non contributory when required by contract per attached end. # SS0008. * 10 days notice of cancellation for nonpayment of premium
I.CKI lrll.A I r7VLUtK L: ANL: tLLA I IUN

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION City of Gilroy DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL * 30 DAYS WRITTEN 7351 Rosanna Street

NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL Gilroy, CA 95020

IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR

AUTHORIZED REPRESENTATIVE
Stacy Marshall / STACYM
ACORD 25 ( 2009101) ( D 1988 -2009 ACORD CORPORATION. All rights reserved.

INS026 poosot)
The ACORD name and logo are registered marks of ACORD
Agenda Item No. 7.5 Agenda Page No. 163 of 279
72SBAZB7916

BUSINESS LIABILITY COVERAGE FORM
This insurance does not apply to structural
alterations, new construction and demolition
operations performed by or for that person or
organization.

9. Additional Insured — Owners, Lessees Or
Contractors — Scheduled Person Or
Organization
a. WHO IS AN INSURED under Section C. is
amended to include as an additional
insured the person( s) or organization( s)
shown in the Declarations as an Additional
Insured — Owner, Lessees Or Contractors,
but only with respect to liability for " bodily
injury", " property damage" or " personal
and advertising injury" caused, in whole or
in part, by your acts or omissions or the
acts or omissions of those acting on your
behalf:
1) In the performance of your ongoing
operations for the additional
insured( s); or
2) In connection with " your work"
performed for that additional insured
and included within the " products -
completed operations hazard ", but
only if this Coverage Part provides
coverage for " bodily injury" or
property damage" included within the
products- completed operations
hazard ".
b. With respect to the insurance afforded to
these additional insureds, this insurance
does not apply to " bodily injury", " property
damage" or " personal an advertising
injury" arising out of the rendering of, or
the failure to render, any professional
architectural, engineering or surveying
services, including:
1) The preparing, approving, or failure to
prepare or approve, maps, shop
drawings, opinions, reports, surveys,
field orders, change orders, designs or
drawings and specifications; or
2) Supervisory, inspection, architectural
or engineering activities.

10. Additional Insured — Co -Owner Of Insured
Premises
WHO IS AN INSURED under Section C. is
amended to include as an additional insured
the person( s) or Organization( s) shown in the
Declarations as an Additional Insured — CoOwner Of Insured Premises, but only with respect to their liability as co -owner of the
premises shown in the Declarations.

Page 20 of 24 ends

The limits of insurance that apply to additional
insureds are described in Section D. — Limits Of
Insurance.

How this insurance applies when other insurance
is available to an additional insured is described in
the Other Insurance Condition in Section E. —
Liability And Medical Expenses General
Conditions.

G. LIABILITY AND MEDICAL EXPENSES

DEFINITIONS

1. " Advertisement" means the widespread public
dissemination of information or images that
has the purpose of inducing the sale of goods,
products or services through:
a. ( 1) Radio;
2) Television;
3) Billboard;
4) Magazine;
5) Newspaper;
b. The Internet, but only that part of a web
site that is about goods, products or
services for the purposes of inducing the
sale of goods, products or services; or
c. Any other publication that is given
widespread public distribution.

However. " advertisement' does not include:
a. The design, printed material, information
or images contained in, on or upon the
packaging or labeling of any goods or
products; or
b. An interactive conversation between or
among persons through a computer network.

2. " Advertising idea" means any idea for an
advertisement".

3. " Asbestos hazard" means an exposure or
threat of exposure to the actual or alleged
properties of asbestos and includes the mere
presence of asbestos in any form.

4. " Auto" means a land motor vehicle, trailer or
semi - trailer designed for travel on public
roads, including any attached machinery or
equipment. But " auto" does not include
mobile equipment'.

5. ' Bodily injury" means physical:
a. Inju ry;
b. Sickness; or
c. Disease
sustained by a person and, if arising out of the
above, mental anguish or death at any time.

6. " Coverage territory" means:

Form SS 00 08 04 05
Agenda Item No. 7.5 Agenda Page No. 164 of 279
72S BAZB7916

BUSINESS LIABILITY COVERAGE FORM
This Paragraph f. applies separately to
you and any additional insured.

7. Other Insurance
If other valid and collectible insurance is
available for a loss we cover under this
Coverage Part, our obligations are limited as
follows:
a. Primary Insurance
This insurance is primary except when b.
below applies. If other insurance is also
primary, we will share with all that other
insurance by the method described in c.
below.
b. Excess Insurance
This insurance is excess over any of the
other insurance, whether primary, excess,
contingent or on any other basis:
1) Your Work
hat is I- ire, Extended Coverage,
Builder' s Risk, Installation Risk or
similar coverage for " your work ";
2) Premises Rented To You
That is fire, lightning or explosion
insurance for premises rented to you
or temporarily occupied by you with
permission of the owner;
3) Tenant Liability
That is insurance purchased by you to
cover your liability as a tenant for
property damage" to premises rented
to you or temporarily occupied by you
with permission of the owner;
4) Aircraft, Auto Or Watercraft
If the loss arises out of the maintenance
or use of aircraft, "autos" or watercraft to
the extent not subject to Exclusion g. of
Section A. — Coverages.
5) Property Damage To Borrowed
Equipment Or Use Of Elevators
If the loss arises out of " property
damage" to borrowed equipment or
the use of elevators to the extent not
subject to Exclusion k. of Section A. —
Coverages.

Page 16 of 24 ends

Agenda Item No. 7.5 Agenda Page No. 165 of 279
72SBAZB7916
6) When You Are Added As An
Additional Insured To Other
Insurance
That is other insurance available to
you covering liability for damages
arising out of the premises or
operations, or products and completed
operations, for which you have been
added as an additional insured by that
insurance; or
7) When You Add Others As An
Additional Insured To This
Insurance
That is other insurance available to an
additional insured.

Paragraphs ( a) and ( b) do not apply to
other insurance to which the additional
insured has been added as an
additional insured.

When this insurance is excess, we will
have no duty under this Coverage Part to
defend the insured against any "suit" if any
other insurer has a duty to defend the
insured against that " suit ". If no other
insurer defends, we will undertake to do
so, but we will be entitled to the insured' s
rights against all those other insurers.

Form SS 00 08 04 05 Page 17 of 24
Agenda Item No. 7.5 Agenda Page No. 166 of 279

DISCLAIMER
This Certificate of Insurance does not constitute a contract between the issuing insurer(s), authorized representative or producer, and the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon.

ACORD 25 ( 2009/ 01)
INS025 ( zooso»
Agenda Item No. 7.5 Agenda Page No. 167 of 279
aco

CERTIFICATE OF LIABILITY INSURANCE
F7TE /
29 /
DD/
YY22/ 29/ 2012
PRODUCER ( 562) 493 - 3521 FAX: ( 562) 430 -5300 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION Alandale Insurance Agency

ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
11022 Winners Circle, Ste. 100 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.

Los Alamitos CA 90720 INSURERS AFFORDING COVERAGE NAIC # INSURED INSURER A Sentinel Insurance Company 11000
INFO SEND, INC. INSURER B: Hartford . Underwriters Ins Co 30104 4240 E LA PALMA AVE INSURER C: Twin City Fire Ins Co oo223s 33138I INSURER D: Landmark American Ins. Co
JANAHEIMi CA 92807 1INSURERE:

CAVFRArFR
THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING

ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR

MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OFSUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.

INS R
LTR
DD'

INSRD TYPE OF INSURANCE POLICY NUMBER

POLICY EFFECTIVE POLICY EXPIRATION
LIMITS
GENERAL LIABILITY EACH OCCURRENCE 1, 000, 000
A X

X COMMERCIAL GENERAL LIABILITY
CLAIMS MADE 1XI OCCUR 72SBAZB7916 2/ 24/ 2012 2/ 24/ 2013

DAMAGE ( RENTED
PREMISESS Ea occurrence 1, 000, 000
MED EXP ( Anyone person) 10 000
PERSONAL & ADV INJURY 1 000 000
GENERAL AGGREGATE_ 21000, 000
GE ML AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP / OP AGG 2, 000, 000

X POLICY
PRO
LOC

AUTOMOBILE LIABILITY

ANY AUTO

COMBINED SINGLE LIMIT
Ea accident) 1, 000, 000
B X 2013I ALL OWNED AUTOS 72UECPE3966 2/ 18/ 2012 2/ 18/

BODILY INJURY
X SCHEDULED AUTOS Per person)
X

BODILY INJURY
Per accident)
1$

HIRED AUTOS

AUTOSX NON - OWNED

PROPERTY DAMAGE
Per accident)

GARAGE LIABILITY AUTO ONLY - EA ACCIDENT

OTHER THAN

ACCANYAUTO EA
AUTO ONLY:

AGG

EXCESS I UMBRELLA LIABILITY
41 OCCUR 1: 1 CLAIMS MADE
EACH OCCURRENCE 5, 000, 000
AGGREGATE 5, 000, 000
A DEDUCTIBLE 72SBAZB7916 2/ 24/ 2012 2/ 24/ 2013
X RETENTION $ 10, 000

C WORKERS COMPENSATION
AND EMPLOYERS' LtABILITY
YIN

ANY PROPRIETOR / PARTNER / EXECUTIVE
OFFICER / MEMBER EXCLUDED?
MandatoryinNH)
If yes, describe under
j
72WECLU6992 2/ 1/ 2012 2/ 1/ 2013
X WC STATU- OTHTORY_LIh1ITS _ 1_ EA
E. L. L - - -- EACH ACCIDENT _ 1., 000 000
iE. L. DISEASE - EAEMPLOYE 1 000 000
000SPECIALPROVISIONSbelow E. L. DISEASE - POLICY LIMIT 1, 000, A OTHEREmployee Dishonesty 72SBAZB7916 2/ 24/ 2012 2/ 24/ 2013 Limit $ 25, 000 D Errors & Omissions CY819845 12/ 1/ 2012 12/ 1/ 2013 Limit $ 1, 000, 000 5, 000

DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS City of Gilroy and its officers, officials and employees are named as additional insured as their interest may appear and coverage is primary / non contributory when required by contract per attached end. # SS0008. * 10 days notice of cancellation for nonpayment of premium
vcnru
r
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL * 30 DAYS WRITTEN

NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL

IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR

AUTHORIZED REPRESENTATIVE
Stacy Marshall / STACYM
Hwrcu ca ( cuua/ U1l Cc 1988 -2009 ACORD CORPORATION. All rights reserved.

INS026( 200901)
The ACORD name and logo are registered marks of ACORD
Agenda Item No. 7.5 Agenda Page No. 168 of 279

ACORD 25 ( 2009/ 01)
INS025 ( 200901)
Agenda Item No. 7.5 Agenda Page No. 169 of 279
ACORO® CERTIFICATE OF LIABILITY INSURANCE
DATE ( MMlDD /YYYY)
2/ 15/ 2013
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS

IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy( ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement( s).

PRODUCER
Alandale Insurance Agency
11022 Winners Circle, Ste. 100
Los Alamitos CA 90720
CONTACT MarshallNAME: Stacyy
PHONE ( 562) 493 - 3521 FAIC No: ( 562) 430 - 5300
FbMAR"LSS: Stacy@alandale. com
INSURERS AFFORDING COVERAGE NAIC #
INSURER A: Sentinel Insurance Company LTD 11000

INSURED
INFO SEND, INC.
4240 E LA PALMA AVE
ANAHEIM CA 92807
INSURERB: TW1n City Fire Ins. Co 29459
INSURERC: Landmark American Insurance Cc 33138
INSURER D:

INSURER E
1, 000, 000
INSURER F:

X COMMERCIAL GENERAL LIABILITY
CLAIMS - MADE Fx1 OCCUR
COVERAGES CERTIFICATE NUMBER:Master 13 - 14 REVISION NUMBER:

THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS

CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,

EXCLUSIONS AND CONDITIONS OF SUCH POLICIES LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS,

INSRLTR TYPE OF INSURANCE

ADDL UBR

POLICY NUMBER

POLICY EFF

MM/ DD/ YYYY

POLICY EXP

MM / DD /YYYY LIMITS

GENERAL LIABILITY
EACH OCCURRENCE 1, 000, 000
A

X COMMERCIAL GENERAL LIABILITY
CLAIMS - MADE Fx1 OCCUR X 72SBAZB7916
24/ 2013 24/ 2014
DA

PREMISE SS

MAGE ( RENTED
E. occurrence ) 1, 000, 000
MED EXP (Any one person) 10, 000
PERSONAL & ADV INJURY 1, 000, 000
GENERAL AGGREGATE 2, 000, 000
GEN' L AGGREGATE LIMIT APPLIES PER PRODUCTS - COMP / OP AGG 2, 000, 000

X POLICY
PRO
LOC

AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT
Ea accident 1, 000, 000
BODILY INJURY ( Per person)
A

ANY AUTO

ALL OWNED X

SCHEDULEDAUTOSAUTOS X
72UECPE3966 18/ 2013 18/ 2014 BODILY INJURY ( Per accident)

X HIRED AUTOS X NON -OWNED
AUTOS

PROPERTY DAMAGE
Per accident
Medical payments 5, 000

X UMBRELLA LIAB

HCLAIMS- MADE

OCCUR X
EACH OCCURRENCE 5, 000, 000
000AEXCESSLIAB AGGREGATE 5, 000,
DED I I RETENTIONS 72SRAZB7916 24/ 2013 2 / 24/ 2014
B

WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY
Y / N

ANY PROPRIETOR /PARTNER /EXECUTIVE
OFFICERIMEMBER EXCLUDED? Y
Mandatory in NH)
N/ A
72WECLU6992 1/ 2013 1/ 2014
X WC STATU- OTHE L. EACH ACCIDENT 1, 000, 000
E . DISEASE - EA EMPLOYEE 1, 000, 000
If yes, describe under
DESCRIPTION OF OPERATIONS below E DISEASE - POLICY LIMIT 1, 000, 000 A Employee Dishonesty 72SBAZB7916 24/ 2013 24/ 2014 Limit $ 25, 000 C Errors & Omissions CY622602 12/ 1/ 2013 12/ 1/ 2014 Limit/ Ded$ 5,000 $ 2, 000, 000 DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES ( Attach ACORD 101, Additional Remarks Schedule, if more space is required) City of Gilroy and its officers, officials and employees are named as additional insured as their interest may appear and coverage is primary /non contributory when required by contract per attached end.

SS0008. * 10 days notice of cancellation for nonpayment of premium

CERTIFICATE HOLDER CANCELLATION
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
ACORD 25 ( 2010/05)
INS025 ( 201005) 01

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS.

AUTHORIZED REPRESENTATIVE
Stacy Marshall /STACYM
1988 -2010 ACORD CORPORATION. All rights reserved.

The ACORD name and logo are registered marks of ACORD
Agenda Item No. 7.5 Agenda Page No. 170 of 279

11.1.Introduction of an Ordinance Amending Chapters 17A and 24 of the Gilroy City Code in Compliance with the California Public Records Act (CPRA) Recodification Act (AB 473)

1. Staff Report:

2. Public Comment

3. Possible Action:

1. Motion to read the ordinance by title only and waive further reading of the ordinance; and

2. Introduce an ordinance amending Chapters 17A and 24 of the Gilroy City Code.

Agenda Item No. 11.1 Agenda Page No. 171 of 279

Page 1 of 3 ends

City of Gilroy

STAFF REPORT
Agenda Item Title: Introduction of an Ordinance Amending Chapters 17A and 24 of the Gilroy City Code in Compliance with the
California Public Records Act (CPRA) Recodification
Act (AB 473)
Meeting Date: November 6, 2023
From: Jimmy Forbis, City Administrator
Department: City Clerk
Submitted By: Thai Nam Pham, City Clerk
Prepared By: Thai Nam Pham, City Clerk
STRATEGIC PLAN GOALS Not Applicable

RECOMMENDATION

1. Motion to read the ordinance by title only and waive further reading of the ordinance; and

2. Introduce an ordinance amending Chapters 17A and 24 of the Gilroy City Code.

EXECUTIVE SUMMARY
This staff report presents an ordinance for City Council consideration and approval, aiming to bring Chapters 17A and 24 of the Gilroy City Code in line with recent legislative changes affecting the California Public Records Act (CPRA) by updating references to the CPRA codes.

BACKGROUND
The CPRA Recodification Act (AB 473), enacted by the California state legislature in 2021, led to a comprehensive renumbering and reorganization of the Public Records Act within a new Government Code division, starting at section 7920.0005.

Consequently, an essential step is required to ensure that the Gilroy City Code accurately reflects these new CPRA codes.

Agenda Item No. 11.1 Agenda Page No. 172 of 279
Introduction of an Ordinance Amending Chapters 17A and 24 of the Gilroy City Code in Compliance with the California Public Records Act (CPRA) Recodification Act (AB 473) City of Gilroy City Council Page 2 of 3 November 6, 2023

ANALYSIS
The proposed ordinance entails amendments to two chapters of the Gilroy City Code, specifically Chapters 17A and 24, in response to recent legislative changes concerning the California Public Records Act (CPRA).

Amendment to Chapter 17A, titled "Public Meetings and Public Records" This amendment primarily revolves around updating references within Chapter 17A to align with the newly reorganized CPRA codes. These changes, as outlined in detail in Exhibit 'A,' are essential to ensure the City's adherence to the CPRA in light of the legislative reconfiguration.

Amendment to Chapter 24, titled "Television Antennas"
Similar to Chapter 17A, Chapter 24 will undergo revisions to incorporate the updated CPRA references. The specific adjustments are explained in Exhibit 'B.' Incorporation of Future Changes
To safeguard continued compliance with evolving state laws, an important aspect of this ordinance is the inclusion of the phrase "or its successor" after references to CPRA codes in both Chapter 17A and Chapter 24. This forward-looking provision ensures that the City Code remains adaptable to future CPRA developments.

ALTERNATIVES
The proposed ordinance primarily involves ministerial changes necessitated by recent legislative modifications to the CPRA. Council could choose to not adopt the recommended changes; however, this would render Gilroy out of compliance with State law.

FISCAL IMPACT/FUNDING SOURCE
There are no immediate fiscal impacts associated with the adoption of the proposed ordinance. Any costs related to updates or publication will be absorbed within the existing budget.

PUBLIC OUTREACH
Public outreach efforts were conducted regarding the proposed amendment. The outreach activities included:

1. Publication in the Gilroy Dispatch: On October 27, 2023, the proposed amendment was published in the Gilroy Dispatch

2. City’s Website: The proposed amendment was also posted on the City’s official website, accessible to the general public.

Agenda Item No. 11.1 Agenda Page No. 173 of 279
Introduction of an Ordinance Amending Chapters 17A and 24 of the Gilroy City Code in Compliance with the California Public Records Act (CPRA) Recodification Act (AB 473) City of Gilroy City Council Page 3 of 3 November 6, 2023

NEXT STEPS
Should Council approve the introduction of the proposed ordinance, Council will need to adopt the ordinance at its regular meeting on November 20, 2023. Once adopted, staff will update the Gilroy City Code.

Attachments:

1. Proposed Ordinance

2. Exhibit 'A': Proposed amendment language for Chapter 17A

3. Exhibit 'B': Proposed amendment language for Chapter 24 Agenda Item No. 11.1 Agenda Page No. 174 of 279
ORDINANCE 2023-XX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
GILROY AMENDING CHAPTER 17A, PUBLIC MEETINGS
AND PUBLIC RECORDS, AND CHAPTER 24, TELEVISION

ANTENNAS, TO THE GILROY CITY CODE TO UPDATE

THE REFERENCED CALIFORNIA PUBLIC RECORDS ACT
WHEREAS, the California state legislature enacted the CPRA (California Public Records Act) Recodification Act (AB 473) in 2021, resulting in the renumbering and reorganization of the Public Records Act in a new Division 614 of the Government Code, starting at section 7920.0005; and
WHEREAS, the current Gilroy City Code references outdated Government Codes related to Public Information and Public Records due to the legislative changes; and WHEREAS, it is necessary to amend Chapters 17A and 24 of the Gilroy City Code to update the referenced California Public Records Act Code and ensure ongoing compliance with state laws.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF GILROY DOES HEREBY ORDAIN AS FOLLOWS:

SECTION I: Incorporation of Recitals
The foregoing recitals are true and correct and are incorporated herein by this reference.

SECTION II: Amendment to Chapter 17A
Chapter 17A, Public Meetings and Public Records, of the Gilroy City Code, shall be amended as provided in Exhibit ‘A’.

SECTION III: Amendment to Chapter 24
Chapter 24, Television Antennas, of the Gilroy City Code, shall be amended as provided as Exhibit ‘B’.

SECTION IV: Incorporation of Future Changes
For each referenced California Public Records Act Code in Chapters 17A and 24, the language "or its successor" shall be added after the reference.

SECTION V: Severability
If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council of the City of Gilroy hereby declares that it would have passed and adopted this ordinance and each section, subsection, sentence, clause, or phrase hereof, irrespective of the fact that any one or Agenda Item No. 11.1 Agenda Page No. 175 of 279
Ordinance No. 2023-XX
California Public Records Act Update
City Council Regular Meeting | ___ __, 2023

Page 2 of 2 ends

more sections, subsections, sentences, clauses or phrases may be declared invalid or unconstitutional.

SECTION VI: Effective Date
This Ordinance shall take effect thirty (30) days after its adoption. The City Clerk is hereby directed to publish this Ordinance or a summary thereof pursuant to Government Code Section 36933.

PASSED AND ADOPTED by the City Council of the City of Gilroy at a regular meeting duly held on the __ day of ___ 2023 by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED:

Marie Blankley, Mayor
ATTEST:
_______________________
Thai Nam Pham, City Clerk
Attachments:

1. Exhibit 'A': Proposed amendment language for Chapter 17A

2. Exhibit 'B': Proposed amendment language for Chapter 24 Agenda Item No. 11.1 Agenda Page No. 176 of 279
ARTICLE III. PUBLIC INFORMATION AND PUBLIC RECORDS
Agenda Item No. 11.1 Agenda Page No. 177 of 279
17A.19 Definitions.

Whenever in this chapter the following words or phrases are used, they shall mean:
“Public information” shall mean the content of public records as defined in the California Public Records Act (Government Code Section 62527920.000, or its successor), whether provided in documentary form or in an oral communication.
“Public information” shall not include computer software developed by the City of Gilroy as defined in the California Public Records Act (Government Code Section 6254.97922.585, or its successor). (Ord. No. 2008-11, 11- 17-08)
Agenda Item No. 11.1 Agenda Page No. 178 of 279
17A.20 Process for gaining access to public records—Administrative appeals. (a) Every department head who has custody of any public record or public information as defined herein or who manages, directly or indirectly, subordinate employees within that department that have custody of any public record or public information as defined herein, or that department head’s designated representative under section 17A.22(a) (hereinafter referred to as “a department head”) shall, at normal times and during normal and reasonable hours of operation, without unreasonable delay, and without requiring an appointment, permit the public record, or any segregable portion of a record, to be inspected and examined by any person and shall furnish one (1) copy thereof upon payment of a reasonable copying charge as may be set from time to time by the city council. (b) A department head shall, as soon as possible and within ten (10) calendar days following receipt of a request for inspection or copy of a public record, comply with such request unless the voluminous nature of the information requested, its location in a remote storage facility or the need to consult with legal counsel warrants an extension of ten (10) calendar days as provided in Government Code Section 6253(c)7922.535, or its successor. Such request may be delivered to the office of the department head by the requester orally or in writing by fax, postal delivery, or email. If the department head believes the record or information requested is not a public record or is exempt, the department head shall justify withholding any record by demonstrating, in writing, as soon as possible and within ten (10) calendar days following receipt of a request, or following the extension of ten (10) calendar days as provided in Government Code Section 6253(c)7922.535, or its successor, that the record in question is exempt under express provisions of this chapter.
(c) A department head shall assist a requester in identifying the existence, form, and nature of any records or information maintained by, available to, or in the custody of the department head, whether or not the contents of those records are exempt from disclosure, and shall, when requested to do so, provide in writing within ten (10) calendar days following receipt of a request a statement as to the existence, quantity, form and nature of records relating to a particular subject or questions with enough specificity to enable a requester to identify records in order to make a request under subsection (b) of this section. A department head, when not in possession of the record requested, shall assist a requester in directing a request to the proper office or staff person. (d) If the department head refuses, fails to comply, or incompletely complies with a request described in subsection (b) of this section, the person making the request may, within forty-five (45) calendar days of the department head’s response or the expiration of the department head’s period to respond if no response is provided, petition the city administrator in writing, and in the form required by the open government commission, for a determination whether the record requested is public. The city administrator shall inform the petitioner, as soon as possible and within thirty (30) calendar days of the petition, of the city administrator’s determination whether the record requested, or any part of the record requested, is public. Where requested by the petition, and where otherwise desirable, this determination shall be in writing. Upon the determination by the city administrator that the record is public, the city administrator shall immediately order the department head to comply with the person’s request. If the department head refuses or fails to comply with any such order within five (5) days, the city administrator shall notify the city attorney who shall take whatever measures deemed necessary and appropriate to ensure compliance with the provisions of this chapter.
(e) If a petition to the city administrator under subsection (d) of this section is denied or not acted upon by the city administrator, the person making the request may, within forty-five (45) calendar days of the city administrator’s denial or the expiration of the city administrator’s thirty (30) day period to act upon the petition, petition the open government commission for a determination whether the record requested is public. The open government commission shall inform the petitioner, as soon as possible and within two (2) days after its next meeting but in no case later than forty-five (45) days from when a petition in writing is received, of its determination whether the record requested, or any part of the record requested, is public. Where requested by the petition, and where otherwise desirable, this determination shall be in writing. Upon the determination that the record is public, the open government commission shall advise the city council as to whether the record should be public. The city council and the city attorney’s office shall provide sufficient resources to allow the open government commission to fulfill its duties under this provision. Where requested by the petition, the open government commission may conduct a public hearing concerning the records request denial. An authorized representative of the department head shall attend any hearing and explain the basis for its decision to withhold the record requested.

Agenda Item No. 11.1 Agenda Page No. 179 of 279
(f) The administrative remedy provided under this chapter shall in no way limit the availability of other administrative remedies provided to any person with respect to any officer or employee of any agency, executive office, department or task force; nor shall the administrative remedy provided by this section in any way limit the availability of judicial remedies otherwise available to any person requesting a public record. If a department head refuses or fails to comply with the request of any person for inspection or copy of a public record or with an administrative order under this section, the superior court of California shall retain jurisdiction to order compliance. (g) In any court proceeding pursuant to this chapter there shall be a presumption that the record sought is public, and the burden shall be upon the department head to prove with specificity the exemption which applies. (h) At least once a year, and as otherwise requested by the open government commission, the city administrator shall prepare a tally and report of every petition brought before it for access to records since the time of its last tally and report. The report shall at least identify for each petition the record or records sought, the department head of those records, the ruling of the city administrator, whether any ruling was overturned by a court and whether orders given to department heads of public records were followed. The report shall also summarize any court actions related to any petitions during that period. At the request of the open government commission, the report shall also include copies of all rulings made by the city administrator and all opinions issued. (i) The Gilroy city attorney’s office shall act to protect and secure the rights of the people of Gilroy to access public information and public meetings. The city attorney or its designee will monitor the handling of public records when any elected public official or the city administrator leaves office and moves materials from the office. All elected officials and the city administrator shall surrender all public records in their possession to the city attorney or its designee at the time of leaving office.
(j) Release of documentary public information, whether for inspection of the original or by providing a copy, shall be governed by the California Public Records Act (Government Code Section 6250 7920.000, or its successor, et seq.) to the extent not addressed by this chapter and in accordance with the enhanced disclosure requirements provided in this chapter.
(k) Inspection and copying of documentary public information stored in electronic form shall be made available to the person requesting the information in any form requested which is available to or easily generated by the department, its officers or employees, including disk, tape, printout or monitor at a charge no greater than the cost of the media on which it is duplicated. Inspection of documentary public information on a computer monitor need not be allowed where the information sought is necessarily and inseparably intertwined with information not subject to disclosure under this chapter. Nothing in this section shall require a department to program or reprogram a computer to respond to a request for information or to release information where the release of that information would violate a licensing agreement or copyright law.
(l) Repealed by Ord. 2014-03. (Ord. No. 2008-11, 11-17-08; Ord. No. 2014-03, § 1, 4-7-14; Ord. No. 2017-03, §§ 1, 2, 3-6-17)
Agenda Item No. 11.1 Agenda Page No. 180 of 279
17A.21 Policy regarding use of computer systems.

It is the policy of the city of Gilroy to utilize computer technology in order to reduce the cost of public records management, including the costs of collecting, maintaining, and disclosing records subject to disclosure to members of the public under this section. To the extent that it is technologically and economically feasible, departments that use computer systems to collect and store public records shall program and design such systems to ensure convenient, efficient, and economical public access to records and shall make public records easily accessible over public networks, including but not limited to the Internet. (Ord. No. 2008-11, 11-17-08) Agenda Item No. 11.1 Agenda Page No. 181 of 279
17A.22 Release of oral public information.

Release of oral public information shall be accomplished as follows:
(1) Every department head shall designate a person or persons knowledgeable about the affairs of the department to provide information, including oral information, to the public about the department’s operations, plans, policies and positions (referred to herein as “a department head”). The department head may designate himself or herself for this assignment, but in any event shall arrange that an alternate or alternates be available for this function during the absence or unavailability of the person assigned primary responsibility. A list of every city department and every designated and alternate department head for public record inspection purposes, along with those employees’ business addresses, telephone numbers and email addresses, shall be available for inspection and copying at the office of the city clerk and shall be kept and regularly maintained on the city’s website. (2) The role of the person or persons so designated shall be to provide information on as timely and responsive a basis as possible to those members of the public who are not requesting information from a specific person. This section shall not be interpreted to curtail existing informal contacts between employees and members of the public when these contacts are occasional, acceptable to the employee and the department, not disruptive of the employee’s operational duties and confined to accurate information not confidential by law. (3) If it would take an employee more than fifteen (15) minutes to obtain the information responsive to an inquiry or inquiries from a member of the public, the employee shall notify the requester of the procedures for obtaining records under this chapter.
(4) Public employees shall not be discouraged from or disciplined for the expression of their personal opinions on any matter of public concern while on duty, so long as the opinion (a) is not represented as that of the department and does not misrepresent the department position; and (b) does not disrupt coworker relations, impair discipline or control by superiors, erode a close working relationship premised on personal loyalty and confidentiality, interfere with the employee’s performance of that employee’s duties or obstruct the routine operation of the office in a manner that outweighs the employee’s interests in expressing that opinion. In adopting this section, the city council intends merely to restate and affirm court decisions recognizing the First Amendment rights enjoyed by public employees. Nothing in this section shall be construed to provide rights to city employees beyond those recognized by courts, now or in the future, under the First Amendment, or to create any new private cause of action or defense to disciplinary action.
(5) Notwithstanding any other provisions of this chapter, public employees shall not be discouraged from or disciplined for disclosing any information that is public information or a public record to any journalist or any member of the public. (Ord. No. 2008-11, 11-17-08)
Agenda Item No. 11.1 Agenda Page No. 182 of 279
17A.23 Public review file—Policy body communications.

The city clerk or the designated secretary of a particular policy body shall maintain a file, accessible to any person during normal office hours, containing a copy of any letter, memorandum or other communication which the clerk has distributed to or received from a quorum of the policy body concerning a matter calendared by the body within the previous thirty (30) days or likely to be calendared within the next thirty (30) days, irrespective of subject matter, origin or recipient, except commercial solicitations, periodical publications or communications exempt from disclosure under the California Public Records Act (Government Code Section 6250 7920.000, or its successor et seq.) and not deemed disclosable under section 17A.24. (Ord. No. 2008-11, 11-17-08) Agenda Item No. 11.1 Agenda Page No. 183 of 279
17A.24 Public information that must be disclosed.

Notwithstanding a department’s legal discretion to withhold certain information under the California Public Records Act, the following policies shall govern specific types of documents and information and shall provide enhanced rights of public access to information and records:
(1) Drafts and Memoranda. No preliminary draft or memorandum shall be exempt from disclosure under Government Code Section 6254(a)7927.500, or its successor, if it is kept in the normal course of business. For purpose of this chapter, “normal course of business” means in the inherent nature of the city’s business in question, and in the method systematically employed for the conduct of the task in question. Preliminary drafts and memoranda concerning contracts, memoranda of understanding, or other matters subject to negotiation or pending council approval shall not be subject to disclosure pursuant to this provision until final action has been taken. (2) Litigation Material. Notwithstanding any exemptions otherwise provided by law, the following are public records subject to disclosure under this chapter:
a. A pre-litigation claim against the city (excluding any investigative reports); b. A record previously received or created by a department in the ordinary course of business that was not attorney/client privileged or attorney-work product when it was previously received or created. (3) Contracts, Bids and Proposals.
a. All initial city requests for proposals (“RFPs”) shall be kept in a central repository and shall be made available for public inspection. In addition, RFPs shall be placed on the city’s website for a period from the date the RFP was issued to the date that the RFP is due. b. Contracts, contractors’ bids, responses to requests for proposals and all other records of communications between the department and persons or firms seeking contracts shall be open to inspection immediately after a contract has been awarded. Nothing in this provision requires the disclosure of a private person’s or organization’s net worth or other proprietary financial data submitted for qualification for a contract or other benefit. All bidders and contractors shall be advised that information provided which is covered by this section will be made available to the public upon request. Immediately after any review or evaluation or rating of responses to an RFP has been completed, evaluation forms and score sheets and any other documents used by persons in the RFP evaluation or contractor selection process shall be available for public inspection. The individual ratings, comments, and score sheets or comments on related documents shall be made immediately available after the review or evaluation of an RFP has been completed. (4) Budgets and Other Financial Information. Budgets, whether tentative, proposed or adopted, for the city or any of its departments, programs, projects or other categories, and all bills, claims, invoices, vouchers or other records of payment obligations as well as records of actual disbursements showing the amount paid, the payee and the purpose for which payment is made, other than payments for social or other services whose records are confidential by law, shall not be exempt from disclosure.
(5) Appraisals, offers and counteroffers relating to the city’s purchase of real property are exempt until an agreement is executed.
(6) Repealed by Ords. 2019-04 and 2019-05.
(7) Neither the city nor any officer, employee, or agent thereof may assert an exemption for withholding for any document or information based on a deliberative process exemption, either as provided by California Public Records Act Section 6255 7922, or its successor, or any other provision of law that does not prohibit disclosure. (8) Repealed by Ords. 2019-04 and 2019-05. (Ord. No. 2008-11, 11-17-08; Ord. No. 2018-03, § 1, 1-22-18; Ord.

No. 2019-04, 2-11-19; Ord. No. 2019-05, § 1, 2-25-19)
Agenda Item No. 11.1 Agenda Page No. 184 of 279
17A.25 Immediacy of response.

Notwithstanding the ten (10) calendar day period for response to a request permitted in Government Code Section 62537922.525, or its successor, a request for a public record described in any nonexempt category which is received by a department head shall be satisfied no later than the close of business on the day following the request unless the department head advises the requester in writing that the request will be answered by a specific future date. The statutory deadlines are appropriate for more extensive or demanding requests, but shall not be used to delay fulfilling a simple, routine or otherwise readily answerable request. If the voluminous nature of the information requested, its location in a remote storage facility or the need to consult with legal counsel warrants an extension of ten (10) calendar days as provided in Government Code Section 6253(c)7922.535, or its successor, the requester shall be noticed as required within ten (10) business days of the request. Nothing in this section shall prohibit the requester and department head or his/her designee from agreeing to a longer time than provided for herein for the provision of requested records. Any such mutual agreement shall be in writing and signed by the requester. (Ord.

No. 2014-03, § 1, 4-7-14)
Agenda Item No. 11.1 Agenda Page No. 185 of 279
17A.26 Withholding kept to a minimum.

Information that is exempt from disclosure shall be masked, deleted or otherwise segregated so that the nonexempt portion of a requested record may be released and keyed by footnote or other clear reference to the appropriate justification for withholding required by section 17A.27. (Ord. No. 2008-11, 11-17-08) Agenda Item No. 11.1 Agenda Page No. 186 of 279
17A.27 Justification of withholding.

Any withholding of information shall be justified, in writing, as follows:
(1) A withholding under a specific permissive exemption in the California Public Records Act, or elsewhere, which permissive exemption is not forbidden to be asserted by this chapter, shall cite that authority. (2) A withholding on the basis that disclosure is prohibited by law shall cite the specific statutory authority in the Public Records Act or elsewhere.
(3) A withholding on the basis that disclosure would incur civil or criminal liability shall cite any specific statutory or case law, or any other public agency’s litigation experience, supporting that position. (4) When a record being requested contains information most of which is exempt from disclosure under the California Public Records Act and this section, the department head shall inform the requester of the nature and extent of the nonexempt information and suggest alternative sources for the information requested, if available. (Ord. No. 2008-11, 11-17-08)
Agenda Item No. 11.1 Agenda Page No. 187 of 279
17A.28 Public records that must be disclosed.

The following policies shall govern specific types of documents and information and shall provide enhanced rights of public access to information and access:
(1) Notwithstanding Government Code Section 6254(c)7922.535, or its successor, the following information shall be considered a public record and shall be made available for review upon request by any person, business or association: A listing of gross earnings by name and job title, including base salaries and other compensation. Other compensation shall include allowances, overtime, and deferred compensation, leave cash-out payments and the percentage of base salaries that the city pays as the employer’s CalPERS contribution. (Ord. No. 2008-11, 11-17-08) Agenda Item No. 11.1 Agenda Page No. 188 of 279
17A.29 Fees for duplication.
(a) No fee shall be charged for making public records available for review. (b) For documents routinely produced in multiple copies for distribution, e.g., meeting agendas and related materials, a fee as may be set from time to time by the city council may be charged, plus any postage costs. (c) For documents assembled and copied to the order of the requester, a fee as may be set from time to time by the city council may be charged, plus any postage.
(d) Copies of video recorded meetings shall be provided to the public upon request for the actual cost of materials (i.e., videotape) per meeting. Audiotapes of audiotaped meetings shall be provided upon public request for the actual cost of the tape by the policy body whose meeting was recorded. The city council shall from time to time approve a fee schedule determining these costs. (Ord. No. 2008-11, 11-17-08) Agenda Item No. 11.1 Agenda Page No. 189 of 279
17A.30 Index to records.

The city shall maintain a public records index that identifies the types of information and documents maintained by the city and its departments, agencies, task forces, commissions, and elected officers. The index shall be for the use of city officials, staff and the general public, and shall be organized to permit a general understanding of the types of information maintained, by which officials and departments, for which purposes and for what periods of retention, and under what manner of organization for accessing, e.g., by reference to a name, a date, a proceeding or project, or some other referencing system. The index need not be in such detail as to identify files or records concerning a specific person, transaction or other event, but shall clearly indicate where and how records of that type are kept.

The city clerk shall be responsible for the preparation of this records index. Each department, agency, commission and public official shall cooperate with the city clerk to identify the types of records it maintains, including those documents created by the entity and those documents received in the ordinary course of business and the types of requests that are regularly received. Each department, agency, commission and public official is encouraged to solicit and encourage public participation to develop a meaningful records index. The index shall clearly and meaningfully describe, with as much specificity as practicable, the individual types of records that are prepared or maintained by each department, agency, commission or public official of the city. The index shall be sufficient to aid the public in making an inquiry or a request to inspect. Any changes in the department, agency, commission or public official’s practices or procedures affecting the accuracy of the information provided to the city clerk shall be recorded by the city clerk on a periodic basis so as to maintain the integrity and accuracy of the index. The index shall be continuously maintained on the city’s website and made available at the Gilroy Library. (Ord. No. 2014-03, § 1, 4-7-14)
Agenda Item No. 11.1 Agenda Page No. 190 of 279
17A.31 Records survive transition of officials.

All documents prepared, received, or maintained by the head of any department are the property of the city of Gilroy. The originals of these documents shall be maintained consistent with the records retention policies of the city of Gilroy. The city administrator shall monitor the transition of the above public officials to ensure that public documents are not unlawfully removed or destroyed during the transition. (Ord. No. 2008-11, 11-17-08) Agenda Item No. 11.1 Agenda Page No. 191 of 279
17A.32 Internet access/World Wide Web minimum standards.

The city of Gilroy shall maintain on a World Wide Web site, or on a comparable, readily accessible location on the Internet, information that it is required to make publicly available. Each department is encouraged to make publicly available through the city’s website as much information and as many documents as possible concerning its activities. These include but are not limited to campaign report forms, statements of economic interest, operating and capital budgets, meeting agenda, meeting minutes, public notices and, when feasible, staff meeting reports. Within twelve (12) months after enactment of this provision, each department shall post on the city’s website all meeting notices required under this chapter, all agendas and the minutes of all previous meetings of its policy bodies from that point in time forward. Notices and agendas shall be posted no later than the time that the department otherwise distributes this information to the public, allowing reasonable time for posting.

Minutes of meetings shall be posted as soon as possible, but in any event within one (1) week after they have been approved. The city shall make reasonable efforts to ensure that its website is regularly reviewed for timeliness and updated on at least a weekly basis. The city shall also make available on its website, or on a comparable, readily accessible location on the Internet, a current copy of the city code.

The city shall also webcast all city council and planning commission meetings and archive the webcasts of such meetings for at least ten (10) years. (Ord. No. 2008-11, 11-17-08) Agenda Item No. 11.1 Agenda Page No. 192 of 279
17A.33 Correspondence and records shall be maintained.
(a) The city administrator shall for a reasonable period maintain, preserve, and archive documents and correspondence, including but not limited to letters, emails, drafts, memoranda, invoices, reports and proposals that pertain to or are within the subject matter jurisdiction of the official’s duties (as defined by the open government commission) and shall disclose all such records in accordance with this chapter. (b) Any email that is created or received in connection with the transaction of public business and which (1) the department or office retains as evidence of its activities, or (2) relates to the legal or financial rights of the city or of persons directly affected by the activities of the city is a public record. The standard for determining if email is a public record that must be retained is identical to the standard that applies to any document. See California Government Code Section 6252(e)7920.530, or its successor. If an email must be retained, it should be printed out and the hard copy retained in the appropriate file unless the department or office can reliably retain and retrieve all email in electronic format. (Ord. No. 2008-11, 11-17-08) Agenda Item No. 11.1 Agenda Page No. 193 of 279
17A.34 Review of FPPC statement of economic interests.
(a) During the annual filing period as required by California Code Section 87500, the city clerk as filing officer shall conduct a prima facie review of all FPPC statement of economic interests filings of all officials required to file under California Government Code Section 87200, and all designated employees required to file under the city’s conflict of interest code. The city administrator shall review the filing submitted by the city clerk. (b) Not later than April 15th of each year, the city clerk shall publish all statement of economic interests filings onto the city’s official website. The city clerk shall also maintain on the city’s website all prior years’ filings of sitting city council members, the mayor, the city administrator, and the city attorney and members of the planning commission so that these required disclosures are readily available to the public for inspection. (Ord. No. 2014-03, § 1, 4-7-14)
ARTICLE IV. OPEN GOVERNMENT COMMISSION
Agenda Item No. 11.1 Agenda Page No. 194 of 279
17A.35 The open government commission.
(a) There is hereby established a commission to be known as the “open government commission.” From on or about January 2013 through December 31, 2013, the open government commission shall consist of two (2) city council members appointed by the city council and three (3) members of the public appointed by the city council. From January 2014, the open government commission shall consist of five (5) members of the public appointed by the city council, and all of the seats on the open government commission designated for city council members shall terminate. The city attorney shall serve as legal advisor to the commission. (b) From on or about January 2016, the term of each newly appointed member sitting on the open government commission shall be four (4) years, unless earlier removed by the city council. Those members appointed to two (2) year terms in January 2013 shall have terms extended to January 2016, and those members appointed to two (2) year terms in January 2014 shall have their terms extended to January 2018. No person shall serve more than two (2) consecutive full terms on the commission. In the event of such removal or in the event a vacancy otherwise occurs during the term of office of any appointive member, a successor shall be appointed for the unexpired term of the office vacated in a manner similar to that described herein for the initial members. The commission shall elect a chair from among its appointive members. The term of office as chair shall be one (1) year. Members of the commission shall serve without compensation.
(c) The commission shall advise the city council and provide information to other city departments on appropriate ways in which to implement this chapter. The commission shall develop appropriate goals to ensure practical and timely implementation of this chapter. The commission shall propose to the city council amendments to this chapter.

The commission shall report to the city council at least once annually on any practical or policy problems encountered in the administration of this chapter. The commission shall receive and review regular quarterly reports on requests for public information. Such reports shall not identify the requester or any information confidential by law.
(d) The open government commission shall recommend to the city council an administrative process for the review and enforcement of this chapter. No such administrative process shall preclude, delay or in any way limit a person’s remedies under the Brown Act or the California Public Records Act. (e) In addition to the powers specified above, the commission shall possess such powers as the city council may confer upon it by ordinance or as the people of Gilroy shall confer upon it by initiative. (Ord. No. 2012-12 § 1, 10-1- 12; Ord. No. 2014-09, § 1, 8-4-14)
Agenda Item No. 11.1 Agenda Page No. 195 of 279
17A.36 Responsibility for administration.

The city administrator shall administer and coordinate the implementation of the provisions of this chapter. The city clerk shall provide and perform administrative duties for the commission and assist any person in gaining access to public meetings or public information. The city administrator shall provide the commission’s staff person with whatever facilities and equipment are necessary to perform said duties as budgeted by the city council. (Ord. No. 2008-11, 11-17-08)
Agenda Item No. 11.1 Agenda Page No. 196 of 279
17A.37 Department head declaration and training.

All city department heads and all management employees, all policy body members, and all employees and officials who are required to file a statement of economic interests required by Government Code Section 87200 and the city’s conflict of interest code shall sign an affidavit or declaration stating under penalty of perjury that they have read the open government ordinance and have taken training on the open government ordinance within the first sixty (60) days of appointment or election. Training shall be taken each two (2) years thereafter. The affidavit or declarations shall be maintained by the city clerk and shall be available as a public record. Training shall be provided by the city attorney’s office. (Ord. No. 2014-03, § 1, 4-7-14) Agenda Item No. 11.1 Agenda Page No. 197 of 279
17A.38 Willful refusal shall be official misconduct.

The willful refusal of any elected official, department head, or other managerial city employee to discharge any duties imposed by this chapter, the Brown Act or the Public Records Act shall be deemed official misconduct. (Ord.

No. 2008-11, 11-17-08)
Agenda Item No. 11.1 Agenda Page No. 198 of 279
17A.39 Enforcement provisions.
(a) Any person may institute proceedings for injunctive relief, declaratory relief, or writ of mandate in any court of competent jurisdiction to enforce that person’s right to inspect or to receive a copy of any public record or class of public records under this chapter or to enforce that person’s right to attend any meeting required under this chapter to be open, or to compel such meeting to be open.
(b) A court shall award costs and reasonable attorneys’ fees to the plaintiff who is the prevailing party in an action brought to enforce this chapter.
(c) If a court finds that an action filed pursuant to this section is frivolous, the city may assert its rights to be paid its reasonable attorneys’ fees and costs.
(d) Any person may institute proceedings for enforcement and penalties under this chapter in any court of competent jurisdiction if enforcement action is not taken by a city or state official fifty (50) days after a complaint is filed. (Ord. No. 2008-11, 11-17-08)
Agenda Item No. 11.1 Agenda Page No. 199 of 279
17A.40 Chapter supersedes other local laws—Applies to all ordinances with open government application.

The provisions of this chapter supersede other local laws. Whenever a conflict in local law is identified, the requirement which would result in greater or more expedited public access to public information shall apply. The provisions of this chapter shall apply to all applicable and relevant provisions of the Gilroy City Code. (Ord. No. 2008-11, 11-17-08)
Agenda Item No. 11.1 Agenda Page No. 200 of 279
17A.41 Severability.

The provisions of this chapter are declared to be separate and severable. The invalidity of any clause, sentence, paragraph, subdivision, section or portion of this chapter, or the invalidity of the application thereof to any person or circumstances, shall not affect the validity of the remainder of this chapter, or the validity of its application to other persons or circumstances. (Ord. No. 2008-11, 11-17-08)
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The Gilroy City Code is current through Ordinance 2023-03, passed February 27, 2023.

24.27 Operation and reporting provisions.
(a) Open Books and Records.
(1) Inspection. The city shall have the right upon thirty (30) days advance written notice to inspect and copy at any time during normal business hours all books and records reasonably necessary to monitor compliance with the terms of this ordinance, a franchise agreement, or applicable law; or reasonably necessary for the exercise of any right or duty of the city under the same. This right includes the right to inspect not only the books and records of a franchisee, but any such books and records held by an affiliate regardless of who holds them, a cable operator of the cable system, or any contractor, subcontractor or any person holding any form of management contract for the cable system. Each franchisee shall be responsible for collecting the information and producing it. For purposes of this article, the terms “books and records” shall be read expansively to include information in whatever format stored. Books and records requested shall be produced to the city at City Hall, except by agreement or pursuant to subsection 24.27(e) and subject to subsection 24.27(a)(2). Books and records shall be maintained in accordance with generally accepted accounting principles. (2) Proprietary Information. Access to a franchisee’s books and records shall not be denied by the franchisee on the basis that said books and records contain proprietary information. However, all proprietary information received by the city from a franchisee and clearly marked as such shall not be publicly disclosed insofar as permitted by the California Public Records Act, Government Code 62547927, et seq., or its successor, and other applicable law. The city will notify franchisee if any third party seeks release of any document marked confidential and the city will withhold release for the maximum period permitted by law to provide the franchisee the opportunity to seek court protection against the release of the requested documents. (3) Public Inspection. The franchisee shall maintain a file of records open to public inspection in accordance with applicable FCC rules and regulations.
(b) Production of Documents upon Request.
(1) Agency Reports. Upon request, and except as provided under subsection 24.27(c), a franchisee shall file with the city all reports required by the FCC including, without limitation, any proof of performance tests and results, Equal Employment Opportunity (“EEO”) reports, and all petitions, applications, and communications of all types directly related to the cable system, or a group of cable systems of which the franchisee’s cable system is a part, submitted or received by the franchisee, an affiliate, or any other person on the behalf of the franchisee, either to or from the FCC, the Security and Exchange Commission, or any other federal or state regulatory commission or agency having jurisdiction over any matter affecting operation of the franchisee’s cable system. Provided that, nothing herein requires the franchisee to produce regulatory or court filings that are treated by the agency or court as confidential, such as Hart-Scott-Rodino Act filings. Nothing in this subsection 24.27(b)(1) affects any rights the city may have to obtain books and records under subsection

24.27(a).
(2) Automatic Delivery of Certain Documents. Franchisee shall also deliver to the city the following:
a. Notices of deficiency or forfeiture related to the operation of the cable system; and b. Copies of any request for protection under bankruptcy laws, or any judgment related to a declaration of bankruptcy by the franchisee or by any partnership or corporation that owns or controls the franchisee directly or indirectly. This material shall be submitted to the city at the time it is filed or within ten (10) days of the date it is received.
(c) Reports.
(1) Quarterly Reports. Within forty-five (45) days of the end of each calendar quarter, a franchisee shall submit a report to the city containing the following information:

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The Gilroy City Code is current through Ordinance 2023-03, passed February 27, 2023. a. The number of service calls (calls requiring a truck roll) received by type during the prior quarter, and the percentage of service calls compared to the subscriber base by type of complaint; and b. The number and type of outages known by the franchisee for the prior quarter, identifying separately the following: each planned outage, the time it occurred, its duration, and the estimated area and number of subscribers affected; each known unplanned outage, the time it occurred, its estimated duration and the estimated area and the number of subscribers affected, and if known, the cause; the total estimated hours of known outages as a percentage of total hours of cable system operation. An outage is a loss of sound or video on any signal, or a significant deterioration of any signal affecting two (2) or more subscribers; and other information a franchisee is required to submit to the city on a quarterly basis pursuant to this article. (2) Annual Reports. No later than ninety (90) days after the end of its fiscal year, a franchisee shall submit a written report to the city administrator in a form directed by the city administrator, which shall include:
a. A summary of the previous year’s activities in the development of the cable system, including but not limited to descriptions of services begun or discontinued, the number of subscribers gained or lost for each category of service;
b. A summary of complaints for which records are required under subsection 24.27(d)(1), identifying both the number and nature of the complaints received and an explanation of their dispositions; c. A balance sheet as of the last day of the fiscal year and the related statement of revenues, expenses and charges in retained earnings, and statement of cash flows for the year then ended, all of which shall be fully audited or shall be certified;
d. An ownership report, indicating all persons who at the time of the filing control or own an interest in the franchisee of ten (10) percent or more
e. A list of officers and members of the board of directors of the franchisee and any affiliates directly involved in the operation or the maintenance of the cable system; f. An organizational chart showing all corporations or partnerships with more than a ten (10) percent interest ownership in the franchisee, and the nature of that ownership interest (limited partner, general partner, preferred shareholder, etc.); and showing the same information for each corporation or partnership that holds such an interest in the corporations or partnerships so identified and so on until the ultimate corporate and partnership interests are identified;
g. An annual report of each entity identified in subsection 24.27(c)(2)d. which issues an annual report; h. A report on the cable system’s technical tests and measurements; i. A complete report on its plant, which shall state the physical miles of plant construction and plant in operation during the fiscal year, including any revisions to the cable system “as built” maps filed with the city, and which shall report the results of appropriate electronic measurements conducted in conformance with applicable law;
j. A proposed schedule of plant construction for the upcoming fiscal year; and k. Such other information as the city administrator or the city council may direct. If, as of January first of any year, the information required by subsections 24.27(c)(2)d.—f. is the same as was reported to the city in the prior year, the franchisee need only so state.
(3) Presentation of Report. The annual report shall be presented at a regular public meeting of the city council to be held no earlier than ten (10) days following submission of the report. (4) Special Reports. Upon the city’s request, each franchisee shall submit construction reports and make available for review updated as-built system design maps for its cable system for any construction undertaken during the term of the franchise. The maps shall be developed on the basis of post-construction inspection by Agenda Item No. 11.1 Agenda Page No. 203 of 279
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24.27 Operation and reporting provisions.

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The Gilroy City Code is current through Ordinance 2023-03, passed February 27, 2023. the franchisee and construction personnel to assess compliance with system design. Any material departures from design must be indicated.
(5) General Reports. Each franchisee shall prepare and furnish to the city, at the times and in the form prescribed by the city, such reports with respect to its operation, affairs, transactions or property, as may be reasonably necessary or appropriate to the performance of any of the rights, functions or duties of the city in connection with this article or a franchise agreement.
(d) Records Required. A franchisee shall at all times maintain:
(1) Complaints. Records of all complaints received with information sufficient to allow the franchisee to prepare the reports required in this section 24.27. The term “complaints” as used herein and throughout this article refers to complaints about any aspect of the cable system or franchisee’s operations, including, without limitation, complaints requiring service calls, and complaints about employee courtesy, billing, prices, programming, outages and signal quality;
(2) Plans. A full and complete set of plans, records, and “as built” maps showing the exact location of all system equipment installed or in use in the city, including subscriber service drops; (3) Outages. Records of outages, indicating date, duration, area, and the estimated number of subscribers affected, type of outage, and cause;
(4) Service Calls. Records of service calls for repair and maintenance indicating the date and time service was required, the date of acknowledgment and date and time service was scheduled (if it was scheduled), and the date and time service was provided, and (if different) the date and time the problem was solved; (5) Installations. Records of installation/reconnection and requests for service extension, indicating date of request, date of acknowledgment, and the date and time service was extended; and (6) Public File. A public file showing its plan and timetable for construction of the cable system. (e) Voluminous Materials. If any books, records, plans, or other documents requested under this article are too voluminous, or for security reasons cannot be copied and moved, then a franchisee may request that the inspection take place at some other location, provided that (i) the franchisee must make necessary arrangements for copying documents selected by the city after review; and (ii) the franchisee must pay all travel and copying expenses incurred by the city in inspecting those documents or having those documents inspected by its designee. (f) Retention of Records; Relation to Privacy Rights. Franchisee shall ensure that it is able to provide the city all information which must be provided or may be requested under this article or a franchise agreement, including providing appropriate subscriber privacy notices. Nothing in this section shall be read to require a franchisee to violate 47 U.S.C. 551. Franchisee shall be responsible for preserving the confidentiality of any data that federal law prevents it from providing to the city. Records shall be kept for at least five (5) years. (Ord. No. 97-1, 1-6-97) Agenda Item No. 11.1 Agenda Page No. 204 of 279

11.2.Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street

1. Staff Report:

2. Public Comment

3. Possible Action:

Staff has analyzed the proposed project, and recommends that the City Council:

Based on its independent analysis, find that approval of the Mills Act contracts are exempt from review under the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15331, pertaining to projects involving the maintenance, rehabilitation, restoration, preservation, or reconstruction of historical resources, and where it can be seen with certainty that the Mills Act contracts would not result in a significant environmental effect;
Approve the Mills Act program request and authorize the City Administrator to execute a Mills Act Agreement for the property located at 286 Fifth Street;
Approve the Mills Act program request and authorize the City Administrator to execute a Mills Act Agreement for the property located at 7471 Hanna Street.

Agenda Item No. 11.2 Agenda Page No. 205 of 279

Page 1 of 10 ends

City of Gilroy

STAFF REPORT
Agenda Item Title: Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
Meeting Date: November 6, 2023
From: Jimmy Forbis, City Administrator
Department: Community Development
Submitted By: Sharon Goei, Community Development Director Prepared By: Cindy McCormick, Customer Service Manager
STRATEGIC PLAN GOALS Not Applicable

RECOMMENDATION
Staff has analyzed the proposed project, and recommends that the City Council:
a) Based on its independent analysis, find that approval of the Mills Act contracts are exempt from review under the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15331, pertaining to projects involving the maintenance, rehabilitation, restoration, preservation, or reconstruction of historical resources, and where it can be seen with certainty that the Mills Act contracts would not result in a significant environmental effect; b) Approve the Mills Act program request, and authorize the City Administrator to execute a Mills Act Agreement for the property located at 286 Fifth Street; c) Approve the Mills Act program request, and authorize the City Administrator to execute a Mills Act Agreement for the property located at 7471 Hanna Street.

EXECUTIVE SUMMARY
The City of Gilroy adopted the Mills Act Agreement Policy in 1997 to foster and encourage the preservation, maintenance, rehabilitation, and restoration of historic properties. Owner-occupied family residences and income-producing commercial Agenda Item No. 11.2 Agenda Page No. 206 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 2 of 10 November 6, 2023 1 3 properties may qualify for the Mills Act program. If granted, the Mills Act Agreement(s) can provide a property owner tax relief in exchange for a commitment to restore and retain the architectural integrity of the historic property. The tax benefit runs with the property and could potentially be indefinite since the Mills Act Agreement auto-renews each year until a non-renewal notice is filed.

The City of Gilroy received two applications for the Mills Act Program for the 2023 calendar year. The first application is for a single-family home located at 286 Fifth Street. The second application is for a single-family home located at 7471 Hanna Street.

Both properties are currently listed, and recommended to remain, on the City’s Historic Resource Inventory. Mills Act properties must be on a local, state, or national register of historic places.

BACKGROUND
Environmental Determination: Execution of a Mills Act Agreement is categorically exempt under Section 15331, Class 31 of the California Environment Quality Act (CEQA), pertaining to projects involving the maintenance, rehabilitation, restoration, preservation, or reconstruction of historical resources.

Mills Act Legislation: In 1976, California voters passed Proposition 7 to provide property tax relief to encourage the preservation of qualifying historical properties. The legislature subsequently passed an enabling statute commonly referred to as the Mills Act, which grants participating local governments (cities and counties) the authority to enter into contracts with owners of qualified historic properties that actively participate in the restoration and maintenance of their historic properties in exchange for receiving property tax relief.

City of Gilroy Mills Act Program: The Mills Act Agreement Policy, adopted by the City Council in 1997, sets forth the minimum requirements for a Mills Act Agreement (Attachment 1). Mills Act Agreements can be authorized for both owner-occupied homes and income-producing properties (including commercial properties). Entering into an agreement is completely voluntary for both the owner and the City. The City recognizes that the reduction in property taxes will act as a monetary incentive to acquire, maintain, and restore historic property; however, it is also important to review Mills Act requests holistically, to ensure that the number of approved agreements is fiscally responsible. Therefore, applications are only accepted and reviewed by the City Council once in a calendar year. The City has entered into 19 Mills Act Agreements since 2001 (see attachment). The last approval was in 2020, when the City Council approved two (2) Mills Act applications.

Length of Agreement: Mills Act Agreements must be entered into for a minimum term of ten years. Each year thereafter, the 10-year agreement will automatically renew for another year, unless a notice of non-renewal is issued. The effect of non-renewal is to terminate the agreement at the end of the ten-year term following the date of nonrenewal. Either the property owner or the City may opt to not renew the Mills Act Agreement. Agreements may be entered into at any time; however, the Agreement Agenda Item No. 11.2 Agenda Page No. 207 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 3 of 10 November 6, 2023 1 3 must be recorded by the County no later than the end of December to qualify for the following tax year. New valuations do not take effect until March of the following year. The tax benefit runs with the property and is potentially indefinite since the Mills Act Agreement auto-renews each year until a non-renewal notice is filed. In the event the property is sold, the new property owner is subject to the same conditions and restrictions placed on the original property owner.

Preservation of Property: Under the terms of a Mills Act Agreement, the property owner is obligated to preserve and prevent deterioration of the property in keeping with the Secretary of Interior Standards. The owner is also required to: 1) update the ten (10) year schedule of potential repair, maintenance and improvement measures every five (5) years; and 2) allow reasonable periodic examination, by prior appointment, of the interior and exterior of the Historic Property by representatives of the Santa Clara County Assessor, State Department of Parks and Recreation, State Board of Equalization, and/or the City, as may be necessary to determine owner compliance with the terms and provisions of the Agreement.

While the agreement must include the mandatory provisions of state law, the City may also require any appropriate conditions necessary to protect the City's interest. For example, the City could require annual reports due in July of each year (the same time as the annual application deadline), outlining the owner’s progress made towards satisfying the 10-year improvement plan.

Noncompliance with Agreement: If a property owner fails to comply with the terms of a Mills Act Agreement, the City may either bring legal action against the owner to require compliance or cancel the agreement. If an agreement is canceled pursuant to Government Code Sections 50284 to 50286, the owner shall pay a cancellation fee equal to 12.5% of the current fair market value of the property, as determined by the County Assessor.

Property Tax Reduction: The City of Gilroy normally receives approximately 9.7%1 of the total property taxes collected on a property. All recipients of the property tax (e.g., County, City, schools) will receive a reduced amount, in proportion to the amount of taxes they would normally receive.

The amount of property tax reduction varies from property to property and depends on the location of the property and the size of the structure(s). Furthermore, properties that have been under the same ownership for a long time may derive less tax benefit from the Mills Act than more recently sold properties, since new transactions often have a higher “base” assessment under Proposition (Prop) 13. Under Prop 13, all real property has an established base year value, a restricted rate of increase on assessments of no greater than 2% each year, and a limit on property taxes to 1% of the assessed value (plus additional voter-approved taxes).
1 A complete list of distributions is publicly available on the County Assessor’s page. Approximately

47.56% of the property taxes are distributed to the Gilroy Unified School District, and approximately

13.8% goes to Santa Clara County.

Agenda Item No. 11.2 Agenda Page No. 208 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 4 of 10 November 6, 2023 1 3 Staff has recently requested property tax data for the 19 properties currently under a Mills Act Agreement in the City of Gilroy. The data shows that the Mills Act assessment varies from property to property, ranging from 0% to 83% lower than the base assessment value (see Attachment 2). While rare, it does occasionally happen that a Mills Act assessment value is higher than the base assessment, in which case, the lower base assessment is used to calculate property taxes. For example, 7560 Monterey Road (approved for the Mills Act in 2002) is a commercial property that was sold as an unreinforced masonry (URM) building in 2016 and has since been retrofitted; significantly increasing its current income potential which is used to calculate the Mills Act value. 7511 Carmel Street (approved for the Mills Act in 2020) was sold in 2014 and therefore has lower property taxes under Prop 13 than it does under the Mills Act.

The amount of the reduction in assessed value is determined by the County Assessor's Office based on statutory guidelines, approved by the California Board of Equalization.

The Revenue and Taxation Code (RTC) prohibits the Assessor from using comparable property sales data to value a Mills Act property. Instead, the Assessor must annually value a Mills Act property using an income approach that follows specific RTC provisions: the income to be capitalized (fair rent or gross income less allowed expenditures); the capitalization rate2 (prescribed by statute); the capitalization technique (prescribed by statute), and the property's taxable value on each lien date.

ANALYSIS
Mills Act applications are submitted in July of each year and are reviewed to determine if they are eligible for consideration by the City Council. Mills Act properties must be on a local, state, or national register of historic places. In 2018, the City of Gilroy’s historic consultant conducted a city-wide survey of all properties over 45 years of age (built in 1974 or earlier at the time) to determine which properties would be eligible to remain on, or be added to, the City’s Historic Resource Inventory.

The City of Gilroy received two applications in July 2023 for the Mills Act Program. The first application is for a single-family home located at 286 Fifth Street. The second application is for a single-family home located at 7471 Hanna Street. Both properties are currently listed, and recommended to remain, on the City’s Historic Resource Inventory.
2 The capitalization rate is different for an owner- occupied single-family residence versus an income producing commercial property.

Agenda Item No. 11.2 Agenda Page No. 209 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 5 of 10 November 6, 2023 1 3 286 Fifth Street
Property Description: The property located at 286 Fifth Street includes a single-family residence and a detached garage, both constructed in 1922. The home was designed in the Spanish Colonial Revival-style. According to the 2018 survey of this property, the residence retains adequate integrity to be recognizable to its original style and retains some of the style's character defining features including: symmetrical facade with rectangular massing, sunrooms on both sides, two-stories in height, medium pitch sidegable roof with narrow eaves with dormer windows, wood clapboard, accentuated front door with decorative crown supported by columns, multi-lite windows, classical columns, and window shutters.

While the building is not eligible for state or national listing, the property is listed locally as historic and therefore eligible for the Mills Act. Additional information can be found on the attached California Department of Parks and Recreation (DPR) form.

Property Tax Data: According to the property tax records submitted by the applicant, the total taxes for the 2022-2023 tax year were $12,262.74. Given that 9.7% of the Agenda Item No. 11.2 Agenda Page No. 210 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 6 of 10 November 6, 2023 1 3 property taxes are distributed to the City of Gilroy, the loss of tax revenue to the City, under a Mills Act Agreement, would likely be less than $1,190.00 for the 2024 tax year, even if the owner realized a 100% reduction in their property taxes.

Based on recent records for other Mills Act properties in Gilroy, it is estimated the property owner could save approximately $6,131 to $9,810 (50-80%3) on their next property tax bill. Over the course of 10 years, the estimated savings is approximately $61,310 to $98,100, subject to any property tax valuation changes. 10-Year Restoration/Maintenance Plan: The current property owner has proposed a property improvement plan that lists several improvements, along with the approximate cost, broken down by year. Although the estimated improvements have been broken down by year, the property owner has the flexibility to modify the year of the actual improvement so long as the total tax savings are reinvested in the property. The total estimated improvement costs ($238,800) exceed the estimated tax savings (~$98,100) that the homeowner could receive over the 10-year period.

Wrap-around fence repair and painting ($2,800)
Landscape garden design and maintenance; Magnolia tree healing ($4,200)
Fix tool room roof (leaks) ($7,400)
$14,400
Re-erect falling dividing wall with neighbor ($5,500)
Add gutters ($12,000)
$17,500
Fix detached game room ($15,000)
Paint and fix garage ($3,400)
$18,400
Façade washing and outdoor paint repair ($3,100)
Pavers repair and maintenance (level uneven surfaces, replace broken paver bricks, cement and glue pavers) ($7,300)
Update heating system ($30,000)
$40,400
Fix stairs (rails are wobbly and a step is broken) ($6,500) Fix and strengthen gazebo ($5,500)
$12,000
Fix downstair windows (they do not open) ($45,000)
Chimney repair, cleaning and painting ($3,000)
$48,000
Fix upstairs windows (they do not open) ($25,000)
Façade washing and outdoor paint repair (3,100)
$28,100
Re-paint indoor walls and doors ($15,000)
Downstairs hardwood floors repair and maintenance ($12,000) $27,000
Upstairs hardwood floors repair and maintenance ($11,000) Garden maintenance ($2,000)
$13,000
Outdoors house painting ($20,000) $20,000
Total estimated investment: $238,800
3 The property was purchased in 2021 and would likely see a higher tax deduction than a property with a lower Prop-13 tax assessment.

Agenda Item No. 11.2 Agenda Page No. 211 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 7 of 10 November 6, 2023 1 3 7471 Hanna Street
Property Description: The property located at 7471 Hanna Street includes a singlefamily residence and a detached garage, both constructed in 1926. The home was designed in the Spanish Colonial Revival-style. According to the 2018 survey of this property, the residence retains adequate integrity to be recognizable to its original style and retains some of the style's character defining features including: simple rectangular massing, one-story in height, asymmetrical facade, low pitched roof, painted stucco exterior walls in natural colors, walls extend into parapet without a break, fenestration irregularly placed and recessed, tall, narrow, multi-lite metal casement windows, and decorative arched stucco work over windows. While the property's simplistic interpretation of the Spanish Colonial Revival-style prevents it from rising to the level of significance required for state or national listing, the property is listed locally as historic and therefore eligible for the Mills Act. Additional information can be found on the attached DPR form4.
4 The Department of Parks and Recreation (DPR) 523 series of forms are used for recording and evaluating resources and for nominating properties as California Historical Landmarks, California Points of Historical Interest, and to the California Register of Historical Resources.

Agenda Item No. 11.2 Agenda Page No. 212 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 8 of 10 November 6, 2023 1 3 Property Tax Data: According to the property tax records submitted by the applicant, the total taxes for the 2022-2023 tax year were $4,525.34. Given that 9.7% of the property taxes are distributed to the City of Gilroy, the loss of tax revenue to the City, under a Mills Act Agreement, would likely be less than $440.00 for the 2024 tax year, even if the owner realized a 100% reduction in their property taxes.

Based on recent records for other Mills Act properties in Gilroy, it is estimated the property owner could save approximately $2,262 to $3,620 (50-80%5) on their next property tax bill. Over the course of 10 years, the estimated savings is approximately $22,620 to $36,200, subject to any property tax valuation changes. 10-Year Restoration/Maintenance Plan: The current property owner has proposed a property improvement plan that lists several improvements, along with the approximate cost. The total estimated improvement costs ($79,200) exceed the estimated tax savings (~$36,200) that the homeowner could receive over the 10-year period. Although the property owner has not listed an estimated year for each improvement, she understands that the tax savings each year must be reinvested into the property prior to the end of the tax year. As illustrated in the attachments, the property owner has also already invested approximately $69,000 towards the home (not including interior cosmetic improvements) since purchasing the property in 2022, exceeding her estimated tax savings.

Repair and reattach side entry portico $3,500
Restore garage doors $8,000
Garage framing repairs $12,000
Restore and reglaze 38 windows $29,000
Restore window screens and screen doors $5,200
Foundation brace and bolt $20,000
Repair front concrete walkway $1,500
Total estimated investment: $79,200
Conclusion
Staff recommends that the City Council approve both Mills Act requests with the condition that the property owners each enter into a Mills Act Agreement with the City.

Staff’s recommendation is based on the following reasons:

A. Both properties are listed on Gilroy’s Historic Resource Inventory; B. The proposed Mills Act requests are consistent with General Plan policies NCR 5.4 (Historic Preservation), NCR 5.7 (Mills Act Contracts), and NCR 5.8 (Historic 5 The property was purchased in 2022 and would likely see a higher tax deduction than a property with a lower Prop-13 tax assessment.

Agenda Item No. 11.2 Agenda Page No. 213 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 9 of 10 November 6, 2023 1 3 Character) in that granting a Mills Act request will ensure that the historic buildings are preserved and maintained for the term of each agreement; C. The proposed ten-year improvement plan is consistent with the intent and requirements of the City’s Mills Act Agreement Policy; and D. Allowing each property to enter into a Mills Act Agreement would not jeopardize the health of the City’s General Fund, since the City receives less than 10 percent of the property taxes collected.

ALTERNATIVES
The City Council could decide not to approve the Mills Act Agreement(s) for one or both applicants, in which case the applicant(s) would not receive tax savings to help offset the cost of preserving their historic home(s), and the City would not realize a reduction in property tax revenue for the subject property(ies).

FISCAL IMPACT/FUNDING SOURCE
The actual loss of property tax revenue cannot be determined until after each property owner receives a Mills Act reassessment from the County Assessor’s Office. However, the loss of property tax revenue is estimated to be less than $1,630 ($440 + $1,190) for the 2024 tax year for both properties. Furthermore, the public benefit of maintaining the historic buildings for the term of each agreement may outweigh the potential loss of tax revenue to the City.

The City charges an application fee (currently $2,201) to recover City costs related to processing the application and maintaining the Mills Act Agreement (e.g., legal costs to produce the document; staff costs to inspect and monitor the property).

PUBLIC OUTREACH
The City Council public hearing packets are available through the City’s webpage. No public comments have been received on the proposed Mills Act applications.

NEXT STEPS
If the City Council approves either request, the City Attorney will prepare a Mills Act Agreement for the subject property(ies). The proposed improvements will be documented in each Mills Act Agreement and will need to comply with the Secretary of the Interior’s standards for the treatment of historical resources. The City Administrator and City Clerk will sign and notarize each agreement. Once the property owner and the City execute the agreement, it will be recorded with the Santa Clara County Clerk Recorder’s Office and the County Assessor’s Office will recalculate the property taxes.

City staff will monitor each property for conformance with the agreement on an ongoing basis.

Agenda Item No. 11.2 Agenda Page No. 214 of 279
Approval of Two (2) Mills Act Agreement Applications for Historic Properties Located at 286 Fifth Street and 7471 Hanna Street
City of Gilroy City Council Page 10 of 10 November 6, 2023 1 3 Attachments:

1. Mills Act Agreement Policy

2. Mills Act Property Tax Assessment Data

3. 286 Fifth Street Historic Site Survey (DPR form)

4. 286 Fifth Street Application, Photos, and 10-Year Restoration/Maintenance Plan (MA 23-01)

5. 7471 Hanna Street Historic Site Survey (DPR form)

6. 7471 Hanna Street Application, Photos, and 10-Year Restoration/Maintenance Plan (MA 23-02)

7. Mills Act Agreement Template
Agenda Item No. 11.2 Agenda Page No. 215 of 279

EXHIBIT A

MILLS ACT AGREEMENT POLICY
Adopted February 1997

PURPOSE
It is the policy of the City of Gilroy to foster and encourage the preservation, maintenance, rehabilitation, and restoration of historic properties. The City recognizes that the reduction in property taxes provided by the Mills Act will act as a monetary incentive to acquire, maintain, and restore historic property.

The minimum requirements for a Mills Act agreement shall include:

1. A minimum contract term of ten (10) years, which will be automatically renewed on an annual basis. This contract will be recorded against title to the property, and shall run with the land.

2. The owner shall maintain the historic property in accordance with the Secretary of the Interior's Standards for Rehabilitation (attached).

3. The owner must allow reasonable periodic examination of the historic site, if a request is made and by prior appointment, by representatives of the City, County Assessor, State Department of Parks and Recreation, and State Board of Equalization.

4. The City may cancel the agreement following a duly noticed public hearing if it is determined that the owner breached any mandatory conditions of the contract.

5. The owner shall pay legal fees and staff costs related to the preparation and maintenance of a Mills Act contract.

6. The owner must not obstruct the public's ability to view the exterior of the structure from the public right-of-way (e.g. by placing trees, bushes and fences in a location which obscures the view of the exterior of the structure).

7. The owner shall submit a ten-year plan of proposed improvements to the property. This plan shall be revised every five years, and each revision shall document improvements that have been completed.

8. Improvements made to properties in Mills Act contracts shall include infrastructure and structural improvements, and building maintenance, rather than interior cosmetic improvements.

9. Noncompliance with the provisions of a Mills Act contract will result in either legal action against the owner, or contract cancellation. If the contract is cancelled, the owner must pay a penalty of 12½ percent of the market value of the property at the time of cancellation.

10. To be eligible for a Mills Act contract, a property must be designated with a 3, 4 or 5 on the City's Historic Preservation Study.

Agenda Item No. 11.2 Agenda Page No. 216 of 279
Mills Act
Base Year
APN Address 2023 Factored
Base Year Value
2023 Mills
Act Value
Reassessed
Value
Decrease
Percent of
Decrease
2002 799-19-011 7544 PRINCEVALLE ST 627,455 $ 281,400$ $ 346,055 55% 2002 799-19-026 555 5TH ST 420,351 $ 182,900$ $ 237,451 56% 2003 799-07-031 7405 EIGLEBERRY ST 766,746 $ 295,300$ $ 471,446 61% 2003 799-19-015 7590 PRINCEVALLE ST 1,490,831 $ 252,000$ $ 1,238,831 83% 2003 841-05-060 7560 MONTEREY RD 739,583 $ 739,583$ -$ 0% 2005 799-02-028 7711 ROSANNA ST 619,045 $ 161,300$ $ 457,745 74% 2006 799-19-027 575 5TH ST 716,769 $ 155,000$ $ 561,769 78% 2006 799-19-064 391 5TH ST 850,938 $ 234,800$ $ 616,138 72% 2007 799-02-033 7730 HANNA ST 1,031,100 $ 274,900$ $ 756,200 73% 2007 799-03-047 7797 MONTEREY ST 937,835 $ 302,600$ $ 635,235 68% 2007 799-05-030 7631 HANNA ST 649,782 $ 160,400$ $ 489,382 75% 2007 799-18-002 546 5TH ST 355,068 $ 153,800$ $ 201,268 57% 2009 799-19-040 7551 HANNA ST 615,518 $ 208,200$ $ 407,318 66% 2009 799-06-007 7541 CHURCH ST 609,152 $ 222,100$ $ 387,052 64% 2013 799-02-024 7751 ROSANNA ST 229,610 $ 106,300$ $ 123,310 54% 2017 799-06-024 7539 EIGLEBERRY ST 589,132 $ 278,000$ $ 311,132 53% 2019 841-06-040 222 MARTIN ST 745,862 $ 311,100$ $ 434,762 58% 2020 799-19-008 7363 Monterey 651,100 $ 186,100$ $ 465,000 71% 2020 799-08-037 7511 Carmel Street 1,608,300 $ 1,608,300$ -$ 0% 59% Average (all)
66% Average (omit outliers)
Agenda Item No. 11.2 Agenda Page No. 217 of 279
State of California  The Resources Agency Primary # P-43-003624 DEPARTMENT OF PARKS AND RECREATION HRI #
PRIMARY RECORD Trinomial
NRHP Status Code 5S1
Other Listings
Review Code Reviewer Date

Page 1 of 4 ends

P1. Other Identifier:

DPR 523A (9/2013) *Required information
*P2. Location:  Not for Publication  Unrestricted
*a. County Santa Clara and (P2c, P2e, and P2b or P2d. Attach a Location Map as necessary.) *b. USGS 7.5' Quad Gilroy Date 1955 (1994 ed.) T 11S ; R 04E;  of  of Sec 06 ; MD B.M. c. Address 286 5th St City Gilroy Zip 95020-5706
d. UTM: (Give more than one for large and/or linear resources) Zone 11N , 626991.35 mE/ 4096619.35 mN e. Other Locational Data: (e.g., parcel #, directions to resource, elevation, decimal degrees, etc., as appropriate) APN: 79907020; Elevation: 62 m amsl.; Lat/Long: (37.007164335643, -121.57265422937). *P3a. Description: (Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boundaries) The subject property is a Colonial Revival-style, single-family residence with a detached garage built in 1922. The 2-story building has horizontal wood board siding and a side gable roof covered with wood shingles with three front gable dormer windows. The northwest (main) elevation features casement wood frame windows and a wood paneled, front door, with a fanlight transom window, positioned centered. Flanking either side of the main elevation are two sunrooms. The subject property has an exterior end chimney made of brick. The subject property has a stoop porch below a front gable roof with four Doric columns. The subject property has 1 outbuilding (gazebo). No alterations were observed.
*P3b. Resource Attributes: (List attributes and codes) HP2. Single family property, HP4. Ancillary building P5a. Photograph or Drawing (Photograph required for buildings, structures, and objects.) *P4. Resources Present:  Building  Structure  Object  Site  District
 Element of District  Other (Isolates, etc.)
P5b. Description of Photo: (view, date,
accession #) E, September 30, 2018
4:09 PM, 3283.jpg
*P6. Date Constructed/Age and Source:
 Historic  Prehistoric  Both
1922 (Santa Clara County Assessor)
*P7. Owner and Address:

Sanchez Segundo Trustee
286 5th St
Gilroy CA 95020-5706
*P8. Recorded by: (Name, affiliation, and
address)
Sarah Corder
Dudek
725 Front Street, Suite 400
Santa Cruz, CA 95060
*P9. Date Recorded: 09/30/2018
*P10. Survey Type: (Describe)
Intensive Pedestrian
*P11. Report Citation: (Cite survey report and other sources, or enter "none.") Dudek 2020. City of Gilroy Historic Context Statement and Historic Resources Inventory Update. *Attachments: NONE Location Map Continuation Sheet Building, Structure, and Object Record Archaeological Record District Record Linear Feature Record Milling Station Record Rock Art Record Artifact Record Photograph Record  Other (List):

Agenda Item No. 11.2 Agenda Page No. 218 of 279
State of California  The Resources Agency Primary # P-43-003624 DEPARTMENT OF PARKS AND RECREATION HRI #
LOCATION MAP Trinomial

Page 2 of 4 ends

*Map Name: Gilroy, California *Scale: 1:24,000 *Date of map: 1955 (1994 ed.) DPR 523B (9/2013) *Required information
Agenda Item No. 11.2 Agenda Page No. 219 of 279
State of California  The Resources Agency

DEPARTMENT OF PARKS AND RECREATION

BUILDING, STRUCTURE, AND OBJECT RECORD
*Resource Name or #: (Assigned by recorder) 286 5th St *NRHP Status Code 5S1

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DPR 523B (9/2013) *Required information
B1. Historic Name:

B2. Common Name:

B3. Original Use: Single family residence B4. Present Use: Single family residence *B5. Architectural Style: Colonial Revival
*B6. Construction History: (Construction date, alterations, and date of alterations) The subject property was constructed in 1922 (Santa Clara County Assessor). No alterations were observed.
*B7. Moved? No Yes Unknown Date: Original Location:
*B8. Related Features:

B9a. Architect: b. Builder:
*B10. Significance: Theme Residential Development Area Gilroy Period of Significance
(1870-
1948) Property Type
Single-family
residential Applicable Criteria
NRHP: n/a
CRHR: n/a
Local: 1,3
(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity.) This single-family residence was designed in the Colonial Revival style and constructed within the original downtown grid. The residence retains adequate integrity to be recognizable to its original style and retains some of the style's character defining features including:
symmetrical facade with rectangular massing, sunrooms on both sides, two-stories in height, medium pitch side-gable roof with narrow eaves with dormer windows, wood clapboard, accentuated front door with decorative crown supported by columns, multi-lite windows, classical columns, and window shutters. Residential development in Gilroy in the late nineteenth and early twentieth century was characterized by expansion into the previously undeveloped sections of the initial Gilroy city grid. Many private residences were constructed during this period, aided by the prospect of piped utilities like natural gas, water, and electricity. Based on the date of construction for the subject property and its requisite integrity to its original period of construction, it is recommended eligible for the Gilroy HRI for its association with Gilroy's pattern of early (see continuation sheet)
B11. Additional Resource Attributes: (List attributes and codes) *B12. References:

B13. Remarks:
*B14. Evaluator: Nicole Frank, MSHP
*Date of Evaluation: November 12, 2019
(This space reserved for official comments.)
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State of California  The Resources Agency Primary# P-43-003624 DEPARTMENT OF PARKS AND RECREATION HRI #
CONTINUATION SHEET Trinomial
Property Name: 286 5th St

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DPR 523L (Rev. 1/1995)(Word 9/2013) *Required information B10. Significance Narrative: residential development in the original city grid under City of Gilroy Criterion 1. Archival research failed to indicate direct associations with any persons significant in our past, therefore the property does not rise to the level of significance required under the City of Gilroy Criterion 2. Given the economic diversity of Gilroy, architectural styles during this period range greatly from ornate Queen Anne mansions designed by noted architects, to period revival style residences, to simple unadorned cottages and bungalows. Many residences constructed during this time period reflect the core architectural development of the City and serve as important representations of popular late nineteenth and early twentieth century architectural styles. The subject property serves as an intact representation of the Colonial Revival style of architecture and retains the following character defining features: symmetrical facade with rectangular massing, sunrooms on both sides, two-stories in height, medium pitch side-gable roof with narrow eaves with dormer windows, wood clapboard, accentuated front door with decorative crown supported by columns, multi-lite windows, classical columns, and window shutters.

Therefore, the subject property is recommended eligible under City of Gilroy Criterion 3 for its representation of the Colonial Revival style of architecture. Finally, the subject property is not known to be the work of a notable builder, designer, or architect. As such, the subject property does not rise to the level of significance required under the City of Gilroy Criterion 4. Therefore, the subject property appears eligible for the City's HRI as an individual property under Criteria 1 and 3.

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State of California  The Resources Agency Primary #
DEPARTMENT OF PARKS AND RECREATION HRI #
PRIMARY RECORD Trinomial
NRHP Status Code 5S1
Other Listings
Review Code Reviewer Date

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P1. Other Identifier:

DPR 523A (9/2013) *Required information
*P2. Location:  Not for Publication  Unrestricted
*a. County Santa Clara and (P2c, P2e, and P2b or P2d. Attach a Location Map as necessary.) *b. USGS 7.5' Quad Gilroy Date 1955 (1994 ed.) T 11S ; R 04E;  of  of Sec 06 ; MD B.M. c. Address 7471 Hanna St City Gilroy Zip 95020-5723
d. UTM: (Give more than one for large and/or linear resources) Zone 11N , 626839.72 mE/ 4096532.1 mN e. Other Locational Data: (e.g., parcel #, directions to resource, elevation, decimal degrees, etc., as appropriate) APN: 79918026; Elevation: 63 m amsl.; Lat/Long: (37.00639852966, -121.57437273615). *P3a. Description: (Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boundaries) The subject property is a Spanish Colonial Revival-style, single-family residence with a detached garage built in 1926. The 1-story building has stucco siding and a crenelated parapet roof, which was not visible during the survey. The northeast (main) elevation features casement windows and multiple entry points displaying as wood and glazed doors. The subject property has an exterior end chimney clad in stone. The subject property has a stoop porch. No observed alterations.
*P3b. Resource Attributes: (List attributes and codes) HP2. Single family property, HP4. Ancillary building P5a. Photograph or Drawing (Photograph required for buildings, structures, and objects.) *P4. Resources Present:  Building  Structure  Object  Site  District
 Element of District  Other (Isolates, etc.)
P5b. Description of Photo: (view, date,
accession #) S, September 30, 2018
6:09 PM, 3313.jpg
*P6. Date Constructed/Age and Source:
 Historic  Prehistoric  Both
1926 (Santa Clara County Assessor)
*P7. Owner and Address:

Wentworth Esther C Trustee & Et Al
Thoma Melinda W Trustee
8581 Amanda Ave
Gilroy CA 95020-4043
*P8. Recorded by: (Name, affiliation, and
address)
Sarah Corder
Dudek
725 Front Street, Suite 400
Santa Cruz, CA 95060
*P9. Date Recorded: 09/30/2018
*P10. Survey Type: (Describe)
Intensive Pedestrian
*P11. Report Citation: (Cite survey report and other sources, or enter "none.") Dudek 2020. City of Gilroy Historic Context Statement and Historic Resources Inventory Update. *Attachments: NONE Location Map Continuation Sheet Building, Structure, and Object Record Archaeological Record District Record Linear Feature Record Milling Station Record Rock Art Record Artifact Record Photograph Record  Other (List):

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State of California  The Resources Agency Primary #
DEPARTMENT OF PARKS AND RECREATION HRI #
LOCATION MAP Trinomial

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*Map Name: Gilroy, California *Scale: 1:24,000 *Date of map: 1955 (1994 ed.) DPR 523B (9/2013) *Required information
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State of California  The Resources Agency

DEPARTMENT OF PARKS AND RECREATION

BUILDING, STRUCTURE, AND OBJECT RECORD
*Resource Name or #: (Assigned by recorder) 7471 Hanna St *NRHP Status Code 5S1

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DPR 523B (9/2013) *Required information
B1. Historic Name:

B2. Common Name:

B3. Original Use: Single family residence B4. Present Use: Single family residence *B5. Architectural Style: Spanish Colonial Revival
*B6. Construction History: (Construction date, alterations, and date of alterations) The subject property was constructed in 1926 (Santa Clara County Assessor). No observed alterations
*B7. Moved? No Yes Unknown Date: Original Location:
*B8. Related Features:

B9a. Architect: b. Builder:
*B10. Significance: Theme Residential Development Area Gilroy Period of Significance 1870-1948 Property Type
Single-family
residential Applicable Criteria
NRHP: n/a
CRHR: n/a
Local: 1,3
(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity.) This single-family residence was designed in the Spanish Colonial Revival style and constructed within the original downtown grid. The residence retains adequate integrity to be recognizable to its original style and retains some of the style's character defining features including:
simple rectangular massing, one-story in height, asymmetrical facade, low pitched roof, painted stucco exterior walls in natural colors, walls extend into parapet without a break, fenestration irregularly placed and recessed, tall, narrow, multi-lite metal casement windows, and decorative arched stucco work over windows.

Residential development in Gilroy in the late nineteenth and early twentieth century was characterized by expansion into the previously undeveloped sections of the initial Gilroy city grid. Many private residences were constructed during this period, aided by the prospect of piped utilities like natural gas, water, and electricity. Based on the date of construction for the subject property and its requisite integrity to its original period of construction, (see continuation sheet)
B11. Additional Resource Attributes: (List attributes and codes) *B12. References:

B13. Remarks:
*B14. Evaluator: Nicole Frank, MSHP
*Date of Evaluation: November 13, 2019
(This space reserved for official comments.)
Agenda Item No. 11.2 Agenda Page No. 249 of 279
State of California  The Resources Agency Primary#
DEPARTMENT OF PARKS AND RECREATION HRI #
CONTINUATION SHEET Trinomial
Property Name: 7471 Hanna St

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DPR 523L (Rev. 1/1995)(Word 9/2013) *Required information B10. Significance Narrative: it is recommended eligible for the Gilroy HRI for its association with Gilroy's pattern of early residential development in the original city grid under City of Gilroy Criterion 1. Archival research failed to indicate direct associations with any persons significant in our past, therefore the property does not rise to the level of significance required under the City of Gilroy Criterion 2. Given the economic diversity of Gilroy, architectural styles during this period range greatly from ornate Queen Anne mansions designed by noted architects, to period revival style residences, to simple unadorned cottages and bungalows. Many residences constructed during this time period reflect the core architectural development of the City and serve as important representations of popular late nineteenth and early twentieth century architectural styles. The subject property serves as an intact representation of the Spanish Colonial Revival style of architecture and retains the following character defining features: simple rectangular massing, one-story in height, asymmetrical facade, low pitched roof, painted stucco exterior walls in natural colors, walls extend into parapet without a break, fenestration irregularly placed and recessed, tall, narrow, multi-lite metal casement windows, and decorative arched stucco work over windows. Therefore, the subject property is recommended eligible under City of Gilroy Criterion 3 for its representation of the Spanish Colonial Revival style of architecture. Finally, the subject property is not known to be the work of a notable builder, designer, or architect. As such, the subject property does not rise to the level of significance required under the City of Gilroy Criterion 4. Therefore, the subject property appears eligible for the City's HRI as an individual property under Criteria 1 and 3.

However, the property's simplistic interpretation of a style prevents it from rising to the level of significance required for listing in the NRHP or CRHR. Therefore, the subject property appears not eligible for the NRHP or CRHR.

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RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO:

City Clerk
City of Gilroy
7351 Rosanna Street
Gilroy, California 95020

SPACE ABOVE THIS LINE FOR

RECORDER'S USE

RECORDING REQUESTED PURSUANT

TO GOVERNMENT CODE SECTIONS
6103 and 27383

HISTORIC PROPERTY PRESERVATION AGREEMENT
THIS AGREEMENT is made and entered into this _________ day of , 2023, by and between the CITY OF GILROY, a municipal corporation (“City”) and (collectively, “Owner”).

RECITALS
A. California Government Code section 50280, et seq. authorizes cities to enter into contracts with the owners of qualified historical property to provide for the use, maintenance and restoration of such historical property so as to retain its characteristics as property of historical significance;
B. Owner holds fee title in and to that certain real property, together with associated structures and improvements thereon, generally located at the street address , Gilroy, California 95020 (the “Historic Property”). A legal description of the Historic Property is attached hereto, marked as Exhibit “A” and is incorporated herein by this reference; C. On August 17, 2020 the City Council of the City of Gilroy (“City Council”) adopted Resolution No. 2020-53 accepting the Historic Resource Inventory update, which identified the Historic Property as a historic resource in the City of Gilroy. The Historic Property is a qualified historical property pursuant to California Government Code section 50280.1; and D. City and Owner, for their mutual benefit, now desire to enter into this agreement both to protect and preserve the characteristics of historical significance of the Historic Property and to qualify the Historic Property for an assessment of valuation pursuant to the Provisions of Chapter 3, of Part 2, of Division 1 of the California Revenue and Taxation Code.

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Agreement
NOW THEREFORE, City and Owner, in consideration of the mutual covenants and conditions set forth herein, do hereby agree as follows:

1. Effective Date and Term of Agreement. This Agreement shall be effective and commence on 2023 (“Effective Date”) and shall remain in effect for a term of ten (10) years thereafter. Each year upon the anniversary of the Effective Date, such initial term will automatically be extended as provided in paragraph 2, below.

2. Renewal. On each anniversary of the Effective Date (hereinafter referred to as the “Renewal Date”), an additional one year term shall automatically be added to the term of this Agreement unless a notice of nonrenewal (“Notice of Nonrenewal”) is served as provided herein.

If either Owner or City desires in any year not to renew this Agreement for an additional one year term, Owner or City shall serve a written Notice of Nonrenewal upon the other party in advance of the Renewal Date. Such Notice of Nonrenewal shall be effective if served by Owner upon City at least ninety (90) days prior to the Renewal Date, or if served by City upon Owner, such Notice of Nonrenewal shall be effective if served upon Owner at least sixty (60) days prior to the Renewal Date. If either City or Owner timely serves a Notice of Nonrenewal in any year, this Agreement shall remain in effect for the balance of the term then remaining, either from its original execution or from the last renewal date of this Agreement, whichever may apply.

2.1 Owner Protest of City Nonrenewal. Within fifteen (15) days after receipt by Owner of a Notice of Nonrenewal from City, Owner may make and file a written protest of the Notice of Nonrenewal. Upon receipt of such protest the City Council shall set a hearing prior to the expiration of the Renewal Date of this Agreement. Owner may furnish the City Council with any information which the Owner deems relevant, and within ten (10) days after demand shall furnish the City Council with any information the City Council may require. The City Council may, at any time prior to the Renewal Date of this Agreement, but without obligation to do so, withdraw its Notice of Nonrenewal.

3. Assessment of Valuation. The parties acknowledge that Owner, in consideration for abiding by the terms of this Agreement, shall be entitled to apply for a reassessment evaluation of the Historic Property pursuant to the provisions of Sections 439 et. seq. of the California Revenue and Taxation Code. Owner acknowledges that tax relief afforded to the Owner pursuant to Chapter 3, Part 2, of Division 1 of the California Revenue and Taxation Code may require negotiation with the Santa Clara County Assessor’s Office.

4. Standards for Historical Property. Owner shall preserve, repair and maintain the Historic Property and its Character Defining Features (defined below) as a qualified historic property, in no less than equal to the condition of the Historic Property on the Effective Date.

Owner shall, where necessary, restore and rehabilitate the property according to the rules and regulations of the Office of Historic Preservation of the State Department of Parks and Recreation, the United States Secretary of the Interior’s Standards for Rehabilitation and Restoration, the State Historical Building Code, and all applicable historic resource requirements within the City’s Zoning Ordinance and adopted policies, as the same may be amended from Agenda Item No. 11.2 Agenda Page No. 266 of 279
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time to time, and in accordance with the attached ten year schedule of home repair, maintenance and improvement measures prepared by Owner and approved by the City Council, attached hereto as Exhibit “B.” Commencing on the fifth anniversary of the Effective Date, and continuing every five (5) years thereafter during the term of this Agreement, Owner shall submit to City an updated ten (10) year schedule of potential home repair, maintenance and improvement measures for the upcoming ten (10) year period, which schedule shall also document all repairs, maintenance, and improvements which have been completed since the Effective Date. Character Defining Features means all historic or other architecturally significant aspects of the Historic Property, including without limitation, the general architectural form, style, materials, design, scale, details, mass, roof line, porch, exterior vegetation and other aspects of the appearance of the exterior and interior of the Historic Property. The Secretary of Interior’s Standards for Rehabilitation and Restoration currently in effect (attached hereto and marked as Exhibit “C”) shall be incorporated herein by reference and constitute the minimum standards and conditions for the rehabilitation and restoration of the Historic Property. All standards referred to in this Section 4 shall apply to the Historic Property throughout the term of this Agreement. Owner shall not obstruct or obscure the public’s ability to view the exterior of the Historic Property from the public right-of-way. Such prohibition shall include, without limitation, a prohibition against the placing of trees, bushes or fences in a location which substantially obscures or obstructs the view from the public right-of-way of the exterior of the Historic Property.

5. Periodic Examinations. Owner shall allow reasonable periodic examination, by prior appointment, of the interior and exterior of the Historic Property by representatives of the Santa Clara County Assessor, State Department of Parks and Recreation, State Board of Equalization, and/or the City, as may be necessary to determine Owner’s compliance with the terms and provisions of this Agreement.

6. Provision of Information of Compliance. Within ten (10) days after request by City, Owner shall furnish City with any and all information requested by the City from time to time which City deems necessary or advisable to determine compliance with the terms and provisions of this Agreement.

7. Cancellation. City, following a duly noticed public hearing, as set forth in California Government Code Sections 50285, et seq., may cancel this Agreement if it determines that Owner breached any of the provisions of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historic property and such breach is not cured by Owner within thirty (30) days after City gives Owner notice that a breach has occurred. City may also cancel this Agreement if it determines that the Owner has failed to maintain, preserve, restore or rehabilitate the Historic Property in accordance with the terms of this Agreement and such breach is not cured by Owner within thirty (30) days after City gives Owner notice that a breach has occurred. If this Agreement is canceled because of failure of the Owner to maintain, preserve, restore and rehabilitate the Historic Property as specified above, the Owner shall pay a cancellation fee to the State Controller as set forth in Government Code Section 50286 as the same may be amended or replaced from time to time.

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8. Destruction. Notwithstanding any provision of this Agreement to the contrary, the Owner may cancel this Agreement without payment of the cancellation fee set forth in Section 7, if the existing single-family residence (the “Structure”) on the Historic Property is damaged by fire, earthquake, or other Act of God or accidental cause to the extent (1) the then fair market value of said Structure is reduced by fifty-one percent (51%) or more; or (2) fiftyone percent (51%) or more of said Structure’s floor area is destroyed or irreparably damaged; or (3) fifty-one percent (51%) or more of the Structure’s Character Defining Features are destroyed or irreparably damaged; or (4) that the cost to the Owner (less any insurance proceeds payable in connection with such damage) to restore the Structure to its prior condition would exceed Ten Thousand Dollars ($10,000). If the Owner desires to cancel this Agreement under this Section 8, written notice shall be given to the City within ninety (90) days after such damage or destruction occurs.

If the Owner desires to cancel this Agreement due to the circumstances outlined in this Section 8, either party may request a hearing before the City Council to determine (a) the extent of diminution of value, (b) the extent of the damage or destruction to the floor area of the Structure, and/or (c) extent of damage or destruction to the Character Defining Features of the Structure. The City Council may refer any matter relating to (c) to the City’s Planning Commission for its findings and recommendations.

If Owner does not cancel this Agreement pursuant to this Section within ninety (90) days after damage or destruction occurs, or the damage or destruction does not exceed the thresholds set forth in the first paragraph of this Section, Owner shall have a reasonable time, not to exceed four (4) months, in which to restore the structure to not less than the condition existing prior to such damage or destruction.

9. Enforcement of Agreement. City may specifically enforce, or enjoin the breach of, the terms of this Agreement, if Owner fails to cure any default under this Agreement within thirty (30) days after City gives Owner notice that Owner has breached any of Owner’s obligations under this Agreement. If Owner’s breach is not corrected to the reasonable satisfaction of the City within thirty (30) days after the notice of breach is given to Owner, then City may, without further notice, declare a default under the terms of this Agreement and bring any action necessary to specifically enforce the obligations of Owner or enjoin any breach under this Agreement, including, but not limited to, bringing an action for injunctive relief against the Owner or such other relief as City may deem appropriate.

City does not waive any claim of default by Owner if City does not enforce or cancel this Agreement upon a default by Owner. All other remedies at law or in equity which are not otherwise provided for in this Agreement shall be available to the City to pursue if there is a default of this Agreement by Owner. No waiver by City of any breach or default under this Agreement by Owner shall be deemed to be a waiver of any other subsequent breach thereof or default hereunder.

10. Binding Effect of Agreement; Covenants Running With the Land. The Owner hereby subjects the Historic Property to the covenants, reservations and restrictions as set forth in this Agreement. City and Owner hereby declare their specific intent that the covenants, Agenda Item No. 11.2 Agenda Page No. 268 of 279
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reservations and restrictions as set forth herein shall be deemed covenants running with the land and shall pass to and be binding upon the Owner’s successors and assigns in title or interest to the Historic Property. Each and every contract, deed or other instrument hereinafter executed, covering or conveying the Historic Property, or any portion thereof, shall conclusively be held to have been executed, delivered and accepted subject to the covenants, reservations and restrictions expressed in this Agreement regardless of whether such covenants, reservations and restrictions are set forth in such contract, deed or other instrument. City and Owner hereby declare their understanding and intent that the burden of the covenants, reservations and restrictions set forth herein touch and concern the land in that the value of the Owner’s legal interest in the Historic Property may be affected thereby. City and Owner hereby further declare their understanding and intent that the benefit of such covenants, reservations and restrictions touch and concern the land by enhancing and maintaining the historic characteristics and significance of the Historic Property for the benefit of the public and Owner.

11. Cost Reimbursement. Owner shall, within ten (10) days after demand, reimburse City for all reasonable legal fees and costs and all staff time and costs incurred by City in connection with the preparation and review of this Agreement and the administration of the Agreement during the term of this Agreement.

12. Notice. Any notice required to be given by the terms of this Agreement shall be in writing and sent by personal delivery or by United States registered or certified mail, postage prepaid, return receipt requested, addressed as set forth in this Section 12 below at any other address as may be later specified by the parties hereto by notice given in the manner required by this Section 12.

To City:

City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
Attn: City Administrator
To Owner:
____________________
____________________
Gilroy CA 95020
Mailed notices shall be deemed delivered three (3) days after the date of posting by the United States Post Office.

13. Notice to Office of Historic Preservation. Owner shall provide written notice of this Agreement and shall provide a copy of this Agreement to the Office of Historic Preservation of the Department of Parks and Recreation of the State of California within six (6) months following the Effective Date.

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14. Effect of Agreement. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto or any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties to be considered joint venturers or members of any joint enterprise.

15. Indemnity of City. Owner shall protect, defend, indemnify, and hold City and its elected officials, officers, agents and employees harmless from liability for claims, losses, proceedings, damages, causes of action, liabilities, costs or expense, including reasonable attorneys’ fees, which may arise directly or indirectly from the negligence, willful misconduct or breach of this Agreement by Owner or Owner’s contractors, subcontractors, agents, employees or other persons acting on Owner’s behalf in connection with the Historic Property, or which arise directly or indirectly in connection with Owner's activities in connection with the Historic Property. This Section 15 applies, without limitation, to all damages and claims for damages suffered, or alleged to have been suffered regardless of whether or not the City prepared, supplied or approved any plans, specifications or other documents for the Historic Property.

16. Binding Upon Successors. All of the agreements, rights, covenants, reservations and restrictions contained in this Agreement shall be binding upon and shall inure to the benefit of the parties named herein, their heirs, successors, legal representatives, and assigns and all persons acquiring any part or portion of the Historic Property, whether voluntarily or involuntarily, by operation of law or in any manner whatsoever.

17. Legal Costs. If legal proceedings are brought by Owner or City to enforce or restrain a violation of any of the covenants, reservations or restrictions contained herein, or to determine the rights and duties of any party hereunder, the prevailing party in such proceeding may recover all reasonable attorneys’ fees to be fixed by the court, in addition to court costs and other relief ordered by the court.

18. Severability. If any of the provisions of this Agreement are held to be unenforceable or invalid by any court of competent jurisdiction, or by subsequent preemptive legislation, the validity and enforceability of the remaining provisions, or portions thereof, shall not be affected thereby.

19. Governing Law. This Agreement shall be construed and governed in accordance with the laws of the State of California.

20. Recordation. No later than twenty (20) days after the parties execute and enter into this Agreement, City shall cause this Agreement to be recorded in the Office of the County Recorder of the County of Santa Clara, California.

21. Amendments. This Agreement may be amended, in whole or in part, only by a written recorded instrument executed by all of the parties hereto.

22. Captions. Section headings and captions of this Agreement are for convenience of reference only and shall not be considered in the interpretation of any of the provisions of this Agreement.

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OWNER:

Dated: _______________, 2023 By: ____________________________________ Name ____________________
Dated: _______________, 2023 By: ____________________________________ Name ____________________
CITY:

Dated: _______________, 2023 CITY OF GILROY, a municipal corporation By: ____________________________________
Name: Jimmy Forbis
Its: City Administrator
Attest:

By: ____________________________________
Name: Thai Pham
Its: City Clerk
Approved as to Form:

By: ____________________________________
Name: Andrew Faber
Its: City Attorney
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INSERT NOTARY
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EXHIBIT “A”

LEGAL DESCRIPTION
That certain parcel of land in the City of Gilroy, County of Santa Clara, California, more particularly described as follows:
[Attached]
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EXHIBIT “B”

SCHEDULE OF IMPROVEMENTS
[Attached]
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EXHIBIT “C”
SECRETARY OF THE INTERIOR’S STANDARDS FOR

REHABILITATION AND RESTORATION
Rehabilitation:

1. A property will be used as it was historically or be given a new use that requires minimal change to its distinctive materials, features, spaces and spatial relationships.

2. The historic character of a property will be retained and preserved. The removal of distinctive materials or alteration of features, spaces and spatial relationships that characterize a property will be avoided.

3. Each property will be recognized as a physical record of its time, place, and use.

Changes that create a false sense of historical development, such as adding conjectural features or elements from other historic properties, will not be undertaken.

4. Changes to a property that have acquired historic significance in their own right will be retained and preserved.

5. Distinctive materials, features, finishes and construction techniques or examples of craftsmanship that characterize a property will be preserved.

6. Deteriorated historic features will be repaired rather than replaced. Where the severity of deterioration requires replacement of a distinctive feature, the new feature will match the old in design, color, texture, and where possible, materials. Replacement of missing features will be substantiated by documentary and physical evidence.

7. Chemical or physical treatments, if appropriate, will be undertaken using the gentlest means possible. Treatments that cause damage to historic materials will not be used.

8. Archeological resources will be protected and preserved in place. If such resources must be disturbed, mitigation measures will be undertaken.

9. New additions, exterior alterations or related new construction will not destroy historic materials, features and spatial relationships that characterize the property. The new work will be differentiated from the old and will be compatible with the historic materials, features, size, scale and proportion, and massing to protect the integrity of the property and its environment.

10. New additions and adjacent or related new construction will be undertaken in such a manner that, if removed in the future, the essential form and integrity of the historic property and its environment would be unimpaired.

Agenda Item No. 11.2 Agenda Page No. 275 of 279
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Restoration:

1. A property will be used as it was historically or be given a new use that interprets the property’s restoration period.

2. Materials and features from the restoration period will be retained and preserved.

The removal of materials or alterations of features, spaces and spatial relationships that characterize the period will not be undertaken.

3. Each property will be recognized as a physical record of its time, place and use.

Work needed to stabilize, consolidate and conserve materials and features from the restoration period will be physically and visually compatible, identifiable upon close inspection and properly documented for future research.

4. Materials, features, spaces and finishes that characterize other historical periods will be documented prior to their alteration or removal.

5. Distinctive materials, features, finishes and construction techniques or examples of craftsmanship that characterize the restoration period will be preserved.

6. Deteriorated features from the restoration period will be repaired rather than replaced. Where the severity of deterioration requires replacement of a distinctive feature, the new feature will match the old in design, color, texture and, where possible, materials.

7. Replacement of missing features from the restoration period will be substantiated by documentary and physical evidence. A false sense of history will not be created by adding conjectural features, features from other properties, or by combining features that never existed together historically.

8. Chemical or physical treatments, if appropriate, will be undertaken using the gentlest means possible. Treatments that cause damage to historic materials will not be used.

9. Archeological resources affected by a project will be protected and preserved in place. If such resources must be disturbed, mitigation measures will be undertaken.

10. Designs that were never executed historically will not be constructed.

Agenda Item No. 11.2 Agenda Page No. 276 of 279

11.3.Inclusionary Housing Introduction

1. Staff Report:

2. Public Comment

3. Possible Action:

Receive report.

Agenda Item No. 11.3 Agenda Page No. 277 of 279

Page 1 of 2 ends

City of Gilroy

STAFF REPORT
Agenda Item Title: Inclusionary Housing Introduction
Meeting Date: November 6, 2023
From: Jimmy Forbis, City Administrator
Department: Community Development
Submitted By: Sharon Goei, Community Development Director Prepared By: Cindy McCormick, Customer Service Manager
STRATEGIC PLAN GOALS Promote Safe Affordable Housing for All

RECOMMENDATION
Receive report.

BACKGROUND
The City of Gilroy does not currently have a city-wide Inclusionary Housing Policy/ Ordinance. While the City does require new planned developments in the City’s Neighborhood District zone to restrict 15% of units as affordable, this policy has limited applicability since the only new developments that it would apply to would need to be annexed into the City.

Gilroy’s Regional Housing Needs Allocation (RHNA) for the 2023 – 2031 planning cycle is 1,773 units, including 669 very-low income, 385 low-income, 200 moderate income, and 519 above-moderate income units. Notably, 37.7% of the 2023 - 2031 RHNA is in the very low-income category. While the City has been successful in producing lowincome units through tax-credit projects, the development community rarely proposes very-low or moderate-income units that count towards the City’s RHNA.

The City of Gilroy’s 2023 – 2031 Housing Element includes a program to develop an Inclusionary Housing Policy/Ordinance with an in-lieu of housing fee option for projects that meet identified thresholds. The goal of the policy/ordinance is to develop housing incentives and appropriate inclusionary requirements that will help facilitate moderate, Agenda Item No. 11.3 Agenda Page No. 278 of 279
Inclusionary Housing Introduction
City of Gilroy City Council Page 2 of 2 November 6, 2023 1 3 very low, and extremely low affordable housing without significantly constraining housing production.

In April 2023, the City issued a Request for Proposals for the development of an Inclusionary Housing framework. The City received four (4) proposals and chose the consultant that scored the highest amongst a panel of four City staff members.

ECONorthwest illustrated a strong economic background and experience in understanding housing markets, barriers to affordable housing, and the impacts of inclusionary housing policies on the financial feasibility of new developments.

ANALYSIS
On November 6, 2023, the consultant will provide the City Council with a brief synopsis of the City’s affordable housing needs, identify example policies from other cities in the region, summarize the legal context of inclusionary housing, and introduce the concept of inclusionary housing feasibility. Finally, the consultant will describe the process and milestones for completing the inclusionary housing feasibility study and recommendations.

FISCAL IMPACT/FUNDING SOURCE
On June 1, 2023, the City of Gilroy entered into a contract with ECONorthwest for $77,133 and is funded by the General Fund (100).

PUBLIC OUTREACH
City staff has created a website to share with the community and keep the community updated on the efforts on inclusionary housing: gilroy.city/AHP.

Both the November 6th City Council meeting and the November 7th community meeting were advertised through the City’s social media outlets, including the weekly newsletter.

Flyers inviting the public to the November 7th community meeting were posted at City Hall, the Gilroy Library, and the Senior Center and emailed to the City’s service providers.

NEXT STEPS
The next steps include holding a community workshop for the public on November 7, 2023, at 6:00 pp.m.in the Council Chambers and completing an Existing Conditions Memo and a Policy Review Memo to establish the existing market and regulatory context to guide policy formation. The consultant and City staff will present initial recommendations to the Council in early 2024, incorporate feedback from the Council into a draft policy, and set a goal for adoption in spring 2024.

Agenda Item No. 11.3 Agenda Page No. 279 of 279

Gilroy City CouncilNovember 6, 2023

Gilroy City Council
November 6, 2023