Gilroy City Council
May 20, 2024

May 20, 2024 | 6:00 PM Page 1 of 7 City Council Regular Meeting Agenda

CITY COUNCIL

REGULAR MEETING
AGENDA

CITY COUNCIL CHAMBERS, CITY HALL
7351 ROSANNA STREET, GILROY, CA
95020
MONDAY, MAY 20, 2024 | 6:00 PM
MAYOR
Marie Blankley

COUNCIL MEMBERS
Rebeca Armendariz
Dion Bracco
Tom Cline
Zach Hilton
Carol Marques
Fred Tovar
CITY COUNCIL PACKET MATERIALS ARE AVAILABLE ONLINE AT www.cityofgilroy.org AGENDA CLOSING TIME IS 5:00 P.M. THE TUESDAY PRIOR TO THE MEETING PUBLIC COMMENTS ON AGENDA ITEMS ARE TAKEN BEFORE THE CITY COUNCIL TAKES ACTION. Please keep your comments to 3 minutes. Time restrictions may vary based on the Mayor's discretion.

Send written comments on any agenda item to [email protected] or City Hall, 7351 Rosanna Street, Gilroy, CA 95020. Comments received by 1 p.m. on the meeting day will be distributed to the City Council before the meeting. Comments are also available at bit.ly/3NuS1IN.

In compliance with the Americans with Disabilities Act, the City will make reasonable arrangements to ensure accessibility to this meeting. If you need special assistance to participate in this meeting, please contact the City Clerk’s Office at least 72 hours prior to the meeting at (408) 846-0204 or [email protected] to help ensure that reasonable arrangements can be made.

If you dispute any planning or land use decision from this meeting in court, you may only raise issues you or someone else presented at this meeting's public hearing or in written letters to the City Council before the hearing.

Be aware that the time to seek a judicial review of any final decision made at this meeting is defined by Section 1094.6 of the California Code of Civil Procedure.

During this meeting, a Closed Session may be called under Government Code Section 54956.9 (d)(2). This will happen if, in the City's legislative body's opinion (based on current facts, circumstances, and legal advice), there's a significant risk of a lawsuit against the City.

Additional materials submitted after agenda distribution are available on www.cityofgilroy.org as soon as possible.

KNOW YOUR RIGHTS UNDER THE GILROY OPEN GOVERNMENT ORDINANCE Government's duty is to serve the public, reaching its decisions in full view of the public.

Commissions, task forces, councils and other agencies of the City exist to conduct the people's business. This ordinance assures that deliberations are conducted before the people and that City operations are open to the people's review.

May 20, 2024 | 6:00 PM Page 2 of 7 City Council Regular Meeting Agenda

FOR MORE INFORMATION ON YOUR RIGHTS UNDER THE OPEN GOVERNMENT ORDINANCE, TO

RECEIVE A FREE COPY OF THE ORDINANCE OR TO REPORT A VIOLATION OF THE ORDINANCE, CONTACT THE OPEN GOVERNMENT COMMISSION STAFF AT (408) 846-0204.

If you need translation assistance, contact the City Clerk 72 hours before the meeting at 408-846-0204 or [email protected].

Si necesita un intérprete durante la junta y gustaría dar un comentario público, comuníquese con el Secretario de la Ciudad un mínimo de 72 horas antes de la junta al 408-846-0204 o envíe un correo electrónico a la Oficina del Secretario de la Ciudad a [email protected].

To access written translation during the meeting, please scan the QR Code or click this link:

Para acceder a la traducción durante la reunión, por favor escanee el código QR o haga clic en el enlace:
bit.ly/3FBiGA0
Choose Language and Click Attend | Seleccione su lenguaje y haga clic en asistir
Use a headset on your phone for audio or read the transcript on your device.

Use sus auriculares para escuchar el audio o leer la transcripción en el dispositivo.

The agenda for this meeting is outlined as follows:

1. OPENING

1.1. Call to Order

1.2. Pledge of Allegiance

1.3. Invocation

1.4. City Clerk's Report on Posting the Agenda

1.5. Roll Call

1.6. Orders of the Day

1.7. Employee Introductions

2. CEREMONIAL ITEMS - Proclamations and Awards

3. COUNCIL CORRESPONDENCE (Informational Only)

3.1. Update on Grant Applications

3.2. LAFCO Countywide Fire Service Review Supplemental Response

3.3. Regional Medical Center Reduction Impact Assessment Report

4. PRESENTATIONS TO THE COUNCIL
May 20, 2024 | 6:00 PM Page 3 of 7 City Council Regular Meeting Agenda

4.1. Retirement Proclamation for Fire Chief Jim Wyatt

4.2. Retirement Proclamation for Fire Division Chief Randall Wong

4.3. Annual Presentation by the Gilroy Youth Commission

4.4. PUBLIC COMMENT BY MEMBERS OF THE PUBLIC ON ITEMS NOT ON THE

AGENDA BUT WITHIN THE SUBJECT MATTER JURISDICTION OF THE

CITY COUNCIL
This part of the meeting allows public address on non-agenda topics within the Council's jurisdiction. To speak, complete a Speaker's Card from the entrances and give it to the City Clerk. Speaking time ranges from 1-3 minutes based on the Mayor's discretion. Extended discussions or actions on non-agenda items are restricted by law. For Council action, the topic may be listed on a future agenda.

Email written comments on non-agenda topics
to [email protected] or mail them to City Hall, 7351 Rosanna Street, Gilroy, CA 95020, by 1:00 p.m. on the meeting day. These comments, available at City Hall, will be shared with the Council and included in the meeting record. Late submissions will be shared as soon as possible. A 10-page limit applies to hard-copy materials, but electronic submissions are unlimited.

5. REPORTS OF COUNCIL MEMBERS
Council Member Bracco – Downtown Committee, Santa Clara County Library Joint Powers Authority, Santa Clara Valley Water Joint Water Resources Committee, SCRWA Council Member Armendariz – Downtown Committee, Santa Clara County Library Joint Powers Authority (alternate), Santa Clara Valley Habitat Agency Governing Board, Santa Clara Valley Habitat Agency Implementation Board, Silicon Valley Clean Energy Authority JPA Board (alternate)
Council Member Marques – ABAG, Downtown Committee, Gilroy Gardens Board of Directors, Santa Clara Valley Habitat Agency Governing Board, Santa Clara Valley Habitat Agency Implementation Board, SCRWA (alternate)
Council Member Hilton – CalTrain Policy Group (alternate), Silicon Valley Clean Energy Authority JPA Board, VTA Policy Advisory Committee
Council Member Cline – Gilroy Economic Development Partnership (alternate), Gilroy Gardens Board of Directors (alternate), Gilroy Sister Cities Association, Gilroy Youth Task Force, Silicon Valley Regional Interoperability Authority Board, VTA Policy Advisory Committee (alternate), Visit Gilroy California Welcome Center Board, VTA Mobility Partnership Committee
Council Member Tovar – Downtown Committee, Gilroy Youth Task Force (alternate), Santa Clara County Expressway Plan 2040 Advisory Board, Santa Clara Valley Water Commission, SCRWA, South County Youth Task Force Policy Team May 20, 2024 | 6:00 PM Page 4 of 7 City Council Regular Meeting Agenda
Mayor Blankley – ABAG (alternate), CalTrain Policy Group, Downtown Committee, Gilroy Economic Development Partnership, Gilroy Sister Cities Association (alternate), Gilroy Youth Task Force, Santa Clara Valley Water Joint Water Resources Committee, SCRWA, South County Youth Task Force Policy Team, VTA Board of Directors, VTA Mobility Partnership Committee

6. CONSENT CALENDAR
Items under the Consent Calendar are deemed routine and approved with one motion. If a Council member or a member of the public wishes for a separate discussion on an item, it must be requested for removal before the Council's approval vote. If removed, the item will be discussed in its original order.

6.1. Approval of the Action Minutes of the May 6, 2024 City Council Regular Meeting and the May 13, 2024 Study Session Meeting

6.2. Cash and Investment Report as of March 31, 2024

6.3. A Resolution of the City Council of the City of Gilroy Calling a General Municipal Election for Municipal Officers and Requesting the Santa Clara County Board of Supervisors Consolidate With the Statewide General Election to be Held on November 5, 2024 Pursuant to California Elections Code Section 10403, and Requesting Services of the Registrar of Voters

7. BIDS AND PROPOSALS

8. PUBLIC HEARINGS

8.1. Appeal of Determination of Incomplete Application for 315 Las Animas Avenue (M 24-07)

1. Disclosure of Ex-Parte Communications

2. Staff Report: Sharon Goei, Community Development Director

3. Open Public Hearing

4. Close Public Hearing

5. Possible Action:

Staff recommends that the City Council deny the appeal and uphold staff’s decision to determine the Architectural and Site Review application (AS 23-21) is incomplete pursuant to Government Code section 65943.

8.2. Zoning Text Amendments to Implement Various Programs of the Gilroy 2023-2031 Housing Element

1. Disclosure of Ex-Parte Communications

2. Staff Report: Sharon Goei, Community Development Director

3. Open Public Hearing

4. Close Public Hearing

5. Possible Action:
a) Based on the City Council’s independent analysis, find that approval of Zoning Amendment Z 24-0001 is exempt from review under the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15061(b)(3) where it can be seen with certainty that the amendments to implement the Gilroy 2023-2031 Housing Element would not result in a significant environmental effect; and May 20, 2024 | 6:00 PM Page 5 of 7 City Council Regular Meeting Agenda
b) Motion to read the ordinance by title only and waive further reading; and
c) Introduce an ordinance of the City Council of the City of Gilroy amending the Gilroy City Code, Chapter 30 (Zoning), Article XI (Residential Use Tables) in conformance with the City of Gilroy 2023- 2031 Housing Element.

9. UNFINISHED BUSINESS

10. INTRODUCTION OF NEW BUSINESS

10.1. Consent the Appointment of Scot Smithee (Retired Annuitant) as the Interim Senior Executive Team Director Leading and Managing the Gilroy Fire Department Effective May 28, 2024 and Adoption of a Resolution of the City Council of the City of Gilroy Approving the Appointment and Employment Agreement

1. Staff Report: LeeAnn McPhillips, Administrative Services and Human Resources Director / Risk Manager

2. Public Comment

3. Possible Action:
a) Consent the City Administrator’s recommendation to appoint Scot Smithee (Retired Annuitant) as Interim Senior Executive Team Director leading and managing the Gilroy Fire Department effective May 28, 2024.
b) Adopt a resolution of the City Council of the City of Gilroy approving the appointment of Scot Smithee (Retired Annuitant) as Interim Senior Executive Team Director leading and managing the Gilroy Fire Department pursuant to Government Code Section 21221(h) and authorizing the City Administrator to execute the employment agreement.

10.2. Receive Budget Report for the Third Quarter of Fiscal Year 2023-2024 (FY24) and Adopt a Resolution Amending the Appropriations for FY24 and FY25 in the Police Grants Fund

1. Staff Report: Harjot Sangha, Finance Director

2. Public Comment

3. Possible Action:
a) Receive Budget Report as of the Third Quarter of FY24. b) Adopt a Resolution of the City Council of the City of Gilroy amending the appropriations for FY24 and FY25 in the Police Grants Fund (225).

10.3. Fiscal Year 2024 Third Quarter Departmental Workplan Update

1. Staff Report: Bryce Atkins, Assistant to the City Administrator May 20, 2024 | 6:00 PM Page 6 of 7 City Council Regular Meeting Agenda

2. Public Comment

3. Possible Action:

Council receive the report.

10.4. Authorization for the City Administrator to Execute the Countywide AB 939 Implementation Fee Agreement and the Countywide Household Hazardous Waste (HHW) Collection Agreement

1. Staff Report: Heba El-Guindy, Public Works Director

2. Public Comment

3. Possible Action:

Receive report and provide authorization for the City Administrator to execute the Countywide AB 939 Fee Agreement and the Countywide Household Hazardous Waste (HHW) Collection Agreement.

10.5. Approve First Amendment to Agreement with Ruggeri-Jensen-Azar & Associates in the amount of $45,314 for the Sharks Ice Gilroy Street Improvements and Traffic Signal Project (24-RFP-PW-492) to complete American Land Title Association Survey for the Sharks Ice Gilroy Facility

1. Staff Report: Heba El-Guindy, Public Works Director

2. Public Comment

3. Possible Action:

Approve the attached First Amendment to the Consulting Services Agreement between the City and Ruggeri-Jensen-Azar & Associates for the Sharks Ice Gilroy Street Improvements and Traffic Signal project (24-RFP-PW-492) in the amount of $45,314 to complete the American Land Title Association (ALTA) survey for the Sharks Ice Gilroy facility and authorize the City Administrator to execute the necessary Amendment documents.

11. FUTURE COUNCIL INITIATED AGENDA ITEMS

12. CITY ADMINISTRATOR'S REPORTS

13. CITY ATTORNEY'S REPORTS

14. CLOSED SESSION

14.1. PUBLIC EMPLOYEE PERFORMANCE EVALUATION Pursuant to Government Code Section 54957 and Gilroy City Code Section 17A.11 (2); Employee Name/Title: Jimmy Forbis, City Administrator

15. ADJOURN TO OPEN SESSION
Report of any action taken in Closed Session and vote or abstention of each Council Member if required by Government Code Section 54957.1 and GCC Section 17A.13 (a); Public Report of the vote to continue in closed session if required under GCC Section 17A.11 (e).

16. ADJOURNMENT
May 20, 2024 | 6:00 PM Page 7 of 7 City Council Regular Meeting Agenda

FUTURE MEETING DATES
June 2024
3 Regular Meeting - 6:00 p.m
17 Regular Meeting - 6:00 p.m
July 2024
29 Regular Meeting - 6:00 p.m
August 2024
5 Regular Meeting - 6:00 p.m
19 Regular Meeting - 6:00 p.m
Meetings are live streamed on the City of Gilroy’s website at gilroy.city/meetings and on YouTube at https://bit.ly/45jor03.

Access the 2024 City Council Meeting Calendar at https://bit.ly/3LLzY1n.

City of Gilroy
7351 Rosanna Street
Gilroy, California 95020
Telephone: 408-846-0400 Fax: 408-846-0500
www.cityofgilroy.org
May 13, 2023

To: Honorable Mayor and City Council
From: Bryce Atkins, Assistant to the City Administrator RE: Current Grant Status Report
Below is a listing of the current status of grant applications. The below listing identifies the name of the grant, the amount if known (those grants still in application status or being evaluated may not have a known number yet), the purpose for the grant application, and the status. For this report, we are including the state and federal earmarks, as they constitute grants (required a request, considered competitively with other submissions, and is funding without a match requirement). There are four such entries (three Congressional, one California Legislature earmarks). If Council has any questions regarding a specific grant, please let me know and I can supply the information or gather additional information from the department leading that specific application.

Grant Name Amount
(In US$) Purpose/ Project Status
Clean California Grant 3,960,765 Gourmet Alley and Railroad Street Beautification and Litter Abatement
Awarded
SVCE Resilience Program 314,031 Planning and eventual implementation - likely Electric Vehicle technology
Awarded
Proposition 68 Per Capita Grant 212,134 Sports Park and San Ysidro Park - Protective Rubber safety surface
replacement, LED lighting, picnic tables,
trash receptacles, etc.

Awarded
California Energy Commission grant 60,000 funds for establishing an online, automated solar permitting program
(SolarApp+)
Awarded
SVCE Reach Code Grant 10,000 Reach Code process Awarded Safety Training Program 2,000 HR program award Awarded

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Grant Name Amount
(In US$) Purpose/ Project Status
Community Power Resiliency Grant 300,000 advanced-based grant towards the City Hall back-up power project
Awarded
2021 Emergency Management
Performance Grant
23,500 Reimbursement-based grant for EOC
technology upgrades to include video wall
mount with 3 new displays, A/V sharing
capability, related cable systems, and 2
laptops. Most purchases already made and
working with Santa Clara County on
reimbursement process.

Awarded
2022 Emergency Management
Performance Grant
3,800 Reimbursement-based grant for
emergency management training. Fully
Reimbursed.

Awarded
2023 Emergency Management
Performance Grant
21,200 Reimbursement-based grant for EOC
technology upgrades to include a Surface
Hub to enhance collaboration and video
conferencing capability. Also, includes
funding for emergency management
training.

Awarded
California OES Prepare Jumpstart
Grant
986,249 Original request: $357,290 to hire a fulltime Community Resilience Coordinator for two years. CalOES contacted the City and
asked us to revise our application for a
five-year program term and associated
costs. The application was awarded.

Awarded
EDI Community Project Funding (US
Congressional Omnibus Bill)
3,000,000 San Ysidro Park, Healthy Living
Enhancement Project
Awarded
EDI Community Project Funding (US
Congressional Omnibus Bill)
1,500,000 Safe Routes to School Initiative Awarded
EDI Community Project Funding (US
Congressional Omnibus Bill)
350,000 Gateway Senior/Monterey Road HAWK
Crosswalk
Awarded
Priority Legislative Budget Project
(California State Senator Laird
Earmark)
350,000 Gateway Senior/Monterey Road HAWK
Crosswalk
Awarded
CNRA Youth Community Access Grant 291,006 Three-year nature field trip program for underserved youth. Application has now
advanced to second tier review.

Awarded
Recreational Trails Program 200,000 Lions Creek Trail Awarded EMS Agency 40,417 LUCAS Device Awarded
EMS Agency 33,081 iPads, Duodote, Check-it Awarded
EMS Agency 40,835 Gurney Awarded
FEMA 69,633 FEMA reimbursement for cost of OT
associated with working as COVID-19
vaccinators.

Awarded

3.1 p. 9 of 217
Grant Name Amount
(In US$) Purpose/ Project Status
FEMA 20,813 Response to Terrorism Training Awarded
Assistance to Firefighters Grant 66,583 SCBA Compressor Awarded 2023 State Homeland Security Grant
Program (SHSGP)
8,640 Gilroy OEM Satellite Phone Deployment Awarded
County of Santa Clara 2023 Fireworks
Grant Program
5,000 Offset Costs of annual 4th of July Fireworks
display
Awarded
County of Santa Clara 2024 Fireworks
Grant Program
5,000 Offset Costs of annual 4th of July Fireworks
display
Awarded
Hazard Mitigation Grant Program TBD Cancelled due to County LHMP not being FEMA and CalOES Approved in time.

Cancelled
RAISE Grant - 2022 Round 19,525,606 10th Street Bridge Construction Denied Family Homelessness Challenge 650,000 Two years’ salary for a new full-time City employee (Unhoused Family Specialist) as
well as rental/motel vouchers for families
with children that are experiencing
homelessness
Denied
OBAG3 Grant 16,000,000 Reconstruction of segments of Monterey and Luchessa
Denied
Active Transportation Program (ATP) 4,442,000 Monterey Road sidewalk, pedestrian crossing, and bike lane improvements
Denied
Assistance to Firefighters Grant 850,000 Type 1 Fire Engine Denied Opioid Affected Youth Initiative 590,500 Youth and family opioid and other drug treatment and prevention
Denied
Assistance to Firefighters Grant 70,843 Purchase of drones for the Fire Drone Program
Denied
RAISE Grant - 2023 Round 21,934,608 10th Street Bridge Construction. Second round of submittals. Work continues on
outreach component of application;
submittal of February 28th. Total
application amount may change as
application is finalized.

Denied
Valley Water Grants & Partnerships
Program
1,603,253 Lions Creek Trail Denied
Habitat Conservation Fund 200,000 Lions Creek Trail Denied Assistance to Firefighters Grant 800,000 Replacement of Gilroy Fire Department Self Contained Breathing Apparatus (SCBA)
tanks.

Denied
JAG: Edward Byrne Memorial Justice
Assistance Grant
TBD Provides funding to local governments to
support program areas in law enforcement
Evaluating for
Application
Safe Streets and Roads for All
Discretionary Grant Program
TBD Project is for a to be determined. It may be
used for a local road safety plan, or
implementation program if the
In Progress

3.1 p. 10 of 217
Grant Name Amount
(In US$) Purpose/ Project Status
requirements of an existing plan are
satisfied. Cancelled, some application
requirements were not attainable in the
application window. Other financing will be
explored.

EPA - sub-applicant with SCC District
Attorney's Office
TBD Notice of Intent submitted - training and
supplies
In Progress
Office of Planning and Research -
Extreme Heat and Community
Resilience Grant
TBD Notice of Intent submitted - Solar
Generator and Senior Center
In Progress
Caltrans Sustainable Transportation
Planning Grant
310,300 Climate Action Plan, VMT/TDM Policy
Development
Submitted/
Waiting
RAISE Grant - 2024 Round 25,000,000 10th Street Bridge Submitted/ Waiting
Listos CERT Support 25,000 CERT equipment and supplies Submitted/ Waiting
SAFER 2,162,841 Submitted 4/11/2024 Submitted/
Waiting
Assistance to Firefighters Grant 365,000 Ambulance Submitted/ Waiting
Assistance to Firefighters Grant 225,000 Portable radios Submitted/ Waiting
Patrick Leahy Bulletproof Vest Grant 27,960 To reimburse states, units, and local government for up to 50% of the cost of
body armor vests purchases for law
enforcement officers
Submitted/
Waiting
Law Enforcement Mental Health and
Wellness Act (LEMHWA) Program
200,000 Funding to improve the delivery of and
access to mental health and wellness
services for law enforcement by funding
projects that develop knowledge, increase
awareness of effective mental health and
wellness strategies, increase the skills and
abilities of law enforcement, and increase
the number of law enforcement agencies
and relevant stakeholders using peer
support, training, family resources, suicide
prevention, and other promising practices
for wellness programs
Submitted/
Waiting

3.1 p. 11 of 217
Grant Name Amount
(In US$) Purpose/ Project Status
Cannabis Tax Fund Grant Program
(CTFGP)
104,000 With the passage of Proposition 64, voters
mandated the State set aside funding for
the California Highway Patrol to award
grants to local governments to address
impaired driving by providing alternative
funding sources to augment current
activities and programs
Submitted/
Waiting
OTS: Office of Traffic Safety Grant
Selective Traffic Enforcement Program
146,000 Provides funding to reduce the number of
persons killed and injured in crashes
involving alcohol and other primary crash
factors
Submitted/
Waiting
OTS: Motorcycle Safety 26,570 Provides funding for hands-on motorcyclist safety courses, helmet usage training,
classroom education, community outreach
and public awareness campaigns,
presentations and workshops
Submitted/
Waiting
Total Number of Grants, including in evaluation: 53
Amount (in US$) # of Applications
Awarded 11,874,687 26
Denied 66,666,810 11
Submitted/ Waiting 28,592,671 11
In Progress - 3
Cancelled - 1
Evaluating for Application N/A 1
Total Applied For Amount1 107,134,168
Respectfully,
Bryce Atkins
Assistant to the City Administrator
1 Amount includes awarded, declined, submitted, and earmarks.

3.1 p. 12 of 217
City of Gilroy
7351 Rosanna Street

GILROY, CALIFORNIA
95020
Telephone (408) 846-0202
FAX: (408) 846-0500
http://www.ci.gilroy.ca.us
Jimmy Forbis
City Administrator
April 22, 2024
Santa Clara County LAFCO
777 N. First Street #410
San Jose, CA 95112
[email protected]
Re: Countywide Fire Service Review Report Responses
Dear LAFCO Commissioners and Neelima Palacherla,
Thank you for the opportunity to respond to the Countywide Fire Service Review Recommendations.

We have the following responses:

Table A
2C Gilroy Units:

The Chestnut Station has two units cross-staffed with three personnel assigned to the station, and the crew has an UHU of 10.9%. The Station 47/Chestnut Station crew has an UHU of 10.9%, specifically Sta.47 Cross Staffed (2.1%) + E47 (8.8%).

City’s Response
The City of Gilroy has diligently worked to hire and train fire personnel to staff a fourth fire station to provide an effective citywide fire response force, to reduce the response times within the Santa Teresa Response (STR) district, and to reduce overall response times throughout the City. Within the past year, the City has hired a total of (6) firefighters to bring the current staffing level to 39-line personnel.

Numerous industrial work-related injuries have delayed full implementation of staffing the STR Station.

Once the STR Station is fully staffed, it is anticipated to reduce the Unit Hour Utilization currently exceeding 10% at the Chestnut Station.
8A Gilroy:

With two of Gilroy Fire Department’s three stations being over forty years old, there should be a facility replacement plan in place. (Chestnut - 51 years) and (Las Animas - 45 years). In reviewing the city's current capital improvement budget, there were no fire facilities identified.

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City’s Response
The Gilroy City Council recently approved funding for upgrades and improvements to the Chestnut and Las Animas Fire Stations. Additionally, a sales tax ballot initiative is being developed for proposal to the City’s voters for approval in 2024. If approved, funding will become available for seismic retrofit, remodel, station upgrades, and completion of a fourth station. 20 AVL Dispatch of Resources:

Gilroy, Morgan Hill, San Jose, Sunnyvale, CCFD, and SCFD are not currently utilizing Automatic Vehicle Location (AVL) technology to dispatch the closest available resource for emergencies. By integrating AVL into the CAD system through GIS mapping, the system can identify and dispatch the nearest unit to the incident. AVL Dispatch can help improve overall response times, potentially making a significant difference in critical calls. Each of these agencies should implement AVL dispatch in their dispatch center.

City’s Response
Gilroy has recently purchased the technology and equipment to provide AVL capabilities for all frontline and reserve apparatus. Software integration with the City’s CAD system will aid in dispatching the closest Gilroy fire engine to the emergency incident. However, these advantages of full integration of the City’s CAD and AVL systems will be limited to City-owned resources only. Mutual-aid/auto-aid responses using AVL will be unavailable until similar capabilities are purchased and implemented by adjacent agencies. 30 Gilroy, Morgan Hill and SCFD:

Exploring options for alternative service structures, such as joint powers authorities combining operations of two or more neighboring agencies, could potentially bring efficiencies and value-added services to Morgan Hill, Gilroy, and SCFD. While CAL FIRE provides contractual service of a largescale fire agency to Morgan Hill and SCFD, creating a larger local entity consisting of Morgan Hill, Gilroy, and SCFD with a unified structure could offer benefits such as increased accountability, improved efficiency, and enhanced effectiveness in delivering fire services to the community. While reorganization, consolidation, and other shared service structures will likely have efficiencies from which agencies can benefit, if they are facing service related constraints, these structure alternatives do not provide a singular solution to all constraints to services and must be combined with other strategies. It is recommended that SCFD and the cities of Morgan Hill and Gilroy enter into a Memorandum of Understanding, in coordination with CAL FIRE, outlining the agencies’ commitment to providing long-term cooperative fire services and establishing a joint strategic planning team to assess potential cooperative service elements for implementation.

City’s Response
Regionalization and consolidation of the South County area has been considered repeatedly over the past 20 years. Recently, the City Administrator sought and was given permission by the Gilroy City Council to initiate the exploration of this concept once again, to determine fiscal feasibility, validate efficiencies and value-added services, and recommend the best course of action. In the meantime, the GFD continues to work with the MHFD and South Santa Clara County Fire District through existing Boundary Drop Agreements, Mutual Aid Agreements, and Auto Aid Agreements. 30A Gilroy:

Considering the staffing and facility constraints specific to the City of Gilroy, collaborating with the City of Morgan Hill and SCFD to establish a larger entity may hold particular value.

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City’s Response
The GFD agrees with and appreciates the potential advantages of combining service for the South County region through participation with a single larger entity that would address increasing costs and needed efficiencies. Contracting out also brings the potential for one or more alternative service models to the GFD. The City is currently in negotiations to finalize and receive funding to build a permanent fourth fire station, the completion of which was contemplated as part of and necessary for the response time goals adopted by the Gilroy City Council in 2019. With the completion of the fourth fire station and recent City Council approval to initiate the exploration of combined service for South County, we believe there are many opportunities underway for significant improvements to GFD services to the Community and our residents.

Please reach out to [email protected] or [email protected] if you have any questions.

Respectfully Submitted,
Jimmy Forbis, Administrator Jim Wyatt, Fire Chief
City of Gilroy City of Gilroy
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City of Gilroy
Fire Department
7070 CHESTNUT STREET

GILROY, CALIFORNIA
95020-6610
Telephone (408) 846-0370
FAX: (408) 848-0379
http://www.gilroyfire.com

JIM WYATT

FIRE CHIEF
DATE: MAY 3, 2024
TO: JIMMY FORBIS, CITY ADMINISTRATOR
FROM: JIM WYATT, FIRE CHIEF
SUBJECT: Regional Medical Center Reduction Impact Assessment Report

BACKGROUND
On February 13, 2024, Regional Medical Center notified the Santa Clara County Emergency Medical Services (EMS) Agency that they would be terminating their Hospital Designation Agreements for Trauma, STEMI, and downgrading their Stroke from Comprehensive to Primary, effective August 12, 2024.

Pursuant to California Health and Safety Code, the EMS Agency completed an impact assessment and conducted a public hearing within 60 days of the notification. A public hearing was held on March 27, 2024, and a presentation was made to the Board of Supervisors on April 16, 2024.

Listed is a summary of the EMS Agency’s impact assessment of RMC terminating Trauma, STEMI, and downgrading their Stroke from Comprehensive to Primary.

ASSESSMENT
EMS System Impacts
The changes at RMC are also expected to affect various aspects of EMS operations, including 911 transport times and utilization, interfacility ambulance services, ambulance patient offload times (APOT), and disaster response.
• 911 Transport Times and Utilization: It is anticipated that 911 patient transport times to other specialty care centers will increase, particularly for incidents located north or east of RMC. Longer transport times may result in ambulances being less available for response due to increased travel time, leading to the loss of several hours of availability. • Impact on Interfacility Ambulance Services: The number of transfers to other acute care hospitals or specialty care centers are expected to increase, and specialty care patients may require higher levels of care during transport, potentially leading to longer response times for IFT units.
• Ambulance Patient Offload Times (APOT): Increased volume at the remaining specialty centers in the county will likely lead to delays in offloading patients from ambulances to emergency departments, which can cause resource allocation issues, ED overcrowding, longer wait times, and decreased patient satisfaction.

3.3 p. 16 of 217

• Impacts on Healthcare Providers: Additional strains will be placed on hospitals and healthcare providers, including emergency medical personnel, physicians, and nurses.

Disrupted care pathways will force patients to seek care at alternative facilities, increasing demand on neighboring hospitals and exacerbating staffing shortages, burnout rates, and compromised patient care.
• Disaster Response: The discontinuation of specialty services at RMC may impact disaster response capabilities, particularly for incidents affecting both Santa Clara and Alameda counties. Larger-scale incidents, such as earthquakes or mass casualty events, may further strain the EMS system and require alternative means of medical care.

Overall, the changes at RMC are expected to have significant implications for EMS operations, patient care, hospital services, and disaster response capabilities in the region. Strategies for managing increased transport times, addressing offload delays, and ensuring effective disaster response will be crucial for maintaining the quality and efficiency of the EMS system.

Community Impacts:

RMC’s reduction of STEMI, Trauma, and Stroke units is expected to have profound effects on health outcomes, access to care, and community well-being. • County EMSA link to the full report:
https://bit.ly/RegionalMedicalCenterImpactAssessment
CONCLUSION – Impact to City of Gilroy
The County EMSA’s assessment paints a grim picture for the County, but a significant loss for the South County area (my assessment) because over one-half of Gilroy’s trauma patients are currently transported to RMC. Extended ambulance transport times coupled with greater out-ofservice times by our firefighter/paramedics when providing necessary assistance during transport, will lessen chances for patient survival and will stretch our already thin resources even further.

However, we have an opportunity to reduce the impact of trauma closures and hospital service reductions if we are able to convince the voters to pass the upcoming Public Safety Sales Tax initiative. Revenues from this tax initiative could fund additional firefighter/paramedic personnel and finance the replacement of our aging fire-based ambulance with the intention to improve timely transportation of critical trauma/medical patients and improve patient survivability within the City.

3.3 p. 17 of 217
Attested to by:

Beth Minor Marie Blankley
Interim City Clerk MAYOR
HEREAS, James “Jim” Wyatt has well served the City of Gilroy for ten years, sharing his expertise, skills, and talents to support Gilroy Fire Operations, Emergency
Medical Services, Emergency Management; and
leadership within Santa Clara County; and
WHEREAS, Jim has made significant contributions to the City as it relates to operational readiness, development of
COVID-19 policies and protocols, implementation of
California’s first fire-based Community Paramedicine
Behavioral Health Program, fire policy development,
leadership succession planning, and significant
contributions at the Emergency Medical Services
Section Chiefs level and the Santa Clara County Fire
Chiefs level; and
WHEREAS, Jim is retiring from the position of Fire Chief with the sincere gratitude and appreciation of the Gilroy City
Council for his years of dedicated public service to our fine City; and
WHEREAS, Jim has left his legacy as one of public service, teamwork, and collaborative spirit; and
NOW, THEREFORE, I, Marie Blankley, Mayor of the City of Gilroy, and on behalf of the entire City Council and all the citizens and employees of Gilroy, join in thanking

JAMES WYATT
for his commitment of service and wish him well in retirement for years to come.

City of Gilroy
W

4.1 p. 18 of 217
Attested to by:

Beth Minor Marie Blankley
Interim City Clerk MAYOR

W HEREAS,
Randy Wong has well served the City of Gilroy for over
twenty-one years, having begun his Gilroy career in 2002.

He served the community through dedication,
compassion, and commitment to helping all in need; and
WHEREAS, Randy’s skills as a Fire Division Chief, Training Division Manager, exceptional Training Officer, and Fireground
Incident Commander have helped the City prepare for and manage many emergencies over the years; and
WHEREAS, Randy has made significant contributions to the City as it relates to all types of emergency response. This
unwavering service and dedication was done with the
needs of this community well above his own with a
servant heart in full knowledge of the tremendous risk to himself; and
WHEREAS, Randy is retiring from the position of Fire Division Chief with the sincere gratitude and appreciation of the Gilroy City Council for his years of dedicated public service; and WHEREAS, Randy’s positive impact to those he worked with and those he served will live on.

NOW, THEREFORE, I, Marie Blankley, Mayor of the City of Gilroy, and on behalf of the entire City Council and all of the citizens and employees of Gilroy, join in thanking

RANDY WONG
For his commitment of service and wish him well in retirement for years to come.

City of Gilroy

4.2 p. 19 of 217
City Council Regular Meeting
Agenda
May 6, 2024 | 6:00 PM Page 1 of 7

GILROY CITY COUNCIL MEETING MINUTES
MONDAY, MAY 6, 2024 | 6:00 PM

1. OPENING

1.1. Call to Order
The meeting was called to order by Mayor Blankley at 6:00 P.M.

1.2. Pledge of Allegiance
Council Member Bracco led the Pledge of Allegiance.

1.3. Invocation Father Michael Hendrickson, St. Mary’s Church, provided the invocation.

1.4. City Clerk's Report on Posting the Agenda Interim City Clerk Beth Minor advised the agenda was posted on Friday, May 3rd at 8:31 A.M.

1.5. Roll Call
Attendance Attendee Name
Present Rebeca Armendariz, Council Member
Dion Bracco, Council Member
Tom Cline, Council Member
Zach Hilton, Council Member
Carol Marques, Mayor Pro Tempore
Fred Tovar, Council Member
Marie Blankley, Mayor
Absent None

1.6. Orders of the Day
There were none.

1.7. Employee Introductions
Heath McMahon, Utilities Director, introduced Izabela Cirloganu, Management Analyst.

Police Captain Luke Powell to introduced Lucas Asuncion, Police Officer.

Fire Chief Wyatt introduced Gregory Lucas, Casey Main, and Kevin BeBee, all newly Promoted to Fire Captain.

2. CEREMONIAL ITEMS - Proclamations and Awards

2.1. Proclamation Proclaiming May 2024 as Affordable Housing Month

2.2. Proclamation Proclaiming May 2024 as Building Safety Month

3. COUNCIL CORRESPONDENCE (Informational Only)

4. PRESENTATIONS TO THE COUNCIL

4.1. PUBLIC COMMENT BY MEMBERS OF THE PUBLIC ON ITEMS NOT ON

THE AGENDA BUT WITHIN THE SUBJECT MATTER JURISDICTION OF

6.1 p. 20 of 217
City Council Regular Meeting
Agenda
May 6, 2024 | 6:00 PM Page 2 of 7

THE CITY COUNCIL
Mayor Blankley opened Public Comment.

Ron Gurries spoke regarding the City’s homeless encampment ordinance and lack of enforcement.

Michael Harris asked the Council to support a fall baseball program in Gilroy as the closest one is in Morgan Hill.

William Owen also spoke regarding a Gilroy fall baseball program.

Irene Garcia spoke regarding having to wait 3 hours in the Police Department lobby to report a bank fraud incident.

Kristin Brown relayed an incident with a man who was acting crazy and tried to get into her car while she and her daughter were at the signal light at Monterey Road and 6th Street.

Paul Brown came to support his wife and daughter and to speak about the homeless encampments around schools and the use of illegal drugs and their effects on people.

Robert Butler introduced himself to the Council and spoke about his accomplishments and having grown up and worked in Gilroy.

David Behzad spoke about the fire that destroyed his business at 7998 Monterey and the past theft and vandalism that has occurred there.

Rigo Gallardo spoke about the need to prioritize safety at construction sites and the need to hire contractors who embody the values of safety, responsibility, and ethical conduct.

Trinity Elledim spoke about the need for access to care and social services for the homeless.

Elizabeth Bertolone advised the Council that she was also having issues with people stealing gas, vehicle vandalism, and vehicle thefts from her used car business.

Ron Kirkish spoke regarding environmental strategies and sea level rise and the Plan Bay Area 2050 has $19 Billion for this process.

There being no further speakers, Mayor Blankley closed Public Comment.

5. REPORTS OF COUNCIL MEMBERS
Council Member Bracco No report.

Council Member Armendariz No report.

6.1 p. 21 of 217
City Council Regular Meeting
Agenda
May 6, 2024 | 6:00 PM Page 3 of 7
Council Member Marques report the new ticket pricing at Gilroy Gardens is working and they showed only a slight decline in attendance, compared to other amusement parks. She also spoke about the upcoming Study Session with the Gilroy Gardens Board on Monday, May 13, 2024.

Council Member Hilton announced the Santa Clara County VTA is seeking proposal to support VTA’s vision of equitable, transit-oriented communities. He also attended the California Community Choice Association which represents interests in electricity providers in California. He also noted that bicycles are an essential transportation means for those who need to get around.

Council Member Cline No report.

Council Member Tovar congratulated the over 400 African American students who were recognized for their academic achievements at an event hosted by Santa Clara University, and also congratulated GECA for being awarded the 2024 California Distinguished School award and thanked the Gilroy School Board for considering his idea for School Resource Officer funding.

Mayor Blankley spoke about the rise in northbound ridership on CalTrain by 35%.

Caltrain will have a table at the Bike to Work Community Day on May 16th. She also gave an update on SB1031.

6. CONSENT CALENDAR

6.1. Approval of the Action Minutes of the April 8, 2024 and April 15, 2024 City Council Regular Meetings.

6.2. Approval of Notice of Acceptance of Completion for FY24 CDBG Curb Ramp Project Phase 2 No. 24-PW-289.

6.3. Approval of a Notice of Acceptance of Completion for the San Ysidro Lighting/Picnic Area Improvements Project No. 23-PW-281.

6.4. Annual Military Equipment Use Report 2024, per CA Assembly Bill No. 481.

6.5. Transfer of Interest Income from the Museum Vase Endowment Trust to the Gilroy Museum Fund.

Mayor Blankley opened Public Comment.

There being no speakers, Mayor Blankley closed Public Comment.

MOTION: To approve the Consent Calendar Items 6.1-6.5.

RESULTS: PASS: 7-0
MOVER: Rebeca Armendariz, Council Member
SECONDER: Carol Marques, Council Member
AYES: BRACCO, ARMENDARIZ, MARQUES, HILTON, CLINE,

TOVAR, BLANKLEY
NOES:

ABSENT:

6.1 p. 22 of 217
City Council Regular Meeting
Agenda
May 6, 2024 | 6:00 PM Page 4 of 7
ABSTAIN:

7. UNFINISHED BUSINESS

7.1. Preliminary Design Renderings of the Proposed Gilroy Ice Center (Sharks Ice)
Staff presented the report and building renderings to Council.

Mayor Blankley opened Public Comment.

Palemon Frausto spoke about how this project would benefit the community and also provide jobs for local construction workers.

Eli Robles noted this project needed the contractor to be committed to providing health care benefits and they should hire from accredited apprentice programs.

Jane Howard praised the City for moving forward with this project.

There being no further speakers, Mayor Blankley closed Public Comment.

7.2. FY24 and FY25 Community Development Department Workplan Update.

Council received the report on the Community Development Department workplan.

Mayor Blankley opened Public Comment.

There being no speakers, Mayor Blankley closed Public Comment.

8. BIDS AND PROPOSALS

9. PUBLIC HEARINGS

9.1. Conduct a Public Hearing to Approve CDBG Program Year 2024-25 Funding Allocations and Annual Action Plan.

Council Member Armendariz excused herself from this discussion.

Mayor Blankley opened the Public Hearing at 8:13 P.M.

Deanne Everton, the Executive Director for Rebuilding Together, shared how the funds they receive go to helping people make critical repairs to their homes.

Mayor Blankley closed the Public Hearing at 8:16 P.M.

6.1 p. 23 of 217
City Council Regular Meeting
Agenda
May 6, 2024 | 6:00 PM Page 5 of 7
MOTION:
a) Approve the Community Development Block Grant (CDBG) funding allocations and Annual Action Plan for Program Year 2024-25.
b) Direct the Community Development Director, or designee, to submit the Annual Action Plan to the U.S. Department of Housing and Urban Development (HUD), and further authorize the
Community Development Director, or designee, to make any changes to the Annual Action Plan as needed to comply with CDBG submission guidelines.

RESULTS: PASS: 6-0-1
MOVER: Carol Marques, Council Member
SECONDER: Fred Tovar, Council Member
AYES: BRACCO, MARQUES, HILTON, CLINE,

TOVAR, BLANKLEY
NOES:

ABSENT:

ABSTAIN: ARMENDARIZ

10. INTRODUCTION OF NEW BUSINESS

10.1. City Council Downtown Committee (Part 3) - Subcommittee Reports and Recommendations – Code Enforcement.

Susan Jacobsen, Downtown Committee member, reported on their findings on downtown code enforcement issues and the stated the need for an Code Enforcement Officer dedicated to downtown.

Mayor Blankley opened Public Comment.

There being no speakers, Mayor Blankley closed Public Comment.

10.2. Customer Service/Relationship Management Program
Council received the report from staff regarding the new Customer Service/Relationship Management Program.

Mayor Blankley opened Public Comment.

There being no speakers, Mayor Blankley closed Public Comment.

10.3. Receive Draft Updates of the City’s Annual Shared Cost Sidewalk Replacement Program
Staff shared the draft updates to the annual shared sidewalk replacement program and received feedback from the Council.

Mayor Blankley opened Public Comment.

There being speakers, Mayor Blankley closed Public Comment.

6.1 p. 24 of 217
City Council Regular Meeting
Agenda
May 6, 2024 | 6:00 PM Page 6 of 7

10.4. Approval of an Exception to the CalPERS 180-Day Waiting Period for Work After Retirement for Ogarita Carranza (Retired Annuitant) to Serve in an Extra Help Position in the Public Works Department Mayor Blankley opened Public Comment.

There being no speakers, Mayor Blankley closed Public Comment.

MOTION: Adopt a resolution of the City Council of the City of Gilroy approving the exception to the CalPERS 180-day wait period and appointment of Ogarita Carranza to an extra help position in the Public Works Department.

RESULTS: PASS: 7-0 ROLL CALL VOTE
MOVER: Dion Bracco, Council Member
SECONDER: Rebeca Armendariz, Council Member
AYES: BRACCO, ARMENDARIZ, MARQUES, HILTON, CLINE,

TOVAR, BLANKLEY
NOES:

ABSENT:

ABSTAIN:

Enactment No.: Resolution No. 2024-20

11. FUTURE COUNCIL INITIATED AGENDA ITEMS

12. CITY ADMINISTRATOR'S REPORTS

13. CITY ATTORNEY'S REPORTS
City Attorney Andy Faber spoke regarding the Grants Pass, Oregon public camping case and Senate Bill 9 as it pertains to Charter Cities.

14. CLOSED SESSION

14.1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS Pursuant to GC Sec. 54956.8 and GCC Sec.17A.8 (a) (2)
Property: City-Owned 536 Acres at Hecker Pass (Including Gilroy Gardens Theme Park), 3050 Hecker Pass Highway, Gilroy, CA (APN’s:
810-17-024, 810-17-026, 810-17-029, 810-17-030, 810-17-031, 810-18- 002, 810-18-013,
810-19-005, 810-19-007, 810-19-010, 810-19-011, 810-19-014) Negotiators: Jimmy Forbis, City Administrator; Victoria Valencia, Economic Development Manager
Other Parties to Negotiations: Paul Nakamoto, Bay.Org (DBA Aquarium of the Bay/Bay Ecotarium)
Under Negotiations: Price and terms of payment for sale or lease The Council went into the Closed Session at 9:25 P.M. and all Council Members agreed to stay in closed session.

15. ADJOURN TO OPEN SESSION
Mayor Blankley advised no reportable action.

6.1 p. 25 of 217
City Council Regular Meeting
Agenda
May 6, 2024 | 6:00 PM Page 7 of 7

16. ADJOURNMENT
The meeting ended at 9:41 P.M
I HEREBY CERTIFY that the foregoing minutes were duly and regularly adopted at a regular meeting of the City Council of the City of Gilroy.
/s/Beth Minor
Interim City Clerk

6.1 p. 26 of 217
May 13, 2024 | 6:00 PM Page 1 of 2 City Council
Special Meeting Agenda

CITY COUNCIL STUDY SESSION

ACTION MINUTES
MONDAY, MAY 13, 2024 | 6:00 PM

1. OPENING

1.1. Call to Order
Mayor Blankley called the meeting to order at 6:00 P.M.

1.2. Roll Call
Attendance Attendee Name
Dion Bracco, Council Member
Rebeca Armendariz, Council Member
Carol Marques, Council Member
Tom Cline, Council Member
Fred Tovar, Council Member
Marie Blankley, Mayor
Absent Zach Hilton, Council Member
2 STUDY SESSION

2.1 Annual Presentation from Gilroy Gardens (Board of Directors and Staff) Gilroy Gardens Board and staff provided an update about what has been happening at the park and what they are doing moving forward.

Mayor Blankley opened Public Comment.

There being no speakers, Mayor Blankley closed Public Comment.

2.2 Report on the Gilroy Gardens Annual Lease Payments (City Staff) Staff presented an overview of the lease and lease payments received from Gilroy Gardens.

Mayor Blankley opened Public Comment.

Ron Kirkish highly regards Gilroy Gardens and what they do and have done for the City and the public.

Gregory Felios spoke about his experience with being a docent the past 8 seasons, and how the employees and management work as a team.

There being no further speakers, Mayor Blankley closed Public Comment.

3. ADJOURNMENT
The meeting was adjourned at 6:56 P.M.

6.1 p. 27 of 217
May 13, 2024 | 6:00 PM Page 2 of 2 City Council
Special Meeting Agenda
I HEREBY CERTIFY that the foregoing minutes were duly and regularly adopted at a regular meeting of the City Council of the City of Gilroy. /s/Beth Minor
Interim City Clerk

6.1 p. 28 of 217

City of Gilroy

STAFF REPORT
Agenda Item Title: Cash and Investment Report as of March 31, 2024 Meeting Date: May 20, 2024
From: Jimmy Forbis, City Administrator
Department: Finance
Submitted By: Harjot Sangha, Finance Director
Prepared By: Rosemary Guerrero, Finance Manager
STRATEGIC PLAN GOALS Develop a Financially Resilient Organization

RECOMMENDATION
Accept and file the quarterly cash and investment report as of March 31, 2024.

BACKGROUND
The quarterly investment reports are prepared pursuant to the City’s investment policy to keep the City Council apprised of the City’s investment activities.

ANALYSIS
As of March 31, 2024, the City’s cash and investments totaled $177.8 million, of which $72.6 million is invested with the Local Agency Investment Fund (LAIF), and $104.1 million is invested in US Treasury securities. The fiscal year-to-date interest earnings are $5.6 million, which includes accrued interest as well as amortization of the discount on the US Treasury securities. Total interest earnings for fiscal year 2023-24 are projected to exceed $7.0 million, with a current effective rate of return of 4.2%.

In addition, approximately $20.5 million is held by Fiscal Agents in the Trustee capacity for various bond issues such as bond proceeds, debt service reserves, bond payments, and other post-employment benefits and pension. The majority of this balance ($16.3 million) consists of the City of Gilroy’s share of the Acquisition and Construction Funds for the SCRWA Plant Expansion Project.

6.2 p. 29 of 217
Cash and Investment Report as of March 31, 2024 for May 20, 2024 City of Gilroy City Council Page 2 of 2 April 15, 2024

FISCAL IMPACT/FUNDING SOURCE
There are no direct fiscal impacts to receiving and filing the quarterly cash and investment report. This is an activity included in the Finance Department’s annual workplan.

Attachments:

1. Cash and Investment Report as of March 31, 2024

6.2 p. 30 of 217
City of Gilroy
Investment Report
march 2024

6.2 p. 31 of 217

TABLE OF CONTENTS

1. PORTFOLIO SUMMARY REPORT.......................................................................................... 1 - 3

2. INVESTMENTS BY ISSUER REPORT................................................................................... 4 - 5 3 INVESTMENT ACTIVITY…………………………………………………………………………….. 6 - 7

4. QUARTERLY MOVEMENT OVER THE LAST TWELVE MONTHS........................................ 8

5. MOVEMENT OVER THE LAST TWO YEARS - GRAPHICAL PRESENTATION.................... 9

6. INVESTMENT PORTFOLIO - GRAPHICAL PRESENTATION................................................ 10 - 11

7. INTEREST EARNINGS: FISCAL YEARS 2014 - 2024............................................................ 12

8. MONIES HELD BY FISCAL AGENTS REPORT………….……............................................... 13

6.2 p. 32 of 217
City of Gilroy
Portfolio Management
March 31, 2024
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
(408)846-0294
Portfolio Summary
% of
Portfolio
Book
Value Investments
Market
Value
Par
Value
Days to
Term Maturity
YTM
360 Equiv.

YTM
365 Equiv.

LAIF 72,647,919.80 72,647,919.80 72,647,919.80 41.10 1 1 3.906 3.960 Treasury Notes Securities 82,707,000.00 81,157,479.91 81,636,984.40 46.18 514 246 4.766 4.832 Treasury Bill -Amortizing 23,248,000.00 22,363,822.93 22,477,217.55 12.72 364 253 4.997 5.066 176,762,121.75 100.00%
Investments
178,602,919.80 176,169,222.64 284 146 4.442 4.503
Cash
(not included in yield calculations)
Passbook/Checking 1,033,055.62 1,033,055.62 1,033,055.62 1 1 0.000 0.000 177,795,177.37 Total Cash and Investments 179,635,975.42 177,202,278.26 284 146 4.442 4.503 March 31
697,654.83
Fiscal Year To Date
5,648,458.95
184,824,994.65 178,210,960.66

4.44% 4.21%
Total Earnings Month Ending

5.38%
Current Year
Average Daily Balance
Effective Rate of Return
6 Month T-Bill Benchmark:

NOTES:

1. See "Monies Held by Fiscal Agents" for additional amounts held in the capacity of a trustee.

2. The Maturity Aging Factor of the City's Portfolio = 4.87 months.

3. The unrealized gain resulting from an increase in Market Values obtained from U.S. Bank of all Securities (excluding LAIF) = $214,871.83

4. The LAIF balance shown includes $5,485,137.78 in bond proceeds from the Gilroy Library 2010 Bonds that can be used exclusively for the construction of the library.

This is to certify that this schedule of investments is in compliance with the City of Gilroy's investment policy and that there are adequate funds available to meet the City's budgeted and actual expenses for the next six months.
__________________________________________________ ____________________ Harjot Sangha, Finance Director
Reporting period 07/01/2023-03/31/2024

05/10/2024

6.2 p. 33 of217
YTM
Par Value Book Value 365
Maturity
Date
Stated
Market Value Rate
March 31, 2024
Portfolio Details - Investments
Average
Balance Issuer
Portfolio Management
City of Gilroy
Days to
Maturity
YTM
CUSIP Investment # 360
Purchase
Date
LAIF
SYSLAIF01 LAIF01 LAIF - City of Gilroy 31,701,393.72 31,701,393.72 31,701,393.72 3.960 3.906 3.960 1 SYSLAIF03 LAIF03 LAIF - Industrial Dev. Auth. 35,461,388.30 35,461,388.30 35,461,388.30 3.960 3.906 3.960 1 LAIF05 LAIF05 LAIF LIBRARY 5,485,137.78 5,485,137.78 5,485,137.78 3.960 3.906 3.960 1 Subtotal and Average 73,905,984.32 72,647,919.80 72,647,919.80 72,647,919.80 3.906 3.960 1 Treasury Notes Securities
912828Z52 USB-10 U. S. TREASURY NOTES 05/01/2023 8,419,000.00 8,122,735.39 8,236,690.56 1.375 4.037 4.093 305 01/31/2025 91282CGX3 USB-11 U. S. TREASURY NOTES 07/31/2023 8,186,000.00 8,112,489.72 8,095,904.04 3.875 4.881 4.949 394 04/30/2025 91282CAB7 USB-14 U. S. TREASURY NOTES 11/07/2023 8,915,000.00 8,349,075.80 8,377,175.10 0.250 4.970 5.039 486 07/31/2025 9128283V0 USB-15 U. S. TREASURY NOTES 11/07/2023 506,000.00 494,139.36 494,937.56 2.500 5.171 5.243 305 01/31/2025 91282CEK3 USB-16 U. S. TREASURY NOTES 11/07/2023 11,938,000.00 11,828,886.68 11,910,717.03 2.500 5.366 5.441 29 04/30/2024 9128284M9 USB-17 U. S. TREASURY NOTES 11/07/2023 646,000.00 631,891.36 631,033.13 2.875 5.059 5.129 394 04/30/2025 91282CFA4 USB-18 U. S. TREASURY NOTES 11/07/2023 12,078,000.00 11,935,479.60 11,983,427.17 3.000 5.361 5.436 121 07/31/2024 91282CJE2 USB-20 U. S. TREASURY NOTES 01/31/2024 9,294,000.00 9,373,275.93 9,373,275.93 5.000 4.368 4.429 578 10/31/2025 912828YM6 USB-6 U. S. TREASURY NOTES 11/01/2022 7,527,000.00 7,319,179.53 7,408,285.02 1.500 4.296 4.355 213 10/31/2024 912828X70 USB-7 U. S. TREASURY NOTES 11/01/2022 7,612,000.00 7,532,302.36 7,597,046.09 2.000 4.521 4.584 29 04/30/2024 9128282N9 USB-8 U. S. TREASURY NOTES 11/01/2022 7,586,000.00 7,458,024.18 7,528,492.77 2.125 4.466 4.528 121 07/31/2024 Subtotal and Average 81,559,872.48 82,707,000.00 81,157,479.91 81,636,984.40 4.766 4.832 246 Treasury Bill -Amortizing
912797HE0 USB-13 U.S. TREASURY BILL 11/02/2023 12,248,000.00 11,772,287.68 11,885,682.30 5.000 5.270 5.343 213 10/31/2024 912797JR9 USB-19 U.S. TREASURY BILL 01/25/2024 11,000,000.00 10,591,535.25 10,591,535.25 4.501 4.690 4.755 297 01/23/2025 Subtotal and Average 22,431,072.68 23,248,000.00 22,363,822.93 22,477,217.55 4.997 5.066 253 Total and Average 184,824,994.65 178,602,919.80 176,169,222.64 176,762,121.75 4.442 4.503 146

6.2 p. 34 of 217
YTM
Par Value Book Value 365
Stated
Market Value Rate
March 31, 2024
Portfolio Details - Cash
Average
Balance Issuer
Portfolio Management
City of Gilroy
Days to
Maturity
YTM
CUSIP Investment # 360
Purchase
Date
Wells Fargo Checking
SYSWFB WELLS FARGO WELLS FARGO 203,189.38 203,189.38 203,189.38 0.000 0.000 1 Other Banks-Misc.Account-Petty Cash
SYSUNDERCOV UNDERCOV CHASE BANK 07/01/2023 698.30 698.30 698.30 0.000 0.000 1 SYS/MUFG MUFG MUFG / UNION BANK 07/01/2023 0.00 0.00 0.00 0.000 0.000 1 SYSPETTY PETTY PETTY CASH 07/01/2023 2,661.56 2,661.56 2,661.56 0.000 0.000 1 SYS/USBANK USB-CASH U. S. BANK 07/01/2023 1,070.02 1,070.02 1,070.02 0.000 0.000 1 SYSBAIL BAIL WELLS FARGO 07/01/2023 0.00 0.00 0.00 0.000 0.000 1 SYSDISCOVERY DISCOVERY WELLS FARGO 07/01/2023 121,621.01 121,621.01 121,621.01 0.000 0.000 1 SYSICS ICS WELLS FARGO 07/01/2023 702,220.35 702,220.35 702,220.35 0.000 0.000 1 SYSWORKING WORKING WORKING CASH 07/01/2023 1,595.00 1,595.00 1,595.00 0.000 0.000 1

0.00 184,824,994.65 179,635,975.42 4.442 4.503 146
Average Balance 1
Total Cash and Investments 177,202,278.26 177,795,177.37

6.2 p. 35 of 217
City of Gilroy
Investments by Issuer
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
(408)846-0294
Grouped by Type - Sorted by Type
Active Investments
March 31, 2024
Market
Market Value Date
Redemption
Security Type Date
Current
Rate
Call
CUSIP Investment # Date Collateral
Investment
Class
YTM
365 Remaining Cost
Type: CHECKING ACCOUNTS

CHASE BANK
SYSUNDERCOV UNDERCOV Other Banks-Misc.Account-Petty Cash Fair 698.30 698.30 03/31/2024 1 Subtotal and Average 698.30 698.30 1
LAIF - City of Gilroy
SYSLAIF01 LAIF01 LAIF Fair 31,701,393.72 4.220 31,701,393.72 03/31/2024 4.220 1 Subtotal and Average 31,701,393.72 31,701,393.72 4.220 1 LAIF - Industrial Dev. Auth.

SYSLAIF03 LAIF03 LAIF Fair 35,461,388.30 4.220 35,461,388.30 03/31/2024 4.220 1 Subtotal and Average 35,461,388.30 35,461,388.30 4.220 1

LAIF LIBRARY
LAIF05 LAIF05 LAIF Fair 5,485,137.78 4.220 5,485,137.78 03/31/2024 4.220 1 Subtotal and Average 5,485,137.78 5,485,137.78 4.220 1

MUFG / UNION BANK
SYS/MUFG MUFG Other Banks-Misc.Account-Petty Cash Fair 0.00 0.00 1 Subtotal and Average 0.00 0.00

PETTY CASH
SYSPETTY PETTY Other Banks-Misc.Account-Petty Cash Fair 2,661.56 2,661.56 03/31/2024 1 Subtotal and Average 2,661.56 2,661.56 1

WELLS FARGO
SYSWFB WELLS FARGO Wells Fargo Checking Fair 203,189.38 203,189.38 03/31/2024 1 SYSBAIL BAIL Other Banks-Misc.Account-Petty Cash Fair 0.00 0.00 1 SYSDISCOVERY DISCOVERY Other Banks-Misc.Account-Petty Cash Fair 121,621.01 121,621.01 03/31/2024 1 SYSICS ICS Other Banks-Misc.Account-Petty Cash Fair 702,220.35 702,220.35 03/31/2024 1

6.2 p. 36 of 217
Market
Market Value Date
Redemption
Security Type Date
Current
Rate
Call
Date Collateral
Grouped by Type - Sorted by Type
Investments by Issuer
City of Gilroy
CUSIP Investment #
Investment
Class
YTM
365 Remaining Cost
Subtotal and Average 1,027,030.74 1,027,030.74 1

WORKING CASH
SYSWORKING WORKING Other Banks-Misc.Account-Petty Cash Fair 1,595.00 1,595.00 03/31/2024 1 Subtotal and Average 1,595.00 1,595.00 1
Type: NOT CALLABLE
U. S. BANK
SYS/USBANK USB-CASH Other Banks-Misc.Account-Petty Cash Fair 1,070.02 1,070.02 03/31/2024 1 Subtotal and Average 1,070.02 1,070.02 1
U.S. TREASURY BILL
912797HE0 USB-13 Treasury Bill -Amortizing Fair 11,628,827.96 5.000 11,889,501.04 03/31/2024 5.343 10/31/2024 213 912797JR9 USB-19 Treasury Bill -Amortizing Fair 10,499,390.00 4.501 10,565,720.00 03/31/2024 4.755 01/23/2025 297 Subtotal and Average 22,128,217.96 22,455,221.04 5.146 256 U. S. TREASURY NOTES
912828Z52 USB-10 Treasury Notes Securities Fair 8,035,851.31 1.375 8,163,820.11 03/31/2024 4.093 01/31/2025 305 91282CGX3 USB-11 Treasury Notes Securities Fair 8,039,879.90 3.875 8,088,832.18 03/31/2024 4.949 04/30/2025 394 91282CAB7 USB-14 Treasury Notes Securities Fair 8,215,606.30 0.250 8,387,053.70 03/31/2024 5.039 07/31/2025 486 9128283V0 USB-15 Treasury Notes Securities Fair 489,642.10 2.500 495,227.26 03/31/2024 5.243 01/31/2025 305 91282CEK3 USB-16 Treasury Notes Securities Fair 11,773,361.37 2.500 11,910,423.22 03/31/2024 5.441 04/30/2024 29 9128284M9 USB-17 Treasury Notes Securities Fair 625,487.03 2.875 631,613.58 03/31/2024 5.129 04/30/2025 394 91282CFA4 USB-18 Treasury Notes Securities Fair 11,869,314.50 3.000 11,983,912.38 03/31/2024 5.436 07/31/2024 121 91282CJE2 USB-20 Treasury Notes Securities Fair 9,381,642.42 5.000 9,320,116.14 03/31/2024 4.429 10/31/2025 578 912828YM6 USB-6 Treasury Notes Securities Fair 7,120,136.45 1.500 7,365,846.93 03/31/2024 4.355 10/31/2024 213 912828X70 USB-7 Treasury Notes Securities Fair 7,330,453.97 2.000 7,591,447.60 03/31/2024 4.584 04/30/2024 29 9128282N9 USB-8 Treasury Notes Securities Fair 7,282,780.07 2.125 7,505,815.98 03/31/2024 4.528 07/31/2024 121 Subtotal and Average 80,164,155.42 81,444,109.08 4.921 250 Total and Average 175,973,348.80 177,580,305.54 4.631 146

6.2 p. 37 of 217
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
(408)846-0294
City of Gilroy
Purchases Report
Sorted by Type - Type
January 1, 2024 - March 31, 2024
Original
Par Value
Ending
Book Value
Sec.

Type Type
Maturity
YTM
Accrued Interest
CUSIP Investment # Issuer Payment Periods at Purchase Date Purchase
Date
Principal
Purchased
Rate at
Purchase

NOT CALLABLE
912797JR9 USB-19 NOT ATD USTB 11,000,000.00 01/25/2024 01/23 - At Maturity 10,499,390.00 4.501 01/23/2025 4.690 10,591,535.25 91282CJE2 USB-20 NOT TRC USTN 9,294,000.00 01/31/2024 04/30 - 10/31 9,381,642.42 117,451.65 5.000 10/31/2025 4.429 9,373,275.93 Subtotal 20,294,000.00 19,881,032.42 117,451.65 19,964,811.18 Total Purchases 20,294,000.00 19,881,032.42 117,451.65 19,964,811.18

6.2 p. 38 of 217
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
(408)846-0294
City of Gilroy
Maturity Report
Sorted by Maturity Date
Amounts due during January 1, 2024 - March 31, 2024
Rate
Par Value at Maturity
Sec.

Type Type
Maturity
Date
Maturity
Interest Proceeds Income
Net
CUSIP Investment # Issuer
Purchase
Date
Book Value
at Maturity
912797JB4 USB-12 NOT ATD USTB 3,401,000.00 01/30/2024 11/02/2023 4.925 3,401,000.00 41,407.52 3,401,000.00 0.00 91282CDV0 USB-5 NOT TRC USTN 7,720,000.00 01/31/2024 11/01/2022 0.875 7,720,000.00 33,775.00 7,753,775.00 33,775.00 91282CDV0 USB-9 NOT TRC USTN 8,472,000.00 01/31/2024 01/31/2023 0.875 8,472,000.00 37,065.00 8,509,065.00 37,065.00 Total Maturities 19,593,000.00 19,593,000.00 112,247.52 19,663,840.00 70,840.00

6.2 p. 39 of 217
DESCRIPTION JUN SEP DEC MAR % of Total
2023 2023 2023 2024 MAR
LAIF:

CITY OF GILROY 45,121,206 30,016,288 28,719,992 31,701,394 17.93% GILROY INDUSTRIAL DEV AGENCY 74,233,655 74,821,324 35,000,001 35,461,388 20.06% GILROY LIBRARY 2010 BOND 5,340,121 5,382,048 5,430,581 5,485,138 3.10% SUB TOTAL 124,694,981 110,219,660 69,150,575 72,647,920 41.10% US GOVERNMENTAL AGENCIES:

TREASURY NOTES SECURITIES 61,547,102 62,171,563 87,926,764 81,636,984 46.18% TREASURY BILL-AMORTIZING - - 15,118,397 22,477,218 12.72% SUB TOTAL 61,547,102 62,171,563 103,045,161 104,114,202 58.90% GRAND TOTAL (Book Value) 186,242,083 172,391,223 172,195,736 176,762,122 100.00% Quarterly Movement over the Last 4 Quarters

6.2 p. 40 of217
0 20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
140,000,000
160,000,000
180,000,000
200,000,000
March
2022
June
2022
September
2022
December
2022
March
2023
June
2023
September
2023
December
2023
March
2024
City of Gilroy
Investments From:

March 31, 2022 to March 31, 2024
LAIF US GOVT. AGENCIES

6.2 p. 41 of 217
LAIF, $73M, 41%
Treasury Notes Securities,
$82M, 46%
Treasury Bill - Amortizing,
$22M, 13% Cash or Equivelent, $1M, 0%
Book Value by Investment Type
As of March 31, 2024
Value of Portfolio: $177,795,177

6.2 p. 42 of 217
LAIF and Bank Checking Accounts,
$74M, 41%
Short Term (less than 1 year),
$78M, 44%
Medium Term (1 to 5 years),
$26M, 15%
Value of Portfolio: $177,795,177
Portfolio By Maturity
As Of March 31, 2024

6.2 p. 43 of 217
0 1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23 23/24 est* Interest Earnings
Fiscal Years
*Estimate of full year interest earnings for FY23/24
City of Gilroy
Interest Earnings FY2014 - FY2024

6.2 p. 44 of 217

CITY OF GILROY

MONIES HELD BY FISCAL AGENTS
DESCRIPTION VALUE **
AS OF 3/31/24
HIGHWAY 152 SPECIAL TAX BONDS SERIES 2018
SPECIAL TAX FUND - Bond REVENUE - HELD BY U.S. BANK - GL Acct 810-10435 GOLDMAN SACHS MONEY MARKET FUND #466, CUSIP #3814W265 7,455.33 RESERVE FUND - HELD BY U.S. BANK - GL Acct 810-10430
GOLDMAN SACHS MONEY MARKET FUND #466, CUSIP #3814W265 291,750.11 SPECIAL TAX FUND - INTEREST ACCOUNT - HELD BY U.S. BANK - GL Acct 810-10550 GOLDMAN SACHS MONEY MARKET FUND #466, CUSIP #3814W265 20.14 SPECIAL TAX FUND - PRINCIPAL ACCOUNT - HELD BY U.S. BANK - GL Acct 810-10445 GOLDMAN SACHS MONEY MARKET FUND #466, CUSIP #3814W265 0.63 GILROY PUBLIC FACILITIES FINANCING AUTHORITY REFUNDING LEASE REV BONDS 2020A REVENUE FUND - HELD BY U.S. BANK - GL Acct 520-10435
GOLDMAN SACHS FINANCIAL SQUARE MMKT #466, CUSIP #38141W265 160.94 INTEREST ACCOUNT - HELD BY U.S. BANK - GL Acct 520-10440 GOLDMAN SACHS FINANCIAL SQUARE MMKT #466, CUSIP #38141W265 200.08 PRINCIPAL ACCOUNT - HELD BY U.S. BANK - GL Acct 520-10445 GOLDMAN SACHS TR FINL SQ GV ADM #466, CUSIP #38141W265 554.20 GILROY PUBLIC FACILITIES FINANCING AUTHORITY REFUNDING LEASE REV BONDS 2022A INTEREST ACCOUNT - HELD BY U.S. BANK - GL Acct 510-10440 FIRST AM.GOVT OB FD CL D, CUSIP #31846V401, U.S. TREASURY BILL #912796C31 45.64 PRINCIPAL ACCOUNT - HELD BY U.S. BANK - GL Acct 510-10445 FIRST AM.GOVT OB FD CL D, CUSIP #31846V401, U.S. TREASURY BILL #912796C31 142.78 GILROY PUBLIC FACILITIES FINANCING AUTHORITY WASTEWATER REV BONDS 2021A BOND PAYMENT FUND - HELD BY U.S. BANK - GL ACCT 700-10428 FIRST AM.GOVT OB FD CL D, CUSIP #31846V401, U.S. TREASURY BILL #912796C31, 1,001.91 ACQUISITION AND CONSTRUCTION FUND - HELD BY U.S. BANK - GL Acct 700-10426 FIRST AM.GOVT OB FD CL D, CUSIP #31846V401 1,905.48
LAIF MONEY MARKET FUND #5399989H9 16,303,116.82
GILROY POST - EMPLOYMENT BENEFITS TRUST HELD BY PARS 3,932,624.13

TOTAL 20,538,978.19
** Market Values reported by U.S. Bank

6.2 p. 45 of 217

City of Gilroy

STAFF REPORT
Agenda Item Title: A Resolution of the City Council of the City of Gilroy Calling a General Municipal Election for Municipal
Officers and Requesting the Santa Clara County
Board of Supervisors Consolidate With the Statewide
General Election to be Held on November 5, 2024
Pursuant to California Elections Code Section 10403,
and Requesting Services of the Registrar of Voters
Meeting Date: May 20, 2024
From: Jimmy Forbis, City Administrator
Department: City Clerk
Submitted By: Beth Minor, Interim City Clerk
Prepared By: Beth Minor, Interim City Clerk
STRATEGIC PLAN GOALS Not Applicable

RECOMMENDATION
Staff recommends Council adopt a Resolution of the City Council of the City of Gilroy calling a General Municipal Election for Municipal Officers and requesting the Santa Clara County Board of Supervisors authorize consolidation with the Statewide General Election to be held on November 5, 2024 pursuant to California Elections Code Section 10403, and requesting services of the Registrar of Voters.

BACKGROUND
The City of Gilroy’s General Municipal Election is held on the Tuesday following the first Monday in November of even numbered years, with the next general election date being November 5, 2024. Three (3) City Council seats will be up for election this November, which are currently held by Council Members Rebeca Armendariz, Zach Hilton, and Fred Tovar. Additionally, the Mayor’s seat, which is currently held by Marie Blankley, will be up for election. The at-large City Council seats and the Mayor’s seat are for four (4)-year terms and will run through 2028.

6.3 p. 46 of 217
A Resolution of the City Council of the City of Gilroy Calling a General Municipal Election for Municipal Officers and Requesting the Santa Clara County Board of Supervisors Consolidate With the Statewide General Election to be Held on November 5, 2024 Pursuant to California Elections Code Section 10403, and Requesting Services of the Registrar of Voters City of Gilroy City Council Page 2 of 3 May 20, 2024
Section 10002 of the Elections Code of the State of California provides that the governing body of a City may by resolution request the Board of Supervisors of the County to permit the County elections official to render special services to the City related to the conduct of elections. Upon approval, this resolution will be submitted to the Santa Clara County Board of Supervisors for approval of consolidation. The County requires submission of this resolution by July 3, 2024. The nomination period for the November 5, 2024 election opens at 8:30 a.m. Monday, July 15, 2024, and closes at 5:00 p.m. Friday, August 9, 2024, unless an incumbent fails to file. If an incumbent has not filed nomination papers by the August 9th deadline, the nomination period will be extended for non-incumbent candidates only until Wednesday, August 14, 2024 at 5:00 p.m. The City Clerk’s Office will be taking appointments Monday through Friday from 8:30 a.m. to 4:00 p.m. during the period to process nomination papers for those seeking elective office.

During the nomination period, any eligible and qualified Gilroy resident interested in running for City Council may request nomination papers for candidacy from the City Clerk. An appointment for a time during the nomination period will be set. At this meeting, the Clerk will review the Candidate’s Guide with the potential candidate and will issue all the forms required for a City Council candidacy. A candidate may, but is not required to, file a 200-word Candidate’s Statement of Qualifications for inclusion in the voters’ information pamphlet. Each candidate is responsible to pay half of the cost of this statement ($1,650) at the time of filing. The City Council may also submit ballot measure(s) for the November 2024 election and if that occurs, the Council will take action by separate resolution(s) and/or ordinance(s) that will then be submitted to the Board of Supervisors and Elections Department by the published deadlines for inclusion on the ballot.

FISCAL IMPACT/FUNDING SOURCE
Estimated costs for this election are $185,000, coming from the General Fund. A total of $201,850 is appropriated to fund these election costs in the City Clerk’s FY 24-25 budget. These costs include a base charge, shared printing, legal notices, measure pages, and candidate statement costs. This budget amount was based on previous registered voter numbers. However, this estimate anticipates a voter registration of 39,408 by November 2024, a 15% increase of actual registration numbers of 34,268 as of February 26, 2024. Please note that these costs are projections and the final amount could be higher than originally budgeted depending upon the number of voters registered at the time of the election, and a budget amendment may be needed if actual costs come in higher than estimated. At this time, staff will attempt to absorb election costs within the current FY 24-25 appropriations.

Any subsequent ballot measure(s) to be placed on the November 5th ballot will add to these election expenses and would require Council adoption of a Resolution by August 9, 2024 to place the measure(s) on the ballot.

6.3 p. 47 of 217
A Resolution of the City Council of the City of Gilroy Calling a General Municipal Election for Municipal Officers and Requesting the Santa Clara County Board of Supervisors Consolidate With the Statewide General Election to be Held on November 5, 2024 Pursuant to California Elections Code Section 10403, and Requesting Services of the Registrar of Voters City of Gilroy City Council Page 3 of 3 May 20, 2024

PUBLIC OUTREACH/NEXT STEPS
Following the Council’s adoption of this resolution calling the election for the purpose of electing three (3) Council Members and one (1) Mayor, the City Clerk’s Office will publish a notice of the election in the newspaper, pursuant to Section 6061 of the Government Code.

As with previous practice, staff will also dedicate a web page on the City website to the 2024 General Municipal Election and will use all of the City’s social media outlets to promote voter registration, vote-by-mail election process, and to highlight the nomination period throughout the community.

Attachments:

1. Draft Resolution Calling the 2024 Election

6.3 p. 48 of 217
RESOLUTION NO. 2024-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY

CALLING A GENERAL MUNICIPAL ELECTION FOR MUNICIPAL

OFFICES, REQUESTING THE SANTA CLARA COUNTY BOARD OF

SUPERVISORS CONSOLIDATE WITH THE STATEWIDE GENERAL
ELECTION TO BE HELD NOVEMBER 5, 2024 PURSUANT TO
CALIFORNIA ELECTIONS CODE SECTION 10403, AND REQUESTING

SERVICES OF THE REGISTRAR OF VOTERS
WHEREAS, § 1400 of the City Charter of the City of Gilroy provides that a general municipal election shall be held on the regular election date established by the Elections Code of the State of California for the statewide Election in each even-numbered year, commencing with the year 2010, for the election of officers and for such other purpose as the City Council may prescribe; and
WHEREAS, § 13307 of the California Election Code provides that the City may adopt regulations pertaining to materials prepared by any candidate for a municipal election, including costs of the candidate's statement.

WHEREAS, it is desirable that the General Municipal Election be consolidated with the Statewide General Election to be held on the same date, and that within the City that the election be held in all respects as if there were only one election, and that the Santa Clara County Registrar of Voters canvass the returns of the General Municipal Election.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL AS
FOLLOWS:

Section 1. A General Municipal Election is hereby called in the City of Gilroy to be held on Tuesday, November 5, 2024, for the purposes of election of three (3) Councilmembers, at large, each for four (4) year full terms, and one (1) Mayor for four (4) year full term.

Section 2. Pursuant to § 13307 of the California Elections Code, each candidate for elective office to be voted for in the City of Gilroy on November 5, 2024, may prepare a candidate's statement on an appropriate form provided by the City Clerk, as the City's Election Official, or her designee. The statement may include the name, age and occupation of the candidate and a brief description of no more than 200 words of the candidate's education and qualifications expressed by the candidate himself or herself. The statement shall not include the party affiliation of the candidate, nor membership or activity in partisan political organizations. Any candidate's statement submitted shall be limited to a recitation of the candidate's own personal background and qualifications, and shall not in any way make reference to other candidates for that office or to another candidate's qualifications, character, or activities.

Section 3. The candidate's statement shall be filed in the office of the City Clerk when the candidate's nomination papers are returned for filing. Except as provided in California Elections Code Section 13309, the statement may be withdrawn, but not changed, during the period for filing nomination papers and until 5:00 p.m. of the next working day after the close of the nomination period.

6.3 p. 49 of 217
Section 4. The candidate shall be required to pay for one half of the cost of printing handling, and mailing said candidate's statement, one half of the estimated costs to be paid at the time of submittal of said candidate statement.

Section 5. No candidate will be permitted to include additional materials in the sample ballot package, and the City Clerk or her designee shall provide each candidate or their representative with a copy of this Resolution at the time nomination papers are issued.

Section 6. Pursuant to Elections Code Sections 10551 and 15651 and Gilroy City Charter Section 402, if any two or more persons receive an equal and the highest number of votes for an office to be voted for within the city, Council shall proceed to determine the election of such candidates by lot.

Section 7. That pursuant to § 10522 of the Elections Code of the State of California, a current map showing the City boundaries has been submitted to the Registrar of Voters.

Section 8. The City Council hereby requests, consents to and orders that the general municipal election be consolidated with the other district or statewide elections to be held on Tuesday, November 5, 2024, and that upon consolidation the election shall be held and conducted; election officers appointed; ballots and elections guides printed and mailed; election supplies provided; polls opened and closed; ballots opened and returned; return results canvassed and certified to the City Clerk, and all other proceedings in connection with the election to be regulated and completed by the Registrar of Voters of Santa Clara County.

Section 9. Said election shall be held in all respects as if there were only one election, and only one form of ballot shall be used.

Section 10. Pursuant to California Elections Code § 10262 (b), the City Clerk, upon receipt of the results of the consolidated election, shall certify the results to the City Council no later than the next regularly scheduled meeting of the City Council following the presentation of the returns, or at a special meeting called for this purpose, to declare the results and to install the newly elected officers.

Section 11. Pursuant to California Elections Code§ 10403, the Board of Supervisors of the County of Santa Clara is hereby requested to consent and agree to the consolidation of a General Municipal Election with the Statewide General Election on Tuesday, November 5, 2024, for the purposes of the election of Officers, and the City Clerk shall file with the Board of Supervisors and the Santa Clara County Registrar of Voters, certified copies of this resolution at least eightyeight (88) days prior to the herein referenced General Municipal Election.

Section 12. Pursuant to the provisions of Elections Code § 10002, The Santa Clara County Registrar of Voters is authorized to canvass the returns of the General Municipal Election. The City of Gilroy recognizes that additional costs will be incurred by the County by reason of this consolidation and agrees to reimburse the County for any and all related costs of consolidation.

Section 13. The City Council acknowledges that the consolidated election will be held and conducted in accordance with the provisions of law regulating the Statewide General Election in the manner prescribed in California Elections Code § 10418.

6.3 p. 50 of 217
Section 14. The City shall reimburse the County for services performed when the work is completed and upon presentation to the City of a properly approved bill.

Section 15. As required by California Elections Code § 12101 and 12102, the City Clerk shall publish the notice of said election in the City no earlier than the 127th day before the election, and no later than the 113th day before the election to fill offices.

Section 16. That the City Clerk is directed to forward without delay to the Board of Supervisors and to the County Election Department, each a certified copy of this resolution.

Section 17. The City Clerk is directed to cause the notice of the election to be published in accordance with the provisions of the California Elections Code. The notice of the General Municipal Election provided for herein shall be published in a newspaper of general circulation within the City of Gilroy.

PASSED AND ADOPTED on this 20th day of May 2024, by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

6.3 p. 51 of 217

CERTIFICATE OF THE CLERK
I, BETH MINOR, Interim City Clerk of the City of Gilroy, do hereby certify that the attached Resolution No. 2024-XX is an original resolution, or true and correct copy of a City Resolution, duly adopted by the Council of the City of Gilroy at a Regular Meeting of said held on Council held Monday, May 20, 2024 with a quorum present.

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this May 21, 2024.
____________________________________
Beth Minor
Interim City Clerk of the City of Gilroy

6.3 p. 52 of 217

City of Gilroy

STAFF REPORT
Agenda Item Title: Appeal of Determination of Incomplete Application for 315 Las Animas Avenue (M 24-07)
Meeting Date: May 20, 2024
From: Jimmy Forbis, City Administrator
Department: Community Development
Submitted By: Sharon Goei, Community Development Director Prepared By: Erin Freitas, Senior Planner
STRATEGIC PLAN GOALS Not Applicable

RECOMMENDATION
Staff recommends that the City Council deny the appeal and uphold staff’s decision to determine the Architectural and Site Review application (AS 23-21) is incomplete pursuant to Government Code section 65943.

EXECUTIVE SUMMARY
On March 15, 2024, staff determined Architectural and Site Review application AS 23- 21 to be incomplete pursuant to Government Code section 65943 of the Permit Streamlining Act. The application was determined to be incomplete due to missing information from the Architectural and Site Review Application Submittal Checklist including the Application Submittal Details document which are posted on the City’s website. The applicant, Russell Morse for Gandolfi Investments LLC, filed an appeal of staff’s Incomplete Application Determination on April 1, 2024. A final written determination by the agency on the appeal shall be provided not later than 60 calendar days after receipt of the applicant's written appeal pursuant to Government Code section 65943(c).

BACKGROUND
On July 5, 2023, Gandolfi Investments LLC (“Applicant”) submitted a Senate Bill (SB) 330 preliminary application for a 504-unit apartment complex including 20% low-income

8.1 p. 53 of 217
Appeal of Determination of Incomplete Application for 315 Las Animas Avenue (M 24-07) City of Gilroy City Council Page 2 of 5 May 20, 2024 1
5 units on a vacant 26.75-acre site in the M-1 (Limited Industrial) zoning district and the EC (Employment Center) General Plan land use designation. The applicant was notified on August 4, 2023, that the preliminary application was deemed complete due to meeting the minimum preliminary application submittal requirements. A formal application was required to be submitted within 180 days or January 1, 2024.

On December 14, 2023, the applicant submitted a formal application (“Submittal 1”) for an Architectural and Site Review permit (AS 23-21) for a 501-unit apartment complex including 20% very-low or low-income units at 315 Las Animas Avenue. The applicant cited the submittal was pursuant to SB 330 and Government Code Section 65589.5(d)(5), informally known as the “Builder’s Remedy,” in their letter dated December 12, 2023 (See Attachment 1).

The applicant was notified by the City on January 11, 2024, that application AS 23-21 was determined to be incomplete due to not meeting the minimum application submittal requirements found in the Architectural and Site Review Application Submittal Checklist and Application Submittal Details document stated in the checklist as posted on the City’s website. The letter to the applicant included an exhaustive list of items that were not complete (See Attachment 2). The letter also included, as a courtesy to the applicant, staff’s response to the applicant’s attorney letter from Russell Morse of Meyers Nave (See Attachment 1) that “the Builder’s Remedy does not apply to this application because the City adopted a Housing Element that was in substantial compliance with state law on May 1, 2023, prior to the submittal of the SB 330 preliminary application for this project.” Staff indicated to the applicant that a General Plan Amendment application and Zoning Map Amendment application would be required to amend the General Plan and Zoning Map in this area to High Density Residential to allow the proposed residential development on this parcel. This comment was noted in the letter as a courtesy to the applicant and not as a comment on the completeness of the application.

On February 15, 2024, the applicant resubmitted their application (“Submittal 2”) with a current Title Report dated within 6 months and including existing tree information on the site plan to note there are no existing Heritage or Protected trees. The applicant did not address the remaining incomplete items noted in the first review letter and stated that “As a result of the application of the Builder’s Remedy to the Project, none of the incompleteness items provided in the City’s Notification of Application Incompleteness letter apply to the Project.” Staff subsequently determined the resubmittal to be incomplete and a Notification of Application Incompleteness letter was sent on March 15, 2024 (See Attachment 3).

On April 1, 2024, the applicant submitted an application to appeal the Determination of Incompleteness per Government Code section 65943(c) (See Attachment 4). The applicant states the justification for the appeal is that “…the items listed in the City’s second Incomplete Letter are not “actually required” and for all practical purposes are irrelevant to the Applicant’s project, the Application was wrongly deemed incomplete.”

8.1 p. 54 of 217
Appeal of Determination of Incomplete Application for 315 Las Animas Avenue (M 24-07) City of Gilroy City Council Page 3 of 5 May 20, 2024 1
5 Per state law, the City has 60 days from receipt of the applicant’s written appeal to provide a final written determination on the appeal.

ANALYSIS
The Permit Streamlining Act (PSA) was enacted in 1977 in order to expedite the processing of permits for development projects by imposing time limits within which state and local government agencies must either approve or disapprove permits.

Pursuant to Government Code section 65943, public agencies have 30 days after an application is submitted in which to inform the applicant of whether the application is complete. If the application is determined to be incomplete, the lead agency shall provide the applicant with an exhaustive list of items that were not complete. That list shall be limited to those items actually required on the lead agency’s submittal requirement checklist. The applicant shall submit materials to the public agency in response to the list and description.

The City of Gilroy’s Planning webpage includes the Application Submittal Checklist for an Architectural and Site Review permit and within that checklist, states to refer to the Application Submittal Details document for clarification and city expectations regarding checklist items. Staff provided a letter of Notification of Application Incompleteness on January 11, 2024 in response to Submittal 1 indicating items from the Application Submittal Details document that were missing, including but not limited to: existing tree information to determine need for an Arborist Report, proposed phasing plan, proposed street names, Civil Planning Checklist per Exhibit C, proposed street sections, right-ofway dedications and easements, sidewalks along the street frontage, street tree locations, stormwater paths of travel, existing storm drain line size, existing water line size and depth, existing storm drain line material, slopes, and inverts, stormwater control plan report per the Central Coast Regional Water Quality Control Board and the City of Gilroy “Stormwater Management Guidance Manual for Low Impact Development & Post Construction Requirements”, and a review letter from Solid Waste Operator Recology confirming serviceability.

The applicant resubmitted on February 15, 2024, with a current Title Report dated within 6 months and including existing tree information on the site plan to note there are no existing Heritage or Protected trees. The resubmittal included a letter from the applicant that stated “The City’s Notification of Application Incomplete Letter rejecting the Builder’s Remedy application, and the refusal to process the formal application, do not qualify as a valid notice of an incomplete application under section 65943. The formal application was complete by operation of law and must be processed to a final decision.” Staff subsequently determined the resubmittal to be incomplete because not all of the missing items were addressed, and a Notification of Application Incompleteness letter was sent on March 15, 2024.

Staff did not reject processing the formal application as the applicant stated. Staff has continued to follow a consistent review process as applied to all applications per the Permit Streamlining Act and in line with the submittal requirements in the Application

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Appeal of Determination of Incomplete Application for 315 Las Animas Avenue (M 24-07) City of Gilroy City Council Page 4 of 5 May 20, 2024 1
5 Submittal Checklist and Application Submittal Details document posted on the City’s website.

On April 1, 2024, the applicant filed an appeal of staff’s Incomplete Application Determination. Per state law, the City has 60 days from receipt of the applicant’s written appeal to provide a final written determination on the appeal.

ALTERNATIVES
The City Council alternatively may uphold the appeal and determine the Architectural and Site Review permit application AS 23-21 is complete. The applicant will not be required to include additional application submittal requirements as requested by staff.

Staff will continue the review of the application per the Permit Streamlining Act and request a scope of work from a third-party consultant to determine the required level of review per the California Environmental Quality Act (CEQA) Guidelines. Staff does not recommend this alternative as it will eliminate the requirement to include critical information to complete staff review and analysis of the project and ability to ask for this information later in the review.

FISCAL IMPACT/FUNDING SOURCE
Application fees were collected for the preliminary application and formal Architectural and Site Review permit to cover staff review time. A deposit for attorney fees was collected from the applicant of $20,000 based on initial estimates.

PUBLIC OUTREACH
A notice of the May 20, 2024, City Council public hearing was advertised in the Gilroy Dispatch on Friday, May 10, 2024 (no less than 10 days prior to the meeting). Individual property owners within 500 feet of the subject property were mailed copies of the notice on May 10, 2024. The City Council public hearing packets are available through the City’s webpage. No public comments have been received on this item, as of the writing of this staff report.

NEXT STEPS
If the appeal is denied per staff’s recommendation, the applicant would have until June 13, 2024, 90 days from the receipt of the Notification of Application Incompleteness provided on March 15, 2024, to resubmit their application for staff review for completeness, or the application shall be deemed abandoned (Gilroy City Code section

30.51.10(e)). The Director may allow an extension of the resubmittal deadline only for extenuating circumstances if such is requested in advance of the abandonment date. In addition to filing a resubmittal, the applicant can seek judicial review of this decision.

Any judicial review must be made within the time set forth in Code of Civil Procedure Section 1094.6.

Attachments:

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Appeal of Determination of Incomplete Application for 315 Las Animas Avenue (M 24-07) City of Gilroy City Council Page 5 of 5 May 20, 2024 1
5 1. Applicant Letter dated December 12, 2023

2. City Notification of Application Incompleteness Letter dated January 11, 2024

3. City Notification of Application Incompleteness Letter dated March 15, 2024

4. Applicant Appeal Letter dated April 1, 2024

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707 Wilshire Blvd., 24th Floor
Los Angeles, California 90017
tel (213) 626-2906
fax (213) 626-0215
www.meyersnave.com
Russell E. Morse
[email protected]
December 12, 2023
Via Online Submittal
Ms. Erin Freitas, Senior Planner
Community Development Department
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
Re: Formal Application
315 Las Animas Avenue, Gilroy California 95020
Builder’s Remedy (Government Code Section 65589.5(d)(5) Dear Erin,
As you know, we represent Gandolfi Investments LLC (“Applicant”), applicant of the proposed housing development project at the property located at 315 Las Animas Avenue in Gilroy, California (“Property”). This letter and the accompanying Formal Application (“Application”) for a 501-unit housing development project (“Project”) at the Property are submitted on behalf of the Applicant pursuant to Government Code Section 65589.5(d)(5), the portion of the Housing Accountability Act referred to as the Builder’s Remedy. The proposed Project includes at least twenty percent (20%) of the total units dedicated affordable to very low-or low-income households, the requisite affordable housing for processing a Builder’s Remedy project. This letter outlines the City’s legal obligations with respect to processing housing development projects under State law, including the Builder’s Remedy.

As you are aware, when the Applicant filed its preliminary application pursuant to SB 330 on July 5, 2023, the City of Gilroy (“City”) did not have a compliant Housing Element certified by the California Department of Housing and Community Development (“HCD”).

Pursuant to Government Code Section 65588.5 (Housing Element Law), only HCD can make a determination that a city’s submitted Housing Element is in substantial compliance with Housing Element Law. As the deadline for securing a compliant Housing Element had passed and the City was without a certified Housing Element, the City is therefore subject to the Builder’s Remedy, which requires approval of any housing project containing at least twenty percent (20%) lower-income, or one-hundred percent (100%) moderate-income housing, regardless of its consistency with the general plan land use element or zoning

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A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SANTA ROSA SAN DIEGO ordinance. Here, the 501-unit project provides 101 units of lower income housing (equal to 20% of the total number of units), meeting the statutory minimum required number of affordable housing units. As a result, the Builder’s Remedy applies to this Project.

Further, as described in our letter filed with the preliminary application, the filing of the SB 330 preliminary application established vesting of all “ordinances, policies, and standards adopted and in effect” at the time of submittal of the Application. Pursuant to SB 330, a preliminary application that meets the list of required items is considered “deemed complete”. The included SB 330 preliminary application included all materials required in the SB 330 Preliminary Application, and therefore vested the application. (See HCD’s October 5, 2022 Letter of Technical Assistance, which provides that a Builder’s Remedy Project is vested under the City’s non-compliant Housing Element status and the Builder’s Remedy provision in the Government Code shall apply to the Project throughout the duration of the entitlement process and its March 16, 2023 Letter, which provides summary and clarification of requirements for Housing Element compliance.) In sum, the Applicant obtained vested rights to maintain its Builder’s Remedy application despite the subsequent certification of the City’s Housing Element by HCD.

In general, the Housing Accountability Act establishes limitations to a local government’s ability to deny, reduce the density of, or make infeasible housing development projects that contribute to meeting Regional Housing needs. The Builder’s Remedy goes further to prohibit local agencies from denying housing development projects, or imposing conditions of approval on a project which render the project infeasible, when the Builder’s Remedy project is consistent with statutorily-required affordability levels regardless of the project’s consistency with the general plan land use element or a zoning ordinance.

Accordingly, a city cannot use its objective general plan, specific plan or zoning regulations to deny or render infeasible an affordable housing development project (i.e., a housing development project that provides at least 20 percent of the total units to lower income households).1 Here, the Housing Accountability Act precludes the City from applying general plan, specific plan, or Gilroy Municipal Code (“SMC”) zoning standards that would deny the Project or render it infeasible, and the City cannot require, among other things, the Applicant obtain a General Plan Amendment and/or Zoning Map Amendment for the Project Finally, following submittal of the preliminary application to the City, the Applicant had one hundred eighty (180) days to submit a full application. Here, the Applicant files its formal application on December 12, 2023, 160 days after the preliminary application filing, and within the required time period. A preliminary application may be amended after filing for up to twenty percent (20%) of the density or square footage of the proposed Project. Here, the formal application reduced the project unit count by only three units and increased the square footage by approximately 35,00 square feet, both of which are less than twenty 1 Lower income household is defined in Health and Safety Code § 50079.5.

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A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SANTA ROSA SAN DIEGO percent (20%) from the preliminary application. Accordingly, this application meets all requirements under State law.

We trust the above information provides a sufficient explanation of the City’s obligation under State law with respect to the Project and appreciate the City’s prompt attention to this application. Please feel free to contact me with any questions regarding the Project or the application of the Builder’s Remedy to the Project.

Very truly yours,
Russell E. Morse

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Community Development
Department
7351 Rosanna Street, Gilroy, California 95020-6197
Telephone: (408) 846-0440 Fax: (408) 846-0429
http://www.cityofgilroy.org
Sharon Goei

DIRECTOR
January 11, 2024
Russell Morse for Gandolfi Investments LLC
707 Wilshire Blvd., 24th Fl
Los Angeles, CA 90017
Sent via: Mail and Email: [email protected], [email protected] SUBJECT: Notification of Application Incompleteness
Project # AS 23-21, Located at 315 Las Animas Avenue
Dear Mr. Morse:

Thank you for submitting the above-referenced application (“Application”), which proposes a housing development project (“Project”) at the property located at 315 Las Animas Avenue in Gilroy, California. The Project site is currently an undeveloped, vacant 26.75-acre parcel. The proposed project would involve the construction of a 501- unit housing development Project including for rent apartment units with 20% affordable dedicated to very-low or low-income households in the M-1 (Limited Industrial) zoning district.

The Application materials and payment were received on December 14, 2023, and have been reviewed by Gilroy’s development review staff. The Application has been determined to be incomplete for further review at this time. As such, processing of your request is halted pending receipt of items necessary to complete the Application submittal.

In the interest of ensuring development applications are processed in a timely manner, resubmittals must be received within ninety (90) days of this letter, or the Application shall be deemed abandoned (Gilroy City Code section 30.51.10(e)). The Application resubmittal deadline is April 10, 2024. The Director may allow an extension of the resubmittal deadline only for extenuating circumstances if such is requested in advance of the abandonment date. Please note that, once abandoned, no further action shall be taken on an Application and no fees will be refunded.

Therefore, prior to April 10, 2024, please complete your Application submittal by providing the following items. For your convenience, staff contact information is provided for each Division representative.

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Project # AS 23-21
Park 315 Residential Project
2 In this letter, in accordance with the Permit Streamlining Act, Government Code Section 65920, et seq., we explain what further information is needed to make the Application complete. This letter also contains some additional analysis and information related to your Application as a courtesy to the applicant and is subject to augmentation upon receipt of a complete Application submittal.

Response to Meyers Nave Letter of December 12, 2023:

The City has received two letters from the law firm of Meyers Nave in relation to this Application. Here is the City’s response to statements made in the Meyers Nave letter dated December 12, 2023 (the “Meyers Nave Letter”):

Builder’s Remedy Provision of the Housing Accountability Act First, the Meyers Nave Letter argues, as they did in their earlier letter dated July 4, 2023, that the application is governed by the provision in the Housing Accountability Act, Government Code section 65589.5(d)(5), generally known as the “Builder’s Remedy.” Because the Meyers Nave Letter raises this issue, we think it necessary to inform you that the City staff position at this time is that the Builder’s Remedy does not apply to this application because the City adopted a Housing Element that was in substantial compliance with state law on May 1, 2023, prior to the submittal of the preliminary application for this project. When the Housing Element was adopted on May 1, 2023, it contained everything required by state law, and thus was in substantial compliance with state law. Although minor modifications and clarifications were made thereafter, the changes did not result in any amendment of the Sites Inventory or substantive policy changes and did not alter the fact that the Housing Element, as adopted, substantially complied with the law. Consequently, staff has taken the position that the Builder’s Remedy under the Housing Accountability Act (HAA) is not available to applicants pursuing housing projects in the City of Gilroy since May 1, 2023.

The City Attorney’s office has concluded that the position taken in the Meyers Nave Letter is contrary to both statutory and case law. The Meyers Nave Letter references HCD’s October 5, 2022 letter and March 16, 2023 memorandum with which we respectfully disagree.

As to statutory law, the requirements for a valid housing element are set out in detail in Government Code section 65583. Guidelines published by HCD for the preparation of housing elements are advisory only, not mandatory. Section 65585(a). A local agency is allowed to adopt a housing element even if HCD has determined it not to be in compliance. Government Code section 65585(e). If a housing element is challenged in court, there is a rebuttable presumption that it is valid if HCD has certified the element, but there is no presumption of invalidity if HCD has not certified the element.

Government Code section 65589.3; Fonseca v. City of Gilroy (2007) 148 Cal.App.4th 1174, 1184.

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Project # AS 23-21
Park 315 Residential Project
3 The leading case on the subject is the Fonseca case, cited above, in which the Appellate Court affirmed a trial court ruling that the City of Gilroy’s Housing Element then in question was in substantial compliance with state law, even though HCD had refused to certify it. See also Martinez v. City of Clovis (2023) 90 Cal.App.5th 193.

Since the Gilroy Housing Element was in substantial compliance with state law when adopted on May 1, 2023, the Builder’s Remedy does not apply to this project. The appropriate application for you to file would be a request to amend the City’s General Plan and Zoning. Please let us know if you desire to file such an application, and we can advise you on the appropriate fees for that application.

Because the Builder’s Remedy does not apply to this application, the existing General Plan and Zoning govern the project. The proposed project to construct a 501-unit housing development does not comply with the current General Plan land use designation of the Employment Center or the land uses allowed in the current M-1 (Limited Industrial) zoning district. A General Plan Amendment application and Zoning Map Amendment application would be required to amend the General Plan and Zoning Map in this area to High Density Residential to allow the proposed residential development on this parcel.

Nevertheless, in accordance with the Permit Streamlining Act, Government Code Section 65920, et seq., the City is providing comments on the completeness of the existing application, as well as additional information as a courtesy to the applicant, in the remainder of this letter.

Planning Division
Contact: Erin Freitas at (408) 846-0242 or [email protected]

1. Site Plan: The Site Plan is missing the following information listed in Exhibit A of the Application Submittal Details document:
a. Data table including required front and street side setbacks and the number of accessible (ADA) parking spaces required and proposed. b. Clearly noting on the plan set the property boundaries (right-of-way and face of curb) and dimensions.
c. Location, dimensions, and purpose of all easements (existing and proposed).
d. Location and setback dimensions for all existing and proposed structural improvements, measured to the face of curb, all property lines, and between buildings onsite. Be sure to include accessory buildings, walls, fences, gates, trash/recycling enclosures, etc.
e. Location and dimensions of existing and proposed streets, alleys, and frontage improvements (e.g., curb cuts, gutter, sidewalk). Include crosssection details. f. Location, dimensions and type of paving material of driveways, driveway throats, drive aisles, walkways, and all hardscape areas (e.g. asphalt, scored concrete, enhanced paving, etc.).
g. Details of parking space size is missing.

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Project # AS 23-21
Park 315 Residential Project
4 h. Dimensions and design details of trash recycling enclosures. i. Location of aboveground utility vaults, transformers, freestanding mailboxes, gas meters, backflow preventers and other similar utility facilities.
j. Location and identification of onsite amenities, including site accessories and furnishings to be included in any outdoor private or common areas.

Include outdoor seating areas, fountains, bike parking facilities, trash and recycling containers, and other similar street furniture.

2. Current Photos: The current photos and map do not provide what is stated in the Application Submittal Details document including: photos that include the existing site including existing trees and photos of properties immediately surrounding the development adjacent to and within 100 feet along the same street particularly surrounding architecture and scale.

3. Floor Plan (ASD document, Ex. B): The following information is not shown on the floor plans as stated in the required Application Submittal Details (ASD) document provided online:
a. Proposed uses are not labeled in some rooms of the Second Amenity Building and Mid-Rise Building. Redlined plans are attached. b. Floor plan dimensions for proposed trash enclosures were not provided. c. Dimensions were not provided for the elevators in the amenity building with 39-plex or mid-rise building.

4. Building Elevations (ASD document, Ex. B): The following information is not shown on the elevations as stated in the required Application Submittal Details (ASD) document provided online:
a. Trash and recycling enclosures. Indicate color and materials of the enclosure, gates, and cover.
b. If roof-mounted equipment is proposed, include a section showing that parapet walls (or roof wells) will prevent visibility of such equipment.

5. Elements of the Landscape Document Package (ASD 3): The following information is missing from the landscape submittal package found in the Application Submittal Details (ASD) document:
a. Landscape Design Plan: The Landscape Design Plan is missing the following required items from the Landscape Submittal Requirements with details found in Section 30.38.120 of the municipal code:
i. Legend: Planting quantities are required to be listed and are not shown.
ii. Existing Tree Plan: Locate all existing mature trees, noting biological name, common name, and approximate trunk size, measured at four (4) feet above existing grade. Note trees to be removed, relocated on site, and/or maintained in place. iii. Identify all paving and hardscape materials (pervious and nonpervious). Include an illustrative spec sheet.

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Project # AS 23-21
Park 315 Residential Project
5 6. Color & Material Sample Board: A physical color and material sample board was not provided as identified in the Application Submittal Details (ASD) document provided online. Please provide a sample board with the requirements from the ASD document.

7. Arborist Report: An Arborist Report was not provided per the Application Submittal Checklist nor was tree information including species and trunk diameter provided on any site plan so staff is unable to determine if there are any Protected or Heritage trees on the site to require an Arborist Report. Please provide an Arborist Report per the application submittal requirements if there are Protected or Heritage trees on site per Sec. 30.28.270(b). If there are no Protected or Heritage trees on site, the existing trees on site should be identified by species and trunk diameter for confirmation that this requirement is not needed.

8. Phasing Plan: A phasing plan was not provided as required per the Application Submittal Checklist and applicant states on the Environmental Questionnaire that the development will be built in one phase. It is unlikely that the off-street improvements and construction of all three apartment buildings, amenity buildings, 43 townhome buildings, and on-site landscaping and parking improvements would all occur at the same time. Please confirm if this is the construction plan or include a Phasing Plan per the application submittal requirements.

9. Proposed Street Names: Proposed street names have not been identified on a site plan per the Application Submittal Details (ASD) document online. There are many internal private streets on the property that would require a street name for address identification purposes particularly for emergency responders. Please include proposed street names for the internal private streets in the development.

Engineering Division
Contact: Jose Cedano at (408) 846-0410 or [email protected] Civil Plan Set (ASD document, Exhibit C): The following information is unclear or is not shown on the Civil Plans as stated in the required Application Submittal Detail (ASD) document provided online:

10.General Requirements:
• In general, callouts to site plan elements do not reference City Standards. • Civil Planning Checklist: Per Exhibit C, submittal checklist was not included with submittal.
• In general, all plans (civil, landscape, etc.) need to show (new and existing) right of way, easements (city/Caltrans), dedications, etc. • Any existing overhead utility along the project frontage shall be undergrounded with this project.

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Project # AS 23-21
Park 315 Residential Project
6 11.Project Information:
• Parcel flood zone information is not identified on the project information plan sheet.
• Sheet 1 of the Civil plans contains notes referring to a Tentative Map.

However, this project is not a Tentative Map. Correct and/or apply correct notes reflecting this project.
• Various new easements and right of way dedication are required as part of this project. A parcel map will be needed to create all mapping required items.
• The provided utility representatives table is incomplete and does not include solid waste management.
• The utility representative table incorrectly identifies City of Gilroy’s Engineering as the contact for fire services. The contact for fire services is managed by the City of Gilroy’s Fire Department.
• This project will be required to provide new easements (various types) and right of way dedications. The submitted plan package does not show, include, or describe neither of these items.
• The project will be required to show all road offsite improvement improvements, including widening and/or road intersections. Some of these will be related to the project specific traffic study. These plans will not be deemed complete until these items are identified, conceptually designed, and explained.

12.Existing Conditions Plan:
• The Existing Conditions Plan is missing adjacent streets and roadway details (existing street sections).
• The existing top of curb, edge of pavement, flowline of roadside ditch, and property line are not shown. Refer to engineering checklist for complete items required.
• Existing street slopes along the centerlines are not shown. Refer to engineering checklist for complete items required.
• The project boundary is shown within Las Animas Avenue and Murray Avenue. The plan does not show right of way dedications, easements, and/or what is the ultimate project boundary.
• The contour lines shown on the plan are not labeled.
• Existing utility information is not shown.
i. The existing pipe information for the sanitary sewer is not shown (pipe size, slope, material, etc.)
ii. The existing pipe information for the storm drain is not shown (pipe size, slope, material, etc.)
iii. The existing pipe information for the water main is not shown (pipe size, material, etc.)
• The existing lot dimensions are not shown on the plans.

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Project # AS 23-21
Park 315 Residential Project
7 • The existing right of way dimensions are not shown on the plans. • The legend calls out a pedestrian easement that is not identified on the plans or the title report.
• There are several drainage facilities located on the project site that are not labeled (indicated by the contour lines).

13.Site Plan:
• Site plan does not show all required proposed easements affecting the property (example, along the project frontage, emergency vehicle access, etc.).
• The proposed Murray Ave extension is classified as an arterial street per the 2040 General Plan. The current plans do not show a proposed street section (therefore not confirming the proposed street width), however, from scale measurements the proposed street is not the correct width consistent with an arterial designation. Subsequently, right of way distance and square footage is not shown, described, or identified. • The proposed Murray Ave extension needs to be “end” per City standards.

This “end of road” must successfully allow for turnaround of all public vehicles, including emergency vehicles.
• The project must complete a detailed traffic study. Any and all offsite improvements must be designed per traffic study conclusions. Offsite improvements must be shown as part of the next planning submittal. • It is not clear what improvements are requires at the Murray Ave / Las Animas Ave intersection. See Traffic study comment above. • All project streets, drives, alleys, etc., need to be identified by name and also identified as privately owned and maintained.
• Las Animas Ave is classified as a collector street. The current plans do not show a proposed street section (therefore not confirming the proposed street width), however, from scale measurements the proposed street is not the correct width consistent with a collector designation.

Subsequently, right of way distance and square footage is not shown, described, or identified.
• The proposed site plan shows the proposed stormwater treatment facilities to be located within the limits of the required public service easement. This is not allowed. Additionally, all new impervious street areas from Murray Ave extension and Las Animas Ave widening will be treated by new stormwater treatment areas maintained by the project. Refer to stormwater comments further in these comments.
• The plan is not clear on right of way dedications, easements, and/or what is the ultimate project boundary.
• It’s not clear that the road layout is adequate to maintain proper site circulation, especially at all drive returns. This would be demonstrated by a detailed design vehicle turning movement plan. All design vehicle movements need to be maintained within their respective travel lanes (example, cannot cross opposite lane when traveling around curve

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Project # AS 23-21
Park 315 Residential Project
8 returns). This concept of “design vehicle” is not to be confused with “emergency vehicle” turning movements.
• The distance of the proposed driveway entrances to the existing intersection of Las Animas and Murray Avenue may not be adequate. The project does not show enough road geometric design information to confirm this item. The project must demonstrate that there will not be an impact (for example queuing of vehicles entering the site) to Murray Ave or Las Animas Ave. The project traffic study will also confirm the adequacy or subsequent improvements needed to support the proposed project entries.
• All offsite improvements to streets and intersections (including Murray Ave/Las Animas Ave) must be designed and constructed for use by design vehicle CA Legal 65 ft truck.
• Information is missing along Las Animas and Murray Avenue. Missing street section, curb, gutter, widening, etc.
• Developer shall design facilities to allow for standard Sight Distance (including intersection sight distance) to the latest edition of AASHTO Policy on Geometric Design of Highways and Streets. In effect at that time.
• Any parking (onsite or offsite) cannot impact sight distance. See comment above for sight distance criteria.
• The plans do not show proposed pedestrian ramps at the intersection of Las Animas and Murray Ave to enable pedestrian connectivity to surrounding streets.
• The site plan does not show the required sidewalk along the project frontages along Las Animas Ave and Murray Ave per City Standard. • The site plan is missing street sections for Las Animas Ave and Murray Ave.
• The proposed pavement section for the required road widening of Las Animas Avenue is not shown on the plans (Minimum T.I. = 9 and Minimum AC thickness is 6.0” per City Standard). Las Animas Ave and Murray Ave are designated as truck routes.
• The proposed pavement section for the required road widening of Murray Avenue is not shown on the plans. (Minimum T.I. = 9 and Minimum AC thickness is 6.0” per City Standard).
• The proposed driveway approaches are not per City Standard. • The proposed private drive aisle TI or pavement section is not shown or identified.
• Typical parking stall detail is not shown.
• It is not clear what is the hatched area shown on the vehicle back up area.

Call out and/or identify in the legend line.
• Private drive aisle curb return, street, centerline, islands, etc. radii are missing and not verifiable.
• Longitudinal street and driveway slopes and cross slopes are missing and not verifiable. Min 0.5” longitudinal slope shall be used on public streets.

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Project # AS 23-21
Park 315 Residential Project
9 • Coordination with the landscape architect is necessary to ensure all site landscape design works with the Civil and architect site plan objectives. • The site plan does show the required street tree locations. Tree location and spacing shall be consistent with City Standards.
• The photometric plan does not adequately evaluate the proposed project frontage or the proposed intersection of Las Animas and Murray Ave.

Additionally, the photometric shall analyze all offsite improvement locations identified in the traffic study.
• The plans do not include a signing and striping plan. Design signing and striping plans to the latest addition of the California MUTCD. • Private monument signs are not allowed in public easements. Plans currently show monuments signs within public easements. • Any private improvements are not allowed within public easements.

Please review plans to keep all private improvements out of public easements.

14.Grading Plan / Drainage Plan:
• Plan is missing and/or not showing information/grades at conform locations. Example, Las Animas Avenue and Murray Avenue. • Cross sections at boundary conditions were not provided. • Typical cross sections were not provided.
• The grading plans do not identify the limits of grading. Note – cross slope from street curb to back of public easements shall be 1.5% max. • The existing and proposed grading contours are not labeled. • The provided contour intervals do not provide sufficient information, consider increasing the contour interval shown.
• TC elevations are not shown for offsite improvements (at the conform with adjacent property, driveway approaches, BOC, EOC, etc.). • TC elevations are not shown onsite (curb returns, landscaping islands, etc.).
• Slope ratios and percentages not shown on sections views. • It is not clear how the water is going to enter the stormwater facilities.

More grading information is needed to clearly show stormwater paths of travel.
• Overland release is required and not shown on the plans. • The proposed street widening cross slopes are not shown. • The proposed Murray Avenue extension longitudinal slopes are not shown. (centerline, flow line, etc.).

15.Utility Plan:
• The Storm Drain Master Plans identifies the need for a 48-inch SD along Murray Ave. This project will be required to install this 48-inch SD line. A partial reimbursement will be provided for the pipe difference between the

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Project # AS 23-21
Park 315 Residential Project
10 required property owner 24 inch (per current adopted fees to build Section 4) to the Master Plan required 48-inch. The length of pipe subject to upsize will be from the end of new Murray Ave extension (limit of project) to Ronan Channel – approximately 2,300 ft.
• Utility plan does not show existing sanitary sewer line size, material, slopes, inverts.
• Utility plan does not show existing storm drain line material, slopes, inverts.
• Utility plan does not show existing water lines (sizes, depth, material). • Preliminary level storm drain calculations were not provided to support intended slopes.
• Preliminary level sanitary sewer calculations were not provided to support intended slopes.
• Minimum pipe slopes for the sanitary sewer line does not meet City standards or cannot verify minimum pipe slopes are adequately meeting City standards.
• Plans do not identify ownership of all utilities. Onsite storm, water, sewer, and stormwater management facilities shall be privately owned and maintained.
• The utility plan does not show the required storm drain inlet to be installed along the project frontage of Las Animas road widening and proposed Murray Avenue extension per City Standard.
• Storm drain maximum distance allowable between catch basins and manholes are not maintained per City Standard.
• Sanitary sewer maximum distance allowable between manholes is not maintained per City Standard.
• City Standard fire hydrant spacing along the project frontage is not being maintained.
• Callout information is overlapping and in conflict by other call out information along the project frontage notes.
• City Standard backflows for the domestic and irrigation services are not shown on the utility plan. Backflows are privately owned and shall be located outside of the required public service easement. • City Standard manholes are required at all public to private transitions of the storm and sewer utilities, immediately behind the public service easement.
• There is a joint City of Gilroy and City of Morgan Hill sanitary sewer trunk line built on Las Animas Ave. This plan will need to work with and around this new sewer main. This project will be required to show the future sewer trunk main in plan and profile (PDF provided with this response). • Private utilities are not allowed in public easements. Plans currently incorrectly show private utilities within the limits of the public service easement.
• The plans do not show City Standard gate valves to be installed at the extension of the public water line along the Murray Avenue extension per

8.1 p. 70 of 217
Project # AS 23-21
Park 315 Residential Project
11 connection and spacing requirements. Shal water valves at all new valve clusters.
• The proposed water main and Sewer main must extend to the end of the Murray Ave extension (to end of City Limits).
• The proposed end of water main does not show a City Standard blow off. • Requirement for air relief valve cannot be identified due to the lack of information being shown of the proposed water main.
• Minimum vertical cover requirements for proposed water main cannot be verified due to the lack of information being shown of the proposed water main.
• Proposed water main material is not identified on the plans. • Trash enclosure areas must connect to the sanitary sewer system. • Provide sanitary sewer manholes at all directional changes. • Proposed utility locations are not consistent with City Standards (example, water main distance from face of curb). Also confirm all utility spacing is consistent with Depart of Health criteria.
• Fire hydrants and valve locations are not shown on the plans. Cannot confirm conformance to City standards.
• Pipe material references are missing. Cannot confirm conformance to City Standards.
• General comment: information is missing at various levels that does not allow for conformance to City standards (pipe cover, location, material, valve placement, appurtenances, spacing, etc.)

16.Fire Truck Circulation Plan:
• Fire truck movements are shown encroaching onto approaching lanes.

This is not allowed.
• Truck movements will confirm if all driveway entries are adequate. • Contact fire department for any future fire design vehicles that will be required to be modeled for street design.
• Truck movement modeling is showing jumping cubs. This is not allowed. • Full modeling movements is required in and out and throughout all streets and drives and project entries (example: right in, right out, left in, left out, traversing through streets, etc.)

17.Solid Waste Handling Plan:
• Solid waste truck movements are shown encroaching onto approaching lanes. This is not allowed.
• Truck movements will confirm if all driveway entries are adequate. • Contact fire department for any future fire design vehicles that will be required to be modeled for street design.
• Truck movement modeling is showing jumping cubs. This is not allowed.

8.1 p. 71 of 217
Project # AS 23-21
Park 315 Residential Project
12 • Full modeling movements is required in and out and through out all streets and drives and project entries (example: right in, right out, left in, left out, traversing through streets, etc.)
• The Applicant shall obtain a review letter from Recology confirming serviceability and site accessibility of solid waste pickup. No public right of way areas to be used for solid waste pickup. Contact Lisa Patton, Operations Manager [email protected] 408-846-4421. Provide confirmation that the garbage truck can fully access the site and does not have to “back up” into City Right of Way or Easement. There can be no interruption to the City Right of Way or easements due to solid waste pickup.

18.Stormwater Management:
• A planning level stormwater control plan report (in addition to a stormwater plan sheet in the plan set) was not submitted. As part of the planning submittal, this project shall submit a preliminary (planning level) stormwater control plan (in a report format) in a report template found at Central Coast Regional Board website (MS Word). All technical calculations, exhibits, and background information justifying the stormwater management design must be contained in the stormwater control plan report.
https://www.waterboards.ca.gov/centralcoast/water_issues/programs/stor mwater/docs/lid
• The stormwater control plan sheet (in the plan set) is not clear as to which Tier is claiming infeasibility. Conflicting language in the notes for this plan sheet does not make it clear which tier is claiming infeasibility. • The City of Gilroy has been under close observation by the Regional Board on stormwater deign practices. Further, a Notice of Violation was issued to the City by the Board, which conclusions of this violation requires that projects cannot claim infeasibility strictly on soil classification.

Further, project site infiltration rates must be confirmed through site specific geotechnical investigations. Therefore, this project must confirm site specific soil infiltration rates as part of the geotechnical investigation. • This project shall design stormwater treatment and management facilities per the Central Coast Regional Water Quality Control Board (CRWQCB) and the City of Gilroy “Stormwater Management Guidance Manual for Low Impact Development & Post Construction Requirements” found https://www.cityofgilroy.org/DocumentCenter/View/5186/GuidanceManual-for-Low-Impact-Development--Post-ConstructionRequirements?bidId=. • Sizing tools for structural control measures for runoff retention can be found at the following https://countyofsb.org/pwd/sbpcw/development/newand-redevelopment.sbc • All new and disturbed areas (onsite and offsite) shall be accounted for and part of the stormwater management design calculations. The proposed

8.1 p. 72 of 217
Project # AS 23-21
Park 315 Residential Project
13 development also needs to account for offsite improvements as part of the stormwater design. Please update all Stormwater reports and plans.

The following comments are not on the completeness of the existing application but are noted here to provide additional information as a courtesy to the applicant.

Planning Division
Contact: Erin Freitas at (408) 846-0242 or [email protected] In addition to the items required to complete your application submittal, we are providing the following additional information as a courtesy to the applicant.

1. Environmental Review: This project is subject to the California Environmental Quality Act (CEQA). We will need to obtain an Initial Study to determine the project’s impacts and level of CEQA review required. The following technical studies at a minimum will be required:
a. Phase I ESA
b. Noise Study
c. Air Quality and Greenhouse Gas Emissions Report

2. Agreement of Deferred Agricultural Mitigation: An Agreement for Deferred Agricultural Mitigation recorded on the deed June 26, 2007, as required by the approval of the annexation A 01-01 which included the early cancellation of the Williamson Contract outlines conditions required upon an application for future development on this parcel. Per the Agreement, the developer agrees to pay the City an Agricultural Mitigation Fee based on a one-to-one acre ratio to be paid prior to the first discretionary approval. The fee will be determined by an appraisal of the fair market value of the development rights for the Mitigation Land. The City will require the Developer to pay a deposit to be used toward costs of the appraisal. The City may require a further deposit to cover the price of the appraisal and all administrative and transactional fees, including staff time and attorneys' fees, incurred by the City on a cost recovery basis. Please confirm your acknowledgement of this agreement. Staff will contact you in regard to receiving a deposit for the appraisal.

3. Santa Clara Valley Habitat Plan: The Coverage Screening Form determination was that the project is a covered project and will require the submittal of the Application for Private Projects including the Fees and Conditions Worksheet as stated on page 3 of the form. Please complete these two forms found on the Santa Clara Valley Habitat Agency website and include on your next submittal. A review of this property on the Agency’s Geobrowser determined this is within Fee Zone B under the grain, row crop, hay and pasture land cover zone which requires a fee of $17,698/acre to the Habitat Agency.

8.1 p. 73 of 217
Project # AS 23-21
Park 315 Residential Project
14 4. Multi-Family Residential Objective Design Standards: This project is subject to the Gilroy Mixed-Use Residential and Multi-Family Residential Objective Design Standards Policy that was adopted by the City Council on October 18, 2021. On the next submittal, please include a response to how this development is achieving each of the objective design standards related to Multi-Family Residential Developments.

Building Division
Contact: Hipolito Olmos at (408) 846-0572 or [email protected].

The following comments are not on the completeness of the application but are noted here to provide additional information as a courtesy to the applicant. It is essential for the building owner and general contractor to ensure compliance with the adopted building codes relevant to new construction projects.

5. Applicable Codes: For building permit applications submitted on or after January 1, 2023, and on or before December 31, 2025, design shall conform to Title 24 of the California Code of Regulations, with the 2022 code as the current edition. This encompasses the set of 2022 California Building Standards Code, which the City of Gilroy adopted by reference along with local amendments. Refer to the City of Gilroy website
(https://www.cityofgilroy.org/565/Applicable-Codes-Design-Criteria). The Gilroy City Code has incorporated the adoption with local amendments (https://www.codepublishing.com/CA/Gilroy/).

Fire Prevention Division
Contact: Jonathan Crick at (408) 846-0436 or [email protected] The following comments are not on the completeness of the existing application but are noted here to provide additional information as a courtesy to the applicant.

6. FIREWATER SUPPLY: Show the location and size of the Fire water supply underground. Minimum size is 6-inch diameter pipe. The private fire water supply system shall be separated from the City Main by a DDCA that meets the City Engineering Standard Specifications. The DDCA shall be supervised by a central station monitoring company. There shall be two (2) connections to the City main when there are 100 or more units or total floor area of more than 62,000 square feet. Alternatively, each building can have its own connection to the City Main, each with a DDCA. When multiple buildings are on a fire water supply underground, each shall have a PIV and FDC. Private Fire Hydrants and/or Fire Standpipes shall be provided so that one is within 150 ft of the most remote portion of any building. Draw a circle with a radius of 150 feet to demonstrate that there are an adequate number of fire hydrants positioned to cover all buildings and hazards. The underground water supply system shall meet the current edition of NFPA 24 on the private side of the system. A

8.1 p. 74 of 217
Project # AS 23-21
Park 315 Residential Project
15 separate plan review and permit are required for the Fire Water Supply System, to be obtained by the underground installer.

7. FIRE ACCESS: Buildings shall have fire engine access within 150 feet of any portion of the building. Roads shall be all weather and capable of supporting a 75,000-pound apparatus and provide an outside turning radius of 40 feet. Fire apparatus access roads shall have an unobstructed width of not less than 20 feet (6096 mm). They shall have an unobstructed vertical clearance of 13 feet 6 inches (4115 mm). Curb cuts for driveways that provide Fire Apparatus Access shall be 2 feet wider on each side of the driveway (apron extension). Fire apparatus access road width shall be increased to 26 ft in width and minimum distance of 30 ft from Buildings when the building is 3 stories or greater. Fire access roads that dead end, and are greater than 150 feet long, shall be provided with a turnaround using the Gilroy Fire Department template. Provide a fire truck circulation plan using Autoturn vehicle tracking software to demonstrate that a fire truck can navigate into the property, throughout the property, and exit the property from all possible approaches. Because this property is “land-locked” on two sides and due to the sheer size of the project, efforts shall be made to maximize fire department access. The Gilroy Fire Department requires the fire department access to be approved by Fire Prevention and Fire Operations. As such, it is recommended that two more points of access be added. One entrance could be achieved by reducing the size of Building D and extending the westernmost internal road to connect with Las Animas Avenue. The second entrance would be made by extending the internal Road located North of Building 47 to connect with Murray Avenue. Looped or through access is preferred when possible. Fire Access roadways shall be clearly marked and maintained clear at all times with red curbing stenciled “FIRE LANE NO PARKING”.

8. FIRE ACCESS: When the total square footage of building floor area, (inclusive of each story), exceeds 62,000 sq ft or there are more than 100 units, there shall be 2 fire access driveways and the Fire Water Underground Line shall be connected to the public system at two points, one at each driveway access. Each connection shall have a City Standard DDCA.

9. BUILDING FIRE ACCESS: Stairwells shall be sized based on the building code and the plans shall provide exiting calculations. A minimum of one (1) Fire Access Stairwell shall be provided. Additional Fire Access Stairwells shall be provided such that there is a Fire Access Stairwell within 150 ft of any unit. A Fire Access Stairwell shall have a door to the exterior, have a 2 hour enclosure with self closing doors at each level and a Fire Standpipe connection at each intermediate stair well landing. The stairwell landings shall be sized to allow for the hose standpipe and not degrade the required stair width. Fire Access Stairwells shall also provide access to the roof.

10.SECURITY GATES: No security fences or gates were shown on the plans.

Where security gates are installed, they shall have an approved means of

8.1 p. 75 of 217
Project # AS 23-21
Park 315 Residential Project
16 emergency operation. The security gates and the emergency operation shall be maintained operational at all times. When electronic gates are installed across one or more of the fire access roadways they shall be provided with automatic opening devices that can be activated by the Fire/Police department during a response to the location (Click 2 Enter). They shall also be provided with KNOX key over-ride switches. Electric gate operators, where provided shall be listed in accordance with UL 325. Gates intended for automatic operation shall be designed, constructed and installed to comply with the requirements of ASTM 2200. A guest turn-out lane and sufficient gate setback from the street shall be provided. A separate plan review and permit are required for gates.

11.FIRE PROTECTION: Apartment Building shall have a fire sprinkler system installed to meet NFPA 13R with all concealed spaces protected if 3 stories or less, or NFPA 13 if 4 or more stories. A separate plan review and permit are required for fire sprinkler system installation.

12.STANDPIPES: Buildings 4 or more stories in height shall have a separate fire standpipe. The standpipe shall be pressurized by a dedicated fire pump to provide 100 psi at the roof. The fire pump shall be located in a code compliant pump room. Also, back-up power shall be required when required by the Fire Code or NFPA 22. P.G. and E is considered a reliable power source in Gilroy. A separate plan review and permit are required for fire pump installation.

13.FIRE ALARMS: The Fire alarm system shall provide water flow monitoring for each floor level, a tamper switch at the DDCA and PIV (if one is present), a pull station and smoke detector at the riser location. Water flow shall cause alarm to sound in each unit. The smoke detection and CO monitoring shall only sound in the unit of alarm and as a supervisory alarm to the main office. Public areas including the community rooms, laundry rooms hallways shall have smoke detectors located in them and send an alarm to the central station. A separate plan review and permit are required for the fire alarm system.

14.FIRE EXITING: providing access from the apartments to a public way shall be adequately sized as part of an exit path or be provided with a courtyard where all occupants can be 50 ft from the structure. Exit gates shall have panic hardware and be protected against unwanted entry.

15.ELEVATORS: Elevator must be at least a 3500lb capacity elevator, able to accommodate a Gilroy gurney size of 80” x 25” as well as 2 EMS responders.

16.EMERGENCY LIGHTING: Emergency lighting shall be provided in any community rooms, commercial areas, laundry rooms, stairwells and hallways/corridors. These areas shall also have illuminated exit signage.

17.DOORS: All doors to be compliant for signage, direction of swing and hardware.

Note that some community rooms may be A occupancies and shall have exiting

8.1 p. 76 of 217
Project # AS 23-21
Park 315 Residential Project
17 in conformance with A occupancy standards.

18.KNOX BOXES: Knox Boxes shall be provided at: each stairwell, Fire Riser Room, Fire Alarm Panel location, Electrical Room and each commercial space.

Knox boxes shall be located at the upper right-hand side of the main doorway to each. Each of these shall be provided with signage that is approved by the Fire Marshal.

19.FIRE EXTINGUISHERS: Fire Extinguishers shall be provided so that there is one within 75 ft travel distance.

20.RADIO COMMUNICATION SYSTEMS: Building to be tested for adequate public safety radio coverage. Any building which fails to support adequate radio coverage for the city's public safety communication systems, shall include an amplification system to provide for voice and data communications for police and fire division personnel (DAS). A separate Permit is required to install a Distributed Antenna System (DAS).

21.IMPACT/TRAINING FEE: For buildings over 30 ft tall or 4 stories and greater the Fire Department requires a $200 per unit training fee to fund equipment and training.

Valley Transportation Authority
Contact: Lola Torney at (408) 321-5830 or [email protected] The following comments are not on the completeness of the existing application but are noted here to provide additional information as a courtesy to the applicant.

22.Pedestrian Access to Bus Stops: There are two bus stops within a quarter of a mile of the project site, at Monterey Highway and Las Animas Avenue and at Monterey Highway and Farrell Avenue. The stops serve Frequent Route 68, which connects the Gilroy Transit Center to Diridon Station in San José. It appears that the project will build sidewalks along Las Animas Avenue in front of the project. VTA recommends the project build a sidewalk to Monterey Highway to allow for connectivity between the site and transit.

23.Bus Stop Shelter: The bus stop on Monterey Highway and Las Animas Avenue has adequate spacing to allow for a bus shelter and trash receptacle. Please work with VTA staff to include the bus shelter and trash receptacle which will help encourage the use of the public transit for residents of this development.

24.Community Design and Transportation Manual: VTA encourages the applicant to utilize VTA’s Community Design and Transportation Manual (CDT) to guide the project’s design. The CDT Design Guidelines provide design strategies for development’s built form and parking design. These Design Guidelines create places that invite pedestrian activity, support transit, and build on the distinct qualities of each community. The Manual can be found at www.vta.org/cdt.

8.1 p. 77 of 217
Project # AS 23-21
Park 315 Residential Project
18 25.Transportation Impact Analysis (TIA) Report: VTA’s Congestion Management Program (CMP) requires a Transportation Impact Analysis (TIA) for any project that is expected to generate 100 or more net new peak-hour trips. Based on the size of this project, a TIA will be be required. The 2014 VTA TIA Guidelines, which can be found at www.vta.org/cmp/tia-guidelines, includes procedures for documenting auto trip reductions, analyzing non-auto modes, and evaluating mitigation measures and improvements to address project impacts and effects on the transportation system. We look forward to receiving that analysis.

26.Bike Parking: The project site is approximately a quarter of a mile from a VTA designated Cross County Bikeway Corridor. VTA encourages the applicant to provide conveniently located on-site bicycle parking. VTA’s Bicycle Technical Guidelines provide guidance for estimating the amount and the design of bicycle parking facilities. The document can be found at www.vta.org/programs/bicycleprogram.

Santa Clara Valley Water District
Contact: Benjamin Hwang at (408) 630-3066 or [email protected] The following comments are not on the completeness of the existing application but are noted here to provide additional information as a courtesy to the applicant.

27.The Stormwater Control Plan prepared by Morgan & Pitalo, Inc. (Exhibit D) states that groundwater levels within the project site varies between 19 and 28 feet below ground. Additionally, the geotechnical report prepared by EnGEO states that “the groundwater at and nearby the site generally ranges between 18 feet to 64 feet below ground surface. (Page 4)” According to an active monitoring well near the site, Valley Water has measured groundwater levels at 10 feet below ground or less in very wet years, and as recently as 2017, 13 feet below ground. The civil or stormwater control plans do not provide any details on the proposed bioretention basins within the site, however the applicant should confirm the basins will perform as intended in very wet years given the potential for shallow groundwater.

28.Since the proposal includes more than 500 residential units, the water retailer is required to prepare a Water Supply Assessment to evaluate water supply availability. When considering water supply and Gilroy’s Urban Water Management Plan it is important to recognize that projections of future water supply and availability assume substantial increases in water conservation and demand management measures. For the proposed project to meet its fair share to these water conservation assumptions Valley Water suggests that all available water conservation measures be required. To reduce or avoid adverse impacts to water supply, the City and applicant should consider the following:
a. Weather- or soil-based irrigation controllers;
b. Dedicated landscape meters;

8.1 p. 78 of 217
Project # AS 23-21
Park 315 Residential Project
19 c. Maximize the use of alternative water sources for non-potable uses including stormwater, rainwater, and graywater.
d. Installation of separate submeters to each residential unit and individual spaces within commercial buildings to encourage efficient water use.

29.Valley Water Ordinance 23-02 (Enforcement Measures for Water Conservation in Santa Clara County) prohibits the use of potable water for non-functional turf in private open space. Non-functional turf is defined as turf that is solely ornamental and does not serve a community or neighborhood function.

30.Sheet L3.1 of the landscaping plans prepared by Yamasaki Landscape Architecture proposes Platanus acerifolia (London Plan Tree) and Ulmus parvifolia (Truee Green Lacebark Elm) as part of the planting schedule. According to the Guidelines and Standards for Land Use Near Streams (Gns), both species have been identified as invasive species and should be avoided. It should be noted that all proposed plantings should be non-invasive and “propagated from seeds, cuttings or divisions collected from the same local creek or watershed (GnS, Chapter 4, Design Guide 2).” The noted excerpt, which also includes a list of trees and plant species native to Santa Clara County, has been included for the applicant’s reference.

31.Valley Water records indicate there are 2 registered wells within the subject parcel. While Valley Water has records for most wells located within the County, there are numerous unregistered wells, including many that pre-date well permitting or registration requirements. IF any abandoned/unregistered wells or well-like structures are encountered during construction of the project, please contact the Valley Water Well Ordinance Program at (408) 630-2660 to arrange to have the well(s) brought into compliance.

8.1 p. 79 of 217
Project # AS 23-21
Park 315 Residential Project
20 Your timely submittal of the requested information will help us meet your processing goals.

Note that in the course of processing your development request, in accordance with Section 65944 of the State Government Code, staff may request that you clarify, amplify, correct or otherwise supplement the information provided for the application.

Should you have any questions or if you would like to schedule a meeting to preview your application resubmittal for completeness, please feel free to contact me at (408) 846-0242 or [email protected].

Respectfully,
Erin Freitas
Planner II
cc: Gandolfi Investments, LLC, Attn: Scott Canel, 445 Central Avenue, Highland Park, IL 60035 Las Animas Development, LLC, Attn: Augustine Melia, 350 Buena Vista Avenue, Gilroy CA 95020
Att: Planning Comments on Architectural Plans
Sewer Relief Trunk Line Project Plans

8.1 p. 80 of 217
38' - 1"
66' - 10 3/4"

GAME ROOM

SOCIAL ROOM
DINING
POOL EQ.
112' - 5 1/4"
49' - 6 3/4"
14' - 3 3/4" 30' - 8 7/8"
30' - 0"
27' - 2 3/8"
67' - 6"
40' - 2 1/4"
26' - 11"
10' - 6"
19' - 9 1/4"
49' - 5 1/8" 18' - 6 3/8" 44' - 5 7/8"
19' - 5 7/8"
Level 1
0' - 0"
Roof Peak
18' - 9"
Bruce W.

Steingraber PROGRESSIVE IMAGES IN ARCHITECTURE & PLANNING 24665 RANCHO SANTA TERESA
Ramona, Ca. 92065 (619) 994−5848
E−MAIL [email protected]
==============
SHEET
OF
DATE:

DRAWN:

JOB NO.

N0. REVISIONS DATE CONTENTS PROJECT
A1.1 AMENITY BUILDING FLOOR & ROOF PLAN
11/28/23

THE GILROY
315 Las Animas Avenue, Gilroy, CA
1/8" = 1'-0" 1 AMENITY BUILDING FLOOR PLAN
1/8" = 1'-0" 2 ROOF PLAN
0 4' 8' 16'
0 4' 8' 16'
1" = 10'-0" 3 WEST ELEVATION

8.1 p. 81 of 217
W/D
W/D
W/D
W/DW/D
W/DW/D
W/D
W/D
W/D
W/D

W/D W/D

W/D W/D

W/D W/D
UP
LOBBY
ELEV
8' - 9"
ELEV
2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM ELEV.

EQUIP.

TRASH
ELEC.

FIRE
EQUIP.

STAIR #2
TRASH
ROOM
STAIR #1
TRASH
ROOM
4' - 6". 55' - 8"
20' - 7". 311' - 5" 20' - 7".
4' - 6". 55' - 8"
4' - 6".4' - 6".
4' - 3" 1' - 8"
64' - 8"
64' - 8".

ELEV
ELEV
2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM

TENANT STORAGE
TRASH ELEC.

ELEC.

TRASH
STAIR #2
5' - 1 3/4"
STAIR #1
10' - 0" 311' - 5 1/2" 9' - 11"
64' - 8".
8' - 5 1/4"
70' - 6 1/2"
2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM

TENANT STORAGE
TRASH ELEC.

ELEC.

TRASH
STAIR #2 STAIR #1
10' - 0" 311' - 5 1/2" 9' - 11"
71' - 6 1/2"
64' - 8".

ELEV
ELEV
Bruce W.

Steingraber PROGRESSIVE IMAGES IN ARCHITECTURE & PLANNING 24665 RANCHO SANTA TERESA
Ramona, Ca. 92065 (619) 994−5848
E−MAIL [email protected]
==============
SHEET
OF
DATE:

DRAWN:

JOB NO.

N0. REVISIONS DATE CONTENTS PROJECT
A1.3 1ST, 2ND & 3RD FLOOR PLANS
11/28/23
PARK 315
315 Las Animas Avenue, Gilroy, CA
1/16" = 1'-0" 1 FIRST FLOOR PLAN
1/16" = 1'-0" 2 SECOND PLAN
0 8' 16' 32'
1/16" = 1'-0" 3 THIRD FLOOR PLAN

8.1 p. 82 of 217
WV -1.46
WV -1.71 WV -2.12
WV -1.71
WV -1.73 WV -1.67
WV -1.54
WV -1.58
WV -1.66
WV
-1.66
WV -1.40
WV -1.74
WV
-1.66
FH FH
FH
MON
SSMH 130044
RIM 213.29
8"N 206.43
8"E 206.26
8"W 206.29
SDMH 130060
RIM 211.90
24"W INV UNKNOWN
24"E INV UNKNOWN
?"S INV UNKNOWN
FOD
SSMH 130073
RIM 212.30
8"E 205.50
8"W 205.53
SSMH 130086
RIM 212.95
12"N 204.71
12"NE 204.91
18"S 204.75
10"W 204.70
CB 130059
TC 212.39

INV UNKNOWN
FOD
CB 130064
TC 212.10
16"N 207.25
12"S UNKNOWN (FOD)
12"S 207.18
TC 212.13
16"N 207.11
10"S 207.18
DI 211.72
18"S 207.00
18"W 206.92
18"E 206.89
DI 211.05
16"N 206.40
18"E 206.21
16"S 206.42
18"W 206.30
DI 210.72
18"S 206.72
FDC
SSMH 130044
SDMH 130060
SSMH 130073
SSMH
130086

LAS ANIMAS AVE MURRAY AVE N
PLAN
R:\common\projects\380-Morgan Hill\003-Sewer Trunk South of Highland\05-Design Phase\02-Drawings\03-Civil\380-003 C010 to C018.dwg ANTHONY PEREZ 9/12/2022 9:30 AM

NOT FOR CONSTRUCTION

SEWER RELIEF TRUNK LINE PROJECT

LAS ANIMAS AVENUE
PLAN AND PROFILE - STA 134+00 TO 143+50
PROFILE MATCHLINE STA 143+50 SEE SHEET C016
MATCHLINE STA 134+00 SEE SHEET C014

SHEET NOTES

KEY NOTES

8.1 p. 83 of 217

WV (EMPTY WELL)
WV -1.66
WV -1.72
WV -1.74
WV -1.34 WV -1.50 WV -1.53 WV -1.32
FH
FH
MON
MON
SDMH 130015
RIM 213.58
36"N 200.68
18"NE 205.38
36"S 200.56
18"NW 205.56
SDMH 130008
RIM 214.06
18"N 207.76
24"E 201.14
SDMH 130020
RIM 213.86
36"E 201.68
36"S 200.95
36"W 200.92
SSMH 130019
RIM 214.02
8"N 208.07
8"E 207.87
SDMH 130030 8"S 207.92
RIM 212.38
18"N 206.61
36"E 202.81
18"SE 208.18
36"W 202.68
SSMH 130034
RIM 213.02
8"E 207.02
8"W 207.07
TC 213.41
18"E 206.00
TC 213.35 18"W 206.05
18"NE 206.11
18"SW 205.99
CB 130029
TC 212.33
18"N 208.79
CB 130007
TC 213.96
18"S 208.02
DI 211.75
18"S 206.98
WV -1.96
WV -2.26
WV -1.66
MON
SDMH 130008 SDMH 130020
SSMH 130034 SDMH 130030 SSMH 130019
SDMH
130015
PH 5
PH 4
PH 3 PH 2
PH 1

LAS ANIMAS AVE ELECTA CT

WEST LAS ANIMAS AVE MONTEREY RD
N
N
PLAN

SEWER RELIEF TRUNK LINE PROJECT

LAS ANIMAS AVENUE
PLAN AND PROFILE - STA143+50 TO 153+50

PROFILE
MATCHLINE STA 153+50 SEE SHEET C017 MATCHLINE STA 143+50 SEE SHEET C015

SHEET NOTES

KEY NOTES
R:\common\projects\380-Morgan Hill\003-Sewer Trunk South of Highland\05-Design Phase\02-Drawings\03-Civil\380-003 C010 to C018.dwg ANTHONY PEREZ 9/12/2022 9:31 AM

NOT FOR CONSTRUCTION

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Community Development
Department
7351 Rosanna Street, Gilroy, California 95020-6197
Telephone: (408) 846-0440 Fax: (408) 846-0429
http://www.cityofgilroy.org
Sharon Goei

DIRECTOR
March 15, 2024
Russell Morse for Gandolfi Investments LLC
707 Wilshire Blvd., 24th Fl
Los Angeles, CA 90017
Sent via: Mail and Email: [email protected], [email protected] SUBJECT: Notification of Application Incompleteness
Project # AS 23-21, Located at 315 Las Animas Avenue
Dear Mr. Morse:

Thank you for resubmitting the above-referenced application (“Application”), which proposes a housing development project (“Project”) at the property located at 315 Las Animas Avenue in Gilroy, California. The Project site is currently an undeveloped, vacant 26.75-acre parcel. The proposed project would involve the construction of a 501- unit housing development Project including for rent apartment units with 20% affordable dedicated to very-low or low-income households in the M-1 (Limited Industrial) zoning district.

The Application materials and payment were received on February 15, 2024, and have been reviewed by Gilroy’s development review staff. The Application has been determined to be incomplete for further review at this time. As such, processing of your request is halted pending receipt of items necessary to complete the Application submittal.

If you wish to appeal the determination of incompleteness, you may submit an application for the Appeal online at: https://www.cityofgilroy.org/GOpermit. The application should include the items in the Appeal Application Submittal Checklist. Once all the application submittal requirements are received, staff will send you an invoice for the application fees per the Planning Fee Schedule. The appeal would be heard by the City’s governing body which is the City Council and a determination will be made within 60 days of receiving the complete appeal application.

In this letter, in accordance with the Permit Streamlining Act, Government Code Section 65920, et seq., we explain what further information is needed to make the Application complete. This letter also contains some additional analysis and information related to

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Park 315 Residential Project
2 your Application as a courtesy to the applicant and is subject to augmentation upon receipt of a complete Application submittal.

In the interest of ensuring development applications are processed in a timely manner, resubmittals must be received within ninety (90) days of this letter, or the Application shall be deemed abandoned (Gilroy City Code section 30.51.10(e)). The Application resubmittal deadline is June 13, 2024. The Director may allow an extension of the resubmittal deadline only for extenuating circumstances if such is requested in advance of the abandonment date. Please note that, once abandoned, no further action shall be taken on an Application and no fees will be refunded.

Therefore, prior to June 13, 2024, please complete your Application submittal by providing the following items. For your convenience, staff contact information is provided for each Division representative.

Planning Division
Contact: Erin Freitas at (408) 846-0242 or [email protected]

1. Site Plan: The Site Plan is missing the following information listed in Exhibit A of the Application Submittal Details document:
a. Data table including required front and street side setbacks and the number of accessible (ADA) parking spaces required and proposed. b. Clearly noting on the plan set the property boundaries (right-of-way and face of curb) and dimensions.
c. Location, dimensions, and purpose of all easements (existing and proposed).
d. Location and setback dimensions for all existing and proposed structural improvements, measured to the face of curb, all property lines, and between buildings onsite. Be sure to include accessory buildings, walls, fences, gates, trash/recycling enclosures, etc.
e. Location and dimensions of existing and proposed streets, alleys, and frontage improvements (e.g., curb cuts, gutter, sidewalk). Include crosssection details. f. Location, dimensions and type of paving material of driveways, driveway throats, drive aisles, walkways, and all hardscape areas (e.g. asphalt, scored concrete, enhanced paving, etc.).
g. Details of parking space size is missing.
h. Dimensions and design details of trash recycling enclosures. i. Location of aboveground utility vaults, transformers, freestanding mailboxes, gas meters, backflow preventers and other similar utility facilities.
j. Location and identification of onsite amenities, including site accessories and furnishings to be included in any outdoor private or common areas.

Include outdoor seating areas, fountains, bike parking facilities, trash and recycling containers, and other similar street furniture.

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3 2. Current Photos: The current photos and map do not provide what is stated in the Application Submittal Details document including: photos that include the existing site including existing trees and photos of properties immediately surrounding the development adjacent to and within 100 feet along the same street particularly surrounding architecture and scale.

3. Floor Plan (ASD document, Ex. B): The following information is not shown on the floor plans as stated in the required Application Submittal Details (ASD) document provided online:
a. Proposed uses are not labeled in some rooms of the Second Amenity Building and Mid-Rise Building. Redlined plans are attached. b. Floor plan dimensions for proposed trash enclosures were not provided. c. Dimensions were not provided for the elevators in the amenity building with 39-plex or mid-rise building.

4. Building Elevations (ASD document, Ex. B): The following information is not shown on the elevations as stated in the required Application Submittal Details (ASD) document provided online:
a. Trash and recycling enclosures. Indicate color and materials of the enclosure, gates, and cover.
b. If roof-mounted equipment is proposed, include a section showing that parapet walls (or roof wells) will prevent visibility of such equipment.

5. Elements of the Landscape Document Package (ASD 3): The following information is missing from the landscape submittal package found in the Application Submittal Details (ASD) document:
a. Landscape Design Plan: The Landscape Design Plan is missing the following required items from the Landscape Submittal Requirements with details found in Section 30.38.120 of the municipal code:
i. Legend: Planting quantities are required to be listed and are not shown.
ii. Existing Tree Plan: Locate all existing mature trees, noting biological name, common name, and approximate trunk size, measured at four (4) feet above existing grade. Note trees to be removed, relocated on site, and/or maintained in place. iii. Identify all paving and hardscape materials (pervious and nonpervious). Include an illustrative spec sheet.

6. Color & Material Sample Board: A physical color and material sample board was not provided as identified in the Application Submittal Details (ASD) document provided online. Please provide a sample board with the requirements from the ASD document.

7. Phasing Plan: A phasing plan was not provided as required per the Application Submittal Checklist and applicant states on the Environmental Questionnaire that the development will be built in one phase. It is unlikely that the off-street

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4 improvements and construction of all three apartment buildings, amenity buildings, 43 townhome buildings, and on-site landscaping and parking improvements would all occur at the same time. Please confirm if this is the construction plan or include a Phasing Plan per the application submittal requirements.

8. Proposed Street Names: Proposed street names have not been identified on a site plan per the Application Submittal Details (ASD) document online. There are many internal private streets on the property that would require a street name for address identification purposes particularly for emergency responders. Please include proposed street names for the internal private streets in the development.

Engineering Division
Contact: Weston Hill at (408) 846-0410 or [email protected] Civil Plan Set (ASD document, Exhibit C): The following information is unclear or is not shown on the Civil Plans as stated in the required Application Submittal Detail (ASD) document provided online:

9. General Requirements:
• In general, callouts to site plan elements do not reference City Standards. • Civil Planning Checklist: Per Exhibit C, submittal checklist was not included with submittal.

10.Project Information:
• Parcel flood zone information is not identified on the project information plan sheet.
• Sheet 1 of the Civil plans contains notes referring to a Tentative Map.

However, this project is not a Tentative Map. Correct and/or apply correct notes reflecting this project.
• Various new easements and right of way dedication are required as part of this project. A parcel map will be needed to create all mapping required items.
• The provided utility representatives table is incomplete and does not include solid waste management.
• The existing lot dimensions are not shown on the plans.

11.Existing Conditions Plan:
• The Existing Conditions Plan is missing adjacent streets and roadway details (existing street sections).
• The existing top of curb, edge of pavement, flowline of roadside ditch, and property line are not shown. Refer to engineering checklist for complete items required.
• Existing street slopes along the centerlines are not shown. Refer to

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5 engineering checklist for complete items required.
• The contour lines shown on the plan are not labeled.
• Existing utility information is not shown.
i. The existing pipe information for the sanitary sewer is not shown (pipe size, slope, material, etc.)
ii. The existing pipe information for the storm drain is not shown (pipe size, slope, material, etc.)
iii. The existing pipe information for the water main is not shown (pipe size, material, etc.)
• The existing right of way dimensions are not shown on the plans. • There are several drainage facilities located on the project site that are not labeled (indicated by the contour lines).

12.Site Plan:
• Site plan does not show all required proposed easements affecting the property (example, along the project frontage, emergency vehicle access, etc.).
• The plan is not clear on right of way dedications and/or what is the ultimate project boundary. The project boundary (right of way) is shown within Las Animas Avenue and Murray Avenue. Site plan shall show ultimate Right of Way/Project Boundary per City Standards. • The proposed Murray Ave extension is classified as an arterial street per the 2040 General Plan. The current plans do not show a proposed street section (therefore not confirming the proposed street width), however, from scale measurements the proposed street is not the correct width consistent with an arterial designation. Subsequently, right of way distance and square footage is not shown, described, or identified. • The proposed Murray Ave extension needs to be “end” per City standards.

This “end of road” must successfully allow for turnaround of all public vehicles, including emergency vehicles.
• All project streets, drives, alleys, etc., need to be identified by name and also identified as privately owned and maintained.
• Las Animas Ave is classified as a collector street. The current plans do not show a proposed street section (therefore not confirming the proposed street width), however, from scale measurements the proposed street is not the correct width consistent with a collector designation.

Subsequently, right of way distance and square footage is not shown, described, or identified.
• Information is missing along Las Animas and Murray Avenue. Missing street section, curb, gutter, widening, etc.
• The plans do not show proposed pedestrian ramps at the intersection of Las Animas and Murray Ave to enable pedestrian connectivity to surrounding streets.
• The site plan does not show the required sidewalk along the project frontages along Las Animas Ave and Murray Ave per City Standard.

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Park 315 Residential Project
6 • The site plan is missing street sections for Las Animas Ave and Murray Ave. Typical information shown on street sections include pavement structural section, lane widths, bike lane widths, lane cross slopes, etc. • The proposed pavement section for the required road widening of Las Animas Avenue is not shown on the plans (Minimum T.I. = 9 and Minimum AC thickness is 6.0” per City Standard). Las Animas Ave and Murray Ave are designated as truck routes. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C
• The proposed pavement section for the required road widening of Murray Avenue is not shown on the plans. (Minimum T.I. = 9 and Minimum AC thickness is 6.0” per City Standard). Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C. • The proposed driveway approaches shown are not per City Standard.

Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• The proposed private drive aisle TI or pavement section is not shown or identified. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• Typical parking stall detail is not shown.
• Private drive aisle curb return, street, centerline, islands, etc. radii are missing and not verifiable.
• Longitudinal street and driveway slopes and cross slopes are missing and not verifiable. Min 0.5” longitudinal slope shall be used on public streets. • The photometric plan does not adequately evaluate the proposed project frontage or the proposed intersection of Las Animas and Murray Ave.

Additionally, the photometric shall analyze all offsite improvement locations identified in the traffic study.
• The project will be required to show all road offsite improvements, including widening and/or road intersections. Some of these will be related to the project specific traffic study. These plans will not be deemed complete until these items are identified, conceptually designed, and explained.
• The proposed street widening cross slopes are not shown. • The proposed Murray Avenue extension longitudinal slopes are not shown. (center line, flow line, etc.).

13.Grading Plan / Drainage Plan:
• Plan is missing and/or not showing information/grades at conform locations. Example, Las Animas Avenue and Murray Avenue. • Typical cross sections were not provided.

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7 • The grading plans do not identify the limits of grading. Note – cross slope from street curb to back of public easements shall be 1.5% max. • The existing and proposed grading contours are not labeled. • TC elevations are not shown for offsite improvements (at the conform with adjacent property, driveway approaches, BOC, EOC, etc.). • TC elevations are not shown onsite (curb returns, landscaping islands, etc.).
• Slope ratios and percentages not shown on sections views. • It is not clear how the water is going to enter the stormwater facilities.

More grading information is needed to clearly show stormwater paths of travel.
• Overland release is required and not shown on the plans.

14.Utility Plan:
• Utility plan does not show existing sanitary sewer line size, material, slopes, inverts.
• Utility plan does not show existing storm drain line material, slopes, inverts.
• Utility plan does not show existing water lines (sizes, depth, material). • Minimum pipe slopes for the sanitary sewer line does not meet City standards or cannot verify minimum pipe slopes are adequately meeting City standards. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• The utility plan does not show the required storm drain inlet to be installed along the project frontage of Las Animas road widening and proposed Murray Avenue extension per City Standard. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• Storm drain maximum distance allowable between catch basins and manholes are not maintained per City Standard. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• Sanitary sewer maximum distance allowable between manholes is not maintained per City Standard. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• City Standard fire hydrant spacing along the project frontage is not being maintained. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• City Standard backflows for the domestic and irrigation services are not shown on the utility plan. Backflows are privately owned and shall be

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8 located outside of the required public service easement. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• City Standard manholes are required at all public to private transitions of the storm and sewer utilities, immediately behind the public service easement. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• The plans do not show City Standard gate valves to be installed at the extension of the public water line along the Murray Avenue extension per connection and spacing requirements. Show water valves at all new valve clusters. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• The proposed water main and Sewer main must extend to the end of the Murray Ave extension (to end of City Limits). Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• The proposed end of water main does not show a City Standard blow off.

Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• Requirement for air relief valve cannot be identified due to the lack of information being shown of the proposed water main. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• Minimum vertical cover requirements per City standards for proposed water main cannot be verified due to the lack of information being shown of the proposed water main. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• Proposed water main material is not identified on the plans. • Provide sanitary sewer manholes at all directional changes. Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C.
• Proposed utility locations are not consistent with City Standards (example, water main distance from face of curb). Design features shall reference and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C. • Fire hydrants and valve locations are not shown on the plans. Cannot confirm conformance to City standards. Design features shall reference

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9 and be in conformance with Design Standards/Standard Details/City Standards as mentioned in the General Requirements of Exhibit C. • Pipe material references are missing. Cannot confirm conformance to City Standards.

15.Fire Truck Circulation Plan:
• Fire truck movements are shown encroaching onto approaching lanes.

This is not allowed. Showing driveway details will help you model Fire Department vehicle for proper vehicle circulation.
• Truck movements will confirm if all driveway entries are adequate. • Truck movement modeling is showing jumping cubs. This is not allowed. • Full modeling movements is required in and out and throughout all streets and drives and project entries (example: right in, right out, left in, left out, traversing through streets, etc.).

16.Solid Waste Handling Plan:
• Truck movement modeling is showing jumping cubs. This is not allowed.

Showing driveway details will help you model solid waste vehicle for proper vehicle circulation.
• Full modeling movements is required in and out and throughout all streets and drives and project entries (example: right in, right out, left in, left out, traversing through streets, etc.).
• The Applicant shall obtain a review letter from Recology confirming serviceability and site accessibility of solid waste pickup. No public right of way areas to be used for solid waste pickup. Contact Lisa Patton, Operations Manager [email protected] 408-846-4421. Provide confirmation that the garbage truck can fully access the site and does not have to “back up” into City Right of Way or Easement. There can be no interruption to the City Right of Way or easements due to solid waste pickup.

17.Stormwater Management:
• A planning level stormwater control plan report (in addition to a stormwater plan sheet in the plan set) was not submitted. As part of the planning submittal, this project shall submit a preliminary (planning level) stormwater control plan (in a report format) in a report template found at Central Coast Regional Board website (MS Word). All technical calculations, exhibits, and background information justifying the stormwater management design must be contained in the stormwater control plan report.
https://www.waterboards.ca.gov/centralcoast/water_issues/programs/stor mwater/docs/lid

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10 • This project shall design stormwater treatment and management facilities per the Central Coast Regional Water Quality Control Board (CRWQCB) and the City of Gilroy “Stormwater Management Guidance Manual for Low Impact Development & Post Construction Requirements” found https://www.cityofgilroy.org/DocumentCenter/View/5186/GuidanceManual-for-Low-Impact-Development--Post-ConstructionRequirements?bidId=.

The following comments are not on the completeness of the existing application but are noted here to provide additional information as a courtesy to the applicant.

Planning Division
Contact: Erin Freitas at (408) 846-0242 or [email protected]

1. Environmental Review: This project is subject to the California Environmental Quality Act (CEQA). We will need to obtain an Initial Study to determine the project’s impacts and level of CEQA review required. The following technical studies at a minimum will be required:
a. Phase I ESA
b. Noise Study
c. Air Quality and Greenhouse Gas Emissions Report

2. Agreement of Deferred Agricultural Mitigation: An Agreement for Deferred Agricultural Mitigation recorded on the deed June 26, 2007, as required by the approval of the annexation A 01-01 which included the early cancellation of the Williamson Contract outlines conditions required upon an application for future development on this parcel. Per the Agreement, the developer agrees to pay the City an Agricultural Mitigation Fee based on a one-to-one acre ratio to be paid prior to the first discretionary approval. The fee will be determined by an appraisal of the fair market value of the development rights for the Mitigation Land. The City will require the Developer to pay a deposit to be used toward costs of the appraisal. The City may require a further deposit to cover the price of the appraisal and all administrative and transactional fees, including staff time and attorneys' fees, incurred by the City on a cost recovery basis. Please confirm your acknowledgement of this agreement. Staff will contact you in regard to receiving a deposit for the appraisal.

3. Santa Clara Valley Habitat Plan: The Coverage Screening Form determination was that the project is a covered project and will require the submittal of the Application for Private Projects including the Fees and Conditions Worksheet as stated on page 3 of the form. Please complete these two forms found on the Santa Clara Valley Habitat Agency website and include on your next submittal. A review of this property on the Agency’s Geobrowser determined this is within Fee Zone B under the grain, row crop, hay and pasture land cover zone which requires a fee of $17,698/acre to the Habitat Agency.

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Park 315 Residential Project
11 4. Multi-Family Residential Objective Design Standards: This project is subject to the Gilroy Mixed-Use Residential and Multi-Family Residential Objective Design Standards Policy that was adopted by the City Council on October 18, 2021. On the next submittal, please include a response to how this development is achieving each of the objective design standards related to Multi-Family Residential Developments.

Engineering Division
Contact: Weston Hill at (408) 846-0410 or [email protected]

5. In general, all plans (civil, landscape, etc.) need to show (new and existing) right of way, easements (city/Caltrans), dedications, etc.

6. The utility representative table incorrectly identifies City of Gilroy’s Engineering as the contact for fire services. The contact for fire services are managed by the City of Gilroy’s Fire Department.

7. Any existing overhead utility along the project frontage shall be undergrounded with this project.

8. Cross sections at boundary conditions were not provided.

9. The provided contour intervals on the Grading and Drainage plans do not provide sufficient information, consider increasing the contour interval shown.

10.The plans do not include a signing and striping plan along the project frontage.

Design signing and striping plans to the latest edition of the California MUTCD.

Submit signing and striping plans.

11.Private monument signs are not allowed in public easements. Plans currently show monuments signs within public easements.

12.Any private improvements are not allowed within public easements. Please review plans to keep all private improvements out of public easements.

13.The proposed site plan shows the proposed stormwater treatment facilities to be located within the limits of the required public service easement. This is not allowed. Additionally, all new impervious street areas from Murray Ave extension and Las Animas Ave widening will be treated by new stormwater treatment areas maintained by the project. Refer to stormwater comments further in these comments.

14.The Existing Conditions Plan legend calls out a pedestrian easement that is not identified on the plans or the title report.

15.It’s not clear that the road layout is adequate to maintain proper site circulation, especially at all drive returns. This would be demonstrated by a detailed design vehicle turning movement plan. All design vehicle movements need to be maintained within their respective travel lanes (example, cannot cross opposite lane when traveling around curve returns). This concept of “design vehicle” is not to be confused with “emergency vehicle” turning movements.

16.Coordination with the landscape architect is necessary to ensure all site landscape design works with the Civil and architect site plan objectives.

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12 17.It is not clear what is the hatched area shown on the vehicle back up area. Call out and/or identify in the legend line.

18.The stormwater control plan sheet (in the plan set) is not clear as to which Tier is claiming infeasibility. Conflicting language in the notes for this plan sheet does not make it clear which tier is claiming infeasibility.

19.The City of Gilroy has been under close observation by the Regional Board on stormwater deign practices. Further, a Notice of Violation was issued to the City by the Board, which conclusions of this violation requires that projects cannot claim infeasibility strictly on soil classification. Further, project site infiltration rates must be confirmed through site specific geotechnical investigations.

Therefore, this project must confirm site specific soil infiltration rates as part of the geotechnical investigation.

20.Sizing tools for structural control measures for runoff retention can be found at the following: https://www.countyofsb.org/2324/New-Redevelopment

21.All new and disturbed areas (onsite and offsite) shall be accounted for and part of the stormwater management design calculations. The proposed development also needs to account for offsite improvements as part of the stormwater design.

Please update all Stormwater reports and plans.

22.Stormwater control plan does not identify location, size, and/or proposed landscaping plant material.

23.Preliminary (planning level) stormwater calculations were not provided.

24.Pollutants and pollutant source areas were not identified.

25.Solid waste truck movements are shown encroaching onto approaching lanes.

This is not allowed.

26.Truck movements will confirm if all driveway entries are adequate.

27.Contact fire department for any future fire design vehicles that will be required to be modeled for street design.

28.The Storm Drain Master Plans identifies the need for a 48-inch SD along Murray Ave. This project will be required to install this 48-inch SD line. A partial reimbursement will be provided for the pipe difference between the required property owner 24 inch (per current adopted fees to build Section 4) to the Master Plan required 48 inches. The length of pipe subject to upsize will be from the end of new Murray Ave extension (limit of project) to Ronan Channel – approximately 2,300 ft.

29.Preliminary level storm drain calculations were not provided to support intended slopes.

30.Preliminary level sanitary sewer calculations were not provided to support intended slopes.

31.Plans do not identify ownership of all utilities. Onsite storm, water, sewer, and stormwater management facilities shall be privately owned and maintained.

32.Callout information is overlapping and in conflict by other call out information along the project frontage notes.

33.There is a joint City of Gilroy and City of Morgan Hill sanitary sewer trunk line built on Las Animas Ave. This plan will need to work with and around this new sewer main. This project will be required to show the future sewer trunk main in plan and profile (PDF provided with this response).

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13 34.Private utilities are not allowed in public easements. Plans currently incorrectly show private utilities within the limits of the public service easement.

35.Trash enclosure areas must connect to the sanitary sewer system.

36.Confirm all utility spacing is consistent with Depart of Health criteria.

37.General Utility plan comment: information is missing at various levels that does not allow for conformance to City standards (pipe cover, location, material, valve placement, appurtenances, spacing, etc.).

38.The project must complete a detailed traffic study. Any and all offsite improvements must be designed per traffic study conclusions. Offsite improvements must be shown as part of the next planning submittal.

39.It is not clear what improvements are requires at the Murray Ave / Las Animas Ave intersection. See Traffic study comment above.

40.Developer shall design facilities to allow for standard Sight Distance (including intersection sight distance) to the latest edition of AASHTO Policy on Geometric Design of Highways and Streets. In effect at that time.

41.Any parking (onsite or offsite) cannot impact sight distance. See comment above for sight distance criteria.

42.The distance of the proposed driveway entrances to the existing intersection of Las Animas and Murray Avenue may not be adequate. The project does not show enough road geometric design information to confirm this item. The project must demonstrate that there will not be an impact (for example queuing of vehicles entering the site) to Murray Ave or Las Animas Ave. The project traffic study will also confirm the adequacy or subsequent improvements needed to support the proposed project entries.

43.All offsite improvements to streets and intersections (including Murray Ave/Las Animas Ave) must be designed and constructed for use by design vehicle CA Legal 65 ft truck.

44.The site plan does not show the required street tree locations. Tree location and spacing shall be consistent with City Standards.

Building Division
Contact: Hipolito Olmos at (408) 846-0572 or [email protected].

It is essential for the building owner and general contractor to ensure compliance with the adopted building codes relevant to new construction projects.

45.Applicable Codes: For building permit applications submitted on or after January 1, 2023, and on or before December 31, 2025, design shall conform to Title 24 of the California Code of Regulations, with the 2022 code as the current edition. This encompasses the set of 2022 California Building Standards Code, which the City of Gilroy adopted by reference along with local amendments. Refer to the City of Gilroy website
(https://www.cityofgilroy.org/565/Applicable-Codes-Design-Criteria). The Gilroy City Code has incorporated the adoption with local amendments (https://www.codepublishing.com/CA/Gilroy/).

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14 Fire Prevention Division
Contact: Jonathan Crick at (408) 846-0436 or [email protected]

46.FIREWATER SUPPLY: Show the location and size of the Fire water supply underground. Minimum size is 6-inch diameter pipe. The private fire water supply system shall be separated from the City Main by a DDCA that meets the City Engineering Standard Specifications. The DDCA shall be supervised by a central station monitoring company. There shall be two (2) connections to the City main when there are 100 or more units or total floor area of more than 62,000 square feet. Alternatively, each building can have its own connection to the City Main, each with a DDCA. When multiple buildings are on a fire water supply underground, each shall have a PIV and FDC. Private Fire Hydrants and/or Fire Standpipes shall be provided so that one is within 150 ft of the most remote portion of any building. Draw a circle with a radius of 150 feet to demonstrate that there are an adequate number of fire hydrants positioned to cover all buildings and hazards. The underground water supply system shall meet the current edition of NFPA 24 on the private side of the system. A separate plan review and permit are required for the Fire Water Supply System, to be obtained by the underground installer.

47.FIRE ACCESS: Buildings shall have fire engine access within 150 feet of any portion of the building. Roads shall be all weather and capable of supporting a 75,000-pound apparatus and provide an outside turning radius of 40 feet. Fire apparatus access roads shall have an unobstructed width of not less than 20 feet (6096 mm). They shall have an unobstructed vertical clearance of 13 feet 6 inches (4115 mm). Curb cuts for driveways that provide Fire Apparatus Access shall be 2 feet wider on each side of the driveway (apron extension). Fire apparatus access road width shall be increased to 26 ft in width and minimum distance of 30 ft from Buildings when the building is 3 stories or greater. Fire access roads that dead end, and are greater than 150 feet long, shall be provided with a turnaround using the Gilroy Fire Department template. Provide a fire truck circulation plan using Autoturn vehicle tracking software to demonstrate that a fire truck can navigate into the property, throughout the property, and exit the property from all possible approaches. Because this property is “land-locked” on two sides and due to the sheer size of the project, efforts shall be made to maximize fire department access. The Gilroy Fire Department requires the fire department access to be approved by Fire Prevention and Fire Operations. As such, it is recommended that two more points of access be added. One entrance could be achieved by reducing the size of Building D and extending the westernmost internal road to connect with Las Animas Avenue. The second entrance would be made by extending the internal Road located North of Building 47 to connect with Murray Avenue. Looped or through access is preferred when possible. Fire Access roadways shall be clearly marked and maintained clear at all times with red curbing stenciled “FIRE LANE NO PARKING”.

48.FIRE ACCESS: When the total square footage of building floor area, (inclusive of each story), exceeds 62,000 sq ft or there are more than 100 units, there shall be

8.1 p. 98 of 217
Project # AS 23-21
Park 315 Residential Project
15 2 fire access driveways and the Fire Water Underground Line shall be connected to the public system at two points, one at each driveway access. Each connection shall have a City Standard DDCA.

49.BUILDING FIRE ACCESS: Stairwells shall be sized based on the building code and the plans shall provide exiting calculations. A minimum of one (1) Fire Access Stairwell shall be provided. Additional Fire Access Stairwells shall be provided such that there is a Fire Access Stairwell within 150 ft of any unit. A Fire Access Stairwell shall have a door to the exterior, have a 2 hour enclosure with self closing doors at each level and a Fire Standpipe connection at each intermediate stair well landing. The stairwell landings shall be sized to allow for the hose standpipe and not degrade the required stair width. Fire Access Stairwells shall also provide access to the roof.

50.SECURITY GATES: No security fences or gates were shown on the plans.

Where security gates are installed, they shall have an approved means of emergency operation. The security gates and the emergency operation shall be maintained operational at all times. When electronic gates are installed across one or more of the fire access roadways they shall be provided with automatic opening devices that can be activated by the Fire/Police department during a response to the location (Click 2 Enter). They shall also be provided with KNOX key over-ride switches. Electric gate operators, where provided shall be listed in accordance with UL 325. Gates intended for automatic operation shall be designed, constructed and installed to comply with the requirements of ASTM 2200. A guest turn-out lane and sufficient gate setback from the street shall be provided. A separate plan review and permit are required for gates.

51.FIRE PROTECTION: Apartment Building shall have a fire sprinkler system installed to meet NFPA 13R with all concealed spaces protected if 3 stories or less, or NFPA 13 if 4 or more stories. A separate plan review and permit are required for fire sprinkler system installation.

52.STANDPIPES: Buildings 4 or more stories in height shall have a separate fire standpipe. The standpipe shall be pressurized by a dedicated fire pump to provide 100 psi at the roof. The fire pump shall be located in a code compliant pump room. Also, back-up power shall be required when required by the Fire Code or NFPA 22. P.G. and E is considered a reliable power source in Gilroy. A separate plan review and permit are required for fire pump installation.

53.FIRE ALARMS: The Fire alarm system shall provide water flow monitoring for each floor level, a tamper switch at the DDCA and PIV (if one is present), a pull station and smoke detector at the riser location. Water flow shall cause alarm to sound in each unit. The smoke detection and CO monitoring shall only sound in the unit of alarm and as a supervisory alarm to the main office. Public areas including the community rooms, laundry rooms hallways shall have smoke detectors located in them and send an alarm to the central station. A separate

8.1 p. 99 of 217
Project # AS 23-21
Park 315 Residential Project
16 plan review and permit are required for the fire alarm system.

54.FIRE EXITING: providing access from the apartments to a public way shall be adequately sized as part of an exit path or be provided with a courtyard where all occupants can be 50 ft from the structure. Exit gates shall have panic hardware and be protected against unwanted entry.

55.ELEVATORS: Elevator must be at least a 3500lb capacity elevator, able to accommodate a Gilroy gurney size of 80” x 25” as well as 2 EMS responders.

56.EMERGENCY LIGHTING: Emergency lighting shall be provided in any community rooms, commercial areas, laundry rooms, stairwells and hallways/corridors. These areas shall also have illuminated exit signage.

57.DOORS: All doors to be compliant for signage, direction of swing and hardware.

Note that some community rooms may be A occupancies and shall have exiting in conformance with A occupancy standards.

58.KNOX BOXES: Knox Boxes shall be provided at: each stairwell, Fire Riser Room, Fire Alarm Panel location, Electrical Room and each commercial space.

Knox boxes shall be located at the upper right-hand side of the main doorway to each. Each of these shall be provided with signage that is approved by the Fire Marshal.

59.FIRE EXTINGUISHERS: Fire Extinguishers shall be provided so that there is one within 75 ft travel distance.

60.RADIO COMMUNICATION SYSTEMS: Building to be tested for adequate public safety radio coverage. Any building which fails to support adequate radio coverage for the city's public safety communication systems, shall include an amplification system to provide for voice and data communications for police and fire division personnel (DAS). A separate Permit is required to install a Distributed Antenna System (DAS).

61.IMPACT/TRAINING FEE: For buildings over 30 ft tall or 4 stories and greater the Fire Department requires a $200 per unit training fee to fund equipment and training.

Valley Transportation Authority
Contact: Lola Torney at (408) 321-5830 or [email protected]

62.Pedestrian Access to Bus Stops: There are two bus stops within a quarter of a mile of the project site, at Monterey Highway and Las Animas Avenue and at Monterey Highway and Farrell Avenue. The stops serve Frequent Route 68, which connects the Gilroy Transit Center to Diridon Station in San José. It appears that the project will build sidewalks along Las Animas Avenue in front of

8.1 p. 100 of 217
Project # AS 23-21
Park 315 Residential Project
17 the project. VTA recommends the project build a sidewalk to Monterey Highway to allow for connectivity between the site and transit.

63.Bus Stop Shelter: The bus stop on Monterey Highway and Las Animas Avenue has adequate spacing to allow for a bus shelter and trash receptacle. Please work with VTA staff to include the bus shelter and trash receptacle which will help encourage the use of the public transit for residents of this development.

64.Community Design and Transportation Manual: VTA encourages the applicant to utilize VTA’s Community Design and Transportation Manual (CDT) to guide the project’s design. The CDT Design Guidelines provide design strategies for development’s built form and parking design. These Design Guidelines create places that invite pedestrian activity, support transit, and build on the distinct qualities of each community. The Manual can be found at www.vta.org/cdt.

65.Transportation Impact Analysis (TIA) Report: VTA’s Congestion Management Program (CMP) requires a Transportation Impact Analysis (TIA) for any project that is expected to generate 100 or more net new peak-hour trips. Based on the size of this project, a TIA will be be required. The 2014 VTA TIA Guidelines, which can be found at www.vta.org/cmp/tia-guidelines, includes procedures for documenting auto trip reductions, analyzing non-auto modes, and evaluating mitigation measures and improvements to address project impacts and effects on the transportation system. We look forward to receiving that analysis.

66.Bike Parking: The project site is approximately a quarter of a mile from a VTA designated Cross County Bikeway Corridor. VTA encourages the applicant to provide conveniently located on-site bicycle parking. VTA’s Bicycle Technical Guidelines provide guidance for estimating the amount and the design of bicycle parking facilities. The document can be found at www.vta.org/programs/bicycleprogram.

Santa Clara Valley Water District
Contact: Benjamin Hwang at (408) 630-3066 or [email protected]

67.The Stormwater Control Plan prepared by Morgan & Pitalo, Inc. (Exhibit D) states that groundwater levels within the project site varies between 19 and 28 feet below ground. Additionally, the geotechnical report prepared by EnGEO states that “the groundwater at and nearby the site generally ranges between 18 feet to 64 feet below ground surface. (Page 4)” According to an active monitoring well near the site, Valley Water has measured groundwater levels at 10 feet below ground or less in very wet years, and as recently as 2017, 13 feet below ground. The civil or stormwater control plans do not provide any details on the proposed bioretention basins within the site, however the applicant should confirm the basins will perform as intended in very wet years given the potential for shallow groundwater.

68.Since the proposal includes more than 500 residential units, the water retailer is required to prepare a Water Supply Assessment to evaluate water supply

8.1 p. 101 of 217
Project # AS 23-21
Park 315 Residential Project
18 availability. When considering water supply and Gilroy’s Urban Water Management Plan it is important to recognize that projections of future water supply and availability assume substantial increases in water conservation and demand management measures. For the proposed project to meet its fair share to these water conservation assumptions Valley Water suggests that all available water conservation measures be required. To reduce or avoid adverse impacts to water supply, the City and applicant should consider the following:
a. Weather- or soil-based irrigation controllers;
b. Dedicated landscape meters;
c. Maximize the use of alternative water sources for non-potable uses including stormwater, rainwater, and graywater.
d. Installation of separate submeters to each residential unit and individual spaces within commercial buildings to encourage efficient water use.

69.Valley Water Ordinance 23-02 (Enforcement Measures for Water Conservation in Santa Clara County) prohibits the use of potable water for non-functional turf in private open space. Non-functional turf is defined as turf that is solely ornamental and does not serve a community or neighborhood function.

70.Sheet L3.1 of the landscaping plans prepared by Yamasaki Landscape Architecture proposes Platanus acerifolia (London Plan Tree) and Ulmus parvifolia (Truee Green Lacebark Elm) as part of the planting schedule. According to the Guidelines and Standards for Land Use Near Streams (Gns), both species have been identified as invasive species and should be avoided. It should be noted that all proposed plantings should be non-invasive and “propagated from seeds, cuttings or divisions collected from the same local creek or watershed (GnS, Chapter 4, Design Guide 2).” The noted excerpt, which also includes a list of trees and plant species native to Santa Clara County, has been included for the applicant’s reference.

71.Valley Water records indicate there are 2 registered wells within the subject parcel. While Valley Water has records for most wells located within the County, there are numerous unregistered wells, including many that pre-date well permitting or registration requirements. IF any abandoned/unregistered wells or well-like structures are encountered during construction of the project, please contact the Valley Water Well Ordinance Program at (408) 630-2660 to arrange to have the well(s) brought into compliance.

Your timely submittal of the requested information will help us meet your processing goals.

Note that in the course of processing your development request, in accordance with Section 65944 of the State Government Code, staff may request that you clarify, amplify, correct or otherwise supplement the information provided for the application.

8.1 p. 102 of 217
Project # AS 23-21
Park 315 Residential Project
19 Should you have any questions or if you would like to schedule a meeting to preview your application resubmittal for completeness, please feel free to contact me at (408) 846-0242 or [email protected].

Respectfully,
Erin Freitas
Senior Planner
cc: Gandolfi Investments, LLC, Attn: Scott Canel, 445 Central Avenue, Highland Park, IL 60035 Las Animas Development, LLC, Attn: Augustine Melia, 350 Buena Vista Avenue, Gilroy CA 95020
Att: Planning Comments on Architectural Plans
Sewer Relief Trunk Line Project Plans

8.1 p. 103 of 217
38' - 1"
66' - 10 3/4"

GAME ROOM

SOCIAL ROOM
DINING
POOL EQ.
112' - 5 1/4"
49' - 6 3/4"
14' - 3 3/4" 30' - 8 7/8"
30' - 0"
27' - 2 3/8"
67' - 6"
40' - 2 1/4"
26' - 11"
10' - 6"
19' - 9 1/4"
49' - 5 1/8" 18' - 6 3/8" 44' - 5 7/8"
19' - 5 7/8"
Level 1
0' - 0"
Roof Peak
18' - 9"
Bruce W.

Steingraber PROGRESSIVE IMAGES IN ARCHITECTURE & PLANNING 24665 RANCHO SANTA TERESA
Ramona, Ca. 92065 (619) 994−5848
E−MAIL [email protected]
==============
SHEET
OF
DATE:

DRAWN:

JOB NO.

N0. REVISIONS DATE CONTENTS PROJECT
A1.1 AMENITY BUILDING FLOOR & ROOF PLAN
11/28/23

THE GILROY
315 Las Animas Avenue, Gilroy, CA
1/8" = 1'-0" 1 AMENITY BUILDING FLOOR PLAN
1/8" = 1'-0" 2 ROOF PLAN
0 4' 8' 16'
0 4' 8' 16'
1" = 10'-0" 3 WEST ELEVATION

8.1 p. 104 of 217
W/D
W/D
W/D
W/DW/D
W/DW/D
W/D
W/D
W/D
W/D

W/D W/D

W/D W/D

W/D W/D
UP
LOBBY
ELEV
8' - 9"
ELEV
2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM ELEV.

EQUIP.

TRASH
ELEC.

FIRE
EQUIP.

STAIR #2
TRASH
ROOM
STAIR #1
TRASH
ROOM
4' - 6". 55' - 8"
20' - 7". 311' - 5" 20' - 7".
4' - 6". 55' - 8"
4' - 6".4' - 6".
4' - 3" 1' - 8"
64' - 8"
64' - 8".

ELEV
ELEV
2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM

TENANT STORAGE
TRASH ELEC.

ELEC.

TRASH
STAIR #2
5' - 1 3/4"
STAIR #1
10' - 0" 311' - 5 1/2" 9' - 11"
64' - 8".
8' - 5 1/4"
70' - 6 1/2"
2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 1 BEDROOM 2 BEDROOM 1 BEDROOM 2 BEDROOM

TENANT STORAGE
TRASH ELEC.

ELEC.

TRASH
STAIR #2 STAIR #1
10' - 0" 311' - 5 1/2" 9' - 11"
71' - 6 1/2"
64' - 8".

ELEV
ELEV
Bruce W.

Steingraber PROGRESSIVE IMAGES IN ARCHITECTURE & PLANNING 24665 RANCHO SANTA TERESA
Ramona, Ca. 92065 (619) 994−5848
E−MAIL [email protected]
==============
SHEET
OF
DATE:

DRAWN:

JOB NO.

N0. REVISIONS DATE CONTENTS PROJECT
A1.3 1ST, 2ND & 3RD FLOOR PLANS
11/28/23
PARK 315
315 Las Animas Avenue, Gilroy, CA
1/16" = 1'-0" 1 FIRST FLOOR PLAN
1/16" = 1'-0" 2 SECOND PLAN
0 8' 16' 32'
1/16" = 1'-0" 3 THIRD FLOOR PLAN

8.1 p. 105 of 217
WV -1.46
WV -1.71 WV -2.12
WV -1.71
WV -1.73 WV -1.67
WV -1.54
WV -1.58
WV -1.66
WV
-1.66
WV -1.40
WV -1.74
WV
-1.66
FH FH
FH
MON
SSMH 130044
RIM 213.29
8"N 206.43
8"E 206.26
8"W 206.29
SDMH 130060
RIM 211.90
24"W INV UNKNOWN
24"E INV UNKNOWN
?"S INV UNKNOWN
FOD
SSMH 130073
RIM 212.30
8"E 205.50
8"W 205.53
SSMH 130086
RIM 212.95
12"N 204.71
12"NE 204.91
18"S 204.75
10"W 204.70
CB 130059
TC 212.39

INV UNKNOWN
FOD
CB 130064
TC 212.10
16"N 207.25
12"S UNKNOWN (FOD)
12"S 207.18
TC 212.13
16"N 207.11
10"S 207.18
DI 211.72
18"S 207.00
18"W 206.92
18"E 206.89
DI 211.05
16"N 206.40
18"E 206.21
16"S 206.42
18"W 206.30
DI 210.72
18"S 206.72
FDC
SSMH 130044
SDMH 130060
SSMH 130073
SSMH
130086

LAS ANIMAS AVE MURRAY AVE N
PLAN
R:\common\projects\380-Morgan Hill\003-Sewer Trunk South of Highland\05-Design Phase\02-Drawings\03-Civil\380-003 C010 to C018.dwg ANTHONY PEREZ 9/12/2022 9:30 AM

NOT FOR CONSTRUCTION

SEWER RELIEF TRUNK LINE PROJECT

LAS ANIMAS AVENUE
PLAN AND PROFILE - STA 134+00 TO 143+50
PROFILE MATCHLINE STA 143+50 SEE SHEET C016
MATCHLINE STA 134+00 SEE SHEET C014

SHEET NOTES

KEY NOTES

8.1 p. 106 of 217

WV (EMPTY WELL)
WV -1.66
WV -1.72
WV -1.74
WV -1.34 WV -1.50 WV -1.53 WV -1.32
FH
FH
MON
MON
SDMH 130015
RIM 213.58
36"N 200.68
18"NE 205.38
36"S 200.56
18"NW 205.56
SDMH 130008
RIM 214.06
18"N 207.76
24"E 201.14
SDMH 130020
RIM 213.86
36"E 201.68
36"S 200.95
36"W 200.92
SSMH 130019
RIM 214.02
8"N 208.07
8"E 207.87
SDMH 130030 8"S 207.92
RIM 212.38
18"N 206.61
36"E 202.81
18"SE 208.18
36"W 202.68
SSMH 130034
RIM 213.02
8"E 207.02
8"W 207.07
TC 213.41
18"E 206.00
TC 213.35 18"W 206.05
18"NE 206.11
18"SW 205.99
CB 130029
TC 212.33
18"N 208.79
CB 130007
TC 213.96
18"S 208.02
DI 211.75
18"S 206.98
WV -1.96
WV -2.26
WV -1.66
MON
SDMH 130008 SDMH 130020
SSMH 130034 SDMH 130030 SSMH 130019
SDMH
130015
PH 5
PH 4
PH 3 PH 2
PH 1

LAS ANIMAS AVE ELECTA CT

WEST LAS ANIMAS AVE MONTEREY RD
N
N
PLAN

SEWER RELIEF TRUNK LINE PROJECT

LAS ANIMAS AVENUE
PLAN AND PROFILE - STA143+50 TO 153+50

PROFILE
MATCHLINE STA 153+50 SEE SHEET C017 MATCHLINE STA 143+50 SEE SHEET C015

SHEET NOTES

KEY NOTES
R:\common\projects\380-Morgan Hill\003-Sewer Trunk South of Highland\05-Design Phase\02-Drawings\03-Civil\380-003 C010 to C018.dwg ANTHONY PEREZ 9/12/2022 9:31 AM

NOT FOR CONSTRUCTION

8.1 p. 107 of 217
707 Wilshire Blvd., 24th Floor
Los Angeles, California 90017
tel (213) 626-2906
fax (213) 626-0215
www.meyersnave.com
Russell E. Morse
[email protected]

A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN DIEGO April 1, 2024
Via Online Submittal
Mr. Thai Pham
City Clerk
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
Re: Appeal of City’s Notification of Application Incompleteness 315 Las Animas Avenue, Gilroy California 95020
Project No. AS 23-21
Dear Mr. Pham,
We represent Gandolfi Investments LLC (“Applicant”), applicant of the proposed housing development project at the property located at 315 Las Animas Avenue in Gilroy, California (“Property”). This letter shall serve as the Applicant’s appeal of the City’s Notification of Application Incompleteness, dated March 15, 2024, pursuant to California Government Code Section 65943 (the “Permit Streamlining Act”).

A. Notification of Application Incompleteness and Appeal.

On January 11, 2024, the Applicant received the City’s first Notification of Application Incompleteness. On February 14, 2024, despite the fact Applicant believes the application was complete and did not believe it was required to resubmit the application prior to requesting an appeal, the Applicant resubmitted its application to eliminate staff’s purported objection to the ripeness of an appeal. This resubmittal was substantially the same as the original submittal, but included the following additional items: (1) a Tree Survey and (2) an Updated Title Report.

On March 15, 2024, the Applicant received the City’s second Notification of Application Incompleteness.

Pursuant to Gov. Code § 65943(c), the Applicant now seeks an appeal to the City Council to make a final written determination on the completeness of the Application.

Pursuant to § 65943(a), the list of incomplete items, upon which the agency’s incompleteness determination rests, “shall be limited to those items actually required on the lead agency’s

8.1 p. 108 of 217
hecklist
Mr. Thai Pham, City Clerk
City of Gilroy
April 1, 2024

A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN DIEGO submittal requirement checklist.” As the City notes on its Application Submittal Details, which provides detail to its Application Submittal Checklist, “some of the submittal requirement items may not apply to all projects . . . .” Yet, the City’s Notifications of Application Incompleteness contain a rote recitation of all missing checklist items regardless of whether they are actually required for this project. As the items listed in the City’s second Incomplete Letter are not “actually required” and for all practical purposes are irrelevant to the Applicant’s project, the Application was wrongly deemed incomplete. Accordingly, the Applicant appeals the City’s finding of incompleteness.

We trust the above information provides a sufficient explanation of the nature of the appeal and the City’s obligation under State law with respect to the Project. We appreciate the City’s prompt attention to this appeal. Please feel free to contact me with any questions regarding the appeal or the Project.

Very truly yours,
Russell E. Morse
cc: Ms. Sharon Goei, Community Development Director
Mr. Robert Schultz, Outside Special Counsel to City of Gilroy Ms. Erin Freitas, Senior Planner
Mr. Scott Canel, Gandolfi Investments, LLC
5696078.2

8.1 p. 109 of 217

City of Gilroy

STAFF REPORT
Agenda Item Title: Zoning Text Amendments to Implement Various Programs of the Gilroy 2023-2031 Housing Element
Meeting Date: May 20, 2024
From: Jimmy Forbis, City Administrator
Department: Community Development
Submitted By: Sharon Goei, Community Development Director Prepared By: Cindy McCormick, Planning Manager
STRATEGIC PLAN GOALS Promote Safe Affordable Housing for All

RECOMMENDATION
a) Based on the City Council’s independent analysis, find that approval of Zoning Amendment Z 24-0001 is exempt from review under the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15061(b)(3) where it can be seen with certainty that the amendments to implement the Gilroy 2023-2031 Housing Element would not result in a significant environmental effect; and b) Motion to read the ordinance by title only and waive further reading; and c) Introduce an ordinance of the City Council of the City of Gilroy amending the Gilroy City Code, Chapter 30 (Zoning), Article XI (Residential Use Tables) in conformance with the City of Gilroy 2023-2031 Housing Element.

EXECUTIVE SUMMARY
The City of Gilroy Planning Division is proposing amendments to Gilroy City Code, Chapter 30 (Zoning), Article XI (Residential Use Tables) as necessary to implement various programs of the Gilroy 2023-2031 Housing Element, including Program A-3 (ByRight Approval of Projects with 20 Percent Affordable Units on “Reused” RHNA Sites), Program A-10 (Facilitate Missing Middle / Middle Income Housing), Program E-2 (Zoning to Encourage and Facilitate Single Room Occupancy Units), Program E-3 (Emergency Shelter Standards), Program E-5 (Incentivize Micro Units), Program E-8

8.2 p. 110 of 217
Zoning Text Amendments to Implement Various Programs of the Gilroy 2023-2031 Housing Element
City of Gilroy City Council Page 2 of 6 May 20, 2024 1
5 (Consistency with the Employee Housing Act), Program E-10 (Development and Rehabilitation of Housing for Persons with Disabilities), and Program E-13 (Permanent Supportive Housing).

BACKGROUND
On May 1, 2023, the City of Gilroy City Council adopted the Gilroy 2023-2031 Housing Element. When the Housing Element was adopted, the City intended to implement several of the housing programs by the end of the 2023 calendar year as part of the 2023 comprehensive zoning update. However, the comprehensive zoning update has been delayed due to changing priorities and resources. Rather than wait for the comprehensive update, City staff has prepared amendments to Gilroy City Code Chapter 30 (Zoning), Article XI (Residential Use Tables) to implement various programs of the Housing Element. Additional amendments planned for the comprehensive update being presented to the Planning Commission and City Council beginning later this year will further implement programs from the 2023-2031 Housing Element.

On May 2, 2024, the Gilroy Planning Commission held a public hearing on the proposed text amendments and unanimously recommended approval of the CEQA exemption and Zoning Amendment Z 24-0001.

ANALYSIS
Environmental Assessment: The City of Gilroy Planning Division has determined that there is no substantial evidence that the proposed Zoning Amendment (“Project”) would have a significant effect on the environment, and therefore the Project is exempt from the California Environmental Quality Act (“CEQA”). Pursuant to CEQA Guidelines Section 15061(b)(3), the Project is exempt from CEQA under the common-sense exemption that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

Zoning Ordinance Text Amendment Review: Pursuant to City Code Section

30.52.60, the City Council may approve, modify or disapprove a proposed ordinance amendment. The ordinance shall recite, among other things, the facts and reasons that, in the opinion of the City Council, make the approval, denial, or denial without prejudice of the Zoning Ordinance amendment necessary to carry out the general purposes of the Zoning Ordinance and the General Plan. The attached draft Ordinance contains the necessary findings for approval. The action by the City Council shall be final and conclusive.

The following analysis demonstrates that the proposed Zoning Ordinance text amendment is necessary to carry out the general purpose of the Zoning Ordinance and applicable General Plan goals and policies.

8.2 p. 111 of 217
Zoning Text Amendments to Implement Various Programs of the Gilroy 2023-2031 Housing Element
City of Gilroy City Council Page 3 of 6 May 20, 2024 1
5 Existing City Code: The Zoning Ordinance is the primary tool by which the City implements the policies of the General Plan. The Zoning Ordinance is, among other purposes, intended to guide and regulate each development in accordance with the General Plan and the objectives and standards set forth therein. The Gilroy City Code Chapter 30 (Zoning), Article XI (Residential Use Tables) currently regulates permitted and conditional uses in the City’s residential zoning districts. Adoption of the Zoning Ordinance text amendment is necessary to implement the Gilroy 2040 General Plan and Gilroy 2023-2031 Housing Element Programs A-3, A-10, E-2, E-3, E-5, E-8, E-10, and E-13.

General Plan Guiding Principles: The Gilroy 2040 General Plan includes eight (8) guiding principles, including principle #8 (Support Housing Options) to encourage a mix of housing types to create diverse neighborhoods that meet the needs of all Gilroyans, and to promote the building, retention, and renovation of quality housing for all incomes, ages, and abilities.

General Plan Housing Element Goals, Policies, and Programs: The Gilroy 2023- 2031 Housing Element goals, policies, programs, and quantified objectives are designed to help ensure housing opportunities for all existing and future residents of the community.

General Plan / Housing Element Consistency: The proposed zoning text amendments are consistent with the Gilroy 2040 General Plan Land Use Goal LU 3 to provide a variety of housing types that offer choices for Gilroy residents and create complete, livable neighborhoods; Gilroy 2023-2031 Housing Element Goal 1 (Housing Production) to provide adequate residential sites to accommodate projected housing needs and encourage the production of a variety of housing types; Housing Element Goal 2 (Removal of Government Constraints) to remove or reduce governmental constraints to the development, improvement, and maintenance of housing where feasible and legally permissible; and Housing Element Goal 5 (Special Housing Needs) to increase access to decent and suitable housing for Gilroy residents with special housing needs.

The following table provides a summary of the proposed amendments provided in the attached draft Ordinance.

Draft Ordinance Summary
Article XI Residential Use Table
Section 30.11.10(c) Residential Use Table was amended as follows:

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Zoning Text Amendments to Implement Various Programs of the Gilroy 2023-2031 Housing Element
City of Gilroy City Council Page 4 of 6 May 20, 2024 1
5 To ensure that important footnotes are not overlooked by an applicant, several of the footnotes are now referenced under one new general footnote (1) and moved into a new section (32.11.15).

Agriculture footnote #5 was removed since a CUP is not needed for all new uses given agriculture is currently listed as a permitted use in the A1 and RR zoning districts.

Home Occupation was moved from the commercial category to the residential category since home occupations are a secondary use of a residence, while commercial uses are not intended to be a primary use of a residence. The footnote “D” and “2” were combined into one footnote (4).

Emergency Shelter was moved to the housing / residential category in line with the purpose of an emergency shelter as “housing” for homeless persons.

The footnote for Private Neighborhood Park, Recreation Facility was moved to the first column for easier reference and also changed from “4” to “2” given the new footnote numbering scheme.

Supportive and Transitional Housing was moved to the housing / residential category in line with its purpose as “housing”. The corresponding footnote was moved into the new Specific Housing Use Types section 32.11.15 for easier reference.

Accessory Dwelling Units are now listed as a permitted use in the A-1 zone in accordance with state law, since residential uses are an allowed use in the A1 zone.

Condominiums and Townhomes were combined since the permitted zones are the same.

The footnote for Duplex was moved to the new Specific Housing Use Types section for easier reference.

A new residential use type “Efficiency Dwelling / Micro Unit” was added to implement Housing Element Program E-5 (Incentivize Micro Units).

A new residential use type “Employee / Agricultural Worker Housing” was added to implement Housing Element Program E-8 (Consistency with the Employee Housing Act).

Residential Care Homes were combined into one category in compliance with state law regarding the number of residents and to implement Program E-10 (Development and Rehabilitation of Housing for Persons with Disabilities).

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Zoning Text Amendments to Implement Various Programs of the Gilroy 2023-2031 Housing Element
City of Gilroy City Council Page 5 of 6 May 20, 2024 1
5 A new residential use type Single-Room Occupancy (SRO) was added to implement Program E-2 (Zoning to Encourage and Facilitate Single Room Occupancy Units).

Footnotes
The corresponding footnote text for “X”, “C”, and “T” were modified for consistency.

Footnotes ”D” and “2” were combined under a single footnote “4” regarding home occupations.

Footnotes “1, 3, 6, and 7” are now combined under a single footnote “1” and now are referenced in the new Specific Housing Use Types section for easier reference.

Footnote “4” is now footnote “2” given the new footnote numbering scheme.

Footnote “5” is not applicable since agriculture is currently listed as a permitted use in the A1 and RR zoning districts.

A new footnote “3” is proposed to implement program B-7, clarifying that the residential portions of mixed-use projects are not subject to any FAR restrictions.

This is consistent with existing City code but is now made explicit.

A new section, 32.11.15 Specific Housing Use Types was added to ensure that important footnotes are not overlooked by an applicant. This new section also introduces new standards to implement the Housing Element. (a) Accessory Dwelling Unit(s). Moved here from the footnotes section. (b) Emergency Shelter. Moved here from the footnotes section. Implements Program E-3 (Emergency Shelter Standards) in compliance with state law. (c) Efficiency Dwelling / Micro Unit. New text to implement Program E-5 (Incentivize Micro Units) and comply with state law.
(d) Employee / Agricultural Worker Housing. New text to implement Program E-8 (Consistency with the Employee Housing Act) and comply with state law. (e) Housing Element Opportunity Sites. New text to implement Program B-7 (Zoning Ordinance Update) regarding demolished residential units on a RHNA opportunity site, consistent with state law. New text was also added here to implement Program A-3 (By-Right Approval of Projects with 20 Percent Affordable Units on “Reused” RHNA Sites) and comply with state law. (f) Duplex/Triplex/Fourplex Housing. New text to implement Program A-10 (Facilitate Missing Middle / Middle Income Housing).

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Zoning Text Amendments to Implement Various Programs of the Gilroy 2023-2031 Housing Element
City of Gilroy City Council Page 6 of 6 May 20, 2024 1
5 (g) Residential Care Homes. New text to implement Program E-10 (Development and Rehabilitation of Housing for Persons with Disabilities) and comply with state law.
(h) Single-Room Occupancy. New text to implement Program E-2 (Zoning to Encourage and Facilitate Single Room Occupancy Units).
(i) Supportive and Transitional Housing. New text to implement Program E-13 (Permanent Supportive Housing) and comply with state law.

ALTERNATIVES
Pursuant to City Code Section 30.52.60, the City Council may approve, modify or disapprove a proposed ordinance amendment. However, disapproval of the proposed text amendments is not recommended because the amendments are necessary to implement the City’s certified Housing Element and conform to state law.

FISCAL IMPACT/FUNDING SOURCE
Staff time and resources required to adopt new zoning regulations to implement the Housing Element and state requirements are typically funded under the Department's operational budget and through the City’s General Fund.

PUBLIC OUTREACH
A notice of the May 20, 2024 City Council meeting was advertised in the Gilroy Dispatch on Friday, May 10, 2024 (no less than 10 days prior to the meeting). The City Council public hearing packets are available through the City’s webpage. Since the amendments apply city-wide, a separate mailed notice to property owners was not required. No public comments have been received on the proposed amendments.

NEXT STEPS
If the proposed ordinance is introduced, it will be placed on the consent calendar of the next City Council meeting for adoption, tentatively scheduled for June 3, 2024. The ordinance will become effective 30 days following adoption.

Attachments:

1. Draft Ordinance Z 24-0001, incorporating Exhibit ‘A’ proposed amendments

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ORDINANCE 2024-XX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GILROY
AMENDING THE GILROY CITY CODE, CHAPTER 30 (ZONING),

ARTICLE XI (RESIDENTIAL USE TABLE) TO IMPLEMENT VARIOUS PROGRAMS OF THE GILROY 2023-2031 HOUSING ELEMENT
WHEREAS, State Planning and Zoning Law requires the City of Gilroy to adopt a comprehensive, long-term general plan for the physical development of the city that includes a housing element; and
WHEREAS, on May 1, 2023, the City of Gilroy City Council adopted the Gilroy 2023-2031 Housing Element; and
WHEREAS, the City intends to implement various programs of the Gilroy 2023- 2031 Housing Element, including but not limited to Program A-3 (By-Right Approval of Projects with 20 Percent Affordable Units on “Reused” RHNA Sites), Program A-10 (Facilitate Missing Middle / Middle Income Housing), Program E-2 (Zoning to Encourage and Facilitate Single Room Occupancy Units), Program E-3 (Emergency Shelter Standards), Program E-5 (Incentivize Micro Units), Program E-8 (Consistency with the Employee Housing Act), Program E-10 (Development and Rehabilitation of Housing for Persons with Disabilities), and Program E-13 (Permanent Supportive Housing); and WHEREAS, the Gilroy City Code Chapter 30 (Zoning), Article XI (Residential Use Tables) currently regulates permitted and conditional uses in the City’s residential zoning districts; and
WHEREAS, adoption of the Zoning Ordinance text amendment is necessary to implement the Gilroy 2023-2031 Housing Element Programs A-3, A-10, E-2, E-3, E-5, E8, E-10, and E-13; and WHEREAS, adoption of the Zoning Ordinance text amendment is exempt from review under the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15061(b)(3) where it can be seen with certainty that the Zoning Ordinance text amendment would not result in a significant environmental effect; and WHEREAS, on May 2, 2024, the Planning Commission held a duly noticed public meeting, at which time the Planning Commission received and considered the staff report as well as all evidence received including written and oral public testimony related to the proposed Zoning Amendment (Z 24-0001); and
WHEREAS, on May 2, 2024, the Planning Commission unanimously recommended the City Council find that approval of Zoning Amendment Z 24-0001 is exempt from review under the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15061(b)(3), and adopt an Ordinance, approving Zoning Amendment Z 24-0001, amending the Gilroy City Code, Chapter 30 (Zoning), Article XI (Residential Use Tables) in conformance with the City of Gilroy 2023-2031 Housing Element; and

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Ordinance No. 2024-XX
Zoning Text Amendment
City Council Regular Meeting | May 20, 2024

WHEREAS, the City Council held a duly noticed public hearing on May 20, 2024, at which time the City Council received and considered the proposed zoning ordinance text amendment, took and considered written and oral public testimony including the staff report, and all other documentation related to the proposed Zoning Amendment (Z 24- 0001); and
WHEREAS, in accordance with City of Gilroy Chapter 30 (Zoning), Article LII (Amendment to the Zoning Ordinance), the Planning Commission has recommended, and the City Council finds, that the proposed Zoning Ordinance text amendment is necessary to carry out the general purpose of the Zoning Ordinance, and applicable General Plan goals and policies including: Gilroy 2040 General Plan Land Use Goal LU 3 to provide a variety of housing types that offer choices for Gilroy residents and create complete, livable neighborhoods; Gilroy 2023-2031 Housing Element Goal 1 (Housing Production) to provide adequate residential sites to accommodate projected housing needs and encourage the production of a variety of housing types; Housing Element Goal 2 (Removal of Government Constraints) to remove or reduce governmental constraints to the development, improvement, and maintenance of housing where feasible and legally permissible; Housing Element Goal 5 (Special Housing Needs) to increase access to decent and suitable housing for Gilroy residents with special housing needs; Housing Element Program A-3 (By-Right Approval of Projects with 20 Percent Affordable Units on “Reused” RHNA Sites), Program A-10 (Facilitate Missing Middle / Middle Income Housing), Program E-2 (Zoning to Encourage and Facilitate Single Room Occupancy Units), Program E-3 (Emergency Shelter Standards), Program E-5 (Incentivize Micro Units), Program E-8 (Consistency with the Employee Housing Act), Program E-10 (Development and Rehabilitation of Housing for Persons with Disabilities), and Program E-13 (Permanent Supportive Housing); and
WHEREAS, the location and custodian of the documents or other materials which constitute the record of proceedings upon which the project approval is based is the office of the City Clerk.

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF GILROY DOES HEREBY ORDAIN AS FOLLOWS:

SECTION I
The foregoing recitals are true and correct and are incorporated herein by this reference.

SECTION II
The amendments to the Gilroy City Code, Chapter 30 (Zoning), Article XI, set forth in Exhibit ‘A’ regarding residential uses, are hereby adopted.

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Ordinance No. 2024-XX
Zoning Text Amendment
City Council Regular Meeting | May 20, 2024

SECTION III
If any section, subsection, subdivision, sentence, clause, or phrase of this Ordinance is for any reason held to be unconstitutional or otherwise void or invalid by any court of competent jurisdiction, the validity of the remaining portion of this Ordinance shall not be affected thereby.

SECTION IV
Pursuant to section 608 of the Charter of the City of Gilroy, this Ordinance shall be in full force and effect thirty (30) days from and after the date of its adoption.

PASSED AND ADOPTED by the City Council of the City of Gilroy at a regular meeting duly held on the Xst day of Month 2024 by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED:

Marie Blankley, Mayor
ATTEST:
_______________________
Beth Minor, Interim City Clerk
Attachment:

1. Exhibit ‘A’: Proposed amendments to Chapter 30 (Zoning), Article XI

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Ordinance No. 2024-XX
Zoning Text Amendment
City Council Regular Meeting | May 20, 2024

CERTIFICATE OF THE CLERK
I, BETH MINOR, Interim City Clerk of the City of Gilroy, do hereby certify that the attached Ordinance No. 2024-XX is an original ordinance, or true and correct copy of a City Ordinance, duly adopted by the Council of the City of Gilroy at a Regular Meeting of said Council held on Monday, Date, with a quorum present.

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this Date.
____________________________________
Beth Minor
Interim City Clerk of the City of Gilroy
(Seal)

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EXHIBIT “A”
ORDINANCE 2024-XX
Gilroy City Code, Chapter 30 (Zoning), Article XI is hereby modified as follows (where new text is indicated in bold type and deleted text is crossed out):
(c) Residential Use Table
A1 RR R1 R2 R3 R4 RH ND
Accessory Building X X X X X X X *
Temporary Building X X X X X X X *
Agricultural Uses
Agriculture X X C5 C5 C5 C5 C5 *
Agriculture X X C C C C C *
Animal Husbandry C C *
Animal Services *
Animal Boarding X X *
Veterinary Hospital X X *
Commercial Uses
Bed/Breakfast Establishment (1—2 Rooms) C C C C C C *
Boarding or Rooming House X C C C C C *
Day Care Center C C C C C C *
Family Day Care Home X X X X X X *
Home Occupation2 D D D D D D *
Landscape Nursery C *
Sale of Farm Products (Grown on Site) X C *
Subdivision Sales Office T T T T T *
Public and Semi-Public Uses
Community Garden X X X X X X *
Emergency Shelter7 C C C C C X C *
Golf Course or Country Club C C C C C C *
Hospital C C *
Neighborhood Bazaar T T T T T *
Open Space (Recreational) X X X X X X *
Private Neighborhood Park, Recreation Facility C4 C4 C4 C4 C4 C4 *

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A1 RR R1 R2 R3 R4 RH ND
Private Neighborhood Park, Recreation Facility (2) C C C C C C * Publicly Owned Building or Facility X X X X X X *
Religious Institution X X X X X X *
Schools (Private ≤ 12 Students or Public) X X X X X X * Schools (Private > 12 Students) C C C C C C *
Supportive and Transitional Housing6 X X X X X X X *
Housing / Residential Uses (3)
Accessory Dwelling Unit1 X X X X X X *
Accessory Dwelling Unit (1) X X X X X X X *
Condominiums / Townhomes X X X *
Duplex X3 X X X *
Duplex (1) X X X X X *
Efficiency Dwelling / Micro Unit (1) X X X X X X X
Emergency Shelter (1) C C C C C X C *
Employee / Agricultural Worker Housing (1) X X X X X X X * Home Occupation (4) X X X X X X X *
Mobile Home Park C C X X *
Multiple-Family Building (3 or more units) X X *
Residential Care Homes (More Than 6 Residents) C C C C C C * Residential Care Homes (Up to and Including 6
Residents) X X X X X X *
Residential Care Homes (1) X X X X X X X *
Single-Family Dwelling or Modular Home X8 X X X X X X * Single-Family Dwelling or Modular Home X X X X X X X *
Single-Room Occupancy (SRO) (1) X *
Supportive and Transitional Housing (1) X X X X X X X * Townhouse X X X *
X = Unconditionally permitted.

C = Permitted only with conditional use permit granted by planning commission.

D = Permitted subject to the approval of the planning manager.

T = Temporary use—see Article XLVII.
* = Refer to the master plan or specific plan adopted for the neighborhood district area in which the property is located.
1 Accessory dwelling unit(s) and/or junior accessory dwelling units may be allowed subject to

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compliance with the regulations prescribed in Article LIV. 2 Permitted only if the regulations of Article XL are met. 3 A duplex dwelling is permitted when all of the following conditions are met:
(a) The duplex dwelling shall be located on a corner lot only; and (b) The corner lot shall have a minimum area of eight thousand (8,000) square feet and be so designated for a duplex unit on a tentative and final map; and (c) The duplex shall not increase the overall density within any given land subdivision beyond the maximum of seven and one-fourth (7 1/4) dwelling units per net acre. 4 Conditional use permit required unless otherwise allowed through an approved planned unit development.
5 Planning commission approval of a conditional use permit is required for all new agricultural uses.
6 Supportive and/or transitional housing that serves more than six (6) individuals, provides onsite services and is licensed by the state as a group home shall only be allowed upon the granting of a conditional use permit.
7 Emergency shelters shall be subject to the performance standards listed in section 30.41.32.

Emergency shelters shall be permitted by right in the R4 zone district and areas designated mixed use (MU) on the Gilroy 2040 general plan land use diagram. 8 One (1) residential dwelling unit may be permitted on an A1 zoned parcel that has a minimum size of twenty (20) acres or more. Subdivision of land for further development is not permitted without rezoning to another zoning district that implements the general plan land use map.

X = Principally permitted (See Article L for related planning application requirements).

C = Subject to the approval of a conditional use permit (see Article L, Section 30.50.30) T = Subject to the approval of a temporary use permit (see Article XLVII). * = Refer to the master plan or specific plan adopted for the neighborhood district area in which the property is located.
(1) See Section 32.11.15 (Specific Housing Use Types)
(2) A private neighborhood park or recreation facility is subject to the approval of a Conditional Use Permit granted by the planning commission, unless otherwise allowed through an approved planned unit development.
(3) For mixed-use projects, the residential portion shall comply with the density standards and the non-residential portion shall comply with the FAR requirements. (4) A home occupation shall meet the requirements of Article XL and shall be subject to approval of a Zoning Clearance by the Planning Manager or designee.

32.11.15 Specific Housing Use Types
(a) Accessory Dwelling Unit(s). Accessory dwelling unit(s) and/or junior accessory dwelling units are permitted subject to compliance with the regulations prescribed in Article LIV. (b) Emergency Shelter. Emergency shelters shall be subject to the performance standards listed in Article XLI, section 30.41.32. Emergency shelters shall be permitted by right in the

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R4 zone district and areas designated mixed use (MU) on the Gilroy 2040 General Plan land use diagram.
(c) Efficiency Dwelling / Micro Unit. Pursuant to Health and Safety Code Section 17958.1, there shall be no limit on the number of efficiency units, whose meaning is as specified in Part 2 of Title 24 of the California Code of Regulations, the California Building Code, on property located within one-half mile of public transit or where there is a car share vehicle located within one block of the efficiency unit. Any requirements related to density, setbacks, lot coverage, or height restrictions are not considered a limit on the number of efficiency units.
(d) Employee / Agricultural Worker Housing. Pursuant to Health and Safety Code Section 17021.5, employee housing for six or fewer persons will be treated as a single-family structure and residential use, subject to the same density requirements, regulations, and objective standards that apply to other single-family dwellings in the same zone (A1, RR, R1). Pursuant to Health and Safety Code Section 17021.6, employee housing consisting of 36 or fewer beds in group quarters, or 12 or fewer units designed for use by a single family or household will be treated as an agricultural use, subject to the same density requirements, regulations, and objective standards that apply to other agricultural activity in the same zone (R2, R3, R4, RH, ND).
(e) Housing Element Opportunity Sites. Development projects on property identified in the Gilroy 2023-2031 Housing Element RHNA Opportunity Sites Inventory shall include replacement units, subject to the requirements of Government Code section 65915, subdivision (c)(3). Pursuant to Government Code Section 65583.2.(c), a non-vacant site that has been identified as a housing opportunity site in a prior Housing Element and a vacant site that has been included in two or more consecutive Housing Element planning periods shall be allowed residential use by right (with approval of a building permit) for housing developments in which at least 20 percent of the units are affordable to lower income households. Pursuant to Government Code Section 65583.2.(i), the development shall comply with the City of Gilroy’s objective development and design standards and a proposed subdivision of the property shall be subject to all laws, including, but not limited to, City ordinances implementing the Subdivision Map Act. (f) Duplex/Triplex/Fourplex Housing. A duplex is permitted on a corner parcel that is at least 8,000 square feet in size in the R1 Zoning District. A triplex or fourplex development is permitted on a corner parcel in the R1 and R2 Zoning Districts when such development is proposed in lieu of an ADU and/or JADU, the project complies with adopted objective design standards, the lot area is at least 8,000 square feet, and the lot was created prior to May 1, 2023.
(g) Residential Care Homes. Residential care homes (also known as group homes) are subject only to the density requirements, regulations, and objective standards that apply to other residential dwellings of the same type (e.g., single-family or multi-family) in the same zone, with no additional requirements based solely on the number of units provided, other than density requirements.
(h) Single-Room Occupancy. Single Room Occupancy (SRO) Housing is subject to the same restrictions and objective standards that apply to multi-family dwellings within the same zone. SRO Housing means a structure that provides living units that have separate

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sleeping areas and some combination of shared bath or toilet facilities. The structure may or may not have separate or shared cooking facilities for the residents. SRO includes structures commonly called residential hotels or rooming houses. (i) Supportive and Transitional Housing. Supportive and transitional housing is permitted in all residential zones subject only to those restrictions and objective standards that apply to other residential dwellings of the same type (e.g., single-family or multi-family) in the same zone, when such housing meets the criteria listed in Government Code Section 65651.

Parking is not required for units occupied by supportive housing residents if the development is located within one-half mile of a public transit stop.

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City of Gilroy

STAFF REPORT
Agenda Item Title: Consent the Appointment of Scot Smithee (Retired Annuitant) as the Interim Senior Executive Team
Director Leading and Managing the Gilroy Fire
Department Effective May 28, 2024 and Adoption of a
Resolution of the City Council of the City of Gilroy
Approving the Appointment and Employment
Agreement
Meeting Date: May 20, 2024
From: Jimmy Forbis, City Administrator
Department: Administrative Services
Submitted By: LeeAnn McPhillips, Administrative Services and Human Resources Director / Risk Manager
Prepared By: LeeAnn McPhillips, Administrative Services and Human Resources Director / Risk Manager
STRATEGIC PLAN GOALS Not Applicable

RECOMMENDATION
a) Consent the City Administrator’s recommendation to appoint Scot Smithee (Retired Annuitant) as Interim Senior Executive Team Director leading and managing the Gilroy Fire Department effective May 28, 2024. b) Adopt a resolution of the City Council of the City of Gilroy approving the appointment of Scot Smithee (Retired Annuitant) as Interim Senior Executive Team Director leading and managing the Gilroy Fire Department pursuant to Government Code Section 21221(h) and authorizing the City Administrator to execute the employment agreement.

EXECUTIVE SUMMARY
To ensure continuity in the leadership and management of the Fire Department during a critical time, it is recommended that the City Council consent to the appointment of Scot Smithee (retired annuitant) as Interim Senior Executive

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Consent the Appointment of Scot Smithee (Retired Annuitant) as the Interim Senior Executive Team Director Leading and Managing the Gilroy Fire Department Effective May 28, 2024 and Adoption of a Resolution of the City Council of the City of Gilroy Approving the Appointment and Employment Agreement
City of Gilroy City Council Page 2 of 4 May 20, 2024 1
6 Team Director for the Fire Department effective May 28, 2024, and approve the resolution consenting to the appointment and authorizing the City Administrator to execute the employment agreement.

BACKGROUND
Due to the upcoming retirement (last day of work May 31, 2024) of Fire Chief Jim Wyatt, the City of Gilroy has a vacancy in the Senior Executive Team Department Director position for the Fire Department. The city plans to commence recruitment for an ongoing Fire Chief and hire an Interim Director to lead and manage the Fire Department while the recruitment is being conducted.

Former Gilroy Police Chief Scot Smithee is available to serve in this leadership position.

Mr. Smithee is a California Public Employees’ Retirement System (CalPERS) retired annuitant, having retired in 2020. He has the education, skills, and experience to hit the ground running and serve as Senior Executive Team Department Director for the Gilroy Fire Department beginning May 28, 2024.

This date allows for a few days of overlap with Chief Wyatt to ensure a smooth transition.

Mr. Smithee has over thirty years of public safety experience and served as the Gilroy Police Chief from 2017 – 2020. His prior City of Gilroy experience coupled with his leadership and management experience makes him a strong fit to serve in this interim role.

California Government Code Section 21221(h) allows an agency to hire a retired annuitant to serve in an “interim” position when there is an immediate need for expertise and specialized skills and recruitment is underway for the position. The city has already initiated steps to begin a recruitment for a new Fire Chief and we expect to complete the selection process in the next four to six months. Further, the retired annuitant may not work more than 960 hours in a fiscal year and cannot receive any compensation other than the hourly rate of pay for the work performed by other employees performing comparable duties.

In the Interim Senior Executive Team Department Director role for the Fire Department and as an officer of the city, Scot Smithee agrees to perform the following duties related to the Gilroy Fire Department:
a. Plan, direct, and coordinate the activities of the Fire Department.

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Consent the Appointment of Scot Smithee (Retired Annuitant) as the Interim Senior Executive Team Director Leading and Managing the Gilroy Fire Department Effective May 28, 2024 and Adoption of a Resolution of the City Council of the City of Gilroy Approving the Appointment and Employment Agreement
City of Gilroy City Council Page 3 of 4 May 20, 2024 1
6 b. Serve as head of the Fire Department and technical advisor to the City Administrator and other department heads on fire and emergency services related matters.
c. Provide general supervision and direction to the Division Chiefs in charge of the Operations, Emergency Medical Services, or Training Division to insure their respective divisions comply with city and departmental policies and that they meet their established goals and objectives.
d. Work with staff to develop goals and objectives, policies, procedures, and work standards for the Fire Department.
e. Direct the preparation and administration of the annual and/or biennial department budget, including the following: preparing division budgets, projecting revenues and monitoring revenues and expenditures. Research, analyze, and make recommendations for cost effective departmental operations to include: developing, administering, and evaluating departmental programs and services; addressing process issues; and implementing required changes. f. Prepare reports and make presentations to the City Administrator, City Council, community groups, and other agencies on issues pertaining to the Fire Department.
g. Coordinate the activities of the Fire Department with other departments and agencies.
h. Serve as Operations Section Chief on the City Disaster Response Team and provide technical advice to the City Administrator during an emergency. i. Prepare and present comprehensive technical reports. j. Develop, analyze, and make recommendations on the formulation of policy, procedures, staffing and organizational requirements for the department. k. Select, train, and evaluate departmental personnel.
l. Participate and be visible in the Gilroy community as appropriate. m. Perform related work as required.

As the Interim Senior Executive Team Director for the Fire Department, Scot Smithee will report directly to the City Administrator and shall comply with all City rules, policies, guidelines, regulations, and laws. Mr. Smithee will be paid $121.33 per hour with no other benefits or incentives.

ALTERNATIVES
The alternative would be not to approve the interim appointment. The city would then need to alternatively identify someone else to serve in this role or leave the position vacant. These alternatives are not recommended.

FISCAL IMPACT/FUNDING SOURCE

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Consent the Appointment of Scot Smithee (Retired Annuitant) as the Interim Senior Executive Team Director Leading and Managing the Gilroy Fire Department Effective May 28, 2024 and Adoption of a Resolution of the City Council of the City of Gilroy Approving the Appointment and Employment Agreement
City of Gilroy City Council Page 4 of 4 May 20, 2024 1
6 This interim appointment provides a cost savings to the city as only the hourly rate for the position is paid to the retired annuitant and not any benefits. It is estimated that this interim appointment will save the city approximately $7,000 per month when filled on a full-time basis. Over a four-to-six-month period, the savings will total approximately $28,000 – $42,000.

NEXT STEPS
Upon Council approval, the City Administrator will sign the employment agreement. In addition, staff has already commenced steps to begin the Fire Chief recruitment process and will work to complete the process over the next four to six months.

Attachments:

1. Resolution for Interim Appointment and Employment Agreement

2. Exhibit A - Employment Agreement for Scot Smithee Effective May 28, 2024

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RESOLUTION NO. 2024-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF GILROY APPOINTING SCOT SMITHEE AS AN

INTERIM SENIOR EXECUTIVE TEAM DIRECTOR TO

LEAD AND MANAGE THE FIRE DEPARTMENT AND

APPROVING EMPLOYMENT AGREEMENT
WHEREAS, Government Code Section 21221(h) permits the City Council to appoint a retired annuitant to a vacant position requiring specialized skills during recruitment for a permanent appointment, and provides that such appointment will not subject the retired person to reinstatement from retirement or loss of benefits so long as it is a single appointment that does not exceed 960 hours in a fiscal year; and
WHEREAS, Scot Smithee retired from California Public Employees’ Retirement System employment on June 2, 2020; and
WHEREAS, Scot Smithee has over thirty years of municipal public safety experience and most previously served as the City of Gilroy Police Chief from 2017 - 2020; and WHEREAS, the position of Fire Chief will become vacant on June 1, 2024 following the retirement of Jim Wyatt; and
WHEREAS, the Gilroy City Council desires to consent the City Administrator’s recommendation to appoint retired annuitant Scot Smithee to lead and manage the Gilroy Fire Department in an Interim Senior Executive Team Director position for the City of Gilroy under Government Code Section 21221(h), effective May 28, 2024; and WHEREAS, Scot Smithee has extensive experience leading and managing a public safety department, specific City of Gilroy experience, and experience with all administrative aspects of leading and managing a city department; and
WHEREAS, an appointment under Government Code Section 21221(h) requires that the City has initiated steps to begin the recruitment process for the vacant position; and WHEREAS, this Section 21221(h) appointment shall only be made once and therefore will end on the date immediately preceding the date on which the permanent replacement for the vacant position of Fire Chief for the City of Gilroy commences his or her employment or, if earlier, the date that this appointment is terminated by the City or Scot Smithee; and WHEREAS, the entire employment agreement between Scot Smithee and the City of Gilroy has been reviewed by this body and is attached hereto as Exhibit A; and WHEREAS, no matters, issues, terms, and/or conditions related to this employment and appointment have been or will be placed on the consent calendar; and WHEREAS, the employment shall be limited to 960 hours per fiscal year; and WHEREAS, the compensation paid to retirees cannot be less than the minimum nor exceed the maximum monthly base salary paid to other employees performing comparable duties, divided by 173.333 to equal the hourly rate; and

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Resolution No. 2024-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY APPOINTING SCOT SMITHEE AS

INTERIM SENIOR EXECUTIVE TEAM DIRECTOR FOR THE GILROY FIRE DEPARMENT AND

APPROVING EMPLOYMENT AGREEMENT
City Council Meeting | May 20, 2024

WHEREAS, the maximum base monthly salary for this position is $21,031.25 and the hourly equivalent is $121.33 and the minimum base monthly salary for this position is $15,771.00 and the hourly equivalent is $90.99; and
WHEREAS, the hourly rate to be paid to Scot Smithee will be $121.33; and WHEREAS, Scot Smithee has not and will not receive any other benefit, incentive compensation in lieu of benefits or any other form of compensation in addition to this hourly pay rate.

NOW, THEREFORE, the City Council of the City of Gilroy hereby finds, determines, and resolves as follows:

1. The City Council has considered the full record before it, which may include but is not limited to such things as the staff report, testimony by staff and the public, and other materials and evidence submitted or provided to it. Furthermore, the recitals set forth above are found to be true and correct and are incorporated herein by reference.

2. The City Council hereby certifies the nature of the employment of Scot Smithee as described herein and detailed in the attachment employment agreement and that this appointment is necessary to fill the critically needed position of Senior Executive Team Director for the City of Gilroy Fire Department to provide the specialized skills necessary to lead and manage the City’s fire department functions.

3. The City Council hereby authorizes the appointment of Scot Smithee to Interim Senior Executive Team Director effective on May 28, 2024 pursuant to the authority provided under Government Code Sections 21221(h), which shall end on the date immediately preceding the date on which the permanent replacement for the vacant position of Fire Chief for the City of Gilroy commences his or her employment or, if earlier, the date that this appointment is terminated by the City or Scot Smithee.

4. The employment agreement with Scot Smithee, a copy of which is attached hereto as Exhibit A and will be maintained on file with the Human Resources Department, is approved by the City Council, effective on May 28, 2024.

5. The City Administrator is authorized to execute said agreement on behalf of the City, with such technical amendments as may be deemed appropriate by the City Administrator and City Attorney.

PASSED AND ADOPTED this 20
th day of May, 2024 by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

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Resolution No. 2024-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY APPOINTING SCOT SMITHEE AS

INTERIM SENIOR EXECUTIVE TEAM DIRECTOR FOR THE GILROY FIRE DEPARMENT AND

APPROVING EMPLOYMENT AGREEMENT
City Council Meeting | May 20, 2024

APPROVED:

Marie Blankley, Mayor
ATTEST:
__________________________
Beth Minor, Interim City Clerk

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EXHIBIT A

RETIRED ANNUITANT EMPLOYMENT AGREEMENT
The Retired Annuitant Employment Agreement (“Agreement”) is made by and between the City of Gilroy, a municipal corporation of the State of California (“City”) and Scot Smithee, an individual (“Retired Annuitant”) as of May 28, 2024 (“Effective Date”).

RECITALS
A. Retired Annuitant previously was employed by the City of Gilroy, a California Public Employees’ Retirement System (CalPERS) employer since 1986, having previously served as Gilroy’s Police Chief (Senior Executive Team Director) from 2017-2020; and
B. Retired Annuitant retired from public service effective June 2, 2020 and began collecting a retirement pension from the California Public Employees’ Retirement System (CalPERS); and C. The City will have a vacancy in the position of Fire Chief beginning June 1, 2024, a regular position for which the City will commence steps to initiate the recruitment for a permanent appointment prior to May 28, 2024; and
D. The City has an immediate need for an employee to temporarily perform the position of Senior Executive Team Director, a position involving specialized skills and training, and which is critically necessary to the on-going duties and functions of the City’s Fire Department; and E. Retired Annuitant has the necessary qualifications, experience, and abilities to assist City in the duties of leadership and management of the Fire Department; and F. Retired Annuitant’s employment is authorized by Government Code section 21221(h), which permits the City to appoint a CalPERS retired annuitant to a vacant position requiring specialized skills during recruitment for a permanent replacement; and
G. City desires to retain the services of Retired Annuitant in accordance with California Government Code Section 21221(h) and Retired Annuitant agrees to provide certain services to City under the strict terms and conditions set out in this Agreement; and
In consideration of this matter described above and of the mutual benefits and obligations set forth in this Agreement, the receipt and sufficiency of which consideration is hereby acknowledged, the parties of this Agreement agree as follows:

AGREEMENT
Section 1. Term of Services
The term of this Agreement is from May 28, 2024 until such time as a permanent replacement for the position of Fire Chief has been selected and has commenced employment, unless terminated sooner as provided below.

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Section 2. Scope of Services
Retired Annuitant, as an officer of the city, agrees to perform the following duties related to the Gilroy Fire Department:
a. Plan, direct, and coordinate the activities of the Fire Department. b. Serve as head of the Fire Department and technical advisor to the City Administrator and other department heads on fire and emergency services related matters. c. Provide general supervision and direction to the Division Chiefs in charge of the Operations, Emergency Medical Services, or Training Division to insure their respective divisions comply with city and departmental policies and that they meet their established goals and objectives. d. Work with staff to develop goals and objectives, policies, procedures, and work standards for the Fire Department.
e. Direct the preparation and administration of the annual and/or biennial department budget, including the following: preparing division budgets, projecting revenues and monitoring revenues and expenditures. Research, analyze, and make recommendations for cost effective departmental operations to include: developing, administering, and evaluating departmental programs and services; addressing process issues; and implementing required changes. f. Prepare reports and make presentations to the City Administrator, City Council, community groups, and other agencies on issues pertaining to the Fire Department. g. Coordinate the activities of the Fire Department with other departments and agencies. h. Serve as Operations Section Chief on the City Disaster Response Team and provide technical advice to the City Administrator during an emergency.
i. Prepare and present comprehensive technical reports. j. Develop, analyze, and make recommendations on the formulation of policy, procedures, staffing and organizational requirements for the department. k. Select, train, and evaluate departmental personnel.
l. Participate and be visible in the Gilroy community as appropriate. m. Perform related work as required.

Retired Annuitant will report directly to the City Administrator. Retired Annuitant shall comply with all City rules, policies, guidelines, regulations, and laws.

Section 3. Compensation; Hours
City agrees to compensate Retired Annuitant at $121.33 per hour for all services provided under this Agreement. Payments from City to Retired Annuitant shall be made during the normal payroll cycles of other City employees.

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City has reviewed and compared the hourly rate set forth in this Section with other employees performing comparable duties and the hourly rate set forth in this Section does not exceed such other employee’s compensation.

Retired Annuitant agrees and acknowledges that he shall not perform any services under this Agreement exceeding a total of nine hundred sixty (960) hours during any fiscal year (July 1 to June 30) inclusive of any hours worked during the same period for other CalPERS employers as a retired annuitant. Retired Annuitant shall record his hours on a pre-approved timesheet that shall be submitted to the City every month.

The position is a temporary, hourly assignment which is generally not expected to exceed 40 hours per week. The City, through the City Administrator, will assign Retired Annuitant hours to work. Due to the nature of the position, it is understood that the workday and workweek hours may vary, however Retired Annuitant shall not work overtime (i.e. in excess of 40 hours per week) as payment of overtime is prohibited under Government Code Section 21221(h).

There are no other benefits, incentives, compensation in lieu of benefits or other forms of compensation in addition to the hourly pay rate set forth in this Section.

Section 4. Location
The primary locations for services will be at the following addresses:

Gilroy Fire Department, 7070 Chestnut Street, Gilroy, California 95020 Gilroy City Hall, 7351 Rosanna Street, Gilroy, California 95020 Section 5. Compliance with Laws
This Agreement will be construed in accordance with and governed by the laws in the State of California. In the event that suit shall be brought by any of the parties, the parties agree that venue shall be exclusively vested in the state courts of the County of Santa Clara, or if federal jurisdiction is appropriate, exclusively in the United States District Court, Northern District of California, San Jose, California. Retired Annuitant shall comply with all applicable laws, rules, policies, and guidelines.

Retired Annuitant agrees and acknowledges that the State of California and the governing body of the California Public Employees’ Retirement System enact strict laws, regulations and guidelines relating to services provided by “retired annuitants” to public agencies contracting with the California Public Employees’ Retirement System. Retired Annuitant agrees to comply with all applicable laws, regulations and guidelines relating to the services provided under this Agreement.

Section 6. Termination
This Agreement may be terminated by either party for convenience by providing written notice to the other party.

Section 7. Miscellaneous
a. Retired Annuitant has read each and every part of this Agreement and Retired Annuitant freely and voluntarily has entered into this Agreement. This Agreement is a negotiated document and shall not be

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interpreted for or against any party by reason of the fact that such party may have drafted this Agreement or any of its provisions.
b. If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so adjusted shall remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.
c. This Agreement represents the entire and integrated agreement between City and Retired Annuitant and supersedes all prior negotiations, representations, or agreements, either written or oral.

In witness where of the parties have duly affixed their signatures on this __ day of May, 2024.

Employer: City of Gilroy

Jimmy Forbis, City Administrator
Retired Annuitant:

Scot Smithee
Approved as to Form:

Andrew L. Faber, City Attorney
Attest:

Beth Minor, Interim City Clerk

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City of Gilroy

STAFF REPORT
Agenda Item Title: Receive Budget Report for the Third Quarter of Fiscal Year 2023-2024 (FY24) and Adopt a Resolution
Amending the Appropriations for FY24 and FY25 in
the Police Grants Fund
Meeting Date: May 20, 2024
From: Jimmy Forbis, City Administrator
Department: Finance
Submitted By: Harjot Sangha, Finance Director
Prepared By: Carina Baksa, Finance Manager
STRATEGIC PLAN GOALS Develop a Financially Resilient Organization

RECOMMENDATION
a) Receive Budget Report as of the Third Quarter of FY24. b) Adopt a Resolution of the City Council of the City of Gilroy amending the appropriations for FY24 and FY25 in the Police Grants Fund (225).

EXECUTIVE SUMMARY
This report provides the City Council with an update on the Fiscal Year 2024 (FY24) Budget as of March 31, 2024, and appropriates funds in the Police Grants Fund (225).

BACKGROUND
The FY24 budget was adopted on June 5, 2023, and FY24 activity began on July 1, 2023. The City has now had three full quarters of operations for FY24. Staff presented the quarterly financial updates to the Council on December 11, 2023, and February 26, 2024. This report provides a financial summary of activity from July 1, 2023, through March 31, 2024.

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Receive Budget Report for 3rd Quarter of Fiscal Year 2023-2024 (FY24) City of Gilroy City Council Page 2 of 8 May 20, 2024
Additionally, in February 2023, the Gilroy Police Department received a $43,529 grant from the Board of State and Community Corrections Officer Wellness and Mental Health Grant Program. Staff appropriated the total amount of the grant in FY23, but only a portion, $5,743, was expended during that year. Staff have until December 2025 to utilize the total amount of the grant. Staff requests to appropriate $15,948 of the funds in FY24 and appropriate the remaining $21,838 in FY25 (GL #2253000-52610).

ANALYSIS
General Fund Forecast Update
The City Council last received the General Fund forecast at the February 26, 2024, City Council meeting. The chart below is an updated General Fund Forecast, which incorporates budget amendments to date and additional adjustments to the forecast based on current information.

Following are the notable adjustments to the updated General Fund Forecast:
• Sales Tax – Staff previously shared that the sales tax revenue for FY24 was projected to come under budget by about $1.1 million. Based on the current quarterly sales tax report, there are indications that the shortfall will now be approximately $0.9 million for FY24 and is cautiously optimistic for subsequent years. Sales tax revenue for FY24 is now projected to come in at $20.9 million, compared to the $21.8 budgeted. The estimates for the subsequent forecast years have also been adjusted upwards by about $0.4 million/year. • Lease Payment—During the third quarter, the City received a catch-up payment from Gilroy Gardens totaling $0.6 million under their Lease Agreement.

Overall, the adjustments had a net positive impact on the General Fund forecast. The operating margin for FY24 is now projected to be $0.5 million positive due to increased sales tax estimate and the one-time catch-up payment. The forecast for subsequent years also improved due to the upward adjustment in sales tax revenues. The General Fund is now projected to maintain the minimum required fund balance through FY28 and dip below the required level in the last year of the forecast.

General Fund
Actuals Amended Amended Forecast Forecast Forecast Forecast General Fund Forecast (In Millions) FY23 FY24 FY25 FY26 FY27 FY28 FY29 Beginning Fund Balance $ 34.6 $ 38.4 $ 29.8 $ 25.7 $ 24.6 $ 23.2 $ 22.0 Add: Revenues 66.2 66.5 68.9 70.3 72.5 74.7 76.7
Less: Expenditures (62.4) (66.0) (69.3) (71.4) (73.9) (75.9) (78.9) Operating Margin $ 3.8 $ 0.5 $ (0.4) $ (1.1) $ (1.4) $ (1.2) $ (2.2) One-time Use of Fund Balance - (9.1) (3.7) - - - -
Ending Fund Balance (after one-time use) $ 38.4 $ 29.8 $ 25.7 $ 24.6 $ 23.2 $ 22.0 $ 19.8 Fund Balance as a % (min 30% per CC policy) 62% 40% 35% 34% 31% 29% 25% Fiscal Year 2024 and 2025 General Fund Forecast (05/16/2024)

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Receive Budget Report for 3rd Quarter of Fiscal Year 2023-2024 (FY24) City of Gilroy City Council Page 3 of 8 May 20, 2024
Revenues
General fund revenues received through March 31, 2024, total $42.3 million or 64% of the amended budget of $66.4 million. For some revenues, such as tax revenues, there is a lag between when the economic transaction occurs and when the City’s revenues are received. The table below provides a breakdown of General Fund revenues by category and a comparison to the amended budget.

Sales Tax - The City receives its sales tax revenue approximately two months after funds are collected by the California Department of Tax and Fee Administration. The FY24 budget for sales tax revenue is $21.8 million, of which $12.5 million (57%) has been received as of March 31, 2024. Receipts reflect collections from July 2023 through January 2024. Based on the previous quarterly sales tax report, it was reported that the City’s sales tax revenue for FY24 was expected to come in under budget by approximately $1.1 million. Based on the latest quarterly report, sales tax revenue is now projected to come in at $20.9 million, which is approximately $0.9 million under budget for FY24.

Property Tax - The City’s property tax revenues are received in various intervals from Santa Clara County and are not distributed in even amounts. Property tax installments are typically due in November and April of each fiscal year. The FY24 budget for property tax revenue is $20.4 million of which $11.4 million (56%) has been received as of March 31, 2024. Much of the annual property tax revenue is received in the second half of the fiscal year, including the yearly ERAF payment. At this time, property tax revenue is projected to come in at the budgeted amount.

Utility Users Tax (UUT) - Utility taxes are assessed against the value of energy and telecommunications, such as gas, electricity, steam, cable, and phone charges. The current tax rates are 4.5% for telecommunications and 5% for gas and electricity. The City’s UUT revenues are typically received one month after the revenues are earned.

The FY24 budget for utility user tax is $6.5 million of which $4.5 million (69%) has been

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Receive Budget Report for 3rd Quarter of Fiscal Year 2023-2024 (FY24) City of Gilroy City Council Page 4 of 8 May 20, 2024
received as of March 31, 2024. Receipts to date represent revenue through February.

The utility user tax is projected to come in higher than budget.

Franchise Tax - The City receives franchise tax revenue from three franchise types: gas and electric, cable TV, and garbage/refuse. The FY24 budget for franchise tax is $2.3 million of which $0.8 million (34%) has been received as of March 31, 2024, primarily reflecting eight monthly refuse and two quarterly cable franchise payments.

The more significant portion of franchise tax comes from PG&E, which remits payments once a year and is typically received in the fourth quarter of the fiscal year.

Transient Occupancy Tax (TOT) - The City’s TOT revenue comes from a 9% tax on hotel room rentals under 30 days and some of the RV parks in the City. The hotels pay within one month after their quarter ends. The FY24 budget for TOT is $2.0 million of which $0.9 million (45%) has been received as of March 31, 2024, which reflects two quarters of returns. At this time, TOT revenue is expected to come in at budgeted levels.

Business License - The FY24 budget for Business License fees is $0.7 million of which $0.7 million (100%) has been received as of March 31, 2024. The business license revenue is tied to the timing of the annual renewal of the license and any new business licenses issued. At this time, Business License revenue is expected to come in slightly higher than budget.

Other General Fund revenues - This category comprises departmental service charges, general administration charges, fines and forfeitures, and other intergovernmental revenues. The FY24 budget for this aggregate revenue category is $12.7 million of which $11.5 million (90%) has been received as of March 31, 2024. At this time, this revenue is expected to come in higher than budget primarily due to increased development activity and related fees, and a catch-up payment received from Gilroy Gardens under their Lease Agreement.

Expenditures
General Fund expenditures as of March 31, 2024, total $51.2 million, or 68% of the amended budget of $75.0 million. The table below provides a breakdown by department and function. The table compares the actual expenditures for the first three quarters to the amended budget. Most departments are tracking at or under budget due to vacancies. The Public Works Department is tracking under budget for the period but is expected to encumber funds for the annual citywide pavement rehabilitation project, which was awarded by the Council after this reporting period.

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Receive Budget Report for 3rd Quarter of Fiscal Year 2023-2024 (FY24) City of Gilroy City Council Page 5 of 8 May 20, 2024
Non-General Fund
Revenues
The City has approximately 60 non-general funds. The information (revenues and expenditures) for these funds is presented in the table below in aggregate, by fund type, along with a brief description of what is included in these categories.

Non-General Fund revenues received as of March 31, 2024, total $57.5 million or 60% of the amended budget of $96.1 million. Revenues received up to this point are usually under the 75% fiscal-year mark due to the timing of receipts, especially for special revenue and capital/development funds.

General Fund Expenditures
by Department/Function
FY24 Amended
Budget
Actuals through
March 31, 2024 % of Budget
Administration $ 3.8 $ 2.4 62%
Recreation Transfer 1.5 1.1 75%
Other Transfers 1.0 0.7 75%
Human Resources 1.7 1.0 60%
Community Development 6.1 3.8 62%
Finance 1.2 0.8 65%
Fire 15.8 11.8 75%
Other General Government 3.3 2.5 76%
Police 30.8 22.3 72%
Public Works 9.8 4.7 48%
Total $ 75.0 $ 51.2 68%
(In Millions)

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Receive Budget Report for 3rd Quarter of Fiscal Year 2023-2024 (FY24) City of Gilroy City Council Page 6 of 8 May 20, 2024
Special Revenues – The primary source of this fund type is intergovernmental funds in the manner of tax sharing or grants from Federal, State, County, and other regional governments. For the City of Gilroy, these Special Revenues provide funding for transportation (Gas Taxes, Vehicle Registration, and Measure B), public safety (Proposition 172 sales tax, Gang Prevention, and regional task forces), and community development (CDBG and housing) among others. The FY24 budget for Special Revenues is $9.6 million of which $4.8 million (50%) has been received as of March 31, 2024.

Recreation – The Recreation Fund receives an annual allocation of $1.5 million from the General Fund and, in addition, acquires revenues from charges for services or grants related to recreation programs. The services provided by Recreation are seasonal, typically most active during spring and summer. The FY24 budget for Recreation revenue is $2.3 million of which $1.8 million (48%) has been received as of March 31, 2024.

Capital/Development Impact Funds – Revenues in the Capital and Development Impact Funds are primarily generated by new development approvals and the required contributions to offset infrastructure impacts. Revenue depends on the development's size and impact and the project's timing; therefore, revenue is not evenly distributed throughout the fiscal year. The FY24 budget for Capital/Development Funds revenue is $32.1 million of which $10.6 million (33%) has been received as of March 31, 2024. In discussion with the Public Works Department there is an indication that large development projects previously expected to materialize in FY24 may be delayed into FY25, thus the related impact fee revenues will also be collected in the next fiscal year.

Debt Service - Debt Service funds receive their revenue from annual property tax levies and/or via interfund transfers from other funds and are typically aligned with the timing of the debt service payment. For the period, the debt service funds have received $3.3 million, or 67% of its $5.0 million budget.

Internal Service – Internal Service Funds (Information Technology (IT), Fleet, Facilities, Worker’s Compensation, and Liability Funds) primarily receive their revenue from charges to other departments and funds in the City. These charges are typically assessed in equal monthly amounts based on the budget, and therefore, it is expected that the full budgeted amount will be received.

Sewer – The FY24 budget for Sewer revenue is $16.4 million of which $13.5 million (82%) has been received as of March 31, 2024. The Sewer Fund is tracking above for the period. The Sewer Enterprise Fund generates its revenue from utility user charges.

Water – The FY24 budget for Water revenue is $14.5 million of which $11.5 million (79%) has been received as of March 31, 2024. The Water Fund is tracking above for the period. Like the Sewer Fund, the Water Fund generates its revenues from utility user charges.

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Receive Budget Report for 3rd Quarter of Fiscal Year 2023-2024 (FY24) City of Gilroy City Council Page 7 of 8 May 20, 2024
Expenditures
Non-General Funds expenditures as of March 31, 2024, total $63.5 million, or 46% of the amended budget of $137.5 million. The table below presents the Non-General Fund expenditures by Fund Type.

Special Revenues – The primary expenditures in this fund type are for roads and sidewalk infrastructure, followed by grant-related expenditures for the Police Department. As of March 31, 2024, expenditures are at $7.0 million (45%) of the budgeted amount of $15.6 million. Road and infrastructure capital projects typically commence after the winter/rainy season. Therefore, staff expects funds to be encumbered and expenditures to commence in the fourth quarter of the fiscal year.

Recreation – As of March 31, 2024, expenditures are at $1.2 million (58%) of the budgeted amount of $2.1 million. The services provided by Recreation are seasonal, typically, most active during spring and the summer.

Capital/Development – As of March 31, 2024, expenditures are at $7.8 million (22%) of the budgeted amount of $35.8 million. The below target spending is primarily in the capital outlay. Several capital projects are currently in their design phases, and the construction phase, the larger category of expenditure, for certain projects will commence in the fourth quarter, while others will cross into the next fiscal year.

Debt Service – As of March 31, 2024, expenditures are at $4.4 million (89%) of the budgeted amount of $4.9 million. The debt service payments typically include semiannual interest payments, and one annual principal payment.

Internal Services - As of March 31, 2024, expenditures are at $9.4 million (43%) of the budgeted amount of $22.0 million. The City’s internal service funds are IT, Fleet,

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Receive Budget Report for 3rd Quarter of Fiscal Year 2023-2024 (FY24) City of Gilroy City Council Page 8 of 8 May 20, 2024
Facilities, Equipment Outlay, Worker’s Compensation, and Liability Funds. The under spending is primarily in capital outlay for IT, Fleet and Facilities.

Sewer – As of March 31, 2024, expenditures are at $23.7 million (65%) of the budgeted amount of $36.5 million. Approximately $27.0 million of this budget is related to capital outlay, primarily the South County Regional Wastewater Authority’s Plant Expansion project which is currently under construction.

Water – As of March 31, 2024, expenditures are at $10.0 million (48%) of the budgeted amount of $20.6 million. Approximately $4.2 million of this budget is related to capital outlay projects, several of which are in their design phases.

FY24 and FY25 Budget Adjustment
In February 2023, the Gilroy Police Department received a $43,529 grant from the Board of State and Community Corrections Officer Wellness and Mental Health Grant Program. Staff appropriated the full amount of the grant in FY23 but only a portion, $5,743, was expended during that year. The Department has until December 2025 to utilize the full amount of the grant. Staff requests to appropriate $15,948 of the funds in FY24 and appropriate the remaining $21,838 in FY25 (GL #2253000-52610).

ALTERNATIVES
There are no recommended alternatives to the Third Quarter Budget Report for FY24.

Council could reject the resolution to appropriate the $15,948 to FY24 and $21,838 to FY25 for the Police Department Grants Fund (F225). Staff does not recommend this option as it would mean an alternative funding source would need to be utilized for officer wellness purchases.

FISCAL IMPACT/FUNDING SOURCE
The fiscal impact of the Third Quarter Budget Report for FY24, and the updated General Fund Forecast has been discussed in the report above.

The fiscal impact of appropriating the $15,948 to FY24 and $21,838 to FY25 would be an increase in budgeted appropriations in Fund 225.

Attachments:

1. Draft Resolution - FY24 and FY25 Appropriations in Fund 225

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RESOLUTION NO. 2024-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY

AMENDING THE BUDGET FOR THE CITY OF GILROY FOR FISCAL
YEAR 2024 AND FISCAL YEAR 2025 IN THE EXPENDITURE

ACCOUNTS OF THE POLICE GRANTS FUND AND

APPROPRIATING PROPOSED AMENDMENTS
WHEREAS, the City Administrator prepared and submitted to the City Council a budget for the City of Gilroy for Fiscal Years 2024 and 2025, and the City Council carefully examined, considered and adopted the same on June 5, 2023; and
WHEREAS, City Staff has prepared and submitted to the City Council a proposed amendment to said budget for Fiscal Year 2024 for the City of Gilroy in the staff report dated May 20, 2024, for the third quarter budget update, more specifically appropriating funding received from the Board of State and Community Corrections Officer Wellness and Mental Health Grant Program; and
WHEREAS, the City Council has carefully examined and considered the same and is satisfied with said budget amendments.

NOW, THEREFORE, BE IT RESOLVED that appropriations to the expenditure accounts in the Police Grants Fund, Fund 225, are hereby increased by $15,948 for Fiscal Year 2024 and increased by $21,838 for Fiscal Year 2025.

PASSED AND ADOPTED this 20th day of May 2024 by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED:
______________________________
Marie Blankley, Mayor
ATTEST:

Beth Minor, Interim City Clerk

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Resolution No. 2024-XX
Resolution Amending FY 2024 and FY 2025 Police Grants Fund Budget City Council Regular Meeting | May 20, 2024