Gilroy City Council
May 4, 2026

Resolution No. 2026-XX
AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

permitting by the Building Department.

61. PORTABLE TOILETS: Portable toilets used during construction shall be emptied on a regular basis as necessary to prevent odor. A containment pan is required under all portable toilets.

62. CONSTRUCTION STORAGE: All construction materials, debris and equipment shall be stored on site. If that is not physically possible, an encroachment permit shall be obtained from the Department of Public Works prior to placing any construction materials, debris, debris boxes or unlicensed equipment in the right-ofway. The placing of portable restroom facilities in the City right-of-way will not be permitted.

63. DEMOLITION PERMIT: Demolition permits will be issued in accordance with Section 6.1 of the Gilroy Municipal Code. Additionally, safeguards during construction must be implemented in accordance with Chapter 33 of the California Building Code.

64. PLAN CONFORMANCE & SUBMITTAL CONTENTS: All improvements must comply with the City of Gilroy Municipal Code and Building Department standards.

Incomplete submittals will be rejected. Improvement plan set must include civil site design, landscape site design, electrical, joint trench, and any structural landscape walls. Improvement plans must include approved Conditions of Approval as the second sheet and a cover sheet table summarizing facilities, ownership, access rights, and maintenance responsibilities.

65. TITLE REPORT & SITE SURVEY: Submit Title Report with first improvement submittal. Provide a site survey for the entire parcel stamped by a Californialicensed land surveyor showing property lines, streets/easements, existing buildings, contour lines, and trees/landscaping.

66. PAD ELEVATION CERTIFICATION & FEMA ELEVATION CERTIFICATE: Submit pad elevation certification by a licensed land surveyor or registered civil engineer confirming pad elevations and building setbacks comply with approved plans prior to foundation inspection. Submit FEMA Elevation Certificate as required prior to first occupancy.

67. TITLE 24 & GREEN BUILDING CODE & ENERGY COMPLIANCE: Comply with Title 24 (building, electrical, mechanical, plumbing, energy, fire, green building) and State/Federal accessibility requirements. Include the California Green Building Standards checklist on plans with required measures verified at final inspection.

68. GEOTECHNICAL REPORT: Submit a stamped, signed, dated geotechnical/soil investigation with recommendations. Geotechnical Engineer must review final grading, pavement, and drainage plans and provide approval by letter or plan

Resolution No. 2026-XX
AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

signature prior to permit issuance. All grading/compaction must be observed/tested by a licensed geotechnical engineer; file phase reports and provide compaction certifications prior to Building Permit final. Add Geotech notes to grading plan.

69. FINAL GRADING & DRAINAGE PLAN SUBMITTAL: Submit final grading and drainage plan prepared by a licensed civil engineer with the building permit showing final grades, elevations, and on-site drainage controls to prevent runoff to adjoining properties. Identify vertical datum, survey date, and surveyor.

70. GRADING RESTRICTIONS, SWPPP & NOI — NPDES / EROSION CONTROL: No earthwork between Oct 15 and Apr 15 unless City Building Official approves a Winterization Erosion Control Plan. Submit SWPPP and Erosion Control Plan as required, keep these on-site, file NOI with State Water Board, and provide a copy to the City before grading permit issuance. Add WDID# to grading plans prior to plan approval.

71. HYDROLOGY, CLOMR/LOMR & FLOODPLAIN FEMA: Hydrology Engineer review to confirm finished floor elevations vs. Hydrology Study; submit letter prior to first building permit. If floodplain impacts exist, complete CLOMR-F/LOMR-F processes with FEMA or provide equivalent floodplain confirmation per City requirements; submit Elevation Certificates documenting as-built conditions.

72. DRAINAGE DESIGN & CALCULATIONS: Provide drainage calculations stamped by a licensed civil engineer demonstrating no increase in downstream peak discharge and showing downstream system capacity where applicable; subject to City approval prior to first building permit. Provide sidewalk drains per City standards where necessary.

73. UTILITY PLANS & JOINT TRENCH: Provide utility plans for all project portions.

Submit joint trench composite plans for underground electrical, gas, telephone, cable, and communication conduits showing trench details, service stubs, meters, and vault/box preferred and alternate locations. Composite drawings must be signed by a licensed Civil or Electrical Engineer. All dry utilities to be placed underground.

74. ELECTRICAL SERVICE REQUIREMENTS: Design and install new services in accordance with PG&E, AT&T, and local cable regulations as underground service unless otherwise approved. Transformers and switchgear cabinets to be underground unless approved by Planning Director or City Engineer. Submit underground utility plans to City prior to installation.

75. WATER QUALITY: Project design shall comply with the Stormwater Management Guidance Manual for Low Impact Development & Post-Construction Requirements.

The applicant shall submit the Source Control Checklist as well as the appropriate Performance Requirements Checklist found in Appendix A of the manual at the time of the initial submittal for building permit. The manual can be found at the following

Resolution No. 2026-XX
AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

site: www.cityofgilroy.org/261/Storm-Water-Management

76. BEST MANAGEMENT PRACTICES (BMP): The applicant shall perform all construction activities in accordance with Gilroy Municipal Code Section 27C, Municipal Storm Water Quality Protection and Discharge Controls, and Section E.10, Construction Site Storm Water Run-Off Control Program of the Regional NPDES Permit. Detailed information can be located at:
www.flowstobay.org/documents/business/construction/SWPPP.pdf. This sheet shall be printed and included in all building construction plan sets permitted for construction in the City of Gilroy.

77. STORMWATER MANAGEMENT PLAN (SWMP) & STORMWATER CONTROL PLAN (SWCP): Submit design-level SWMP/SWCP (8½" x 11" report) prepared by a registered civil engineer at first improvement plan submittal analyzing existing/ultimate conditions including off-site tributaries, with exhibits delineating impervious/pervious areas (hatch/shade) and signed Performance Requirement Certifications. At applicant’s expense submit the SWMP/SWCP for independent third-party review; peer review results must be approved by the City Engineer prior to first building permit.

78. MANHOLE ACCESS TO UNDERGROUND STORM CHAMBERS: Show two manholes within proposed storm chamber limits: one immediately after runoff enters chambers and one immediately before runoff exits.

79. INFILTRATION TESTING & GEOTECH REQUIREMENTS FOR STORM FACILITIES: QSP/QSD shall test stormwater facilities to meet design infiltration rates prior to final inspection. Geotechnical double-ring percolation testing and a 50% safety factor shall be used; include stormwater design/percolation section in geotechnical report.

80. BMP RAM INVENTORY & PCR BENCHMARK FORMS: Upon completion of stormwater facilities, a qualified QSP shall submit the City BMP RAM inventory data report and the PCR Benchmark form to [email protected] to the satisfaction of the Building Official.

81. STORMWATER OPERATIONS & MANAGEMENT AGREEMENT: Execute the City-standard Stormwater Management Facilities Maintenance Agreement (Chapter

7.39.210–230) prior to first occupancy. Agreement must include owner O&M schedule, City right to perform/charge for neglected maintenance, requirement for repairs per City-approved plans, and identification of responsible parties. Record O&M responsibilities on the deed where applicable.

82. STORMWATER INSPECTIONS & REPORTING: Inspect stormwater facilities at least twice annually (Fall by Oct 1; Winter by Mar 15). Maintain written records including site address, date/time, inspector, facilities inspected, condition, maintenance needed, and reinspection need. Submit inspection reports to Building

Resolution No. 2026-XX
AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

Division by Oct 1 and Mar 15. During construction QSD/QSP must provide weekly inspection reports. Failure to comply may result in correction notices, citations, or stop orders.

83. REGIONAL BOARD REVIEW / AUDIT — REGIONAL COMPLIANCE: Provide stormwater design and SWMP/SWCP documents for Central Coast Regional Board review if requested; obtain any required Regional Board approvals/acknowledgments prior to permit issuance.

84. LANDSCAPE & TREATMENT AREAS: Coordinate landscaping with stormwater treatment areas. Landscaping within treatment areas does not count toward site landscaping requirements. Identify treatment areas and ensure plant selection compatibility; do not route sewer facilities through treatment areas.

85. SITE LIGHTING & PHOTOMETRIC PLAN: Submit a photometric plan meeting IES standards: average 1 fc, min 0.3 fc, and max average ratio 4:1 for accessible parking, driveways, circulation, aisles, passageways, and adjacent grounds. Limit light spill and shield sources. Photometric plan approval required by the Building Official or City Engineer.

86. STORM DRAIN INLET MARKING — NO DUMPING LABELS: Mark all storm inlets on and adjacent to the parcel with “No Dumping! Flows to Bay” or equivalent per City standards.

87. FLOOR DRAINS — SANITARY CONNECTION: All floor drains must connect to the sanitary sewer, not the storm system. Show plumbing connections on plans for City Engineer approval.

88. VEHICLE CIRCULATION & AUTOTURN ANALYSIS: Show solid waste and emergency vehicle circulation movements on a separate plan sheet using AutoTurn swept-path analysis to City Engineer satisfaction.

89. HAUL PERMIT FOR OFF-HAUL/ON-HAUL — HAULING WITHIN CITY: If excess fill or cut will be hauled to/from a site within Gilroy city limits, obtain a Haul Permit and note the requirement on the Grading and Drainage Plan.

90. PERMITS FROM OTHER AGENCIES — EXTERNAL PERMITS: Obtain required federal, state, and local permits (e.g., RWQCB, Santa Clara Valley Water District, County Roads/Airports, habitat permits). Provide verification to Public Works/City Engineer before City permits issued. Reimburse City for fees if City is required to be a party to permit application.

91. DEVELOPER STORMWATER QUALITY RESPONSIBILITY — CONTRACTOR AWARENESS: Developer must ensure contractors are aware of and implement stormwater quality measures; failure may result in correction notices, citations, or

Resolution No. 2026-XX
AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

stop orders. Developer is responsible for City abatement costs for neglected maintenance or emergency repairs.

92. UTILITY PLANS: A utility plan shall be provided for all portions of the projects as specified within these conditions of approval. To ensure coordination between the applicant and the relevant utility company: a. The applicant shall provide joint trench composite plans for the underground electrical, gas, telephone, cable television, and communication conduits and cables including the size, location and details of all trenches, locations of building utility service stubs and meters and placements or arrangements of junction structures as a part of the Improvement Plan submittals for the project. Show preferred and alternative locations for all utility vaults and boxes if project has not obtained PG&E approval. A licensed Civil or Electrical Engineer shall sign the composite drawings and/or utility improvement plans. (All dry utilities shall be placed underground). b. The applicant shall negotiate any necessary rightof-way or easement with PG&E, or any other utilities, subject to the review and approval by the Engineering Division and the utility companies. c. A note shall be placed on the joint trench composite plans which states that the plan agrees with City Codes and Standards and that no underground utility conflict exists.

93. PRE-MANUFACTURED TRAILER: A construction trailer shall be allowed to be placed on the project site for daily administration/coordination purposes during the construction period. At no time shall campers, trailers, motor homes, or any other vehicle be used as living or sleeping quarters on the construction site. All such vehicles shall be removed from the site at the end of each workday. A building permit is required for the installation of a pre-manufactured trailer.

94. PLAN MODIFICATIONS: The acceptance of the plans does not absolve the developer from correcting any mistakes, errors, or omissions found in them. If the public interest necessitates changes during construction, the City has the authority to require modifications to the accepted plans and will specify how these changes should be implemented.

95. BICYCLE PARKING: Short-term bicycle parking. Provide bicycle racks, for 5 percent of new visitor parking spaces added, with a minimum of one two-bike capacity “inverted U,” or equivalent as approved by the Community Development Director. The bicycle rack must secure the frame and both wheels. Racks should be located near the building entrance (i.e., within constant visual range) unless it is demonstrated that they create a public hazard or locating them there is otherwise infeasible. If space is unavailable near building entrances, the racks must be designed to protect the lock from physical assault. Bicycle lockers may be provided in addition to bicycle racks.

Long-term bicycle parking for multifamily buildings. Provide on-site bicycle parking at a ratio of one parking space for every one dwelling unit. Acceptable parking facilities shall be conveniently accessed from the street and may include, but not be limited to:

1. Covered, lockable enclosures with permanently anchored bicycle parking devices

Resolution No. 2026-XX
AS 24-07 95 Howson Street
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or racks.

2. Lockable bicycle storage rooms with permanently anchored bicycle parking devices or racks (garage storage satisfies this requirement).

3. Lockable, weatherproof, permanently anchored bicycle lockers.

PUBLIC WORKS CONDITIONS OF APPROVAL
The following conditions authorize the specific terms and are a part of the project ENTITLEMENT(S); and which shall be addressed on the construction plans submitted for any BUILDING PERMIT, GRADING PERMIT or SUPERSTRUCTURE, and shall be satisfied prior to issuance of whichever permit is issued first, or if another deadline is specified in a condition, at that time.

96. PAYMENT OF PUBLIC WORKS PLAN CHECK AND INSPECTION FEE: At the time of first improvement plan submittal, the applicant shall submit a $25,000 (Twenty Five thousand dollars) initial deposit for project plan check and construction inspection. This deposit will be credited/accounted toward final plan check and inspection fee for the project. In addition, the applicant shall submit a detailed project cost estimate prepared by the project engineer, to approval of the City Engineer, with the initial project plan submittal. The cost estimate shall be broken out into on-site and off-site improvements. Prior to plan approval, the applicant shall submit a final cost estimate and pay 100% of the plan check and inspection fees. (PUBLIC WORKS).

97. PLAN SUBMITTAL: The Engineering improvement plans (onsite and offsite) shall be strictly prepared and submitted per Public Works submittal checklist, which can be found in the Public Works, Land Development website or by contacting the land development group at 408-846-0220. Improvement plans are required for both on-site and off- site improvements, and the improvement plan set cover sheet shall include an index referencing on-site and off-site improvements. All improvements shall be designed and constructed in accordance with the City of Gilroy Municipal Code and Standard Specifications and Details, and are subject to all laws of the City of Gilroy by reference. Site improvement plans submittal shall also include all subdivision and/or mapping documents by the project Land Surveyor.

Submittals will be deemed incomplete and will not be accepted if: 1) submittals do not include the Public Works Submittal Checklist signed by the Engineer of Record, and 2) submittals do not include all items per the Public Works Submittal Checklist requirements. (PUBLIC WORKS)

98. HABITAT CONSERVATION PLAN: The Developer shall obtain the required Habitat Conservation Plan (HCP) Permit and pay the applicable fees prior to the issuance of a grading permit or improvement plan approval. (PUBLIC WORKS)

Resolution No. 2026-XX
AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

99. UTILITY PLANS: Joint Trench Plans shall be approved and included with the complete set of improvement plans. Developer is responsible for Joint Trench consultant kickoff and start of the Joint Trench design in a manner that includes PGE design and approval process. A complete site improvement submittal shall include approved Joint Trench Plans.
a. Joint trench plans shall include underground electrical, gas, telephone, cable television, and communication conduits and cables including the size, location and details of all trenches, locations of building utility service stubs and meters and placements or arrangements of junction structures as a part of the Improvement Plan submittals for the project. A licensed Civil or Electrical Engineer shall sign the composite drawings and/or utility improvement plans. (All dry utilities shall be placed underground). b. A “Will Serve Letter” shall be provided for each utility company expected to service the subdivision. Early coordination with the utility companies is necessary to obtain this letter. Coordination of City utilities shall be through the Engineering Division. (PUBLIC WORKS)
100. UTILITY RESPONSIBILITIES: Storm and sewer utilities in private areas shall be privately owned and privately maintained. The water system in Gilroy is owned and maintained by the City. Conversely, public utilities within utility easements on private property remain the responsibility of the individual utility companies to maintain. The plans shall note the inspection, ownership and maintenance responsibility for each utility shown on the plans within a Table of Responsibilities on the project cover sheet of the improvement plans submitted with the initial plan submittal. The table shall include the list of streets, the responsible party for inspection of the improvements, who is responsible for the ownership of the utility, and who is responsible for the maintenance of the utility. An example of this table, including the types of utilities to be listed, can be provided by the Engineering Division upon request. (PUBLIC WORKS)
101. UTILITIES: All new services to the development shall be "underground service" designed and installed in accordance with the Pacific Gas and Electric Company, AT&T (phone) Company and local cable company regulations. Transformers and switch gear cabinets shall be placed underground unless otherwise approved by the Planning Director and the City Engineer. Underground utility plans must be submitted to the City prior to installation. (PUBLIC WORKS) 102. PREPARATION OF ELECTRICAL PLANS: The project electrical plans shall be prepared by a registered professional engineer experienced in preparing these types of plans. The applicant shall submit, with the improvement plans submitted with the initial plan submittal, a letter from the design Electrical or Civil Engineer that states the electrical plan conform to City Codes and Standards, and to the approved improvement plans. The letter shall be signed and stamped by the professional engineer that prepares the improvement plans. (PUBLIC WORKS) 103. EXISTING FACILITIES PROTECTION: All existing public utilities shall be

Resolution No. 2026-XX
AS 24-07 95 Howson Street
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protected in place and if necessary relocated as approved by the City Engineer.

No permanent structure is permitted within City easements without the approval of the City of Gilroy. (PUBLIC WORKS)
104. DEVELOPER STORM WATER QUALITY RESPONSIBILITY: The developer is responsible for ensuring that all contractors are aware of all storm water quality measures, and implement such measures. Failure to comply with the approved construction BMPs will result in the issuance of correction notices, citations, or a project stop order. (PUBLIC WORKS)
105. BEST MANAGEMENT PRACTICES (BMP): The applicant shall perform all construction activities in accordance with Gilroy Municipal Code Section 27C, Municipal Storm Water Quality Protection and Discharge Controls, and Section E.10, Construction Site Storm Water Run-Off Control Program of the Regional NPDES Permit. Detailed information can be located at:
www.flowstobay.org/documents/business/construction/SWPPP.pdf. This sheet shall be printed and included in all building construction plan sets permitted for construction in the City of Gilroy. (PUBLIC WORKS)
106. FIRE DEPARTMENT HYDRANT FLOW TEST: The applicant shall perform a Fire Hydrant flow test to confirm the water system will adequately serve the development, and will modify any part of the systems that does not perform to the standards established by the City. Applicant shall coordinate with Fire Department for the Fire Hydrant flow test. The flow test results shall be submitted with the initial plan submittal. (PUBLIC WORKS)
107. WATER CONSERVATION: The project shall fully comply with the measures required by the City’s Water Supply Shortage Regulations Ordinance (Gilroy City Code, Chapter 27, Article VI), and subsequent amendments to meet the requirements imposed by the State of California’s Water Board. This ordinance established permanent voluntary water saving measures and temporary conservation standards. (PUBLIC WORKS)
108. PROJECT STUDIES: The applicant shall submit, for City approval, onsite water, sewer, and storm drain studies. These studies shall provide the supporting hydraulic calculation for pipe sizing per the City Standard Design Guidelines.

Studies shall confirm that the proposed slopes and capacities (for gravity systems). Pressurized systems shall confirm water pressures and project demands for domestic and fire flow conditions per City Design Guidelines.

Additionally, the study shall include calculations confirming that the proposed design meets City Standard flow velocities (PUBLIC WORKS) 109. STORMWATER MANAGEMENT PLAN: At first improvement plan submittal, the applicant shall submit a Storm Water Management Plan (SWMP) prepared by a registered Civil Engineer. The SWMP shall analyze the existing and ultimate conditions and facilities, and the study shall include all off-site tributary areas.

Resolution No. 2026-XX
AS 24-07 95 Howson Street
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Study and the design shall be in compliance with the City’s Stormwater Management Guidance Manual (latest edition). Existing off-site drainage patterns, i.e., tributary areas, drainage amount, and velocity shall not be altered by the development. The plan shall be to the approval of the City Engineer and shall be approved prior to the issuance of the building permit. (PUBLIC WORKS) 110. WATER QUALITY: Project design shall comply with the Stormwater Management Guidance Manual for Low Impact Development & Post-Construction Requirements. The applicant shall submit the Source Control Checklist as well as the appropriate Performance Requirements Checklist found in Appendix A of the manual at the time of the initial submittal for building permit. The manual can be found at the following site: www.cityofgilroy.org/261/Storm-Water-Management . (PUBLIC WORKS)
111. STORMWATER CONTROL PLAN: At first improvement plan submittal, the applicant shall submit a design level Stormwater Control Plan Report (in 8 ½ x 11 report format), to include background, summary, and explanation of all aspects of stormwater management. The report shall also include exhibits, tables, calculations, and all technical information supporting facts, including but not limited to, exhibit of the proposed site conditions, which clearly delineates impervious and pervious areas on site. The plan shall provide a separate hatch or shading for landscaping/pervious areas on-site including those areas that are not bio-retention areas. This stormwater control plan report format does not replace, or is not in-lieu of any stormwater control plan sheet in the improvement plans. The stormwater control plan shall include a signed Performance Requirement Certifications specified in the Stormwater Guidance Manual. At applicant’s sole expense, the stormwater control plan shall be submitted for review by an independent third party accepted by the City for compliance. Result of the peer review shall be submittal and approved by the City Engineer prior to the issuance of the first building permit. (PUBLIC WORKS) 112. BMP RAM INVERTORY DATA REPORT: At the time of completion of the stormwater facilities for the project, the applicant shall acquire a qualified QSP to complete and submit the City of Gilroy’s BMP RAM inventory data report sheet to the satisfaction of the City Engineer. The document shall be submitted directly to [email protected] for processing. (PUBLIC WORKS) 113. PCR BENMARK FORM: At the time of completion of the stormwater facilities for the project, the applicant shall acquire a qualified QSP to complete and submit the City of Gilroy’s PCR Benchmark form to the satisfaction of the City Engineer.

The document shall be submitted directly to [email protected] for processing. (PUBLIC WORKS)
114. REPAIR OF PUBLIC IMPROVEMENTS: The applicant shall repair or replace all existing improvements not designated for removal, and all new improvements that are damaged during construction or removed because of the applicant’s

Resolution No. 2026-XX
AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

operations. The applicant shall request a walk-through with the Engineering Construction Inspector before the start of construction to verify existing conditions. Said repairs shall be completed prior to the first occupancy of the project. (PUBLIC WORKS)
115. SIGHT DISTNACE / VISIBILITY : Project shall conduct and confirm a site visibility analysis at the project entrance and the intersection of Church St/Howson St based on stopping distance and design speed of existing streets.

Public Works shall confirm existing street design speeds. Results of site visibility results, plus proper safety factors, shall be the basis for establishing no parking zones along the project frontages. (PUBLIC WORKS)
116. DRIVEWAY DESIGN: Driveway grades at all Private Alleys shall be designed to keep a standard design vehicle from dragging or “bottoming out” on the street or driveway, and to keep water collected in the street from flowing onto the lots. The details of such design shall be provided on the site civil plans to the satisfaction of the City Engineer. Since Auto Turn design tools are not useful for this purpose, design Civil Engineer shall model using a frame-by-frame analysis to demonstrate the COA objectives. (PUBLIC WORKS)
117. CHURCH STREET ENTRANCE: This entrance will be secured with an entranced and gate design acceptable to the City Engineer. It shall be limited to Emergency Vehicles and Solid Waste vehicles. Gate will be secured and controlled with remote access and/or other measures acceptable to the City Engineer. The entrance gate shall be privately owned and maintained. To ensure entrance used by unauthorized vehicle during in the event of long periods of gate malfunction, Developer shall install an alarm system on the gate managed by a third party alarm company that will inform the HOA of immediate corrective action.
(PUBLIC WORKS)
118. GRADING & DRAINAGE: All grading activity shall address National Pollutant Discharge Elimination System (NPDES) concerns. There shall be no earthwork disturbance or grading activities between October 15th and April 15th unless otherwise approved by the City Engineer. If approved, the applicant shall submit a Winterization Erosion Control Plan to the City Engineer for review and approval.

This plan shall incorporate erosion control devices and other techniques in accordance with Gilroy Municipal Code § 27C to minimize erosion. Specific measures to control sediment runoff, construction pollution and other potential construction contamination sediment runoff, construction pollution and other potential construction contamination shall be addressed through the Erosion Control Plan and Storm Water Pollution Prevention Plan (SWPPP). The SWPPP shall supplement the Erosion Control Plan and project improvement plans. These documents shall also be kept on-site while the project is under construction. A Notice of Intent (NOI) shall be filed with the State Water Resources Control Board, with a copy provided to the Engineering Division before a grading permit

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will be issued. A project WDID# shall be added to the grading plans prior to plan approval. (PUBLIC WORKS)
119. GEOTECHNICAL ENGINEER: Prior to building permit issuance, the applicant’s Geotechnical Engineer shall review the final grading, pavement design and drainage plans to ensure that said designs are in accordance with the recommendations or the project geotechnical study, and the peer review comments. The applicant’s Geotechnical Engineer’s approval shall then be conveyed to the City either by letter, or by signing the plans.

All grading operations and soil compaction activities shall be per the approved project’s design level geotechnical report. All grading activities shall be conducted under the observation of, and tested by, a licensed geotechnical engineer. A report shall be filed with the City of Gilroy for each phase of construction, stating that all grading activities were performed in conformance with the requirements of the project’s geotechnical report. The applicant shall add this condition to the general notes on the grading plan.

Certification of grades and compaction are required prior to Building Permit final.

This statement must be added as a general note to the Grading and Drainage Plan. (PUBLIC WORKS)
120. ENCROACHMENT PERMITS, BONDS, AND INSURANCE: The applicant must obtain an encroachment permit for any work in the public right of way. This encroachment permit shall be obtained prior to the first permit issuance with expectations that all plans will be reviewed/completed at the same time. No permanent structures are permitted within the City right-of-way, or within any City easement. The applicant shall have street improvement plans prepared for all work in the public right-of-way by a licensed civil engineer, whose signed engineer’s stamp shall appear on the plans.

Final construction plans and specifications shall be approved by the City Engineer, and released for construction, prior to the issuance of the encroachment permit. The applicant is required to confirm the location of existing utility lines along the project frontage by potholing. Prior to any potholing, applicant shall submit a pothole plan for City review and approval. Applicant shall provide the pothole result to the City Engineer prior to final design. Right-of-way improvements shall include all complete street frontage improvements, including but not limited to Howson Street Frontage: remove and replace curb and gutter, sidewalk, landscape, lighting, curb ramps. Along Church Street: remove and replace curb and gutter, sidewalk, landscape, lighting, curb ramps. (PUBLIC WORKS)
121. SITE LIGHTING STANDARDS: The applicant shall submit a photometric plan for on-site lighting showing lighting levels to Illuminating Engineering Society (IES)

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Standards. The plan shall comply with the requirement of an average of 1 footcandle with a 4:1 minimum to average ratio and a minimum lighting of 0.3 footcandle. This lighting standard is applicable to all accessibly parking lots, driveways, circulation areas, aisles, passageways, recesses, and accessible grounds contiguous to all buildings. The lighting system shall be so designed as to limit light spill beyond property lines and to shield the light source from view from off site. The photometric plan shall be approved by the City Engineer. (PUBLIC WORKS)
122. STREET LIGHTING STANDARDS: The applicant shall submit plans for street/sidewalk showing lighting levels to Illuminating Engineering Society (IES) Standards. The plan shall comply with lighting requirements as follows:
• Arterial Streets: 1.0fc average 3/1 average to minimum uniformity .34fc minimum
• Collector Streets: .60fc average 4/1 average to minimum uniformity .15fc minimum
• Local streets: .40fc average 6/1 average to minimum
uniformity .07fc minimum
• High volume intersection: 1.1fc average 3/1 average to minimum uniformity .40fc minimum
• Low volume intersection: .70fc average 4/1 average to minimum uniformity .18fc minimum
The applicant shall submit a photometric plan identifying how these lighting levels are being met given the site geometrics, using City Standard street lights, and a Type III lighting distribution. The width of the street and lighting levels shall determine the lighting spacing. Street lights and pull boxes shall be installed in the planter strip if one is present, or behind the back of walk where feasible so as to maintain sidewalk clear of obstructions to the approval of the City Engineer.

The photometric plan shall be approved prior to the issuance of the building permit. (PUBLIC WORKS)
123. FENCES AND OTHER PERMANENT STRUCTURES WITHIN CITY RIGHT-OFWAY: The applicant shall locate all project fencing and foundation of a permanent nature within the project’s property and out of the City right-of-way and public easement areas. (PUBLIC WORKS)
124. FLOOR DRAINS: All floor drains shall be plumbed to connect to the sanitary sewer system, and shall not be connected to stormwater collection system. The plumbing connections shall be shown on the plans to the approval of the City Engineer. (PUBLIC WORKS)
125. STORM DRAIN INLETS AND WATERWAYS: Per the City’s Clean Water Program’s requirements, the applicant shall mark with the words “No Dumping!

Resolution No. 2026-XX
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Flows to Bay,” or equivalent, using methods approved by the City standards on all storm inlets surrounding and within the project parcel. (PUBLIC WORKS) 126. GARBAGE/RECYCLE STORAGE AND SERVICE: The applicant shall provide an adequate area for the purposes of storing garbage and recycling collection containers for scheduled servicing by the franchise solid waste collection service.

The containers shall be placed at the service location allowing enough room for the truck to safely approach the containers. A letter shall be provided, to the approval of the City Engineer, from the City’s franchise solid waste collection service provider (Recology) confirming serviceability and site accessibility of the solid waste pickup as designed and shown on the project plans. Contact Recology at 408-842-3358. (PUBLIC WORKS)
127. UNDERGROUND FRONTAGE UTILITY LINES: The applicant must underground all overhead utilities running through the property and along the project frontage, and remove all related utility poles, along the project frontage from utility pole to utility pole. Limits for underground shall be to the nearest upstream and downstream pole nearest to the frontage property line limits. The applicant shall be responsible for the coordination with all utility companies existing on the poles and coordinate for their undergrounding or relocation as necessary so that the project frontage is free from utilities to the approval of the City Engineer. The applicant shall submit plans for this undergrounding work with the civil plans submitted with the first building permit. Permitting for this undergrounding work shall occur prior to the issuance of the first building permit unless otherwise approved by the City Engineer. (PUBLIC WORKS)
128. DRAINAGE: Drainage designed into landscaping with the purpose of reducing volume or improving quality of runoff from the site shall be implemented according to the requirements of the Stormwater Management Guidance Manual for Low Impact Development & Post Construction Requirements (June 2015) and shall also be, subject to the approval of the City Engineer. Where necessary, sidewalk drains per the City Standard Drawing shall be provided to direct the water under the sidewalk and through the curb. No increase to the peak discharge shall be permitted downstream. In addition, discharge must conform to any non-point source permit issued by the Regional Water Quality Control Board.

Drainage improvements made on-site shall conform to standard engineering practices and shall not allow any site drainage to impact adjacent properties. All drainage capacity calculations shall be performed by a licensed Civil Engineer, whose signed engineer’s stamp shall appear on the calculations sheets, and shall be submitted to the City for review and approval with the project civil plans. For projects that include permanent structural controls for water quality protection, the O&M (operation and maintenance) procedures for such control features shall be submitted in a site-specific Stormwater Control Plan (SWCP) which shall be reviewed and approved prior to occupancy. A formal O&M Agreement shall specify the owner’s responsibility to ensure their ongoing effective operation and maintenance. Such O&M responsibility requirements shall be recorded on the

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property deed.

If the project is proposing to connect to an existing storm drain system within or downstream from the site, the design engineer shall provide calculations with the final design plans to demonstrate that the downstream drainage system has adequate capacity to accommodate the additional site flows being added to the system for the design storm per City Standards. The calculations shall be to the approval of the City Engineer prior to the issuance of the first building permit. (PUBLIC WORKS)
129. SITE LANDSCAPING COORDINATION: The site landscaping needs to be coordinated between the stormwater treatment area and the overall site landscaping plan area. The landscaping within the stormwater treatment area will not count towards the site landscaping requirement. Stormwater treatment areas should be identified on the site first, and then site landscaping to make sure the correct plant material is identified for each area. Some site landscaping plant material may not be suitable in stormwater treatment areas due to the nature of the facility. Sewer facilities cannot be aligned through stormwater treatment facilities. It is the applicant’s responsibility to coordinate the civil stormwater treatment facilities and the plans from the project landscaper. (PUBLIC WORKS) 130. ADDRESS PLAN: The applicant shall submit to the Public Works Department a final address plan. The plan shall be substantially in conformance with the address plan approved with the Arch & Site application. Said submittal shall be approved by the City Engineer prior to the submittal of plans for any demolition permit, building permit, or site development permit and shall be satisfied prior to issuance of whichever permit is issued first. (PUBLIC WORKS) 131. DEVELOPMENT IMPACT FEE: The applicant shall pay a fee proportional to the project's share for the following City Impact Fees:

Street Trees Impact Fee: $2,433.02
Storm Water Impact Fee: $1,999.95
Sanitary Sewer Impact Fee: $322,308.00
Water Impact Fee: $82,740.00
Traffic Impact Fee: $476,070.00
Public Facilities Impact Fee: $854,700.00
The estimated impact fees are based on the planning approved plans and are only approximations at the time of planning approval. The actual impact fee will be calculated based on building permit plans submitted, and the fees approved by the City Council in place at the time of the building permit submittal.

Fees shown here are for impact fees only and do not include plan check and inspection fees. Impact fees shall be collected by the Public Works Department and paid on an individual unit building permit basis. (PUBLIC WORKS)

Resolution No. 2026-XX
AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

132. CONSTRUCTION NOTICING: At least one week prior to commencement of any on or off-site work, the applicant shall post at the site, and to property owners within (300') three hundred feet of the exterior boundary of the project site a notice that construction work will commence on or around the stated date. The notice shall include a list of contact persons with name, title, phone number and area of responsibility. The person responsible for maintaining the list shall be included. The list shall be current at all times and shall consist of persons with authority to initiate corrective action in their area of responsibility. The names of individuals responsible for dust, noise and litter control shall be expressly identified in the notice. Noticing shall be in both English and Spanish. The notice shall be submitted for review to the approval of the City Engineer two weeks prior to the issuance of the building permit. (PUBLIC WORKS)
133. RECORD DRAWINGS: The applicant shall submit one full set of original record drawings and construction specifications for all off-site improvements to the Department of Public Works. All underground facilities shall be shown on the record drawings as constructed in the field. The applicant shall also provide the City with an electronic copy of the record drawings in the AutoCAD Version being used by the City at the time of completion of the work. The applicant shall also submit an AutoCAD drawing file of all consultants composite basemap linework showing all public improvements and utility layouts. This condition shall be met prior to the release of utilities, final inspection, or issuance of a certificate of occupancy, whichever occurs first. (PUBLIC WORKS)
134. PAVEMENT RESTORATION: To ensure a rehabilitated and improved road surface condition as a new subdivision development, and due to new utility cuts along the project frontage, the applicant shall complete the following along pavement restoration: Church St frontage curb to curb – Type II slurry. Cost sharing with City will apply if developer does not have trench work beyond the street centerline. Howson St curb to curb – Type II slurry. Cost sharing with City will apply if developer does not have trench work beyond the street centerline.

Church/Howson Intersection – 3 inch AC grind and pave. This item is subject to cost sharing and 50% cost reimbursement by City. (PUBLIC WORKS) 135. STORMWATER MANAGEMENT FACILITIES MAINTENANCE AGREEMENT:

The applicant shall execute a Stormwater Management Facilities Maintenance Agreement with the City Engineer as specified in Chapter 7.39.210-230 of the Stormwater Management and Discharge Control ordinance. The agreement shall outline the operation and maintenance (O&M) plan for the permanent storm water treatment facilities. The City-Standard Stormwater BMP Operation and Maintenance Agreement will be provided by Public Works Engineering. The agreement shall include the following:
a. This Agreement shall also provide that in the event that maintenance or repair is neglected, or the stormwater management facility becomes a danger to public health or safety, the city shall have the authority to

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perform maintenance and/or repair work and to recover the costs from the owner.
b. All on-site stormwater management facilities shall be operated and maintained in good condition and promptly repaired/replaced by the property owner(s) or other legal entity approved by the City. c. Any below ground structures used as part of stormwater design shall include a pre-treatment device (such as vortex or hydrodynamic separator), to ensure sediment and trash capture. Pretreatment is required for long term maintenance only of below ground structures, separate and not a part of the approved methods for stormwater compliance.
d. Any repairs or restoration/replacement and maintenance shall be in accordance with City-approved plans.
e. The property owner(s) shall develop a maintenance schedule for the life of any stormwater management facility and shall describe the maintenance to be completed, the time period for completion, and who shall perform the maintenance. This maintenance schedule shall be included with the approved Stormwater Runoff Management Plan.

This agreement shall be executed prior to the first occupancy of the building. (PUBLIC WORKS)
136. STORMWATER MANAGEMENT FACILITIES INSPECTION: The Stormwater Management Facilities Maintenance Agreement work shall require inspections be performed which shall adhere to the following:
a. To comply with the State Stormwater requirements and the NPDES permit, the applicant shall secure a QSD or QSP to maintain all erosion control and BMP measures during construction. The applicant’s QSD or QSP shall provide the City weekly inspection reports to the approval of the City Engineer.
b. Stormwater facility inspections shall be done at least twice per year, once in Fall by October 1st, in preparation for the wet season, and once in Winter by March 15th. Written records shall be kept of all inspections and shall include, at minimum, the following information:

1. Site address;

2. Date and time of inspection;

3. Name of the person conducting the inspection;

4. List of stormwater facilities inspected;

5. Condition of each stormwater facility inspected;

6. Description of any needed maintenance or repairs; and

7. As applicable, the need for site re-inspection.
c. Upon completion of each inspection, an inspection report shall be submitted to Public Works Engineering no later than October 1st for the Fall report, and no later than March 15th of the following year for the Winter report.
d. Before commencing any grading or construction activities, the applicant shall obtain a National Pollutant Discharge Elimination System (NPDES)

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permit and provide evidence of filing of a Notice of Intent (NOI) with the State Water Resources Control Board.
e. The applicant is responsible for ensuring that all contractors are aware of all storm water quality measures and implement such measures. Failure to comply with the approved construction BMPs will result in the issuance of correction notices, citations or a project stop order.
f. Sequence of construction for all stormwater facilities (bioswales, detention/ retention basins, drain rock, etc.) shall be done toward final phases of project to prevent silting of facilities and reduce the intended use of the facilities.
g. Prior to final inspection, all stormwater facilities will be tested by a certified QSP or QSD to meet the minimum design infiltration rate. All tests shall be made at on 20 ft x 20ft grid pattern over the surface of the completed stormwater facility unless otherwise approved by the City Engineer.

All soil and infiltration properties for all stormwater facilities shall be evaluated by the geotechnical engineer. Percolation tests (using Double Ring Infiltrometer Testing with appropriate safety factors) at horizontal and vertical (at the depth of the stormwater facility) shall be conducted for each stormwater facility. A 50% safety factor shall be applied to the calculated percolation test and shall be used as the basis for design (the design percolation rate). The geotechnical report shall include a section designated for stormwater design, including percolation results and design parameters. (PUBLIC WORKS)
137. REGIONAL BOARD STORMWATER REVIEW: This project may be subject to an audit by the Central Coast Regional Board. City may be required to provide the project stormwater design and storm water management plan for Regional Board review and comment. Prior to building permit issuance, the project shall receive approval or acknowledgment by the Regional Board. The project may need to provide the Regional Board any and all necessary documents (including reports, technical data, plans, etc.) for the Regional Board approval. (PUBLIC WORKS)
The following conditions shall be complied with AT ALL TIMES DURING THE CONSTRUCTION PHASE OF THE PROJECT, or if another deadline is specified in a condition, at that time.
138. PUBLIC IMPROVEMENTS - All required public improvements must be constructed and accepted by the City prior to issuance of the first and any subsequent certificate of occupancy, unless approved by City Engineer/Public Works Director. (PUBLIC WORKS)
139. PUBLIC WORKS CONSTRUCTION ACTIVITIES: The City shall be notified at least fifteen (15) working days prior to the start of any construction work, and at that time the contractor shall provide a project construction and phasing schedule, and a 24-hour emergency telephone number list. The initial schedule shall be in Microsoft Project, or an approved equal, and shall identify all detail construction

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tasks for full project completion, including the critical path. After the initial critical path schedule, Developer shall be update and submit weekly a 5 week lookahead schedule. The approved construction and phasing schedule shall be shared with Gilroy Unified School District (GUSD) to avoid traffic impacts to surrounding school functions. An approved construction information handout(s) shall also be provided to GUSD to share with school parents. (PUBLIC WORKS) a. All work shown on the improvement plans shall be inspected to the approval of the City Engineer as applicable. Uninspected work shall be removed as deemed appropriate by the City Engineer.
b. Construction activities related to the issuance of any Public Works permit shall be restricted to the weekday between 7:00 a.m. and 7:00 p.m., Saturday work is not allowed under any circumstances.

Developer can request Saturday work only on specific circumstances and only if approved by the City Engineer. No work shall be done on Sundays and on City Holidays. Please note that no work shall be allowed to take place within the City right-of-way after 5:00 p.m.

Monday through Friday. In addition, no work being done under the issuance of a Public Works encroachment permit may be performed on the weekend unless prior approvals have been granted by Public Works. The City Engineer may apply additional construction period restrictions, as necessary, to accommodate standard commute traffic along arterial roadways and along school commute routes. Signs outlining the project construction times shall be posted at conspicuous locations on site where it is visible to the public. The signs shall be per the City Standard Drawing for posting construction hours. The sign shall be kept free of graffiti at all times. Contact the Public Works Department to obtain sample City Standard sign outlining hours of operation.
c. The allowed hours of Public Works construction activities may be waived or modified through an exemption, for limited periods, if the City Engineer finds that the following criteria are met:
i. Permitting extended hours of construction will decrease the total time needed to complete the project thus mitigating the total amount of noise associated with the project as a whole; or,
ii. Permitting extended hours of construction are required to accommodate design or engineering requirements, such as a large concrete pour. Such a need would be determined by the project's design engineer and require approval of the City Engineer.

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iii. An emergency situation exists where the construction work is necessary to correct an unsafe or dangerous condition
resulting in obvious and eminent peril to public health and safety. If such a condition exists, the City may waive any of the remaining requirements outlined below.
iv. The exemption will not conflict with any other condition of approval required by the City to mitigate significant impacts. v. The contractor or owner of the property will notify residential and commercial occupants of property adjacent to the
construction site of the hours of construction activity which may impact the area. This notification must be provided three days prior to the start of the extended construction activity. vi. The approved hours of construction activity will be posted at the construction site in a place and manner that can be easily viewed by any interested member of the public.
vii. The City Engineer may revoke the exemption at any time if the contractor or owner of the property fails to abide by the conditions of exemption or if it is determined that the peace, comfort and tranquility of the occupants of adjacent residential or commercial properties are impaired because of the location and nature of the construction. The waiver application must be submitted to the Public Works Construction Inspector ten (10) working days prior to the requested date of waiver. d. The following provision to control traffic congestion, noise, and dust shall be followed during site excavation, grading and construction:
i. All construction vehicles should be properly maintained and equipped with exhaust mufflers that meet State standards. ii. Blowing dust shall be reduced by timing construction activities so that paving and building construction begin as soon as possible after completion of grading, and by landscaping disturbed soils as soon as possible.
iii. Further, water trucks shall be present and in use at the construction site. All portions of the site subject to blowing dust shall be watered as often as deemed necessary by the City, or a minimum of three times daily, or apply (non-toxic) soil stabilizers on all unpaved access roads, parking areas, and staging areas at construction sites in order to insure proper control of blowing dust for the duration of the project.

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City Council Regular Meeting | May 4, 2026

iv. Watering on public streets, and wash down of dirt and debris into storm drain systems will not be allowed. Streets will be cleaned by street sweepers or by hand as often as deemed necessary by the Construction Inspector, or at least once a day. Watering associated with on-site construction activity shall take place between the hours of 8 a.m. and 5 p.m. and shall include at least one late-afternoon watering to minimize the effects of blowing dust. Recycled water shall be used for construction watering to manage dust control where possible, as determined by the City Engineer. Recycled water shall be billed at the municipal industrial rate based on the current Santa Clara Valley Water District’s municipal industrial rate. Where recycled water is not available potable water shall be used. All potable construction water from fire hydrants shall be metered and billed at the current portable fire hydrant meter rate.
v. All public streets soiled or littered due to this construction activity shall be cleaned and swept on a daily basis during the workweek to the satisfaction of the Construction Inspector.
vi. Construction grading activity shall be discontinued in wind conditions that in the opinion of the Public Works Construction Inspector cause excessive neighborhood dust problems.
vii. Site dirt shall not be tracked into the public right-of-way, and shall be cleaned immediately if done, or the project may risk being shut down. Mud, silt, concrete and other construction debris shall not be washed into the City’s storm drains. viii. Construction activities shall be scheduled so that paving and foundation placement begin immediately upon completion of grading operation.
ix. All aggregate materials transported to and from the site shall be covered in accordance with Section 23114 of the California Vehicle Code during transit to and from the site.
x. Prior to issuance of any permit, the applicant shall submit any applicable pedestrian or traffic detour plans, to the satisfaction of the City Engineer, for any lane or sidewalk closures. The traffic control plan shall be prepared by a licensed professional engineer with experience in preparing such plans. The Traffic Control Plan shall be prepared by a licensed engineer in accordance with the requirements of the latest edition of the California Manual on Uniform Traffic Control Devices (MUTCD)

Resolution No. 2026-XX
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and standard construction practices. The Traffic Control Plan shall be approved prior to the commencement of any work within the public right-of-way.
xi. During construction, the applicant shall make accessible any or all City utilities as directed by the City Engineer.
xii. The minimum soils sampling and testing frequency shall conform to Chapter 8 of the Caltrans Construction Manual. The applicant shall require the soils engineer submit to daily testing and sampling reports to the City Engineer.
140. JOB SITE SIGNAGE: Prior to construction, A 36 inch by 48 inch weatherproof sign shall be located so it is clearly readable from the public right-of-way and shall include the following information:
a. Address of the project site.
b. Permitted hours of construction and of deliveries/off-haul. c. Name, e-mail address and direct phone number of the General Contractor. d. Name, e-mail address and direct phone number of responsible person managing the project.
e. Name and phone number of person to call in case of an emergency. f. Code Enforcement complaint telephone number (408-846-0264). 141. TREE ARBORIST MEASURES: The project shall comply with requirements in the project Arborist Report. (PUBLIC WORKS)
142. PROJECT CLOSE-OUT: Prior to City acceptance of all tract subdivision and property improvement agreements, the applicant shall comply with all City construction close-out procedures to the approval of the City Engineer. Refer to the City’s website for a copy of these procedure. Prior to final inspections, all pertinent conditions of approval and all improvements shall be completed to the satisfaction of the Planning Director and City Engineer. A letter indicating that all project conditions have been met shall be submitted prior to the first occupancy.

All public improvements, including the complete installation of all improvements relative to streets, fencing, sanitary sewer, storm drainage, water system, underground utilities, etc., shall be completed and attested to by the City Engineer before approval of occupancy of any unit. Where facilities of other agencies are involved, such installation shall be verified as having been completed and accepted by those agencies. In addition, the applicant shall submit a detailed project cost estimate of all public improvements constructed onsite and within the public right-of-way. The cost estimate shall be prepared by the project engineer, and be to the approval of the City Engineer. The cost estimate shall be broken out into on-site and off-site improvements based on the format provided by the City.

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Until such time as all improvements required are fully completed and accepted by City, the applicant shall be responsible for the care maintenance of and any damage to such improvements. City shall not, nor shall any officer or employee thereof, be liable or responsible for any accident, loss or damage, regardless of cause, happening or occurring to the work or Improvements required for this project prior to the completion and acceptance of the work or Improvements. All such risks shall be the responsibility of, and are hereby assumed by the applicant. (PUBLIC WORKS)
143. MATERIAL HAULING ROUTE AND PERMIT: For material delivery vehicles equal to, or larger than two-axle, six-tire single unit truck (SU) size or larger as defined by FHWA Standards, the applicant shall submit a truck hauling route and receive a haul permit that conforms to City of Gilroy Standards to the approval of the City Engineer. Note that the City requires a Haul Permit be issued for any hauling activities. The project sponsor shall require contractors to prohibit trucks from using “compression release engine brakes” on residential streets. The haul route for this project shall be Hwy 101, to Leavesley Road, to Montetrey to Howson and return the same way to the highway. A letter from the applicant confirming the intention to use this hauling route shall be submitted to the Department of Public Works, and approved, prior to the issuance of any City permits. All material hauling activities including but not limited to, adherence to the approved route, hours of operation, staging of materials, dust control and street maintenance shall be the responsibility of the applicant. All storage and office trailers will be kept off the public right-of-way. Tracking of dirt onto City streets and walks will not be allowed. The applicant must provide an approved method of cleaning tires and trimming loads on-site. Any job-related dirt and/or debris that impacts the public right-of-way shall be removed immediately. No wash down of dirt into storm drains will be allowed. All material hauling activities shall be done in accordance with applicable City ordinances and conditions of approval. Mud, silt, concrete and other construction debris shall not be washed into the City’s storm drains. Violation of such may be cause for suspension of work. (PUBLIC WORKS)
144. CONSTRUCTION WORKER PARKING: The applicant shall provide a construction-parking plan that minimizes the effect of construction worker parking in the neighborhood and shall include an estimate of the number of workers that will be present on the site during the various phases of construction and indicate where sufficient off-street parking will be utilized and identify any locations for offsite material deliveries. Said plan shall be approved by the City Engineer prior to issuance of City permits and shall be complied with at all times during construction. Failure to enforce the parking plan may result in suspension of the City permits. No vehicle having a manufacturer's rated gross vehicle weight exceeding ten thousand (10,000) pounds shall be allowed to park on the portion of a street which abuts property in a residential zone without prior approval from the City Engineer (§15.40.070). (PUBLIC WORKS)

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AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

145. SITE WATER DISCHARGE: In accordance with the City’s Municipal Code, Prohibition of Illegal Discharges (Gilroy Municipal Code Section 27C.7), the City Engineer may approve the discharge of uncontaminated pumped ground waters to the sanitary sewer only when such source is deemed unacceptable by State and Federal authorities for discharge to surface waters of the United States, whether pretreated or untreated, and for which no reasonable alternative method of disposal is available. Following the verification of the applicable local, state and/or federal approvals, a Discharge Plan will be approved and monitored by the City Engineer. (PUBLIC WORKS)
The following conditions shall be complied with AT ALL TIMES that the use permitted by this entitlement occupies the premises
146. POST CONSTRUCTION BEST MANAGEMENT PRACTICES (BMP): In accordance with Gilroy Municipal Code Chapter 27D Post Construction Storm Water Pollution Prevention all projects that meet the criteria described in the Storm Water Guidance Manual for Low Impact Development and PostConstruction Requirements shall prepare a storm water control plan (SWCP) and shall meet the requirements of the design standards and selection of best management practices and shall be selected and designed to the satisfaction of the City Engineer or designee. Requirements shall include:
a. Owner/occupant shall inspect private storm drain facilities at least two (2) times per year and sweep parking lots immediately prior to and once during the storm season.
b. The applicant shall be charged the cost of abatement for issues associated with, but not limited to, inspection of the private storm drain facilities, emergency maintenance needed to protect public health or watercourses, and facility replacement or repair in the event that the treatment facility is no longer able to meet performance standards or has deteriorated. Any abatement activity performed on the applicant’s property by City staff will be charged to the applicant at the City’s adopted hourly rate. c. Label new and redeveloped storm drain inlets with the phrase “No Dumping: Drains to Bay” plaques to alert the public to the destination of storm water and to prevent direct discharge of pollutants into the storm drain. Template ordering information is available at www.flowstobay.org. d. All process equipment, oils fuels, solvents, coolants, fertilizers, pesticides, and similar chemical products, as well as petroleum based wastes, tallow, and grease planned for storage outdoors shall be stored in covered containers at all times.
e. All public outdoor spaces and trails shall include installation and upkeep of dog waste stations.

Garbage and recycling receptacles and bins shall be designed and maintained with permanent covers to prevent exposure of trash to rain. Trash enclosure drains shall be connected to the sanitary sewer system. (PUBLIC WORKS)

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AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

Planning Commission Conditions
147. The applicant shall replace the proposed Chinese Pistache with a different street tree from the approved street tree list or as approved by the Community Development Director and/or City Engineer. The replacement tree shall be shown on all landscape plans submitted to the Building Division and Public Works Department.

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AS 24-07 95 Howson Street
City Council Regular Meeting | May 4, 2026

CERTIFICATE OF THE CLERK
I, KIM MANCERA , City Clerk of the City of Gilroy, do hereby certify that the attached Resolution No. 2026-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 4, 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.
____________________________________
Kim
City Clerk of the City of Gilroy
(Seal)

9.1. City of Gilroy

STAFF REPORT
Agenda Item Title: Adopt a Resolution of the City Council of the City of Gilroy Calling a General Municipal Election and Adopt a Resolution Submitting a Measure Increasing the Rate of the City of Gilroy's Transient Occupancy Tax (TOT)
Meeting Date: May 4, 2026
From: Matt Morley, City Administrator
Department: Administration
Submitted by: Kim Mancera, City Clerk
Harjot Sangha, Finance Director
Prepared by: Kim Mancera, City Clerk, Harjot Sangha, Finance Director STRATEGIC PLAN GOALS:

RECOMMENDATION

1. Adopt Resolution A calling a General Municipal Election for Municipal Officers, requesting the Santa Clara County Board of Supervisors authorize consolidation with the Statewide General Election to be held on November 3, 2026, pursuant to California Elections Code Section 10403, and requesting the services of the Registrar of Voters; and

2. Concur with setting the initial Transient Occupancy Tax rate at eleven percent (11%).

3. Adopt Resolution B placing a measure on the ballot increasing the rate of the City's Transient Occupancy (Hotel) Tax from nine percent (9%) to a not-toexceed maximum rate of thirteen percent (13%).

EXECUTIVE SUMMARY
The report outlines the required actions and timelines for the November 3, 2026, Gilroy General Municipal Election, including both City Council district elections and a

9.1. proposed Transient Occupancy Tax (TOT) ballot measure. Three Council seats (Districts 4, 5, and 6) will be up for election, with key administrative milestones such as resolution submittals to the County, nomination periods, and candidate filing requirements clearly defined. Concurrently, the City Council has directed staff to pursue a general-purpose TOT measure structured as a not-to-exceed rate of thirteen percent (13%), subject to future Council adjustments. Council is requested to concur with setting the initial increase from nine percent (9%) to eleven percent (11%). The measure requires adoption of a resolution by a two-thirds vote, preparation of ballot language, and coordination of required election materials, including impartial analysis and arguments. The proposal emphasizes maintaining local control of revenues, funding critical City services, and incorporating accountability measures such as annual independent audits, while adhering to legal constraints on City involvement during the campaign period.

ANALYSIS
General Municipal Election – City Council District Seats 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 3, 2026. Three (3) City Council seats will be up for election this November, which are currently held by Council Members Dion Bracco, Tom Cline, and Carol Marques. The City Council transitioned to a district-based election in 2025. The City Council districts that are up for election in 2026 are Districts 4, 5, and 6, which are for four (4)-year terms that will run through 2030.

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 (resolution A) by July 1, 2026. The nomination period for the November 3, 2026 election opens at 8:30 a.m. Monday, July 13, 2026, and closes at 5:00 p.m. Friday, August 7, 2026.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

9.1. the voters’ information pamphlet. Each candidate is responsible for paying half of the cost of this statement ($1,600) at the time of filing.

General Municipal Election – Transient Occupancy Tax Ballot Measure The City Council is also submitting a ballot measure for the November 2026 election.

As part of the Fiscal Year 2025-26 (FY26) and 2026-27 (FY27) biennial budget development and Council strategic planning sessions, Council expressed a desire to review the City’s existing TOT rate and ordinance, particularly because Gilroy has one of the lowest TOT rates in the County.

On February 9, 2026, the Council directed staff to pursue a general-purpose TOT rate ballot measure and to pursue a not-to-exceed tax rate structure with a not-to-exceed tax rate of thirteen percent (13%).

To propose an increase of the TOT, the Council will need to adopt the resolution (resolution B) recommending that an ordinance be put to the voters at the November 3, 2026, General Election. The Council must adopt the resolution by a 2/3rd vote per Government Code section 53724(b).

The resolution calls for a general election to put forward the ballot measure, directs the city attorney to prepare an impartial analysis, establishes deadlines to receive arguments for and against, along with rebuttal arguments, and otherwise directs staff to prepare any other appropriate documents.

The ordinance, included as Exhibit A to the resolution (resolution B) amends Section 25A.2 of Chapter 25A of the Gilroy City Code – Transient Occupancy Tax – to increase the maximum transient occupancy tax rate from the current nine percent (9%) to a notto-exceed tax rate of thirteen percent (13%). Further, it sets the initial TOT increase by two percent (2%) (from the current nine percent 9% to eleven 11%) and reserves the right for the City Council to further adjust the tax rate by adoption of a resolution as fiscal conditions warrant, provided that the rate does not exceed thirteen percent (13%).

Staff requests that the City Council either concur with this initial increase recommendation or determine the desired initial rate.

Ballot Measure Language
At the February 9, 2026, meeting, staff presented two examples of ballot language, one from the City of Menlo Park (set rate increase structure) and another from the City of Del Rey Oaks (not-to-exceed rate structure), which were successful in the November 2024 elections.

Council provided feedback on the ballot question to align with Menlo Park, noting that it references that the funding will remain local and cannot be taken by the State. Staff

9.1. has crafted the ballot question below, which follows Menlo Park’s ballot language, with input from legal, includes clarity modifications, reflects the Council-directed rate structure, and adds an annual independent audit element. The question below is compliant with the election code requirements: Must be clear and impartial, cannot exceed 75 words, and must state what the tax does, who pays it, estimated annual revenue, use of funds, and duration (sunset clause).
“To maintain critical City services such as street/pothole repair, park and recreation programs, emergency preparedness for storms, flooding and wildfires, and police and fire response shall the City of Gilroy measure raising the Transient Occupancy Tax (hotel tax) rate from 9% to a maximum of 13%, set by Council resolution, providing $700,000 annually paid only by hotel/lodging guests, with annual independent audits, that cannot be taken by Sacramento, until ended by voters, be adopted?
The revenue estimate is based on the FY2024-25 actual TOT revenue. Based on the rate set by the Council, market activity, and the actual amount, will vary.

The County requires submission of this resolution to the Board of Supervisors and Elections Department (resolution B) by August 7, 2026, for inclusion on the ballot. Thus, it is recommended that the Council formally adopt the resolution.

Submission of Ballot Arguments and Rebuttal
As part of the California Elections Code, Section 9282, the City Council may authorize any member(s) of the City Council to submit an argument in favor of the City’s ballot measure for inclusion in the Voters' Sample Ballot. The argument would be capped at 300 words in length. Arguments for or against the measure must be submitted to the Santa Clara County Registrar of Voters (ROV) by Tuesday, August 11, 2026.

Arguments may not be signed by more than five (5) persons.

As part of the California Elections Code, Section 9285, the City Council may authorize any member(s) of the City Council to submit a rebuttal argument in favor of the City measure for inclusion in the Voters' Sample Ballot. Any arguments filed against the measure would be transmitted to the City, and the authorized Council or member(s) of Council for rebutting the argument shall have up to 250 words in rebuttal that would be published. Rebuttal due by Tuesday, August 18, 2026.

Authorization for the submission of ballot arguments and rebuttal is included in the attached resolution.

Preparation of an Impartial Analysis
As part of the California Elections Code, Section 9280, the City Council may direct the City Clerk to transmit a copy of the measure to the City Attorney for the purposes of preparing an impartial analysis. The impartial analysis of the measure would discuss its

9.1. effect and operation. Any such impartial analysis must include a statement indicating that the measure was placed on the ballot by the City's governing body, since it would be initiated by the City. The Impartial Analysis of the measure may not exceed 500 words in length, and must be transmitted to the ROV by Tuesday, August 18, 2026.

This authorization is recommended and is included in the attached resolution.

Roles and Limitations During Ballot Measure Campaign Period The City can provide educational materials to the public to inform them about the Measure. However, the City must refrain from spending any staff time, money, or effort to advocate for the passage of the ballot measure. Council members and staff can work on the campaign on their own time and at their own expense, provided it is clear that they are doing so on their own time rather than with City resources.

ALTERNATIVES
For the TOT Ballot Measure Resolution, the City Council could amend the ballot language and/or determine to set the initial rate at the current rate (no change) or at another rate, provided it does not exceed thirteen percent (13%).

FISCAL IMPACT/FUNDING SOURCE
Based on updated cost estimates from the County’s Registrar of Voters (ROV) office, the estimated cost for one measure and district-based City Council seats is $214,000.

Currently, $300,000 is appropriated in the City Clerk’s budget for election costs and funded by the General Fund (100).

Council is separately considering placing a second ballot measure, a dedicated public safety special transaction and use tax, at the November 2026 elections. The additional cost for the second ballot measure is estimated at $86,000.

Revenue from the TOT ballot measure, should it pass:
• An initial rate of 11% would generate $300,000 million (rounded to nearest hundredth thousand) in additional TOT revenue; and
• At the maximum not-to-exceed rate of 13%, would generate approximately $700,000 million in additional TOT revenue.

PUBLIC OUTREACH
Following the Council’s adoption of this resolution calling the election for the purpose of electing three (3) Council Members in Council Districts 4, 5, and 6, the City Clerk’s Office will publish a notice of the election in the newspaper, pursuant to Section 6061 of the Government Code.

9.1. As with previous practice, staff will also dedicate a web page on the City website to the 2026 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.

NEXT STEPS
City Clerk will submit the resolutions to the County Registrar of Voters and publish the required notice for calling the election. Additional steps, including the City Attorney’s impartial analysis and the City’s arguments for the ballot measure, would then be undertaken after Council approval.

Attachments:

1. Resolution A – Calling the General Municipal Election

2. Resolution B – TOT Ballot Measure

RESOLUTION 2026-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 MUNICIPAL ELECTION TO BE HELD
NOVEMBER 3, 2026 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 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 3, 2026, for the purposes of electing a Member of the City Council from District “ 4”, a Member of the City Council from District “5”, and a Member of the City Council from District “6”, each for four (4) year full terms.

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 3, 2026, 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 themselves. 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.

Resolution No. 2026-XX
Resolution Calling for the November 3, 2026 General Municipal Election City Council Regular Meeting | April 20, 2026

Section 4. The candidate shall be required to pay for one-half of the cost of printing, handling, and mailing said candidate's statement, and are to be paid at the time of submittal of said candidate's statement.

Section 5. No candidate will be permitted to include additional materials in the sample ballot package, and the City Clerk or their 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, the Council shall proceed to determine the election of such candidates by lot.

Section 7. 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 statewide election to be held on Tuesday, November 3, 2026, 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 3, 2026, 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.

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 by the City Council of the City of Gilroy at a regular meeting duly held on the 4th day of May 2026 by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED:

Greg Bozzo, Mayor
ATTEST:
_______________________
Kim Mancera, City Clerk

Resolution No. 2026-XX
Resolution Calling the November 3, 2026 General Municipal Election City Council Regular Meeting | April 20, 2026

CERTIFICATE OF THE CLERK
I, KIM MANCERA, City Clerk of the City of Gilroy, do hereby certify that the attached Resolution No. 2026-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 Council held Monday, May 4, 2026 with a quorum present.

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this XX.
____________________________________
Kim Mancera
City Clerk of the City of Gilroy

RESOLUTION 2026-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF GILROY, SUBMITTING TO THE QUALIFIED VOTERS

OF THE CITY OF GILROY, A MEASURE INCREASING

THE RATE OF THE CITY'S TRANSIENT OCCUPANCY
(HOTEL) TAX FROM 9% TO A NOT TO EXCEED
MAXIMUM RATE OF 13% AND REQUESTING THE

COUNTY OF SANTA CLARA TO CONSOLIDATE SAID

ELECTION WITH THE STATEWIDE GENERAL
ELECTION TO BE HELD ON NOVEMBER 3, 2026
WHEREAS, a General Municipal Election on Tuesday, November 3, 2026, has been called for by Resolution No. 2026-xx, adopted on Monday, May 4, 2026; and WHEREAS, the City of Gilroy currently imposes a Transient Occupancy Tax (“TOT”) on the privilege of occupying a room or other lodging in a hotel, motel, or shortterm rental for 30 days or less; and WHEREAS, Chapter 25A of the Gilroy City Code establishes the City’s TOT paid by hotel, motel, and short-term rental guests staying in Gilroy for thirty days or less; and the current TOT rate is 9%; and
WHEREAS, Revenue and Taxation Code Section 7280 authorizes the City to levy a tax on the privilege of occupying a room or rooms, or other living space, in a hotel, inn, tourist home or house, motel, or other lodging for a period of thirty (30) consecutive calendar days or less; and
WHEREAS, the TOT is a general tax, the proceeds of which shall be deposited into the City’s General Fund and may be used for any lawful municipal purpose, including but not limited to public safety, infrastructure maintenance, parks and recreation, community services, and general government operations; and WHEREAS, Article XIII C, Section 2(b) of the California Constitution, as added by Proposition 218 in 1996, requires that any general tax must be submitted to the electorate and approved by a majority vote of the qualified voters of the city voting in an election on the issue; and
WHEREAS, Article XIII C, Section 2(b) of the California Constitution further requires that an election for the approval of a general tax must be consolidated with a regularly scheduled general election for members of the governing body of the local government; and
WHEREAS, pursuant to California Elections Code Section 9222, the City Council may, without receipt of a petition, submit a proposition to the voters at any established election date; and
WHEREAS, the adoption of this measure is not a “project” subject to the requirements of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15378(b)(4) because it is the creation of a government funding mechanism that does not involve any commitment to a specific project that may result in a potentially significant physical impact on the environment; and

Resolution No. 2026-XX
Resolution Transient Occupancy Tax Ballot Measure
City Council Regular Meeting | May 4, 2026

WHEREAS, the City Council of Gilroy desires to submit to the voters a proposed increase in the rate of the TOT from nine percent (9%) to a not-to-exceed maximum rate of thirteen percent (13%) and place a measure on the ballot for the next General Municipal Election on November 3, 2026.

WHEREAS, by establishing a maximum rate of thirteen percent (13%), the City Council may, by resolution, set the actual rate at any amount at or below the voter-approved ceiling without requiring further voter approval, thereby providing the City with the flexibility to adjust the rate as fiscal conditions warrant; and

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 3, 2026, to vote on a ballot measure to increase the rate of the TOT from nine percent (9%) to a not-to-exceed maximum rate of thirteen percent (13%).

Section 2. The ballot measure will be placed on the ballot for Tuesday, November 3, 2026, General Municipal Election, which shall be substantially in the following form:

Transient Occupancy Tax Rate
YES
To maintain critical City services such as
street/pothole repair, park and recreation programs,
emergency preparedness for storms, flooding and
wildfires, and police and fire response shall the City
of Gilroy measure raising the Transient Occupancy
Tax (hotel tax) rate from 9% to a maximum of 13%,
set by Council resolution, providing $700,000
annually paid only by hotel/lodging guests, with
annual independent audits, that cannot be taken by
Sacramento, until ended by voters, be adopted?
NO
Section 3. The vote requirement for the measure to pass is a majority vote of the qualified voters of the city voting in an election on the issue pursuant to Article XIII C, Section 2(b) of the California Constitution.

Section 4. The City Council hereby requests the Board of Supervisors of the County of Santa Clara, California, to permit the Registrar of Voters of Santa Clara County to render to the City of Gilroy such services as the City Clerk of the City of Gilroy may request relating to the conduct of the above-described General Municipal Election with respect to the following matters:

Coordination of election precincts, polling places, voting booths, voting systems, and election officers; printing and mailing of voter pamphlets; preparation of the tabulation of the results of votes cast, and all other services necessary to conduct an election.

Resolution No. 2026-XX
Resolution Transient Occupancy Tax Ballot Measure
City Council Regular Meeting | May 4, 2026

Section 5. The City Council hereby requests, consents to, and orders that the Registrar of Voters of the County of Santa Clara consolidate the General Municipal Election called and ordered to be held on November 3, 2026, with any other election that may be held on that date.

Section 6. The City Council hereby authorizes the Board of Supervisors of Santa Clara County, California, to canvass the returns of the General Municipal Election.

Section 7. The City Council hereby directs the City Clerk to reimburse the County of Santa Clara in full for any of the above-mentioned services which may be performed by the Registrar of Voters, upon presentation of a bill to the City, with funds already appropriated to the City Clerk for election purposes.

Section 8. The City Council hereby directs the City Clerk to take all actions necessary to facilitate the General Municipal Election in the time frame specified herein and comply with provisions of the Elections Code of the State of California, City Charter, Ordinances, Resolutions, and Policies regarding the conduct of the General Municipal Election.

Section 9. Pursuant to Section 12111 of the California Elections Code, the City Council hereby directs the City Clerk to:
(a) cause a synopsis of the proposed measure to be published at least one time not later than one week before the election in the Gilroy Dispatch, a newspaper of general circulation within the City of Gilroy;
(b) consolidate the Notice of Measure to be Voted with the Notice of Election into a single notice;
(c) cause copies of the full text of the proposed measure set forth in the attached Exhibit A to be printed in the Voter Information Portion of the Sample Ballot; (d) cause copies of the Sample Ballot to be mailed to each of the qualified electors of the City of Gilroy; and
(e) do all other things required by law to submit the specified measure above to the electors of the City of Gilroy at the General Municipal Election, including causing the full text of the proposed measure to be made available in the Office of the City Clerk at no cost and posted on the City Clerk's website.

Section 10. Pursuant to Sections 9282 and 9285 of the California Elections Code, the City Council hereby approves the submittal of direct arguments for and against the ballot measure, with a maximum of 300 words in length, if any, and authorizes the City Council or any member or members of the Council to author and submit a ballot measure argument in favor of the ballot measure, and approves the submittal of rebuttal arguments in response to arguments for and against the ballot measure, with a maximum of 250 words in length, and authorizes the City Council or any member or members of the City

Resolution No. 2026-XX
Resolution Transient Occupancy Tax Ballot Measure
City Council Regular Meeting | May 4, 2026

Council to author and submit a rebuttal, if any., to the Santa Clara County Registrar of Voters (ROV) by Tuesday, August 11, 2026.

Section 11. The City Council hereby directs the City Clerk to transmit a copy of the measure qualifying for placement on the ballot with a maximum of 500 words in length to the City Attorney for preparation of an impartial analysis.and transmit to the Santa Clara County Registrar of Voters by Tuesday, August 18, 2026.

Section 12. The City Council hereby acknowledges that the consolidated election will be held and conducted in the manner prescribed in California Elections Code Section 10418.

Section 13. The City Council hereby directs the City Clerk to file certified copies of this resolution with the Board of Supervisors and the Registrar of Voters of the County of Santa Clara not later than eighty-eight (88) days prior to November 3, 2026, as required by California Elections Code Section 10403.

Section 14. The City Council hereby finds and determines that this measure is not a “project” as defined under Section 15378(b)(4) of the California Environmental Quality Act (“CEQA”) Guidelines because it is a government funding mechanism or other fiscal activity that does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. Therefore, pursuant to Section 15060(c)(3) of the CEQA Guidelines, CEQA does not apply.

Section 15. If any section, subsection, sentence, clause, phrase, or portion of the ordinance submitted to the voters by this resolution is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions thereof.

Section 16. If approved by a majority of the voters, the ordinance submitted to the voters by this resolution shall be considered as adopted upon the date that the vote is declared by the City Council and shall go into effect ten (10) days after that date pursuant to Elections Code Section 9217. However, the levying and collection of the transient occupancy tax at the rate established pursuant to this ordinance shall commence effective January 1, 2027, or as soon thereafter as this ordinance shall go into effect.

Section 13. This resolution shall take effect immediately upon adoption. .

PASSED AND ADOPTED by the City Council of the City of Gilroy at a regular meeting duly held on the 4th day of May 2026 by the following roll call vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

Resolution No. 2026-XX
Resolution Transient Occupancy Tax Ballot Measure
City Council Regular Meeting | May 4, 2026

APPROVED:

Greg Bozzo, Mayor
ATTEST:
_______________________
Kim Mancera, City Clerk

CERTIFICATE OF THE CLERK
I, KIM MANCERA, City Clerk of the City of Gilroy, do hereby certify that the attached Resolution No. 2026-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 Council held Monday, May 4, 2026, with a quorum present.

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this XX.
____________________________________
Kim Mancera
City Clerk of the City of Gilroy

Resolution No. 2026-XX
Resolution Transient Occupancy Tax Ballot Measure
City Council Regular Meeting | May 4, 2026

EXHIBIT A
ORDINANCE NO. 2026-__

AN ORDINANCE OF THE PEOPLE OF THE CITY OF GILROY
AMENDING SECTION 25A.2 OF CHAPTER 25A OF THE

GILROY CITY CODE (TRANSIENT OCCUPANCY TAX)

TO INCREASE THE MAXIMUM TRANSIENT OCCUPANCY
TAX RATE FROM NINE PERCENT (9%) TO AN AMOUNT
NOT TO EXCEED THIRTEEN PERCENT (13%)
WHEREAS, Chapter 25A of the Gilroy City Code establishes the City's Transient Occupancy Tax ("TOT"), which requires that each "transient" who occupies a "hotel," as those terms are defined in Section 25A.1 of the Gilroy City Code, must pay a TOT at the rate of nine percent (9%) of the rent charged by the operator for the privilege of occupying the hotel; and
WHEREAS, Revenue and Taxation Code Section 7280 authorizes the City to levy a tax on the privilege of occupying a room or rooms, or other living space, in a hotel, inn, tourist home or house, motel, or other lodging for a period of thirty (30) consecutive calendar days or less; and
WHEREAS, the TOT has not been adjusted since 1983, when the rate was set at nine percent (9%) by Ordinance No. 83-14; and
WHEREAS, the proposed TOT increase would apply only to guests who stay in local hotels, motels, and other short-term lodging establishments for a period of thirty (30) consecutive calendar days or less; and
WHEREAS, the TOT is a general tax, the proceeds of which are deposited into the City's General Fund and may be used for any lawful municipal purpose, including but not limited to public safety, infrastructure maintenance, parks and recreation, community services, and general government operations; and
WHEREAS, additional General Fund revenue will help the City of Gilroy maintain and enhance essential city services for the benefit of its residents and visitors; and WHEREAS, Article XIII C, Section 2(b) of the California Constitution, as added by Proposition 218 in 1996, requires that any general tax must be submitted to the electorate and approved by a majority vote of the qualified voters of the city voting in an election on the issue; and

WHEREAS, Article XIII C, Section 2(b) of the California Constitution requires that an election for the approval of a general tax must be consolidated with a regularly scheduled general election for members of the governing body of the local government; and
WHEREAS, November 3, 2026 is the date of the next statewide general election at which members of the Gilroy City Council will be elected, and this ordinance is being submitted to the voters at that election; and
WHEREAS, the City Council may, by resolution, set the actual tax rate at any amount at or below the voter-approved ceiling of thirteen percent (13%) without requiring further voter approval, thereby providing the City with the flexibility to adjust the rate as fiscal conditions warrant, provided the rate does not exceed thirteen percent (13%); and WHEREAS, the adoption of this ordinance is not a "project" subject to the requirements of the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines Section 15378(b)(4) because it is the creation of a government funding mechanism that does not involve any commitment to a specific project that may result in a potentially significant physical impact on the environment.

NOW, THEREFORE, THE PEOPLE OF THE CITY OF GILROY DO ORDAIN AS FOLLOWS:

Section 1. Amendment of Section 25A.2.

Section 25A.2 ("Tax imposed") of Chapter 25A ("Transient Occupancy Tax") of the Gilroy City Code is hereby amended to read in its entirety as follows:
"25A.2 Tax imposed.
a) For the privilege of occupancy in any hotel, each transient is subject to and shall pay a tax as imposed from time to time by the City Council. Said tax shall be a percentage of the rent charged by the operator for the occupancy.
b) On and as of January 1, 2027, and continuing thereafter until further change by City Council resolution, the amount of the tax imposed (the tax rate) is eleven percent (11%) of the rent charged by an operator. Any further changes to the tax rate may be made by City Council resolution, provided that the rate shall not exceed thirteen

percent (13%). Any such change to the tax rate shall take effect no sooner than sixty (60) days following the adoption of the resolution by the Council. If at any time no Council resolution setting a different tax rate is in effect, then the tax rate shall be eleven percent (11%). c) Said tax constitutes a debt owed by the transient to the city, which is extinguished only by payment to the operator or to the city. The transient shall pay the tax to the hotel operator at the time the rent is paid. If the rent is paid in installments, a proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon the transient's ceasing to occupy space in the hotel. If for any reason the tax due is not paid to the operator of the hotel, the director of finance may require such tax to be paid directly to the director of finance."
Section 2. Remaining Provisions Unchanged.

Except as specifically amended by this ordinance, all other provisions of Chapter 25A of the Gilroy City Code shall remain in full force and effect. All references in other provisions of the Gilroy City Code to Chapter 25A or to the transient occupancy tax shall continue to apply to Chapter 25A as amended by this ordinance.

Section 3. Audits and Accountability.

All proceeds resulting from the transient occupancy tax, as amended by this ordinance, shall be deposited into the City's General Fund and shall become subject to the same independent audit requirements as other General Fund revenues. An annual report detailing TOT revenues collected shall be made available for public review.

Section 4. California Environmental Quality Act.

The City Council finds and determines that this ordinance is not a "project" as defined under Section 15378(b)(4) of the California Environmental Quality Act ("CEQA") Guidelines because it is a government funding mechanism or other fiscal activity that does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the actions proposed herein are not subject to CEQA.

Section 5. Severability.

If any section, subsection, sentence, clause, phrase, or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The People of the City of Gilroy hereby declare that they would have adopted this ordinance and each and every section, subsection, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional.

Section 6. Effective Date.

This ordinance relates to the levying and collecting of the City's transient occupancy tax. This ordinance shall be adopted if approved by a majority of the voters voting on the measure at the statewide general election to be held on November 3, 2026.

If so approved, this ordinance shall be considered as adopted upon the date that the vote is declared by the City Council and shall go into effect ten (10) days after that date pursuant to Elections Code Section 9217. However, the levying and collection of the transient occupancy tax at the rate established pursuant to this ordinance shall commence effective January 1, 2027, or as soon thereafter as this ordinance shall go into effect.

Section 7. Publication.

The City Clerk shall certify to the passage and adoption of this ordinance and shall cause the same, or a summary thereof, to be published and posted in the manner required by law.
* * * * *

PASSED AND ADOPTED by the People of the City of Gilroy at the statewide general election held on November 3, 2026.

ATTEST:
___________________________________
City Clerk, City of Gilroy
___________________________________
Mayor, City of Gilroy
APPROVED AS TO FORM:
___________________________________
City Attorney, City of Gilroy

8.2. City of Gilroy

STAFF REPORT
Agenda Item Title: Homeless Encampment at Sixth Street and Camino Arroyo Drive
Meeting Date: May 4, 2026
From: Matt Morley, City Administrator
Greg Bozzo, Mayor
Department: Administration
Submitted by: Matt Morley, City Administrator
Prepared by: Matt Morley, City Administrator
STRATEGIC PLAN GOALS:

RECOMMENDATION
Discuss the current homeless encampment at Sixth Street and Camino Arroyo Drive and confirm or modify prior direction to staff as needed.

EXECUTIVE SUMMARY
N/A

BACKGROUND
At the February 9, 2026 City Council meeting, the Council discussed and heard public testimony with respect to the encampment on city-owned property near Sixth Street and Camino Arroyo Drive. On a vote of 5-2, the Council directed a 90-day suspension to encampment enforcement for this location. Staff has continued to monitor and provide services, including Quality of Life officer visits, portable toilet service, and trash service.

Volunteer agencies have supported the site with other services, including food and connections to social services.

ANALYSIS

8.2. At the request of Mayor Bozzo, this item has been placed on the Council meeting agenda for discussion and possible additional direction. The 90-day suspension period has lapsed and staff is coordinated to begin abatement of the camp beginning Wednesday, May 6, 2026. The Council could consider factors such as the condition of the encampment, the toll on city services, the creation of an ad hoc committee to address homelessness, costs for abatement, and political and social dynamics of encampments.

ALTERNATIVES
The Council could affirm or modify the previous direction to staff to remove the encampment.

FISCAL IMPACT/FUNDING SOURCE
Modifications to the previous direction may have direct impacts on expenditures, including costs for abatement and provision of services as identified above.

PUBLIC OUTREACH
This item has been posted with the agenda for this meeting.

NEXT STEPS
Staff anticipates removal of the encampment beginning May 6, 2026.

Attachments:

None

10.1. City of Gilroy

STAFF REPORT
Agenda Item Title: Gilroy Homelessness Efforts
Meeting Date: May 4, 2026
From: Matt Morley, City Administrator
Department: Police and Community Development Department Submitted by: Scot Smithee, Interim Chief of Police
Sharon Goei, Community Development Director
Prepared by: Brian Dutton, Captain
Christie Thomas, Housing and Community Services Manager Bryce Atkins, Deputy Director of Community Development
Sharon Goei, Community Development Director
STRATEGIC PLAN GOALS: Ensure Neighborhood Equity from City Services

RECOMMENDATION
Receive report on homelessness efforts.

EXECUTIVE SUMMARY
Staff is providing an overview of the City’s ongoing efforts to address homelessness through a coordinated, multi-departmental approach that integrates public safety, community services, housing policy, and regional partnerships. Central to these efforts is the Quality-of-Life (QOL) Police Officer Program, which was established as a pilot in 2021 and made permanent in 2024, and has evolved in response to changing legal frameworks and community expectations. The program emphasizes a balanced strategy that combines enforcement with proactive outreach and service connection, while coordinating closely with local, county, and nonprofit partners to address encampments, public safety concerns, and the underlying causes of homelessness.

This report also highlights broader homelessness trends and response strategies, including Point-in-Time count data indicating a slight decrease in Gilroy’s unhoused population alongside regional increases, with key drivers listed. It outlines the City’s comprehensive response, including partnerships with service providers and federal and

10.1. state funding to provide homelessness prevention services. The report also identifies the services offered by other regional partners, including shelter operations.

Collectively, these efforts reflect a continued focus on prevention and service delivery, while addressing homelessness in a coordinated, compassionate, and legally compliant manner.

BACKGROUND
At the September 8, 2020, City Council study session on the unhoused, the City Council supported the creation of an Unhoused Ad Hoc Committee (UHAC). Councilmembers Marques, Bracco, and former Councilmember Tovar were appointed to begin discussions on the City’s next steps in addressing issues surrounding the unhoused.

The first UHAC meeting took place in October 2020, where committee members identified local unhoused stakeholders to meet with at upcoming meetings. After meeting with stakeholders, the UHAC established a list of potential options for City Council consideration, which were later added to by the then-sitting City Council and adopted. Some of these first initiatives included partnering with the County on their programs and services for the unhoused, the QOL Police Officer Pilot Program, garbage contractor services, endorsement of the 2020-2025 Community Plan to End Homelessness, and coordinating monthly check-in meetings with lead unhoused service providers to address local issues, to name a few.

Over the years, staff has returned to the Council with updates on the progress of these initiatives, as well as newer initiatives the Council requested, including the ordinance prohibiting camping near critical infrastructure and updates on the Supreme Court rulings regarding overnight camping restrictions and enforcement options.

One of the longest-running and most successful Council-approved recommendations from the original UHAC is the QOL Police Officer Program. In November 2021, the City Council authorized the QOL Police Officer Program as a pilot initiative to proactively address ongoing community concerns related to homelessness, encampments, nuisance activity, and other quality-of-life issues within the City of Gilroy. The program was established to provide dedicated resources focused on issues affecting public spaces, the overall quality of life for Gilroy’s population, and coordinated access to community services, with particular attention to the needs and impacts associated with the unhoused population.

The Police Department’s strategy for addressing quality-of-life and homelessness is comprehensive and relies on collaboration among community-based organizations, county and state agencies, and partners in other City departments to meet service demands. Within this framework, the Department’s two-officer QOL team serves as the primary point of contact for interagency coordination, service referrals, and the enforcement of criminal violations.

10.1. From its inception, the QOL Program has emphasized a balanced approach centered on outreach with close collaboration with service providers and enforcement. Officers assigned to the program work to connect individuals with shelter, housing, medical and behavioral health services, and other supportive resources intended to help transition them into more stable living conditions. At the same time, the program addresses criminal conduct and public nuisance activity in a manner that is fair and consistent.

Based on the program’s demonstrated effectiveness and positive community impact, the City Council approved the permanent adoption of the QOL Police Officer Program in 2024. The program continues to play a central role in assisting the unhoused community through service referrals, coordination of encampment cleanups, and enforcement of applicable laws.

ANALYSIS
Current Homelessness Demographics – Point-in-Time Count The Point-in-Time (PIT) count provides communities with information about the unhoused population. A U.S. Department of Housing and Urban Development (HUD) requirement, it is a count of sheltered and unsheltered individuals experiencing homelessness on a single night in January. The count is a community-wide collaborative effort and occurs in all cities and unincorporated areas of Santa Clara County.

City staff collaborated with Santa Clara County Office of Supportive Housing by serving as the co-jurisdictional lead, alongside the local nonprofit organization South County Community Services (formerly South County Compassion Center and St. Joseph’s Family Center), for the City of Gilroy’s bi-annual 2025 PIT count.

The overall Santa Clara County PIT count increased from 9,903 in 2023 to 10,711 in 2025, an increase of approximately 800 individuals. While this is an 8% increase, the total number has remained relatively consistent at around 10,000 since 2019.

The PIT count has two components: Sheltered and unsheltered.

 The sheltered count includes people experiencing homelessness who are living in emergency shelters, transitional housing, or safe havens.  The unsheltered count includes people sleeping outdoors or in places not designed for habitation, such as streets, tents, parks, vehicles, bus or train stations, or abandoned buildings.

The number of unsheltered individuals in the County remained relatively flat. The increase in the count is primarily due to sheltered individuals. Santa Clara County indicates that shelter and temporary housing capacity and utilization have been increasing.

The Gilroy PIT count decreased from 1,048 in 2023 to 959 in 2025, a decrease of 89

10.1. people, or 8%. Like the overall County, Gilroy experienced an increase in sheltered individuals and a decrease in unsheltered individuals, primarily due to an expansion in County program capacity and utilization, according to the County. The expansion in program capacity and utilization was made possible through the collaboration of local nonprofits and the County.

The County PIT count survey results show that the vast majority of the unhoused population is from Santa Clara County, with 83% of respondents indicating their last permanent residence was in the County. 70% said they had lived in the County for 10 years or longer.

The numbers in the PIT count are not surprising. The results are consistent with what the County and homelessness experts have observed in recent years – more people are entering homelessness than exiting homelessness in the region. Factors such as the lack of affordable housing supply and wage gaps all contribute to housing insecurity in Santa Clara County.

The top four causes of homelessness based on the PIT count survey results reflect these challenges and are consistent with households seeking prevention assistance. These primary causes reflect the high cost of living that leaves many people priced out of the area:
o 27% of households fall into homelessness due to job or income loss o 17% of households fall into homelessness due to being impacted by the loss of family members or the dissolution of households
o 13% of households fall into homelessness due to health issues o 12% of households fall into homelessness due to increases in rent and evictions
While the PIT count is used to quantify homelessness locally and nationally, it represents only a snapshot in time. The PIT count is one data point for understanding homelessness in our community. In 2025, Santa Clara County began a regional collaboration among service providers, local government representatives, and residents with lived experience of homelessness to outline the next five-year Community Plan to End Homelessness. Council will receive the presentation from County staff and provide input under another agenda item.

Regional Partnership Measures Enacted to Address Homelessness There are several regional efforts and service providers that serve the community and operate collaboratively but independently of the City. These programs do not receive any City funding.
• Emergency housing, shelters, and inclement weather shelters – available but not

10.1. funded by the City, these include the following:
o The Gilroy Shelter (formerly called “The Armory”) is a 24/7, year-round, emergency shelter operated by HomeFirst and funded by Santa Clara County. The Shelter provides varying levels of staffing, including a Shelter Manager who oversees operations and a Community Engagement Coordinator who cultivates support and donations from the surrounding community. With a capacity of up to 120 beds, it is pet-friendly, and offers communal spaces, mobile laundry, restrooms, and showers. The shelter provides case management services through South County Community Services.
▪ The Gilroy Shelter requires a referral through the County’s call center hotline, “Here4You,” at (408) 385-2400. Interested persons must specify if they prefer placement in a Gilroy shelter. The “Here4You” call center coordinates emergency sheltering, temporary housing, and referrals and linkages to community resources based on client needs.

During inclement weather events, the sheltering capacity increases to accommodate emergency sheltering needs at various warming locations throughout the County.
o The Arturo Ochoa Winter Shelter is a seasonal short-term family shelter open from mid-December to mid-March. It can serve 35 unhoused families (approximately 105 beds nightly). The shelter requires each household to have at least one dependent under the age of 18 and to claim residency in Morgan Hill, San Martin, or Gilroy. Referrals are accepted beginning midNovember, and priority is given to referrals from partner agencies. South County Community Services manages the shelter operations, referral process coordination, basic needs services, and case management. South County Community Services contracts with EAH Housing for the day-to-day property management operations and security at the site. Medical care, medical social work, employment workshops, benefits enrollment, and other services are provided by other agencies, community groups, church groups, and volunteers.
▪ Persons interested in seeking shelter at the Arturo Ochoa Winter Shelter are invited to call the housing/shelter call center, “Here4You” hotline at (408) 385-2400. See information above.
o Community Solutions provides La Isla Pacifica Women’s Shelter for victims of domestic violence and their children. The shelter helps low-income individuals and families avoid becoming unhoused, especially extremely lowincome individuals and families and those who are: likely to become homeless after being discharged from publicly funded institutions and systems of care (such as health care facilities, mental health facilities, foster care and other youth facilities, and corrections programs and institutions);

10.1. and, receiving assistance from public or private agencies that address housing, health, social services, employment, education, or youth needs. o South County Community Services operates safe parking programs in South County. The Morgan Hill program serves families or single women experiencing homelessness through temporary evening shelter in eight tiny homes. The Gilroy program serves families and individuals experiencing homelessness in four recreational vehicles. The program provides a safe place to sleep while supporting individuals in their efforts to finding permanent housing and other resources that promote a stable life. • Nonprofit Service Providers
The City continues to collaborate with local service providers and coordinates through a network of local service providers created to address homelessness in Gilroy. Partnership organizations, such as PitStop Outreach and South County Community Services, provide many services to directly assist those experiencing homelessness, including performing outreach to foster rapport with unhoused residents, connecting unhoused with resources, and conducting assessments of individuals for entry into the Countywide coordinated entry system where individuals are prioritized for different types of housing (shelters, transitional housing, rapid rehousing, and permanent supportive housing), or assistance, based on vulnerability and needs. The service providers also provide basic needs items, such as food, water, clothing, and health and safety supplies, and basic needs services, such as basic hygiene services and solid waste removal.

Nonprofit organizations also provide a variety of homelessness prevention services to protect individuals and families who are at risk of experiencing homelessness.

These services range from rental and utility assistance, financial coaching, food assistance, case management and wrap-around support, transportation resources, assistance to navigate eviction notices, access to legal aid, health care resources, to connections to employment, childcare and other stabilizing resources. Examples of providers serving Gilroy residents include South County Community Services, Community Agency for Resources, Advocacy, and Services (CARAS), Catholic Charities of Santa Clara County, Second Harvest of Silicon Valley, Sunday Friends, and the Salvation Army.
• Other Agency Services
Gilroy’s community receives services from other agencies that fund or provide other support to address or prevent homelessness.
o Santa Clara County provides technical assistance, funding, and direct service provision through several departments, including the Office of

10.1. Supportive Housing, Behavioral Health Services, and Social Services Agency.
o Santa Clara County Housing Authority provides voucher programs and rental properties that help make housing affordable to low-income families and individuals and keep them from being displaced and becoming unhoused.

City’s Homelessness Response and Prevention
The City of Gilroy has taken significant steps to help address homelessness in the community, including direct assistance and program funding, and other City services and programs. Below is a listing of those response measures and prevention efforts taken. • Quality-of-Life Officers – Two Quality-of-Life Officers make site visits and connect unhoused individuals with service providers who conduct assessments, provide services, and link the unhoused to resources and programs offered by the County and nonprofit organizations. A more detailed update on this team's work is provided later in this report.
• Housing and Community Services Division (HCS) – The City created this division in 2023 with two dedicated staff: a Housing and Community Services Manager and a Housing and Community Services Coordinator. The division provides unhoused residents with referrals to emergency shelters, referrals to the South County Safe Park program, food, hygiene, and housing resources including deposit and rental assistance when available. The division works with local community and faith-based organizations to coordinate necessary responses to meet the needs of the unhoused and to provide or connect them with grant funding opportunities to help address those needs.
• Unhoused Service Providers Network (USPN) – Revamped and renamed in 2023, USPN meetings are hosted monthly by the HCS division to increase collaboration and partnership among service providers and the City, to connect the unhoused with services, and to connect the unhoused service providers. Gilroy continues to explore funding strategies and collaborate with other South County organizations to ensure that limited federal and local resources are directed toward pressing community needs, such as homelessness.
• Unhoused Resources & Efforts Webpage – Created in 2023, the Unhoused Resources & Efforts webpage (www.cityofgilroy.org/unhoused) is periodically updated by the HCS division and referred to during community outreach. From the webpage, residents and stakeholders can find Citywide and regional efforts and resources aimed at helping the unhoused population.
• Cold Weather Shelter – The City of Gilroy activates the Senior Center as a

10.1. warming shelter from November to March (approximately), when the County declares an Inclement Cold Weather Event. The shelter is open for overnight sheltering from 9 PM to 7 AM. Walk-ins are welcome.
• Affordable Housing Development – City staff provides the community with affordable housing lists, available on the HCS website, posted at various locations, and circulated at all tabling events. The webpage also lists available affordable housing units as the City is notified of vacancies by local property managers.

Affordable housing provides a path to long-term housing stability for individuals and families experiencing homelessness. It also helps avoid future occurrences of homelessness caused by extreme housing costs.

Currently, there are 27 affordable housing developments within the City, including 267 extremely low-income, 573 very low-income, and 1,087 low-income units.

The affordable housing pipeline continues to be updated on the HCS website as projects move forward.
• Housing Element Goals aimed at Preventing Homelessness o Special Housing Needs, Goal 5 – Policy 5.3 states that the City shall support efforts to provide emergency shelter, transitional housing, and permanent supportive housing for unhoused persons and those at risk of homelessness. o Program E-3 – In May 2023, the requirements for emergency shelters were modified in compliance with Assembly Bill (AB) 2339, AB 149, and Government Code Section 65583(a)(4). The City amended the zoning code to expand the definition of emergency shelters and to allow emergency shelters by right in the R4 zone and areas designated mixed-use on the 2040 General Plan land use diagram.
o Program E-13 – In June 2024, the City amended the zoning code to allow supportive housing uses by right in zones where multi-family and mixed-use are permitted and to allow supportive and transitional housing in all residential zones subject only to those restrictions and objective standards that apply to other residential dwellings of the same type in the same zone. • Funding to Serve Gilroy Residents – The City and County provide financial resources through two funding programs to agencies serving the community, including programs to provide support to those experiencing homelessness. o Community Development Block Grant (CDBG): The City receives approximately $400,000 in CDBG funding annually from HUD to support Gilroy’s housing and community development priority needs. One of the

10.1. City’s priorities is to prevent and reduce homelessness. Organizations that are allocated funding from the City provide services such as fair housing, tenant-landlord counseling, free transit for low-income seniors or disabled adults, and housing assistance for low-income residents with disabilities transitioning from homelessness or temporary housing into permanent housing. Funding is also allocated for an organization to provide low-income Gilroy homeowners with critical health and safety repairs and accessibility improvements to their homes to prevent residents from being displaced and help them safely age in place.
o Permanent Local Housing Allocation (PLHA): Gilroy, along with several jurisdictions in Santa Clara County, participates in the Santa Clara County PLHA Consortium. Santa Clara County administers the PLHA funds for the consortium jurisdictions. The City receives State PLHA funding through the City’s partnership with Santa Clara County to provide services to the unhoused in Gilroy, where the funding averages $223,500 per year.

PLHA funds nonprofit organizations to provide the following homeless services from fiscal years 2023 through 2028: Outreach to the unhoused where comprehensive services are provided to meet the basic needs of Gilroy residents experiencing homelessness and to connect them with services that can help them attain permanent housing; and homelessness case management which provides unhoused residents with a team environment where they can learn the basic skills of job readiness and receive job linkages, help with accessing permanent housing, and other support that leads to greater self-sufficiency and improved health.

PLHA also funds nonprofit organizations to provide the following homelessness prevention services from fiscal years 2023 through 2028:

Income and supportive/case management services for seniors and individuals with disabilities who are extremely low-income to obtain and retain housing; meals for homebound seniors; tenant-landlord services; fair housing; housing assistance for persons with disabilities; and rental assistance.

Quality-of-Life Officer Program Update
In late 2021, the City Council authorized the implementation of the Quality-of-Life Officer Pilot Project as a targeted response to rising quality-of-life concerns, with particular emphasis on homelessness-related impacts. The pilot was initially staffed with two officers and designed to employ a collaborative, problem-oriented policing model integrating enforcement, outreach, and service coordination. At the time of implementation, the City continued to operate within the constraints of the COVID-19 pandemic and associated emergency policy responses, including those affecting homelessness response strategies.

10.1. Accordingly, the program’s initial operational emphasis centered on housing navigation, resource linkage, and service-based interventions, reflecting a legal and policy environment that prioritized shelter and placement options over traditional enforcement measures.

During the pilot phase, the QOL team established working relationships with stakeholders across the City, including residents, the business community, City departments, governmental agencies, and nonprofit service providers. This partnership-based framework strengthened the program’s legitimacy and positioned the unit as a trusted coordinating function for complex quality-of-life issues. Importantly, this approach reduced the likelihood of adversarial dynamics that can arise when specialized units are perceived as solely enforcement driven.

A resource-first operating model was necessary, given the legal and policy limitations at the time, including AB 109, Proposition 47, Proposition 57, Santa Clara County’s Bend the Arc initiative, and the Martin v. Boise decision. These factors, combined with pandemic-era protocols and Ninth Circuit restrictions associated with Grants Pass, narrowed the City’s available enforcement and encampment abatement options.

In March 2024, the City Council approved transitioning the QOL officers from a pilot program to a permanent unit within the Police Department. Shortly thereafter, in June 2024, the United States Supreme Court overturned the prior Ninth Circuit ruling on Grants Pass, significantly changing the legal landscape surrounding encampment enforcement.

Even with this shift, the QOL team continued to prioritize alternatives to enforcement by working closely with community partners to identify service-based options whenever possible. At the same time, the updated legal framework, combined with broader shifts in public policy and post-pandemic practices, enabled the team to adopt a more balanced approach, including increased enforcement in cases where individuals repeatedly declined available resources.

From 2021 to the present, the QOL team has remained actively engaged with governmental agencies, infrastructure partners, private property owners, and City departments to address encampments and related quality-of-life concerns. On an almost weekly basis, the team coordinates and conducts cleanup and abatement efforts in partnership with Santa Clara County, Union Pacific Railroad, Caltrans, City staff, and private parties.

Over the last ten months, the QOL unit has completed several multi-department projects in coordination with the City’s Community Development Department Code Enforcement team and Public Works Department. These efforts have focused not only on immediate homelessness-related concerns, but also on underlying environmental and property conditions contributing to recurring issues, including vacant structures, deferred maintenance, and property owner noncompliance. This coordinated approach has improved the City’s ability to address root causes rather than repeatedly responding to the same locations.

10.1. In addition to the policy and legal changes discussed above, the QOL officers have assumed primary responsibility for responding to reports of encampments and occupied vehicles submitted through the SeeClickFix (SCF) platform. Implemented on March 31, 2025, the SCF system provides residents with a direct reporting mechanism for quality-oflife concerns throughout the City. Incorporating this platform into the QOL team’s daily workflow has enhanced the team's ability to identify emerging encampments and monitor recurring locations. This improved visibility has strengthened both service delivery and enforcement effectiveness by allowing officers to direct individuals to available resources more efficiently, document repeated contacts, and coordinate timely abatement or enforcement actions when necessary.

At the same time, the volume of SCF reports has created a measurable increase in service demand for the QOL unit. As the platform continues to expand, it correspondingly increases demands associated with interdepartmental coordination, field response, followup, documentation, and long-term case management. This trend reflects both the value of the SCF reporting system and its role as one of the City’s primary tools for reporting quality-of-life issues.

In total, this sustained level of coordination reflects the team’s ongoing commitment to balancing community expectations, legal requirements, and compassionate serviceoriented responses.

Services Offered/Enforcement Statistics
Year
Total
PD
CFS
QOL
Officer
CFS
Referrals Warnings Reports Arrests Tows
See
Click
Fix
2022 62,286 400 60 60 47 19 3 -
2023 67,601 768 198 165 22 12 10 -
2024 65,993 1166 80 99 86 42 15 -
2025 64,349 1115 65 80 129 13 66 339
The statistical tracking for the QOL program captures the workload for two officers assigned to the team full-time. However, due to an injury, one of the officers was on extended leave, and one officer was left to cover the workload for approximately one to two months.

A notable success story from this year involved an unhoused disabled veteran who was struggling to manage his living situation and was residing in unsafe and unsanitary conditions on the streets of Gilroy. The QOL team contacted U.S. Veterans Affairs, confirming the subject’s benefit eligibility, while working with Santa Clara County

10.1. Behavioral Health to identify an appropriate pathway into VA-supported care. At the same time, the QOL team was able to locate a family member to assist with the placement and help facilitate the treatment plan with both the VA and Behavioral Health. As such, the veteran was moved into permanent housing, eliminating an encampment that posed a health and safety risk to both the subject and the community.

Cleanup Efforts
Year
Valley
Water
District
Union
Pacific
City of
Gilroy
Private
Property Total
2022 6 1 2 2 11
2023 7 3 7 4 21
2024 15 6 15 5 41
2025 86 3 21 1 114
The QOL team provides security and coordination for cleanup efforts conducted by private parties and governmental organizations. These operations also create opportunities for outreach, allowing officers to engage unhoused individuals and facilitate connections to appropriate service providers. In addition, these cleanup efforts strengthen coordination among the QOL team, City staff, and partner agencies, helping build intra- and interagency relationships and refine workflows to improve response times, operational efficiency, and overall service delivery.

Some of the cleanups were as follows:

The team assisted Santa Clara Valley Water District with approximately 129 homeless encampment abatements over the last ten months. The two largest abatements involved the encampment along Tomkins Court, which had become a semi-permanent site established during the COVID-19 pandemic to support temporary housing efforts, and the West Llagas Branch encampment behind Walmart. In addition, a large encampment located west of Gilroy Sports Park along the Uvas Preserve foot trail was abated earlier this year. While smaller than the other two locations, the photos below are representative of the conditions encountered before and after abatement.

10.1. BEFORE AFTER
The team has been consistently working with several private property owners and governmental organizations to address encampments along Miller Slough, which runs from Church Street at Howson Street east to Chestnut Street and Rogers Lane. This stretch of creek presents logistical challenges because portions are owned by private residential property owners, and several small bridges are located out of view of major thoroughfares.

The following photos represent the conditions the team regularly encounters and were taken during one of the cleanups conducted under the Rogers Street bridge.

BEFORE AFTER
Overall, the QOL unit has strengthened the City’s ability to respond to quality-of-life concerns through a balanced approach centered on service coordination, legal compliance, and targeted enforcement. As service demand continues to grow, the unit remains well-positioned to support Council priorities related to public safety, neighborhood livability, and compassionate community response.

ALTERNATIVES
None – this is an informational item.

10.1. FISCAL IMPACT/FUNDING SOURCE
None – this is an informational item.

PUBLIC OUTREACH
This item was included on the publicly posted agenda for this meeting. Updates on these initiatives have been provided to Council since 2020 and have been featured in social media posts, email newsletters, websites, and other outreach since the initiatives began.

NEXT STEPS
This is an informational item. Staff will continue to maintain and further implement the Council-approved initiatives unless otherwise directed by Council.

Attachments:

None

10.2. City of Gilroy

STAFF REPORT
Agenda Item Title: Receive Report and Presentation and Provide Input on Draft Santa Clara County Community Plan to End Homelessness
and Gilroy Data, Progress, and Partnerships
Meeting Date: May 4, 2026
From: Matt Morley, City Administrator
Department: Community Development
Submitted by: Sharon Goei, Community Development Director Prepared by: Sharon Goei, Community Development Director STRATEGIC PLAN GOALS: Promote Safe and Affordable Housing for All

RECOMMENDATION
Receive the report and presentation and provide input on the Draft Santa Clara County Community Plan to End Homelessness and Gilroy Data, Progress, and Partnerships.

BACKGROUND
In 2020, the Santa Clara County Continuum of Care (SCC CoC) developed the 2020- 2025 Community Plan to End Homelessness. In 2025, the SCC CoC began collaborating with service providers, community-based organizations, representatives of local government, philanthropy, business, and healthcare, as well as residents with lived experience of homelessness, to outline the next five-year roadmap.

ANALYSIS
The Santa Clara County Continuum of Care is engaging with City leaders across the jurisdictions in the County to help shape the next Community Plan to End Homelessness, including developing subregional plans for our community. County staff will present progress from the 2020-2025 Community Plan, demographic data regarding Gilroy households, partnerships in Gilroy, focus areas for developing the next five-year

10.2. Community Plan, and next steps. County staff is also conducting five community-wide feedback sessions to obtain input on the draft Community Plan.

ALTERNATIVES
This item is to provide input to the Santa Clara County Continuum of Care on the next Community Plan to End Homelessness.

FISCAL IMPACT/FUNDING SOURCE
There is no fiscal impact associated with this item besides staff time.

PUBLIC OUTREACH
This agenda item is available through the City’s website.

NEXT STEPS
The Santa Clara County Continuum of Care will continue to develop and finalize the Community Plan after City Council and community engagement.

Attachments:

1. Presentation on Draft Community Plan to End Homelessness and Gilroy Data, Progress, and Partnerships

2. Draft Community Plan to End Homelessness

1 COMMUNITY PLAN
2020-2025

END HOMELESSNESS
UPDATE
TO
Gilroy City Council
May 4, 2026

2 AGENDA
THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS
● Progress from the 2020-2025
Community Plan to End
Homelessness
● Gilroy Households Data
● Developing the Next 5-Year
Community Plan to End
Homelessness
● Next Steps

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 3

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 4

ABOUT THE

CONTINUUM OF
CARE
• Broad group of stakeholders
dedicated to ending and
preventing homelessness
• Ensure a community-wide
implementation of efforts &
programmatic and systemic
effectiveness
• County of Santa Clara serves
as the lead agency

COMMUNITY

PLAN TO END

HOMELESSNESS

GOVERNMENT

NONPROFIT

PHILANTHROPY

PRIVATE
SECTOR

COMMUNITY
LIVED

EXPERIENCE

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 5
Collective Impact
Continuum of
Care
Destination:

Home
County of
Santa Clara Cities
Lived
Experience
Groups
Housing
Authority Private Sector Service Providers
Neighborhood
Leaders and
Community
Members
Affordable
Housing
Developers
Philanthropy Other Public
Agencies
…and many more!

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 6
Progress from the
2020-2025
Community Plan to
End Homelessness

SANTA CLARA COUNTY COMMUNITY PLAN

TO END HOMELESSNESS

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 7
20,830
People Housed
2025 GOAL:
20,000 People
Housed
2020-2025

COMMUNITY PLAN

PROGRESS
GOAL ACHIEVED!

THE 2020
-2025 COMMUNITY PLAN TO END HOMELESSNESS8
2020-2025

COMMUNITY PLAN

PROGRESS
2025 GOAL:
20,000 People
Housed
GOAL ACHIEVED!

9 Temporary Housing & Shelter
Capacity Increased by 82%
27,037 people placed in
temporary housing or
shelter between 2020 and
2025
1,882
2,639
2,227 2,158
2,717 2,765
3,420
0 500
1,000
1,500
2,000
2,500
3,000
3,500
2019 2020 2021 2022 2023 2024 2025
Temporary Housing and
Shelter Capacity (units)

10 Homelessness Prevention Capacity
2,693 households
75% since Jan. 1, 2020
2025 GOAL: 2,500 households
38,060 People Received
Homelessness Prevention Assistance
GOAL ACHIEVED!
93% of families
remained stably
housed while
receiving services.

Only 5% of
households became
homeless.

ONE YEAR LATER

11 19% Decrease in New Households
Becoming Homeless since 2019

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 12
2020-2025 Community Plan
Progress
Gilroy Households

THE 2020
-2025 COMMUNITY PLAN TO END HOMELESSNESS 13
Demographics –
Gilroy
Households • The January 2025 Point-in-Time Count
reported that 959 people (844
households) were experiencing
homelessness in the City of Gilroy (a
decrease of 8% from 1,048 in 2023)
• 676 households affiliated with Gilroy
completed a housing assessment (VI-
SPDAT) in 2025. Demographic data
shown is based on information on
heads of households from these
assessments
• Gilroy-affiliated households have a
similar age, gender, and household
type distribution compared to the
county as a whole

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 14
Demographics (continued)
• The majority (65%) of Gilroy-affiliated households report experiencing homelessness for two or more years
• Gilroy-affiliated households most commonly report sleeping outdoors (42%) followed by in a vehicle (24%) and in a shelter/safe haven/hotel/motel/treatment facility (22%) • This data also aligns with countywide trends

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 15
Demographics (continued)
• Gilroy-affiliated households are more likely to report higher levels of need for permanent supportive housing (81% compared to 61% for the county as a whole) • Gilroy affiliated households are more likely to report identifying as Hispanic/Latina/e/o (72% compared to 53% for the county as a whole)

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 16
2020-2025
Community
Plan Progress:

Gilroy
Households
People Housed
People Placed in Temporary
Housing and Shelter
People Received
Homelessness Prevention
Assistance
1,999
3,072
2,687
Across 1,184 households, ~10% of total
Across 1,983 households, ~11% of total
Across 1,142 households, ~7% of total
In 2025, for every 1 household
housed, another 1.1 became
homeless.

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 17

HOW ARE

PEOPLE FROM
GILROY

BENEFITING
FROM SERVICES?
Gilroy-Affiliated means:
• Address in Gilroy
• Lived in Gilroy prior to becoming
homeless
• Works in Gilroy
• Kids go to school in Gilroy
• Spend most of time in Gilroy
Program-Type
Total
Households
Served
GilroyAffiliated
Households
Permanent Supportive
Housing 4,556 434
Rapid Rehousing 1,679 100
Emergency Shelter 5,102 570
Transitional Housing 529 46
Street Outreach 5,194 811
Safe Parking 550 26
Homelessness Prevention 3,121 183
Housing Problem Solving 4,530 289
Services Only 8,944 1,080
Table 1: Gilroy-Affiliated Households Receiving Supportive Housing System Services in 2025

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 18
Estimated Housing Investments For Gilroy
Households in 2025
Program Type Estimated Annual Cost
Per Household
Households Affiliated
with Gilroy in 2025
Estimated Annual
Funding for
Households Affiliated
with Gilroy
Permanent Supportive
Housing $37,380 434 $16,222,920
Rapid Rehousing $29,250 100 $2,925,000
Homelessness
Prevention $15,500 183 $2,836,500
Total $21,984,420
*Note: Gilroy-affiliated households also receive funding to support their housing stability through the Housing Problem Solving program.

19 Total: $7,500,000 FY 25-26: ~$600,000 FY 25-26: $4,098,756 Additional Partnerships in Gilroy
The County funds temporary housing
for individuals at the Gilroy Armory
Shelter and a seasonal shelter program
for families at the Ochoa Cold Weather
Shelter.

Monterey Gateway Senior
Apartments - $7.5 million in Measure A
Affordable Housing Bond funds
The City, County, and Housing
Authority are exploring the possibility
of developing affordable housing on
the County-owned site at 8th and
Alexander
The County funds supportive services for
residents at Monterey Gateway Senior
Apartments.

The County also funds supportive services
at Gilroy Sobrato Studios and Sobrato
Family Apartments in Gilroy as part of
the scattered site PSH program.

Affordable Housing
Development
Temporary
Housing & Shelter
Supportive
Housing Services

20 FY 25-26: $584,000
Additional Partnerships in Gilroy
(continued)
City staff attend monthly
CDBG/Housing Coordinators meetings
hosted by OSH
City staff are providing input to
CoC/OSH staff on the Community Plan
and Sub-Regional Plans as part of the
South County Sub-Regional Group
Outreach
The County funds outreach services in
partnership with South County
Community Services.

Coordination

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 21
Developing the
Next 5-Year
Community Plan to
End Homelessness

SANTA CLARA COUNTY COMMUNITY PLAN

TO END HOMELESSNESS

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 22
2025-2030 Community Plan Timeline
Onboarding of Steering
Committee
Qualitative & Quantitative
Analysis
Spring 2025
Qualitative Data Collection
Steering Committee drafts
Sub-Strategies & Tasks
Engagement with Cities
Summer 2025
Continued engagement with
Cities
Convene lived experience
work group
Fall 2025
Engagement with Cities on
Draft Plan
Steering Committee finalizes
Draft Plan
Winter 2025–2026
Community Input on Draft
Plan
Begin Drafting Sub-Regional
Plans
Finalize Plan based on
Community Input
Spring 2026
CoC Board adopts Plan
Endorsement from
Jurisdictions
Year 1 Implementation Begins
Summer - Fall 2026

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 23

1. Prevent People From Becoming Homeless
Focus: Prevention

2. Continue to House People and Support Them in Retaining their Housing
Focus: Housing through programs (shelter to permanent)

3. Strengthen Access to Care and Services for People
Experiencing Unsheltered Homelessness.

Focus: Unsheltered individuals

4. Center and Invest in People with Lived Experience to Lead and Transform the Homeless System
Focus: Lived experience lead throughout the system
Key Focus Areas

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 24
Next Steps
Community
Input
Review of full
draft plan
Coordinate
feedback from
City leaders,
lived experience
& constituents
Finalize Plan &
Develop SubRegional City
Plans
Finalize plan
based on
Community
Input
Develop action
steps and
metrics based
on regional
needs
Ensure
alignment with
existing City
Plans &
Strategies
Plan Adoption
& Endorsement
by County and
Cities
CoC Board
Adoption
Execute process
to obtain BOS
and City Council
endorsement
Plan for
implementation
Mar. – May
2026
Mar. – May
2026
June – Dec.
2026

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 25
• Description of regional characteristics, priorities, and special populations
• Summary of existing efforts and investments in
homelessness
•
Framework of shared goals, strategies, and priorities
that align with the Plan
•
Compilation of links to cities' own homelessness
plans (where applicable)
Sub-Regional Plans
4 Sub-Regional Groups: North County,
West Valley, South County, San José

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 26
Additional
Input
Opportunities
Draft Plan posted on the
Office of Supportive Housing's
website here.

Four Community Convenings
in North County, West Valley,
South County, and San José
South County Convening:
● Date: Tuesday, April 28th, 6-8 pm
● Location: CARAS Youth Hub, 311
First Street, Gilroy, CA, 95020
Virtual Meeting:
● Date: Thursday, May 21st, 1-2:30 pm
● Location: Virtual on Zoom.

Registration Link here.

THE 2020-2025 COMMUNITY PLAN TO END HOMELESSNESS 27

1. Are the Focus Areas included in the draft
Plan reflective of the needs and goals of
your community?

2. What would the Council like to see
included as part of their sub-regional plan?

3. How can we work with the Council to help
share this information with the
community?
Questions for Council
to Consider:

3.3.26 Draft 1
Santa Clara County: Community Plan to End
Homelessness
Focus Area 1
Prevent people from becoming homeless.

Strategy A – Expand programs and investments to prevent people from becoming homeless.

Sub-Strategies
A1: Increase public and private funding for homelessness prevention programs.

A2: Strengthen and sustain a high-impact homelessness prevention system.

A3: Align policy and affordable housing investment to improve housing stability for households at-risk of homelessness.

Strategy B – Ensure services are effective to prevent people from becoming homeless.

Sub-Strategies
B1. Prevent evictions through early identification, tenant protections, and system coordination.

B2: Enforce fair housing protections and increase access to legal services to combat housing discrimination.

B3: Leverage health care resources to prevent homelessness.

Strategy C – Enhance coordination across systems to prevent people from becoming homeless.

Sub-Strategies
C1: Prevent homelessness at discharge or system exit through coordination with health care or behavioral health institutions, foster care, or criminal legal systems.

Draft 3.3.26 2
C2: Establish partnerships to increase income and employment for those at-risk of homelessness.

C3: Strengthen partnerships with safety net services for a community-driven approach to preventing homelessness.

Focus Area 2
Continue to house people and support them in retaining their housing.

Strategy A – Increase and maintain a range of housing options that meets the need.

Sub-Strategies
A1: Increase public and private funding to build more permanent housing and implement system improvements.

A2: Increase public and private funding to expand temporary housing capacity and implement system improvements.

A3: Prioritize development of housing for extremely low-income individuals and families making 30% of Area Median Income or less and set joint targets.

A4: Build up programs and services to reach geographically underserved areas of the county.

A5 Strengthen and diversify permanent housing capacity and options to meet varied needs and acuity levels.

A6: Strengthen and diversify temporary housing capacity and options, including Emergency Interim Housing (EIH), to meet varied needs and acuity levels.

A7: Co-design innovative and inclusive housing and service models with people with lived experience that expand access to diverse, permanent housing solutions.

Strategy B – Increase consistency, diversity, and quality of housing and services for people accessing the housing system.

Sub-Strategies
B1: Standardize high-quality service delivery and individualized care across the housing system.

B2: All housing programs are safe, healthy, and accessible to everyone.

Draft 3.3.26 3
B3: Improve tenancy support for participants in permanent housing programs.

B4: Invest in equitable workforce development programs for people with lived experience within the homeless system.

B5: Promote skill-building and career advancement opportunities for people with lived experience within the homeless system.

B6: Support the development and implementation of programs led by people with lived experience that provide peer support, housing navigation, and mentorship.

Strategy C – Improve system coordination throughout the housing system.

Sub-Strategies
C1: Reduce returns to homelessness and program exits.

C2: Increase coordination between property management and service providers to ensure housing stability.

C3: Reduce housing search time and expand landlord capacity for scattered site housing programs.

Focus Area 3
Strengthen access to care and services for people experiencing unsheltered homelessness.

Strategy A – Build capacity and expand access to trusted, culturally responsive, and coordinated services and resources throughout Santa Clara County.

Sub-Strategies
A1: Identify sustainable funding for increased access to care and services for people experiencing unsheltered homelessness.

A2: Prioritize peer-led and community-driven outreach and communications models to effectively serve underserved regions and populations who are historically underserved or overrepresented in the homeless system.

A3: Improve system-wide access to real-time, understandable, and comprehensive resource information and availability.

Strategy B – Increase consistency, variety, and quality of outreach, basic, and essential needs services.

Draft 3.3.26 4
Sub-Strategies
B1: Expand service delivery offerings for basic and essential needs and to support stability.

B2: Ensure that service providers are equipped with the skills, capacity, and ability to effectively serve those in unsheltered situations.

B3: Create a consistent, person-centered approach to address vehicular homelessness.

B4: Connect impacted populations to culturally responsive services.

Strategy C – Invest in approaches that improve outcomes and reduce harm for people living unsheltered and the community at-large.

Sub-Strategies
C1: Strengthen coordination between behavioral health, homeless service providers, and public safety partners to divert non-violent homeless-related calls away from law enforcement.

C2: Expand re-entry and behavioral health services as alternatives to arrest or emergency room admission.

C3: Decrease the number of people residing in encampments and reduce criminalization of homelessness for those who are unsheltered Focus Area 4
Center and invest in people with lived experience to lead and transform the homeless system.

Strategy A – Expand the representation of people with lived experience in leadership roles and decision-making bodies.

Sub-Strategies
A1: Build capacity of local jurisdictions and organizations to increase lived experience in leadership roles and decision-making bodies A2: Create accessible and flexible leadership opportunities that consider varying interests, availability, and backgrounds
A3: Reduce structural barriers to participation.

Draft 3.3.26 5
Strategy B – Build leadership capacity and advancement pathways for people with lived experience.

Sub-Strategies
B1: Provide opportunities such as mentorship and education for people with lived experience to establish pathways for leadership advancement.

B2: Support transitions from advisory roles to formal decision making and leadership positions.

B3: Advance equity in hiring, advancement, and retention of people with lived experience.

Strategy C – Equip homeless system partners to effectively partner with people with lived experience.

Sub-Strategies
C1: Establish standards and best practices to support authentic lived experience engagement
C2: Formalize processes to regularly evaluate the quality and depth of lived experience engagement and use findings to drive improvement.

C3: Develop clear accountability measures to transparently demonstrate how lived experience input informs decisions and system change.

10.3. City of Gilroy

STAFF REPORT
Agenda Item Title: Tobacco Retailer Permit Potential Density and Flavored Tobacco Restrictions
Meeting Date: May 4, 2026
From: Matt Morley, City Administrator
Department: Community Development
Submitted by: Sharon Goei, Community Development Director Prepared by: Bryce Atkins, Deputy Director of Community Development STRATEGIC PLAN GOALS: Not Applicable

RECOMMENDATION
Council provide direction regarding potential tobacco retailer permit regulations and management.

EXECUTIVE SUMMARY
Pursuant to the Council Legislative Agenda item and Department workplans, and in light of a grant awarded and Council direction to conduct analysis regarding density restrictions, staff has developed this report regarding density-based regulation trends, gaps in the State flavored tobacco ban, and centralization of tobacco retail permit (TRP) administration for Council consideration of any changes it desires to the TRP program.

Any changes will trigger an ordinance adoption process to amend the City Code to effectuate any direction received.

BACKGROUND
Council established a Legislative Agenda Item entitled “Consideration of Revising the Tobacco Ordinance and a Moratorium on New Tobacco Retailers During Revision Process”. Staff requested Council direction on this item during the August 4, 2025, regular City Council Meeting. Council directed staff to pursue two potential regulatory

10.3. measures identified in the City’s grant from the County of Santa Clara Public Health Department (CSSPHD). At the time, the Council did not authorize pursuing the moratorium. The two regulatory measures being considered include:
• Reducing the density of tobacco retailers; and
• Flavored tobacco restrictions/bans.

Staff commenced this work, consistent with Council direction, with controls on the amount of staff time to be committed. Staff worked with CSSPHD and its research consultant and conducted some in-house research.

During this process, concerns about smoke shops and enforcement were raised, and a moratorium on issuing tobacco retailer permits was implemented in parallel. This report focuses on the two previously approved regulatory measures and a potential update to centralize Tobacco Retailer Permit (TRP) enforcement, with the intent of seeking Council direction before investing more staff time and resources into any City Code changes related to these matters.

ANALYSIS
Reducing Density of Tobacco Retailers
One potential strategy to help reduce tobacco use, including youth access, is to limit the concentration, location, or number of tobacco retailers. The City of Gilroy has already enacted part of this overall strategy in its conditions for issuing a TRP. A tobacco retailer may not operate within 1,000 feet of a school. There are some locations that were grandfathered in, existing within the distance at the time the initial requirement was adopted.

If approved by Council, this initiative would add a control on the density of TRPs issued.

In reviewing data on density controls, 40% of cities in Santa Clara County (6 of 15) and 42% of cities in the nine-county Bay Area region (42 of 101) impose density restrictions on tobacco retailers, independent of restrictions related to school or youth locations.

Distance-Based Buffer Zone
The primary approach, accounting for all density-controlling cities in Santa Clara County and 83% of Bay Area cities (35 of 42), is to place a distance-based buffer around approved tobacco retailers. If a new tobacco retailer applies to operate in a portion of the city within an existing permitted tobacco retailer's buffer zone, the application would be denied.

Overall, the most common buffer-zone distance is 500 feet (69% of the 42 cities, or 29 cities). Other distances used by cities include 1,000 feet (12% of cities) and 600 feet (2% of cities). Two cities in the Bay Area used distance-based buffer zones in combination with caps on the total number of licenses issued (25 licenses maximum in Oakley and 45 per supervisorial district in San Francisco).

10.3. Population-Based or Maximum Tobacco Retailer Cap
Nine Bay Area cities (21% of the 42 cities) have instituted a defined cap on the number of tobacco retailer permits. Of these, four are based on population and increase automatically with population growth; three have established a flat maximum number of tobacco retailer permits; one uses the lesser of a population ratio or a maximum cap; and one allows tobacco retailers only at limited, specific addresses.

The ratios and cap numbers vary, so below is a table showing the city and the basis for the density control:

City Limit Type Population Ratio or Cap Number
Calistoga Population 1 per 1,000
Santa Rosa Population 1 per 2,500
Sebastopol Population 1 per 2,000
Windsor Population 1 per 2,000
Brentwood Max Cap 41 vendors
Oakley Max Cap1 25 licenses total
San Francisco Max Cap1 45 vendors per supervisorial district Lafayette Cap or Population Lesser of 11 or 1 per 2,500 Sonoma Site-Specific Only pre-approved addresses (15 total) Existing Tobacco Retailers
As of April 23, 2026, the City’s Finance Department has reported 45 tobacco retailers, down from the previously identified 53. All 45 have active State tobacco retail licenses, and all but two have a City TRP. The City’s GIS Analyst mapped the locations of the 43, along with other retailers not included in the 45 but previously in operation (mostly closed smoke shops), and added a 500-foot buffer zone, represented graphically by a 250-foot radius buffer around each retail location, as well as a 1,000-foot buffer around schools. The distance between vendors would be less than 500 feet wherever green circles overlap. The resulting map is attached. There are existing TRPs that would be within other TRPs’ buffer zones. Additionally, if a population-based or total-cap maximum were set, depending on the population or the desired number of permits to be issued, there could be a conflict in which the city has more TRPs than the cap allows.

Under the current City Code, Section 13.68, a tobacco retailer that was operating lawfully within the 1,000 feet restriction near schools on the effective date of the ordinance was allowed to continue operations, and the purchase of such a business through an arm’s length transaction would allow the new business owner to apply for and receive a TRP, even if such location or number of existing licenses would otherwise make them ineligible.
1 City also has a 500-foot distance requirement between tobacco retailers.

10.3. Council could elect to have the same provisions apply to the density restrictions.

Alternatively, the Council could designate the existing permittees as “legacy” TRPs, allow the licensed and lawfully operating tobacco retailers to remain in operation until their permits are not renewed or fail to renew in a timely manner, and not issue a permit to a new owner if the business is sold. This approach may also be applied to the school distance restriction.

Variations Among Tobacco Retailers
Another consideration of the impact on existing retailers is the types of businesses that are tobacco retailers. The manner of operations for a grocery store, a convenience store, and a smoke shop are very different, and concerns about proliferation could vary among them. With a universal density restriction, grocery stores would be impacted the same as a smoke shop regarding licensure. Another option, which can be implemented alongside a legacy system or as a standalone protocol, is to regulate tobacco sales according to certain types of retail establishments. For example:

1. Grocery Stores: Since tobacco sales are a small part of their business, grocery store TRPs could be exempted from density regulations. This exemption would help ensure that grocery stores could locate in town, despite the high concentration of other TRPs in the town's commercial areas. A definition of grocery stores should be established to minimize loopholes that might allow a convenience store to qualify as one.

2. Smoke Shops: Due to the moratorium, possible increased regulations, and possible prohibition of smoke shops, Council could elect to severely limit or prohibit the issuance of TRPs to smoke shops, as eventually defined in City Code. A new zoning ordinance amendment, as part of the moratorium and zoning amendment initiative, will establish a definition of smoke shops.

All other tobacco retailers, which predominantly feature gas stations and other convenience stores that sell tobacco products as an ancillary component of their overall sales, would be subject to the general density regulations, serving as the control point for the proliferation and concentration of tobacco retailers.

Flavored Tobacco Restrictions/Bans
Staff researched the nature of the State of California’s ban on flavored tobacco. The State’s provisions in Health and Safety Code Section 104559.5 are very expansive and address all flavor possibilities. On its surface, the State law meets the intent originally sought in the application for considering a local ban on flavored tobacco.

However, there are a few exceptions in the State’s code language that the Council may wish to eliminate. The State’s code language makes the following exceptions to the flavored tobacco ban (i.e., the State code allows the following):

10.3. 1. The sale of flavored shisha tobacco products by a hookah tobacco retailer if all of the following conditions are met:
a. The hookah tobacco retailer has a valid license to sell tobacco products issued by the State
b. The hookah tobacco retailer does not permit any person under 21 years of age to be present or enter the premises at any time.
c. The hookah tobacco retailer shall operate in accordance with all relevant state and local laws relating to the sale of tobacco products. d. If consumption of tobacco products is allowed on the premises of the hookah tobacco retailer, the hookah tobacco retailer shall operate in accordance with all state and local laws relating to the consumption of tobacco products on the premises of a tobacco retailer.

2. Sales of premium cigars sold in cigar lounges where products are purchased and consumed only on the premises

3. Sales of looseleaf tobacco or premium cigars
The Council may, if it so chooses, adopt a stricter restriction that eliminates some or all of the exceptions listed above.

Enforcement Centralization
TRPs for the City of Gilroy are established in Chapter 13 of the City Code, under Article 8 “Tobacco Retailer Permit”. Currently, enforcement of this article is decentralized and requires coordination among at least three departments (Police, Finance, and Community Development) and, in some cases, the City Attorney’s Office. In considering the challenges and issues with enforcement recently experienced, staff is recommending that the TRP function be centralized entirely within the Police Department.

Staff is recommending that the Police Department have primary management and enforcement roles in TRPs. The Police Department may call in support from other departments as needed, but the centralization is intended to allow a single system for issuing, monitoring, and enforcing TRPs, rather than various systems in use across departments.

Under the current City Code, Section 13.69 identifies that applications for TRPs are to be received by the Finance Department. Staff is proposing to change this language to indicate they are to be received by the Police Department. All other references in the article refer to the City managing and enforcing the code, and it is recommended to retain these references to the City overall rather than to a specific department.

Administrative procedures will require the Police Department to manage the program, allowing adaptability if unforeseen conditions arise that require a quick change in management protocols.

10.3. Staff Recommendations:
• Density Controls
o If Council desires a density control, establish a 500-foot distance restriction for new tobacco retailer permits. Staff is required to check the distance to schools for new applications, so adding this requirement would only generate minor additional workload to analyze for future applications. o Direct staff to create a definition for grocery stores and exempt them from the density restrictions
o Direct staff to prohibit the issuance of TRPs to smoke shops, as defined in the upcoming zoning amendment.
o Establish a legacy system for existing permittees in good standing, but failure to timely renew their TRP, failure to comply with TRP requirements, or selling the business would rescind its legacy designation, and the density distance and school distance restrictions would apply, prohibiting further tobacco sales at that location.
• Flavored Tobacco
o Council direction if it wishes to adopt a more restrictive local ban on flavored tobacco that removes some or all of the exceptions contained in State law.
• Enforcement Centralization
o Authorize the TRP program to be managed and enforced by the Police Department, and include amending Section 13.69 of the Gilroy City Code to have applications be received by the Police Department.

ALTERNATIVES
Council alternatively may direct staff not to pursue any additional regulatory measures regarding Tobacco Retail Permits. This would retain the status quo process and operation of the permitting program. This would not impact the moratorium or zoning amendment for smoke shops currently underway.

For the density regulations, Council may alternatively direct staff to:
• Utilize a different distance
• Utilize a population or fixed cap to the number of permits issued • Authorize only certain areas or zones for tobacco permits to be permitted • Not differentiate grocery stores separately from other tobacco retailers • Only limit the number of smoke shops as opposed to banning them • Allow the legacy TRPs to continue for the arm’s-length sale of businesses • Not amend the school distance restriction section, allowing arm’s-length sales to allow the continued retail of tobacco products within 1,000 feet of schools For flavored tobacco, Council may direct staff to let the State’s regulations control flavored tobacco, or direct staff to add provisions to ban one or more of the products the State has excepted from its ban.

10.3. Regarding the enforcement provisions, the Council may choose not to approve the change to the department responsible for receiving and processing TRP applications.

Council may also provide other direction as it determines may be appropriate that may not have been considered in this report. Any such direction would apply to the permitting side and would not affect the current moratorium or the efforts to regulate smoke shop locations in the city.

FISCAL IMPACT/FUNDING SOURCE
A minimal cost in legal advertising for a future ordinance would be required should the Council determine to proceed. The cost can be absorbed in the current budget, and no additional appropriations are needed.

PUBLIC OUTREACH
This subject was originally discussed during the strategic planning study sessions in 2025 and again at the August 4, 2025, City Council meeting. This item was included on the publicly posted agenda for this meeting. Any potential changes to the City Code will have a public hearing advertised, should the Council direct staff to proceed.

NEXT STEPS
Staff will pursue implementation of any direction the Council provides. Efforts to modify the TRP may be combined with the smoke shop regulations in a single ordinance, depending on the complexity and timing of the two initiatives.

Attachments:

1. Gilroy Tobacco Retailers – Map of 500-Foot Buffer Zone (Represented Graphically by a 250-Foot Radius Buffer) and 1,000-Foot Buffer Around Schools

2. Tobacco Retailer Permit Status List as of 4/28/2026

0 2,000 4,000
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Coordinate System: NAD 1983 StatePlane California III FIPS 0403 Feet Esri, NASA, NGA, USGS, Sources: Esri, TomTom, Garmin, FAO, NOAA, USGS, © OpenStreetMap contributors, and the GIS User Community, County of Santa Clara, Vantor Mantelli Dr
Cal el del Rey
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Kern Ave
Farrell Ave
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Hirasaki Ave
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Gilroy Premium
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Wayland
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Westwood Dr
Chestnut
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E 10th St
W 10th St
Thomas Rd
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Murray Ave
Arroyo
Cir Renz Ln
Orchard Dr
Automall Pkwy
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onterey
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anta Teresa Blvd
1st St
Gilroy High
School
Gilroy
Miller Ave
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Fwy
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Dunlap Ave
Holsclaw St
Leavesley Rd
Rossi Ln
S outhside Dr
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Hollo way Rd
Gilman Rd
Furlong
Pacheco Pass Hwy
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53 Tobacco Retailer Permit Locations and Buffer Zones

OVERVIEW MAP
By Justin Murtiff
GIS Analyst
City of Gilroy
Tobacco Retailers
Distance from
Nearest School
< 1,000 Feet
> 1,000 Feet

REMOVED
250 Foot Buffers -
Tobacco Retailers
Schools
1,000 Foot Buffers -
Schools
Gilroy City Limits
REV Date: 4/27/2026
Scale: 1:35,000
1 inch equals 0.55 miles
A buffer map of tobacco retailer permit locations with a 250‑foot buffer around each site, along with school properties buffered at 1,000 feet. The map displays areas where these buffers overlap, indicating potential conflicts if new permits were approved. Locations of former retailers are also included for historical reference.

# City - Business Name Address Distance from School Valid State License City - Business License Start Date City - Business License Exp Date Valid City Business License City - Tobacco Retailer Permit Exp Date Valid Tobacco Retailer Permit 1 7-ELEVEN #14301F 691 1ST ST 568.6 YES 1993-01-07 12/31/2026 YES 12/31/2026 YES2 7-ELEVEN 16799C 162 W 10TH ST > 1,000 YES 2023-12-06 12/31/2026 YES 12/31/2026 YES3 7-ELEVEN STORE 2233-16422D 370 LEAVESLEY RD > 1,000 YES 2002-03-13 12/31/2026 YES 12/31/2026 YES4 AMAR CORP/MONTEREY CHEVRON 7000 MONTEREY ST > 1,000 YES 2018-02-16 12/31/2026 YES 12/31/2026 YES5 ARCO AM/ PM GILROY 400 LEAVESLEY RD > 1,000 YES 2015-03-31 12/31/2026 YES 12/31/2026 YES6 ARTEAGA'S FOOD CENTER 6906 AUTOMALL PW > 1,000 YES 2001-09-26 12/31/2026 YES 12/31/2026 YES7 BEVERAGES & MORE 6855 CAMINO ARROYO > 1,000 YES 2004-05-04 12/31/2026 YES 12/31/2026 YES8 BOTTLES & MORE 7901 WESTWOOD DR STE G > 1,000 YES 2022-01-24 12/31/2026 YES 12/31/2026 YES9 BOZZO'S UNION 76 601 1ST ST 303.1 YES 1981-03-06 12/31/2026 YES 12/31/2026 YES 10 CHARLIES LIQUORS, INC 166 W 10 ST > 1,000 YES 2010-06-16 12/31/2026 YES 12/31/2026 YES11 CHEERS LIQUOR 7051 MONTEREY ST > 1,000 YES 2009-05-15 12/31/2026 YES 12/31/2026 YES12 CHEVRON GAS 7999 WESTWOOD DR > 1,000 YES 2015-07-01 12/31/2026 YES 12/31/2026 YES13 CHEVRON STATION 305237-2217 7110 CAMINO ARROYO > 1,000 YES 2009-08-28 12/31/2026 YES 12/31/2026 YES14 CIGARETTES FOR LESS GILROY VILLAGE TRADING LLC 220 E 10TH ST #O > 1,000 YES 2023-01-19 12/31/2026 YES NO PERMIT NO15 CIRCLE K #9272 7010 CHESTNUT > 1,000 YES 2026-02-17 12/31/2026 YES 12/31/2026 YES 16 CITY GILROY GAS STATION 700 1ST ST 714.4 YES 1993-10-04 12/31/2026 YES 12/31/2026 YES17 DISCOUNT CIGARETTES 8027 WAYLAND LN 944.6 YES 2018-05-14 12/31/2026 YES 12/31/2026 YES18 EAGLE RIDGE GOLF CLUB 2951 CLUB DR > 1,000 YES 2016-05-12 12/31/2026 YES NO PERMIT NO19 EAGLE RIDGE LIQUORS 1327 1ST ST > 1,000 YES 2003-06-25 12/31/2026 YES 12/31/2026 YES20 EL RANCHO FOODS 211 1ST ST 108.0 YES 2021-01-26 12/31/2026 YES 12/31/2026 YES21 FRIENDS FOOD & LIQUOR 343 E 10 ST STE A > 1,000 YES 2010-04-09 12/31/2026 YES 12/31/2026 YES22 GARLIC CITY LIQUORS 8110 WESTWOOD DR > 1,000 YES 2021-05-05 12/31/2026 YES 12/31/2026 YES23 GARLIC FARM FOOD CENTER AND SHELL 5920 TRAVEL PARK CI > 1,000 YES 2008-01-25 12/31/2026 YES 12/31/2026 YES24 GILROY GAS & MINI MART INC. 5887 MONTEREY RD > 1,000 YES 1992-03-16 12/31/2026 YES 12/31/2026 YES25 GILROY VALERO FOOD MART 300 LEAVESLEY RD > 1,000 YES 2018-04-01 12/31/2026 YES 12/31/2026 YES26 GILROY VALLEY MARKET 7237 MONTEREY ST > 1,000 YES 2021-10-27 12/31/2026 YES 12/31/2026 YES27 GREAT GAS GILROY INC 398 1ST ST 302.4 YES 2024-10-09 12/31/2026 YES 12/31/2026 YES28 J.V. SPIRITS INC 420 1ST ST 113.9 YES 2022-06-23 12/31/2026 YES 12/31/2026 YES29 KD LIQUOR 8401 CHURCH ST > 1,000 YES 2013-09-17 12/31/2026 YES 12/31/2026 YES30 LA FLOR DE JALISCO FOOD MART 144 LEWIS ST 867.3 YES 2007-07-27 12/31/2026 YES 12/31/2026 YES31 LEAVESLEY CHEVRON 401 LEAVESLEY RD > 1,000 YES 2004-06-28 12/31/2026 YES 12/31/2026 YES32 LEAVESLEY ROAD UNION 76 601 LEAVESLEY RD > 1,000 YES 1977-12-22 12/31/2026 YES 12/31/2026 YES33 OM MART 1190 1ST ST > 1,000 YES 2016-08-30 12/31/2026 YES 12/31/2026 YES34 PACHECO PASS CHEVRON 6901 CAMERON BLVD > 1,000 YES 2019-04-17 12/31/2026 YES 12/31/2026 YES35 PAP'S HECKER PASS LIQUOR 221 1ST ST 199.4 YES 2021-03-31 12/31/2026 YES 12/31/2026 YES36 PAUL'S LIQUOR & MARKET #8 9305 MONTEREY RD > 1,000 YES 2010-04-21 12/31/2026 YES 12/31/2026 YES37 QUICK N EASY MARKET 8429 MURRAY AVE > 1,000 YES 2011-08-24 12/31/2026 YES 12/31/2026 YES38 QUIK STOP MARKET #550093 8400 CHURCH ST > 1,000 YES 2022-09-01 12/31/2026 YES PENDING PAYMENT NO39 ROTTEN ROBBIE #31 390 LEAVESLEY RD > 1,000 YES 1977-08-02 12/31/2026 YES 12/31/2026 YES40 SAFEWAY STORES #1505 905 1ST ST > 1,000 YES 1982-12-13 12/31/2026 YES 12/31/2026 YES41 SIERRA PINE CONE INC 6991 MONTEREY RD > 1,000 YES 2004-11-30 12/31/2026 YES 12/31/2026 YES42 THE ROCK ZONE 1323 1ST ST > 1,000 YES 1994-09-12 12/31/2026 YES 12/31/2026 YES43 TV'S FOODMART 850 PACHECO PASS HWY > 1,000 YES 1990-10-11 12/31/2026 YES 12/31/2026 YES44 WALGREENS #09516 770 1ST ST > 1,000 YES 2009-06-06 12/31/2026 YES 12/31/2026 YES45 WESTSIDE MARKET & LIQUOR 1340 1ST ST #G > 1,000 YES 2013-12-20 12/31/2026 YES 12/31/2026 YES

10.4. City of Gilroy

STAFF REPORT
Agenda Item Title: Review and Discussion of Campaign Finance Laws, Contribution Limits, and Related Enforcement
Meeting Date: May 4, 2026
From: Matt Morley, City Administrator
Department: Administration
Submitted by: Harjot Sangha, Assistant City Administrator Prepared by: Harjot Sangha, Assistant City Administrator STRATEGIC PLAN GOALS: Not Applicable

RECOMMENDATION
Council receive the report and provide direction, if any.

BACKGROUND
The City Council’s adopted legislative agenda for the current biennial budget cycle includes an item to review the City’s campaign finance laws, contribution limits, and related enforcement, particularly as the City has transitioned to district-based elections in 2025.

Related to the topic, the City Attorney prepared a memorandum for the City Council addressing two questions raised by member(s) of the Council: 1) Must a Councilmember remain a resident of the district from and by which they were elected, and 2) Whether the City’s voluntary campaign expenditure limit applied based on the number of residents in the city as a whole or by district. The memorandum is included as an attachment to this staff report.

The City of Gilroy’s campaign finance regulations are codified in Chapter 8B of the City Code (attached), which were comprehensively updated in 2012 to align with the Political Reform Act and establish contribution limits, a voluntary expenditure ceiling, enhanced disclosure requirements, and enforcement provisions.

10.4. In 2015, the ordinance was amended in response to evolving federal case law, including McCutcheon v. FEC, resulting in an increase in the contribution limit to $750 per election, the establishment of the current $ 1-per-resident voluntary expenditure ceiling, and the removal of limits on contributions to independent committees.

ANALYSIS
In 2025, the City transitioned to district-based elections, introducing new considerations regarding the applicability of existing campaign finance rules.

In 2026, the City Attorney clarified that Councilmembers must reside in the district they represent or the office becomes vacant, and that the current voluntary expenditure limit applies citywide rather than by district, though Council may amend this approach.

Given this evolution and the related legislative agenda item, this item is being brought before the Council for discussion to evaluate whether the current campaign finance framework remains appropriate under a district-based election system.

From an enforcement perspective, the City’s campaign finance regulations are enforced primarily through the State Political Reform Act framework, under which the District Attorney (DA) serves as the principal civil enforcement authority for violations. The City Attorney may play a role where authorized, but in most cases, enforcement aligns with state processes and prosecutorial discretion.

The ordinance allows for both civil and criminal enforcement mechanisms, including prosecution as infractions or misdemeanors, depending on the nature of the violation.

However, for provisions that are uniquely local (such as enhanced disclosure requirements), the City may need to rely on independent or special counsel if conflicts arise.

Overall, enforcement is decentralized, relying on a combination of state enforcement authority, local prosecutorial options, and private rights of action rather than a single City-administered enforcement body.

ALTERNATIVES
None — this is an informational report. Council may provide direction if desired.

FISCAL IMPACT/FUNDING SOURCE
None — this is an informational report.

10.4. PUBLIC OUTREACH
This agenda item was discussed briefly during the Council Legislative Agenda strategic planning agenda item, and was included on the publicly posted agenda for this meeting.

NEXT STEPS
None. Should Council provide direction, staff will proceed to meet the directed next steps.

Attachments:
1) City Attorney Memo.
2) Chapter 8B of Gilroy City Code

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M E MO R AN D U M
TO: Mayor and Gilroy City Council
FROM: Andy Faber, City Attorney
RE: Implementation of residency requirements for district elections CC: Harjot Sangha, Interim City Administrator
DATE: January 9, 2026
FILE REF: 4706.272
In light of the City’s 2025 change to district elections, we have been requested to provide answers to the following questions:

1. Must a Councilmember remain a resident of the district from and by which they were elected?

2. Is the City’s voluntary campaign expenditure limit applied based on the number of residents in the City as a whole, or by district?

SHORT ANSWERS

1. If a Councilmember of a district ceases to reside in the district by which they were elected, the district office becomes vacant. Gov. Code Secs. 1770(e), 34882. A vacancy would be filled by appointment by the Council. Gilroy Charter Sec. 406.

2. As presently in effect, the voluntary campaign expenditure limit is capped at one dollar ($1) per City resident, not per district resident. Gilroy City Code Sec. 8B.4(a). If so desired, the City Council could amend this provision to be based on district population.

ANALYSIS

1. If a Councilmember Leaves Their District, that Seat Becomes Vacant.

Under general State law, it is clear that if a Councilmember representing a district ceases to reside in that district, their office becomes vacant. Thus, Gov. Code Sec. 34882 states, “A person is not eligible to hold office as a member of a municipal legislative body unless he or she is otherwise qualified, resides in the district and both resided in the geographical area making up the district from which he or she is elected and was a registered voter of the city at the time

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nomination papers are issued to the candidate as provided for in Section 10227 of the Elections Code.” And Gov. Code Sec. 1770(e) states that an office will become vacant upon a member “ceasing to be an inhabitant…of the district … for which the officer was chosen….” Therefore, under general State law, if a member of the Gilroy City Council ceases to reside in their district, their office becomes vacant.

It is clear that this general State law does apply to Gilroy districts, even though Gilroy is a charter city, not a general law city. Although the City Charter could supersede State law on certain election issues, the Charter is silent on the matter of districting, since the transition to districts was accomplished pursuant to State law without needing a Charter amendment. In the absence of a contrary Charter provision, general State law applies, per Charter Sec. 201.

Furthermore, both Resolution 2025-07, expressing Gilroy’s intent to transition to districts, and Ordinance No. 2025-04, establishing the districts, state that the transition is being taken in accordance with applicable provisions of the State Elections and Government Codes and to serve the purposes and objectives of the California Voting Rights Act of 2001 contained in Elections Code section 14025 et seq.

Thus, we conclude that if a Councilmember ceases to reside in their district, the office becomes vacant. In that event, the vacancy would be filled through appointment by the Council, pursuant to Gilroy Charter section 406, which states, “A vacancy in an elective office, from whatever cause arising, shall be filled by appointment by the Council, such appointee to hold office until the first Tuesday following the next general municipal election and until his successor qualifies. At the next general municipal election following any vacancy, a successor shall be elected to serve for the remainder of any unexpired term.”

2. The Voluntary Campaign Expenditure Ceiling Applies Per City Resident, Not District Resident, But Could Be Changed to Apply to Districts.

Gilroy City Code 8B.4(a) contains a voluntary campaign expenditure ceiling limited to one dollar ($1) per City resident: “The city council does hereby establish a voluntary campaign expenditure ceiling as follows: For a candidate for municipal office and for any and all controlled committees of such candidate, in the aggregate not to exceed one dollar ($1.00) per resident for each municipal election...” The Gilroy City Code does not state that a voluntary expenditure ceiling is $1 per district resident. Moreover, the wording predates districting, and so it is hard to make an argument that district population limits are pertinent. Therefore, our conclusion is that the current voluntary expenditure limit applies to the population of the whole City.

The City Council could amend this expenditure limit in a way that reduces the voluntary expenditure ceiling based on districting. To create a limit corresponding to a district, the limit could be based on the actual district population, or set to, say, one-sixth of the total City population.

Chapter 8B

ELECTIONS CAMPAIGN FINANCE
Sections:
8B.1 Short title.
8B.2 Purpose—Policy declaration.
8B.3 Definitions.
8B.4 Voluntary campaign expenditure ceiling and campaign contribution limits. 8B.5 Campaign contribution prohibitions.
8B.6 Campaign filing or reporting requirements.
8B.7 Enforcement.

The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

Gilroy City Code Chapter 8B ELECTIONS CAMPAIGN FINANCE Page 1 of 9

8B.1 Short title.

This chapter shall be cited and referred to as the “elections campaign finance” law of the city. (Ord.

No. 2012-05, § 1, 3-19-12)
The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

Gilroy City Code Chapter 8B ELECTIONS CAMPAIGN FINANCE Page 2 of 9

8B.2 Purpose—Policy declaration.

The city council hereby finds that the campaign financing regulations set forth in this chapter are in addition to, and not inconsistent with, any and all laws governing municipal elections enacted in the Political Reform Act of 1974 (“Act”), and that these regulations herein enacted are not intended to interfere with a person’s compliance with that Act. (Ord. No. 2012-05, § 1, 3-19-12) The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

Gilroy City Code Chapter 8B ELECTIONS CAMPAIGN FINANCE Page 3 of 9

8B.3 Definitions.

Because of the thoroughness of the Act’s statutory scheme, unless a term is specifically defined in this chapter, or the contrary is stated (or clearly appears from the context), the definitions set forth in Chapter 2 (“Definitions,” Section 82000 et seq. of the Government Code) of the Act shall govern the interpretation of the provisions of this chapter.
“Campaign statement” shall have the same meaning as defined in California Government Code Section 82006 and is an itemized report prepared on a form prescribed by the Fair Political Practices Commission.
“Committee” and “controlled committee” shall have the same meaning as defined in California Government Code Sections 82013 and 82016, respectively, as such sections may be amended from time to time.
“Contribution” shall have the same meaning as defined in California Government Code Section 82015, except that, as set forth in Section 85312, payments for communications to members, employees, shareholders, or families of members, employees, or shareholders of an organization for the purpose of supporting or opposing a candidate are not contributions or independent expenditures, provided those payments are not made for general public advertising such as broadcasting, billboards, or newspaper advertisement.
(a) For purposes of the contribution limits of this chapter the following terms have the following meanings:
(1) “Entity” means any person, other than an individual. (2) “Majority owned” means an ownership of more than fifty percent (50%). (b) For purposes of the campaign contribution limits of this chapter the following restrictions apply:
(1) The contributions of an entity whose contributions are directed and controlled by any individual shall be aggregated with contributions made by that individual and any other entity whose contributions are directed and controlled by the same individual. (2) If two (2) or more entities make contributions that are directed and controlled by a majority of the same persons, the contributions of those entities shall be aggregated. (3) Contributions made by entities that are majority owned by any person shall be aggregated with the contributions of the majority owner and all other entities majority owned by that person, unless those entities act independently in their decisions to make contributions. “Person” shall mean an individual, proprietorship, firm, partnership, joint venture, syndicate, business trust, company, corporation, limited liability company, association, committee, and any The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

Gilroy City Code Chapter 8B ELECTIONS CAMPAIGN FINANCE Page 4 of 9

other organization or group of persons acting in concert. (Ord. No. 2012-05, § 1, 3-19-12; Ord. No. 2015-07, § 1, 7-1-15)
The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

Gilroy City Code Chapter 8B ELECTIONS CAMPAIGN FINANCE Page 5 of 9

8B.4 Voluntary campaign expenditure ceiling and campaign contribution limits. (a) The city council does hereby establish a voluntary campaign expenditure ceiling as follows: For a candidate for municipal office and for any and all controlled committees of such candidate, in the aggregate not to exceed one dollar ($1.00) per resident for each municipal election. Should a candidate who has elected to comply with the voluntary campaign expenditure ceiling exceed that ceiling, he/she shall immediately notify all opponents and the city clerk by telephone and confirm the same in writing the day that such expenditure ceiling is exceeded. (b) The city council does hereby establish the following campaign contribution limit: seven hundred fifty dollars ($750.00) per election to a candidate for municipal office, which limit shall apply to the total of all contributions to the candidate from any person and to any controlled committee of such candidate, other than a candidate in aid of himself or herself. (Ord. No. 2015-07, §§ 2, 3, 7-1-15) The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

Gilroy City Code Chapter 8B ELECTIONS CAMPAIGN FINANCE Page 6 of 9

8B.5 Campaign contribution prohibitions.
(a) It shall be prohibited for any person, other than a candidate in aid of himself or herself, to make any campaign contribution to a candidate for municipal office, or to any controlled committee of such candidate, which will cause the total amount contributed by such person to a candidate and all controlled committees of such candidate, with respect to a single election in support of such candidate, to exceed seven hundred fifty dollars ($750.00). (b) It shall be prohibited for any candidate for municipal office, or any controlled committee of such candidate, to solicit or accept any campaign contribution which will cause the total amount contributed by any person to a candidate and all controlled committees of such candidate, other than a candidate in support of himself or herself, with respect to a single election in support of such candidate, to exceed seven hundred fifty dollars ($750.00). (c) Extinguishing Expenditure Ceiling. Any candidate for elective office who has filed a statement accepting the voluntary expenditure ceiling is not bound by the ceiling if an opposing candidate who has accepted the voluntary expenditure ceiling exceeds the ceiling set forth in section 8B.4(a). (d) It shall be prohibited to receive contributions from any person who does not disclose their identity, and all contributions of any amount (monetary or nonmonetary) shall be fully itemized and reported on a recipient committee pre-election campaign statement. (Ord. No. 2012-05, § 1, 3-19- 12; Ord. No. 2015-07, §§ 4, 5, 7-1-15)
The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

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8B.6 Campaign filing or reporting requirements.
(a) The city clerk shall prescribe the necessary forms for filing the appropriate statements. (b) Each candidate must file a voluntary campaign expenditure ceiling statement with the city clerk indicating whether or not he or she will participate in the voluntary campaign expenditure ceiling program before accepting or receiving any campaign contributions. The city clerk shall ask the registrar of voters to prominently designate those candidates who participate in the program on the ballot, in the ballot pamphlet and in the sample ballot. (c) In addition to the state law required filing of campaign statements, each recipient committee formed in conjunction with an election to a municipal office must file one additional recipient committee pre-election campaign statement with the city clerk four (4) calendar days before the election. This statement will cover the period from the last date of the most recent pre-election statement to seven (7) calendar days before the election. (Ord. No. 2012-05, § 1, 3-19-12) The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

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8B.7 Enforcement.

Enforcement of this chapter shall not be governed by Chapter 6A unless such violation constitutes a separate violation of another section or provision of the Gilroy Municipal Code or another applicable provision of law.
(a) Civil Enforcement.
(1) Pursuant to California Government Code Section 91001(b), the civil prosecutor is primarily responsible for enforcement of the civil penalties and remedies of the Act. The civil prosecutor is the Santa Clara County District Attorney, and is responsible for enforcing the provisions of this chapter. If determined to be necessary, the City Attorney may retain special counsel for enforcement of its provisions.
(2) Any person who makes or receives or solicits or accepts a contribution or makes an expenditure in violation of the provisions of sections 8B.4 and 8B.5 shall be liable in a civil action which may be brought by the civil prosecutor or a person residing within the city for an amount up to one thousand dollars ($1,000) or for an amount up to three (3) times the amount of the unlawful contribution or expenditure, whichever amount is greater, for each violation. (3) Any person who intentionally or negligently violates any of the filing or reporting requirements of section 8B.6 is liable in a civil action which may be brought by the civil prosecutor or a person residing within the jurisdiction for an amount not more than the amount or value not properly reported or disclosed.
(4) Any person, before filing a civil action for a violation of section 8B.4, 8B.5 or 8B.6, must first file with the Santa Clara County District Attorney a written request for him or her to commence the action. The time periods and procedures set forth in California Government Code Section 91007 shall apply.
(5) In addition to other remedies provided by law, any person residing in the city may sue for injunctive relief to enjoin violations or to compel compliance with the provisions of this chapter.
(b) Criminal Enforcement. The enforcement of violations of the provisions of this chapter may be prosecuted as an infraction and/or misdemeanor. The district attorney shall prosecute violations as a misdemeanor except where he/she has determined that, in the best interest of justice, a violation should be prosecuted as an infraction. Penalties for misdemeanor violations are established in California Penal Code Section 19, and penalties for infractions are established in California Government Code Section 6900. (Ord. No. 2012-05, § 1, 3-19-12) The Gilroy City Code is current through Ordinance 2026-01, passed January 5, 2026.

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