Los Gatos City Council
April 16, 2024

ITEM NO. 11.

Town of Los Gatos Los Gatos Police Officers’ Association October April 1, 20214 – June 30, 20247

12409313.1 LO007-016
Section 36. Outside Employment
Outside employment shall be subject to approval of the Chief of Police and the Town Manager, subject to the following limitations: no security work within Town limits; no use of Los Gatos uniform, badge, ID, or Los Gatos issued items; vacation or CTO to be used for court appearances resulting from private employment. Approval must be obtained prior to engaging in the outside employment and shall be renewed prior to July 1 of each year. In order to best maintain the safety and integrity of the LGMSPD workforce and its delivery of services to the Los Gatos and Monte Sereno communities, requests for full-time sworn staff to “double-badge” (e.g. temporarily serve as a member of another law enforcement agency) shall be automatically denied unless the requesting employee has at least five (5) years of experience as a sworn peace officer in a position that requires possession of a basic POST certificate and with at least four (4) years of service with the Town
Section 37. Residency Requirement
There is no residency requirement for represented employees.

Section 38. Layoff Policy
Association recognizes the right of the Town to determine the resources to be made available to the police department. Although a reduction in force (layoff) is not anticipated, it is recognized that it is the sole right of the Town to determine when such reductions in force are necessary.

Reductions in force shall be by classification with the determination of affected employees by the Town based on seniority counted as total time employed by the Town. Affected employees shall be provided a minimum thirty (30) calendar days’ notice of layoff.

Employees in the classification of Police Sergeant and designated for layoff shall have the right to return to positions previously held with the Town and represented by the Association.

Section 39. VehiclesPaid Family Leave
Upon request from the Association between July and December 2024, the Town and the Association shall meet to agree to identify and implement paid parental leave benefits through Lincoln-Financial via PRISM-EIA, New York Life, or any other provider that are equal to or greater than those provided under the California Paid Family Leave program.

Town shall advise POA no later than sixty days prior to Town development of vehicle specifications for patrol vehicles.

POA shall submit recommended specifications for vehicle purchase no later than thirty (30) days after receiving the notice from the Town.

Section 40. Promotions
The Town and Association agree that it is in the best interest of both the Town and its employees to foster promotion of incumbent employees.

The Town and Association recognize the Town's sole right to determine the examination process for the selection of Town employees. Qualified employees who are invited to participate in the examination process shall be allowed up to two (2) hours of time-off from regularly scheduled work in order to participate in the examination process if the examination process is scheduled during the employee's normal work period.

To the best of its ability, the Town shall maintain a current promotional list for the positions of Police Corporal and Police Sergeant.

ITEM NO. 11.

Town of Los Gatos Los Gatos Police Officers’ Association October April 1, 20214 – June 30, 20247

12409313.1 LO007-016
Any opening for Police Corporal or Police Sergeant positions shall be posted for a minimum of three weeks, unless extraordinary circumstances warrant otherwise.

Section 41. Probationary Period
The Town and the Association agree that all original appointments to the rank of Police Officer will include a probationary period of 18 months from date of hire to allow the department to fully evaluate the officer following the academy and FTO training.

Individuals hired as a lateral transfer must have a valid P.O.S.T. Basic Certificate at the time of hire and will be subject to a 12-month probationary period.

Any individual on an 18-month probationary period will be eligible to receive a step increase after 12 months.

All promotional appointments to the positions of Corporal and Sergeant shall be subject to satisfactory completion by the employee of a 12-month probationary period.

The Chief of Police may extend the probationary period of an employee for a period not to exceed an additional six (6) months.

Section 42. Performance Evaluations
Performance evaluations shall take place at least every three (3) months for all probationary employees and shall take place at least annually thereafter on the anniversary of an employee’s employment with the Town. Employees eligible for step increases shall receive their performance evaluation no later than fifteen (15) days prior to their employment anniversary date.

All performance evaluations shall be discussed with the employee prior to the evaluation being completed. Employees may sign their individual performance evaluations as evidence of discussion having taken place; employee signature does not necessarily imply agreement with the evaluation. If an employee chooses not to sign an evaluation, the supervisor will note that the employee has read the evaluation and chooses not to sign. An employee may attach separate written comments to their evaluation.

Section 43. Reinstatement
Subject to the approval of the Town Manager, a permanent employee who has resigned from employment with the Town may be reinstated within two (2) years of their resignation to their former position, if vacant. Upon reinstatement, the employee shall be considered as though they had received an original appointment, unless other conditions are made a part of the reinstatement by the Town Manager.

Section 44. Re-Employment
The names of employees affected by layoff shall be placed on appropriate re-employment lists in the order of total continuous cumulative time served in paid status. Such names shall remain thereon for a period of eighteen (18) months unless such persons are sooner re-employed. When a re-employment list is to be used to fill vacancies, the Personnel Officer shall certify from the top of such list the number of names equal to the number of vacancies to be filled, and the appointing power shall appoint such persons to fill the vacancies.

ITEM NO. 11.

Town of Los Gatos Los Gatos Police Officers’ Association October April 1, 20214 – June 30, 20247

12409313.1 LO007-016
Section 45. Grievance Procedures
Grievances shall be defined as alleged violations of this agreement or disputes regarding interpretations, application, or enforcement of this agreement to Town ordinances, resolutions, and written policies related to personnel policies and working conditions. Grievances shall not include disagreements, disputes, or activities regarding or pertaining to examinations for employment or promotion, disciplinary action, performance evaluations, and probationary terminations.

No act or activity which may be grievable may be considered for resolution unless a grievance is filed in accordance with the procedure contained herein within sixty (60) calendar days of the date the grievable activity occurred or the date the employee could reasonably have known such activity occurred. The provision for the sixty (60) days “statute of limitations” shall not apply to probationary employees.

The parties agree that all grievances will be processed in accordance with the following procedure:

Any employee who has a grievance shall first try to get it settled through discussion with their immediate supervisor without undue delay. Every effort shall be made to find an acceptable solution at the lowest possible level of supervision. If after such discussion the employee does not believe the grievance has been satisfactorily resolved, they may file a formal appeal in writing to the command officer responsible for supervision of the employee’s immediate supervisor within ten (10) calendar days after receiving the informal decision of their immediate supervisor. The command officer shall respond within ten (10) calendar days of the filing of the appeal.

If the employee does not believe the grievance has been satisfactorily resolved by the command officer, the employee may then file a formal appeal in writing to the Chief of Police within ten (10) calendar days after receiving the informal decision of the command officer. The Chief of Police shall render his written decision within ten (10) calendar days after receiving the appeal.

If after receipt of the written decision of the Chief of Police, the employee is still dissatisfied, they may appeal the decision of the Chief to the Town Manager. Such appeal shall be made by filing a written appeal to the Town Manager within five (5) days after the receipt of the written decision of the Chief. The Town shall render a written decision within twenty (20) working days after the appeal is made.

If after receipt of the written decision of the Town Manager the employee is still dissatisfied, he/she/they may appeal the decision of the Town Manager to the Personnel Board. Such appeal shall be made by filing a written appeal to the Chair of the Personnel Board within five (5) days after receipt of the written decision of the Town Manager.

The Personnel Board shall establish a hearing date within 30 days of receipt of the written appeal. The Personnel Board shall conduct a closed hearing giving opportunity for presentation by the employee or their representative and the Town Manager. The Personnel Board shall render a written decision within 30 days after the appeal is made. If after receipt of the written decision of the Personnel Board, the employee is still dissatisfied, they may appeal the decision of the Personnel Board to the Town Council. Such appeal shall be made by filing a written appeal with the Mayor. The Mayor shall schedule a closed hearing with the Town Council within 30 days after receipt of the appeal. At this hearing, the employee and the Town Manager may make presentations. The Town Council decision shall be final.

The Town Council shall render a decision within 30 days after the hearing. An open hearing may be conducted by the Personnel Board or Town Council with mutual consent of the Town and person(s) filing the grievance.

The time limitations for filing and responding to grievances may be waived or extended by mutual agreement of the parties. If either party to the grievance so requests, an informal hearing shall be conducted at the Chief of Police or Town Manager appeal levels. Employees may be represented by counsel or other person at any stage in the grievance process.

ITEM NO. 11.

Town of Los Gatos Los Gatos Police Officers’ Association October April 1, 20214 – June 30, 20247

12409313.1 LO007-016
Section 46. Attendance
Employees shall be in attendance at their work in accordance with the rules regarding hours of work, holidays and leave.

An employee whose absence is not authorized will not receive pay or benefits for the absent period and shall be subject to discipline. Failure on the part of an employee absent without leave to return to duty shall be grounds for discharge. It shall be the responsibility of an employee absent without leave to notify the department head of the reason the employee is absent and of the employee’s availability for duty.

Section 47. Completeness of MOU
The Town and the Association acknowledge and agree to abide by the provisions of the Meyers-Milias-Brown Act.

Section 48. Association Notification or Communications
The Town and the Department will make every reasonable effort to keep the Association President informed on issues related to the working conditions of the Association members.

Section 49. Labor-Management Committee
As part of a continuing effort to promote healthy labor relations, the Department and the Association shall establish a Police Labor-Management Committee to meet on at least a quarterly basis to promote open communication and the sharing of information. It is the intent of the parties that the Chief or designee and the Association President or designee will attend these meetings.

Upon request from the Town, the Association agrees to meet to agree with the Town on Department shift schedules.

Section 50. Catastrophic Time Bank
If an employee is catastrophically ill or injured, or if the spouse or child of such employee becomes catastrophically ill or injured, the employee may request of the Town Manager that a catastrophic time bank be established. This request should be in writing. The catastrophic time bank will enable other employees to donate accrued CTO, holiday credits, or vacation credits to the requesting employee in accordance with departmental policies.

Specific procedures for the administration of the catastrophic time bank will be developed by the department.

Section 51. Me Too Clause
The Town shall not enter into an agreement with another bargaining unit, local union or management unit so that unit, local or bargaining unit can receive any compensation related to any salary or total compensation increase obtained by the POA.

ITEM NO. 11.

Town of Los Gatos Los Gatos Police Officers’ Association October April 1, 20214 – June 30, 20247 12409313.1 LO007-016
SALARY SCHEDULE EXHIBIT A (New schedules inserted)

ITEM NO. 11.

Town of Los Gatos Los Gatos Police Officers’ Association October April 1, 20214 – June 30, 20247 12409313.1 LO007-016 Page 140
ITEM NO. 11.

Town of Los Gatos Los Gatos Police Officers’ Association October April 1, 20214 – June 30, 20247 12409313.1 LO007-016
.

ITEM NO. 11.

Class Code Classification Title Range Step Hourly Rate
2521 Police Sergeant 05-0721 1 $76.7013
Appointment after 03/01/2015 2 $80.5364
3 $84.5632
4 $88.7914
Class Code Classification Title Range Step Hourly Rate
7500 Police Corporal 03-0715 1 $63.6338
2 $66.8155
3 $70.1563
4 $73.6641
5 $77.3473
Class Code Classification Title Range Step Hourly Rate
7510 Police Officer 02-0711 1 $60.6198
2 $63.6508
3 $66.8333
4 $70.1750
5 $73.6838
Class Code Classification Title Range Step Hourly Rate
9519 Police Trainee * 01-0710 1 $57.5888
* 95% of Step 1 of Police Officer Classification (Provisional Employee with Misc PERS) Reflects General Increase of 6.5%.

Town of Los Gatos POA Classifications
Salary Schedule for Fiscal Year 2023/24 and Fiscal Year 2024/25 Effective pay period containing April 1, 2024
1 ATTACHMENT 2

ITEM NO. 11.

Class Code Classification Title Range Step Hourly Rate
2521 Police Sergeant 05-0721 1 $80.5364
Appointment after 03/01/2015 2 $84.5632
3 $88.7914
4 $93.2310
Class Code Classification Title Range Step Hourly Rate
7500 Police Corporal 03-0715 1 $66.8155
2 $70.1563
3 $73.6641
4 $77.3473
5 $81.2147
Class Code Classification Title Range Step Hourly Rate
7510 Police Officer 02-0711 1 $63.6508
2 $66.8333
3 $70.1750
4 $73.6838
5 $77.3680
Class Code Classification Title Range Step Hourly Rate
9519 Police Trainee * 01-0710 1 $60.4683
* 95% of Step 1 of Police Officer Classification (Provisional Employee with Misc PERS) Reflects General Increase of 5%.

Town of Los Gatos POA Classifications
Salary Schedule for Fiscal Year 2025/26
Effective the first full pay period in July 2025
1 ATTACHMENT 3 Page 143
ITEM NO. 11.

Class Code Classification Title Range Step Hourly Rate
2521 Police Sergeant 05-0721 1 $83.7579
Appointment after 03/01/2015 2 $87.9458
3 $92.3431
4 $96.9603
Class Code Classification Title Range Step Hourly Rate
7500 Police Corporal 03-0715 1 $69.4881
2 $72.9625
3 $76.6106
4 $80.4411
5 $84.4632
Class Code Classification Title Range Step Hourly Rate
7510 Police Officer 02-0711 1 $66.1968
2 $69.5066
3 $72.9819
4 $76.6310
5 $80.4626
Class Code Classification Title Range Step Hourly Rate
9519 Police Trainee * 01-0710 1 $62.8870
* 95% of Step 1 of Police Officer Classification (Provisional Employee with Misc PERS) Reflects General Increase of 4%.

Town of Los Gatos POA Classifications
Salary Schedule for Fiscal Year 2026/27
Effective the first full pay period in July 2026
1 ATTACHMENT 4

ITEM NO. 11.

Reviewed by: Town Manager, Assistant Town Manager, Community Development Director, Finance Director, and Town Clerk
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 04/16/2024
DATE: April 10, 2024
TO: Mayor and Town Council
FROM: Gabrielle Whelan, Town Attorney
SUBJECT: Adopt a Resolution Rescinding the Land Use and Community Design Elements of the 2040 General Plan
RECOMMENDATION:

Adopt a resolution rescinding the Land Use and Community Design Elements of the 2040 General Plan.

BACKGROUND:

The Town adopted the 2040 General Plan in 2022. Proponents of a referendum to rescind the Land Use Element and Community Design Element of the 2040 General Plan circulated a petition to place a referendum on the ballot at the next general municipal election and obtained sufficient signatures. The next general municipal election is scheduled for November 2024. Elections Code Section 9241 provides the Town Council with the option to either rescind the referended legislation or place the referended legislation on the ballot. At its April 2, 2024 meeting, the Town Council provided direction to rescind the Land Use and Community Design Elements of the 2040 General Plan.

DISCUSSION:

Attached is a draft resolution 1) rescinding the Land Use and Community Design Elements of the 2040 General Plan and 2) providing that the Land Use and Community Design Elements of the 2020 General Plan, as amended since October 2022, will remain in effect.

CONCLUSION:

The resolution would take effect upon adoption.

ITEM NO. 12.

PAGE 2 OF 2
SUBJECT: Adopt a Resolution Rescinding 2040 Land Use and Community Design Elements DATE: April 10, 2024
COORDINATION:

This report was coordinated with the Town Manager, Community Development Director, and Town Clerk.

FISCAL IMPACT:

Adoption of the draft resolution will not have a fiscal impact.

ENVIRONMENTAL ASSESSMENT:

The environmental impacts of the previous Land Use and Community Design Elements were previously analyzed in the Environmental Impact Report (EIR) prepared for the 2020 General Plan. In addition, the environmental impacts of the 2040 General Plan were analyzed in an EIR prepared for the 2040 General Plan. Both the impacts of the 2020 Land Use Element and Community Design Element and the remaining General Plan Elements are addressed in the EIR prepared for the 2040 General Plan.

Attachment:

1. Draft Resolution

ITEM NO. 12.
1 of 2
Draft Resolution Adoption Date
ATTACHMENT 1

DRAFT RESOLUTION

RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS RESCINDING THE 2040 LAND USE AND COMMUNITY DESIGN ELEMENTS WHEREAS, the Town of Los Gatos (“Town”) adopted the 2040 General Plan by Resolution 2022-047 on June 30, 2022; and
WHEREAS, proponents of a referendum to rescind the Land Use Element and the Community Design Element of the 2040 General Plan (the “Referendum Proponents”) have circulated a petition; and
WHEREAS, the Referendum Proponents gathered a sufficient number of signatures on the petition to warrant certification of the signatures by the County Registrar of Voters; and WHEREAS, the County Registrar of Voters has certified the petition signatures; and WHEREAS, accordingly, the referendum has qualified for inclusion on an upcoming ballot; and
WHEREAS, Elections Code Section 9241 provides that, when a referendum has qualified for inclusion on the ballot, the legislative body shall decide whether to rescind the referended legislation or place the legislation on the ballot at the next general municipal election; and WHEREAS, the Town Council has elected to rescind the referended legislation; and WHEREAS, the previously adopted General Plan 2020 Land Use Element and Community Design Element, as amended after October 2022, will remain in place;

NOW, THEREFORE, THE TOWN COUNCIL OF THE TOWN OF LOS GATOS DOES HEREBY RESOLVE:

1. The 2040 Land Use Element and Community Design Element are rescinded.

2. The previously adopted Land Use Element and Community Design Element from the 2020 General Plan will apply, including all amendments adopted since October 2022 for consistency with the Housing Element.

3. The remaining Elements of the 2040 General Plan remain in effect.

4. The environmental impacts of the previous Land Use and Community Design Elements were previously analyzed in the Environmental Impact Report (EIR) prepared for the 2020 General Plan. In addition, the environmental impacts of the 2040 General Plan were analyzed in an EIR prepared for the 2040 General Plan.

Both the impacts of the 2020 Land Use Element and Community Design Element and the remaining General Plan Elements are addressed in the EIR prepared for the 2040 General Plan.

ITEM NO. 12.
2 of 2
Draft Resolution Adoption
Date
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the ___ day of _____, 2024, by the following vote:

COUNCIL MEMBERS:

AYES:

NAYS:

ABSENT:

ABSTAIN:

SIGNED:

MAYOR OF THE TOWN OF LOS GATOS

LOS GATOS, CALIFORNIA
DATE: __________________
ATTEST:

TOWN CLERK OF THE TOWN OF LOS GATOS

LOS GATOS, CALIFORNIA
DATE: __________________

ITEM NO. 12.

Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Parks and Public Works Director, and Finance Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 04/16/2024
DATE: April 11, 2024
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Adopt a Resolution Rescinding Resolution Nos. 2024-003, 2024-004, and 2024-005 Regarding the Transportation Impact Fee
RECOMMENDATION:

Adopt a Resolution rescinding Resolution Nos. 2024-003, 2024-004, and 2024-005 Regarding the Transportation Impact Fee, leaving the Town’s previously adopted Traffic Impact Mitigation Fees in effect pending further review.

REMARKS:

On January 16, 2024, the Town Council adopted resolutions relating to an updated transportation impact fee (TIF), which was intended to replace the Town’s prior traffic impact mitigation fee. These resolutions included Resolution 2024-003 (adopting the nexus study for the 2023 Update to the Transportation Impact Fee), Resolution 2024-004 (formally updating the Transportation Impact Fee and amending the 2023-2024 Master Fee Schedule to include the updated fee), and Resolution 2024-005 (amending the Town’s Traffic Impact Policy).

In addition, the Town Council also introduced a proposed new ordinance that would have amended Town Code Section 15, Article VII, entitled “Traffic Impact Mitigation Fees,” to instead provide for the Town’s imposition of the proposed updated “Transportation Impact Fee,” as contemplated in the three resolutions.

Public comment on the January agenda item raised a question regarding the methodology used in the nexus study in support of the updated fee. Staff is gathering information regarding the methodology used. In the meantime, the proposed ordinance has not yet been brought back to the Council for a second reading and final adoption, and the Town’s existing Code provisions relating to its Traffic Impact Mitigation Fees have remained in effect. The Resolutions updating the fee, nonetheless, took effect on March 15, 2024. Since this date, any new transportation impact fees collected have been set aside and have not been allocated to capital projects.

ITEM NO. 13.

PAGE 2 OF 3
SUBJECT: Resolution Rescinding Resolutions Regarding the Transportation Impact Fee DATE: April 11, 2024
REMARKS (continued):

On March 19, 2024, the Town Council discussed the possible suspension of the TIF and deferred action until April 2, 2024. On April 2, 2024, the Town Council discussed several options for potentially modifying the nexus study that was used to determine the fee. The Council provided direction to explore a couple of the options and return to Town Council with the results. The Council did not consider suspension or rescission at the early April meeting.

Also on April 2, 2024, the Town Council adopted a Resolution approving the Comprehensive Fee Schedule for Fiscal Year 2024/25. The updated fee schedule retains the former Traffic Impact Mitigation Fees (rather than the updated Transportation Impact Fee reflected in the three Resolutions).

To avoid confusion, staff recommends that the Council rescind the Resolutions that established the updated Transportation Impact Fee, to be reconsidered after Town staff returns to the Council with the additional analysis and options. (Attachment 1).

ALTERNATIVES:

Alternatively, the Council may prefer to suspend rather than fully rescind the Resolutions regarding the TIF (Attachment 2) or retain the new fee. If Council decides to retain the new fee, it will still need to adopt the related Ordinance that was introduced last January, and the 2024/25 fee schedule would need to be amended by future Council action.

If a Council Member would like to consider one of these alternatives, this agenda item will need to remove this item from the Consent Calendar. If the Council approves the Consent Calendar without removing this item, the Council would be rescinding the three resolutions as contemplated in the draft resolution included as Attachment 1.

NEXT STEPS:

If the January 16th resolutions are rescinded or suspended, the former traffic impact fee will come back into effect immediately. Again, the Comprehensive Fee Schedule for Fiscal Year 2024/25 as approved by the Council on April 2 already contemplates this.

COORDINATION:

This report was coordinated with the Department of Parks and Public Works, Town Attorney, and outside legal counsel.

ITEM NO. 13.

PAGE 3 OF 3
SUBJECT: Resolution Rescinding Resolutions Regarding the Transportation Impact Fee DATE: April 11, 2024
FISCAL IMPACT:

As recommended, this action would result in a return to the former traffic impact fee.

ENVIRONMENTAL ASSESSMENT:

This is not a project defined under CEQA, and no further action is required.

Attachments:

1. Resolution Rescinding Resolution Nos. 2024-003, 2024-004, and 2024-005

2. Resolution Suspending Resolution Nos. 2024-003, 2024-004, and 2024-005

ITEM NO. 13.
1 of 2
Resolution 2024 - 4/16/24
RESOLUTION 2024-xx

RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS RESCINDING RESOLUTION NOS. 2024-003, 2024-004, AND 2024-005
WHEREAS, on January 16, 2024, the Town Council adopted Resolution Nos. 2024-003, 2024-004, and 2024-005, to replace the Town’s existing Traffic Impact Mitigation Fee with a new updated Transportation Impact Fee; and
WHEREAS, the Town received a question regarding the methodology used in the nexus study in support of the updated transportation impact fee; and WHEREAS, on April 2, 2024, the Town Council directed staff to study several options to update the methodology used in the nexus study and return to Town Council with the results; and
WHEREAS, staff recommends rescinding Resolution No. 2024-003 Adopting the Nexus Study for the 2023 Update to the Transportation Impact Fee, Resolution No. 2024-004 Updating the Transportation Impact Fee and Amending the 2023-2024 Master Fee Schedule to Include the Updated Fee, and Resolution No. 2024-005 amending the Traffic Impact Policy, which rescissions will have the effect of leaving in place the Town’s previous Traffic Impact Mitigation Fee;
NOW, THEREFORE, BE IT RESOLVED, the Town Council rescinds Resolution Nos. 2024- 003, 2024-004, 2024-005. The Town Council directs that the Traffic Impact Mitigation Fees continue to be collected in the same amounts that existed prior to the adoption of these Resolutions, as previously approved by the Town Council pursuant to Section 15.70.035 of the Town Code.

PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 16
th day of April, by the following vote:

COUNCIL MEMBERS:

AYES:

NAYS:

ABSENT:

ABSTAIN: ATTACHMENT 1

ITEM NO. 13.
2 of 2
Resolution 2024 - 4/16/24
SIGNED:
_______________________________

MAYOR OF THE TOWN OF LOS GATOS

LOS GATOS, CALIFORNIA
DATE: __________________
ATTEST:
___________________________________

TOWN CLERK OF THE TOWN OF LOS GATOS

LOS GATOS, CALIFORNIA
DATE: __________________

ITEM NO. 13.
1 of 2
Resolution 2024 - 4/16/24
RESOLUTION 2024-xx

RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS SUSPENDING RESOLUTION NOS. 2024-003, 2024-004, AND 2024-005
WHEREAS, on January 16, 2024, the Town Council adopted Resolution Nos. 2024-003, 2024-004, and 2024-005, to replace the Town’s existing Traffic Impact Mitigation Fee with a new updated Transportation Impact Fee; and
WHEREAS, the actions associated with the updated transportation impact fee included the Council adoption of Resolution No. 2024-003 Adopting the Nexus Study for the 2023 Update to the Transportation Impact Fee, Resolution No. 2024-004 Updating the Transportation Impact Fee and Amending the 2023-2024 Master Fee Schedule to Include the Updated Fee, and Resolution No. 2024-005 amending the Traffic Impact Policy; and WHEREAS, the Town received a question regarding the methodology used in the nexus study in support of the updated transportation impact fee; and WHEREAS, on April 2, 2024, the Town Council directed staff to study several options to update the methodology used in the nexus study and return to Town Council with the results; and
WHEREAS, the Town Council now intends to suspend the three Resolutions pending such further study, which suspension will have the effect of leaving in place the Town’s previous Traffic Impact Mitigation Fee.

NOW, THEREFORE, BE IT RESOLVED, the Town Council suspends Resolution Nos. 2024- 003, 2024-004, 2024-005, pending the results of the additional analysis pertaining to the methodology used in the nexus study and a future Town Council discussion of this topic. The Town Council directs that the Traffic Impact Mitigation Fees continue to be collected in the same amounts that existed prior to the adoption of these Resolutions, as previously approved by the Town Council pursuant to Section 15.70.035 of the Town Code.

PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 16
th day of April, by the following vote:

ATTACHMENT 2

ITEM NO. 13.
2 of 2
Resolution 2024 - 4/16/24
COUNCIL MEMBERS:

AYES:

NAYS:

ABSENT:

ABSTAIN:

SIGNED:
_______________________________

MAYOR OF THE TOWN OF LOS GATOS

LOS GATOS, CALIFORNIA
DATE: __________________
ATTEST:
___________________________________

TOWN CLERK OF THE TOWN OF LOS GATOS

LOS GATOS, CALIFORNIA
DATE: __________________

ITEM NO. 13.

PREPARED BY: Nicolle Burnham
Parks and Public Works Director
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 04/16/2024
DATE: April 12, 2024
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Authorize the Town Manager to Execute the First Amendment to the Contract with DKS Associates to Modify the Scope of Services and Increase Compensation from $160,505 to $166,647
RECOMMENDATION:

Authorize the Town Manager to execute the first amendment to the contract with DKS Associates to modify the scope of services and increase compensation from $160,505 to $166,647.

BACKGROUND:

At its meeting of April 2, 2024 (Item 17), the Town Council directed to staff to evaluate in more detail certain options related to modifying the Transportation Impact Fee. In discussing the item, Councilmembers requested that staff return with two to three options and possibly a recommendation.

DISCUSSION:

DKS Associates was contracted by the Town of Los Gatos to conduct the Nexus Study and recommend a Transportation Impact Fee. The April direction provided by Town Council is outside the scope of the original agreement. Attachment 1 is a first amendment to the agreement, outlining the scope of additional analysis directed by Town Council and the associated fee increase.

ITEM NO. 14.

PAGE 2 OF 3
SUBJECT: First Amendment to Agreement with DKS Associates DATE: April 12, 2024
CONCLUSION:

If approved, this action would enable the requested analysis to proceed in a timely manner and facilitate future Council discussion and action regarding the Transportation Impact Fee.

COORDINATION:

This memorandum was coordinated with the Town Attorney’s Office, outside legal counsel, the Town Manager’s Office, and the Finance Director.

FISCAL IMPACT:

The original agreement with DKS was for services billed at hourly rates based on actual hours worked. The $160,505 of the original agreement was not expended so the proposed amendment reflects the net change in compensation required. There are sufficient funds in the program budget to cover the additional request.

Notes:

1. Original agreement amount is $160,505; with $12,298 remaining.

2. New services are valued at $18,440 for new net funding on $6,142.

ENVIRONMENTAL ASSESSMENT:

This is not a project defined under CEQA, and no further action is required.

Budget Costs
GFAR $ 250,000
Total Budget $ 250,000
Costs
Consultant Services Agreement with DTA $ 8,800
Consultant Agreement with DKS Associates1$ 160,505
First Amendment to Consultant Agreement with DKS
Associates (Requested with this Staff Report)2$ 6,142
Staff Costs $ 14,030
Total Costs $ 189,477
Available Balance $ 60,523
VMT Mitigation Program
CIP No. 812-0133

ITEM NO. 14.

PAGE 3 OF 3
SUBJECT: First Amendment to Agreement with DKS Associates DATE: April 12, 2024
Attachment:

1. First Amendment with Exhibit A – Original Agreement for Consultant Services with DKS Associates and Exhibit B – Scope of Services for First Amendment

ITEM NO. 14.

DKS Associates – First Amendment ATTACHMENT 1

AMENDMENT TO AGREEMENT
This AMENDMENT TO AGREEMENT is dated for identification this 17th day of April 2024 and amends that certain (AGREEMENT DESCRIPTION) dated March 1st, 2022 made by and between the Town of Los Gatos, ("Town,") and the DKS Associates (“Consultant”) identified as an S Corporation and whose address is 1970 Broadway, Suite 740 Oakland, CA 94612.

RECITALS
A. Town and Consultant entered into a Consulting Agreement on April 17, 2022, (“Agreement”), a copy of which is attached hereto and incorporated by reference as Exhibit A to this Amendment.

B. Town desires to amend the Agreement to complete additional analysis as defined in Exhibit B to this Amendment.

AMENDMENT

1. Section 2.1 Scope of Services is amended to read as follows:

Consultant shall provide services as described in that certain Proposal sent to the Town on April 12, 2024, which is hereby incorporated by reference and attached as Exhibit B.

2. Section 2.6 Compensation is amended to read as follows:

Additional compensation for Consultant’s professional services shall be increased by $6,142 for a total agreement amount not to exceed $166,647 inclusive of all costs. Payment shall be based upon Town approval of each task based on Exhibit B.

3. Section 3.1 Minimum Scope of Insurance is amended to read as follows:

Service Provider agrees to have and maintain, for the duration of the contract, General Liability Insurance policies insuring him/her and his/her firm to an amount not less than two million dollars ($2,000,000) combined single limit per occurrence for bodily injury, personal injury and property damage.

4. Section 4.6 Notices is amended to change the Consultant address as follows:

DKS Associates
1050 SW 6th Ave, Suite 600
Portland, OR 97204

5. All other items and conditions of the Agreement remain in full force and effect.

ITEM NO. 14.

DKS Associates – First Amendment ATTACHMENT 1
IN WITNESS WHEREOF, the Town and Consultant have executed this Amendment.

Town of Los Gatos: Approved as to Consent:
_______________________________ ______________________________ Laurel Prevetti, Town Manager Carl Springer, Principal DKS Department Approval:
_______________________________________
Nicolle Burnham
Director of Parks and Public Works
Approved as to Form: Attest:
______________________________ ______________________________ Gabrielle Whelan, Town Attorney Wendy Wood, CMC, Town Clerk

ITEM NO. 14.

Agreement for Consultant Services
DKS Associates

AGREEMENT FOR CONSULTANT SERVICES
THIS AGREEMENT is dated for identification this 1
st day March 2022, and is made by and between
TOWN OF LOS GATOS, a California municipal corporation, (“Town”) and DKS Associates (“Consultant”), whose address is 1970 Broadway, Suite 740 | Oakland, CA 94612. This Agreement is made with reference to the following facts.

I. RECITALS

1.1 The Town desires to engage Consultant to provide services to prepare a Transportation Impact Fee Study to develop a Transportation Impact Fee Program.

1.2 The Consultant represents and affirms that it is willing to perform the desired work pursuant to this Agreement.

1.3 Consultant warrants it possesses the distinct professional skills, qualifications, experience, and resources necessary to timely perform the services described in this Agreement.

Consultant acknowledges Town has relied upon these warranties to retain Consultant.

II. AGREEMENTS

2.1 Scope of Services. Consultant shall provide services as described in that certain proposal sent to the Town on March 1, 2022, which is hereby incorporated by reference and attached as Exhibit A.

2.2 Term and Time of Performance. This contract will remain in effect upon execution to February 28, 2025. Consultant shall perform the services described in this agreement as described in Exhibit A.

2.3 Compliance with Laws. The Consultant shall comply with all applicable laws, codes, ordinances, and regulations of governing federal, state and local laws. Consultant represents and warrants to Town that it has all licenses, permits, qualifications and approvals of whatsoever nature which are legally required for Consultant to practice its profession. Consultant shall maintain a Town of Los Gatos business license pursuant to Chapter 14 of the Code of the Town of Los Gatos.

2.4 Sole Responsibility. Consultant shall be responsible for employing or engaging all persons necessary to perform the services under this Agreement.

2.5 Information/Report Handling. All documents furnished to Consultant by the Town and all reports and supportive data prepared by the Consultant under this Agreement are the Town’s property and shall be delivered to the Town upon the completion of Consultant's services or at the Town's written request. All reports, information, data, and exhibits prepared or assembled by Consultant in connection with the performance of its services pursuant to this Agreement are confidential until released by the Town to the public, and DocuSign Envelope ID: 141B2DFB-3DFC-4592-99ED-58DA04D3F5DB

EXHIBIT A

ITEM NO. 14.

Agreement for Consultant Services
DKS Associates

the Consultant shall not make any of the these documents or information available to any individual or organization not employed by the Consultant or the Town without the written consent of the Town before such release. The Town acknowledges that the reports to be prepared by the Consultant pursuant to this Agreement are for the purpose of evaluating a defined project, and Town's use of the information contained in the reports prepared by the Consultant in connection with other projects shall be solely at Town's risk, unless Consultant expressly consents to such use in writing. Town further agrees that it will not appropriate any methodology or technique of Consultant which is and has been confirmed in writing by Consultant to be a trade secret of Consultant.

2.6 Compensation. Compensation for Consultant's professional services shall not exceed $160,505, inclusive of all costs. Payment shall be based upon Town approval of each task.

2.7 Billing. Billing shall be monthly by invoice within thirty (30) days of the rendering of the service and shall be accompanied by a detailed explanation of the work performed by whom at what rate and on what date. Also, plans, specifications, documents or other pertinent materials shall be submitted for Town review, even if only in partial or draft form.

Payment shall be net thirty (30) days. All invoices and statements to the Town shall be addressed as follows:

Invoices:

Town of Los Gatos
Attn: Accounts Payable
P.O. Box 655
Los Gatos, CA 95031-0655

2.8 Availability of Records. Consultant shall maintain the records supporting this billing for not less than three years following completion of the work under this Agreement. Consultant shall make these records available to authorized personnel of the Town at the Consultant's offices during business hours upon written request of the Town.

2.9 Assignability and Subcontracting. The services to be performed under this Agreement are unique and personal to the Consultant. No portion of these services shall be assigned or subcontracted without the written consent of the Town.

2.10 Independent Contractor. It is understood that the Consultant, in the performance of the work and services agreed to be performed, shall act as and be an independent contractor and not an agent or employee of the Town. As an independent contractor he/she shall not obtain any rights to retirement benefits or other benefits which accrue to Town employee(s). With prior written consent, the Consultant may perform some obligations under this Agreement by subcontracting, but may not delegate ultimate responsibility for performance or assign or transfer interests under this Agreement. Consultant agrees to testify in any litigation brought regarding the subject of the work to be performed under this Agreement. Consultant shall be compensated for its costs and expenses in preparing DocuSign Envelope ID: 141B2DFB-3DFC-4592-99ED-58DA04D3F5DB

ITEM NO. 14.

Agreement for Consultant Services
DKS Associates

for, traveling to, and testifying in such matters at its then current hourly rates of compensation, unless such litigation is brought by Consultant or is based on allegations of Consultant's negligent performance or wrongdoing.

2.11 Conflict of Interest. Consultant understands that its professional responsibilities are solely to the Town. The Consultant has and shall not obtain any holding or interest within the Town of Los Gatos. Consultant has no business holdings or agreements with any individual member of the Staff or management of the Town or its representatives nor shall it enter into any such holdings or agreements. In addition, Consultant warrants that it does not presently and shall not acquire any direct or indirect interest adverse to those of the Town in the subject of this Agreement, and it shall immediately disassociate itself from such an interest, should it discover it has done so and shall, at the Town's sole discretion, divest itself of such interest. Consultant shall not knowingly and shall take reasonable steps to ensure that it does not employ a person having such an interest in this performance of this Agreement. If after employment of a person, Consultant discovers it has employed a person with a direct or indirect interest that would conflict with its performance of this Agreement, Consultant shall promptly notify Town of this employment relationship, and shall, at the Town's sole discretion, sever any such employment relationship.

2.12 Equal Employment Opportunity. Consultant warrants that it is an equal opportunity employer and shall comply with applicable regulations governing equal employment opportunity. Neither Consultant nor its subcontractors do and neither shall discriminate against persons employed or seeking employment with them on the basis of age, sex, color, race, marital status, sexual orientation, ancestry, physical or mental disability, national origin, religion, or medical condition, unless based upon a bona fide occupational qualification pursuant to the California Fair Employment & Housing Act.

III. INSURANCE AND INDEMNIFICATION

3.1 Minimum Scope of Insurance:
i. Consultant agrees to have and maintain, for the duration of the contract, General Liability insurance policies insuring him/her and his/her firm to an amount not less than: one million dollars ($1,000,000) combined single limit per occurrence for bodily injury, personal injury and property damage. ii. Consultant agrees to have and maintain for the duration of the contract, an Automobile Liability insurance policy ensuring him/her and his/her staff to an amount not less than one million dollars ($1,000,000) combined single limit per accident for bodily injury and property damage. iii. Consultant shall provide to the Town all certificates of insurance, with original endorsements effecting coverage. Consultant agrees that all DocuSign Envelope ID: 141B2DFB-3DFC-4592-99ED-58DA04D3F5DB

ITEM NO. 14.

Agreement for Consultant Services
DKS Associates

certificates and endorsements are to be received and approved by the Town before work commences.
iv. Consultant agrees to have and maintain, for the duration of the contract, professional liability insurance in amounts not less than $1,000,000 which is sufficient to insure Consultant for professional errors or omissions in the performance of the particular scope of work under this agreement.

General Liability:
i. The Town, its officers, officials, employees and volunteers are to be covered as insured as respects: liability arising out of activities performed by or on behalf of the Consultant; products and completed operations of Consultant, premises owned or used by the Consultant. This requirement does not apply to the professional liability insurance required for professional errors and omissions.
ii. The Consultant's insurance coverage shall be primary insurance as respects the Town, its officers, officials, employees and volunteers. Any insurance or self-insurances maintained by the Town, its officers, officials, employees or volunteers shall be excess of the Consultant's insurance and shall not contribute with it.
iii. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the Town, its officers, officials, employees or volunteers.
iv. The Consultant's insurance shall apply separately to each insured against whom a claim is made or suit is brought, except with respect to the limits of the insurer's liability.

3.2 All Coverages. Each insurance policy required in this item shall be endorsed to state that coverage shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the Town. Current certification of such insurance shall be kept on file at all times during the term of this agreement with the Town Clerk.

3.3 Workers’ Compensation. In addition to these policies, Consultant shall have and maintain Workers' Compensation insurance as required by California law and shall provide evidence of such policy to the Town before beginning services under this Agreement. Further, Consultant shall ensure that all subcontractors employed by Consultant provide the required Workers' Compensation insurance for their respective employees.

DocuSign Envelope ID: 141B2DFB-3DFC-4592-99ED-58DA04D3F5DB

ITEM NO. 14.

Agreement for Consultant Services
DKS Associates

3.4 Indemnification. The Consultant shall save, keep, hold harmless and indemnify the Town its officers, agent, employees and volunteers from all damages, liabilities, penalties, costs, or expenses in law or equity that may at any time arise out of or be set up because of damages to property or personal injury received by reason of, or in the course of performing work which may be occasioned by a willful or negligent act or omissions of the Consultant, or any of the Consultant's officers, employees, or agents or any subconsultant.

IV. GENERAL TERMS

4.1 Waiver. No failure on the part of either party to exercise any right or remedy hereunder shall operate as a waiver of any other right or remedy that party may have hereunder, nor does waiver of a breach or default under this Agreement constitute a continuing waiver of a subsequent breach of the same or any other provision of this Agreement.

4.2 Governing Law. This Agreement, regardless of where executed, shall be governed by and construed to the laws of the State of California. Venue for any action regarding this Agreement shall be in the Superior Court of the County of Santa Clara.

4.3 Termination of Agreement. The Town and the Consultant shall have the right to terminate this agreement with or without cause by giving not less than fifteen days (15) written notice of termination. In the event of termination, the Consultant shall deliver to the Town all plans, files, documents, reports, performed to date by the Consultant. In the event of such termination, Town shall pay Consultant an amount that bears the same ratio to the maximum contract price as the work delivered to the Town bears to completed services contemplated under this Agreement, unless such termination is made for cause, in which event, compensation, if any, shall be adjusted in light of the particular facts and circumstances involved in such termination.

4.4 Amendment. No modification, waiver, mutual termination, or amendment of this Agreement is effective unless made in writing and signed by the Town and the Consultant.

4.5 Disputes. In any dispute over any aspect of this Agreement, the prevailing party shall be entitled to reasonable attorney's fees, including costs of appeal.

4.6 Notices. Any notice required to be given shall be deemed to be duly and properly given if mailed postage prepaid, and addressed to:

Town of Los Gatos
Attn: Town Clerk
110 E. Main Street
Los Gatos, CA 95030
DKS Associates
720 SW Washington St Suite #500
Portland, OR 97205
DocuSign Envelope ID: 141B2DFB-3DFC-4592-99ED-58DA04D3F5DB

ITEM NO. 14.

Agreement for Consultant Services
DKS Associates

or personally delivered to Consultant to such address or such other address as Consultant designates in writing to Town.

4.7 Order of Precedence. In the event of any conflict, contradiction, or ambiguity between the terms and conditions of this Agreement in respect of the Products or Services and any attachments to this Agreement, then the terms and conditions of this Agreement shall prevail over attachments or other writings.

4.8 Entire Agreement. This Agreement, including all Exhibits, constitutes the complete and exclusive statement of the Agreement between the Town and Consultant. No terms, conditions, understandings or agreements purporting to modify or vary this Agreement, unless hereafter made in writing and signed by the party to be bound, shall be binding on either party.

DocuSign Envelope ID: 141B2DFB-3DFC-4592-99ED-58DA04D3F5DB

ITEM NO. 14.

Agreement for Consultant Services
DKS Associates

IN WITNESS WHEREOF, the Town and Consultant have executed this Agreement.

Town of Los Gatos by:

Laurel Prevetti, Town Manager

Recommended by:

Timm Borden
Interim Director Parks and Public Works
DKS Associates
Carl Springer, Principal
Approved as to Form:

Robert Schultz, Interim Town Attorney
Attest:

Shelley Neis, MMC, CPMC, Town Clerk
DocuSign Envelope ID: 141B2DFB-3DFC-4592-99ED-58DA04D3F5DB 4/11/2022 4/11/2022
4/16/2022
4/17/2022
4/18/2022

ITEM NO. 14.

MEMORANDUM
DATE: April 11, 2024
TO: Nicolle Burnham| Town of Los Gatos
FROM: Erin Vaca | DKS Associates
SUBJECT: Scope and Budget Amendment for Los Gatos TIF Update Project #22046-000

INTRODUCTION
This memorandum summarizes the proposed scope and budget amendment to complete the update of the Los Gatos Transportation Impact Fee (TIF). DKS previously submitted a nexus study which was accepted by Town staff and adopted by the Town Council in January 2024.

Subsequently, additional direction was received from the Town Council to significantly rework the analysis using a different methodology.

The proposed scope and budget necessary to respond to the Council’s direction are detailed in the following sections. The task numbers listed below correspond to the existing budget structure.

SCOPE OF WORK
TASK 1 – PROJECT MANAGEMENT
This proposal includes up to two hours for the DKS project manager to meet with Town staff in addition to one Town Council meeting. DKS will review the staff report and assist with presentation materials for the Town Council meeting if required.

Deliverables: Preparation and attendance at one Council meeting, meeting materials TASK 3 TRANSPORTATION IMPROVEMENTS PROJECT LIST
DKS will also work with staff to review the supplemental funding amounts available for each project. DKS will also escalate project costs to 2024 dollars using the Engineering News Record Construction Cost Index for the San Francisco Bay Area.

DRAFT

EXHIBIT B

ITEM NO. 14.

LOS GATOS TIF UPDATE• SCOPE AND BUDGET AMENDMENT• APRIL 2024 2 DKS will conduct a fair share traffic analysis of the SR-17 project. The fair share traffic analysis will apply the Santa Clara VTA travel demand model to calculate the future (year 2040) proportion of over-capacity traffic on SR-17 that is associated with growth in Los Gatos. The resulting fair share cost allocation factor will be applied to the full project cost.

Deliverables: Updated project list (Excel format), fair share traffic calculation summary (Excel format)
TASK 4 FEE REVENUE ESTIMATION
The DKS team will prepare two new versions of the fee calculations:

Option 1 will apply a growth fair share percentage to total allocated project costs.

Option 2 will apply a growth fair share percentage to all allocated project costs except for the SR17 project. The SR-17 project costs will be allocated to the fee calculation in proportion to the share of over-capacity traffic associated with growth in Los Gatos.

This task will also include a workshop session to brainstorm alternative methods for assessing the “fair share” percentage. This subtask assumes a two-hour, virtual meeting to be attended by the DKS project manager, the Urban Economics project manager, and one additional senior DKS staff.

Recommendations resulting from the workshop will be documented in a brief technical memorandum. Any significant additional work stemming from the workshop recommendations will be delivered under a separate contract amendment.

Deliverables: “Fair Share” Workshop and Technical Memorandum; Fee calculation workbooks (Excel format).

TASK 6 DRAFT AND FINAL NEXUS REPORTS
DKS will confirm the recommended option for fee calculation with Town staff. The nexus report will be updated to reflect the recommended approach. DKS will respond to a single set of comments on the administrative draft (to Town staff) and the public draft (to Town Council) to prepare a final nexus report.

Deliverables: administrative draft, draft, and final nexus reports.

BUDGET
The proposed budget for the additional scope is $18,440 as summarized in the attached table.

SCHEDULE
DKS will complete the analysis and public draft nexus report within six weeks of notice to proceed.

DRAFT

ITEM NO. 14.

LOS GATOS TIF UPDATE• SCOPE AND BUDGET AMENDMENT• APRIL 2024 3 TABLE 1: BUDGET ESTIMATE

ADDITIONAL BUDGET BY TASK
DRAFT

ITEM NO. 14.

PREPARED BY: Sean Mullin, AICP
Senior Planner
__________________________________________________________________________________________ Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Community Development Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 04/16/2024
DATE: April 11, 2024
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Open the Public Hearing for an Appeal of a Planning Commission Decision to Deny a Request to Eliminate a Housing Unit from the Town’s Housing Inventory on Property Zoned R-1D, Located at 501 Monterey Avenue, and Continue the Matter to May 7, 2024. APN 410-15-052. Categorically Exempt Pursuant to CEQA Guidelines Section 15301: Existing Facilities. Architecture and Site Application S-23-038. Property Owner/Applicant/Appellant: Katrina and Carlos Azucena. Project Planner: Sean Mullin
RECOMMENDATION:

Open the public hearing for an appeal of a Planning Commission decision to deny a request to eliminate a housing unit from the Town’s Housing Inventory on property zoned R-1D, located at 501 Monterey Avenue, and continue the matter to May 7, 2024.

REMARKS:

On February 28, 2024, the Planning Commission denied the request to eliminate a housing unit.

Pursuant to Section 29.20.280 of the Town Code, an appeal of a Planning Commission decision shall be heard by the Town Council within 56 days after the date of the decision was made. In this case, the appeal must be scheduled for the Town Council no later than April 24, 2024. The Council must at least open the public hearing for the item, and it may continue the matter to a date certain.

The appellant requests that the Council continue their appeal to a date certain of May 7, 2024, based on their availability.

ITEM NO. 15.

This Page
Intentionally
Left Blank

ITEM NO. 15.

Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 04/16/2024
DATE: April 2, 2024
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Establish a Town Council Policy Governing Town Board, Commission, and Committee Budgets
RECOMMENDATION:

Establish a Town Council Policy governing Town Board, Commission, and Committee Budgets.

BACKGROUND:

During the Fiscal Year (FY) 2023/24 Budget process, the Council approved $2,500 for each of the following Commissions: Arts and Culture, Community Health and Senior Services, Complete Streets and Transportation, Library, Parks and Sustainability, and Youth. The funds were intended to support Commission activities in the community, such as Spring into Green.

During the Mid-Year Budget process, the Town Council also allocated $2,500 to the Diversity, Equity, and Inclusion Commission.

The Proposed FY 2024/25 Budget intends to continue this funding for these seven bodies.

Given recent Commission discussions about the appropriate use of the funds, staff is recommending that the Town Council establish a Policy to govern a Commission’s budget.

DISCUSSION:

Attachment 1 contains a draft Town Council Policy entitled Commission Budgets. The Policy sets forth specific criteria for the appropriate use of the funds, should the Town Council decide to allocate them. The proposed Policy works in concert with the Town’s Purchasing Policy and other procedures.

The Policy identifies the appropriate use of a Commission’s budget, including:

1. Purchasing supplies and materials for Commission activities

2. Printing flyers or other materials for distribution to the community

ITEM NO. 16.

PAGE 2 OF 2
SUBJECT: Establish a Town Council Policy Governing a Commission’s Budget DATE: April 2, 2024
DISCUSSION (continued):

3. Purchasing give away items at Town events (e.g., the Youth Commission giving away succulents at Spring into Green)

4. Paying for the registration for a table or booth at a non-Town event

5. Attending relevant workshops (the eligible expense is registration) Under the proposed Policy, inappropriate uses would include:
 Hiring a vendor to perform services
 Paying Town employees or other individuals
 Granting or donating funds to a third-party organization(s), including being a sponsor or financially supporting a third-party organization’s activities and/or events Given the Town’s need to comply with State laws as well as local regulations, any new use for a Commission’s use of its Town funds should be brought to the Town Council for discussion, public comment, and decision. All decisions should be incorporated as modifications to this Policy.

The proposed Commission Budget Policy also sets forth the procedure for expenditures that are deemed appropriate under this Policy.

CONCLUSION:

Staff recommends that the Town Council approve the Commission Budgets Town Council Policy to establish consistency and clear guidelines for the appropriate use of funds by Town Commissions.

COORDINATION:

The preparation of this report has been coordinated with the Town Attorney, and the Finance Department, Library Department, Police Department, Parks and Public Works Department.

FISCAL IMPACT:

The establishment and implementation of a Town Council Policy has no fiscal impact.

ENVIRONMENTAL ASSESSMENT:

This is not a project defined under CEQA, and no further action is required.

Attachment:

1. Proposed Town Council Policy 5-03: Commission Budgets

ITEM NO. 16.

ATTACHMENT 1

COUNCIL POLICY MANUAL
TITLE: COMMISSION BUDGETS POLICY NUMBER: 5-03
EFFECTIVE DATE: 04/17/2024 PAGES: 2
ENABLING ACTIONS: REVISED DATES:

APPROVED:

I. PURPOSE:

The Town Council may allocate funding to Town Boards, Commissions, and/or Committees (hereafter, Commissions) for the purpose of communicating the work of the Commission to the Los Gatos community. This Policy sets forth the criteria for the use of these funds, should they be allocated.

This Policy works in concert with the Town’s Purchasing Policy and other procedures.

II. USE OF COMMISSION BUDGET
A. Appropriate Uses: Appropriate uses of a Commission’s budget, include:

1. Purchasing supplies and materials for Commission activities

2. Printing flyers or other materials for distribution to the community

3. Purchasing give away items at Town events (e.g., the Youth Commission giving away succulents at Spring into Green)

4. Paying for the registration for a table or booth at a non-Town event

5. Attending relevant workshops (registration only)
B. Inappropriate Uses: Inappropriate uses of a Commission’s budget, include:

1. Hiring a vendor to perform services

2. Paying Town employees or other individuals

3. Granting or donating funds to a third-party organization(s), including being a sponsor or financially supporting a third-party organization’s activities and/or events C. Modification of Appropriate Uses: Should a Commission identify a new use for its Town funds, this Policy must be updated by the Town Council.

Small Town Service Community Stewardship Future Focus

ITEM NO. 16.

TITLE: Commission Budgets PAGE:
2 of 2
POLICY NUMBER:
5-03
III. PROCEDURE FOR EXPENDITURES
A. Prior to Expenditure: Prior to any expenditure that is an appropriate use, the following procedure must be followed:

1. The request for use of the Commission’s budget must be agendized for Commission consideration.

2. The staff liaison to the Commission would verify that the intended use of the funds meets this Policy.

3. The staff liaison would verify available funds for the expenditure.

4. If approved by the Commission, the staff liaison would explain how the purchase would occur.

B. Expenditure: The staff liaison would be responsible for the expenditure, following the Town’s Procurement Policy, State law, and local regulations.

C. Post-Expenditure: The staff liaison would be responsible for submitting all receipts and documentation associated with the expenditure to the Finance Department, and retaining the documentation consistent with Town policies, procedures, and practices.

APPROVED AS TO FORM:

Gabrielle Whelan, Town Attorney

ITEM NO. 16.

Reviewed by: Town Manager, Assistant Town Manager, Community Development Director, and Finance Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 4/16/2024
DATE: April 4, 2024
TO: Mayor and Town Council
FROM: Gabrielle Whelan, Town Attorney
SUBJECT: Discuss Future Adoption Development Agreement Procedures and Provide Direction to Staff
RECOMMENDATION:

Discuss future adoption of development agreement procedures and provide direction to staff.

BACKGROUND:

Government Code Section 65954 provides that, upon request of an applicant for a planning entitlement that a local jurisdiction adopt development agreement procedures, a public agency shall adopt procedures for the processing of development agreements.

DISCUSSION:

A development agreement is a voluntary contract between a local jurisdiction and a person who owns or controls property within the jurisdiction, detailing the obligations of both parties and specifying the standards and conditions that will govern development of the property.

Development agreements will often provide for payments or dedications of land in exchange for vesting to current development standards. Jurisdictions are never obligated to enter into development agreements; it is a voluntary agreement that must be of benefit to the jurisdiction.

Government Code Sections 65864 and following address development agreement requirements. Section 65865 requires that the Town develop and adopt development agreement procedures upon request of an applicant for a planning entitlement. The Town has received a verbal request that the Town adopt development agreement procedures from counsel for an applicant for a planning entitlement. As a result, Government Code Section 65865 requires that the Town adopt procedures for the consideration and processing of development agreements.

ITEM NO. 17.

PAGE 2 OF 2
SUBJECT: Discuss Potential Adoption of Development Agreement Procedures and Provide Direction to Staff
DATE: April 4, 2024
DISCUSSION (continued):

Development agreement procedures typically include the following:
• A statement of purpose/findings concerning the public benefits of development agreements • Application requirements
• Notice and hearing procedures
• Planning Commission and Governing Body Review
• Recordation Requirements
• Procedures for Amendment or Termination
• Procedures for Periodic Review
A sample of development agreement procedures is included as Attachment 1. Such procedures may be adopted by ordinance or resolution. State law allows local agencies to recover the direct costs of developing development agreement procedures.

The Town Council’s direction is sought on the following topics:
1) Should development agreements be considered for all types of land uses? Or just residential?
2) Should the consideration of development agreements be limited to projects of a certain size (e.g., minimum acreage, minimum square footage, minimum number of units)? 3) Should the consideration of development agreements be limited to projects in which the applicant will be expending a minimum dollar amount on public infrastructure? CONCLUSION:

Staff recommends that the Town Council authorize staff to draft proposed development agreement procedures for the Town Council’s consideration at a future meeting.

FISCAL IMPACT:

The potential adoption of development agreement procedures could result in payments to the Town in exchange for vesting of development standards applicable to development projects.

ENVIRONMENTAL ASSESSMENT:

Discussion of potential development agreement procedures is not a project subject to CEQA and no environmental assessment is required.

Attachment:

1. Sample Development Agreement Procedures

ITEM NO. 17.

I '
RESOLUTION NO. 120 (1990)

ESTABLISHING PROCEDURES AND REQUIREMENTS

FOR THE CONSIDERATION OF

DEVELOPMENT AGREEMENTS
RESOLVED by the Council of the City of San Mateo,
California.
/3a__
WHEREAS, the State Legislature has found and declared
that:
"(a) The lack of certainty in the approval of
developmental projects can result in a waste of resources, escalate the cost of housing and other development to the consumer, and discourage investment in and commitment to comprehensive planning which would make maximum efficient utilization of resources at the least economic cost to the public.
(b) Assurance to the applicant for a development
project that upon approval of the project, the applicant may proceed with the project in accordance with existing policies, rules and regulations, and subject to conditions of approval, will strengthen the public planning process, encourage private participation in comprehensive planning and reduce the economic costs of development.
(c) The lack of public facilities, including, but not
limited to, streets, sewerage, transportation, drinking water, school and utility facilities, is a serious impediment to the development of new housing. Whenever possible, applicants and local governments may include provisions in agreements whereby applicants are reimbursed over time for financing public facilities." (Government Code Section 65864); and
WHEREAS, the Legislature therefore adopted Government
Code sections 65864 through 65869.5 authorizing cities to enter into development agreements; and
WHEREAS, Government Code Section 65865(c) requires
that cities shall, if requested by an applicant, establish procedures and requirements for consideration of development agreements; and
WHEREAS, the City of San Mateo has received a request
to establish such procedures and requirements.

NOW THEREFORE, IT IS DETERMINED and ORDERED as follows:

Section 1. Authorization for adoption. These
procedures are adopted under the authority of Government Code sections 65864 - 65869.5.
4269G/13 1
OR\G\NAL
ATTACHMENT 1

ITEM NO. 17.

Section 2. Authorization.
(a) The City may enter into a development agreement
with a person having a legal or equitable interest in real property within the City for the development of the property as provided in this resolution.
(b) The City may enter into a development agreement
with a person having a legal or equitable interest in real property in unincorporated territory within the City's sphere of influence for the development of the property as provided in this resolution. However, the agreement shall not become operative unless annexation proceedings annexing the property to the City are completed within the period of time specified by the agreement.

If the annexation is not completed within the time
specified in the agreement or any extension of the agreement, the agreement is null and void.

Section 3. Application. Application for a
development agreement shall be made to the Department of Community Development. An application for a development agreement may not be filed prior to an application for a development project on the same property. The application shall be accompanied by the fee prescribed by the City fee schedule, established pursuant to the San Mateo Municipal Code, and shall be accompanied by the form of development agreement proposed by the applicant. When the application is determined to be complete, the Director of Community Development or designee shall, at the applicant's expense, review the
application and transmit it, together with staff
recommendations, to the Planning Commission.

Section 4. Contents. A development agreement shall
specify the land subject to the agreement, the duration of the agreement, the permitted uses of the property, the density or intensity of use, the maximum height and size of proposed buildings, and provisions for reservation or dedication of land for public purposes. The development agreement may include conditions, terms, restrictions, and requirements for
subsequent discretionary actions, provided that such
conditions, terms, restrictions, and requirements for
subsequent discretionary actions shall not prevent development of the land for the uses and to the density or intensity of development set forth in the agreement. The agreement may provide that construction shall be commenced within a specified time and that the project or any phase thereof be completed within a specified time.

The agreement may also include terms and conditions
relating to applicant financing of necessary public facilities in conjunction with the phasing of the development project. 4269G/13 2

ITEM NO. 17.

Section 5. Rules, regulations and official policies.

Unless otherwise provided by the development agreement, rules, regulations, and official policies governing permitted uses of the land, governing density, and governing design, improvement, and construction standards and specifications, applicable to development of the property subject to a development agreement, shall be those rules, regulations, and official policies in force at the time of execution of the agreement. A development agreement shall not prevent the City, in subsequent actions applicable to the property, from applying new rules,
regulations, and policies which do not conflict with those rules, regulations, and policies applicable to the property as set forth in the development agreement, nor shall a development agreement prevent the City from denying or conditionally approving any subsequent development project application on the basis of such existing or new rules, regulations, and policies.

Section 6. Public hearing and notice of intention to
consider adoption. A public hearing on an application for a development agreement shall be held by the Planning Commission and by the City Council. Notice of intention to consider adoption of a development agreement shall be given as provided in California Government Code sections 65090 and 65091, and San Mateo Municipal Code section 27.06.050, in addition to any other notice required by law for other actions to be considered concurrently with the development agreement.

Section 7. Legislative act, A development agreement
is a legislative act which shall be approved by ordinance and is subject to referendum. This resolution only establishes procedures for consideration of development agreements; the City Council retains discretion to approve or disapprove any proposed development agreement. A development agreement shall not be approved unless the City Council finds that the
provisions of the agreement:
(a) are consistent with the City's General Plan and
any applicable specific plan,
(b) are compatible with the requirements of the Zoning
Ordinance, and
(c) provide substantial public benefits to persons
residing or owning property outside the boundaries
of the development project, beyond the exactions
for public benefits required in the normal
development review process under federal, state.or
local law.

Section 8. Amendment or termination.
(a) Periodic review. The Planning Commission shall
review the development agreement at least every 12 months, at which time the applicant or successor in interest t�ereto, 4269G/13 3

ITEM NO. 17.
shall be required to demonstrate good faith compliance with the terms of the agreement. If, as a result of such periodic review, the Planning Commission determines that, on the basis of substantial evidence, the agreement has been complied with in good faith, such decision shall be subject to appeal in accordance with procedures set forth in San Mateo Municipal Code Section 27.08.090. If, as a result of such periodic review, the Planning Commission determines that, on the basis of substantial evidence, the agreement has not been complied with in good faith, or that the failure of the City to
terminate or modify the provisions of the development agreement would place the residents of the territory subject to the development agreement, or the residents of the City, or both, in a condition dangerous to their health or safety, or both, the City Council shall hold a public hearing to consider terminating or modifying the agreement. Notice of such hearing shall be given as set forth in Section 6 of this resolution.

If the City Council determines, on the basis of substantial evidence, that the applicant or successor in interest thereto has not complied in good faith with the terms or conditions of the agreement, or that the failure of the City to terminate or modify the provisions of the development agreement would place the residents of the territory subject to the development agreement, or the residents of the City, or both, in a
condition dangerous to their health or safety, or both, the Council may terminate or modify the agreement.
{b) Mutual consent. A development agreement may be
amended, or canceled in whole or in part, by mutual consent of the parties to the agreement or their successors in interest.

Notice of a public hearing regarding an intention to amend or cancel any portion of the agreement shall be given and held in the manner provided in Section 6 of this resolution. An amendment to a development agreement shall be subject to the provisions of Section 7 of this resolution.
(c) State or federal laws and regulations. In the
event that state or federal laws or regulations, enacted after a development agreement has been entered into, prevent or preclude compliance with one or more provisions of the
development agreement, such provisions of the agreement shall be modified or suspended as may be necessary to comply with such state or federal laws and regulations.

Section 9. Enforcement. Unless amended or canceled
pursuant to Section 8 herein, a development agreement shall be enforceable by any party thereto, notwithstanding any change in any applicable general or specific plan, zoning, subdivision, or building regulation adopted by the City, which alters or amends the rules, regulations, or policies specified in Section 5 herein.
4269G/13 4

ITEM NO. 17.

Section 10. Execution and Recordation.
(a) No development shall be executed by the Mayor
until it has been executed by the applicant. If
the applicant has not executed the agreement, as
approved by the City Council, within thirty days
of the City Council approval, the application for
development agreement shall be deemed withdrawn,
and a Mayor shall not execute the agreement.
(b) No later than 10 days after the City enters into a
development agreement, the City shall record with
the County Recorder a copy of the agreement, which
shall describe the land subject thereto. From and
after the time of such recordation, the agreement
shall impart such notice thereof to all persons as
is afforded by the recording laws of this state.

The burdens of the agreement shall be binding
upon, and the benefits of the agreement shall
inure to, all successors in interest to the
parties to the agreement.

Section 11. Environmental Finding. The Council finds
that the adoption of this resolution is not a project for the purposes of the California Environmental Quality Act, and therefore, no environmental impact assessment is necessary.

Section 12. Effective Date. This resolution shall
become effective sixty days after its adoption, together with its companion resolution adopting a fee for the processing of development agreements.

Dated: October 15, 1990
ATTEST:
-�---
City
·(V�
Clerk
4269G/13 5
Mayo �

ITEM NO. 17.
* * *
Resolution adopted by the City Council of
the City of San Mateo, California, at a
regular meeting held on October 15, 1990,
by the following vote of the Council
members:

AYES: Council Members POWELL, MACK,
RHOADS, BAKER and GUMBINGER
NOES: NONE
ABSENT: NONE

ITEM NO. 17.

PREPARED BY: Jennifer Armer, AICP
Planning Manager
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Community Development Department Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 04/16/2024
DATE: April 11, 2024
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Adopt a Resolution, Based on Planning Commission Recommendations, Modifying the Height Pole and Netting Policy for Additions and New Construction. The Proposed Modifications to Town Policy are Not Considered a Project Under the California Environmental Quality Act. Project Location:

Town Wide. Applicant: Town of Los Gatos.

RECOMMENDATION:

Adopt a Resolution (Attachment 14), based on Planning Commission recommendations, modifying the Height Pole and Netting Policy for Additions and New Construction.

BACKGROUND:

On August 1, 2023, Town Council provided direction on modifications to the Town’s Height Pole and Netting Policy for Additions and New Construction (Story Pole Policy) based on the Planning Commission recommendations made in spring 2023. On December 5, 2023, Town Council reviewed the revised policy based on the August 1, 2023 direction, and provided direction to make the following additional modifications:
• Not require story poles for projects over 55 feet in height, but to provide requirements for signage and visual renderings;
• Require visual renderings prepared by a Town consultant, paid for through a deposit from applicant;
• Allow as an option to provide visual renderings and signage instead of story poles for multifamily and mixed-use projects with a residential component;

ITEM NO. 18.

PAGE 2 OF 3
SUBJECT: Story Pole Policy Modifications
DATE: April 11, 2024
BACKGROUND (continued):
• Modify the timeframe for story pole removal to be 60 days after the first public hearing or once final action has been taken and the appeal period is over; • Include a QR code, email contact, and website link on signage, and require signage within 30 days of initial staff technical review of the project; and • Retain the existing exception process.

DISCUSSION:

Attachment 13 is a revised Draft Story Pole Policy showing in track changes all modifications approved by Town Council on August 1, 2023, and December 5, 2023.

In addition, staff has added specific requirements for signage for projects that involve only a Conditional Use Permit, as the revised Policy would now require signage for those Permits.

The Draft Resolution (Attachment 14) also includes language to allow projects that are already under review to choose to use this updated Policy. The goal of this language is to reduce governmental constraints on the development of housing.

PUBLIC COMMENT:

Public comment received since the discussion of this item on December 5, 2023 is included as Attachment 15.

CONCLUSION:

Staff recommends that the Town Council adopt a resolution to adopt the revised Story Pole Policy document (Attachment 14 with Exhibit 1), with findings that the project is not subject to the California Environmental Quality Act [Section 15061(b)(3)] and is consistent with the General Plan; and include any specific changes agreed upon by the majority of the Town Council.

ALTERNATIVES:

Alternatively, the Town Council may:

1. Continue this item to a date certain with specific direction to staff;

2. Refer this item back to the Planning Commission with specific direction; or

3. Take no action, leaving the Policy unchanged.

ITEM NO. 18.

PAGE 3 OF 3
SUBJECT: Story Pole Policy Modifications
DATE: April 11, 2024
ATTACHMENTS:

Previously received with the August 1, 2023 Staff Report:

1. Draft Revised Story Pole Policy with Changes Red-Lined

2. Draft Resolution with Exhibit 1

3. April 26, 2023 Planning Commission Staff Report with Exhibits 1-2

4. April 26, 2023 Planning Commission Addendum Report with Exhibit 3

5. April 26, 2023 Planning Commission Verbatim Minutes

6. May 24, 2023 Planning Commission Staff Report with Exhibit 4

7. May 24, 2023 Planning Commission Addendum Report with Exhibit 5

8. May 24, 2023 Planning Commission Desk Item Report with Exhibits 6

9. May 24, 2023 Planning Commission Verbatim Minutes
Previously received with the August 1, 2023 Desk Item:

10. Public Comment received between 11:01 a.m., Monday, July 31, 2023, and 11:00 a.m., Tuesday, August 1, 2023
Previously received with the December 5, 2023 Staff Report:

11. Revised Draft Story Pole Policy with Changes Red-Lined

12. Revised Draft Resolution with Exhibit 1
Received with this Staff Report:

13. Revised Draft Story Pole Policy with Changes Red-Lined

14. Revised Draft Resolution with Exhibit 1

15. Public Comment

ITEM NO. 18.

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ITEM NO. 18.
1 Height Pole, Flagging,and Netting, and Signage Policy For Additions and New Construction
I. Purpose:

It is a policy of the Town of Los Gatos Town Council to have story poles and project identification signs installed on the sites of an active development application. The placement of story poles is extremely helpful and important during the course of Town’s review of applications for new development. Proper and accurate placement of story poles demonstrates the planned rooflines and heights and provides some indication of the potential massing of the proposed structure. Story poles enhance understanding of the project for Town residents, staff, advisory bodies, and decision making bodies. Story poles also provide a visual notice to the community of a forthcoming land use public hearing.

Project identification signs present both written and graphical information that will further communicate the proposed project to the community as well as provide the public hearing dates for the development application.

This policy is for the benefit of the Town and community and is not intended to create a requirement under the California Environmental Quality Act (CEQA).

II. Height Poles and Netting/Flagging:

Height story poles and netting/flagging shall be used for the following types of Community Development Department, Planning Division, land use applications:

For single-family and two-family residential projects:
• If proposed project is a two-story house or second story addition where the adjacent properties on the same side of the street both contain only single-story houses. • If proposed project includes a variance or exception to the physical characteristicsdevelopment standards for of the primary structure.

For non-residential projects:
• New primary structures that exceed 50,000 square feet. • Non-residential additions exceeding 100 square feet20 percent of the existing building floor area.
• If proposed project includes a variance or exception to the physical characteristicsdevelopment standards for of the primary structure.

For properties in the Historic Resource Inventory:
• New residential (excluding single-story accessory structures) and non-residential buildings.

ATTACHMENT 13

ITEM NO. 18.
2 • Residential second story additions.
• Non-residential additions exceeding 100 square feet.

For properties in the Hillside Area as defined in the Hillside Development Standards and Guidelines:
• New primary structures.
• New second story additions.

Exemptions/Alternatives (per Section II.G below):
• Affordable housing projects where 30 percent of the housing units are deed restricted to be Below Market Price, or 20 percent are deed restricted to be Low or Very Low Income shall comply with alternative/video rendering requirements in place of story poles.
• Buildings over 55 feet in height shall comply with alternative/video rendering requirements in place of story poles.
• Multi-family and mixed-use projects that include residential may choose to comply with alternative/video rendering in place of story poles.

The terms height poles and story poles are used interchangeably.

A. Procedure:

When it is determined that story poles are required, the applicant’s engineer, architect, or building designer may, but is not required to, be required to prepare a “Story Pole Plan” to indicate the locations where the poles will be installed. If submitted, tThe Story Pole Plan shall be approved by the project planner prior to the placement of the poles on the site. Once approved, the applicant shall inform the project planner when the placement of the story poles is complete, the applicant shall inform the project planner and submit photographs showing installation. The story poles shall be installed consistent with the following requirements:

Residential: The height poles and netting/flagging shall be installed prior to the neighborhood notification process and shall remain in place until 60 days after the first public hearing on the project, or end of final appeal period, whichever is firstthe project has been acted upon and the appeal period has ended. If the project is appealed, the height poles and netting shall remain until final action is taken. If final consideration of the project is substantially delayed or the project is substantially modified, staff may direct removal or modification of the story poles.

Projects that Require Planning Commission or Town Council Action: The height poles and netting shall be installed prior to the public noticing of the matter and shall be kept in place until the project has been acted upon and the appeal period has ended. If the project is appealed, the height poles and netting shall remain until

ITEM NO. 18.
3 final action is taken. If final consideration of the project is substantially delayed or the project is substantially modified, staff may direct removal or modification of the story poles.

B. Timing
Public notices will not be mailed and/or application(s) shall not be advertised until a Story Pole Plan has been approved by the project planner, the height poles and netting/flagging have been installed, and photographs have been submitted to the project planner, as required in Section II.A.

C. Location and Number:

The number of story poles may vary with each specific project. At the discretion of the project planner, sStory pole locations shall adequately demonstrate the height, mass, and bulk of the project requiring review. At a minimum, story poles shall be placed at all outside building corners of the building wall (excluding eaves) and along the rooflines of the proposed structure(s) or addition. Architectural elements such as towers, spires, elevator and mechanical penthouses, cupolas, mechanical equipment screening and similar elements not used for human activity or storage which are visible from the streetscape shall be represented by the story poles. For multi-building developments, story poles shall only be required for the tallest structures and those along the perimeter of the site.

While guy wires may sometimes be attached to existing fencing or similar onsite structures, pPursuant to Section 29.10.1005 of the Tree Protection Ordinance, the attachment of wires, signs, or ropes to any protected tree is prohibited. Trees may not be "flagged" or used as a substitute for the erection of story poles.

After the placement of the story poles on-site, the applicant shall provide the project planner with photographs of the story poles taken from a variety of vantage points.

The vantage point from where the photograph was taken shall be indicated on each photograph.

A licensed surveyor or civil engineer shall submit written verification that the height and position of the poles and netting/flagging accurately represents the height and location of the proposed structure(s) or addition.

D. Materials:

The material of the story poles shall be indicated on the Story Pole Plan. Story poles shall be constructed of 2"x4" lumber, metal poles, or other sturdy building material acceptable to the project planner. Telephone poles; mechanical equipment, such as cranes; or other materials may be acceptable for higher structures if the Community

ITEM NO. 18.
4 Development Director determines that the material will adequately portray the height, bulk, and mass of the proposed structure(s) or addition and withstand the wind and weather. Either a double row of orange flag rope/flagging, orAt least two foot (2') wide orange woven plastic snow fencing (netting) must be erected to represent the rooflines of the proposed structure(s) or addition. If flagging is chosen, the two rows shall be placed with one located two feet below the other. If netting is used, it shall be at least two foot (2’) wide. For projects over 35-feet in height, flag rope may be allowed instead of netting. Netting/flagging rope must be supported by height poles that are strong enough to accurately maintain the outlines and height of the structure(s). One of the height poles on each elevation must be clearly marked and labeled in five foot (5') increments measured from existing or finished grade, whichever creates a higher profile, and consistent with the approved Story Pole Plan on file at the Community Development Department.

E. Story Pole Plan and Public Safety:

All story poles shall be placed, braced, and supported to ensure the health, safety, and general welfare of the public. The Story Pole Plan shall include the methods used to secure the poles. Applicants shall sign an agreement that holds the Town harmless for any liability associated with the construction of, or damage caused by the story poles. If at any time, the Town determines the story poles to be unsafe, they shall be repaired and reset immediately by the project applicant or, at the Town's discretion, removed. Depending on the scope of the poles, the applicant may be requested to verify with the Building Division of the Community Development Department that no permits and/or inspections are required for the poles.

ITEM NO. 18.
5 F. Exceptions:

In the event there are justifiable reasons why story poles cannot be accommodated for all structures proposed to be constructed on the project site, the applicant shall submit a letter to the Community Development Director no later than 45 days prior to the required installation date, clearly articulating the reasons why an exception to the Story Pole requirement is warranted. Requests for an exception and alternative plan will only be considered if the applicant can clearly demonstrate to the Town, and the Town agrees, that the installation of the story poles would: (1) cause a threat to public health and safety or (2) would impair the use of existing structure(s) or the site to the extent it would not be able to be occupied and the business or residential use would be infeasible. Some form of poles and netting/flagging and/or on-site physical representation of the project will be required, even if an exception is granted.

Planned Development applications with multiple detached commercial structures and/or residential units may request to erect story poles on the locations where the key structures will be placed. The deciding body will take into account the density of the development when considering an exception request. The story poles shall be installed on all corner structures and the structures with the greatest height and mass. An exception to providing story poles for all structures in a Planned Development application with multiple commercial structures and/or residential units shall follow the same procedures as outlined below.

The Town Manager will review all justifiable requests for an exception to the Story Pole requirement within 14 days of receipt of the request and shall place the matter on the next available Town Council agenda for consideration by the Council. Written notice of the exception request shall be mailed to property owners and residents of properties within 300 feet of the project site. All requested and approved exceptions shall be posted on the Town's Web site under “What’s New,” in agenda posting locations at Town Hall and the Library, and in the online development activity report when established.

If an exception is approved, the applicant will be required to demonstrate the proposed structure height and mass using alternative means as outlined in Section II.GH.

G. Alternatives/Visual Renderings: If an alternative is allowed (Section II) or an exception is granted (Section II.F) to the Story Pole requirements, the applicant shall provide digital imagery simulations, computer modeling, built to-scale models or other visual techniques shall be required in-lieu of the Story Pole requirements.

Simulations may eithershall be prepared by the applicant for technical review by the Town's consultant or the applicant may elect to have the Town's consultant prepare the materials. In either case, theThe applicant shall be responsible for all technical

ITEM NO. 18.
6 review(s), materials, and cost of the Town’s evaluation and/or preparation process.

To ensure accuracy, visual simulations shall comply with the following standards:
• Establishing accuracy of the visual simulation: The applicant shall demonstrate that the dimension and scale of the visual simulation and project setting are equivalent. This is accomplished by examining screen views of the model in plan and elevation views for accurate scaling. The visual simulation must also include reference objects corresponding to known objects in the simulated scene, such as buildings, curbs, utility poles, trees, or any other reference points visible in the simulated scene, whose location is known from surveys or, at a minimum aerial imagery. There shall be a minimum of two reference objects outside of the project in different parts of the photo frame.
• Establishing the equivalence of the virtual and actual camera focal setting:

The camera lens focal setting or angle of view for each simulation base photo shall be stated. The camera model shall be provided since the angle of the focal view varies with different cameras. The preparer of the photo simulations shall provide the manufacturer specifications indicating the 35 mm film SLF lens correspondence, or other means to calculate the angle of view. • Depict the accurate location of the photo and establish the correspondence of the virtual camera with the visual simulation: The photo location shall be indicated accurately on a map or aerial photo, and the correspondence within the visual simulation should be demonstrated. Simulated views should not employ cropping, or if they must, the original, uncropped rendered image shall be provided. Once the images are cropped, it is impossible to validate their accuracy.
• Other Information: The Town's consultant may require other information to assess the accuracy of the visual simulation.

H. Removal:

Story poles and netting/flagging may be removed 60 days after the first public hearing on the project or once a final action has been taken and the appeal period is over. Once a final action has been taken and the appeal period is over, the height poles and netting/flagging shall be removed at the applicant’s expense within 30 days. If not removed, the height poles and netting/flagging will be considered rubbish and will be in violation of Section 11.10.020 of the Town Code and the matter will be forwarded to Code Compliance for enforcement action.

III. Project Identification Signs:

ITEM NO. 18.
7 All development applications that must comply with the story pole and netting requirementsinclude public notification shall also provide project identification signs on the development site consistent with the following requirements.

A. Timing:

Project identification signs shall be installed within 30 days of the first staff review.

Public notices will not be mailed and/or application(s) shall not be advertised until project identification sign(s) have been installed. The location of the project identification sign(s) shall be shown on the Story Pole Plan. The applicant shall submit a signed declaration confirming that the project identification sign(s) were installed. The applicant shall also submit a photo showing the on-site sign(s) installed on the subject property prior to the distribution of the public notices.

B. Size:
• New Single-Family or Duplex Residential StructuresProjects: One, 2'x2' sign placed on the street frontage. The top of the sign shall be five feet (5’) from existing grade and visible from the main street frontage. The sign shall indicate the scheduled public hearing date and the availability of plans for review at the Community Development Department.
• Multi-Family, Mixed-Use, Commercial/Industrial Remodels or New ConstructionProjects: One 4'x8' sign on each of the property frontages that are visible to surrounding public right of ways, including pedestrian trails such as the Los Gatos Creek Trail. The top of the signs shall be six feet (6') from existing grade. The Community Development Director may require additional signs for development sites that have large frontages.
• Conditional Use Permit (CUP) Only Projects: One 2' by 3' vertical sign on or inside the window of a building, provided the sign is visible from public locations outside the building.
• Downtown (C-2 Zone) Remodels or New Commercial Development: One 2' by 3' vertical sign constructed of metal frame with water resistant plastic or laminated face. In cases where it is infeasible to install a free-standing sign, the posting of a durable, all weather sign on or inside the window of a building is permitted, provided the sign is visible from public locations outside the building. Requests for an exception to the free-standing sign requirements shall be made to the Community Development Department in writing no less than 30 days prior to the public hearing for the project.

C. Number and Placement of Signs:

ITEM NO. 18.
8 With one two exceptions, on-site signs shall be placed on each street frontage of the site. The first exception is for permits related to an individual new single family dwelling, where. In this case, only one sign on the street frontage is required. The signs shall be oriented towards the street, within one foot (1') of the front property line or two feet (2') of the back of the sidewalk. The second exception is for projects that involve only a Conditional Use Permit for use of an existing building, where only one sign located at the business frontage is required.

D. Materials:

Signs shall be constructed of durable materials, such as foam core or plywood, and shall be laminated during the rainy season (October through April) if posted outdoors. The sign colors shall be a white background with black printing, and color graphics (excluding single family, which may have black and white graphics). As noted under Section III.B., signs in the Downtown C-2 Zone shall be constructed of higher grade materials, including a metal frame and a plastic or laminated poster board face.

E. Sign Content:

Up to 75 percent% of the overall sign area must be used to provide a general description of the project; including number of residential units or commercial buildings and square footage; a color perspective drawing, three-dimensional image or photographic simulation and the name and contact information of the project applicant. Signage designs that are visually striking are encouraged. Single family remodel projects are not required to provide a rendering on the sign. Projects that do not include review of exterior changes to an existing building are not required to provide drawing or building image. The public notice portion of the sign message must constitute 25 percent of the overall sign area and notify the community of the public hearing date and time and contain the following message, “For more information about this project, please contact the Town of Los Gatos Planning Division at 110 E. Main Street, Los Gatos, (408) 354-6872. Plans can be reviewed on the Town’s website at: www.losgatosca.gov/2216/Pending-Planning-Projects.” The project address, and application number, applicant email contact information, and a QR code shall be included on the notice sign.

F. Duration of Sign Posting:

Project identification signs shall be placed on site within 30 days of the first staff review of the proposed project consistent with the timing of installation of the story poles (See Section II.B.) and shall be removed within 30 days of the final actions (See Section II.H.).

G. Maintenance:

ITEM NO. 18.
9 The applicant is responsible for replacement of any missing, damaged, or vandalized signs within five days of request by the Town. The Town may cease processing of the application if the signs are not replaced and/or maintained.

IV. Definitions:

Height: As defined by the Zoning Ordinance, height is determined by the plumb vertical distance from the natural or finished grade, whichever is lower and creates a lower profile, to the uppermost point of the roof edge, wall, parapet, mansard, or other point directly above that grade. For portions of a structure located directly above a cellar (refer to Section 29.10.020 of the Zoning Ordinance for definition of cellar), the height measurement for that portion of the structure shall be measured as the plumb vertical distance from the existing natural grade to the uppermost point of the structure directly over that point in the existing natural grade.

Roofline or edge: The contour or shape of a roof.

This policy was adopted by Town Council on April 2, 2024August 5, 2013 (Resolution 202413- ___032)

ITEM NO. 18.

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ITEM NO. 18.

Draft Resolution Date

DRAFT RESOLUTION

RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS

AMENDING THE HEIGHT POLE AND NETTING POLICY FOR ADDITIONS

AND NEW CONSTRUCTION
WHEREAS, the Town's Height Pole and Netting Policy for Additions and New Construction was adopted by the Planning Commission in July of 1998 requiring two-foot wide orange netting for all new buildings and second story additions, and a requirement for posting of a small sign (2 feet by 2 feet) indicating the public hearing date and approving body was added in September 2002;
WHEREAS, a comprehensive review of the policy was conducted in 2012. On August 5, 2013, the Town Council approved an updated policy, and minor additions relating to tree protection were made in 2017 to create the current policy; WHEREAS, the use of story poles and project identification signs installed on the sites of an active development application has been found to be extremely helpful and important during the course of the Town’s review of applications by demonstrating the planned rooflines and heights, and also provides a visual notice to the community of a forthcoming land use public hearing;
WHEREAS, this matter was regularly noticed in conformance with State and Town law and came before the Planning Commission for public hearings on April 26, 2023, and May 24, 2023;
WHEREAS, on April 26, 2023, and May 24, 2023, the Planning Commission held public hearings to consider modifications to the Height Pole and Netting Policy for Additions and New Construction. The Planning Commission received and considered public comments, reviewed the document, and provided input to staff on recommended modifications; WHEREAS, on May 24, 2023, the Planning Commission recommended that the Town Council make specific recommended modifications to the Height Pole and Netting Policy for Additions and New Construction; and
ATTACHMENT 14

ITEM NO. 18.

Draft Resolution Date
WHEREAS, this matter was regularly noticed in conformance with State and Town law and came before the Town Council for public hearing on August 1, 2023; December 5, 2023; and April 2, 2024.

NOW, THEREFORE, THE TOWN COUNCIL FINDS AND RESOLVES:

1. The revised Height Pole and Netting Policy for Additions and New Construction is consistent with the Town’s General Plan.

2. The revision of the Height Pole and Netting Policy for Additions and New Construction is exempt from CEQA in that it can be seen with certainty that there will not be an impact to the physical environment. [CEQA Guidelines Section 15061(b)(3).]

3. The revised Height Pole and Netting Policy for Additions and New Construction attached hereto as Exhibit 1 is adopted and shall apply to development projects currently under review by the Town.

ITEM NO. 18.

Draft Resolution Date
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the ______ day of ________, 2024, by the following vote:

COUNCIL MEMBERS:

AYES:

NAYS:

ABSENT:

ABSTAIN:

SIGNED:
_______________________________

MAYOR OF THE TOWN OF LOS GATOS

LOS GATOS, CALIFORNIA
DATE: __________________
ATTEST:
___________________________________

TOWN CLERK OF THE TOWN OF LOS GATOS

LOS GATOS, CALIFORNIA
DATE: __________________

ITEM NO. 18.

Draft Resolution Date
EXHIBIT 1
Height Pole, Flagging, Netting, and Signage Policy
For Additions and New Construction
I. Purpose:

It is a policy of the Town of Los Gatos Town Council to have story poles and project identification signs installed on the sites of an active development application. The placement of story poles is extremely helpful and important during the course of Town’s review of applications for new development. Proper and accurate placement of story poles demonstrates the planned rooflines and heights and provides some indication of the potential massing of the proposed structure. Story poles enhance understanding of the project for Town residents, staff, advisory bodies, and decision making bodies. Story poles also provide a visual notice to the community of a forthcoming land use public hearing.

Project identification signs present both written and graphical information that will further communicate the proposed project to the community as well as provide the public hearing dates for the development application.

This policy is for the benefit of the Town and community and is not intended to create a requirement under the California Environmental Quality Act (CEQA).

II. Height Poles and Netting/Flagging:

Height story poles and netting/flagging shall be used for the following types of Community Development Department, Planning Division, land use applications:

For single-family and two-family residential projects:
 If proposed project is a two-story house or second story addition where the adjacent properties on the same side of the street both contain only single-story houses.  If proposed project includes a variance or exception to the physical development standards for the primary structure.

For non-residential projects:
 New primary structures.
 Non-residential additions exceeding 20 percent of the existing building floor area.  If proposed project includes a variance or exception to the physical development standards for the primary structure.

For properties in the Historic Resource Inventory:

ITEM NO. 18.

Draft Resolution Date
 New residential (excluding single-story accessory structures) and non-residential buildings.
 Residential second story additions.
 Non-residential additions exceeding 100 square feet.

For properties in the Hillside Area as defined in the Hillside Development Standards and Guidelines:
 New primary structures.
 New second story additions.

Exemptions/Alternatives (per Section II.G below):
 Affordable housing projects where 30 percent of the housing units are deed restricted to be Below Market Price, or 20 percent are deed restricted to be Low or Very Low Income shall comply with alternative/video rendering requirements in place of story poles.
 Buildings over 55 feet in height shall comply with alternative/video rendering requirements in place of story poles.
 Multi-family and mixed-use projects that include residential may choose to comply with alternative/video rendering in place of story poles.

The terms height poles and story poles are used interchangeably.

A. Procedure:

When it is determined that story poles are required, the applicant’s engineer, architect, or building designer may, but is not required to, prepare a “Story Pole Plan” to indicate the locations where the poles will be installed. If submitted, the Story Pole Plan shall be approved by the project planner prior to the placement of the poles on the site. Once the placement of the story poles is complete, the applicant shall inform the project planner and submit photographs showing installation.

The height poles and netting/flagging shall be installed prior to the neighborhood notification process and shall remain in place until 60 days after the first public hearing on the project, or end of final appeal period, whichever is first. If the project is substantially modified, staff may direct removal or modification of the story poles.

B. Timing

ITEM NO. 18.

Draft Resolution Date
Public notices will not be mailed and/or application(s) shall not be advertised until the height poles and netting/flagging have been installed and photographs have been submitted to the project planner, as required in Section II.A.

C. Location and Number:

The number of story poles may vary with each specific project. Story pole locations shall adequately demonstrate the height, mass, and bulk of the project requiring review. At a minimum, story poles shall be placed at all outside building corners of the building wall (excluding eaves) and along the rooflines of the proposed structure(s) or addition. Architectural elements such as towers, spires, elevator and mechanical penthouses, cupolas, mechanical equipment screening and similar elements not used for human activity or storage which are visible from the streetscape shall be represented by the story poles. For multi-building developments, story poles shall only be required for the tallest structures and those along the perimeter of the site.

While guy wires may sometimes be attached to existing fencing or similar onsite structures, pursuant to Section 29.10.1005 of the Tree Protection Ordinance, the attachment of wires, signs, or ropes to any protected tree is prohibited. Trees may not be "flagged" or used as a substitute for the erection of story poles.

After the placement of the story poles on-site, the applicant shall provide the project planner with photographs of the story poles taken from a variety of vantage points.

The vantage point from where the photograph was taken shall be indicated on each photograph.

A licensed surveyor or civil engineer shall submit written verification that the height and position of the poles and netting/flagging accurately represents the height and location of the proposed structure(s) or addition.

D. Materials:

The material of the story poles shall be indicated on the Story Pole Plan. Story poles shall be constructed of 2"x4" lumber, metal poles, or other sturdy building material acceptable to the project planner. Telephone poles; mechanical equipment, such as cranes; or other materials may be acceptable for higher structures if the Community Development Director determines that the material will adequately portray the height, bulk, and mass of the proposed structure(s) or addition and withstand the wind and weather. Either a double row of orange flag rope/flagging, or orange woven plastic snow fencing (netting) must be erected to represent the rooflines of the proposed structure(s) or addition. If flagging is chosen, the two rows shall be placed with one located two feet below the other. If netting is used, it shall be at least two foot (2’) wide. Netting/flagging must be supported by height poles that

ITEM NO. 18.

Draft Resolution Date
are strong enough to accurately maintain the outlines and height of the structure(s).

One of the height poles on each elevation must be clearly marked and labeled in five foot (5') increments measured from existing or finished grade, whichever creates a higher profile.

E. Public Safety:

All story poles shall be placed, braced, and supported to ensure the health, safety, and general welfare of the public. Applicants shall sign an agreement that holds the Town harmless for any liability associated with the construction of, or damage caused by the story poles. If at any time, the Town determines the story poles to be unsafe, they shall be repaired and reset immediately by the project applicant or, at the Town's discretion, removed. Depending on the scope of the poles, the applicant may be requested to verify with the Building Division of the Community Development Department that no permits and/or inspections are required for the poles.

F. Exceptions:

In the event there are justifiable reasons why story poles cannot be accommodated for all structures proposed to be constructed on the project site, the applicant shall submit a letter to the Community Development Director no later than 45 days prior to the required installation date, clearly articulating the reasons why an exception to the Story Pole requirement is warranted. Requests for an exception and alternative plan will only be considered if the applicant can clearly demonstrate to the Town, and the Town agrees, that the installation of the story poles would: (1) cause a threat to public health and safety or (2) would impair the use of existing structure(s)

ITEM NO. 18.

Draft Resolution Date
or the site to the extent it would not be able to be occupied and the business or residential use would be infeasible. Some form of poles and netting/flagging and/or on-site physical representation of the project will be required, even if an exception is granted.

Planned Development applications with multiple detached commercial structures and/or residential units may request to erect story poles on the locations where the key structures will be placed. The deciding body will take into account the density of the development when considering an exception request. The story poles shall be installed on all corner structures and the structures with the greatest height and mass. An exception to providing story poles for all structures in a Planned Development application with multiple commercial structures and/or residential units shall follow the same procedures as outlined below.

The Town Manager will review all justifiable requests for an exception to the Story Pole requirement within 14 days of receipt of the request and shall place the matter on the next available Town Council agenda for consideration by the Council. Written notice of the exception request shall be mailed to property owners and residents of properties within 300 feet of the project site. All requested and approved exceptions shall be posted on the Town's Web site under “What’s New,” in agenda posting locations at Town Hall and the Library, and in the online development activity report when established.

If an exception is approved, the applicant will be required to demonstrate the proposed structure height and mass using alternative means as outlined in Section II.G.

G. Alternatives/Visual Renderings: If an alternative is allowed (Section II) or an exception is granted (Section II.F) to the Story Pole requirements, digital imagery simulations, computer modeling, built to-scale models or other visual techniques shall be required in-lieu of the Story Pole requirements. Simulations shall be prepared by the Town's consultant. The applicant shall be responsible for all technical review(s), materials, and cost of the Town’s evaluation and/or preparation process.

H. Removal:

Story poles and netting/flagging may be removed 60 days after the first public hearing on the project or once a final action has been taken and the appeal period is over. Once a final action has been taken and the appeal period is over, the height poles and netting/flagging shall be removed at the applicant’s expense within 30 days. If not removed, the height poles and netting/flagging will be considered rubbish and will be in violation of Section 11.10.020 of the Town Code and the matter will be forwarded to Code Compliance for enforcement action.

ITEM NO. 18.

Draft Resolution Date
III. Project Identification Signs:

All development applications that include public notification shall also provide project identification signs on the development site consistent with the following requirements.

A. Timing:

Project identification signs shall be installed within 30 days of the first staff review.

Public notices will not be mailed and/or application(s) shall not be advertised until project identification sign(s) have been installed. The applicant shall submit a photo showing the on-site sign(s) installed on the subject property prior to the distribution of the public notices.

B. Size:
 Single-Family or Duplex Residential Projects: One, 2'x2' sign placed on the street frontage. The top of the sign shall be five feet (5’) from existing grade and visible from the main street frontage. The sign shall indicate the scheduled public hearing date and the availability of plans for review at the Community Development Department.
 Multi-Family, Mixed-Use, Commercial/Industrial Projects: One 4'x8' sign on each of the property frontages that are visible to surrounding public right of ways, including pedestrian trails such as the Los Gatos Creek Trail. The top of the signs shall be six feet (6') from existing grade. The Community Development Director may require additional signs for development sites that have large frontages.  Conditional Use Permit (CUP) Only Projects: One 2' by 3' vertical sign on or inside the window of a building, provided the sign is visible from public locations outside the building.
 Downtown (C-2 Zone) Remodels or New Commercial Development: One 2' by 3' vertical sign constructed of metal frame with water resistant plastic or laminated face. In cases where it is infeasible to install a free-standing sign, the posting of a durable, all weather sign on or inside the window of a building is permitted, provided the sign is visible from public locations outside the building. Requests for an exception to the free-standing sign requirements shall be made to the Community Development Department in writing no less than 30 days prior to the public hearing for the project.

ITEM NO. 18.

Draft Resolution Date
C. Number and Placement of Signs:

With two exceptions, on-site signs shall be placed on each street frontage of the site.

The first exception is for permits related to an individual new single family dwelling, where, only one sign on the street frontage is required. The signs shall be oriented towards the street, within one foot (1') of the front property line or two feet (2') of the back of the sidewalk. The second exception is for projects that involve only a Conditional Use Permit for use of an existing building, where only one sign located at the business frontage is required.

D. Materials:

Signs shall be constructed of durable materials, such as foam core or plywood, and shall be laminated during the rainy season (October through April) if posted outdoors. The sign colors shall be a white background with black printing, and color graphics (excluding single family, which may have black and white graphics). As noted under Section III.B., signs in the Downtown C-2 Zone shall be constructed of higher grade materials, including a metal frame and a plastic or laminated poster board face.

E. Sign Content:

Up to 75 percent of the overall sign area must be used to provide a general description of the project; including number of residential units or commercial buildings and square footage; a color perspective drawing, three-dimensional image or photographic simulation and the name and contact information of the project applicant. Signage designs that are visually striking are encouraged. Single family remodel projects are not required to provide a rendering on the sign. Projects that do not include review of exterior changes to an existing building are not required to provide drawing or building image. The public notice portion of the sign message must constitute 25 percent of the overall sign area and notify the community of the public hearing date and time and contain the following message, “For more information about this project, please contact the Town of Los Gatos Planning Division at 110 E. Main Street, Los Gatos, (408) 354-6872. Plans can be reviewed on the Town’s website at: www.losgatosca.gov/2216/Pending-Planning-Projects.” The project address, application number, applicant email contact information, and a QR code shall be included on the notice sign.

F. Duration of Sign Posting:

Project identification signs shall be placed on site within 30 days of the first staff review of the proposed project and shall be removed within 30 days of the final action.

ITEM NO. 18.

Draft Resolution Date
G. Maintenance:

The applicant is responsible for replacement of any missing, damaged, or vandalized signs within five days of request by the Town. The Town may cease processing of the application if the signs are not replaced and/or maintained.

IV. Definitions:

Height: As defined by the Zoning Ordinance, height is determined by the plumb vertical distance from the natural or finished grade, whichever is lower and creates a lower profile, to the uppermost point of the roof edge, wall, parapet, mansard, or other point directly above that grade. For portions of a structure located directly above a cellar (refer to Section 29.10.020 of the Zoning Ordinance for definition of cellar), the height measurement for that portion of the structure shall be measured as the plumb vertical distance from the existing natural grade to the uppermost point of the structure directly over that point in the existing natural grade.

Roofline or edge: The contour or shape of a roof.

This policy was adopted by Town Council on April 2, 2024 (Resolution 2024-___)

ITEM NO. 18.

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ITEM NO. 18.

Direct No.: 415.655.8114
[email protected]
Los Angeles – Inland Empire – Marin County – Oakland – Orange County – Palm Desert – San Diego – San Francisco – Silicon Valley – Ventura County 1 California Street - Suite 3050
San Francisco, California 94111-5432
voice 415.655.8100 - fax 415.655.8099
www.bwslaw.com
March 29, 2024
Mayor Mary Badame and
Los Gatos Town Council
Town of Los Gatos
110 E. Main Street
Los Gatos, CA 95030
Re: April 2 Agenda Consent Item 16: Height Pole and Netting Policy Dear Honorable Mayor and Council Members:

Our firm represents Grosvenor USA Limited (“Grosvenor”) in connection with housing and land use matters for development of the North Forty Specific Plan Area in the Town of Los Gatos (the “Town”). Since our last correspondence to you on this issue, Grosvenor has advanced beyond the preliminary application stage and has submitted its formal development application to the Town for a housing development project on the North Forty Phase II site that is consistent with the density and unit count allocated to the site in the Town’s 2023-2031 Housing Element.

While Grosvenor’s application remains pending, we have continued to monitor the Town’s progress towards implementing Housing Element Program AW (Story Poles and Netting Policy). We previously commented on the Housing Element to identify the Town’s current policy regarding height pole and netting requirements (collectively, the “Story Pole Policy”) as a constraint on development generally and a particular constraint for the review and approval of Grosvenor’s proposed housing development project. In its December 1, 2023 letter to the Town, the California Department of Housing and Community Development (“HCD”) directed the Town to strengthen Program AW to modify the Story Pole Policy in order to eliminate this constraint on housing production.

On March 18, 2024, the Town submitted a revised 2023-2031 Housing Element to HCD that incorporated revisions to Program AW. In its latest submittal, the Town committed to update the Story Pole Policy by March of 2024 to exempt affordable housing projects and to give all multifamily housing applicants the “option to provide visuals, video rendering, or other visual methods in place of story poles for all multifamily and mixed-use projects” An item related to the Story Pole Policy was agendized for March 19; however, the Town Council continued the item to April 2. Based on the ATTACHMENT 15

ITEM NO. 18.

Los Gatos Town Council
March 29, 2024

April 2 agenda, the Town Council intends to continue the item again, meaning the earliest it would act on the Story Pole Policy would be April 16.

We urge you to avoid continued delay and take up the Story Pole Policy on April

16. Moreover, we respectfully request that the revised Story Pole Policy expressly apply to Grosvenor’s housing development application, consistent with the commitment the Town has made in the revised Housing Element Program AW to allow all multifamily and mixed-use projects to use alternative visualizations to story poles.

As we have written previously, amending the Story Pole Policy as applied to Grosvenor’s housing development application is an important step towards helping the Town achieve its housing production goals. The Town has already committed to these revisions in its latest Housing Element submitted to HCD, and we encourage the Town Council to follow through and implement the identified revisions in a timely manner.

Thank you for your prompt attention and action. The Grosvenor team looks forward to continuing its work with the Town to deliver much needed housing during the planning period.

Sincerely,
Eric S. Phillips
cc: Gabrielle Whelan, Los Gatos Town Attorney
Steve Buster, Senior Vice President, Grosvenor
Whitney Christopoulos, Senior Development Manager, Grosvenor Don Capobres, Principal, Harmonie Park Development
Paul McDougall, HCD Senior Program Manager
Jose Armando Juaregui, HCD Housing Policy Analyst

ITEM NO. 18.

PREPARED BY: Gitta Ungvari
Finance Director
Reviewed by: Town Manager, Town Attorney, and Assistant Town Manager 110 E. Main Street Los Gatos, CA 95030 ● 406-354-6832
www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 4/16/2024
DATE: April 5, 2024
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Discuss and Provide Direction Regarding the Finance Commission Recommendation to Issue a Request for Qualification (RFQ) for the Preparation of the Annual Comprehensive Financial Report (ACFR).

RECOMMENDATION:

Discuss and provide direction regarding the Finance Commission recommendation to issue a Request for Qualification (RFQ) for the preparation of the Annual Comprehensive Financial Report (ACFR).

BACKGROUND:

At the December 11, 2023 Finance Commission meeting, the Commissioners passed a motion to recommend that the Town Council adopt a practice to hire a separate entity to perform work necessary for the preparation of the Town’s ACFR. The work includes preparing the financial statements, notes disclosures, supplemental information, the Management Discussion and Analysis (MD&A) template and tables, and statistical schedules that are derived from the financial statements. Currently, this work is performed by the Town’s external auditor, Chavan & Associates, LLP.

DISCUSSION:

Based on staff research, most municipalities within Santa Clara County, with the exception of the City of San José, use their current audit firm to assist with compiling and preparing their Annual Comprehensive Financial Report. While management is responsible for the financial statements, the production of the Annual Comprehensive Financial Report involves the synchronization of the actual financial statements with the footnotes, supporting statistical and required supplementary data, Letter of transmittal, and the MD&A. This is a very time intensive effort for staff and can be done more efficiently through the use of a third party who has

ITEM NO. 19.

PAGE 2 OF 2
SUBJECT: ACFR Preparation Services
DATE: April 5, 2024
DISCUSSION (continued):
software dedicated for this purpose and has expertise providing ACFR preparation service to multiple local government clients. This approach is most time and cost efficient, taking advantage of economies of scale, allowing for lower cost of production, and saving staff resources for other Council and Finance Commission priorities.

If Council directs staff to hire a different firm to assist with the ACFR preparation, staff recommends that Council authorize the Town Manager to prepare and issue a Request for Qualifications (RFQ) for ACFR preparation. Staff anticipates the contract amount being within Town Manager’s contract authority and would not need to return to Council to approve the consultant selection.

CONCLUSION:

Discuss and provide direction regarding the Finance Commission’s recommendation to issue a Request for Qualification (RFQ) for the preparation of the Annual Comprehensive Financial Report (ACFR).

FISCAL IMPACT:

If Council approves the Finance Commission’s recommendation, any additional cost beyond using our current external auditor (Chavan & Associates, LLP) will be included in the Proposed FY 2024/25 Operating Budget. The potential cost of the additional services is estimated at approximately $10,000 to $15,000 for the fiscal year FY 2023/24 ACFR, pending results of the RFQ submittals.

ENVIRONMENTAL ASSESSMENT:

This is not a project defined under CEQA, and no further action is required.

ITEM NO. 19.

PREPARED BY: Clinton Tada
Support Services Captain
Reviewed by: Town Manager, Assistant Town Manager, Finance Director, and Town Attorney 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov

TOWN OF LOS GATOS

COUNCIL AGENDA REPORT
MEETING DATE: 04/16/2024
DATE: April 2, 2024
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Authorize the Town Manager to Negotiate an Animal Services Agreement between the Town of Los Gatos and the Silicon Valley Animal Control Authority (SVACA), and Direct Staff to Bring Back an Agreement for the Town to Become a Member of the SVACA.

RECOMMENDATION:

Authorize the Town Manager to negotiate an Animal Services Agreement between the Town of Los Gatos and the Silicon Valley Animal Control Authority (SVACA), and direct staff to bring back an agreement for the Town to become a member of the SVACA.

BACKGROUND:

On July 1, 2004, the Town of Los Gatos and City of San Jose Animal Care Services (SJACS) entered into a twenty- year agreement (Attachment 1) for animal control services for the Town.

At the time, the Town Council decided to terminate the existing agreement with SVACA and leave this Joint Powers Authority (JPA). The Council was interested in entering into contract negotiations with the City of San Jose due to rising costs of the proposed shelter plan by SVACA and the withdrawal of the City of Cupertino from the SVACA JPA, which also contributed to increased costs to the Town’s cost sharing for animal services under the SVACA JPA.

In 2004, SJACS required the Town to pay a one-time contribution for capital costs of $300,000 plus an initial annual operating cost payment of $164,000. At the term end (June 2024) of the twenty-year agreement, the Town’s annual FY 23/24 operating costs to the SJACS will be approximately $262,345.34, an increase of 60% from the original annual service cost payment.

On June 30, 2024, the existing Animal Care Services agreement between the Town of Los Gatos and SJACS will expire. As a part of long-term budget strategies, the Town Council directed staff

ITEM NO. 20.

PAGE 2 OF 5
SUBJECT: Animal Services Agreement
DATE: April 2, 2024
BACKGROUND (continued):
to explore opportunities for reducing costs and improving operational efficiencies. The Animal Control Services contract provides an opportunity to determine potential cost savings.

DISCUSSION:

The Police Department and Town Manager’s Office completed an analysis of available contractual Animal Control Service agencies in the region which identified SVACA as a competitive alternative provider in addition to SJACS.

Animal care services currently being provided to the Town by SJACS require support from the Town Attorney’s Office, Code Compliance Officer, and Police Department for qualified cases related to criminal violations and conducting administrative hearings for municipal code violations. These coordinated efforts would continue under both service provider options. As a part of conducting research, staff sought out comparisons related to annual operating service costs, operational capabilities, service delivery models, governance models, and the regionalization of animal services and resources which would improve service levels to the community.

Operational Cost Comparisons
At the end of the current term agreement, SJACS provided the Town with a proposed renewal agreement (Attachment 2), which included a revised 3-year initial term and an operating cost for FY 2024/25 of $289,185, an increase of 10.2% from FY 2023/24. For FY 2025/26 and FY 2026/27, annual operating costs would increase by 4% each year of the initial term which would equal annual costs of $300,752.40 (FY 2025/26) and $312,782.50 (FY 2026/27). The Town would not be responsible for paying an initial capital lump sum cost as was required in 2004.

In addition, annual domestic pet licensing fees paid to SJACS are reimbursed to the Town on a quarterly basis based on the Town’s fee schedule. For reference, in FY 2023/24 the Town anticipates a reimbursement from SJACS in the amount of approximately $25,000. See chart below for annual operating costs proposed by the City of San Jose revised agreement renewal options.

ITEM NO. 20.

PAGE 3 OF 5
SUBJECT: Animal Services Agreement
DATE: April 2, 2024
DISCUSSION (Continued):

INITIAL TERM YEARLY COMPENSATION (% Increase from Prior Year) July 1, 2024 through June 30, 2025 $289,185.00 (+10.2%) July 1, 2025 through June 30, 2026 $300,752.40 (+4%)
July 1, 2026 through June 30, 2027 $312,782.50 (+4%)
1 st OPTION TERM YEARLY COMPENSATION (% Increase from Prior Year) July 1, 2027 through June 30, 2028 $325,293.80 (+4%)
July 1, 2028 through June 30, 2029 $338,305.55 (+4%)
July 1, 2029 through June 30, 2030 $351,837.77 (+4%)
2 nd OPTION TERM YEARLY COMPENSATION (% Increase from Prior Year) July 1, 2030 through June 30, 2031 $365,911.28 (+4%)
July 1, 2031 through June 30, 2032 $380,541.73 (+4%)
July 1, 2032 through June 30, 2033 $395,769.64 (+4%)
SVACA’s annual operating costs and one-time capital/joint equipment contribution costs are determined by voting members of the JPA Board of Directors on an annual basis. The Town would be a new participating member under the current SVACA JPA. Therefore, the Town would incur an initial one-time contribution towards capital costs or a joint maintenance payment to offset equipment additions or to supplement other contributions made by participating agencies. The initial contribution of capital costs for the Town is anticipated to be less than $100,000 and SVACA has indicated that the amount would likely be allocated to supplementing costs of a new vehicle or equipment items.

Factors for consideration of annual operating costs for SVACA are established based on jurisdiction size and population, estimated number of field service calls, estimated boarding and intake of animals into the shelter, and other JPA members’ jurisdictional needs and contributions.

SVACA staff provided an initial estimate for the FY 24/25 annual operational cost to the Town in the amount of $239,000. The estimate was based on the last three years of statistical data from the Town. Future annual operating costs are determined through JPA approval and vote, with anticipated three to four percent Consumer Price Index increases on an annual basis.

Annual licensing fees, spay and neuter fees, and adoption fees collected by SVACA from residents in each jurisdiction are applied to each individual participating agency’s annual payments the following year.

The SVACA JPA has demonstrated a capability of controlling costs and limiting the fiscal impact to its member agencies. When comparing the recent history of proportionate costs charged to by SVACA and SJACS based on service level and operations, there is a clear distinction between

ITEM NO. 20.

PAGE 4 OF 5
SUBJECT: Animal Services Agreement
DATE: April 2, 2024
DISCUSSION (Continued):
the two operations. In addition, if the Town is a member of the JPA, Los Gatos would have a seat on the Board to decide these matters.

Service Capabilities
Both SJACS and SVACA provide professional full-service animal control services to jurisdictions in the Santa Clara County. SJACS currently serves the City of San Jose, City of Cupertino, City of Saratoga, and Town of Los Gatos. SVACA serves the City of Campbell, City of Monte Sereno, City of Mountain View, and City of Santa Clara, with each participating agency having at least one appointed member to the JPA Board of Directors.

SJACS and SVACA both operate in a 24/7 capacity to respond to priority one related calls for service. SJACS has limited or delayed response capabilities for priority two and priority three related calls for service (one hour or more) based on staffing resources available, on recognized holidays, and after specific hours of the day. Due to the fact that Monte Sereno and Campbell currently utilize SVACA services, staff believes that field responsiveness and geographical availability for priority calls, follow up investigation, and proactive routine patrols within the Town will increase with SVACA serving neighboring jurisdictions.

Governance Model
SVACA has an established JPA agreement (Attachment 3) in which each member agency has a board representative from their respective city/town council. This model gives each jurisdiction direct control by its elected officials over the Authority’s operations, including budgetary decisions made related to operational costs, facility improvements, staffing, and SVACA program management. All actions by the JPA require the Board’s approval. Currently, Santa Clara receives two votes, and Mountain View, Campbell and Monte Sereno have one vote each.

New voting procedures may need to be established if Los Gatos were to join the JPA.

The JPA has successfully maintained effective intergovernmental relationships and coordination of services through its Technical Advisory Committee (TAC). This group is comprised of staff from the member agencies who meet regularly to ensure smooth operations and service delivery to their respective communities and address operational concerns with flexibility and localized respective control. Staff’s experience with administering contractual or shared services maintained and operated solely by another single jurisdiction is less desirable based on the limitations to control operations and budgeting, particularly during dynamic and challenging economic times. The JPA model would provide the Town with an active role in animal service from both an operational perspective and in its governance.

CONCLUSION:

After considering the history of the existing long-term contractional relationship, comparing service provided, governance, and costs for the two service providers, staff believes entering

ITEM NO. 20.

PAGE 5 OF 5
SUBJECT: Animal Services Agreement
DATE: April 2, 2024
CONCLUSION (Continued):
into the SVACA JPA will result in improved operational efficiencies, better services to the community and long-term savings to the Town for animal services.

Staff recommends Town Council approve authorization for the Town Manager to negotiate an animal services agreement between the Town of Los Gatos and the Silicon Valley Animal Control Authority (SVACA), and direct staff to bring back an agreement for the Town to become a member of the SVACA JPA.

FISCAL IMPACT:

The estimated fiscal impact is an estimated $50,000 reduction in FY 24/25 operating costs for the first year, with increased savings to the Operating Budget in future years. The Town would defer annual revenues from animal licensing under the existing SJACS agreement, estimated at $25,000 per year which would be applied to SVACA’s annual contribution maintenance fund to align with other participating agencies.

Becoming a member of SVACA may incur a one-time capital expense or equipment contribution by the Town to be determined by the SVACA JPA upon approval and acceptance of the Town as a participating member agency. When considering both ongoing operating and one-time capital costs, SVACA would offer the Town net savings in future years of operational costs in comparison to SJACS built-in 4 percent increase annually, with a minimum 3-year optional agreement terms.

ENVIRONMENTAL ASSESSMENT:

This is not a project defined under CEQA, and no further action is required.

Attachments:

1. SJACS Original Agreement 2004

2. SJACS Proposed Renewal Agreement 2024

3. SVACA JPA Agreement 2012

ITEM NO. 20.
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THE TOWN OF LOS GATOS
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This Animal Services Agreement ("AGREEMENT") is entered into this ;) 9 day of � 2004, by and between the TOWN OF LOS GATOS, a municipal corporation (hereinafter "LOS GATOS"), and the CITY OF SAN JOSE, a municipal corporation (hereinafter "SAN JOSE"). LOS GATOS and SAN JOSE are hereinafter collectively referred to as the "PARTIES."

RE CIT AL S
WHEREAS, LOS GATOS desires to provide certain animal control services to its residents and citizens; and
WHEREAS, SAN JOSE has the personnel and facilities necessary to provide the animal control services.

NOW, THEREFORE, in consideration of the mutual covenants set forth in this AGREEMENT, the PARTIES hereby agree as fol)ows:

SECTION 1. SCOPE OF SERVICES.

SAN JOSE shall perform those services specified in detail in Exhibit A, entitled "SCOPE OF SERVICES" ("Animal Services"), which is attached hereto and incorporated herein.

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SECTION 2. TERM
The term of this AGREEMENT shall be from July 1, 2004 to June 30, 2024, inclusive.

SAN JOSE shall begin providing Animal Services pursuant to this AGREEMENT on July 1, 2004.

SECTION 3. CAPITAL CONTRIBUTION
Within thirty-five days of the execution of this AGREEMENT, LOS GATOS shall pay a one-time capital contribution payment to SAN JOSE of Three Hundred Thousand Dollars ($300,000). The capital contribution is to be used toward the SAN JOSE'S new animal shelter, a new animal control vehicle, and overhead costs related to the expansion of the shelter facility. In the event, LOS GATOS or SAN JOSE terminates the AGREEMENT.as specified under SECTION 12 of this AGREEMENT, SAN JOSE shall refund LOS GATOS' capital contribution based on the following schedule for effective date of termination and amount:

July 1, 2004 through June 30, 2005
July 1, 2005 through June 30, 2006
July 1, 2006 through June 30, 2007
$300,000
$200,000
$100,000
If the effective date of the termination is after June 30, 2007, no refund shall be paid.

SECTION 4. MONTHLY PAYMENT PROVISIONS.

A. Payment Schedule
LOS GATOS shall make payments in equal monthly installments for services provided after execution of this AGREEMENT. All installment payments by LOS GATOS shall be due and payable on the first day of the month and shall be delinquent on the fifteenth (15) business day thereafter without demand or notice to LOS GATOS. SAN T-1198\ 237252.5 2

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JOSE will provide LOS GATOS an invoice at least fifteen (15) calendar days prior to the payment due date.

8. Payment Amounts
For Animal Services provided by SAN JOSE to LOS GATOS under this AGREEMENT, LOS GATOS shall pay SAN JOSE compensation for the period of July 1, 2004 through June 30, 2005 in accordance with Section 4.A at the following base rate, to be adjusted as described herein:

Field and Shelter Services $164,000
The cost for Field and Shelter services will be based on the number of live domestic animals impounded by SAN JOSE. This cost incorporates all administrative costs, Medical Services, and Dead Animal Services. The PARTIES agree to estimate the number of animals to be impounded at the beginning of each fiscal year. The PARTIES also agree that any overages will be separately billed and any underages separately rebated at the end of each fiscal year. Any adjustments during the Fiscal Year 2004-2005 will be from the base rate of $164,000.

The compensation for Animal Services under this AGREEMENT shall adjust each fiscal year. The PARTIES agree that the adjusted rate shall be based on the formula detailed in Exhibit B, which is attached hereto and incorporated herein.

In the event SAN JOSE provides services to LOS GATOS prior to execution of this AGREEMENT, LOS GATOS shall compensate SAN JOSE in accordance with the terms set forth in SECTION 4 of this AGREEMENT.

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SECTION 5. INSPECTION OF FINANCIAL BOOKS AND RECORDS.

During the term of this AGREEMENT, SAN JOSE shall keep its financial books and records directly pertaining to the provision of Animal Services under the AGREEMENT open to inspection and audit by LOS GATOS or LOS GATOS' designated representative(s), upon request of LOS GATOS, and during normal business hours.

Any audit of SAN JOSE's financial books and records conducted by LOS GATOS shall be at the expense of LOS GATOS.

SECTION 6. CONFIDENTIALITY.

SAN JOSE agrees that to the extent consistent with the California Public Records Act and applicable California law, it shall maintain in confidence and shall not disclose to any third party reports or other documents prepared in connection with the performance of Animal Services under the AGREEMENT.

SECTION 7. PROJECT MANAGER.

The PARTIES shall each designate a Project Manager through whom any necessary review of the Animal Services performed under the AGREEMENT will occur.

SECTION 8. INDEMNIFICATION.

In lieu of and notwithstanding the pro rata risk allocation which might otherwise be imposed between SAN JOSE and LOS GATOS pursuant to Government Code section 895.6, SAN JOSE and LOS GATOS agree that all losses or liabilities incurred by a party shall not be shared pro rata as defined in Government Code section 895.6, but instead SAN JOSE and LOS GATOS agree that pursuant to Government Code section 895.4, each of the PARTIES hereto shall fully indemnify and hold the other party, their officers, board members, employees and agents, harmless from any claim, expense or T-1198\ 237252.5 4

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cost, damage or liability imposed for injury (as defined by Government Code section 810.8) occurring by reason of and only to the extent of the negligent acts or omissions or willful misconduct of the indemnifying party, its officers, board members, employees or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such party under this AGREEMENT. No party, nor any officer, board member, employee or agent thereof shall be responsible to the extent any damage or liability occurs by reason of the negligent acts or omissions or willful misconduct of other party hereto, its officers, board members, employees or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such other parties under this AGREEMENT.

SECTION 9. INDEPENDENT CONTRACTOR RELATIONSHIP.

This AGREEMENT shall in no way be construed to constitute SAN JOSE as the partner, legal representative, or employee of LOS GATOS or LOS GATOS of SAN JOSE for any purpose whatsoever, or as the agent of LOS GATOS or SAN JOSE, and neither party shall act or attempt to act or represent itself directly or by implication as having such status or relationship. The PARTIES shall have the relationship of independent contractors, and except as specifically provided in this AGREEMENT, each party shall be solely responsible for all obligations and liabilities pertaining to the business, activities, and facilities of that party. As an independent contractor, the PARTIES shall obtain no rights to retirement benefits or other benefits, which accrue, to the PARTIES' respective employees, and the PARTIES hereby expressly waive any claim either of them may have to any such rights.

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SECTION 10. ASSIGNABILITY.

SAN JOSE and LOS GATOS acknowledge and agree that the expertise and experience of SAN JOSE are material considerations inducing LOS GATOS to enter into this AGREEMENT. LOS GATOS acknowledges and accepts that a portion of the services provided under this AGREEMENT shall be provided by a handler of dead deer and livestock, wildlife services, and/or independent veterinary doctors. Neither PARTY shall assign or transfer any interest in this AGREEMENT, or the performance of any obligations hereunder, other than those services provided by the handler of dead deer and livestock, wildlife services, and/or independent veterinary doctors, without the prior written consent of the other, and any �ttempt by either of the PARTIES to assign this AGREEMENT or any rights, duties or obligations arising hereunder shall be void and of no effect.

SECTION 11. NONDISCRIMINATION.

Neither PARTY shall discriminate, in any way, against any person on the basis of race, sex, color, age, religion, sexual orientation, actual or perceived gender identity, disability, ethnicity, or national origin, in connection with or related to the performance of this AGREEMENT
SECTION 12. TERMINATION OF AGREEMENT.

A. Termination
This AGREEMENT may be terminated earlier at any time:

1. Upon the written consent of both SAN JOSE and LOS GATOS;

2. By either SAN JOSE or LOS GATOS immediately upon notice to the other, if the other breaches any material obligation under this AGREEMENT and T-1198\ 237252.5 6
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such breach remains unremedied for at least thirty (30) days following written notice thereof to the breaching party; or

3. Upon at least one hundred eighty (180) days prior written notice by LOS GATOS to SAN JOSE or SAN JOSE to LOS GATOS of that party's desire to terminate this AGREEMENT. If LOS GATOS does not appropriate the full amounts due to SAN JOSE under this AGREEMENT for any fiscal year on or before June 30 of the year directly preceding the fiscal year for which Animal Services are provided by SAN JOSE, then that action shall, as of the same June 30, constitute the start of the 180-day notice of termination of this AGREEMENT by LOS GATOS pursuant to this SECTION.

8. Effects of Tennination
Upon the effective date of any termination of this AGREEMENT, SAN JOSE's obligation to provide Animal Services to LOS GATOS under this AGREEMENT shall cease, and LOS GATOS' obligation to make payments hereunder for periods of time after the effective date of termination shall cease, provided that the PARTIES shall have any and all remedies available under law for any breach of this AGREEMENT. The PARTIES may also elect to negotiate a new agreement for the provision of Animal Services at any time after the effective date of termination.

C. Termination Costs
In the event LOS GATOS elects to terminate this AGREEMENT, SAN JOSE shall be reimbursed for stray animals that were sheltered for LOS GATOS but not paid for prior to termination for a period of twelve (12) months from the date of termination.

The reimbursement will be at the rate per animal agreed upon by the PARTIES for that fiscal year. SAN JOSE shall notify LOS GATOS of the number of animals it shelters during the twelve (12) month period through and in a monthly report provided by SAN JOSE in the same format and manner as the monthly impound T-1198\ 237252.5 7

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report. LOS GATOS shall pay SAN JOSE for shelter services in accordance with SECTION 4.A.

SECTION 13. COMPLIANCE WITH LAWS.

Each PARTY shall comply with all applicable laws, ordinances, codes and regulations of the federal, state and local governments.

SECTION 14. GIFTS.

A. LOS GATOS is familiar with SAN JOSE's prohibition against the acceptance of any gifts by a SAN JOSE officer or designated employee, which prohibition is found in Chapter 12.08 of the San Jose Municipal Code.

8. LOS GATOS agrees not to offer any SAN JOSE officer or designated employee gifts prohibited by said Chapter.

C. The offer or giving of an� gift prohibited by Chapter 12.08 shall_ constitute a material breach of the AGREEMENT by LOS GATOS. In addition to any other remedies SAN JOSE may have in law or equity, SAN JOSE may terminate this AGREEMENT for such breach as provided in Section 12.A.2 of this AGREEMENT.

SECTION 15. RETROACTIVE SERVICES PROVIDED.

It is understood and agreed that SAN JOSE may have provided services pursuant to the provisions of this AGREEMENT, but prior to the execution of this AGREEMENT by the PARTIES, in anticipation of this execution. LOS GATOS shall compensate SAN JOSE for those services in accordance with the terms of this AGREEMENT. However, in no instance shall SAN JOSE be compensated under this AGREEMENT for work performed for LOS GATOS prior to July 1, 2004.

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SECTION 16. INSURANCE.
0 SAN JOSE shall, at its own expense, maintain a program of self-insurance and/or insurance as specified in EXHIBIT C "INSURANCE," which is attached hereto and incorporated herein.

SECTION 17. NOTICES AND INVOICES.

All notices and invoices required or permitted hereunder shall be deemed to have been received when delivered in person or if mailed, on the third (3rd ) business day after the
date on which mailed, postage prepaid, and addressed to each party as follows:

To SAN JOSE:

To LOS GATOS:

Director
San Jose Animal Care and Services
1821 Zanker Road
San Jose, CA 95112
Chief of Police
Los Gatos/Monte Sereno Police
Department
Town of Los Gatos
110 E. Main Street
Los Gatos, CA 95032
The PARTIES agree to notify each other in writing of any change in the address no later than thirty (30) days prior to the change in location for receipt of notice.

SECTION 18. VENUE.

In the event that suit shall be brought by either party to this AGREEMENT, the PARTIES agree that venue shall be exclusively vested in the state courts of the State of T-1198\237252.5 9

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California, County of Santa Clara, or if federal jurisdiction is appropriate, exclusively in the United States District Court, Northern District of California, San Jose, California.

SECTION 19. GENERAL PROVISIONS.

A. Entire Agreement
This AGREEMENT constitutes the entire agreement between the PARTIES hereto relating to the subject matter hereof and supersedes all prior and contemporaneous oral and written commitments, understandings and agreements. No changes or modifications to this AGREEMENT shall be valid or binding unless contained in a written amendment duly executed by the PARTIES.

8. Waivers
No delay or failure of either party to exercise or enforce at any time any right or provision of this AGREEMENT shall be considered a waiver of such right or provision or of such party's right thereafter to exercise or enforce each and every right and provision of this AGREEMENT. In order to be valid, any waiver shall be in writing but need not be supported by consideration. No single waiver shall constitute a continuing or subsequent waiver. Neither the acceptance by LOS GATOS of the performance of any work or services performed by SAN JOSE nor the acceptance of compensation by SAN JOSE shall be deemed to be a waiver of any term or condition of this AGREEMENT.

C. Interpretations
In construing or interpreting this AGREEMENT, the word "including" shall not be limiting. The PARTIES agree that this AGREEMENT shall be fairly interpreted in accordance with its terms without any strict construction in favor of or against either party.

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D. Invalid Provisions
If any provision of this AGREEMENT shall be held illegal, invalid, or unenforceable, in full or in part, such provision shall be modified to the minimum extent necessary to make it legal, valid, and enforceable, and the other provisions of this AGREEMENT shall not be affected thereby.

E. Further Documents
The PARTIES agree, upon request, to sign and deliver such other documents as may be reasonably required to carry out the intent and provision of this AGREEMENT.

F. California Law.

This AGREEMENT shall be governed by and construed and enforced in accordance with the laws of the State of California.

G. Counterpart Execution
This AGREEMENT may be executed in one or more counterparts, each of which shall be deemed an original, and all of which shall constitute one and the same document.

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IN WITNESS WHEREOF, the PARTIES hereto have executed this AGREEMENT as of ..y..,. J.. l -9 day of kh .. ,.� , 2004. 0
APPROVED AS TO FORM:

ROS�Jwtatr
Associate Deputy City Attorney
APPROVED AS TO FORM:
ft#"Y P. KORB
Town Attorney
ATTEST:

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"SAN JOSE"
CITY OF SAN JOSE, a municipal
corporation
By�/_� PETER JEN
Assistant to the City Manager
"LOS GATOS"
TOWN OF LOS GATOS, a municipal
corporation

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SECTION 1.

EXHIBIT A

SCOPE OF SERVICES
SERVICES PROVIDED.

For the consideration set forth herein, SAN JOSE shall provide to LOS GATOS Field, Licensing and Sheltering Services. These categories of service are collectively referred to as "Animal Services." Calls for animal related services which are not provided by SAN JOSE shall be referred by SAN JOSE to the appropriate enforcement agency of LOS GATOS in writing or by electronic mail.

SECTION 2. DEFINITIONS.

A. "Critically sick or injured animals" means those animals that have lifethreatening conditions.

B. "Dangerous Animals" means any wild, exotic, or venomous animal, or other animal which because of its size, disposition or other characteristics, would constitute a danger to persons or property as defined in the Los Gatos Town Code §4.10.010(9).

C. "Emergency Calls" means complaints of animal bites or attacks on humans or domestic animals that are in progress, a high risk animal bite to human or domestic animal, or, where a bite has occurred and the animal remains a threat to humans or domestic animals.

D. "Holidays" are New Years Day, Martin Luther King Day, President's Day, Caesar Chavez Day, Memorial Day, Independence Day, Labor Day, Columbus Day, Veterans Day, Thanksgiving Day, Day After Thanksgiving, Christmas Eve Day, Christmas Day and New Years Eve Day.
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E. "Dangerous Dog" or "Potentially Dangerous Dog" means a dog that has attacked, without provocation, humans or other domestic animals or has threatened the safety of humans or domestic animals as defined in the Los Gatos Town Code §4.10.019(r).

F. "Wildlife" means any animal that is native to this region and recognized as an indigenous species such as opossums, raccoons, skunks or squirrels.

SECTION 3. FIELD SERVICES.

A. FIELD SERVICES
SAN JOSE shall provide vehicles, communications equipment, hardware and software requirements, office supplies, field and administrative personnel, and any other personnel, supplies and equipment, reasonably required to perform the following services (the "Field Services") upon a request or complaint from LOS GATOS or from a person within the boundaries of LOS GATOS:
(1) Pick up of confined stray dogs, cats and other small animals, including but not limited to, rabbits, chickens, turkey, geese, birds and ducks, and excluding Wildlife;
(2) Pick up injured or sick stray dogs, cats, birds, and other small animals that are located on public property or readily accessible on private property with the consent of the property owner or the property owner's authorized agent;
(3) Pickup of injured or sick Wildlife, and livestock;
(4) Pick up dead animals in accordance with SECTION 5 of this Exhibit A; (5) Investigate complaints of animal bites or attacks on humans, including the preparation of a report, interviewing the parties involved, quarantining animals which have bitten humans, preparing and transporting biting 237252.5 A-2

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animals for rabies testing, and investigating alleged violations of a quarantine order;
a) The investigation contemplated under this SECTION 3.A5 may be conducted by telephone when the owner and victim are the same person. In all other cases, SAN JOSE will meet and conduct a personal interview(s) with the owner in order to complete the investigation and quarantine the animal as necessary;
(6) Investigate and refer complaints of Dangerous Dog, Potentially Dangerous Dog, and/or Dangerous Animals to the appropriate enforcement agency of LOS GATOS for resolution. Investigations shall include preparation of a report, interviewing the parties involved, and collecting available historical data;
(7) Respond to complaints of dogs running at large, attempt to capture them and provide follow-up patrol if appropriate;
(8) Respond to police assist calls on animal-related issues which may include taking control of an animal at the direction of a police officer on the scene;
(9)
Investigate complaints of activities criminal in nature, such as animal cruelty, neglect and fighting including preparation of a report, interviewing the parties involved, and collecting available historical data for referral to the Santa Clara County District Attorney's Office. SAN JOSE shall 237252.5
provide LOS GATOS a copy of the investigative packet and in each case obtain LOS GATOS' decision and authorization to refer the case to the Santa Clara County District Attorney's Office. If needed or appropriate, SAN JOSE personnel shall appear for court proceedings at no additional cost to LOS GATOS;
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(10) Investigate and refer complaints of animal abuse or neglect, under the Los Gatos Town Code, to the appropriate enforcement agency of LOS GATOS for resolution. Investigations shall include preparation of a report, collecting available historical data, and may include interviewing the parties involved;
(11) Investigate and refer complaints of excessive animals, under the Los Gatos Town Code, to the appropriate enforcement agency of LOS GATOS for resolution;
(12) Respond to complaints in progress of domestic animals causing a nuisance, except domestic animals making noise, and provide follow-up patrol if appropriate. SAN JOSE may issue citations for certain nuisances caused by domestic animals, as defined under the Los Gatos Town Code §4.10.070 pursuant to the authority conferred by Los Gatos Town Code §4.10.055; and
(13) Respond to complaints of venomous or other dangerous snakes and bats that are located on public property or readily accessible on private property with the consent of the property owner or the property owner's authorized agent.

The PARTIES agree that during the course of administering field services, police assistance may be necessary. Upon request from SAN JOSE, LOS GATOS shall provide the police assistance necessary to administer said Field Services.

8. RESPONSE TIME PERFORMANCE STANDARDS
SAN JOSE shall make all reasonable efforts to respond to complaints and requests received by LOS GATOS or from persons within the boundaries of LOS GATOS at a performance standard level that is no less than the following during normal business hours:
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(1) PRIORITY 1 - Response to Emergency Calls; police assist; bites to human and/or domestic animal from bats and skunks; at large Dangerous or Potentially Dangerous Dog; at large quarantined animal; critically sick or injured animal; and animals in distress.
(2)
a) Response shall be on a twenty-four (24) hours per day, seven (7) days per week basis and shall be within one hour or less from the time the call for service is received by SAN JOSE to the time SAN JOSE's personnel arrive on scene.

PRIORITY 2 - Response to complaints of bites; animals on school grounds; animals that pose a traffic hazard on the streets of LOS GATOS; animals in traps; animals suffering from cruelty or neglect; and confined strays.
a) Response shall be during normal business hours and shall be within two business hours from the time the call for service is received by SAN JOSE to the time SAN JOSE personnel arrive on the scene Monday through Friday and within four business hours from the time the call for service is received by SAN JOSE to the time SAN JOSE personnel arrives on scene on Saturdays,
Sundays and Holidays.
(3) PRIORITY 3 - Response to any calls remaining from PRIORITY 1 and 2; dead animal pick up; and dogs running at large.
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a) Response shall be during normal business hours and shall be within four business hours from the time the call for service is received by SAN JOSE to the time SAN JOSE personnel arrive on the scene Monday through Friday and within eight business hours from the time the call for service is received by SAN JOSE to the A-5 Page 236
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time SAN JOSE personnel arrives on scene on Saturdays,
Sundays and Holidays.

C. RESPONSE AFTER BUSINESS HOURS
SAN JOSE shall respond to PRIORITY 1 calls during and after normal business hours, twenty-four hours per day, seven days per week including Holidays. SAN JOSE shall make all reasonable efforts to respond to PRIORITY 2 calls received after normal business hours no later than 11 :00 a.m. the following business day. SAN JOSE shall make all reasonable efforts to respond to PRIORITY 3 calls received after normal business hours no later than 3 p.m. the following business day.

D. EXCLUDED SERVICES
The following services are not included in the services provided by SAN JOSE under this AGREEMENT:
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(1) Removal and disposal of dead marine mammals;
(2) Pick up and transportation of uninjured or healthy, living Wildlife; (3) Pick up animals for surrender at the owner's request except that SAN JOSE may provide these services in SAN JOSE's discretion and charge a fee to be paid by the owner separate and apart from this AGREEMENT;
(4) Permitting or inspection of events with animals;
(5) Investigation of complaints that only relate to domestic animals or Wildlife making noise.

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SECTION 4. SHELTER SERVICES.

A. SHELTER SERVICES
SAN JOSE shall provide the shelter facilities, supplies, animal attendants, supervisors and administrative personnel, and any other personnel, supplies and equipment, reasonably required to perform the following services (the "Shelter Services"):
(1) Shelter of abandoned, impounded, lost or stray domestic animals brought to the shelter by LOS GATOS, its residents, or SAN JOSE personnel; (2) Quarantine of biting animals;
(3) Rabies testing of suspect animals;
(4) Provide facilities for surrender and reclaim of abandoned, lost or stray domestic animals during established business hours;
(5) Euthanization and disposal of abandoned, lost, impounded, or stray domestic animals that are unclaimed by their owners and fail to meet the written SAN JOSE temperament standards for adoption; and (6) Provision of animal license to dogs, or other animals to which licensing is applicable, at the animal shelter.

8. MEDICAL SERVICES
As part of the Shelter Services, SAN JOSE shall provide office facilities, supplies, and professional and trained personnel, employed or under contract, reasonably necessary to perform the following services (the "Medical Services"):
(1) Providing veterinarian services twenty-four (24) hours per day to treat and provide veterinarian care to stray, injured, or sick dogs, cats, and other impounded animals;
(2)
(3)
(4)
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Monitor impounded quarantined biting animals;
Provide vaccination services; and
Have available, free of charge to the public, rabies control information.

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C. OPERATING SCHEDULES
SAN JOSE shall also provide Shelter Services for the animals in the facility twenty-four (24) hours a day, seven (7) days a week. SAN JOSE shall provide or under contract provide emergency veterinary services and shall make animals available to the public in accordance with state law.

SECTION 5. DEAD ANIMAL SERVICES.

SAN JOSE shall provide storage facilities, disposal mechanisms, field and administrative personnel, and any other personnel, supplies and equipment reasonably required to perform the following services (the "Dead Animal Services"):
(1) Pick up of dead animals, including Wildlife, from the streets of LOS GATOS, or from private property within LOS GATOS with the consent of the property owner or the property owner's authorized agent in aQ.cordance with this SE_CT_IO_N 3.8.3;
(2) Handle or refer dead deer and livestock to handler for dead deer and livestock;
(3) Identification of and notification to the owner of the dead animal, whenever possible;
(4) Scan each dead animal for microchip identification, if available; and (5) Disposal of the body of the dead animal.

SECTION 6. RECORDS REGARDING ANIMAL SERVICES.

A. MAINTENANCE OF RECORDS
SAN JOSE shall maintain accurate records regarding its performance of Animal Services for a period of three (3) years from the date such records are created. Such records shall include Shelter Services records regarding receipt, care, reclaim, and 237252.5 A-8

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disposition of owner surrendered, abandoned, impounded, lost or stray domestic animals, including names and addresses of persons reclaiming animals, Dead Animal Services records regarding receipt and disposal of dead animals, and fees collected for the LOS GATOS.

8. INSPECTION OF RECORDS
SAN JOSE shall make available for inspection by LOS GATOS or LOS GATOS' designated representative(s) records regarding Animal Services under this AGREEMENT, upon request of LOS GATOS during SAN JOSE's normal business hours.

C. MONTHLY REPORT
SAN ·JOSE shall provide within 30 days of the end of each month, a monthly Animal Control and Impound Report summarizing Field Services, Shelter Services, Licensing Services, Medical Services and Dead Animal Services provided by SAN JOSE to LOS GATOS. This report shall include, but not be limited to, the following information:
(1) Total number of calls for service, complaints relating to animal bites or attacks, complaints relating to vicious or dangerous dogs, and other activities;
(2) Total number of licenses sold to LOS GATOS residents; (3) Number of incoming live animals, including Wildlife, brought to the shelter (surrender and field);
(4) Number of dead animals picked up by SAN JOSE and brought to the shelter; and
(5) Number and type of animals provided Medical Services along with a brief description of service; and
(6) Response time performance standard report for Priority 1 through 3 calls. 237252.5 A-9 Page 240
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D. YEARLY REPORT
SAN JOSE shall complete and submit to the County of Santa Clara Public Health Department the Annual Report of Local Rabies Control Activities for the Town of Los Gatos. SAN JOSE shall also provide an annual report of activities and accomplishments detailed in SECTION 6.C of this Exhibit A to LOS GATOS.

SECTION SEVEN. PROGRAM REVENUE.

A. FEES COLLECTED BY SAN JOSE
SAN JOSE shall collect fees, charges, and penalties (the "Program Fees") from the public in connection with a portion of the Animal Services provided under this AGREEMENT, including but not limited to items such as impound, quarantine, and boarding fees. These Program Fees shall be at the rates established by LOS GATOS.

If no fee or charge has been established by LOS GATOS, the PARTIES shall mutually determine the appropriate fee or charge for the particular service at issue and shall be imposed by SAN JOSE after it has been duly adopted by LOS GATOS and become effective.

B. PAYMENT OF PROGRAM FEES TO LOS GATOS
All Program Fees collected by SAN JOSE in connection with the Animal Services provided to LOS GATOS, except fees collected for emergency veterinary services which are paid to contract veterinary providers by SAN JOSE, shall be paid or credited monthly by SAN JOSE to LOS GATOS by the fifteenth (15th) business d.ay ofthe . month immediately following the month in which the Program Fees were collected.

C. MONTHLY FEE STATEMENT
SAN JOSE shall provide to LOS GATOS with each monthly payment of Program Fees, a statement of Program Fees collected that shows the total amount of Program Fees 237252.5 A-10

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collected and the total amounts collected in each fee category, such as impound, quarantine and board fees.

D. ANIMAL LICENSING FEES
SAN JOSE shall remit licensing fees paid for the licensing of dogs and cats residing in LOS GATOS to LOS GATOS on a monthly basis. The licensing fees shall be at the rates established by LOS GATOS. If no fee has been established by LOS GATOS, the PARTIES shall mutually determine the appropriate fee for the particular license at issue and SAN JOSE shall impose the fee after it has been duly adopted by LOS GATOS and become effective.

SECTION EIGHT. OTHER RESPONSIBILITIES.

A. ADMINISTRATIVE HEARINGS
SAN JOSE shall not be responsible for nor bear the costs of scheduling or conducting any required hearings regarding Dangerous or Potentially Dangerous Dogs, or any other matter subject to an administrative hearing. If needed or appropriate, SAN JOSE personnel shall appear as a witness at any such hearing at no additional cost to LOS GATOS.
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EXHIBIT B

FORMULA FOR COMPENSATION
LOS GATOS shall compensate SAN JOSE for Animal Services utilizing the Fiscal Year 2004-2005 base rate of $164,000 (hereinafter "Base Rate"). The Base Rate shall apply to the first year of this Agreement (i.e. through June 30, 2005). Compensation for Animal Services shall be adjusted once a year effective July 1 of the next fiscal year (i.e. 2005, 2006, 2007 etc.). The PARTIES agree that each increase for Animal Services shall be based on the percentage increase in total compensation provided to all SAN JOSE animal control officers or the February to February Consumer Price Index-Urban Wage Earners and Clerical Workers for San Francisco-Oakland-San Jose, CA (maintained by the Bureau of Labor Statistics) (hereinafter "CPIU") plus 1.5% as set forth in the Calculation Formula below, whichever is less.

The PARTIES agree to estimate the number of animals to be impounded at the beginning of each fiscal year. The PARTIES also agree that any overages will be separately billed and any underages separately rebated at the end of each fiscal year.

Any adjustments during the Fiscal Year 2004-2005 will be from the base rate of $164,000.

Calculation Formula
ANNUAL COST OF LIVING INCREASE IN TOTAL COMPENSATION:
"Total Compensation" refers to the amount SAN JOSE provides for total compensation (salary and benefits) at top step for a 40-hour per week animal control officer. On July 1 st of each fiscal year, the percentage change in Total Compensation will be derived from the nevv' Total Compensation amount divided by the Total Compensaiion effective from July 1
st of the prior fiscal year (e.g. Total Compensation Percentage Change 237252.5 C-1

ITEM NO. 20.

RD:RLT
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(Fiscal Year 2005-2006) = (Total Compensation (Fiscal Year 2005-2006) / Total Compensation (Fiscal Year 2004-2005) - 1 ).

The annual projected budget increase in contract costs shall be computed as follows:

Fiscal Year 2004-2005 Base Year = $164,000
Fiscal Year 2005-2006 and thereafter = (Animal Services Compensation for Preceding Fiscal Year) x (Percentage Change in Total Compensation for the previous fiscal year) or (CPI-U for the previous fiscal year + 1.5%), whichever is less. In the event the percentage change in CPIU for any given fiscal year is negative, the percentage change in CPIU shall be deemed zero (0).
237252.5 C-2

ITEM NO. 20.

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3/22/2'004

EXHIBIT C

INSURANCE
SAN JOSE represents and warrants that, at SAN JOSE'S sole cost and expense, it will maintain for the duration of this AGREEMENT self-insurance against claims for injuries to persons or damages to property which may arise from, or in connection with, the performance of the services hereunder by SAN JOSE, its agents, representatives, employees or subcontractors.

A. Minimum Scope of Insurance
Coverage shall be at least as broad as:

1. The coverage described in Insurance Services Office Form Number GL 0002 (Ed. 01/96) covering Commercial General Liability together with Insurance Services Office Form Number GL 0404 covering Broad Form Comprehensive General Liability; or that described in Insurance Services Office Commercial General Liability coverage ("occurrence") Form Number CG 0001 (Ed. 01/96); and

2. The coverage described in Insurance Services Office Form Number CA 0001 (Ed. 12/93) covering Automobile Liability, Code 1 "any auto", or Code 2 "owned autos" and Endorsement CA 0025. Coverage shall also include Code 8 "hired autos" and Code 9 "non-owned autos"; and

3. Workers' Compensation insurance as required by the California Labor Code and Employers Liability insurance; and

4. Professional Liability Errors and Omissions, when applicable.

8. Minimum Limits of Insurance
237252.5
SAN JOSE self-insurance maintained limits no less than:

1. 2.

Commercial General Liability: $1,000,000 per occurrence for bodily injury,
personal injury and property damage; and
Automobile Liability: $1,000,000 combined single limit per accident for bodily injury and property damage; and
C-3

ITEM NO. 20.
. .

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3. Workers' Compensation and Employers' Liability: Workers' Compensation limits as required by the California Labor and Employers Liability limits of $1,000,000 per accident; and

4. Professional Liability Errors and Omissions $1,000,000 Aggregate Limit.

C. Other Insurance Provisions
The policies are to contain, or be endorsed to contain, the following provisions:

1. Commercial General Liability and Automobile Liability Coverages a. SAN JOSE self-insured coverage shall apply to LOS GATOS, its officers, employees, agents and contractors as respects: Liability arising out of activities performed by or on behalf of, SAN JOSE; products and completed operations of SAN JOSE; premises owned, leased or used by SAN JOSE; and automobiles owned, leased, hired or borrowed by SAN JOSE. Said self-insurance shall apply fully to any indemnity for LOS GATOS, its officers, employees, agents and contractors. b. SAN JOSE's insurance coverage shall be primary insurance as respects LOS GATOS, its officers, employees, agents and contractors. Any insurance or self-insurance maintained by LOS GATOS, its officers, employees, agents or contractors shall be excess of SAN JOSE's self-insurance and shall not contribute with it.
c. Any failure to comply with reporting provisions of the policies by SAN JOSE shall not affect coverage provided LOS GATOS, its officers, employees, agents, or contractors.
d. Coverage shall state that SAN JOSE's self-insurance shall apply separately to each insured ·against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability.

D. Verification of Coverage
SAN JOSE shall furnish LOS GATOS with Affidavit of insurance . affecting coverage required by this AGREEMENT at the time of contracting and upon expiration of each certificate.

E. Subcontractors
SAN JOSE shall obtain separate certificates and endorsements for each subcontractor and furnish LOS GATOS with a copy of the certificates and endorsements at the time of contracting or expiration of each certificate.
237252.5 C-4

ITEM NO. 20.

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237252.5 C-5

ITEM NO. 20.

RD:RLT:ERD
4/1/2004
Res. No. 72038
RESOLUTION NO. 72038

A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN

JOSE AUTHORIZING THE CITY MANAGER TO

NEGOTIATE AND EXECUTE AGREEMENTS WITH THE

CITIES OF CUPERTINO, LOS GATOS AND SARATOGA

FOR ANIMAL SERVICES
WHEREAS, the Animal Care and Services Division of the Parks, Recreation and Neighborhood Services Department of the City of San Jose ("City") was created in July, 2001, assuming all animal field services, including code enforcement, stray animal removal, vicious dog permits, and animal licensing; and WHEREAS, it is anticipated that construction of the City's new animal care facility will be completed in the summer of 2004, and upon its completion, the City will assume all remaining animal services currently provided by the Humane Society Silicon Valley, which services include sheltering of animals, immunization clinics and public education programs; and
WHEREAS, the cities of Cupertino, Los Gatos, and Saratoga have requested that the City provide complete animal services for their jurisdictions, including animal field services and animal sheltering; and
WHEREAS, the City desires to negotiate and execute agreements with the cities of Cupertino, Los Gatos, and Saratoga to provide such animal services for a period of 20 -years, anticipated to commence in.the summer of 2004, which agreements will include annual payments for operations as well as a one-time capital contribution;

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF SAN JOSE THAT:

ITEM NO. 20.

RD:RLT:ERD
4/1/2004
Res. No. 72038
The City Manager is hereby authorized to negotiate and execute the following agreements to provide animal services for a twenty year term commencing July 1, 2004:

1. An agreement with the City of Cupertino in the amount of $166,000 per annum in operating costs and a one-time capital contribution of $500,000.

2. An agreement with the City of Los Gatos in the amoun� of $164,000 per annum in operating costs and a one-time capital contribution of $300,000.

3. An agreement with the City of Saratoga in the amount of $155,000 per annum in operating costs and a one-time capital contribution of $300,000.

ADOPTED this 6
th day of April, 2004, by the following vote:

AYES:

NOES:

ABSENT:

CAMPOS, CHAVEZ, CHIRCO, CORTESE, DANDO,
GREGORY, LeZOTTE, REED, WILLIAMS, YEAGER;

GONZALES
NONE
NONE
DISQUALIFIED: NONE . 4::�,
Mayor
��
ATTEST:

DEANNAJ. i?r ANA
Acting City Clerk
T-1198\ 251305.doc 2

ITEM NO. 20.

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1 AGREEMENT FOR ANIMAL SERVICES

BETWEEN THE CITY OF SAN JOSE

AND THE TOWN OF LOS GATOS
This AGREEMENT is made and entered into this ____day of _______________, 20__, and is by and between the CITY OF SAN JOSE, a municipal corporation (hereinafter “SAN JOSE”), and the TOWN OF LOS GATOS, a municipal corporation (hereinafter “LOS GATOS”). SAN JOSE and LOS GATOS are sometimes referred to herein individually as “Party” and collectively as “Parties.”
THE PARTIES HEREBY AGREE AS FOLLOWS:

SECTION 1. SCOPE OF SERVICES.

SAN JOSE shall perform those services specified in detail in EXHIBIT A, entitled “SCOPE OF SERVICES,” which is attached hereto and incorporated herein.

SECTION 2. TERM OF AGREEMENT.

A. Initial Term.

The initial term of this AGREEMENT shall be from July 1, 2024 (“Commencement Date”) through June 30, 2027, inclusive, subject to the provisions of SECTION 8 of this AGREEMENT (“Initial Term”). Regardless of the date of execution of this AGREEMENT, this AGREEMENT is effective as of the Commencement Date.

B. Options to Extend.

The Parties may extend the term of the AGREEMENT in two (2) additional threeyear increments (“Option Terms”) through June 30, 2033, subject to the appropriation of funds and to any adjustments for compensation as set forth in EXHIBIT B. The Parties shall exercise any Option Terms by executing a Notice of Exercise of Option in the form set forth in EXHIBIT C no less than one hundred and eighty days (180) days prior to the expiration of the Initial Term or the ATTACHMENT 2 Page 250
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2 expiration of an Option Term, whichever is applicable. All terms and conditions of this AGREEMENT shall remain in full force and effect during any and all Option Terms.

C. Appropriation of Funds.

The Parties’ funding of this AGREEMENT shall be on a fiscal year basis (July 1 to June 30) and is subject to annual appropriations by the City Councils of SAN JOSE and LOS GATOS. Accordingly, the Parties agree that the exercise of any option to extend by the Parties is contingent upon the appropriation of funds.

SECTION 3. COMPENSATION.

The rate and schedule of payment to be paid to SAN JOSE is set out in EXHIBIT B, entitled “COMPENSATION,” which is attached hereto and incorporated herein.

SECTION 4. INDEPENDENT CONTRACTOR RELATIONSHIP.

This AGREEMENT shall in no way be construed to constitute SAN JOSE as the partner, legal representative, or employee of LOS GATOS or LOS GATOS of SAN JOSE for any purpose whatsoever, or as the agent of LOS GATOS or SAN JOSE, and neither Party shall act or attempt to act or represent itself directly or by implication as having such status or relationship. The Parties shall have the relationship of independent contractors, and except as specifically provided in this AGREEMENT, each Party shall be solely responsible for all obligations and liabilities pertaining to the business, activities, and facilities of that Party. As an independent contractor, the Parties shall obtain no rights to retirement benefits or other benefits, which accrue, to the Parties’ respective employees, and the Parties hereby expressly waive any claim either of them may have to any such rights.

SECTION 5. ASSIGNABILITY.

SAN JOSE and LOS GATOS acknowledge and agree that the expertise and experience of SAN JOSE are material considerations inducing LOS GATOS to enter into this AGREEMENT. LOS GATOS acknowledges and accepts that a portion of the services

ITEM NO. 20.

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3 provided under this AGREEMENT shall be provided by a handler of dead deer and livestock, wildlife services, and/or independent veterinary doctors. Neither Party shall assign or transfer any interest in this AGREEMENT, or the performance of any obligations hereunder, other than those services provided by the handler of dead deer and livestock, wildlife services, and/or independent veterinary doctors, without the prior written consent of the other, and any attempt by either of the Parties to assign this AGREEMENT or any rights, duties or obligations arising hereunder shall be void and of no effect.

SECTION 6. INDEMNIFICATION.

In lieu of and notwithstanding the pro rata risk allocation which might otherwise be imposed between the Parties pursuant to Government Code section 895.6, the Parties agree that all losses or liabilities incurred by a Party shall not be shared pro rata as defined in Government Code section 895.6, but instead SAN JOSE and LOS GATOS agree that pursuant to Government Code section 895.4, each of the Parties hereto shall fully indemnify and hold each of the other Party, their officers, board members, employees and agents, harmless from any claim, expense or cost, damage or liability imposed for injury (as defined by Government Code section 810.8) occurring by reason of and only to the extent of the negligent acts or omissions or willful misconduct of the indemnifying Party, its officers, board members, employees or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such Party under this AGREEMENT. No Party, nor any officer, board member, employee or agent thereof shall be responsible to the extent any damage or liability occurs by reason of the negligent acts or omissions or willful misconduct of other Parties hereto, their officers, board members, employees or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such other Parties under this AGREEMENT.

SECTION 7. NONDISCRIMINATION.

The Parties shall not discriminate, in any way, against any person on the basis of race, sex, color, age, religion, sexual orientation, actual or perceived gender identity,

ITEM NO. 20.

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4 disability, ethnicity, or national origin, in connection with or related to the performance of this AGREEMENT.

SECTION 8. TERMINATION.

A. Termination
This AGREEMENT may be terminated earlier at any time:

1. Upon the written consent of both LOS GATOS and SAN JOSE.

2. By either LOS GATOS or SAN JOSE immediately upon notice to the other, if the other breaches any material obligation under this AGREEMENT and such breach remains unremedied for at least thirty (30) days following written notice thereof to the breaching Party.

3. Immediately upon written notice by LOS GATOS to SAN JOSE if SAN JOSE has a receiver appointed for all or substantial part of its business or assets, if a bankruptcy proceeding is brought by or against SAN JOSE as a debtor, or if SAN JOSE ceases its business operations; or

4. Upon at least one hundred eighty (180) days prior written notice by LOS GATOS to SAN JOSE or SAN JOSE to LOS GATOS of that Party’s desire to terminate this AGREEMENT. If LOS GATOS does not appropriate the full amounts due to SAN JOSE under this AGREEMENT for FY 2023- 2024 or on or before June 30 of the year directly preceding the fiscal year for which Animal Services, as defined in EXHIBIT A, are provided by SAN JOSE; then that action shall, as of the same June 30, constitute the start of the 180-day notice of termination of this AGREEMENT by LOS GATOS pursuant to this SECTION.

B. Effects of Termination
Upon the effective date of any termination of this AGREEMENT, SAN JOSE’s obligation to provide Animal Services to LOS GATOS under this AGREEMENT shall cease, and LOS GATOS’ obligation to make payments hereunder for periods of time after the effective date of termination shall cease, provided that the Parties shall have any and all remedies available under law for any breach of

ITEM NO. 20.

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5 this AGREEMENT. The Parties may also elect to negotiate a new agreement for the provision of Animal Services upon the effective date of termination.

C. Termination Costs
In the event LOS GATOS elects to terminate this AGREEMENT with SAN JOSE, LOS GATOS shall pay SAN JOSE the Contract Amount in EXHIBIT B at a prorated daily rate up to the date of termination.

SECTION 9. GOVERNING LAW.

The Parties agree that the law governing this AGREEMENT shall be that of the State of California.

SECTION 10. COMPLIANCE WITH LAWS.

The Parties shall comply with all applicable laws, ordinances, codes and regulations of the federal, state and local governments.

SECTION 11. CONFIDENTIAL INFORMATION.

All data, documents, discussions or other information developed or received by or for the Parties in performance of this AGREEMENT are confidential and not to be disclosed to any person except as authorized by the Parties, or as required by law.

SECTION 12. WAIVER.

No delay or failure of either Party to exercise or enforce at any time any right or provision of this AGREEMENT shall be considered a waiver thereof or of such Party’s right thereafter to exercise or enforce each and every right and provision of this AGREEMENT. The Parties agree that waiver of any breach or violation of any term or condition of this AGREEMENT shall not be deemed to be a waiver of any other term or condition contained herein or a waiver of any subsequent breach or violation of the same or any other term or condition. The acceptance by LOS GATOS of the performance of any work or services by SAN JOSE shall not be deemed to be a waiver of any term or condition of this AGREEMENT.

ITEM NO. 20.

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6 SECTION 13. GIFTS.

A. The Parties are familiar with the prohibition against the acceptance of any gift by an officer or designated employee of SAN JOSE or LOS GATOS.

B. SAN JOSE agrees not to offer any LOS GATOS officer or designated employee any gift prohibited by LOS GATOS. LOS GATOS agrees not to offer any SAN JOSE officer or designated employee any gift prohibited by SAN JOSE.

C. The offer or giving of any gift prohibited by SAN JOSE or LOS GATOS shall constitute a material breach of the AGREEMENT. In addition to any other remedies the Parties may have in law or equity, the Parties may terminate this AGREEMENT for such breach as provided in SECTION 8 of this AGREEMENT.

SECTION 14. NOTICES.

Any notices or other communications required or permitted to be given under this AGREEMENT shall be in writing and shall be personally served or mailed, postage prepaid and return receipt requested, addressed to the respective Parties as follows:

To SAN JOSE: San José Animal Care and Services
2750 Monterey Rd
San José, CA 95111
To LOS GATOS: Chief of Police
Los Gatos/Monte Sereno Police Dept
Town of Los Gatos
110 E Main Street
Los Gatos, CA 95032
Notice shall be deemed effective on the date personally delivered or, if mailed, three (3) days after deposit in the mail.

ITEM NO. 20.

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7 SECTION 15. VENUE.

In the event that suit shall be brought by any Party to this AGREEMENT against another Party, the Parties agree that the venue shall be exclusively vested in the state courts of the State of California, County of Santa Clara, or if federal jurisdiction is appropriate, exclusively in the United States District Court, Northern District of California, San José, California.

SECTION 16. PRIOR AGREEMENTS AND AMENDMENTS.

This AGREEMENT, including all Exhibits attached hereto, represents the entire understanding of the Parties as to those matters contained herein. In the event that the terms specified in any of the Exhibits attached hereto conflict with any of the terms specified in the body of this AGREEMENT, the terms specified in the body of this AGREEMENT shall control. No prior oral or written understanding shall be of any force or effect with respect to those matters covered hereunder. This AGREEMENT may be modified only by a written amendment duly executed by the Parties to this AGREEMENT.

SECTION 17. INTERPRETATIONS.

In construing or interpreting this AGREEMENT, the word “including” shall not be limiting.

The Parties agree that this AGREEMENT shall be fairly interpreted in accordance with its terms without any strict construction in favor of or against either Party.

SECTION 18. INVALID PROVISIONS.

If any provision of this AGREEMENT shall be held illegal, invalid, or unenforceable, in full or in part, such provision shall be modified to the minimum extent necessary to make it legal, valid, and enforceable, and the other provisions of this AGREEMENT shall not be affected thereby.

SECTION 19. FURTHER DOCUMENTS.

The Parties agree, upon request, to sign and deliver such other documents as may be reasonably required to carry out the intent and provision of this AGREEMENT.

ITEM NO. 20.

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8 SECTION 20. COUNTERPART EXECUTION.

This AGREEMENT may be executed in any number of counterparts and by each Party in separate counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which taken together shall constitute one and the same instrument.

SECTION 21. USE OF ELECTRONIC SIGNATURES.

Unless otherwise prohibited by law or SAN JOSE policy, the Parties agree that an electronic copy of a signed contract, or an electronically signed contract, has the same force and legal effect as a contract executed with an original ink signature. The term “electronic copy of a signed contract” refers to a writing as set forth in Evidence Code Section 1550. The term “electronically signed contract” means a contract that is executed by applying an electronic signature using technology approved by SAN JOSE.

WITNESS THE EXECUTION HEREOF on the day and year first hereinabove written.

APPROVED AS TO FORM:
{{__signer1}}
_______________________________
xxxx
TOWN OF LOS GATOS, a municipal
corporation
{{__signer2}}
By ______________________________
xxxx
APPROVED AS TO FORM:
{{__signer3}}
_________________________________

ARLENE SILVA
Senior Deputy City Attorney
CITY OF SAN JOSE, a municipal
corporation
{{__signer4}}
By ______________________________

SARAH ZARATE
Director, Office of the City Manager

ITEM NO. 20.

T-46235\ 2054040 A-1

EXHIBIT A

SCOPE OF SERVICES
For the consideration set forth herein, SAN JOSE shall provide to LOS GATOS the Field Services, Shelter Services, and Dead Animal Services as described in this AGREEMENT. These three categories of service are sometimes collectively referred to herein as the “Animal Services,” and each category of services is sometimes hereinafter referred to as a “Program Unit.” Calls for animal-related services which are not provided by SAN JOSE shall be referred by SAN JOSE to the appropriate code enforcement agency of LOS GATOS, either in writing or by electronic mail. The Animal Services shall be provided by SAN JOSE in accordance with all applicable federal, state and local laws and ordinances.

SECTION 1. DEFINITIONS
A. “Aggressive Bite” means a bite which punctures the skin or tissue of a human or another animal.

B. “Critically Sick or Injured Animals” means those animals that have life-threatening conditions.

C. “Dangerous Animal” means any animal which, because of its size, disposition or other characteristics, would constitute a danger to humans or other domestic animals, and includes any dog classified as a Level 3, 4, or 5 dangerous or potentially dangerous dog as defined in the LOS GATOS Municipal Code Chapter 210, or, any dog that is the perpetrator of an unprovoked bite or attack on humans or other domestic animals as documented in an Incident Report by San José Animal Care and Services or the LOS GATOS Police Department.

D. “Emergency Calls” means complaints of animal bites or attacks on humans or domestic animals that are in progress, or, where a bite or attack has occurred, where the animal remains an immediate threat to humans.

E. “Holidays” are New Year’s Eve, New Year’s Day, Easter Sunday, Memorial Day, July 4, Labor Day, Thanksgiving, Christmas Day, and the day before and the day after Christmas Day.

ITEM NO. 20.

T-46235\ 2054040 A-2
F. “Livestock” means large domesticated agricultural animals, such as a cow, bull, steer, horse, sheep, goat, pig or other large agricultural animals.

G. “Physical Injury” means an injury suffered as the result of an attack by a dog, including, but not limited to falls, sprains, broken bones, blunt trauma, contusions, hematomas, or other injuries.

H. “Serious Injury” means any physical injury to a human being that results in muscle tears or disfiguring lacerations or requires multiple sutures or corrective or cosmetic surgery.

SECTION 2. FIELD SERVICES
A. Field Services
SAN JOSE shall provide vehicles, communications equipment, office supplies, field and administrative personnel, and any other personnel, supplies and equipment, reasonably required to perform the following services (the “Field Services”) upon a request or complaint from LOS GATOS or from a person within the boundaries of LOS GATOS:

1. Pick up of stray dogs, and other small domestic animals, including rabbits, chickens, turkey, geese, and ducks, and excluding wildlife as defined in Section

89.5 of the California Fish and Game Code, such as opossums, raccoons, skunks, or squirrels, that have been confined by LOS GATOS or by a person within the boundaries of LOS GATOS;

2. Pick up of dead animals, including wildlife, in accordance with SECTION 4;

3. Pick up of injured stray dogs or cats and other small domestic animals, without regard to weight, excluding birds, and injured wildlife that weigh fifty pounds (50 lbs.) or less, that are located on public property or readily accessible on private property with the consent of the property owner or the property owner’s authorized agent;

4. Response to Emergency Calls;

5. Investigate complaints of animal bites or attacks on humans or other domestic animals, including the preparation of a report, interviewing the parties involved, quarantining animals which have bitten humans, preparing and transporting

ITEM NO. 20.

T-46235\ 2054040 A-3
biting animals for rabies testing, and investigating alleged violations of a quarantine order. An incident report is to be provided to the designated appropriate LOS GATOS Code Enforcement official within five (5) business days of the incident, including licensing information for the subject animal(s). a) SAN JOSE will meet and conduct a personal interview(s) with the owner in order to complete the investigation and quarantine the animal as necessary.

6. Investigate and refer complaints of Dangerous or Potentially Dangerous Dogs to the appropriate Code Enforcement official in LOS GATOS for resolution.

Investigations shall include preparation of a report and may include interviewing the parties involved, and collecting available historical data;

7. Investigate and refer complaints of Dangerous Animals to the appropriate Code Enforcement official in LOS GATOS for resolution. Investigations shall include taking a report and may include interviewing the parties involved, and collecting available historical data;

8. Respond to complaints of dogs running at large, attempt to capture them, and provide follow-up patrol if appropriate and subject to the availability of SAN JOSE staff;

9. Respond to complaints in progress of domestic animals causing a nuisance, except domestic animals making noise, and provide follow-up patrol if appropriate and subject to the availability of SAN JOSE staff;

10.Respond to police assist calls on animal-related issues which may include taking control of an animal on the scene; and

11.Investigate and refer to the appropriate Code Enforcement official in LOS GATOS for resolution of complaints regarding the lack of proper care, condition, or attention of domestic animals by their owners.

B. Response Time Performance Standards

1. SAN JOSE shall make all good faith efforts to respond to complaints and requests received by SAN JOSE at a performance standard level that is no less than the following:

ITEM NO. 20.

T-46235\ 2054040 A-4
a) PRIORITY 1 – Response to Emergency, Police Assist, Dangerous Animal, and Critically Sick or Injured Animal calls for assistance.

1.) Response shall be twenty-four (24) hours per day, seven (7) days per week. Eighty-five percent (85%) of responses on all PRIORITY 1 calls shall occur within one (1) hour or less from the time the call for service is received by SAN JOSE staff to the time SAN JOSE personnel arrive on the scene.
b) PRIORITY 2 – Pick up animals that were running at large and that are now confined by LOS GATOS or by a person within the boundaries of LOS GATOS and calls regarding urgent, but not immediately life-threatening animal-related requests for assistance.

1.) Eighty percent (80%) of responses on all PRIORITY 2 calls received between 7:00 a.m. and 5:00 p.m. shall be within six (6) hours or less from the time the call for service is received by SAN JOSE staff to the time SAN JOSE personnel arrive on the scene.

2.) Response to calls received between the hours of 5:00 p.m. and 7:00 a.m. shall be responded to no later than 7:00 p.m. the following day. c) PRIORITY 3 – Response to calls relating to non-emergency attacks, noncritically injured or sick animals, quarantine calls, animals running at large, animals causing a nuisance and pick up of dead animals.

1.) Seventy-five percent (75%) of responses on all PRIORITY 3 calls received between 7:00 a.m. and 5:00 p.m. shall be within twelve (12) hours or less from the time the call for service is received by SAN JOSE staff to the time SAN JOSE personnel arrive on the scene.

2.) Response to calls received between the hours of 5:00 p.m. and 7:00 a.m. shall be responded to no later than 11:00 p.m. the following day.

3.) Response to these complaints will only be after PRIORITY 1 and 2 complaints are met for LOS GATOS. Responding to these complaints may include taking a report, contacting parties and witnesses by telephone, or dispatching personnel to the scene.

ITEM NO. 20.

T-46235\ 2054040 A-5
C. Response After Business Hours
Between the hours of 5:00 p.m. and 7:00 a.m., SAN JOSE shall be required to respond to PRIORITY 1 calls only. The hours between 5:00 p.m. and 7:00 a.m. shall not be included in calculating the response time length for PRIORITY 2 and 3 calls when including these hours would result in a failure by SAN JOSE to meet the performance standards set forth above.

D. Operating Schedules

1. SAN JOSE shall be required to respond to all complaints and requests in accordance with SECTION 2.B. and SECTION 2.C., except SAN JOSE shall respond only to PRIORITY 1 calls on Sundays.

2. Except with respect to PRIORITY 1 calls, SAN JOSE shall have no obligation to respond on Holidays or outside of the regularly scheduled shift hours of SAN JOSE. SAN JOSE shall respond to PRIORITY 1 calls twenty-four (24) hours per day, every day, including all Holidays.

E. Excluded Services
While SAN JOSE may already perform some of the following services under other authority, the following services are not included in the services to be provided by SAN JOSE under this AGREEMENT:

1. Removal and disposal of dead marine animals;

2. Pick up and transportation of uninjured or healthy, living wildlife;

3. Pick up of alive or dead animals for surrender at an owner’s request. SAN JOSE may provide these services and charge a fee therefore as a part of its operations separate and apart from this AGREEMENT;

4. Issuance of citations for violations in accordance with LOS GATOS ordinances;

5. Investigation and resolution of activities that may be criminal in nature, such as neglect, cruelty, and animal fighting, including the preparation of documents for criminal prosecution by the District Attorney’s office and testifying in court;

6. Permitting or inspection of events with animals; and

7. Investigation of complaints that only relate to domestic animals making noise.

ITEM NO. 20.

T-46235\ 2054040 A-6
SECTION 3. SHELTER SERVICES
A. Shelter Services
SAN JOSE shall provide or under contract provide shelter facilities, supplies, animal attendants, supervisors and administrative personnel, and any other personnel, supplies and equipment, reasonably required to perform the following services (“Shelter Services”):

1. Shelter of abandoned, impounded, lost, or stray domestic animals brought to the shelter by LOS GATOS, its residents, or SAN JOSE personnel;

2. Quarantine of biting animals;

3. Rabies testing of suspect animals;

4. Provision for reclaim of abandoned, lost or stray domestic animals during established business hours; and

5. Euthanization and disposal of abandoned, lost, impounded, or stray domestic animals that are unclaimed by their owners and fail to meet the written health and temperament standards of San José Animal Care and Services.

B. Medical Services
As part of the Shelter Services, SAN JOSE shall provide or under contract provide office facilities, supplies, and professional and trained personnel, employed or under contract, necessary to perform the following services (“Medical Services”):

1. Provision of veterinarian services twenty-four (24) hours per day to treat and provide veterinarian care to stray, injured, or sick dogs, cats, and other impounded animals;

2. Monitor quarantined animals;

3. For a fee conduct vaccination clinics and have available, free of charge to the public, rabies control information; and

4. For a fee at the same rate established for San José residents, provide access to the SAN JOSE low cost spay and neuter clinic, if such a clinic is made available to San José residents.

ITEM NO. 20.

T-46235\ 2054040 A-7
C. Operating Schedules
SAN JOSE shall provide or under contract shall provide Shelter Services for the animals twenty-four (24) hours a day, seven (7) days a week. SAN JOSE shall provide or under contract provide emergency veterinary services in accordance with Section 597 of the California Penal Code.

SECTION 4. DEAD ANIMAL SERVICES
SAN JOSE shall provide or under contract provide vehicles, storage facilities, disposal mechanisms, field and administrative personnel, and any other personnel, supplies and equipment reasonably required to perform the following services (“Dead Animal Services”):

1. Pick up of dead animals, including wildlife and except livestock, from streets and public property within LOS GATOS, or from private property within LOS GATOS with the consent of the property owner, or the property owner’s authorized agent in accordance with SECTION 2.B.1.(c);

2. Identification of and notification to the owner of the dead animal, whenever possible; and

3. Disposal of the body of the dead animal.

SECTION 5. RECORDS REGARDING ANIMAL SERVICES
A. Monthly Report
SAN JOSE shall deliver to LOS GATOS during the term of this AGREEMENT, and within thirty (30) days of the end of each month, a monthly Animal Control and Impound Report summarizing monthly and year-to-date services provided by SAN JOSE for LOS GATOS. This report shall include, but not be limited to, the following information:

1. The total number of calls for service provided by SAN JOSE under this AGREEMENT, separated by type of service call established by SAN JOSE, so long as the numbers for the different types of PRIORITY service calls are each shown separately and as a subgroup;

2. Field Services Calls

ITEM NO. 20.

T-46235\ 2054040 A-8
a) Complaints relating to animal bites or attacks, including property address. b) Complaints relating to Dangerous or Potentially Dangerous Dogs, including property address.

B. Additional Reporting
SAN JOSE shall deliver to LOS GATOS during the term of this AGREEMENT, and within thirty (30) days of the end of each quarter, a report summarizing monthly and quarterly response times provided by SAN JOSE for LOS GATOS. This report shall include, but not be limited to, the following information:

1. Monthly Response Times:
a) The average response time, the shortest and longest response times for calls in each of the following PRIORITIES. For PRIORITY 1, 2 and 3 calls, SAN JOSE shall report average response times, and shortest and longest response times by each type of call within that priority. b) Response times for PRIORITY 1 calls shall be in minutes, rounded off to the nearest minute. Response times for PRIORITY 2 calls shall be in hours and minutes, rounded off to the nearest minute. Response times for PRIORITY 3 calls shall be in hours, rounded off to the nearest hour. c) The percentage of calls grouped by PRIORITY 1, 2, and 3, that met the response time performance standards, along with the total number of responses in each priority category.

2. Other Reports, as determined by LOS GATOS.

SECTION 6. OTHER RESPONSIBILITIES
A. Delivery of Animals to SAN JOSE
Animals to be impounded by SAN JOSE that are taken into custody by LOS GATOS shall be promptly delivered to SAN JOSE’s shelter or held in a humane way at a designated holding area until such animals can be picked up by SAN JOSE; provided however, that any such animal may be reclaimed as appropriate from LOS GATOS by its owner.

ITEM NO. 20.

T-46235\ 2054040 A-9
B. Responsibility for Administrative Hearings
SAN JOSE shall not be responsible for nor bear the costs of scheduling and conducting any required hearings regarding Dangerous or Potentially Dangerous Dogs. If needed or appropriate, SAN JOSE personnel shall appear at any such hearing at no additional cost to LOS GATOS.

C. Licensing
SAN JOSE shall maintain a license database and administer license processing, issuance, and renewals on behalf of LOS GATOS. Licensing information shall be included on all Incident Reports and, additionally, provided to LOS GATOS on an as requested basis. SAN JOSE shall collect all associated license fees on behalf of LOS GATOS, at the fee amounts set by LOS GATOS. Any license fees or late fees collected from dog and cat owners in LOS GATOS shall be remitted to LOS GATOS on a monthly basis.

ITEM NO. 20.

T-46235\ 2054040 B-1

EXHIBIT B

COMPENSATION
A. Payment Amounts
For all Animal Services to be provided by and for the performance of all other obligations of SAN JOSE to LOS GATOS under this AGREEMENT, LOS GATOS agrees to pay SAN JOSE after the execution of this AGREEMENT the sum of Two Hundred Seventy Two Thousand Eight Hundred Fifty Dollars ($289,185) for the period of July 1, 2024 through June 30, 2025 per the payment schedule below .

Thereafter, the annual Contract Amount shall increase by four percent (4%) each fiscal year, subject to the appropriation of funds and the execution of a Notice of Exercise of Option to Extend Term in the form of Exhibit C, as follows:

INITIAL TERM YEARLY COMPENSATION
July 1, 2024 through June 30, 2025 $289,185.00
July 1, 2025 through June 30, 2026 $300,752.40
July 1, 2026 through June 30, 2027 $312,782.50
1 ST OPTION TERM YEARLY COMPENSATION
July 1, 2027 through June 30, 2028 $325,293.80
July 1, 2028 through June 30, 2029 $338,305.55
July 1, 2029 through June 30, 2030 $351,837.77
2 ND OPTION TERM YEARLY COMPENSATION
July 1, 2030 through June 30, 2031 $365,911.28
July 1, 2031 through June 30, 2032 $380,547.73
July 1, 2032 through June 30, 2033 $395,769.64
B. Payment Schedule
LOS GATOS shall pay SAN JOSE the Contract Amount in twelve (12) monthly installments each fiscal year. All monthly installment payments by LOS GATOS shall

ITEM NO. 20.

T-46235\ 2054040 B-2
be due and payable on the first day of the month and shall be delinquent on the tenth (10th) business day thereafter without demand or notice to LOS GATOS. SAN JOSE will provide LOS GATOS an invoice in advance at least fourteen (14) calendar days before the date that the payment is due.

ITEM NO. 20.

T-46235\ 2054040 C-1

EXHIBIT C

NOTICE OF EXERCISE OF OPTION TO EXTEND AGREEMENT

AGREEMENT TITLE
and DATE:

AGREEMENT FOR ANIMAL SERVICES BETWEEN THE CITY

OF SAN JOSE AND THE TOWN OF LOS GATOS
DATE: _______________

PARTIES
Name and Address:

CITY OF SAN JOSE (“SAN JOSE”)
San José Animal Care and Services
ATTN: ______________
2750 Monterey Rd
San José, CA 95111
TOWN OF LOS GATOS (“LOS GATOS”)
110 E Main Street
Los Gatos, CA 95032
DATE OF OPTION:
(date the notice is sent must be consistent with the time for exercise set forth in Agreement)
Pursuant to Section 2 of the Agreement referenced above, the Parties hereby exercise the option to extend the term under the following provisions:

OPTION NO. ___ of 2

NEW OPTION TERM
Begin date:

End date:

MAXIMUM COMPENSATION for New Option Term:

TOTAL MAXIMUM COMPENSATION:

For the option term exercised by this Notice, LOS GATOS shall pay SAN JOSE an amount not to exceed the amount set forth above for SAN JOSE’s services and reimbursable expenses, if any. The undersigned signing on behalf of LOS GATOS hereby certifies that an unexpended appropriation is available for the term exercised by this Notice, and that funds are available as of the date of this signature.

ITEM NO. 20.

T-46235\ 2054040 C-2

CITY OF SAN JOSE,
a municipal corporation
By_______________________________
Name:

Title:

CITY OF LOS GATOS,
a municipal corporation
By_______________________________
Name:

Title:

ITEM NO. 20.

REVISED SECOND RESTATED AND AMENDED

JOINT EXERCISE OF POWERS AGREEMENT FOR

THE SILICON VALLEY ANIMAL CONTROL AUTHORITY
THIS AGREEMENT is made and entered into as of the Effective Date (set forth in Section 2.3) by and among the Member Agencies (defined in Section 1.12 below) signatory hereto, each of which is a public entity duly organized and existing under the Constitution and other laws of the State of California.

WHEREAS, Chapter 5 of Division 7 of Title 1 of the Government Code of the State of California ( commencing at Section 6500) authorizes the Member Agencies to enter into an agreement for the joint exercise of any power common to them and, by that agreement, create an entity that is separate from each of the Member Agencies; and
WHEREAS, each of the Member Agencies possess the power to provide for the Animal Control Services (defined in Section 1.3), including animal field services, animal shelter services, and dead animal services within their respective Jurisdictional Area (defined in Section 1.4 herein below); and WHEREAS, the Member Agencies possess the authority to issue bonds, expend bond proceeds, and borrow and loan money for certain public purposes pursuant to the Government Code of the State of California; and
WHEREAS, this Agreement is an appropriate means through which the Member Agencies may provide the Animal Control Services because the Jurisdictional Areas of the Member Agencies are in close proximity to one another and are susceptible of being served by the Animal Control Services and related Joint Facilities ( defined in Section 1.10) under common administration and management and with the same equipment, resources and personnel; and
WHEREAS, the Member Agencies desire to share their animal control expertise and to optimize their expenditures in connection with the provision of the Animal Control Services and related Joint Facilities; and
WHEREAS, the separate provision, management and administration of the Animal Control Services and related Joint Facilities in each Jurisdictional Area by each of the respective Member Agencies and using separate facilities, resources and personnel may result in duplication of effort, inefficiencies in administration and excessive costs, all of which, in the judgment of the Member Agencies, can be eliminated or substantially reduced, all to the substantial advantage and benefit of the citizens and taxpayers of all of the Member Agencies, if the provision of the Animal Control Services and the administration and management of the related Joint Facilities employing common equipment, resources and personnel, were to be performed by and through a single public entity and the creation of such a single public entity is the purpose of this Agreement; NOW, THEREFORE, for and in consideration of the facts stated above, the mutual advantages to be derived, and the mutual covenants contained herein, it is agreed by and among the Member Agencies hereto as follows:

ARTICLE I
Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012 Page I of22
ATTACHMENT 3

ITEM NO. 20.

DEFINITIONS
Section 1. Unless the context otherwise requires, the words and terms defined in this Article shall have the meanings specified.

Section 1.1. Act. "Act" means Article 1, Article 2, Article 3, and Article 4 ( commencing with Section 6500) of Chapter 5 of Division 7 of Title 1 of the California Government Code, as it may be amended from time to time.

Section 1.2. Agreement. "Agreement" means this joint exercise of powers agreement as it now exists or as it may from time to time be amended, supplemented or as it may be modified by the addition of signatory parties or by any other supplemental agreement or amendment entered into pursuant to the provisions of this Agreement.

Section 1.3. Animal Control Services. "Animal Control Services" means those services enumerated on "Exhibit A," entitled "Animal Control Services," attached hereto and incorporated herein by this reference.

Section 1.4. Area. "Area" and "Jurisdictional Area" mean that area within the respective jurisdictions of the Member Agencies.

Section 1.5. Authority. "Authority" means the Silicon Valley Animal Control Authority created pursuant to this Agreement.

Section 1.6. Board of Directors. "Board of Directors" means the governing board of the Authority referred to in Section 1.5 and more particularly described in Section 2. 5 herein below. "Director" means an individual member of the Board of Directors.

Section 1.7. Bond Law. "Bond Law" means Article 4 of Chapter 5 of Division 7 of Title 1 of the California Government Code, as the same may have been or may hereinafter be amended from time to time, or any other law hereafter legally available for use by the Authority in the authorization and issuance of bonds to finance needed public facilities. "Bonds" means any bonds. issued pursuant to Bond Law.

Section 1.8. Executive Director. "Executive Director" means the employee of the Authority directly responsible to the Board of Directors and primarily responsible for the managerial oversight of the operations of the Authority as further described in Section 3.6.

Section 1.9. Fiscal Year. "Fiscal Year" means the period from July 1st to and including the following June 30th.

Section 1.10. Joint Facilities. "Joint Facilities" means the animal control facilities, equipment, resources, and property to be owned, leased, managed and operated by the Authority pursuant to Article V and Section 7.1, and, if and when acquired or constructed, any improvements and additions thereto.

Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.

Section 1.11. Legislative Bodies. "Legislative Bodies" means the city or town councils of the Member Agencies of the Authority. "Legislative Body" means any such individual city or town council.

Section 1.12. Member Agencies or Member Agency. "Member Agencies" means all of the public agencies signatory to this Agreement, which, as of the initial Effective Date of this Agreement, are the City of Campbell, the City of Monte Sereno, the City of Santa Clara, and the City of Mountain View. "Member Agency" means any such individual public entity. "Originating Member Agency" refers to City of Campbell, the City of Monte Sereno, and the City of Santa Clara.

Section 1.13. Quorum. Except as may otherwise be required hereunder or by law, "quorum" means the presence of the Santa Clara Director and two Directors of the other Member Agencies.

Section 1.14. Rules of the Board. "Rules of the Board" means the bylaws, rules, regulations and other operational and organizational directives of the Board of Directors for the conduct of its meetings and other affairs as further described in Section 2.9.

Section 1.15. Secretary. "Secretary" means the Secretary of the Board of Directors as further described in Section 3.2.

Section 1.16. Treasurer. "Treasurer" means the financial director and finance manager of the Authority having the responsibility and accountability for the Authority's funds as further described in Section 3.3.

ARTICLE II

GENERAL PROVISIONS
Section 2.1. Purpose. Subject to the terms herein, particularly Section 6.3, the purpose of this Agreement is to create the Authority to provide for the joint exercise of powers by the Member Agencies to own, manage, operate and/or maintain the Joint Facilities and to implement the financing, acquisition and construction of additions and improvements thereto and any additional facilities and property later acquired, owned or managed by the Authority and included in the Joint Facilities and thereafter to manage, operate and maintain the Joint Facilities, as so added to and improved, all to the end that the residents of the Area are provided with a more efficient and economical provision of the Animal Control Services and related services consistent with the purposes of this Agreement, and, if necessary, to issue and repay revenue bonds of the Authority pursuant to the Bond Law. Each of the Member Agencies is authorized to exercise all powers (except the power to issue and repay revenue bonds of the Authority) pursuant to its organic law and the Authority is authorized to issue and provide for the repayment of revenue bonds pursuant to the provisions of the Bond Law.

Section 2.2. Creation of Authority. Pursuant to the Act, there is hereby created a public entity to be • known as the "Silicon Valley Animal Control Authority," to be called the "Authority" pursuant to Section

1.5. The Authority, which shall administer this Agreement, is a public entity separate and apart from the Member Agencies and each of them.

Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SVACA Board of Directors on March 22, 2012

ITEM NO. 20.

Section 2.3. Effective Date of Agreement. This Agreement shall become effective when signed and executed by all Member Agencies listed in Section 1.12 (the "Effective Date") and shall supercede any prior agreements executed.

Section 2.4. Term. This Agreement shall become effective on the Effective Date set forth in Section

2.3 and shall continue in effect until such time as all Bonds (if any) and the interest thereon issued by the Authority under the Bond Law or the Act shall have been paid in full or provision for such full payment shall have been made, and thereafter until such time as the Authority and the Member Agencies shall have paid all sums due and owing pursuant to this Agreement or pursuant to any contract executed pursuant to this Agreement, and thereafter until terminated pursuant to Article IX.

Section 2.5. Governing Board. The Authority shall be administered by a Board of Directors consisting of four ( 4) Directors, as follows: one ( l) Director appointed by each of the Legislative Bodies of the cities of Campbell, Monte Sereno, Mountain View, and Santa Clara.

Section 2.5.1. All voting power of the Authority shall reside with the Board of Directors._ Section 2.5.2. The Board of Directors shall be called the "Board of Directors of the Silicon Valley Animal Control Authority."
Section 2.5.3. Each Director shall be a member of the Legislative Body of the Member Agency that appointed that Director.

Section 2.5.4. Each Legislative Body shall appoint an alternate Director for that Member Agency.

The alternate Director may act as the Director in the absence of the Director appointed by that Legislative Body. The alternate Director shall also be a member of the Legislative Body that appointed the alternate Director.

Section 2.5.5. All Directors and their alternates shall serve at the pleasure of the Member Agency that appointed them.

Section 2.5.6. All vacancies on the Board of Directors shall be filled by the respective Legislative Body within thirty (30) days of the effective date of the vacancy or as soon thereafter as the Legislative Body may legally act. Any Director or alternate Director shall cease to be a Director when such person ceases to hold office as a council member of the respective appointing Legislative Body.

Section 2.5.7. Each Director may receive reimbursement for the reasonable and necessary expenses incurred in the performance of their duties, as provided in the Rules of the Board.

Section 2.6. Meetings of the Board of Directors. All meetings of the Board of Directors shall be public meetings unless a specified closed session is held in accordance with the California Government Code.

Section 2.6.1. Regular Meetings. The Board of Directors shall provide for regular meetings at a date, time, and place fixed by the Rules of the Board.

Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.

Section 2.6.2. Special Meetings. Special meetings and emergency meetings of the Board of Directors may be called in accordance with State law.

Section 2.6.3. Call, Notice, and Conduct of Meetings. All meetings of the Board of Directors, including without limitation, regular, adjourned regular, and special meetings, shall be called, noticed; held, and conducted in accordance with the provisions of Section 54950, et seq., of the California Government Code, as may be amended from time to time.

Section 2.7. Required Votes; Approvals. For all actions except those specified in Section 2.8, the Director from Santa Clara will have three (3) votes at each meeting and the Directors from Campbell, Monte Sereno, and Mountain View shall each have one (I) vote. ,Four ( 4) affirmative votes of the Board of Directors shall be required for the Board of Directors to take any action other than those described in Section 2.8 provided a quorum is present as set forth in Section 1.13.

Section 2.8. Weighted Voting. In cases of (a) a tie vote or (b) actions described below requiring a fourfifths ( 4/5) vote, the Board of Directors will use a weighted voting procedure. Under weighted voting, the Director from the City of Santa Clara shall have five (5) votes, the Directors from the Cities of Campbell and Mountain View will each have two (2) votes, and the Director from the City of Monte Sereno will have one (1) vote. An affirmative four-fifths ( 4/5) weighted vote, or eight (8) total votes, of the Board of Directors shall be required for the Board of Directors to propose an amendment to or termination of this Agreement; to approve the addition of new Member Agencies to this Agreement; to approve the issuance of any Bonds or the restructuring of any Bond financing; to approve any budget actions requiring increased amounts to be paid by a Member Agency over and above approved budget appropriations; and to modify the Member Agencies' contributions to Operating Costs pursuant to Section 6.3.2 below.

Section 2.9. Rules of the Board. The Board of Directors shall adopt and from time to time amend the Rules of the Board as are necessary or convenient in the determination of the Board of Directors to achieve or facilitate the purposes hereof.

Section 2.10. New Members. It is the intent of the Originating Member Agencies to provide, to the extent permitted by law, for the inclusion at a subsequent date of such additional public entities, organized and existing under the Constitution or laws of the State of California, as may desire to become parties to this Agreement and members of the Authority. The Board shall review all applications for participation in the Authority. Those entities seeking membership must be approved by the affirmative vote of a four-fifths (4/5) majority of the entire Board of Directors. A new Member Agency shall be required to (a) contribute funds commensurate to the expenses incurred by the Authority to accommodate the new Member Agency's inclusion in the Authority. Examples include, but are not limited to, improvements to the facility, additional personnel expenses, marketing expenses, contractual services, and/or vehicles; (b) pay its share of annual Operating Costs and other expenses pursuant to Section 6.3 and (c) contribute to the Capital Fund (see Section 5.4) as determined by the Board. It is the intent of the Originating Member Agencies that any new Member Agency shall proportionally contribute and share in the Authority's operations, but shall not have any proportional ownership in fee of the Authority's real property interests. For entities joining the Authority at other than the beginning of the Authority's fiscal year, cash contributions for Operating Costs and the Capital Fund shall be prorated for the remainder of the fiscal year.

Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.

ARTICLE III

ORGANIZATIONAL STRUCTURE

OFFICERS AND EMPLOYEES
Section 3.1. Chairperson and Vice-Chairperson. The Board of Directors shall elect a Chairperson and Vice-Chairperson from among its members. The Chairperson and Vice-Chairperson shall each serve a one year term. In the event of the disqualification or permanent inability of the Chairperson to serve as the Chairperson during their term, the Vice-Chsiirperson shall assume the duties of the Chairperson for the remainder of that term and the Board of Directors shall elect a new Vice-Chairperson for the remainder of that term.

Section 3.1.1. The Chairperson shall be authorized to sign all resolutions of the Board of Directors and all contracts on behalf of the Authority and shall perform Such other duties as may be imposed by the Board of Directors, consistent with the terms and provisions of this Agreement and the Rules of the Board.

Section 3.1.2. The Vice-Chairperson shall be authorized to act as the Chairperson, exercise all of the powers of the Chairperson, and perform all of the duties of the Chairperson in the temporary absence of the Chairperson.

Section 3.1.3. The Board of Directors, as a part of its approval of any contract, may authorize the Executive Director to execute the contract on behalf of the Authority.

Section 3.2. Secretary. The Executive Director shall be the Secretary to the Board of Directors, perform such other duties as may be imposed upon the Secretary by the Board of Directors, and cause a copy of this Agreement to be filed with the California Secretary of State and the State of California pursuant to Section 6503 .5 of the Act.

Section 3.3. Treasurer. The Board shall designate the Treasurer. The Treasurer shall be the depository and shall have custody of all of the accounts, funds and money of the Authority from whatever source.

The Treasurer shall have the duties and obligations set forth in Section 6505 and 6505.5 of the Act, and shall assure that there shall be strict accountability of aU funds and reporting of all receipts and disbursements of the Authority.

Section 3.4. Officers in Charge of Property. Pursuant to Section 6505 of the California Government Code, the Treasurer shall have charge of, handle, and have access to all accounts, funds, and money of the Authority and all records of the Authority relating to such accounts, funds and money; and the Secretary shall have charge of, handle, and have access to all other records of the Authority, and the Executive Director shall have charge of, handle, and have access to all physical properties of the Authority.

Section 3.5. Bonding Persons Having Access to Property. From time to time, the Board of Directors may designate persons, such as the Treasurer or Executive Director, as the Authority officer(s) who shall have charge of, handle, or have access to any property of the Authority. The Board of Directors shall also fix the respective amounts of the official bonds of the Treasurer, Executive Director or such other designated persons pursuant to Section 6505.1 of the Act, which bonds shall be filed with the Secretary of the Authority. The actual cost of such bonds shall be a proper charge against the Authority.

Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.

Section 3.6. Management. The regular management of the operations and activities of the Authority shall be vested in the Executive Director. The Executive Director shall be appointed by the Board of Directors. Unless otherwise provided by the Rules of the Board or resolution of the Board of Directors, the Executive Director shall have the following powers:

Section 3.6.1. To provide for the planning, design, and construction of any additions or improvements to the Joint Facilities; leasing or remodeling of any existing facilities, or any new facilities to be operated by the Authority as authorized by the Board of Directors; Section 3.6.2. Except as otherwise provided in Section 3.6.8, to execute any contracts for capital costs, costs of special services, equipment, materials, supplies, maintenance, or repair that involve an expenditure by the Authority within the limits and in accordance with procedures to be established by the Authority in the manner provided for local agencies pursuant to Article 7, commencing with Section 54201 of Chapter 5 of Part I of Division 2 of Title 5 of the California Government Code;
Section 3.6.3. To appoint and employ all personnel of the Authority required for maintenance and operation of the Joint Facilities, and all other employees authorized by the Authority's budget and by the Board of Directors;
Section 3.6.4. To retain any consultants, including labor relations consultants or certified public accountants, as authorized in the Authority's budget and by the Board of Directors; Section 3.6.5. Subject to approval of the Board of Directors, to appoint and employ all personnel of the Authority or consultants required to be employed or retained in connection with the design of any additions or improvements of the Joint Facilities or construction of new facilities; Section 3.6.6. To expend funds of the Authority and enter into contracts, whenever required, or for the immediate preservation of the public peace, health, or safety, subject to the subsequent ratification of the Board of Directors;
Section 3.6. 7. To dispose of any personal property of the Authority as may be provided in the Rules of the Board or otherwise authorized by the Board of Directors; Section 3.6.8. To approve and pay demands for payments by the Authority of Ten Thousand Dollars ($10,000.00), or less, which are authorized in the Authority's budget; Section 3.6.9. To prepare and submit to the Board of Directors in time for revision and adoption by the Authority prior to June I of each year, the annual preliminary budget for the next succeeding Fiscal Year referred to in Section 6.1;
Section 3.6.10. Generally, to supervise the acquisition, construction, management, maintenance, and operation of the Joint Facilities and personnel of the Authority; Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.

Section 3.6.11. To perform such other duties as directed by the Board of Directors and report to the Board of Directors at such times and on such matters as the Board of Directors may direct.

Section 3.7. Legal Advisor. The legal advisor of and provider of legal advice and services to the Authority shall be designated by the Board of Directors.

Section 3.8. Other Services. The Board of Directors shall have the power to appoint and employ such other consultants and independent contractors as may be necessary for the purposes of and pursuant to this Agreement.

Section 3.9. Non-Liability of Agencies. None of the officers, agents, or employees directly employed by the Authority shall be deemed, solely by reason of their employment by the Authority, to be employed by any Member Agency or, by reason of their employment by the Authority, to be subject to any of the requirements of any Member Agency. All of the privileges and immunities from liability, exemption from laws, ordinances and rules, all pension, relief, disability, workers' compensation, and other benefits which apply to the activities of the officers, agents, or employees of Member Agencies when performing their respective functions shall apply to them to the same degree and extent while engaged in the performance of any of the functions and other duties under this Agreement. Except as expressly provided for in this Agreement, nothing contained in this Article ill is intended to nor shall it restrict or limit the rights or abilities otherwise available to the Authority to enter into agreements or other arrangements with any Member Agency in accordance with the terms and conditions of this Agreement and the Rules of the Board regarding the use of employees of the Member Agency in the operations and activities of the Authority.

Section 3.10. Indemnity and Insurance. The Authority shall defend, indemnify and save harmless each Member Agency to this Agreement and its respective council members, officers and employees, from all claims, losses, damages, costs, injury and liability arising out of the Authority's performance of its powers, duties and responsibilities under this Agreement. The Authority shall obtain and keep in force policies of insurance with coverage and limits sufficient to protect the Authority and its Member Agencies from claims for damages arising from the activities of the Authority, its Board of Directors, officers and employees. It is the intent of this Section 3 .10 that the policies of insurance described herein include coverage for automobile liability, comprehensive general liability, public officials errors and omissions, workers' compensation, and excess liability and other perils as the Board of Directors shall, from time to time, direct and that the coverage limits of these policies be maintained at levels as the Board of Directors shall direct. Each Member Agency shall be named an "additional insured" on the liability coverages or shall receive equivalent treatment or status under the Authority's msurance program.

Section 3.11. Agreement Not for Benefit of Third Parties. This Agreement shall not be construed as or deemed to be an agreement for the benefit of any third party or parties, and no third party or parties shall have any right of action hereunder for any cause whatsoever. Any services performed or expenditures made in connection with this Agreement by any Member Agency shall be deemed conclusively to be for the direct protection and benefit of the inhabitants and property in the respective Area of such Member Agency.

Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SVACA Board of Directors on March 22, 2012

ITEM NO. 20.

ARTICLE IV

POWERS OF THE AUTHORITY
Section 4.1. General Powers. The Authority shall exercise in the manner herein provided the powers common to each of the Member Agencies, as provided by the Constitution and laws of the State of California, and all incidental, implied, expressed, or necessary powers for the accomplishment of the purposes of this Agreement, subject to the restrictions set forth in Section 4.4. As provided in the Act, the Authority shall be a public entity separate from the Member Agencies. The Authority shall have the power to finance, acquire, construct, manage, maintain, and operate the Joint Facilities. The Authority shall have all of the powers provided in Article 2 and Article 4 of the Act, unless specifically prohibited or restricted by this_ Agreement.

Section 4.2. Specific Powers. The Authority is hereby authorized, in its own name, to do all acts necessary for the exercise of the foregoing powers, including but not limited to, any of the following:

Section 4.2.1. To make and enter into contracts;
Section 4.2.2. To employ agents or employees;
Section 4.2.3. To acquire, construct, manage, maintain, or operate any buildings, works or improvements;
Section 4.2.4. To acquire, hold, or dispose of property; Section 4.2.5. To sue and be sued in its own name;
Section 4.2.6. To incur debts, liabilities or obligations, subject to the prov1s10ns of this Agreement, provided that no debt, liability or obligation shall constitute a debt, liability or obligation upon any Member Agency;
Section 4.2.7. To apply for, accept, receive, and disburse grants, loans, and other aids from any agency for the United States of America or of the State of California; Section 4.2.8. To invest any money in the treasury pursuant to Section 6505.5 of the Act that is not required for the immediate necessities of the Authority, as the Authority determines is advisable, in the same manner and upon the same conditions as local agencies, pursuant to Section 53601 of the California Government Code;
Section 4.2.9. To carry out and enforce all the provisions of this Agreement.

Section 4.3. Bonds. The Authority shall have all of the powers provided in Article 4 of the Act, including the power to issue Bonds under the Bond Law.

Section 4.4. Restrictions on Exercise of Powers. The Authority shall exercise in the manner herein provided the powers common to all Member Agencies as appropriate to the accomplishment of the purposes of this Agreement. For purposes of Govt. Code§ 6509, the powers of the Authority shall be Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.
exercised subject to the restrictions upon the manner of exercising such powers as are imposed upon the City of Campbell, a general law city.

Section 4.5. Obligations of Authority. The debts, liabilities, and obligations of the Authority shall not be the debts, liabilities, and obligations of any Member Agency.

Section 5.1. Reserved.

ARTICLE V

METHODS OF PROCEDURE
Section 5.2. Delegation of Powers. Each Member Agency hereby delegates to the Authority the power to purchase and the power and duty to maintain, operate, and manage any animal control equipment, resources, and real property acquired and identified by the Member Agencies, including the site of the Authority's animal control facility, and to employ the necessary personnel to do any and all other things necessary or desirable to provide efficient, economical and lawful Animal Control Services to the Member Agencies.

Section 5.3. Joint Maintenance and Operation Fund. The Board of Directors shall have a joint maintenance and operation fund (herein called the "Operating Fund"). The Authority shall assume responsibility for the maintenance and operation of the Operating Fund and shall pay the administrative and operational expenses of the Authority and all maintenance and operation costs of the Joint Facilities from said Operating Fund. Each of the Member Agencies shall pay into said Operating Fund its proportionate share of the maintenance and operation costs of the Joint Facilities, computed on the basis set forth in Section 6.3 of this Agreement.

Section 5.4. Capital Acquisition, Improvement and Replacement Fund. The Board of Directors may create a capital acquisition and replacement fund ("Capital Fund") for the purpose of creating a fund for the acquisition and construction of the Joint Facilities and any other capital improvements owned or controlled by the Authority, and the replacement and acquisition of capital equipment and property of the Authority. Each Originating Member Agency shall annually pay into said Capital Fund its proportionate share of capital costs, including principal and interest payments on outstanding Bonds, if any, as provided in Section 6.3. If there is a futtrre need for contributions to the Capital Fund by any new Member Agency, all members shall contribute a proportionate share that is commensurate with each member's proportional operating expenses.

ARTICLE VI

BUDGET/COSTS, MAINTENANCE AND

OPERATION COSTS AND OTHER COSTS
Section 6.1. Annual Budget. The Board of Directors shall adopt a preliminary budget for maintenance and operation costs, capital costs, costs of special services, and debt service payments or redemption expenses on Bonds (if any), annually prior to June 1 of each year and shall adopt a final budget prior to June 30 of each year.

Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SY ACA Board of Directors on March 22, 2012 Page JO of22

ITEM NO. 20.
. .

Each Member Agency shall approve the contribution of its allocated proportional share of the total estimated annual costs and expenses in the budget, as set forth in Section 6.3, prior to final adoption of the budget by the Board of Directors on or before June 30 of each year.

Section 6.2. Records and Accounts. The Authority shall cause to be kept accurate and correct books of account, showing in detail the capital costs, costs of special services and maintenance, operation costs of the Joint Facilities and the provision of the Animal Control Services, and all financial transactions of the Member Agencies relating to the Joint Facilities and the provision of the Animal Control Services, which books of account shall correctly show any receipts and also any costs, expenses, or charges paid or to be paid by each of the Member Agencies. Said books and records shall be open to inspection at all times during normal business hours by any representative of a Member Agency, or by any accountant or other person authorized by a Member Agency to inspect said books or records. The Controller/Treasurer shall, in accordance with Sections 6505 and 6505.6 of the Act, cause the books of account and other financial records of the Authority to be audited annually by an independent public accountarit or certified public accountant.

Section 6.3. Allocation of Costs and Expenses: Generally.

Section 6.3.1. Annual Estimate. After adoption of the preliminary budget and prior to June 1 of each year, the Authority shall promptly furnish to each of the Member Agencies an estimate of the total annual maintenance and operation costs, capital costs, costs of special services, and debt service payments or redemption expenses on Bonds (if any).

Section 6.3.2. Operating Costs. The proportion of Operating Costs to be borne by each Member Agency shall be determined by the Executive Director each year prior to March 1, and the Executive Director shall submit these percentages to the Board of Directors for review, modification and/or approval on or before June 1 of each year. The Board of Directors may modify the manner in which each Member Agency's contribution to Operating Costs is determined or calculated by a four-fifths (4/5) vote of the Board of Directors.

Section 6.3.3. Capital Acquisition Costs, Costs of Special Services. Bond Expenses. Costs of acquiring new equipment or constructing new facilities, costs of special services and Bonds interest and redemption expenses (if any) shall be borne by each Member Agency in the same proportion as Operating Costs determined, pursuant to Section 6.3.2, for the Fiscal Year in which the cost is incurred.

Section 6.3.4. Capital Costs. The proportion of capital replacement costs to be borne by each Member Agency annually shall be the same proportion as Operating Costs borne by that Member Agency for that Fiscal Year as determined pursuant to Section 6.3.2.

Section 6.3.5. Insurance Costs. The premiums for the insurance policies described in Section 3 .10 shall be apportioned among the Member Agencies in the same manner as each Member Agency's yearly percentage of Operating Costs, as determined pursuant to Section 6.3.2 . In the event of any claim for damages which is not covered by insurance, or which exceeds the limits of any applicable policy of insurance, the Member Agencies agree to allocate among themselves the Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.
uninsured costs of defending such claim, and the uncovered costs of settlement or judgment, if any, in the same proportions as the percentage share of Operating Costs of each Member Agency as established pursuant to Section 6.3.2 at the time the claim is filed with the Authority.

Section 6.4. Payment of Costs. Beginning on the Effective Date of this Agreement, and quarterly in advance thereafter for each Fiscal Year, each Member Agency agrees to pay the Authority its allocated proportional share of the total estimated annual costs and expenses, as set forth in Section 6.3.

Section 6.5. Sources of Funds. Each Member Agency shall provide the funds required to be paid by it to the Authority under this Agreement from any source of funds legalfy available to such Member Agency for such purpose.

Section 6.6. Level of Services and Charges to Member Agencies. All Member Agencies shall receive the same level of service for their contributions, regardless of the amount of their contribution. The levels of service are reflected in Exhibit A, and these services may be amended from time to time.

Section 6.6.1. Level of Service Adjustment Due to New Member Agency. No later than three (3) years after the effective date of this Agreement, the Authority will conduct an internal review of its level of service for any new Member Agency to determine if the initial estimate of the necessary level of service for that jurisdiction is appropriate. In the event a higher or lower level of service is warranted based upon such audit, the Member Agencies may adjust the Operating Costs accordingly, pursuant to Section 6.3.2.

Section 6.7. New Member Agency Contribution and Payment Terms. This Agreement was created to accommodate the inclusion of a new Member Agency, the City of Mountain View. Pursuant to Section

2.10, the City of Mountain View will contribute the following amounts pursuant to the terms stated herein as consideration for its Member Agency status. The City of Mountain View will pay a total of up to Three Hundred Thousand Dollars ($300,000.00), payable to the Authority in the following manner: One Hundred Thousand Dollars ($100,000.00) due on the Effective Date of this Agreement, and the remainder paid to the Authority no later than the first day of the following fiscal years in Forty Thousand Dollar ($40,000.00) increments until paid in full. This contribution amount is based upon new construction costs for animal housing spaces at the Authority, as well as one vehicle for Authority staff use. If the costs for construction and purchase of a vehic:le are less than Three Hundred Thousand Dollars ($300,000.00), the City of Mountain View will be responsible to pay the Authority the lesser amount.

The difference will be deducted from the final payment(s) owed the Authority. Mountain View agrees that any new asset and/or equipment purchased with these funds are the property of the Authority, not of Mountain View.

Section 6.7.1. Early Termination. Mountain View also agrees that in the event its Legislative Body votes to terminate its status as a Member Agency prior to five (5) years from the Effective Date of this Agreement, then Mountain View will be liable for early termination liquidated damages. The Member Agencies agree that, in the event Mountain View terminates this Agreement prior to five (5) years from the Effective Date of this Agreement, the Authority and its remaining Member Agencies will suffer damages and will incur other costs and expenses of a nature and amount which is difficult or impractical to determine. The Member Agencies agree that by way of ascertaining and fixing the amount of damages, costs and expenses, and not by way Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.
of penalty, Mountain View shall pay to the Authority liquidated damages of a sum equivalent to two-thirds (2/3) of its annual contribution for the remaining balance of that five (5) year period and any unpaid initial contribution amount, as described in Section 6. 7. In the event that said liquidated damages are not paid, Mountain View agrees that the Authority or any of its remaining Member Agencies may use all available legal remedies to obtain the amount of said unpaid damages. In the event of any litigation resulting from such a dispute as to liquidated damages, Mountain View agrees to waive any affirmative defense as to the reasonableness and/or imposition of the liquidated damages.

ARTICLE VII

ENFORCEMENT
Section 7.1. Enforcement by Authority. The Authority is hereby authorized to take any or all legal or equitable actions, including but not limited to injunction and specific performance, necessary or permitted by law, to enforce this Agreement.

ARTICLE VIII

WITHDRAWAL OF A MEMBER AGENCY
Section 8.1. Agreement Continues. Notwithstanding the provisions of Section 9.1, each Member Agency agrees that the withdrawal of a Member Agency pursuant to this Article VITI is not intended to and will not terminate this Agreement or affect the ability of the Board of Directors or the remaining Member Agencies to carry out and fulfill the purposes of this Agreement.

Section 8.2. Withdrawal. A Member Agency may withdraw from the Authority and this Agreement by filing written notice thereof with the Authority. Withdrawal will take effect on July 1 of any year provided there is a least six months advance notice. The withdrawal of any Member Agency from the Authority shall in no way affect the rights and obligations of the remaining Member Agencies. A withdrawing Member Agency is still obligated for all payments due from it for the fiscal year of the withdrawal, and in the case of the City of Mountain View, it is also obligated for all payments specified in Section 6. 7 in the event of early termination. Further, in the event of withdrawal of a Member Agency, the following terms and conditions will apply:

Section 8.2.1. Withdrawal shall not relieve the party of its proportionate share of any debts, liabilities or other contractual commitments incurred by the Authority prior to the effective date of the party's withdrawal; and
Section 8.2.2. If Bonds have been issued and the withdrawing Member Agency benefits directly or indirectly from the Bonds issued and outstanding, the Member Agency shall not withdraw from the Authority until such time as all of those Bonds and the interest thereon shall first have been paid in full or provision for such full payment shall first have been contractually made with the Authority and approved by the Board of Directors; and
Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 20 I 2

ITEM NO. 20.

Section 8.2.3. The obligations of the withdrawing Member Agency shall have been paid in full and provision for repayment of any other indebtedness which may exist shall be covered by an agreement made between the Authority and the Member Agency and approved by the Board of Directors.

Section 8.3. Non-Distribution of Assets Upon Withdrawal or Subsequent Dissolution. A withdrawing Member Agency will have no entitlement to any Assets or Cash Reserves (See Section 9.3 for definition of term) of the Authority nor any distribution or reimbursement of any kind from the Authority upon withdrawal or in the event of the Authority's subsequent dissolution.

Section 8.4. Restrictions. Any withdrawal from participation in this Agreement is subject to the restrictions on withdrawal contained in Sections 8.2 and 8.3, above. In addition, each withdrawing Member Agency, upon its withdrawal, waives any right to seek a judicial apportionment of any interest it may have in the Authority, including any interest in any Assets or Cash Reserves of the Authority.

ARTICLE IX

TERMINATION OF THE AGREEMENT AND

DISSOLUTION OF THE AUTHORITY
Section 9.1. Tem1ination. This Agreement shall terminate and the Authority shall be dissolved upon an agreement of all Member Agencies. Upon termination of this Agreement, any obligation of the Authority which continues following dissolution shall be borne by the Member Agencies based on the percentages determined pursuant to Section 9.3.

Section 9.2. Effective Date of Termination. Termination shall not under any circumstances become effective until June 30 next succeeding a minimum of twelve (12) months following the effective date of a written notice of termination to the Board of Directors approved by all Legislative Bodies of the current Member Agencies.

Section 9.3. Disposition of Assets. Upon dissolution of the Authority, each Originating Member Agency shall receive its proportionate share of the assets of the Authority as defined in this Section within a reasonable amount of time after dissolution, and each Originating Member Agency shall contribute its proportionate or otherwise defined share toward the discharge of any enforceable liabilities incurred by the Authority as the same appear on the books of the Authority. Upon the termination of this Agreement, any assets acquired by the Authority during the period ofits existence and still on hand and all unencumbered cash reserves (collectively, "Assets and Cash Reserves") shall be distributed to the Originating Member Agencies in the following manner: The total amount of maintenance and operating costs paid by each Originating Member Agency into the Operating Fund during the entire existence of the Authority shall be added together and the percentage which each Agency's total bears to the whole shall be determined. The Assets and Cash Reserves shall be divided among the current Member Agencies based on the above percentage, based on appraised value of the assets at the time of termination. In the event the Originating Member Agencies cannot agree on how the distribution of Assets and Cash Reserves pursuant to the distribution method set forth in this Section should be implemented, the City Managers of all of the Originating Member Agencies, or their respective designees, shall meet promptly to develop a method for distributing the Assets and Cash Reserves among the Originating Member Revised Second Restated ahd Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 20 I 2

ITEM NO. 20.

Agencies. New Member Agency Mountain View shall receive only its proportional cash reserves it contributed to during its membership, if any.

Section 9.4. The distribution of assets may be made in kind or assets may be sold and the proceeds thereof distributed to the Member Agencies at the time of dissolution after the discharge of all enforceable liabilities.

Section 9.5. Continued Existence of Authority. Upon dissolution, this Agreement and the Authority shall continue to exist as required or necessary for the limited purpose of distributing the Assets and Cash Reserves and winding up and closing out the business, accounts and affairs of the Authority.

ARTICLEX

MISCELLANEOUS
Section 10.1. Section Headings. All section headings in this Agreement are for convenience of reference only and are not to be construed as modifying or governing language in the section referred to or to define or limit the scope of any provision of this Agreement.

Section 10.2. Consent. Whenever in this Agreement any consent or approval is required, the same shall not be unreasonably withheld.

Section 10.3. Law Governing. This Agreement is made under the Constitution and laws of the State of California and is to be so construed.

Section 10.4. Amendments. This Agreement may be amended at any time, except as limited by Bond covenants, if any. All amendments to the Agreement must be in writing, and must be approved by the Legislative Bodies of the Member Agencies prior to becoming effective.

Section 10.5. Severability. In the event any provision of this Agreement is determined to be illegal or invalid for any reason, all other provisions and articles of this Agreement shall remain in full force and effect unless and until otherwise determined. The illegality of any provision of this Agreement shall in no way affect the legality and enforceability of any other provisions of this Agreement.

Section 10.6. Successors. This Agreement shall be binding upon and shall inure to the benefit of the successors of the respective Member Agencies. No Member Agency may assign any right or obligation hereunder without written consent of the other Member Agencies.

Section 10.7. Notice. Any notice required to be given or delivered by any provision of this Agreement shall be personally delivered or deposited in the U.S. mail, postage prepaid, addressed to the Authority and to the Member Agencies at their addresses as reflected in the records of the Authority, and shall be deemed to have been received by the party to which the notice is addressed upon the earlier of receipt or 72 hours after mailing.

Section 10.8. Counterparts. This Agreement may be signed in counterparts, which together shall constitute one agreement. If this Agreement is signed in counterparts, no signatory hereto shall be bound Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.
until all Parties named below have duly executed, or caused to be duly executed, a counterpart of this Agreement.
[Signatures on next page.]
Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SVACA Board of Directors on March 22, 2012

ITEM NO. 20.

EXECUTION OF AGREEMENT
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and attested by their proper officers thereupon duly authorized and their official seals to be hereto affixed on the dates as shown herein.

APPROVED AS TO FORM:

By:

Its:

Date:

ATTEST:

By:

Its:

Date:

APPROVED AS TO FORM:

By:
fts:

Date:

APPROVED AS TO FORM:

ATTEST'/Jd✓�
By:

Its: �ezz Cl� Date: 0�'-'"l /, _

MEMBER AGENCIES
CITY OF CAMPBELL, a municipal corporation
By:

Its:

Date:
1\-jlONTE SERENO, a municipal corporation
By: -........::�"-4�::..+-���:::.__ ___ _
Its:

Date: - -\ 2-
CITY OF SANTA CLARA, a municipal corporation
Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SVACA Board of Directors on March 22, 2012

ITEM NO. 20.

EXECUTION OF AGREEMENT
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and attested by their proper officers thereupon duly authorized and their official seals to be hereto affixed on the dates as shown herein.

APPROVED AS TO FORM:

By:

Its: City Attorney
Date:

APPROVED AS TO FORM:

By:

Its:

Date:

ATTEST:

By:

Its:

Date:

APPROVED AS TO FORM:

By:

Its:

Date:

ATTEST:

By:

Its:

Date:

MEMBER AGENCIES
�!if��-£�-, CITY OF CAMPBE�L, �tm2,a.1 corporation /.

Its: Mi cbaeJ, E Kotowski Mayor
Date: /; -J ·)o/ A
CITY OF MONTE SERENO, a municipal corporation
By:

Its:

Date:

CITY OF SANTA CLARA, a municipal corporation
By:

Its:

Date:

Revi$ed Second Restated and Amended Joint Exercise of Powers Agreement A[lproved by the SV ACA Board of Director� on March 22, 2012

ITEM NO. 20.
:;
PROVED: TO FOM
Its: t{ .7.

Date:

CITY OF MOUNTAIN VIEW, a municipal corporation
By: �' (,D�l,�1/ i�
Date:

Its: c.ry_
� - I 1-
tY\
I 7..--
a.-..A...a,-e-<=
FINANCIAL APPROV.�l:

FINA V
SERVl1-1
Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.

EXIDBIT II A II

ANIMAL CONTROL SERVICES
The term "Animal Control Services" in the Agreement to which this Exhibit "A" is attached means all of the following services:

A. Field Services
Field services means all of the following services, including any vehicles, communications equipment, office supplies, field and administrative personnel, and any other personnel, supplies and equipment, reasonably required to perform the following services (the "Field Services"):
• Pick up of confined stray dogs, cats, and other small animals, including, rabbits, chickens, turkey, geese, and ducks, and excluding confined wildlife as defined in Section 711.2 of the California Fish and Game Code, such as opossums, raccoons, skunks, or squirrels • Pick up confined stray livestock, including horses, pigs, goats, sheep, and donkeys • Pick up of deceased animals, including wildlife, as described in more detail below under the description of Deceased Animal Services
• Pick up of injured stray dogs or cats and other small animals, without regard to weight, and injured wildlife weighing fifty pounds ( 50 lbs.) or less, that are located on public property or readily accessible on private property with the permission of the property owner or occupant or the property owner's or occupant's authorized agent
• Respond to emergency calls such as animals requiring rescue or animals attacking people • Investigating complaints of animal bites or attacks on humans, including the completion of a report interviewing the parties involved, quarantining animals which have bitten humans, preparing and transporting biting animals for rabies testing, and investigating alleged violations of a quarantine
• Response to calls for removal of venomous snakes in a private residence and on private property
• Investigating complaints of vicious dogs and provide administrative hearings • Investigating complaints of dangerous animals and provide administrative hearings • Responding to complaints of animals running at large
" Responding to complaints of domestic animals causing a nuisance, except domestic animals making noise, and provide follow-up patrol
Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.
" Respond to police assist calls on animal-related issues, which service may include taking control of an animal on the scene
• Investigate complaints regarding the lack of proper care, condition, or attention of domestic animals by their owners
• Investigate complaints regarding cruelty to animals
• Investigate complaints regarding exceeding the limit of the maximum number of animals • Investigate complaints regarding unsanitary conditions • Provide Community Outreach Humane Education programs to local schools as well as presenting programs to civic groups and organizations, Neighborhood Watch, homeowners groups and more
e Provide animal safety training for service workers (i.e. postal employees, meter readers) • Issue administrative and criminal citations as necessary • Participate in Santa Clara County Disaster Preparedness Team B. Shelter Services
Shelter Services means all of the following services, including shelter facilities, supplies, animal care specialists, supervisors and administrative personnel, and any other personnel, supplies and equipment reasonably required to perform the following services (the "Shelter Services"):
• Shelter of abandoned, impounded, lost or stray domestic animals brought to the shelter by a Member Agency, a resident residing in a Jurisdictional Area, or shelter personnel • Quarantine of biting animals
• Rabies testing of suspect animals
• Provision for surrender and reclaim of abandoned, lost or stray domestic animals during established business hours
• Provide adoption program to include offsite adoption events • Provide after hours receiving kennels for stray healthy animals • Save all healthy or treatable animals by return to owner, placement with a placement partner, or adoption
• Hold periodic adoption events at the animal care center Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SY ACA Board of Directors on March 22, 2012

ITEM NO. 20.
• Euthanasia and disposal of unhealthy domestic animals that fail to meet the written health and temperament standards of the shelter
C. Medical Services
D.

E.

Medical Services means all of the following services, including office facilities, supplies, and professional and trained personnel necessary to perform the following services (the "Medical Services") by staff or through contracts:
4i Provision of veterinarian services by staff or through contracts twenty-four (24) hours per day to treat and provide veterinarian care to stray dogs, cats, and other impounded animals that may be sick or injured
• Monitor quarantined biter animals
• Conduct vaccination clinics and have available, free of charge to the public, rabies control information.
• Operate public low cost spay/neuter clinic
Deceased Animal Services
Deceased Animal Services means all of the following services, including any vehicles, storage facilities, disposal mechanisms, field, and administrative personnel, and any other personnel, supplies, contracts and equipment required to perform the following services (the "Deceased Animal Services"):
• Pick up of deceased animals, including wildlife and except livestock, from streets and public property within Jurisdictional Areas, or from ·private property within Jurisdictional Areas with the permission of the property owner, occupant or a representative of the property owner or occupant
• Identification of and notification to the owner of the deceased animal, whenever possible • Disposal of the body of the deceased animal
Animal Licensing Services
Animal Licensing Services means all of the following services, including any vehicles, office facilities, supplies, equipment and personnel necessary to perform the following services (the "Animal Licensing Services"):
• Computerized animal licensing including up to two delinquent notices on license renewals
Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SVACA Board of Directors on March 22, 2012 Page21 of22

ITEM NO. 20.

F.
• Animal Control Officer contact for delinquent licenses when necessary • Provide licenses at animal care center
• Comprehensive community outreach program, to include issuing licenses at vaccination and spay/neuter clinics
• Distribute licensing information through local veterinarians and on web site • Issue assistance animal identification tags to qualified residents as required by state law Other Services For Which a Fee May Be Charged
• Pick up owned animals
• Provide humane traps to the public to capture sick, injured, or nuisance domestic animals • Provide volunteer opportunities
• Provide onsite dog training
Revised Second Restated and Amended Joint Exercise of Powers Agreement Approved by the SV ACA Board of Directors on March 22, 2012

ITEM NO. 20.