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03/07/2022 City Council Regular Agenda Packet March 3, 2022 9:25 AM City Council Regular Meeting Agenda Page1 MAYOR Marie Blankley COUNCIL MEMBERS Rebeca Armendariz Dion Bracco Zach Hilton Peter Leroe-Muñoz Carol Marques Fred Tovar CITY COUNCIL AGENDA CITY OF GILROY CITY COUNCIL CHAMBERS, CITY HALL 7351 ROSANNA STREET GILROY, CA 95020 REGULAR MEETING 6:00 P.M. MONDAY, MARCH 7, 2022 CITY COUNCIL PACKET MATERIALS ARE AVAILABLE ONLINE AT www.cityofgilroy.org AGENDA CLOSING TIME IS 5:00 P.M. THE TUESDAY PRIOR TO THE MEETING Due to COVID-19, it is possible that the planned in-person meeting may have to change to a virtual meeting at any time and possibly on short notice. Please check the City of Gilroy website at http://gilroyca.iqm2.com/Citizens/default.aspx for any updates to meeting information. COMMENTS BY THE PUBLIC WILL BE TAKEN ON AGENDA ITEMS BEFORE ACTION IS TAKEN BY THE CITY COUNCIL. Public testimony is subject to reasonable regulations, including but not limited to time restrictions for each individual speaker. Please limit your comments to 3 minutes. The amount of time allowed per speaker may vary at the Mayor’s discretion depending on the number of speakers and length of the agenda. Written comments on any agenda item may be emailed to the City Clerk’s Office at cityclerk@cityofgilroy.org or mailed to the Gilroy City Clerk’s Office at City Hall, 7351 Rosanna Street, Gilroy, CA 95020. Comments received by the City Clerk’s Office by 1 p.m. on the day of a Council meeting will be distributed to the City Council prior to or at the meeting a nd available for public inspection with the agenda packet located in the lobby of Administration at City Hall, 7351 Rosanna Street prior to the meeting. Any correspondence received will be incorporated into the meeting record. Items received after the 1 p.m. deadline will be provided to the City Council as soon as practicable. Written comments are also available on the City’s Public Records Portal at https://bit.ly/3G1vihU. In compliance with the Americans with Disabilities Act, and Assembly Bill 361, the City will make reasonable arrangements to ensure accessibility to this meeting. If you need special assistance to participate in this meeting, please contact the City Clerk a minimum of 72 hours prior to the meeting at (408) 846-0204. If you challenge any planning or land use decision made at this meeting in court, you may be limited to raising only those issues you or someone else raised at the public hearing held at this meeting, or in written correspondence delivered to the City Council at, or prior to, the public hearing. Please take notice that the time within which to seek judicial review of any final administrative determination reached at this meeting is governed by Section 1094.6 of the California Code of Civil Procedure. A Closed Session may be called during this meeting pursuant to Government Code Section 54956.9 (d)(2) if a point has been reached where, in the opinion of the legislative body of the City on the advice of its legal counsel, based on existing facts and circumstances, there is a City Council Regular Meeting Agenda 03/7/2022 Page2 significant exposure to litigation against the City. Materials related to an item on this agenda submitted to the City Council after distribution of the agenda packet are available with the agenda packet on the C ity website at www.cityofgilroy.org subject to Staff’s ability to post the documents before the meeting. KNOW YOUR RIGHTS UNDER THE GILROY OPEN GOVERNMENT ORDINANCE Government's duty is to serve the public, reaching its decisions in full view of the public. Commissions, task forces, councils and other agencies of the City exist to conduct the people's business. This ordinance assures that deliberations are conducted before the people and that City operations are open to the people's review. FOR MORE INFORMATION ON YOUR RIGHTS UNDER THE OPEN GOVERNMENT ORDINANCE, TO RECEIVE A FREE COPY OF THE ORDINANCE OR TO REPORT A VIOLATION OF THE ORDINANCE, CONTACT THE OPEN GOVERNMENT COMMISSION STAFF AT (408) 846-0204 The agenda for this regular meeting is as follows: 1. OPENING 1.1. Call to Order 1. Pledge of Allegiance 2. City Clerk's Report on Posting the Agenda 3. Roll Call 1.2. Orders of the Day 1.3. Employee Introductions 2. CEREMONIAL ITEMS 2.1. Proclamations, Awards, and Presentations 3. PRESENTATIONS TO THE COUNCIL 3.1. PUBLIC COMMENT BY MEMBERS OF THE PUBLIC ON ITEMS NOT ON THE AGENDA BUT WITHIN THE SUBJECT MATTER JURISDICTION OF THE CITY COUNCIL This portion of the meeting is reserved for persons desiring to a ddress the Council on matters within the Gilroy City Council’s jurisdiction but not on the agenda. Persons wishing to address the Council are requested to complete a Speaker’s Card located at the entrances and handed to the City Clerk. Speakers are limited to 1 to 3 minutes each, varying at the Mayor’s discretion depending on the number of speakers and length of the agenda. The law does not permit Council action or extended discussion of any item not on the agenda except under special circumstances. If Council action is requested, the Council may place the matter on a future agenda. Written comments to address the Council on matters not on this agenda may be e - mailed to the City Clerk’s Office at cityclerk@cityofgilroy.org or mailed to the Gilroy City Clerk’s Office at City Hall, 7351 Rosanna Street, Gilroy, CA 95020. Comments received by the City Clerk’s Office by 1:00pm on the day of a Council meeting will be distributed to the City Council prior to or at the meeting and available for public inspection with the agenda packet located in the lobby of Administration at City Hall, 7351 Rosanna Street, prior to the meeting. Any City Council Regular Meeting Agenda 03/7/2022 Page3 correspondence received will be incorporated into the meeting record. Items received after the 1:00pm deadline will be provided to the C ity Council as soon as practicable. Written material provided by public members under this section of the agenda will be limited to 10 pages in hard copy. An unlimited amount of material may be provided electronically. 4. REPORTS OF COUNCIL MEMBERS Council Member Bracco – Gilroy Sister Cities Association (alternate), Santa Clara Co. Library JPA, SCVWD Joint Council-SCRWA-Board Water Resources Committee, South County Regional Wastewater Authority Board, Street Naming Committee Council Member Armendariz – ABAG (Alternate), CalTrain Policy Group, Gilroy Downtown Business Association Board (alternate), Gourmet Alley Ad Hoc Committee, Historic Heritage Committee, Santa Clara Co. Library JPA (alternate), Santa Clara Valley Habitat Agency Implementation Board, Silicon Valley Clean Energy Authority JPA Board (Alternate), Street Naming Committee, VTA Committee for Transit Accessibility (Alternate) Council Member Marques - Gilroy Downtown Business Association Board, Gilroy Gardens Board of Directors, Gourmet Alley A d Hoc Committee, Historic Heritage Committee (Alternate), Santa Clara Valley Habitat Agency Governing Board, Santa Clara Valley Habitat Agency Implementation Board, South County Regional Wastewater Authority (Alternate) Council Member Hilton – Gilroy Economic Development Partnership, Silicon Valley Clean Energy Authority JPA Board, South County United for Health, Visit Gilroy California Welcome Center Board Council Member Tovar – Economic Development Corporation Board, Gourmet Alley Ad Hoc Committee, Recycling and Waste Reduction Commission, Santa Clara Co. Expressway Plan 2040 Policy Advisory Board, SCVWD Water Commission (alternate), South County Joint Recycled Water Advisory Committee, South County Regional Wastewater Authority Board, Street Naming Comm ittee, South County Youth Task Force Policy Team (alternate), VTA Committee for Transit Accessibility Council Member Leroe-Muñoz - ABAG, CalTrain Policy Group (alternate), Cities Association of Santa Clara County Board of Directors, Economic Development Corporation Board, Gilroy Youth Task Force, SCVWD Water Commission, Silicon Valley Regional Interoperability Authority Board, South County Youth Task Force Policy Team, VTA Mobility Partnership, VTA South County City Group (alternate), VTA Policy Advisory Committee (alternate) Mayor Blankley - Cities Association of Santa Clara Co. Board of Directors (alternate), Gilroy Economic Development Partnership, Gilroy Sister Cities Association, Gilroy Youth Task Force (alternate), Santa Clara Valley Habitat Agency G overning Board, SCVWD Joint Council-SCRWA-Board Water Resources Committee, South County Joint Recycled Water Advisory Committee, South County Regional Wastewater Authority Board, VTA Board of Directors Alternate, VTA Mobility Partnership, VTA Policy Adviso ry Committee, VTA South County City Group City Council Regular Meeting Agenda 03/7/2022 Page4 5. FUTURE COUNCIL INITIATED AGENDA ITEMS 6. CONSENT CALENDAR (ROLL CALL VOTE) All matters listed under the Consent Calendar are considered by the City Council to be routine and will be enacted by one motion. There will be no separate discussion of these items unless a request is made by a member of the City Council or a member of the public. Any person desiring to speak on any item on the consent calendar should ask to have that item removed from the consent calendar prior to the time the Council votes to approve. If removed, the item will be discussed in the order in which it appears. 6.1. Action Minutes for February 28, 2022 City Council Regular Meeting 6.2. Approval of the Eleventh Amendment to the Single Tenant Lease Agreement With Gilroy Gardens Family Theme Park Extending the Lease by One Year 6.3. Claim of Michelle Fullerton (The City Administrator recommends a “yes” vote under the Consent Calendar shall constitute the denial of the claim) 6.4. Second Reading Of An Ordinance To Mandate Electronic And Paperless Filing of Fair Political Practices Commission Campaign Disclosure Statements 7. BIDS AND PROPOSALS 8. PUBLIC HEARINGS 9. UNFINISHED BUSINESS 10. INTRODUCTION OF NEW BUSINESS 10.1. General Plan & Housing Element Annual Progress Report 1. Staff Report: Cindy McCormick, Customer Service Manager 2. Public Comment 3. Possible Action: Accept the 2021 General Plan and Housing Element Annual Progress Report and direct staff to transmit the report to the appropriate State agencies. 10.2. Potential City of Gilroy Justice, Equity, Diversity, and Inclusion (JEDI) Policy 1. Staff Report: Bryce Atkins, Senior Management Analyst 2. Public Comment 3. Possible Action: Council approve staff recommendation to solicit Request for Proposals (RFP) for the development of the City's Justice, Equity, Diversity, and Inclusion plan. 11. CITY ADMINISTRATOR'S REPORTS 11.1. Clean California Grant Award 12. CITY ATTORNEY'S REPORTS City Council Regular Meeting Agenda 03/7/2022 Page5 13. CLOSED SESSION 13.1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS Pursuant to GC Sec. 54956.8 and GC Sec.17A.8 (a) (2) 13.1.1. Property: Gilroy Sports Park, 5925 Monterey Frontage Road (APN’s 808-221-026, -028, and -030) Negotiators: Jimmy Forbis, City Administrator Other Party to Negotiations: Sharks Sports and Entertainment, LLC Under Negotiations: Price and Terms of Lease 14. ADJOURNMENT FUTURE MEETING DATES MARCH 2022 21* Regular Meeting - 6:00 p.m. APRIL 2022 4* Regular Meeting - 6:00 p.m. 18* Regular Meeting - 6:00 p.m. MAY 2022 2* Regular Meeting - 6:00 p.m. 16* Regular Meeting - 6:00 p.m. City of Gilroy STAFF REPORT Agenda Item Title: Action Minutes for February 28, 2022 City Council Regular Meeting Meeting Date: March 7, 2022 From: Jimmy Forbis, City Administrator Department: City Clerk Submitted By: Thai Pham Prepared By: Thai Pham Strategic Plan Goals ☐ Develop a Financially Resilient Organization ☐ Ensure Neighborhood Equity from City Services ☐ Promote Economic Development Activities ☐ Promote Safe, Affordable Housing for All ☐ Maintain and Improve City Infrastructure RECOMMENDATION Approve the minutes. Attachments: 1. Action Minutes 6.1 Packet Pg. 6 City Council Regular Meeting Minutes February 28, 2022 Page 1 of 8 City of Gilroy City Council Meeting Minutes February 28, 2022 1. OPENING 1.1. Call to Order The meeting was called to order at 6:00 PM by Mayor Marie Blankley . The Mayor read aloud a statement announcing that the meeting was being conducted by teleconference pursuant to the Brown Act waivers provided for under the Governor's Executive Order in response to the COVID-19 State of Emergency. 1. Pledge of Allegiance Council Member Marques led the pledge of allegiance. 2. City Clerk's Report on Posting the Agenda City Clerk Pham declared the posting of the agenda. Attendee Name Title Status Marie Blankley Mayor Remote Rebeca Armendáriz Council Member Remote Dion Bracco Council Member Remote Zach Hilton Council Member Remote Peter Leroe-Muñoz Vice Mayor Remote Carol Marques Council Member Remote Fred Tovar Council Member Remote 2. Orders of the Day There were none. 3. Employee Introductions There were none. 2. CEREMONIAL ITEMS 1. Proclamations, Awards, and Presentations 1. Proclamation: Proclaiming March as Youth Arts Month Mayor Blankley read out the proclamation. 2. Proclamation: Proclaiming March as Red Cross Month Mayor Blankley read out the proclamation. 3. Proclamation: Retirement of James Trujillo Mayor Blankley read out the proclamation. 6.1.a Packet Pg. 7 Attachment: Action Minutes (3670 : 02/28/2022 City Council Action Minutes) City Council Regular Meeting Minutes February 28, 2022 Page 2 of 8 3. PRESENTATIONS TO THE COUNCIL 3.1. Presentation from Gilroy Garlic Festival Association, Inc. Jeff Speno from the Gilroy Garlic Festival provided an update and answered Council Member questions. 3.2. PUBLIC COMMENT BY MEMBERS OF THE PUBLIC ON ITEMS NOT ON THE AGENDA BUT WITHIN THE SUBJECT MATTER JURISDICTION OF THE CITY COUNCIL Mayor Blankley opened the Public Comment period. There being no Public Comment, Mayor Blankley closed Public Comment. 4. REPORTS OF COUNCIL MEMBERS Council Member Bracco had nothing to report. Council Member Armendáriz recognized March as Women's History Month. Council Member Marques reported on Gilroy Gardens Board of Directors. Council Member Hilton reported on Visit Gilroy California Welcome Center Board and Silicon Valley Clean Energy Authority JPA Board. Council Member Tovar had nothing to report but wanted to send his prayers to the citizens of Ukraine. Council Member Leroe-Muñoz reported on VTA Mobility Partnership meeting and thanked Mayor Blankley for attending the Cities Association of Santa Clara County Board of Directors meeting. Mayor Blankley reported on VTA Mobility Partnership meeting, Cities Associati on of Santa Clara County Board of Directors meeting, VTA Policy Advisory Committee. 5. FUTURE COUNCIL INITIATED AGENDA ITEMS Council Member Marques requested staff to bring back a report on banning any drive-throughs next to residential housing. City Administrator Forbis recommended to Council an update on the current rules and regulation are concerning drive - throughs near residential areas and taking council direction afterwards. Council Member Tovar requested the staff report to include current number of drive- throughs the City has and its location. Item received unanimous support. 6. CONSENT CALENDAR (ROLL CALL VOTE) Mayor Blankley opened the Public Comment period. There being no Public Comment, Mayor Blankley closed Public Comment. Council Member Hilton requested Item 6.3 to be pulled. A motion was made by Council Member Hilton, seconded by Council Member Tovar, to approve Items 6.1 and 6.2. The motion carried by the following vote: 6.1.a Packet Pg. 8 Attachment: Action Minutes (3670 : 02/28/2022 City Council Action Minutes) City Council Regular Meeting Minutes February 28, 2022 Page 3 of 8 RESULT: APPROVE [UNANIMOUS] MOVER: Zach Hilton, Council Member SECONDER: Fred Tovar, Council Member AYES: Blankley, Armendáriz, Bracco, Hilton, Leroe-Muñoz, Marques, Tovar 6.1. City Council - Regular Meeting - Feb 7, 2022 6:00 PM A motion was made to approve the minutes. 6.2. City Council - Special Meeting - Council Retreat - Feb 15, 2022 6:00 PM A motion was made to approve the minutes. 6.3. Adoption of the Revised Gilroy City Council Norms Council discussion ensued with regards to the item. Mayor Blankley opened Public Comment. Joanne Fierro stated that norms are not consistent with other cities and would like for them to be rewritten in a professional manner. Maria Aguilar does not know if there are any other bodies that a representative is shunned from speaking his or her own opinion. She feels that the n orms are restricting individual council’s freedom of speech and ability to reach out to the rest of the community. Vice Mayor Leroe-Muñoz briefly responded to the speakers’ comments. There being no further comments, Mayor Blankley closed Public Comment. A motion was made by Council Member Bracco, seconded by Vice Mayor Leroe- Muñoz, to adopt the revised Gilroy City Council Norms. The motion was carried by the following vote: RESULT: ADOPT [5 to 2] MOVER: Dion Bracco, Council Member SECONDER: Peter Leroe-Muñoz, Vice Mayor AYES: Blankley, Bracco, Leroe-Muñoz, Marques, Tovar NAYES: Armendáriz, Hilton 7. BIDS AND PROPOSALS There are none listed. Possible Action: 8. PUBLIC HEARINGS 8.1. Tentative Map and Architectural & Site Review Permit for 4-lot Subdivision at 395 Lewis Street Customer Services Manager McCormick gave staff presentation. Ms. McCormick, City Engineer Heap, and Interim Community Development Director Biggs responded to Council Member questions. Applicant Son also responded to council member questions. 6.1.a Packet Pg. 9 Attachment: Action Minutes (3670 : 02/28/2022 City Council Action Minutes) City Council Regular Meeting Minutes February 28, 2022 Page 4 of 8 Mayor Blankley asked if there were any ex-parte communications. There were no ex-parte communications reported. Mayor Blankley opened public hearing at 7:16 p.m. City Clerk Pham reported that one written comment was received from Jonathan Fox. Jonathan Fox spoke in support of the item with modifications and asked the item to be continued. Carolyn Schimandle stated she it was wonderful that there will be a Class II bike-lane and brought concern about the street crossing as there are two schools near the project. There being no further speakers, Mayor Blankley closed public hearing at 7:21 p.m. Possible Action: a. Adopt a Resolution approving a Tentative Map to Subdivide the property located at 395 Lewis Street (APN: 841-03-062) into four parcels (File Number TM 20-01). A motion was made by Council Member Bracco, seconded by Vice Mayor Leroe-Muñoz, to approve the project with the added high visibility crosswalks with one across north to south on the eastside of the int ersection and one east to west on the northside of the intersection. The motion was carried by the following vote: RESULT: MOVER: SECONDER: AYES: APPROVE [UNANIMOUS] Dion Bracco, Council Member Peter Leroe-Muñoz, Vice Mayor Blankley, Bracco, Armendáriz, Hilton, Leroe-Muñoz, Marques, Tovar Enactment No.: Resolution No.: 2022-11 6.1.a Packet Pg. 10 Attachment: Action Minutes (3670 : 02/28/2022 City Council Action Minutes) City Council Regular Meeting Minutes February 28, 2022 Page 5 of 8 b. Adopt a Resolution approving an Architectural and Site Review Permit to allow construction of four (4) two-story single-family homes on property located at 395 Lewis Street (APN: 841-03-062) following approval of Tentative Map File Number TM 20-01 to subdivide the property into four (4) single family parcels (File Number AS 20-02). A motion was made by Council Member Hilton, seconded by Council Member Tovar, to adopt a resolution approving an Architectural and Site Review Permit to allow construction of four (4) two-story single-family homes on property located at 395 Lewis Street (APN: 841-03-062) following approval of Tentative Map File Number TM 20-01 to subdivide the property into four (4) single family parcels (File Number AS 20-02) with the amendment that the inspections of the crosswalks with the City Engineer is added within the Conditions of Approval. The motion was carried by the following vote: RESULT: MOVER: SECONDER: AYES: APPROVE [UNANIMOUS] Zach Hilton, Council Member Fred Tovar, Vice Mayor Blankley, Bracco, Armendáriz, Hilton, Leroe-Muñoz, Marques, Tovar Enactment No.: Resolution No.: 2022-12 9. UNFINISHED BUSINESS There are none listed. 10. INTRODUCTION OF NEW BUSINESS 10.1. Introduction Of An Ordinance To Mandate Electronic And Paperless Filing of Fair Political Practices Commission Campaign Disclosure Statements City Clerk Pham gave staff presentation and responded to Council Member questions. Mayor Blankley opened Public Comment. There being no comments, Mayor Blankley closed Public Comment. A motion was made by Council Member Armendáriz, seconded by Vice Mayor Leroe-Muñoz, to waive first reading and to read by title only of the ordinance. The motion was carried by the following vote: RESULT: MOVER: SECONDER: AYES: WAIVE FIRST READING AND READ BY TITLE ONLY [UNANIMOUS] Rebeca Armendáriz, Council Member Peter Leroe-Muñoz, Vice Mayor Blankley, Bracco, Armendáriz, Hilton, Leroe-Muñoz, Marques, Tovar City Clerk Pham read the ordinance title aloud. A motion was made by Vice Mayor Leroe-Muñoz, seconded by Council Member Armendáriz, to waive first reading and to read by title only of the ordinance. The 6.1.a Packet Pg. 11 Attachment: Action Minutes (3670 : 02/28/2022 City Council Action Minutes) City Council Regular Meeting Minutes February 28, 2022 Page 6 of 8 motion was carried by the following vote: RESULT: MOVER: SECONDER: AYES: INTRODUCE ORDINANCE [UNANIMOUS] Peter Leroe-Muñoz, Vice Mayor Rebeca Armendáriz, Council Member Blankley, Bracco, Armendáriz, Hilton, Leroe-Muñoz, Marques, Tovar 10.2. Social Media Use Policy Community Engagement Manager Bedell gave staff presentation and responded to Council Member questions. Mayor Blankley opened Public Comment. There being no speakers, Mayor Blankley closed Public Comment. Possible Action: Staff recommends approval and adoption of the Social Media Use Policy. RESULT: APPROVE [UNANIMOUS] MOVER: Dion Bracco, Council Member SECONDER: Peter Leroe-Muñoz, Vice Mayor AYES: Blankley, Armendáriz, Bracco, Hilton, Leroe-Muñoz, Marques, Tovar 10.3. Council Discussion of Housing Trust Fund Fiscal Recommendations and Adopt a Resolution Amending the Operating Budget for Fiscal Years 2021 - 22 and 2022-23 in the Los Arroyos Fund in the Amount of $100,800 in Each Fiscal Year. Senior Management Analyst Atkins gave staff presentation and responded to Council Member questions. Mayor Blankley opened Public Comment. There being no further comments, Mayor Blankley closed Public Comment. Possible Action: Council: a) Receive the report and provide direction, and b) Adopt a resolution amending the operating budget for Fiscal Years 2021- 22 and 2022-23 in the Los Arroyos Fund in the amount of $100,800 in each fiscal year. A motion was made by Council Member Hilton, seconded by Council Member Tovar, to adopt the resolution amending the operating budget for Fiscal Years 2021-22 and 2022-23 in the Los Arroyos Fund in the amount of $100,800 in each fiscal year; and to direct staff to return the PHLA recommendations to include the use of PHLA funds to financially assist the Housing Trust Fund; and to direct staff to return to council with discussion on corporate and residential 6.1.a Packet Pg. 12 Attachment: Action Minutes (3670 : 02/28/2022 City Council Action Minutes) City Council Regular Meeting Minutes February 28, 2022 Page 7 of 8 linkage fees as a possible financial solution to the Housing Trust Fund. RESULT: APPROVE [6 TO 1] MOVER: Zach Hilton, Council Member SECONDER: Fred Tovar, Council Member AYES: Blankley, Armendáriz, Hilton, Leroe-Muñoz, Marques, Tovar NAYS: Dion Bracco Enactment No.: Resolution No.: 2022-13 10.4. Council Discussion Regarding a Potential Policy for Receiving Donations for Display at City Facilities Senior Management Analyst Atkins gave staff presentation and responded to Council Member questions. Mayor Blankley opened Public Comment. There being no further comments, Mayor Blankley closed Public Comment. Possible Action: Council discussion and provide direction. A motion was made by Vice Mayor Leroe-Muñoz, seconded by Council Member Marques, of the following: Any gift that is presented to the City for public display be first considered at a Public Hearing by the Arts and Culture Commission; and should the recommendation be approved by the Arts and Culture Commission, it shall be presented at a Public Hearing to the City Council; and the Council’s decision will be informed by the forthcoming Diversity and Inclusion Policy; and Gift from Sister Cities of the City shall be exempt from this new procedure. RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Vice Mayor SECONDER: Carol Marques, Council Member AYES: Blankley, Armendáriz, Bracco, Hilton, Leroe-Muñoz, Marques, Tovar 11. CITY ADMINISTRATOR'S REPORTS 1. Catalytic Converter Theft. (Captain Jason Smith) Captain Smith provided an update on the item and responded to Council Mem ber questions. 2. Update on In-Person City Council / Board / Commission Meetings in March City Administrator Forbis stated that meetings for City Council and local boards and commissions will return to in-person in March and responded to Council Member questions. He also provided an update about the City Administrator Town Hall that was held on February 24, 2022. 6.1.a Packet Pg. 13 Attachment: Action Minutes (3670 : 02/28/2022 City Council Action Minutes) City Council Regular Meeting Minutes February 28, 2022 Page 8 of 8 12. CITY ATTORNEY'S REPORTS None provided. 13. CLOSED SESSION There were no Closed Session items listed. 14. ADJOURNMENT Meeting was adjourned at 9:00 P.M. I HEREBY CERTIFY that the foregoing minutes were duly and regularly adopted at a regular meeting of the City Council of the City of Gilroy. /s/ Thai Pham, CMC, CPMC City Clerk 6.1.a Packet Pg. 14 Attachment: Action Minutes (3670 : 02/28/2022 City Council Action Minutes) City of Gilroy STAFF REPORT Agenda Item Title: Approval of the Eleventh Amendment to the Single Tenant Lease Agreement With Gilroy Gardens Family Theme Park Extending the Lease by One Year Meeting Date: March 7, 2022 From: Jimmy Forbis, City Administrator Department: Administration Submitted By: Jimmy Forbis Prepared By: Bryce Atkins Strategic Plan Goals ☐ Develop a Financially Resilient Organization ☐ Ensure Neighborhood Equity from City Services ☐ Promote Economic Development Activities ☐ Promote Safe, Affordable Housing for All ☐ Maintain and Improve City Infrastructure RECOMMENDATION Approve an eleventh amendment to the single tenant lease with Gilroy Gardens Family Theme Park extending the lease by one year, and authorize the City Administrator to execute the lease amendment and related documents. BACKGROUND The Gilroy Gardens Family Theme Park is currently leasing property owned by the City through a Single Tenant Lease Agreement (“Agreement”). The Agreement’s term en ded on February 28, 2022. The original Agreement term was set for February 28, 2010 but has been extended nine times through amendments previously approved. ANALYSIS Attached to this staff report is the proposed Eleventh Amendment to the Single Tenant Lease Agreement (“Eleventh Amendment”). This amendment seeks to change the end 6.2 Packet Pg. 15 of the term by extending the Agreement for a period of one year, to include the certified access specialist disclosure required under California Civil Code Section 1938, and to make such changes as necessary to ensure rental payments are due upon the end of the extension. ALTERNATIVES 1. Council may reject the Eleventh Amendment. Should the term expire, the operations of Gilroy Gardens would become threatened while negotiations on a potential new agreement are undertaken. This is not recommended. 2. Council may determine to modify the Eleventh Amendment. Terms of the amendment would need to be identified and negotiated with Gilroy Gardens. This may present a risk to the agreement if terms could not be reached before the term of the Agreement is reached. This is not recommended. FISCAL IMPACT/FUNDING SOURCE The proposed extension does not enhance or diminish the fiscal impacts of the Agreement as previously amended. The proposed ex tension would only continue the current fiscal agreement for one year. Attachments: 1. Gilroy Gardens Lease - 11th Amendment 6.2 Packet Pg. 16 ELEVENTH AMENDEMENT TO SINGLE TENANT LEASE BETWEEN GILROY GARDENS FAMILY THEME PARK AND THE CITY OF GILROY This Eleventh Amendment to Single Tenant Lease (“Eleventh Amendment”) is made and entered into as of February 28, 2022 (“Effective Date”), by and between GILROY GARDENS FAMILY THEME PARK, a Delaware nonprofit corporation, formerly known as Bonfante Gardens, Inc., (“Tenant”) and the CITY OF GILROY, a California municipal corporation (“Landlord”). Recitals WHEREAS, Landlord and Tenant are parties to that certain Single Tenant Lease, dated as of February 28, 2002, (“Original Lease”), as amended by that certain First Amendment to Single Tenant Lease, dated as of July 21, 2008 ("First Amendment'), as amended by that certain Second Amendment to Single Tenant Lease, dated as of July 28, 2009 ("Second Amendment'), as amended by that certain Third Amendment to Single Tenant Lease, dated as of April 6, 2010 ("Third Amendment'), as amended by that certain Fourth Amendment to Single Tenant Lease, dated as of June 5, 2012 ("Fourth Amendment'), as amended by that certain Fifth Amendment to Single Tenant Lease, dated as of November 4, 2014 ("Fifth Amendment'), as amended by that certain Sixth Amendment to Single Tenant Lease, dated as of September 21, 2016 ("Sixth Amendment'), as amended by that certain Seventh Amendment to Single Tenant Lease, having an effective date of February 28, 2018 ("Seventh Amendment'), as amended by that certain Eighth Amendment to Single Tenant Lease, dated as of February 28, 2019 (“Eighth Amendment”), as amended by that certain Ninth Amendment to Single Tenant Lease, having an effective date of February 29, 2020 (“Ninth Amendment”); as amended by that certain Tenth Amendment to Single Tenant Lease, having an effective date of February 28, 2021 (“Tenth Amendment”); and, WHEREAS, The Original Lease, First Amendment, Second Amendment, Third Amendment, Fourth Amendment, Fifth Amendment, Sixth Amendment, Seventh Amendment, Eighth Amendment, Ninth Amendment, and Tenth Amendment shall sometimes hereinafter be collectively referred to as the "Lease". Pursuant to the terms and conditions of the Lease, Landlord leases to Tenant, and Tenant leases from Landlord certain real property located in Gilroy, California, which is improved with a horticultural education and theme park known as "Gilroy Gardens", which was developed and constructed by Tenant and is more particularly described in the Lease; and, WHEREAS, The Ninth Extension Term (as defined in Section 2 of the Tenth Amendment) was scheduled to expire on February 28, 2022; and, WHEREAS, Landlord and Tenant desire to extend the Term of the Lease for a one (1) year period through and including February 28, 2023. 6.2.a Packet Pg. 17 Attachment: Gilroy Gardens Lease - 11th Amendment (3676 : Gilroy Gardens Lease Extension) NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth below and for other valuable consideration, the receipt and adequacy of which is hereby acknowledged, the parties hereto agree as follows: 1. Defined Terms. All capitalized terms used herein, except as otherwise expressly provided herein, shall have the meanings ascribed to them in the Lease. 2. Extension of Lease Term. The Term of the Lease is hereby extended for a period of one (1) year, and shall expire on February 28, 2023 ("Tenth Extension Term"), unless sooner terminated in accordance with the terms of the Lease. 3. Counterparts; Facsimile Signatures. This Eleventh Amendment maybe executed in counterparts, each of which shall be deemed an original and which together shall constitute one instrument. The signatures of any party or parties on this Eleventh Amendment transmitted by facsimile or electronic mail shall be deemed the same as an original signature and shall be binding on the party transmitting the same. 4. Lease Status. Tenant warrants, represents and certifies to Landlord that, to the best of Tenant's actual knowledge, as of the date of this Eleventh Amendment: (a) Landlord is not in default under the Lease; and (b) Tenant does not have any defenses or offsets to payment of rent and performance of its obligations under the Lease as and when same becomes due. 5. Modification. Except as modified above the terms and conditions of the Lease shall remain unmodified and in full force and effect. In the event of any conflict or inconsistency between the terms of this Eleventh Amendment and the terms of the Lease the terms of this Eleventh Amendment shall control. (signatures appear on following page) 6.2.a Packet Pg. 18 Attachment: Gilroy Gardens Lease - 11th Amendment (3676 : Gilroy Gardens Lease Extension) IN WITNESS WHEREOF, the parties have caused this Eleventh Amendment to be executed as of the dates set forth besides their signatures below. LANDLORD: TENANT: CITY OF GILROY GILROY GARDENS FAMILY THEME PARK By: _________________________________ By: _________________________________ City Administrator Board Chair Date: ________________________________ Date: ________________________________ ATTEST By: _________________________________ City Clerk APPROVED AS TO FORM By: _________________________________ City Attorney 6.2.a Packet Pg. 19 Attachment: Gilroy Gardens Lease - 11th Amendment (3676 : Gilroy Gardens Lease Extension) City of Gilroy STAFF REPORT Agenda Item Title: Claim of Michelle Fullerton (The City Administrator recommends a “yes” vote under the Consent Calendar shall constitute the denial of the claim) Meeting Date: March 7, 2022 From: Jimmy Forbis, City Administrator Department: Human Resources Department Submitted By: LeeAnn McPhillips Prepared By: LeeAnn McPhillips Strategic Plan Goals ☐ Develop a Financially Resilient Organization ☐ Ensure Neighborhood Equity from City Services ☐ Promote Economic Development Activities ☐ Promote Safe, Affordable Housing for All ☐ Maintain and Improve City Infrastructure RECOMMENDATION Based on the recommendation from Municipal Pooling Authority (MPA) and/or legal counsel, this claim is recommended for rejection. EXECUTIVE SUMMARY Based on the recommendation from Municipal Pooling Authority (MPA) and/or legal counsel, the following claim is submitted to the City Council for rejection at the March 7, 2022 meeting: • Claim of Michelle Fullerton Attachments: 6.3 Packet Pg. 20 1. Claim of Michelle Fullerton 6.3 Packet Pg. 21 6.3.a Packet Pg. 22 Attachment: Claim of Michelle Fullerton (3678 : Claim of Michelle Fullerton) 6.3.a Packet Pg. 23 Attachment: Claim of Michelle Fullerton (3678 : Claim of Michelle Fullerton) 6.3.a Packet Pg. 24 Attachment: Claim of Michelle Fullerton (3678 : Claim of Michelle Fullerton) City of Gilroy STAFF REPORT Agenda Item Title: Second Reading Of An Ordinance To Mandate Electronic And Paperless Filing of Fair Political Practices Commission Campaign Disclosure Statements Meeting Date: March 7, 2022 From: Jimmy Forbis, City Administrator Department: City Clerk Submitted By: Thai Pham Prepared By: Thai Pham Strategic Plan Goals ☐ Develop a Financially Resilient Organization ☐ Ensure Neighborhood Equity from City Services ☐ Promote Economic Development Activities ☐ Promote Safe, Affordable Housing for All ☐ Maintain and Improve City Infrastructure RECOMMENDATION Staff recommends to adopt the second reading of an ordinance to mandate electronic and paperless filing of Fair Political Practices Commission cam paign disclosure statements and statements of economic interest. BACKGROUND At the February 28, 2022 City Council Regular Meeting, Council held the first reading and introduction of the attached proposed ordinance to mandate electronic and paperless filing of Fair Political Practices Commission Campaign Disclosure Statements and Statements of Economic Interest. The introduction and first reading were approved by a unanimous vote of the City Council with no changes. 6.4 Packet Pg. 25 This item, if approved by the City Council, will finalize the adoption of the ordinance, making it effective 30 days after adoption pursuant to the City Charter. ANALYSIS Full analysis and its impacts are contained in the staff report presented to Council on February 28, 2022. CONCLUSION Staff recommends that Council adopt the second reading of the ordinance to mandate electronic and paperless filing of Fair Political Practices Commission campaign disclosure statements and statements of economic interest. Attachments: 1. Proposed Ordinance 2. Staff Report from February 28, 2022 City Council Regular Meeting 6.4 Packet Pg. 26 ORDINANCE NO. 2022-__ AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GILROY ADDING ARTICLE XIV TO CHAPTER 2 THE GILROY CODE TO MANDATE ELECTRONIC AND PAPERLESS FILING OF FAIR POLITICAL PRACTICES COMMISSION CAMPAIGN DISCLOSURE STATEMENTS AND STATEMENTS OF ECONOMIC INTEREST WHEREAS, California Government Code Section 84615 provides that a legislative body of a local government agency may adopt an ordinance that requires an elected officer, candidate, committee, or other person required to file statements, reports, or other documents required by Chapter 4 of the Political Reform Act to file such statements, reports, or other documents online or electronically with the City Clerk; and WHEREAS, the City of Gilroy (“City”) has entered into an agreement with a vendor approved by the California Secretary of State and meets the requirements set by Government Code Section 84615, to provide an online electronic filing system (“System”) for the California Fair Political Practices Commission campaign statements; and WHEREAS, the System will operate securely and effectively and will not unduly burden filers. Specifically: (1) the System will ensure the integrity of the data and includes safeguards against efforts to temper with, manipulate, alter, or subvert the data; (2) the System will only accept a filing in the standardized record format developed by the Secretary of State and compatible with the Secretary of State's system for receiving an online or electronic filing; and (3) the System will be available free of charge to filers and to the public for viewing filings. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF GILROY DOES ORDAIN AS FOLLOWS: SECTION 1. FINDINGS. The City Council of the City of Gilroy finds and determines as follows: A. California Government Code Section 84615 provides that a legislative body of a local government agency may adopt an ordinance that requires an elected officer, candidate, or committee required to file statements, reports, or other documents required by Chapter 4 of the Political Reform Act to file such statements, reports, or other documents online or electronically with the City Clerk. B. The web-based system operated by the City Clerk contains multiple safeguards to protect the integrity and security of the data, it will operate securely and effectively, and it will not unduly burden filers. C. The City Clerk will operate the electronic filing system in compliance with the requirements of California Government Code Section 84615 and any other applicable laws. 6.4.a Packet Pg. 27 Attachment: Proposed Ordinance (3671 : 2nd Reading Mandate Electronic and Paperless Filing of FPPC Campaign Disclosures) Ordinance No. 2022-__ Mandating E-Filing for FPPC and Form 700 Filing City Council Regular Meeting | March 7, 2022 Page 2 of 3 Ordinance No. 2022-__ Page 2 of 3 First Reading: February 28, 2022 Second Reading: March 7, 2022 SECTION 2. ADOPTION OF CITY CODE CHAPTER 2, ARTICLE XII. Gilroy Code Chapter 2 (Administration), Article XIV (Electronic Filing of Campaign Disclosure Statements and Statements of Economic Interest) is hereby added to read as follows: ARTICLE XIV. - ELECTRONIC FILING OF CAMPAIGN DISCLOSURE STATEMENTS AND STATEMENTS OF ECONOMIC INTEREST Section 2.91. Purpose and Authority. A. The purpose of this ordinance is to require the filing of Campaign Disclosure Statements and Statements of Economic Interest by elected officials, candidates, staff, consultants or committees to be completed electronically. The City Council enacts this ordinance in accordance with the authority granted to cities by state law. This ordinance is intended to supplement, and not conflict with, the Political Reform Act. B. While electronic filing of statements will be mandated under this ordinance, the City Clerk, as the City’s filing officer, will have the right to accept a paper filing in lieu of an electronic filing at the City Clerk’s discretion, under certain circumstances, and to accommodate an Americans with Disabilities Act (ADA) request. Section 2.92. Basic Requirement. A. An elected officer, candidate, committee, or other person required to file statements, reports, or other documents required by Chapter 4 of the Political Reform Act or designated in the City’s local conflict of interest code adopted pursuant to Government Code Section 87300 shall file any required Statement of Economic Interests (Form 700) online or electronically with the City Clerk. Electronic filing is mandatory unless the officer, candidate, or committee is exempt as described Government Code 8415(a). B. The City Clerk shall issue an electronic confirmation that notifies the filer that the Statement was received, and the notification shall include the date and the time that the Statement was received and the method by which the filer may view and print the data received by the City Clerk. The date of filing for a Statement filed online shall be the day that it is received by the City Clerk. C. If the City Clerk's system is not capable of accepting a Statement due to technical difficulties, a Statement in paper format shall be filed with the City Clerk. D. The City Clerk will operate the electronic filing system in compliance with the requirements of California Government Code Section 84615. SECTION 3. CEQA- EXEMPTION: This proposed ordinance has been reviewed with respect to applicability of the California Environmental Quality Act ("CEQA") and the State CEQA Guidelines (California Code of Regulations, Title 14, Sections 15000 et seq.). The ordinance is not a project under CEQA Guidelines Section 15378 because it involves 6.4.a Packet Pg. 28 Attachment: Proposed Ordinance (3671 : 2nd Reading Mandate Electronic and Paperless Filing of FPPC Campaign Disclosures) Ordinance No. 2022-__ Mandating E-Filing for FPPC and Form 700 Filing City Council Regular Meeting | March 7, 2022 Page 2 of 3 Ordinance No. 2022-__ Page 3 of 3 January 24, 2022 administrative activities that will not result in direct or indirect physical changes in the environment. SECTION 4. SEVERABILITY. If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this ordinance or any part thereof is for any reason held to be unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this ordinance or any part thereof. The City Council of the City of Gilroy hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be declared unconstitutional or invalid or ineffective. SECTION 5. EFFECTIVE DATE. This Ordinance shall go into effect thirty (30) days after the date of its passage and adoption. PASSED AND ADOPTED BY THE COUNCIL OF THE CITY OF GILROY this 7th day of March, 2022 by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: APPROVED: Marie Blankley, Mayor ATTEST: Thai Nam Pham, City Clerk 6.4.a Packet Pg. 29 Attachment: Proposed Ordinance (3671 : 2nd Reading Mandate Electronic and Paperless Filing of FPPC Campaign Disclosures) City of Gilroy STAFF REPORT Agenda Item Title: Introduction Of An Ordinance To Mandate Electronic And Paperless Filing of Fair Political Practices Commission Campaign Disclosure Statements Meeting Date: February 28, 2022 From: Jimmy Forbis, City Administrator Department: City Clerk Submitted By: Thai Pham Prepared By: Thai Pham Strategic Plan Goals ☐ Develop a Financially Resilient Organization ☐ Ensure Neighborhood Equity from City Services ☐ Promote Economic Development Activities ☐ Promote Safe, Affordable Housing for All ☐ Maintain and Improve City Infrastructure RECOMMENDATION Staff recommends to waive the first reading and introduce an ordinance to mandate electronic and paperless filing of Fair Political Practices Commission campaign disclosure statements and statements of economic interest. BACKGROUND The City of Gilroy is currently a paper-filing agency for statutory Fair Political Practices Commission (FPPC) campaign disclosure forms. Appointed officials, City Council candidates, campaign committees and designated City employees may file their statements in hard copy form only, with an original signature per FPPC regulations. Filers identified in Government Code Section 87200 have the alternative option to file electronically directly with the FPPC. 6.4.b Packet Pg. 30 Attachment: Staff Report from February 28, 2022 City Council Regular Meeting (3671 : 2nd Reading Mandate Electronic and Paperless Filing of Pursuant to Government Code Section 84615, local agencies may mandate electronic filing of FPPC disclosure statements. To increase efficiency and facilitate compliance with state law and FPPC regulations, the City Clerk’s Office looks to employ a system for electronic filing of economic and financial disclosure statements for all required filers in the Gilroy organization. In addition to increased efficiency, electronic filing will eliminate the need for wet signatures, will redact statements posted online, and will automatically link to the FPPC’s system. If approved, all filers will be required to submit their statutory filings through the automated system, and paper filings will no longer be accepted. However, to support the City’s efforts towards diversity, equity and inclusion, the City Clerk, as the City’s filing officer, will have the right to accept a paper filing in lieu of an electronic filing at the City Clerk’s discretion, under certain circumstances, and to accommodate an Americans with Disabilities Act (ADA) request. Examples of exceptions may include limited access to an electronic device or internet connection. In order for the City of Gilroy to accept electronically filed statements, the City Council must adopt an ordinance permitting the use of an online filing system for filing and designating the filings received electronically by the City Clerk’s Office as the filings of record for the City. In addition, the system must operate securely and effectively, be no cost to filers, be available to the public to view filings, not place an undue burden on filers, and include procedures for filers to comply with the requirement that they sign statements and reports under penalty of perjury. ANALYSIS The City Clerk’s Office entered into a contract with NetFile, a hosted solution created specifically for cities and counties responsible for Statements of Economic Interest, which meets the requirements of the Secretary of State and allows for electronic and paperless filing of campaign statements back in 2015. NetFile is widely used by other agencies in the region and throughout California. The office intends to enter a contract with the same vendor to administer campaign finance filings. Campaign Finance Disclosure Statements (Form 460) Adoption of the proposed ordinance is required to implement electronic filings of the campaign finance component of the NetFile system and will only apply to those filers that exceed a threshold of $2,000 for expending or receiving campaign funds. This threshold is consistent with the Political Reform Act (the “Act”), which recognizes campaigns that spend or raise more than $2,000 as “Controlled Committees.” Under the Act, these types of committees are obligated to file detailed campaign finance 6.4.b Packet Pg. 31 Attachment: Staff Report from February 28, 2022 City Council Regular Meeting (3671 : 2nd Reading Mandate Electronic and Paperless Filing of disclosure statements, also known as Form 460s. For those smaller campaigns that do not exceed the $2,000 threshold, they may continue to file paper versions of the Form 470 disclosure forms. It should be noted that the NetFile system is able to accommodate the online filing of several types of required forms by the FPPC, including Forms 460, 470, 496, and 497, which are the most commonly used in Gilroy’s local election campaigns. Statement of Economic Interest (Form 700) The “Statement of Economic Interest” Form 700 component of NetFile does not require an ordinance, however staff recommends that all designated Form 700 filers identified in the City’s Conflict of Interest Code also be required to file electronically in order to be in alignment with the City’s transition to electronic, paperless filing pursuant to Government Code 84615. Upon adoption of the ordinance, filers of campaign disclosure statements will use the online system, unless exempt from the requirement to file online pursuant to Government Code Section 84615(a) because the officer, candidate, or committee receives less than $2,000 in contributions and makes less than $2,000 in expenditures in a calendar year. An alternative to the proposed mandate ordinance is to provide for opt-in electronic filings, which would allow FPPC statements to be filed electronically, but paper filings would still be accepted. To maintain consistency with processing and publishing filers’ FPPC statements, staff does not recommend the “opt-in” ordinance. The proposed mandate ordinance will still allow the City Clerk to accept a paper filing in lieu of an electronic filing at the City Clerk’s discretion, under certain circumstances, and to accommodate an ADA request. To ensure a smooth transition, and as part of the agreement and acquisition of the system, NetFile and the City Clerk’s Office can offer extensive training to filers and committees. Staff can schedule one-on-one training with NetFile staff and individual filers and treasurers that will cover the entire electronic filing process including the set- up of filer accounts, explanation of the online filing process, demonstration of the data input and saving reports, preparation of statements for e-signature, and finalizing statements for electronic filing. 6.4.b Packet Pg. 32 Attachment: Staff Report from February 28, 2022 City Council Regular Meeting (3671 : 2nd Reading Mandate Electronic and Paperless Filing of In terms of security, the NetFile system is a web-based, vendor-hosted application that utilizes “industry best practices” for securing data, using the same data encryption for online filings that is used by banks for online banking. NetFile stores and backs up data at three separate locations, creating the essential safety measures and redundancy that will allow for recovery of information in the event of an emergency or disaster. The City’s data will be retained for the required minimum 10-year period. Implementation of the NetFile system will promote transparency and provide convenience for committees, individuals, and the public. It provides 24-hour filing and viewing accessibility of campaign finance information from any computer, anywhere. In certain instances, the NetFile program will also increase the accuracy of filed campaign statements by prohibiting any filings that may have inadvertently omitted required information under the Act (e.g. missing addresses or the stated occupation of individual donors). Government Code Section 84615 A local government agency may require an elected officer, candidate, committee, or other person required to file statements, reports, or other documents required by Chapter 4 (commencing with Section 84100) to file online or electronically, unless the officer, candidate, or committee receive less than $2000 in contributions and have less than $2000 in expenditures in a calendar year. The following is a summary of requirements that local government agencies must meet: (1) The local legislative body must adopt an ordinance approving such online filing and include a legislative finding that the online or electronic filing system will operate securely and effectively and would not unduly burden filers; (2) The electronic system used must accept filings that are compatible with format developed by Secretary of State, must ensure security and integrity of data, and must provide a way for electronic filer to sign under penalty of perjury; (3) No charge to file; (4) File date will be the date received by the local filing officer; (5) Specifies that a timely electronic confirmation along with a copy of filing kept by the filer constitute rebuttable presumption that filing was timely; (6) Filings must be made available on the Internet, with certain information removed, and requires the local filing officer to make complete and unredacted copies of electronic filings available to any person upon request; 6.4.b Packet Pg. 33 Attachment: Staff Report from February 28, 2022 City Council Regular Meeting (3671 : 2nd Reading Mandate Electronic and Paperless Filing of (7) The data shall be maintained for at least 10 years for audit purposes and then may then be archived in a secure format; (8) Notwithstanding any other provision of law, any statement, report, or other document filed online or electronically pursuant to this section shall not be required to be filed with the local filing officer in paper format. In order to comply with state law, the requirements from Government Code Section 84615 have been incorporated in the proposed ordinance for the City to transition to an electronic filing system (Attachment A). ALTERNATIVES The City Council may elect to not introduce the ordinance and remain a paper filing agency, or may choose to instead enact an “opt-in” ordinance where electronic filing will be optional, but not required. FISCAL IMPACT/FUNDING SOURCE The contract amount for the NetFile campaign filing system is $2,650 per year for up to five years, for a total of $13,250 through FY 2025-26. Funds are budgeted and available in the City Clerk’s budget for FY 2021-22 and FY 2022-23. CONCLUSION Staff recommends that Council waive the first reading and introduce an ordinance to mandate electronic and paperless filing of Fair Political Practices Commission campaign disclosure statements and statements of economic interest Attachments: 1. Proposed Ordinance 6.4.b Packet Pg. 34 Attachment: Staff Report from February 28, 2022 City Council Regular Meeting (3671 : 2nd Reading Mandate Electronic and Paperless Filing of City of Gilroy STAFF REPORT Agenda Item Title: General Plan & Housing Element Annual Progress Report Meeting Date: March 7, 2022 From: Jimmy Forbis, City Administrator Department: Community Development Department Submitted By: Jon Biggs Prepared By: Cindy McCormick Strategic Plan Goals ☐ Develop a Financially Resilient Organization ☐ Ensure Neighborhood Equity from City Services ☐ Promote Economic Development Activities ☐ Promote Safe, Affordable Housing for All ☐ Maintain and Improve City Infrastructure RECOMMENDATION Accept the 2021 General Plan and Housing Element Annual Progress Report and direct staff to transmit the report to the appropriate State agencies. EXECUTIVE SUMMARY The General Plan Annual Report fulfills the requirements of Section 65400 of the California Government Code, which requires all jurisdictions to prepare an annual report addressing two primary topics: 1) a summary of calendar year activities that show progress towards implementation of a jurisdiction’s General Plan; and 2) progress in meeting its share of regional housing needs and efforts to remove governmental constraints to the maintenance, improvement, and development of housing. T he Annual Report for the 2021 calendar year must be forwarded to the Governor’s Office of Planning and Research (OPR) and the State Department of Housing and Community Development (HCD), prior to its April 1, 2022 due date. DISCUSSION 10.1 Packet Pg. 35 2040 GENERAL PLAN Priority Programs. Understanding the 2040 General Plan goals, policies, and programs cannot all be accomplished immediately, the 2040 General Plan identified high-priority objectives1 for transforming city operations and Gilroy’s community character consistent with its Vision and Guiding Principles. As the priority progr ams are implemented or reprioritized, the list will be adjusted to address new challenges facing the City. The attached Annual Report highlights the City’s progress towards implementing the following General Plan priority programs:  Zoning Ordinance update  Downtown Specific Plan update  National Association of City Transportation Officials (NACTO) Design Guidelines  Capital Improvement Budget  Riparian Setback Policy  Historic Preservation Ordinance  Flood Control Ordinance 2021 Notable Activities. The attached report also describes notable activities in the 2021 calendar year that made progress towards implementing the 2040 General Plan. Each year the City will report on subsequent activities that show additional progress towards implementing the General Plan. A complete list of implementation programs is included at the end of each General Plan Element (i.e., chapter)2. The Annual Report summarizes the following notable activities in 2021, listed in the order presented in the various chapters of the General Plan.  Vacant and Underutilized Sites  Urban Service Area  Multi-Family Residential Design Policy  Traffic Impact Fee  Traffic Calming  Traffic Impact Fee Study  Entrepreneur Recruitment Program  Emerging Industries 1 Page IM-4, http://www.cityofgilroy.org/DocumentCenter/View/11319/11_Implementation 2 http://www.cityofgilroy.org/274/2040-General-Plan 10.1 Packet Pg. 36 ▪ Gourmet Alley ▪ Gilroy Sports Park ▪ Gilroy Gardens Hillside Property  Traffic Impact Fee Study  Impact Fees.  Urban Water Management Plan  Long-Term Wastewater Planning  Anti-Graffiti Program  Citizen Police Academy  Police Explorers  Emergency Preparedness Implementation  Parks and Recreation System Master Plan  Recreation Activity Guide  Nesting Bird Impact Mitigation  Zoning Ordinance Noise Standards  Translation  Community Engagement Program ▪ Mayor’s monthly “Spotlight” message ▪ “Conversation and Coffee” event ▪ Town Hall meetings ▪ National Night Out ▪ Ice Cream with a Cop ▪ Shop with a Cop  Maintain List of Meeting Facilities 2015-2023 HOUSING ELEMENT 2021 Annual Progress Report. The second section of the Annual Report includes a summary of Gilroy’s progress in 2021 towards implementing the 2015-2023 Housing Element and the corresponding Regional Housing Needs Allocation (RHNA). 10.1 Packet Pg. 37 What is RHNA? Since 1969, the State of California has required that all local governments (cities, towns and counties) adequately plan to meet the housing needs of everyone in our communities. The Regional Housing Need Allocation (RHNA) process is used to determine how many new homes, and the affordability of those homes, each local government must plan for in its Housing Element. The current eight -year RHNA cycle runs from January 31, 2015 – January 31, 2023 (2015-2023). In 2021, the Area Median Income (AMI) for a four-person household in Santa Clara County was $151,300, as defined by the California Department of Housing and Community Development (HCD). Based on the County AMI, the income limits fo r a family of four (4) within each income category are represented below: Extremely Low Income: $49,700 (0 – 30% AMI) Very Low Income: $82,850 (31 – 50% AMI) Low Income: $117,750 (51 – 80% AMI) Moderate Income: $117,751 to $181,550 (81 – 120% AMI) Above Moderate: Above $181,550 As illustrated in the following table, the City’s total RHNA during the 2015 -2023 planning cycle is 1,088 units. The City has exceeded the RHNA for the low-income and above- moderate (market rate) income categories. However, the remaining very-low income allocation is 89 units and the remaining moderate -income allocation is 131 units. Regional Housing Needs Allocation Progress (2015 – 2020) Income Level RHNA Unit Allocation 2015 – 2020 Units 2021 Units Total Units Permitted RHNA Units Remaining *Very Low (31 – 50% AMI) 236 139 8 147 89 Low (51 – 80% AMI) 160 567 119 686 0 Moderate (81 – 120% AMI) 217 66 20 86 131 Above Moderate (Above 120% AMI) 475 1,196 128 1,324 0 Total Units: 1,088 1,968 275 2,243 Remaining Units = 220 *The category “extremely low-income households” is a subset of “very low-income households,” and is defined as 30 percent or less (0 – 30%) of the area median income. 10.1 Packet Pg. 38 In 2021, the City issued building permits for 275 residential units, including 31 condominium units in the Glen Loma Town Center, 120 affordable apartment units in the 1st and Kern development, 97 single-family residential homes, and 27 accessory dwelling units. The City also approved planning entitlements for 100 affordable apartment units, two duplex units, and 115 single-family dwelling units. It is anticipated that these entitled projects will be submitting for a building permit in 2022 or soon thereafter. ALTERNATIVES Should the Council choose not to accept the Annual Report, staff w ill seek direction from the Council regarding additional information needed and present the revised report at the March 21st Council meeting for acceptance (the latest date to satisfy the State’s April 1st reporting deadline). FISCAL IMPACT/FUNDING SOURCE No fiscal impact has been identified in conjunction with this project. NEXT STEPS After acceptance of the report by the City Council, staff will transmit it to the Governor’s Office of Planning and Research (OPR) and the State Department of Housing and Community Development (HCD). PUBLIC OUTREACH Staff posted a notice of this meeting on social media. Staff may also present the Annual Report to the Planning Commission in April as an informational item. Attachments: 1. 2021 General Plan & Housing Element Annual Report 10.1 Packet Pg. 39 Gilroy 2040 General Plan 2021 Annual Report March 07, 2022 10.1.a Packet Pg. 40 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 2 Purpose of the General Plan Annual Report The General Plan Annual Report fulfills the requirements of Section 65400 of the California Government Code, which requires all jurisdictions to prepare an annual report addressing two primary topics: I. General Plan Implementation Activities describes notable activities in 2021 that made progress towards implementing the goals, policies and implementation programs identified in the City’s new 2040 General Plan (adopted November 2020). This section also includes a discussion of high-priority programs that can be adjusted as the list is implemented or reprioritized based on current challenges facing the City. II. Housing Element Annual Progress Report provides a summary of the City’s progress towards meeting Gilroy’s Regional Housing Needs Allocation (RHNA) and efforts to remove governmental constraints to the maintenance, improvement and development of housing identified in the 2015-2023 Housing Element. The General Plan Annual report is presented to the Gilroy City Council and then sent to the Governor’s Office of Planning and Research (OPR) and the State Department of Housing and Community Development (HCD) on or before April 1 st of each year. Background of the General Plan Every city and county in California must have a General Plan, which is the local government’s long-term framework or “constitution” for future growth and development. The General Plan represents the community’s view of its future and expresses the community’s development goals. The General Plan consists of policy text which contains goals, polices and implementation programs, and a land use diagram which illustrates the planned future land uses and pattern of development. All land use decisions by City staff, the Planning Commission, and the City Council must be consistent with the adopted General Plan. Typically, a General Plan is designed to address the issues facing a jurisdiction for the next 15-20 years. Under California law, the City is required to address eight (8) issue areas or “elements” in the General Plan: air quality, circulation, conservation, environmental justice1, housing, land use, noise, open space, and safety. The State allows considerable flexibility in how these elements are organized and encourages the inclusion of additional “elements” to ensure that plans are truly comprehensive and effective in addressing local issues. The 2040 General Plan was adopted in November 2020, approximately 18 years after the City adopted the 2020 General Plan. The 2040 General Plan includes an Introduction chapter, an Implementation chapter, and nine (9) elements: Land Use; Mobility; Economic Prosperity; Housing; Public Facilities and Services; Parks and Recreation; Natural and Cultural Resources; Potential Hazards; and Environmental Justice. 1 Cities and counties that have identified disadvantaged communities must include an environmental justice element in their general plans. 10.1.a Packet Pg. 41 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 3 I. 2040 GENERAL PLAN IMPLEMENTATION ACTIVITIES For the City’s General Plan to serve its purpose effectively, it must be reviewed, maintained, modified as necessary, and implemented in a systematic and consistent manner. The General Plan contains a Vision Statement and Guiding Principles to ensure that the goals, policies, and implementation programs in the General Plan reflect the community’s shared vision for Gilroy. Gilroy implements the General Plan through the City’s ordinances and regulations, policy decisions, and actions and is responsible for tracking, reporting and evaluating its progress in implementing the General Plan. State law requires the City to report annually on “the status of the plan and progress in its implementation” (Government Code Section 65400). PRIORITY PROGRAMS Understanding the goals, policies, and programs cannot all be accomplished immediately, the 2040 General Plan identified high-priority objectives2 for transforming city operations and Gilroy’s community character consistent with the General Plan’s Vision and Guiding Principles. As the priority programs identified below are implemented or reprioritized, the priorities will be adjusted to address new challenges facing the City. Land Use Program LU-1 Zoning Ordinance : Review and update the Gilroy Zoning Ordinance and Zoning Map to be consistent with the Land Use Diagram and related policies of the General Plan. Consider rezoning areas inconsistent with the Land Use Diagram, as appropriate, and update the zoning district descriptions to reflect the updated land use designation descriptions. Zoning Ordinance Status: The City is on track to complete the update of the Zoning Ordinance by the end of 2022. Land Use Program LU-6 Downtown Specific Plan Update : Update and implement the Downtown Specific Plan. The update should address the proposed High-Speed Rail station, offer recommendations to resolve parking and transportation issues, continue to plan for growth and revitalization, and propose locations for downtown amenities (e.g., a downtown park/plaza and cultural center). Downtown Specific Plan Update Status: City staff is working with the High-Speed Rail Authority to ensure that the Specific Plan and station area planning efforts are coordinated. It is anticipated that a new funding agreement will be reached with the Authority by the end of 2022 to support preparation of an updated Specific Plan that includes the station site. In addition to funding provided by the High-Speed Rail Authority, City staff have applied for various grants that could be used towards the update and/or implementation of Specific Plan goals. 2 Page IM-4, Implementation Plan; http://www.cityofgilroy.org/DocumentCenter/View/11319/11_Implementation 10.1.a Packet Pg. 42 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 4 Mobility Program M-1 NACTO Design Guidelines : Evaluate the National Association of City Transportation Officials (NACTO) design guidelines to determine if the city should use them as a more current, context-sensitive roadway classification system. NACTO Design Guidelines Status: The City uses both the NATCO Design standards and the Manual on Uniform Traffic Control Devices for Streets and Highways (MUTCD) during the design of roadways. Since each standard is different, one or both can be used depending on the type of roadway being designed and the geometrics available. Both are considered and the standard is used that gives the City the most flexibility to implement right-of-way improvements. Public Facilities and Services Program PFS-1 Capital Improvement Budget : Update the Capital Improvement Budget biannually to prioritize facility improvements for water, wastewater, stormwater, traffic, and public facilities based on facility master plans. Capital Improvement Budget Status : The CIP budget is updated bi-annually and requires City Council approval to ensure priorities are met. The City’s most recent 5-year CIP was adopted in November 2020 and is being updated for the FY23 budget. Natural and Cultural Resources Program NCR-1 Riparian Setback Policy : Update the Zoning Ordinance to identify the required riparian setbacks for all new development and the process for consideration of exceptions from the policy, consistent with the Santa Clara Valley Habitat Plan. Riparian Setback Policy Status: The City will ensure that the new Zoning Ordinance (to be updated by the end of 2022) will incorporate required riparian setbacks for all new development and the process for consideration of exceptions from the policy. City staff also worked in collaboration with staff from the Santa Clara Valley Habitat Agency to implement the Santa Clara Valley Habitat Plan. Natural and Cultural Resources Program NCR-7 Historic Preservation Ordinance : Develop and adopt an historic preservation ordinance in conjunction with the Zoning Ordinance Update for the preservation of historic and architecturally significant buildings and sites, archeological sites, and other landmarks. Historic Preservation Ordinance Status: The City’s Historic Heritage Committee completed their review and recommended update of the City’s historic preservation ordinance. The draft ordinance will be incorporated into the larger Zoning Ordinance update, and now includes more transparent language to ensure consistent regulation and a streamlined approval process for projects that comply with the ordinance. Potential Hazards Program PH-2 Flood Control Ordinance : Review and maintain the City’s Flood Control Ordinance as needed to regulate construction within flood zones. The ordinance should be reviewed if there are significant changes to the FEMA flood zones map. 10.1.a Packet Pg. 43 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 5 Flood Control Ordinance Status: Updates to flood maps are a collaboration between the City and FEMA. FEMA works with local experts before combining the data into a computer model that is used to create the updated flood map. FEMA and the City’s floodplain administrator work with local engineers and surveyors to collect the data to inform the maps. Community members are also invited to provide information to help local officials better understand how water drains in the area. The City maintains a Floodplain Management Ordinance in Chapter 27E of the Gilroy City Code.3 2021 NOTABLE IMPLEMENTATION PROGRAM PROGRESS The City is committed to reviewing its progress in implementing the goals and policies of the General Plan. Since many of the factors and issues that the General Plan addresses change from year-to-year, an annual review and reporting of implementation will help ensure the City is moving forward to achieve the General Plan’s vision. The subsections below describe notable activities in 2021 that made progress towards implementing 2040 General Plan implementation programs. Each year the City will report on subsequent activities that show additional progress towards implementing the General Plan. A complete list of implementation programs are listed at the end of each General Plan element and are available on the City’s website 4. LAND USE The Land Use Element plans for future growth and change while preserving and enhancing the qualities that make Gilroy a great place to live and work. The goals, policies, and programs of the Land Use Element are designed to enhance Gilroy’s neighborhoods and districts with an attractive mix of uses and amenities that expand the local economy, protect environmental resources, and improve the overall quality of life of residents. The Land Use Element also contains a map of land uses within the City and a description of the land use designations. LU-4 Vacant and Underutilized Sites: Develop and maintain a citywide database of vacant and underutilized sites to monitor the city’s growth and change. Prepare an annual report to the Planning Commission and City Council on the number of vacant sites and underutilized sites that were developed during the previous year. LU-4 Status: The most recent vacant and underutilized sites inventory was updated in November 2021 as part of the Wren/Hewell Urban Service Area amendment application to LAFCO. The inventory is available on the City’s website5. The November 2021 Inventory indicates that there is capacity for approximately 1,571 units in the City’s residential land use categories, including the Glen Loma and Hecker Pass Specific Plan Neighborhood Districts and the new Mixed-Use land use designation. An additional 909 units are projected in the Downtown Specific Plan area, based on the revitalization goals 3 https://www.codepublishing.com/CA/Gilroy/#!/Gilroy27E.html 4 http://www.cityofgilroy.org/274/2040-General-Plan 5 http://www.cityofgilroy.org/932/Vacant-and-Underutilized-Sites-Inventory 10.1.a Packet Pg. 44 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 6 within the Downtown Specific Plan, adopted in 2005. LU-5 Urban Service Area: Consider applications for inclusion of additional land in the Urban Service Area on an annual basis, and review applications based on identified criteria. LU-5 Status: In April 2021, the City submitted the Wren/Hewell Urban Service Area (USA) amendment application to LAFCO. The site includes 15 parcels located north of the City’s urban service area and within the City’s urban growth boundary. If the USA application is approved by LAFCO, it would bring in approximately 307 dwelling units, 46 of which would be deed restricted as affordable. However, the application is still under review by LAFCO. Since April 2021, staff has been responding to data requests from LAFCO including a consistency analysis between the environmental documents prepared for the USA application in August 2019 through October 2019 and the Environmental Impact Report prepared for the 2040 General Plan in September 2020. On July 30, 2021, the City received an Urban Service Area amendment application for the Kerley Ranch site at the southern boundary of the City. The Kerley Ranch application CEQA review has been put on hold at the applicant’s request pending the outcome of the Wren/Hewell application and discussions with LAFCO staff on the viability of their application. The CEQA review budget for the Kerley Ranch development is approximately $300,000, not including any city fees associated with the application. LU-7 Multi-Family Residential Design Policy : Revise and implement the Multi-Family Residential Design Policy to provide updated standards for the design of multi-family development. LU-7 Status: On October 18, 2021, the City of Gilroy adopted the Gilroy Mixed-Use Residential and Multi-Family Residential Objective Design Standards Policy 6. Additional implementation programs for the 2040 General Plan will be reported on in subsequent annual progress reports. MOBILITY / TRANSPORTATION The Mobility Element provides the framework for decisions in Gilroy concerning the citywide transportation system. It seeks to create a balanced transportation network that supports and encourages walking, bicycling, and transit ridership. Mobility Element goals and policies address a variety of topics, including multimodal transportation, complete streets, pedestrian facilities, bikeways, public transit, vehicular transportation, parking, and goods movement. The Mobility Element is drafted to be consistent with State mandates regarding complete streets. M-2 Traffic Impact Fee. Maintain traffic impact fees for new development, with the funds used to finance roadway and trail improvements. The fees should be reviewed annually. 6 http://www.cityofgilroy.org/DocumentCenter/View/12377 10.1.a Packet Pg. 45 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 7 M-2 Status: The traffic impact fee (TIF) is implemented for all new development in Gilroy and updated annually (increased by 3%), as approved by the City Council. M-8 Traffic Calming. Prepare and adopt a traffic calming policy that discourages speeding and cut-through traffic in neighborhoods. The adopted policy should establish thresholds, have a list of acceptable traffic calming measures, and outline an implementation process for new and existing neighborhoods. M-8 Status: The City’s Neighborhood Traffic Management Plan (NTMP) was adopted by City Council in November 2019. The City receives and processes several traffic calming requests annually based on the NTMP guidelines. M-13 Traffic Impact Fee Study. Because the revenues derived from the Transportation Fee Ordinance offset only a small portion of the total costs of roadway improvements and are typically used to pay for the less substantial mitigations, the City will prepare a Traffic Impact Fee study to explore options for making up the deficit in situations where a proposed new development project is determined to cause a level of service degradation below the City’s goal. Options may include a requirement that the new development pay the full cost of off-site traffic improvements through the level of service assessment process, in addition to paying the impact fee, with a possible provision for reimbursement by the City. M-13 Status: The Public Works is preparing a Traffic Impact Fee study as part of their current workplan. Additional implementation programs for the 2040 General Plan will be reported on in subsequent annual progress reports. ECONOMIC PROSPERITY Gilroy is located at the cross-roads between the Bay Area, the Central Coast and the Central Valley, an important strategic location for many industries. The City’s retail base is extensive and serves as a visitor attraction. Gilroy also has a rich history as an agricultural community and is widely recognized as the garlic capital of the world. The Garlic Festival, Gilroy Gardens Theme Park, and local wineries contribute to local tourism. The Economic Prosperity Element contains goals, policies, and programs that aim to improve the balance between jobs and Gilroy’s workforce, grow businesses within Gilroy, and attract new businesses and industries. The City Council’s 2020-2021 Strategic Plan outlines seven goals that represent the City’s highest priorities for achieving its long-term vision and maintaining fiscal viability. One of the objectives, outlined in the Strategic Plan was to hire an Economic Development Manager. In August 2021, an Economic Development Management Analyst was hired to help advance the City’s economic development initiatives and to assist in achieving Strategic Plan goals, particularly in the areas pertaining to revenue generating economic development and revitalizing the historic downtown. Progress made towards the Strategic 10.1.a Packet Pg. 46 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 8 Plan Objectives and the Economic Development Initiatives are highlighted in the following implementation programs. EP-3 Entrepreneur Recruitment Program . Develop and implement a strategy to target marketing efforts to existing or potential entrepreneurs and business executives who could be attracted to live in Gilroy. Coordinate the City’s effort with the Gilroy Economic Development Corporation and other local organizations. EP-3 Status: Staff is drafting a model for a business incubator that would provide resources, education and support to start-ups and growing small businesses as a tool to promote long term and sustainable growth and encourage entrepreneurialism. The City and the Gilroy Chamber of Commerce are partnering together to identify opportunities for development. Staff is participating in the Gilroy Economic Development Partnership board meetings and Visit Gilroy board meetings in order to forge better partnerships with local and regional groups to help advance key initiatives such as the development of the Sports Park and the development of the Hecker Pass Tourism Gateway. In 2021, the City, Chamber, and Visit Gilroy partnered together to launch the “Why Gilroy” Campaign to include a series of twelve monthly marketing pieces in the Silicon Valley Business Journal from January to December 2022 that highlight the benefits of doing business and living in Gilroy. EP-4 Emerging Industries. Develop a study that identifies emerging industries that can be attracted to locate in Gilroy. The basis for this study shall be the industries outlined in the Economic Development Strategic Plan. Based on the results of the study, develop detailed strategies for supporting and attracting businesses in those emerging industries. Continue to monitor industry trends and evaluate what industries, including emerging industries, are best suited for business development and attraction targets. EP-4 Status: In partnership with the Gilroy Economic Development Corporation, the Gilroy Place-Based Economic Development Strategy was drafted in 2018, which identified the Sports Park and Gilroy Gardens as key opportunity sites that possess key locational attributes to attract development types the City desires for long-term fiscal performance. In 2020, the City Council adopted a Resolution supporting the vision of Gilroy becoming a Recreation Destination, focusing on three key initiatives: 1) Support of the concept of the Gourmet Alley project proposed for Downtown Gilroy; 2) Support of the development of the Gilroy Sports Park as a regional recreational area and/ or facility; and 3) Support the utilization of the 536 acres owned by the City of Gilroy that currently includes Gilroy Gardens and other future potential outdoor recreational projects that will contribute to the vision of Gilroy as a recreation destination. The current status of these initiatives is highlighted below:  Gourmet Alley: In November 2021, City staff and the City Council formed an ad hoc committee for Gourmet Alley, to begin meeting in January of 2022. In addition to the formation of the committee, staff has been working on other projects related to Gourmet Alley and revitalization efforts downtown. These projects include working on a grant 10.1.a Packet Pg. 47 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 9 proposal for improvements to Gourmet Alley and Railroad Ave between 4th and 7th Streets, attending monthly Gilroy Downtown Business Association (DBA) board meetings, individually meeting with downtown property and business owners and other partner organizations to assess challenges and opportunities in developing Gourmet Alley.  Sharks Project at the Gilroy Sports Park: In 2021, the City continued conversations with Sharks Sports Entertainment (SSE) on the potential development of the Regional Sports Park with a community ice facility.  Gilroy Gardens Hillside Property: In August 2021, the City sent out notices to all required parties in compliance with California’s Surplus Land Act (Government Code Section 54220). One letter of interest was received by the Santa Clara County Parks Department and City staff are working with the County on potential next steps. Additional implementation programs for the 2040 General Plan will be reported on in subsequent annual progress reports. PUBLIC FACILITIES AND SERVICES The City of Gilroy maintains a variety of public facilities and provides many public services (e.g., Police and Fire) to meet the needs of the community. Gilroy residents, businesses, workers, and visitors rely on public facilities and services to keep them safe; provide water, energy, and communication services; and remove wastewater, stormwater and solid waste. The Public Facilities and Services Element establishes goals and policies to guide the overall provision of municipal and educational facilities and services in Gilroy. PFS-2 Impact Fees. Review and update the water, wastewater, stormwater, traffic, and public facilities nexus studies and impact fee schedules when master plans are updated, to ensure that public facilities and services required by new development are paid for by those developments. PFS-2 Status: As the City’s Master Plans are updated, fee studies will be conducted to update the user fees. The Water and Sewer Master Plans are scheduled to be adopted by City Council in 2022. PFS-4 Urban Water Management Plan. Review and update the Urban Water Management Plan at least every five years, as required by the Urban Water Management Planning Act. PFS-4 Status: The Urban Water Management Plan was adopted by the City Council in October 2021. PFS-8 Anti-Graffiti Program. Eliminate graffiti by providing recycled paint for abatement, organizing volunteers to paint over graffiti, and providing a phone number for reporting graffiti. 10.1.a Packet Pg. 48 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 10 PFS-8 Status: The Police Department received 782 graffiti calls for service in 2021. PFS-11 Police Explorers. Offer opportunities for youth ranging in age from 14 to 20 years to gain the information and experience necessary to determine if a career in law enforcement is right for them. Activities include ride-a-longs with officers and assistance in records, crime analysis, communications, and other areas of the department. PFS-11 Status: In 2021, 30 high school age teens participated in the first youth police academy. PFS-15 Emergency Preparedness Implementation. Continue to work with the Community Development Department to implement a vision for fire safe construction, emergency vehicle travel and access, occupant egress, and fire protection systems placement that maximizes current staffing levels. PFS-15 Status: Community Development Fire Prevention staff review all planning and building permit applications for new residential construction and major additions to existing residential structures. Conditions of approval related to fire safe construction, emergency vehicle travel and access, occupant egress, and fire protection systems are implemented as needed. Additional implementation programs for the 2040 General Plan will be reported on in subsequent annual progress reports. PARKS AND RECREATION The City provides high-quality facilities and services that help residents lead healthier, happier lives. Gilroy residents can walk, bike, hike, play, and learn in one of Gilroy’s many parks or recreation facilities. The Parks and Recreation Element plans for the future of Gilroy’s park and recreation facility system and recreation and cultural program offerings. PR-1 Parks and Recreation System Master Plan . Review and update the Parks and Recreation System Master Plan every ten years to reflect current conditions and community needs. Use the Parks and Recreation System Master Plan to guide the maintenance and addition of parks and recreation facilities and services. PR-1 Status: Although the City has not updated the Master Plan since 2004, the city published a facility and program needs assessment in 2020, which highlighted what is currently available and identified the future parks and recreation needs. This needs assessment can be used towards a future update of the Master Plan including its recommendation for 46 acres of Neighborhood Parks and nine (9) acres of Community Parks by 2024. PR-2 Recreation Activity Guide. Maintain and implement an activity guide for recreation programs, leagues, and special events at a minimum of two times per year. PR-2 Status: The Recreation Division currently offers a variety of services that include senior services, programs for at-risk youth, activities for residents with special needs, and 10.1.a Packet Pg. 49 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 11 sports and enrichment programs for youth. Upgrading to a new, cutting edge, user- friendly software, Recreation has pivoted toward a digital presence, ensuring its outreach is more cost-effective and efficient. Additional implementation programs for the 2040 General Plan will be reported on in subsequent annual progress reports. NATURAL AND CULTURAL RESOURCES Gilroy’s proximity to hills, streams, open space, and agriculture is one of the many reasons that residents love living here. Gilroy also has a proud, multi-cultural heritage that spans centuries and includes historic or other culturally significant resources. The Natural and Cultural Resources Element establishes goals, policies, and programs to preserve and enhance these natural areas and cultural resources. NCR-2 Nesting Bird Impact Mitigation. During the development review process, require pre-construction nesting bird surveys (and subsequent nest protection if necessary) conducted by a qualified biologist for tree removals and all construction projects (high noise-related activities) located within 250 feet of trees. These surveys are only required if tree removals or construction activities are planned during the nesting bird season, which is February 1 through August 31. NCR-2 Status: All projects requiring discretionary review by the Planning Department are reviewed for impacts to protected trees. Conditions of approval related to nesting bird surveys are implemented as needed. POTENTIAL HAZARDS Gilroy faces the potential for several types of natural and manmade disasters, including earthquakes, floods, wildfires, and manmade hazards such as noise and hazardous materials. While it is impossible to completely avoid natural and manmade hazards, the Potential Hazards Element establishes goals, policies, and programs to protect life and minimize property damage during future disasters and emergencies. PH-3 Zoning Ordinance Noise Standards. Revise the City’s Zoning Ordinance to incorporate noise/land use compatibility standards as a basic requirement of new development, and to prohibit new noise-sensitive uses in areas where the noise level exceeds the relevant standard and cannot be adequately mitigated. PH-3 Status: The City is on track to complete the update of the Zoning Ordinance by the end of 2022. ENVIRONMENTAL JUSTICE Environmental justice is “…the fair treatment of people of all races, cultures, and incomes with respect to the development, adoption, implementation, and enforcement of environmental laws, regulations, and policies.” Environmental justice objectives and policies seek to reduce the unique or compounded health risks in disadvantaged 10.1.a Packet Pg. 50 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 12 communities through strategies such as: reducing pollution exposure, improving air quality, and promoting public facilities, food access, safe and sanitary homes, and physical activity; promoting civil engagement in the public decision-making process; and prioritizing improvements and programs that address the needs of disadvantaged communities7. EJ-1 Translation. Develop a program of phased implementation of Spanish translation of public meeting notices and translation provided at public meetings. EJ-1 Status: Beginning in 2021 the City began publishing its weekly e-newsletter in both English and Spanish. This newsletter includes information about Council, Board, and Commission meetings, Council decisions, upcoming City events, and City news items. The City is also in the process of purchasing a set of translation headsets that would potentially allow for simultaneous interpretation services at Council meetings. In 2021, the City included the need for translation and interpretation services as part of the community engagement strategy for the 2023-2031 Housing Element update. EJ-2 Community Engagement Program. Provide opportunities for City Council, Planning Commission, and City staff and residents to communicate and engage throughout the year. Examples of such events include “coffee with city leaders” and community forums and meetings. EJ-2 Status: The Mayor provides a monthly “Spotlight with the Mayor” message in the City’s newsletter, which highlights a specific City department and some of the activities the department is working on. The Mayor also provides a monthly “Conversation and Coffee” event on various topics of interest (e.g., housing) or people of interest (e.g., Police Chief Espinoza). The City Administrator also provides regular town hall meetings, 2-to-4 times per year depending upon the needs of the community. In 2021, the Police Department hosted the following events with the community:  National night out which was attended by 400 children. Twenty (20) community-based organizations and law enforcement partners participated in providing prosocial activities and distributing resource information to community members.  Ice cream with a Cop, distributing 400 popsicles to attendees.  Shop with a Cop, held in December 2021, in partnership with the Gilroy Police Foundation. EJ-3 Maintain List of Meeting Facilities. Create and periodically update the City’s website to maintain a current list of meeting facilities located throughout Gilroy. 7 “Disadvantaged communities” refers to the areas throughout California which most suffer from a combination of economic, health, and environmental burdens. These burdens include poverty, high unemployment, air and water pollution, presence of hazardous wastes as well as high incidence of asthma and heart disease. 10.1.a Packet Pg. 51 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 13 EJ-3 Status: Meeting facilities are regularly updated and listed on the City’s website at https://www.cityofgilroy.org/538/Park-Facility-Rentals. Additional implementation programs for the 2040 General Plan will be reported on in subsequent annual progress reports. II. Housing Element Annual Progress Report The Housing Element is part of Gilroy’s General Plan and identifies policies and programs to meet the housing needs of the city’s current and future residents. State law (Government Code Sections 65580-65589.8) requires that every city and county in California adopt a Housing Element, approximately every eight years. In addition, HCD reviews and certifies Housing Elements to ensure they meet all requirements of the law. In 2021, the City entered its seventh (7th) year of the 2015-2023 Housing Element’s eight (8) year planning cycle. In 2021, the City also hired a consultant to prepare the City’s 2023-2031 Housing Element. While the City’s goal is to complete the update by the end of 2022, new statutory requirements have led to a lengthier and more costly process than in the past. In fact, most cities across California are having a difficult time getting their Housing Elements certified by HCD in a timely manner. Staff anticipates bringing a first draft of the 2023-2031 Housing Element to the City Council in June 2022. RHNA Progress Report Since 1969, the state has mandated that all California jurisdictions must plan for our resident’s housing needs—regardless of income. This state mandate is called the Regional Housing Needs Allocation (RHNA). As part of RHNA, the California Department of Housing and Community Development (HCD), determines the total number new homes and affordability level of those homes that the Bay Area needs to build. The Association of Bay Area Governments (ABAG) then distributes a share of the region's housing need to each jurisdiction in the region. In 2021, the City issued building permits for 275 residential units, including 31 condominium units in the Glen Loma Town Center, 120 affordable apartment units in the 1st and Kern development, 97 single-family residential homes, and 27 accessory dwelling units. The City also approved planning entitlements for 100 affordable apartment units, two duplex units, and 115 single-family dwelling units. It is anticipated that these entitled projects will be submitted for a building permit in 2022 or soon thereafter. As illustrated in the following table, the City’s total RHNA during the 2015-2023 planning cycle is 1,088 units. The City has exceeded the RHNA for the low-income and above- moderate (market rate) income categories. However, the remaining very-low income allocation is 89 units and the remaining moderate-income allocation is 131 units. 10.1.a Packet Pg. 52 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 14 Regional Housing Needs Allocation Progress (2015 – 2020) Income Level RHNA Unit Allocation 2015 – 2020 Units 2021 Units Total Units Permitted RHNA Units Remaining *Very Low (31 – 50% AMI) 236 139 8 147 89 Low (51 – 80% AMI) 160 567 119 686 0 Moderate (81 – 120% AMI) 217 66 20 86 131 Above Moderate (Above 120% AMI) 475 1,196 128 1,324 0 Total Units: 1,088 1,968 275 2,243 Remaining Units = 220 *The category “extremely low-income households” is a subset of “very low-income households,” and is defined as 30 percent or less (0 – 30%) of the area median income. Activities to Remove Governmental Constraints The second component of the Housing Element Annual Progress Report includes the city’s progress towards implementing Housing Element programs and other activities intended to remove governmental constraints to the maintenance, improvement, and development of housing. Governmental constraints are policies, standards, requirements, and actions imposed by the local government that may have a negative impact on the development and provision of housing for a variety of income levels. These constraints may include building codes, land use controls, growth management measures, development fees, processing and permit procedures, and site improvement costs. Efforts in 2021 to reduce governmental constraints included, but are certainly not limited to the following: The City of Gilroy regularly communicates with residents, business owners, and development stakeholders via phone, email, and in-person meetings to hear concerns about potential development constraints including processing procedures, fees, development standards, and other City policies and requirements. Staff can then make informed decisions or recommendations to City officials (e.g., Planning Commission and City Council) on ways to reduce governmental constraints to development such as permit requirements, processing procedures, and land use controls. In 2021, the City began a comprehensive update of the City's Zoning Ordinance. City staff will be recommending changes to the zoning ordinance that help streamline the permit 10.1.a Packet Pg. 53 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) 15 process, including but not limited to creating an administrative use permit process (currently all use permits require a public hearing before the Planning Commission). City staff is also recommending a more transparent and streamlined process for reviewing and approving applications involving a historic resource. On February 20, 2021, the City Council held its annual goal-setting workshop to review goals for Fiscal Year 2022 and Fiscal Year 2023 and provide direction to staff in the development of their upcoming two-year workplan. On March 29, 2021, the Council included a goal to “Ensure Availability of Safe, Affordable Housing for all Gilroy Residents” as part of the FY22-23 workplan. The Council also included the development of an “Inclusionary Housing/Affordable Housing Incentive (in-lieu fee) Policy” as a core activity within the Community Development Department’s FY22-23 workplan. In October 2021, the City Council directed staff to analyze affordable housing policy options, which could take the form of an Inclusionary Housing Policy, Affordable Housing Incentives Policy, or more likely a hybrid of the two policy approaches. The City Council also directed staff to consider streamlined review and/or regulatory incentives that go beyond the Density Bonus Ordinance (Programs H-1.D and H-2.A) and incentives that target specific housing types such as micro-units (Program H-1.G), Accessory Dwelling units (ADUs), and the missing middle housing. The City will also consider incentives that prioritize specific needs identified in the Housing Element, including but not limited to extremely-low income households (Program H-2.G), large households (Program H-4.A), and senior households (Program H-4.B). The potential affordable housing policy options will be considered alongside other potential goals, policies, and quantified objectives as part of the initial analysis for the 2023-2031 Housing Element update. 10.1.a Packet Pg. 54 Attachment: 2021 General Plan & Housing Element Annual Report (3668 : 2021 General Plan & Housing Element Annual Progress Report) City of Gilroy STAFF REPORT Agenda Item Title: Potential City of Gilroy Justice, Equity, Diversity, and Inclusion (JEDI) Policy Meeting Date: March 7, 2022 From: Jimmy Forbis, City Administrator Department: Administration Submitted By: Jimmy Forbis Prepared By: Bryce Atkins Strategic Plan Goals ☐ Develop a Financially Resilient Organization ☐ Ensure Neighborhood Equity from City Services ☐ Promote Economic Development Activities ☐ Promote Safe, Affordable Housing for All ☐ Maintain and Improve City Infrastructure RECOMMENDATION Council approve staff recommendation to solicit Request for Proposals (RFP) for the development of the City's Justice, Equity, Diversity, and Inclusion plan. BACKGROUND At the September 20, 2021 regular meeting of the City Council, a Council initiated future agenda item was requested for Council to consider a potential equity and inclusion policy for the City’s boards, commissions, and committees. This item has been agendized for discussion and consideration by the City Council. ANALYSIS Other cities in the county, including Los Gatos, Morgan Hill, Mountain View, Palo Alto, San Jose, Santa Clara and Sunnyvale do not have a single justice, equity, diversity, and inclusion (JEDI) policy document, but rather a policy objective in their strategic plans (mission, vision, values and/or goals), and implemented through a work plan or 10.2 Packet Pg. 55 framework, which involves reviewing and updating several individual existing policies, or creating new, specific policies for issues of concern. Most of them have been developed and worked on since 2019 and 2020. A couple of the cities (Morgan Hill and San Jose) participate with the Government Alliance on Race and Equity (GARE), a national network of governments that are “working to achieve racial equity within and through government.” The GARE organization provides training and technical assistance to government agencies. Based on the discussion held with Council on February 28, 2022, staff feels that a more prudent approach is the formation of a comprehensive Justice, Equity, Diversity and Inclusion (JEDI) policy that is organization-wide for the City, and then have the principles of the policy spread through the boards, committees and commissions of the City. Should Council determine to pursue a JEDI policy that the scope is recommended to be for the whole City organization, and that the goal is a single, comprehensive policy document, staff is recommending that an outside expert or consulting firm be secured to develop and prepare the potential policy. ALTERNATIVES Council may: 1. Direct staff to prepare a draft policy without use of a consultant. Equity and inclusion are important matters which have sensitivities and considerations which staff does not have the requisite level of expertise to successfully develop a comprehensive policy for the City. Having a consultant with experience and expertise in this area will be essential in having success in developing the policy. 2. Have the draft policy prepared for just the boards, commissions and committees. Based on previous Council discussions, and that ultimately policies will need to be in place for the whole organization, combining both efforts into a single policy that is comprehensive and considers the impacts and activities of the en tire organization will help prevent any policy conflicts or revisions that may be needed if they are undertaken at different times. FISCAL IMPACT/FUNDING SOURCE With Council direction, staff will develop and release a reques t for proposals to secure a consultant to draft a diversity, equity, and inclusion policy for the entire City organization. The fiscal impact would include staff time and a consultant contract to develop the policy. At this time, a cost estimate is not available for this initiative. If Council directs creation of the policy, and the cost cannot be borne in the existing budget, staff would return to the Council seeking additional appropriations. CONCLUSION 10.2 Packet Pg. 56 The development of a policy for justice, equity, diversity and inclusion is an important initiative, and one that needs experts in this field to help craft and guide implementation. If it is Council’s desire to develop and implement such a policy, staff will secure a consultant to assist in this process. 10.2 Packet Pg. 57