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HomeMy WebLinkAbout2021-03-15 City Council Regular Meeting Agenda Packet March 10, 2021 3:08 PM 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 15, 2021 CITY COUNCIL MEETING MATERIAL IS AVAILABLE ON THE CITY WEBSITE www.cityofgilroy.org VIEW THE MEETING LIVE ON THE CITY WEBSITE www.cityofgilroy.org. THE MARCH 15, 2021 MEETING WILL BE CONDUCTED PURSUANT TO THE PROVISIONS OF THE GOVERNOR’S EXECUTIVE ORDER N-29-20 In order to minimize the spread of the COVID 19 virus the City Council is conducting this meeting by web conference and will be offering alternative options for public participation. You are encouraged to watch the City Council meeting live on the City of Gilroy’s website at www.cityofgilroy.org or on Cable Channel 17. To view from the website, select the City Council Meetings section on the home page. PUBLIC COMMENTS WILL BE TAKEN ON AGENDA ITEMS BEFORE ACTION IS TAKEN BY THE CITY COUNCIL. DURING THE MEETING: TO PROVIDE VERBAL PUBLIC COMMENTS ON AN AGENDA ITEM DURING THIS MEETING, LOG INTO THE ZOOM MEETING AND ENTER THE PASSCODE, OR CALL THE PHONE NUMBER LISTED HERE AND ENTER THE MEETING ID AND PASSWORD. When the Mayor announces the item which you wish to speak on, press *9 on your telephone keypad to raise your hand. When called to speak, please limit your comments to three (3) minutes, or such other time as the Mayor may decide, consistent with the time limit for all other speakers for the particular agenda item. COMMENTS MAY ALSO BE EMAILED TO THE CITY CLERK’s OFFICE BY 6:00 P.M. PRIOR TO THE MEETING START AT suzanne.guzzetta@cityofgilroy.org, OR MAILED TO: GILROY CITY CLERK, 7351 ROSANNA STREET, GILROY, CA. 95020, TO BE DISTRIBUTED TO THE COUNCIL MEMBERS AND BE INCORPORATED INTO THE RECORD. In compliance with the Americans with Disabilities Act, and Governors Order N-29-20, 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 2 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 Zoom Log In rb.gy/ubi03k Passcode: 931870 or call : 1 (669) 900-6833 ID: 867 2865 7846 Passcode: 931870 City Council Regular Meeting Agenda 03/15/2021 Page2 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 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 City website at www.cityofgilroy.org subject to Staff’s ability to post the documents before the meeting. The City Council meets regularly on the first and third Monday of each month, at 6:00 p.m. If a holiday, the meeting will be rescheduled to the following Monday, with the exception of the single meeting in July which lands on the first day of the month not a holiday, Friday, Saturday or Sunday. 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 or shawna.freels@cityofgilroy.org I. OPENING A. Call to Order 1. Pledge of Allegiance 2. Invocation 3. City Clerk's Report on Posting the Agenda 4. Roll Call B. Orders of the Day C. Employee Introductions II. CEREMONIAL ITEMS A. Proclamations, Awards, and Presentations III. PRESENTATIONS TO THE COUNCIL City Council Regular Meeting Agenda 03/15/2021 Page3 PUBLIC COMMENT BY MEMBERS OF THE PUBLIC ON ITEMS NOT ON THE AGENDA BUT WITHIN THE SUBJECT MATTER JURISDICTION OF THE CITY COUNCIL PUBLIC COMMENTS MAY BE SUBMITTED BY EMAIL TO: shawna.freels@cityofgilroy.org, (This portion of the meeting is reserved for persons desiring to address the Council on matters not on this 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 material provided by public members for Council agenda item “public comment by Members of the Public on items not on the agenda” will be limited to 10 pages in hard copy. An unlimited amount of material may be provided electronically.) A. Presentations by Responders to the City's Request for Proposals (RFP) for the Potential Development on 536 Acres of City-owned Property Located on Hecker Pass Highway 1. Staff Report: Jimmy Forbis, City Administrator 2. Public Comment 3. Possible Action: City Council Regular Meeting Agenda 03/15/2021 Page4 IV. 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, South County Youth Task Force Policy Team, Street Naming Committee, URM Task Force Sub-committee Council Member Armendariz – ABAG (Alternate), CalTrain Policy Group, Gilroy Downtown Business Association Board (alternate), Historic Heritage Committee, 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, Historic Heritage Committee (Alternate), Santa Clara Valley Habitat Agency Governing Board (alternate), Santa Clara Valley Habitat Agency Implementation Board (alternate), South County Regional Wastewater Authority (Alternate), URM Task Force Sub-Committee 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, Recycling and Waste Reduction Commission, Santa Clara Co. Expressway Plan 2040 Policy Advisory Board, Recycling and Waste Reduction Commission, Santa Clara Co. Library JPA (alternate), SCVWD Water Commission (alternate), South County Regional Wastewater Authority Board, Street Naming Committee, VTA Committee for Transit Accessibility Council Member Leroe-Muñoz - ABAG, CalTrain Policy Group (alternate), Cities Association of Santa Clara County Board of Directors (alternate), Economic Development Corporation Board, Gilroy Youth Task Force, SCVWD Water Commission, Silicon Valley Regional Interoperability Authority Board, South County Youth Task Force Policy Team (alternate), VTA Mobility Partnership, VTA South County City Group, VTA Policy Advisory Committee Mayor Blankley - Cities Association of Santa Clara Co. Board of Directors, Gilroy Economic Development Partnership, Gilroy Sister Cities Association, Gilroy Youth Task Force (alternate), Santa Clara Valley Habitat Agency Governing Board, SCVWD Joint Council-SCRWA-Board Water Resources Committee, South County Regional Wastewater Authority Board, VTA Board of Directors Alternate, VTA Mobility Partnership, VTA Policy Advisory Committee, VTA South County City Group V. FUTURE COUNCIL INITIATED AGENDA ITEMS VI. 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. City Council Regular Meeting Agenda 03/15/2021 Page5 A. Regular Meeting Minutes of February 22, 2021 B. Regular Meeting Minutes of March 1, 2021 C. Claim of Deborah Griffith (The City Administrator recommends a “yes” vote under the Consent Calendar shall constitute the denial of the claim) VII. BIDS AND PROPOSALS A. Award a Contract to Silicon Valley Group, Inc. for the Ranch Site Building and Trailer Demolition Project (No. 21-PW-263), and approve a project expenditure of $57,270 1. Staff Report: Karl Bjarke, Interim Public Works Director 2. Public Comment 3. Possible Action: a) Adopt a resolution of the City Council of the City of Gilroy amending the budget for the City of Gilroy for Fiscal Year 2020-2021 and appropriating proposed expenditure amendments. b) Award a Contract to Silicon Valley Group, Inc. in the amount of $51,108.21, with an additional project contingency of $5,111.79 (10%), for a total construction cost of $56,220 and $1,050 for a City of Gilroy demolition permit for a total project cost of $57,270 for the Ranch Site Building and Trailer Demolition, Project No. 21-PW-263, and authorize the City Administrator to execute the contract and associated documents. VIII. PUBLIC HEARINGS IX. UNFINISHED BUSINESS A. Standing Report on Operational Impacts and City/Community Efforts Related to the COVID-19 Pandemic 1. Staff Report: Jimmy Forbis, City Administrator 2. Public Comment 3. Possible Action: Receive report. B. Introduce Draft Policy Recommendations to Regulate Electronic Billboards in the City of Gilroy 1. Staff Report: Karen Garner, Community Development Director 2. Public Comment 3. Possible Action: Review recommendations and provide staff with direction regarding allowance and regulation of Electronic Billboards in the City of Gilroy. X. INTRODUCTION OF NEW BUSINESS A. Community Development Department Customer Service Strategy City Council Regular Meeting Agenda 03/15/2021 Page6 1. Staff Report: Julie Wyrick, Customer Service Manager 2. Public Comment 3. Possible Action: Receive report. B. 2020 General Plan and Housing Element Annual Report 1. Staff Report: Karen Garner, Community Development Director 2. Public Comment 3. Possible Action: Accept the 2020 General Plan and Housing Element Annual Report and direct staff to transmit the report to the appropriate State agencies. C. Consent to the Appointment of Daryl Jordan as Public Works Director 1. Staff Report: LeeAnn McPhillips, Human Resources Director/Risk Manager 2. Public Comment 3. Possible Action: Consent to the City Administrator’s recommendation to appoint Daryl Jordan to the Department Head position of Public Works Director. XI. CITY ADMINISTRATOR'S REPORTS XII. CITY ATTORNEY'S REPORTS XIII. CLOSED SESSION A. CONFERENCE WITH LABOR NEGOTIATORS - COLLECTIVE BARGAINING UNITS Pursuant to GC Section 54957.6 and GCC Section 17A.11 (4); Collective Bargaining Units: Local 2805, IAFF Fire Unit Representing Gilroy Fire Fighters; Gilroy Management Association (GMA); Gilroy Police Officers Association, Inc. Representing Gilroy Police Officers; Unrepresented Confidential Exempt Employees, Unrepresented Confidential NonExempt Employees, Non-Exempt Part-Time/Temporary/ Seasonal Employees, Exempt Part-Time/Temporary/Seasonal Employees and Department Head Employees City Negotiators: Jimmy Forbis, Interim City Administrator, LeeAnn McPhillips, HR Director; Anticipated Issues(s) Under Negotiation: Wages, Hours, Benefits, Working Conditions; Memorandums of Understanding: City of Gilroy and Gilroy Fire Fighters Local 2805, City of Gilroy and the Gilroy Management Association (GMA); City of Gilroy and Gilroy Police Officers Association, Inc. ADJOURNMENT MEETING DATES MARCH 2021 15* Regular Meeting - 6:00 p.m. 22* Special Meeting/Study Session - 6:00 p.m. APRIL 2021 5* Regular Meeting - 6:00 p.m. City Council Regular Meeting Agenda 03/15/2021 Page7 19* Regular Meeting - 6:00 p.m. MAY 2021 3* Regular Meeting - 6:00 p.m. 17* Regular Meeting - 6:00 p.m. City of Gilroy STAFF REPORT Agenda Item Title: Presentations by Responders to the City's Request for Proposals (RFP) for the Potential Development on 536 Acres of City-owned Property Located on Hecker Pass Highway Meeting Date: March 15, 2021 From: Jimmy Forbis, City Administrator Department: Administration Submitted By: Jimmy Forbis Prepared By: Jimmy Forbis Strategic Plan Goals ☐ Fiscal Stability ☐ Downtown Revitalization ☐ Economic Development ☐ Neighborhood Services ☐ Enhanced Public Safety ☐ Workforce Stability ☐ Public Engagement RECOMMENDATION BACKGROUND At the November 2nd, 2020 City Council meeting, staff was directed to conduct a Request for Proposals (RFP) process for the potential development of the 536 acres of City-owned property located on Hecker Pass Highway. The RFP process was intended to solicit proposals from investors/developers about the potential use of the land in order to fully realize not only the financial potential of the asset but also the recreational potential of the City’s largest land holding. Previously, at their September 3rd, 2020 meeting, Council adopted a resolution supporting the vision of Gilroy becoming a recreation destination with reliance on three key initiatives: 3.A Packet Pg. 8 1. Support the Concept of the Gourmet Alley project proposed for Downtown Gilroy. 2. Support the development of the Gilroy Sports Park as a regional recreation area and/or facility. 3. Support the utilization of the 536 acres owned by the City of Gilroy that currently includes Gilroy Gardens and other future potential outdoor recreation projects that will contribute to the vision of Gilroy as a recreation destination. The RFP was created to support key initiative #3 above, outlined relevant information that was expected of the RFP respondents, and also identified the City’s key project objectives and priorities: The City of Gilroy is considering engaging in a public-private partnership with a development team to develop a recreational tourism-based project under a long- term ground-lease on City owned property. The City seeks economically productive, inspiring, and thoughtful responses to this RFP that best express the City’s objective to create a Project that will establish Gilroy as the top family- oriented outdoor recreation destination in the San Francisco Bay Area and nearby Central Coast. The deadline for submissions was February 12th, 2021 and the City received proposals from Imagine That! (based in Las Vegas, NV) and Select Contracts (based in Pemberton, BC, Canada). This evening, both proposers will conduct a public presentation of their submissions. This is the first step in a lengthy process that will determine if the City Council ultimately selects a vendor to enter into an Exclusive Negotiating Agreement (ENA). Tonight’s presentation is for informational purposes only. FISCAL IMPACT/FUNDING SOURCE None at this time. NEXT STEPS Consistent with the process outlined in the RFP document and the subsequent press release distributed by the City on March 4th, 2021 the process includes the below steps and is expected to take approximately 2-3 months. 1. Public Presentation of Each Proposal Each company will present its proposal at the March 15, 2021, City Council Meeting 2. Detailed Review by Stakeholder Representatives In-depth private interviews with each company will be conducted by representatives from the City of Gilroy, Economic and Planning Systems (EPS – 3.A Packet Pg. 9 the City’s consultant for this project), Chamber of Commerce, Visit Gilroy, and Gilroy Gardens 3. Consideration by Stakeholder Boards Following the public presentation and review by stakeholder representatives, the proposals will be taken to the Chamber of Commerce Board, Visit Gilroy Board, and Gilroy Gardens Board for review and recommendation. 4. Recommendations Provided to City Council City of Gilroy staff, EPS, the Chamber of Commerce, Visit Gilroy, and Gilroy Gardens will present their official recommendations to City Council. 5. Further Council Discussion and Direction The 536 Proposals will come back to City Council and will be agendized for further discussion and direction. At this phase, Council may choose to enter into an Exclusive Negotiating Agreement (ENA) with one of the companies during which time details of the specific proposal would be studied and negotiated to determine if the plan and project are suitable for moving forward. During the ENA process, a comprehensive outreach program including City Council study sessions, stakeholder meetings and community forums will be conducted to receive public input on the specifics of the proposed project. 3.A Packet Pg. 10 1 City Council Meeting Minutes 02/22/2021 City of Gilroy City Council Meeting Minutes February 22, 2021 I. OPENING A. Call to Order The meeting was called to order at 6:00 PM by Mayor Marie Blankley 1. Pledge of Allegiance Council Member Hilton led the pledge of allegiance. 2. Invocation Pastor Greg Quirke from South Valley Community Church led the invocation. 3. City Clerk's Report on Posting the Agenda Deputy City Clerk Guzzetta reported the agenda was posted on February 17, 2021 at 11:15 a.m. Attendee Name Title Status Arrived Marie Blankley Mayor Remote 6:00 PM Rebeca Armendariz Council Member Remote 6:00 PM Dion Bracco Council Member Remote 6:00 PM Zach Hilton Council Member Remote 6:00 PM Peter Leroe-Muñoz Council Member Remote 6:00 PM Carol Marques Council Member Remote 6:00 PM Fred Tovar Council Member Absent B. Orders of the Day C. Employee Introductions Community Development Director announced the promotion of Robert Carrera to Management Analyst. II. CEREMONIAL ITEMS A. Proclamations, Awards, and Presentations 1. Proclamation Honoring Retiring Employee Robert Bozzo Mayor Blankley presented the proclamation. 2. Proclamation Honoring Retiring Employee Mitch Madruga Mayor Blankley presented the proclamation. III. PRESENTATIONS TO THE COUNCIL Patrick Flautt advocated for placing the Slow Streets Program on the agenda to reduce traffic volume and speeds to prioritize walking and biking on residential streets. 6.A Packet Pg. 11 Communication: Regular Meeting Minutes of February 22, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 2 City Council Meeting Minutes 02/22/2021 Eugene Bernosky, Silicon Valley Bike Council South Valley lead, expressed support for placing the Slow Streets Program on an upcoming agenda due to the increased number of pedestrians and bicyclists. Gannon J voiced support for the Slow Streets Program on a future council agenda as it reduces traffic loads on residential streets to prioritize biking and walking. Michelle Wexler asked the Council to place the Slow Streets Program on a future agenda as it is a great way to promote outdoor physical activity while social distancing. Sean Reedy requested the Council place the Slow Streets Program on a future agenda. Ed Solis, Open Streets Program in San Jose, voiced support and shared excitement for a potential slow streets program as it allows the public to access the greatest amount of space for physical activity through the use of streets. IV. REPORTS OF COUNCIL MEMBERS Council Member Armendariz reported on attending the Silicon Valley Clean Energy orientation, High Speed Rail Authority, Joint Silicon Valley Habitat Agency Implementation Board and Executive Board, and upcoming VTA Committee Meeting on Thursday. The Council Member discussed the shared Committee meeting with the Mayor with Supervisors Chavez and Simitian on Saturdays to discuss COVID and to identify resources and vaccination services. Council Member Marques attended the Gilroy Downtown Business Association retreat to discuss goals for 2021, announced that Gilroy Gardens is planning on a May 22 opening, and reported on the Homeless Ad hoc committee meeting with stakeholders and upcoming meetings with Salvation Army, Compassion Center and St. Joseph's which will be presenting to Council soon at an upcoming Study Session.. Council Member Hilton reported that South County United for Health is working to develop the Santa Clara County Children's Outdoor Bill of Rights and is sending a survey to caregivers and parents with a deadline to complete by March 5, 2021, announced that Santa Clara County Behavioral Health has launched the Get Help Suicide Prevention campaign for middle-aged males, and announced the Silicon Valley Clean Energy Board approved reduction of rates effective in March and provided additional updates on transition of rate options. He thanked Gilroy Firefighters, AFSCME, City Staff, and community volunteers for staffing COVID Vaccination Clinics. Council Member Leroe-Muñoz reported that the Historic Heritage Committee met and at their March meeting will be looking at Bylaws and goals for the next year on the Third Wednesday of the Month. He acknowledged and thanked City Administrator Forbis for facilitating the Strategic Planning Session on Saturday, February 20, 2021. 6.A Packet Pg. 12 Communication: Regular Meeting Minutes of February 22, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 3 City Council Meeting Minutes 02/22/2021 Mayor Blankley announced attending the Cities Association where they discussed the Brown Act and potential violations of recurring Saturday morning meetings with County Supervisors resulting in rotating attendance. She also announced with VTA, they are continuing to ensure Measure B funds are going to the cities as promised, potential changes in VTA governance are being discussed, and VTA has suggested a transit oriented proposal near the Gilroy train station. V. FUTURE COUNCIL INITIATED AGENDA ITEMS Council Member Hilton asked to add the Slow Streets Program to a future City Council meeting as it reduces traffic and speed volume on city streets. City Administrator Forbis recommended returning to Council with a brief informational item on the Slow Street Program at the first meeting in April. VI. CONSENT CALENDAR (ROLL CALL VOTE) There was no public comment. RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Council Member SECONDER: Carol Marques, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques ABSENT: Fred Tovar A. Minutes of the February 1, 2021 Regular Meeting B. Approval of the Tenth Amendment to the Single Tenant Lease Agreement With Gilroy Gardens Family Theme Park Extending the Lease by One Year C. Gilroy Arts Alliance (GAA) Lease Agreement Amendment D. Sports Park Ad Hoc Committee Appointments VII. BIDS AND PROPOSALS A. Award a Contract to Balch Petroleum Contractors & Builders, Inc. for the Fuel Station Secondary Containment Components Repair Project (No. 21- PW-264), and approve a project expenditure of $182,875. City Engineer Heap presented the report. There was no public comment. 6.A Packet Pg. 13 Communication: Regular Meeting Minutes of February 22, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 4 City Council Meeting Minutes 02/22/2021 Possible Action: Award a contract to Balch Petroleum Contractors & Builders, Inc. in the amount of $166,250 with an additional project contingency of $16,625 (10%) for a total project cost of $182,875 for the construction of the Fuel Station Secondary Containment Components Repair, Project No. 21-PW-264, and authorize the City Administrator to execute the contract and associated documents. RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Council Member SECONDER: Rebeca Armendariz, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques ABSENT: Fred Tovar B. Approval of an On-Call Consultant Selection List for Planning Services, Environmental Reviews and Historical Evaluations, 21-RFQ-CDD-330 Management Analyst Carrera presented the report. There was no public comment. Possible Action: Approve an on-call consultant selection list for planning services, environmental reviews and historical evaluations, 21-RFQ-CDD-330. RESULT: APPROVE [UNANIMOUS] MOVER: Dion Bracco, Council Member SECONDER: Peter Leroe-Muñoz, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques ABSENT: Fred Tovar VIII. PUBLIC HEARINGS - NONE IX. UNFINISHED BUSINESS A. Introduction of an Ordinance of the City Council of the City of Gilroy Amending Chapter 19 of the Gilroy City Code Entitled "Smoking Prohibited” Modifying Sections 19B.2 (9) Pertaining to Parks; finding that the project is exempt from CEQA pursuant to CEQA Guidelines Section 15061(b)(3). Recreation Manager Henig presented the report. There was no public comment. 6.A Packet Pg. 14 Communication: Regular Meeting Minutes of February 22, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 5 City Council Meeting Minutes 02/22/2021 Possible Action: a) Motion to read the ordinance by title only and waive further reading RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Council Member SECONDER: Rebeca Armendariz, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques ABSENT: Fred Tovar b) Find that the proposed ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen clearly that the ordinance would not have a significant impact on the environment. RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Council Member SECONDER: Carol Marques, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques ABSENT: Fred Tovar c) Introduce an ordinance of the City Council of the City of Gilroy amending Chapter 19 of the Gilroy City Code entitled "Smoking Prohibited” Modifying Sections 19B.2 (9) Pertaining to Parks. RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Council Member SECONDER: Dion Bracco, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques ABSENT: Fred Tovar X. INTRODUCTION OF NEW BUSINESS A. Gilroy Renters and Small Business Protections During Covid-19 Program Administrator DeLeon presented the report. Chelsea Muller from Destination Home thanked the Council for exploring options to assist people. Vanessa spoke on eviction moratoriums and urged Gilroy to be aggressive and look at stronger eviction protections. Diana thanked Council for the update and asked the Council to consider extending protections to vulnerable populations. Council Member Armendariz made a motion for staff to bring back language that would include a temporary moratorium on rental increases and on the eviction of residential tenants for non-payment of rent, for commercial tenants, small businesses for non-payment of rent, includes language for the recovery of rent up to 80% with a timeline, and language that protects renters from no fault evictions or for nonpayment of rent due to COVID impacts. 6.A Packet Pg. 15 Communication: Regular Meeting Minutes of February 22, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 6 City Council Meeting Minutes 02/22/2021 Possible Action: Receive report. RESULT: APPROVE AS AMENDED [4 TO 2] MOVER: Rebeca Armendariz, Council Member SECONDER: Zach Hilton, Council Member AYES: Rebeca Armendariz, Zach Hilton, Peter Leroe-Muñoz, Carol Marques NAYS: Marie Blankley, Dion Bracco ABSENT: Fred Tovar B. Facility and Recreation Program Needs Assessment Conducted by PROS Consulting, Inc. Recreation Manager Henig presented the report. There was no public comment. Possible Action: Receive report. C. Rescinding of Gilroy City Council Resolution 2019-70 City Housing Loans for Executive and Appointed Positions (Adopting a Policy for the Provision of Housing Loans to Newly Appointed City Officers, Deputy City Administrator, Department Heads and/or Department Directors) City Administrator Forbis presented the report. There was no public comment. Possible Action: Adopt a resolution to rescind resolution 2019-70 adopted on October 28, 2019 that adopted a policy for the provision of housing loans to newly appointed City Officers, Deputy City Administrator, Department Heads, and/or Department Directors. RESULT: APPROVE [UNANIMOUS] MOVER: Carol Marques, Council Member SECONDER: Dion Bracco, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques ABSENT: Fred Tovar D. Consideration of a Resolution of the Council of the City of Gilroy Expressing Support for Actions to Further Strengthen Local Democracy, Authority, and Control as Related to Local Zoning and Housing Issues City Administrator Forbis presented the report. There was no public comment. 6.A Packet Pg. 16 Communication: Regular Meeting Minutes of February 22, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 7 City Council Meeting Minutes 02/22/2021 Possible Action: Adopt a resolution expressing the City's support of efforts to retain and strengthen local authority and control as related to local zoning and housing issues. RESULT: APPROVE [4 TO 2] MOVER: Dion Bracco, Council Member SECONDER: Carol Marques, Council Member AYES: Marie Blankley, Dion Bracco, Peter Leroe-Muñoz, Carol Marques NAYS: Rebeca Armendariz, Zach Hilton ABSENT: Fred Tovar XI. CITY ADMINISTRATOR'S REPORTS City Administrator Forbis report that the City has a confirmed date for mattress recycling on April 3, 2021 from 9am to 2pm at Civic Center, and has supported cleanup efforts along the creeks, specifically San Ysidro Park, over the weekend. XII. CITY ATTORNEY'S REPORTS - NONE XIII. CLOSED SESSION A. PUBLIC EMPLOYEE APPOINTMENT/EMPLOYMENT; Pursuant to Government Code Section 54957 and Gilroy City Code Section 17A.11(2) Name/Title: Finance Director B. PUBLIC EMPLOYEE APPOINTMENT/EMPLOYMENT; Pursuant to Government Code Section 54957 and Gilroy City Code Section 17A.11(2) Name/Title: Public Works Director ADJOURNMENT Mayor Blankley adjourned the meeting at 8:25 p.m. /s/ Shawna Freels, MMC City Clerk 6.A Packet Pg. 17 Communication: Regular Meeting Minutes of February 22, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 1 City Council Meeting Minutes 03/1/2021 City of Gilroy City Council Meeting Minutes March 1, 2021 I. OPENING A. Call to Order The meeting was called to order at 6:00 PM by Mayor Marie Blankley 1. Pledge of Allegiance Council Member Tovar led the pledge of allegiance. 2. Invocation Pastor Malcolm MacPhail from New Hope Community Church presented the invocation. 3. City Clerk's Report on Posting the Agenda Deputy City Clerk Guzzetta reported that the agenda was posted on February 24, 2021 at 1:45 p.m. Attendee Name Title Status Arrived Marie Blankley Mayor Remote 6:00 PM Rebeca Armendariz Council Member Remote 6:00 PM Dion Bracco Council Member Remote 6:00 PM Zach Hilton Council Member Remote 6:00 PM Peter Leroe-Muñoz Council Member Remote 6:00 PM Carol Marques Council Member Remote 6:00 PM Fred Tovar Council Member Remote 6:00 PM B. Orders of the Day C. Employee Introductions There were none. II. CEREMONIAL ITEMS A. Proclamations, Awards, and Presentations 1. Proclamation Naming the Month of March Red Cross Month Mayor Blankley presented the proclamation. 2. Recognize Corporal Robert Basuino, Detective Eric Cryar and Detective Hugo Del Moral as Recipients of the State of California Governor's Public Safety Officer Medal of Valor for an Act of Heroism Demonstrated at the Gilroy Garlic Festival on July 28, 2019 Captain Juan Rocha briefed the Council on the award. Mayor Blankley recognized Corporal Basuino, Detective Cryar, and Detective Del Moral. III. PRESENTATIONS TO THE COUNCIL There was no public comment. 6.B Packet Pg. 18 Communication: Regular Meeting Minutes of March 1, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 2 City Council Meeting Minutes 03/1/2021 IV. REPORTS OF COUNCIL MEMBERS Council Member Armendariz reported she will be attending the ABAG Housing Element policy training workshop on March 9, the Valley Transportation Agency Policy Group conducted a meeting about possible housing development in Gilroy. She announced the Gilroy High School COVID vaccination site is now open and will have appointments available for the next categories of workers including food service, agricultural, child care providers, child care workers, and 65+ Council Member Marques reported the Homeless Ad Hoc Committee recently met with the Salvation Army, Compassion Center, and St. Joseph's, and will soon hear from Rebecca Garcia and possibly the Youth Alliance. The Ad Hoc Committee is planning to present to City Council at the end of March or beginning of April. She discussed safe parking with Tim Davis from the Compassion Center. She asked the public for their assistance to lobby state and local authorities for assistance in maintaining their properties in Gilroy. Council Member Hilton announced that Maddie Escariot from the Poppy Jasper International Film Festival presented to the Visit Gilroy Board of Directors on the virtual event that will take place April 7-20, 2021. The Board received travel reports for January 2021 and the Quarter ending December 31, 2020 on lodgings in Gilroy and elected David McLaughlin, General Manager of Hilton Garden Inn, as Vice Chair of the Board of Directors. He advised that he will be introducing a safe storage for firearms ordinance at the March 15, 2021 City Council meeting. Council Member Tovar offered additional comments on the Homeless Ad Hoc Committee. Council Member Leroe-Muñoz announced the Mobility Partnership meeting on Wednesday to discuss changes to the Highway 25 and Highway 156 interchanges. Mayor Blankley reported the Gilroy Economic Development Partnership met on February 24, 2021 to review two proposals for the property out at Gilroy Gardens. She advised that the current stage of the review is for the City Council to decide if they want to act on any of the proposals. V. FUTURE COUNCIL INITIATED AGENDA ITEMS Council Member Tovar asked to agendize a resolution supporting the annual celebration of the Month of June as LGBTQ Pride Month. Council Member Marques proposed bringing forward consideration of an Ad Hoc Gourmet Alley Committee staffed by City Council, City Staff, Business Owners, and the Gilroy Downtown Business Association at the table. VI. CONSENT CALENDAR (ROLL CALL VOTE) There was no public comment. 6.B Packet Pg. 19 Communication: Regular Meeting Minutes of March 1, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 3 City Council Meeting Minutes 03/1/2021 RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Council Member SECONDER: Fred Tovar, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques, Tovar A. Resolution in Support of AB 271 (Rivas) Allowing for Valley Water to Utilize a "Best Value" Procurement Method for the Anderson Dam Seismic Retrofit Project B. Claim of Colleen Loebs (The City Administrator recommends a “yes” vote under the Consent Calendar shall constitute the denial of the claim) C. Proclamation Naming the Month of March Youth Arts Month VII. BIDS AND PROPOSALS There were none. VIII. PUBLIC HEARINGS There were none. IX. UNFINISHED BUSINESS A. Adoption of an Ordinance of the City Council of the City of Gilroy Amending Chapter 19 of the Gilroy City Code Entitled "Smoking Prohibited" Modifying Sections 19B.2 (9) Pertaining to Parks (introduced 2/22/2021 with a 6-0-1 vote, Council Member Tovar Absent) Recreation Manager Henig presented the report. There was no public comment. Possible Action: Adopt an ordinance of the City Council of the City of Gilroy amending Chapter 19 of the Gilroy City Code entitled "Smoking Prohibited" Modifying Sections 19B.2 (9) Pertaining to Parks. RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Council Member SECONDER: Fred Tovar, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques, Tovar X. INTRODUCTION OF NEW BUSINESS A. Acceptance of the Fiscal Year 2020 Audit and Comprehensive Annual Financial Report and Appropriations Limit for the Reporting Period of July 1, 2019 to June 30, 2020 City Administrator Forbis presented the report. There was no public comment. 6.B Packet Pg. 20 Communication: Regular Meeting Minutes of March 1, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) 4 City Council Meeting Minutes 03/1/2021 Possible Action: Accept the report. RESULT: APPROVE [UNANIMOUS] MOVER: Peter Leroe-Muñoz, Council Member SECONDER: Dion Bracco, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques, Tovar B. Consent to the Appointment of Harjot Sangha as Finance Director Administrative Services Director McPhillips presented the report. There was no public comment. Possible Action: Consent to the City Administrator’s recommendation to appoint Harjot Sangha to the Department Head position of Finance Director. RESULT: APPROVE [UNANIMOUS] MOVER: Dion Bracco, Council Member SECONDER: Peter Leroe-Muñoz, Council Member AYES: Blankley, Armendariz, Bracco, Hilton, Leroe-Muñoz, Marques, Tovar XI. CITY ADMINISTRATOR'S REPORTS City Administrator Forbis announced that the next Cares Act passed the House on Saturday and expected to be passed or rejected by the Senate within the next two weeks. A. Standing Report on Operational Impacts and City/Community Efforts Related to the COVID-19 Pandemic Fire Chief Wyatt presented the update. There was no public comment. Possible Action: Receive report. XII. CITY ATTORNEY'S REPORTS No report. XIII. CLOSED SESSION There was no Closed Session. ADJOURNMENT The meeting was adjourned at 6:56 p.m. /s/ Shawna Freels, MMC City Clerk 6.B Packet Pg. 21 Communication: Regular Meeting Minutes of March 1, 2021 (CONSENT CALENDAR (ROLL CALL VOTE)) City of Gilroy STAFF REPORT Agenda Item Title: Claim of Deborah Griffith (The City Administrator recommends a “yes” vote under the Consent Calendar shall constitute the denial of the claim) Meeting Date: March 15, 2021 From: Jimmy Forbis, City Administrator Department: Human Resources Department Submitted By: LeeAnn McPhillips Prepared By: LeeAnn McPhillips Strategic Plan Goals ☐ Fiscal Stability ☐ Downtown Revitalization ☐ Economic Development ☐ Neighborhood Services ☐ Enhanced Public Safety ☐ Workforce Stability ☐ Public Engagement 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 15, 2021 meeting: • Claim of Deborah Griffith Attachments: 6.C Packet Pg. 22 1. Claim of Deborah Griffith 6.C Packet Pg. 23 6.C.a Packet Pg. 24 Attachment: Claim of Deborah Griffith (3224 : Claim of Deborah Griffith) 6.C.a Packet Pg. 25 Attachment: Claim of Deborah Griffith (3224 : Claim of Deborah Griffith) City of Gilroy STAFF REPORT Agenda Item Title: Award a Contract to Silicon Valley Group, Inc. for the Ranch Site Building and Trailer Demolition Project (No. 21-PW-263), and approve a project expenditure of $57,270 Meeting Date: March 15, 2021 From: Jimmy Forbis, City Administrator Department: Public Works Department Submitted By: Karl Bjarke Prepared By: Karl Bjarke Julie Oates Strategic Plan Goals ☐ Fiscal Stability ☐ Downtown Revitalization ☐ Economic Development ☐ Neighborhood Services  Enhanced Public Safety ☐ Workforce Stability ☐ Public Engagement RECOMMENDATION a) Adopt a resolution of the City Council of the City of Gilroy amending the budget for the City of Gilroy for Fiscal Year 2020-2021 and appropriating proposed expenditure amendments. b) Award a Contract to Silicon Valley Group, Inc. in the amount of $51,108.21, with an additional project contingency of $5,111.79 (10%), for a total construction cost of $56,220 and $1,050 for a City of Gilroy demolition permit for a total project cost of $57,270 for the Ranch Site Building and Trailer Demolition, Project No. 21-PW-263, and authorize the City Administrator to execute the contract and associated documents. 7.A Packet Pg. 26 EXECUTIVE SUMMARY The Ranch Site Building and Trailer Demolition project (Project) will demolish two derelict structures, a house and a construction trailer, located near the historic Miller Red Barn in the Ranch Site Addition of Christmas Hill Park. The house and construction trailer, which are beyond repair, are uninhabitable, unsellable, and an attractive nuisance. This Project supports the Miller Red Barn Association as they continue efforts to restore the Miller Red Barn and create a space for public visitation and enjoyment. Staff advertised the Project in the San Jose Mercury News and on the City’s website and received three responsive bids. Staff recommends awarding a contract to the lowest bidder, Silicon Valley Group, Inc., in the amount of $51,108.21. In addition, staff recommends approval of a 10% contingency in an amount not to exceed $5,111.79 for a total construction allocation of $56,220. The Project will also incur expenses in the amount of $1,050 for a City of Gilroy Demolition Permit. Including the base bid amount, contingency, and permit expenses, Council is requested to approve a maximum expenditure of $57,270 for the Project. The Project is proposed to be funded through the Capital Projects Fund (400). In June 2019 Council adopted the FY20 and FY21 budgets which did not appropriate funds for this Project. Staff recommends that the City Council adopt a resolution to amend the FY21 budget and appropriate funds from the Capital Projects Fund (400) for this project. BACKGROUND The Project will demolish two derelict structures, a house and a construction trailer located in the Ranch Site Addition of Christmas Hill Park. These structures, which are not part of the Parks Master Plan, are located near the Miller Red Barn, which was placed on the National Register of Historic Places in 2016. The house was built circa 1950 and the failing construction trailer is left over from the 1996 DeBell Uvas Creek Park Preserve Restoration Project. The house and construction trailer are beyond repair, uninhabitable, unsellable, and are an attractive nuisance. This project will eliminate potential health and safety hazards caused by deteriorating, unusable structures, and will also reduce the City’s liability for any related damage or injuries. ANALYSIS The Project was advertised in the San Jose Mercury News and on the City’s website on October 21, 2020. Staff held a pre-bid site tour with potential bidders on November 2, 2020. Staff issued two addenda and conducted the bid opening on January 20, 2021. 7.A Packet Pg. 27 Staff received the following three responsive bids: RANK COMPANY NAME TOTAL BID AMOUNT 1 Silicon Valley Group, Inc. $51,108.21 2 Demolition Services and Grading, Inc. $88,400.00 3 Bowen Engineering and Environmental $90,250.00 The lowest responsive bidder was Silicon Valley Group, Inc. with a total bid of $51,108.21. The Engineer’s Estimate was $47,000.00. The lowest bid was 8.7% higher than the Engineer’s Estimate. Staff recommends awarding the contract to Silicon Valley Group, Inc. for the following reasons: 1. Silicon Valley Group, Inc. provided the lowest responsive bid 2. Silicon Valley Group, Inc. has experience with this type of project and received positive comments from past clientele Staff anticipates the demolition project to begin in April 2021 and to be completed in May 2021. ALTERNATIVES The alternative to the staff recommendation is to reject all bids. Staff does not recommend this option as this would delay the project. FISCAL IMPACT/FUNDING SOURCE The total bid amount from Silicon Valley Group, Inc. is $51,108.21. Staff recommends including a 10% contingency of $5,111.79 for a total construction allocation of $56,220. The contingency amount is intended to account for unforeseen conditions or changes in the scope of work that may occur during the demolition work. The Project will also incur expenses in the amount of $1,050 for a City of Gilroy Demolition Permit, bringing the maximum project expenditure to $57,270. In June 2019 Council adopted the FY20 and FY21 budgets which did not appropriate funds for this project. Staff recommends that the City Council adopt a resolution to amend the FY21 budget and appropriate funds from the Capital Projects Fund (400). PUBLIC OUTREACH Staff will notify the Gilroy Unified School District, Gilroy Fire Department, and Miller Red Barn Association about the scope and schedule for the project. This information will also be provided via social media through Facebook, Instagram, and E-mail Express to 7.A Packet Pg. 28 ensure the public is aware of the project. The contractor will also notify nearby residents and schools at least five working days before demolition activities begin. NEXT STEPS Upon Council’s approval of this contract, the contract will be executed, and Staff will work with the contractor to develop a final project schedule to begin demolition in April 2021. Attachments: 1. Resolution Fund 400 Budget Amendment 2. 21-PW-263 Ranch Site Demo FINAL PLANS 3. 21-PW-263 Silicon Valley Group Inc. Agreement 7.A Packet Pg. 29 RESOLUTION NO. 2021-XX RESOLUTION NO. 2021-XX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY AMENDING THE BUDGET FOR THE CITY OF GILROY FOR 2020-2021 AND APPROPRIATING PROPOSED EXPENDITURE AMENDMENTS WHEREAS, the City Administrator prepared and submitted to the City Council a budget for the City of Gilroy for Fiscal Years 2019-2020 and 2020-2021, and the City Council carefully examined, considered and adopted the same on June 3, 2019; and WHEREAS, City Staff has prepared and submitted to the City Council proposed amendments to said budget for Fiscal Year 2020-2021 for the City of Gilroy in the staff report dated March 15, 2021 for the Ranch Site Building and Trailer Demolition Project, City Project No. 21-PW-263. NOW, THEREFORE, BE IT RESOLVED THAT the appropriations for Fiscal Year 2020-2021 in the Capital Projects Fund 400 shall be increased by $57,270. PASSED AND ADOPTED this 15th day of March, 2021 by the following roll call vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: APPROVED: ATTEST: Marie Blankley, Mayor Shawna Freels, City Clerk 7.A.a Packet Pg. 30 Attachment: Resolution Fund 400 Budget Amendment (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) DRAWN BY: DATE ScalePROJECT TITLE Drawing No.Farrell - 3 DESIGNED BY: DATE PROJECT No.TITLE SHEET REVIEWED BY: DATENo. DATE BY REVISIONS CITY APPROVALSDEPARTMENT DATECITY OF GILROYDEPARTMENT OF PUBLIC WORKS7351 ROSANNA STREETGILROY, CALIFORNIA 95020MAIN (408) 846-0415 | FAX (408) 846-0469NCITY OF GILROYCONSTRUCTION DOCUMENTSFORRANCH SITE BUILDING AND TRAILER DEMOLITIONCITY PROJECT NO. 21-PW-263PROJECT DESCRIPTONTHE WORK INCLUDES THE FURNISHING OF ALL LABOR, MATERIALS,INCIDENTALS, AND EQUIPMENT NECESSARY TO PERFORM THEDEMOLITION AND REMOVAL OF ONE (1) HOUSE AND ONE (1) CONSTRUCTIONTRAILER AS IDENTIFIED IN THESE PLANS AND SPECIFICATIONS, INCLUDING STORMWATER MANAGEMENT, AND OTHER INCIDENTALS THERETO.ACCEPTANCE OF PLANSTHE CITY OF GILROY HEREBY ACCEPTS THESE PLANS FOR CONSTRUCTION, ASBEING IN GENERAL COMPLIANCE WITH PLANS PREPARATION REQUIREMENTS OFTHIS GOVERNMENT.APPROVEDGARY HEAP DATECITY ENGINEERCITY OF GILROYFIRST STTENTH STUS 101 MILLER AVESANT A T E R E S A B L V D PROJECTLOCATIONT-121-PW-263SHEET 1 OF 7NO SCALERANCH SITE BUILDINGAND TRAILERDEMOLITIONSheet IndexT-1 Title SheetG-1 General NotesE-1 Site Map and Existing ConditionsD-1 Demolition PlanP-1 PhotosAR-1 Construction Staging and Access RouteAR-2 Construction Staging and Access RouteSSSSProject Address:Christmas Hill Park Ranch Site Addition7049 Miller AvenueGilroy, CA 95020APN:808-18-022Digitally signed by Gary Heap DN: cn=Gary Heap, o=City of Gilroy, ou=Public Works Engineering, email=gary.heap@cityofgilroy.org, c=US Date: 2020.10.20 15:48:34 -07'00'7.A.bPacket Pg. 31Attachment: 21-PW-263 Ranch Site Demo FINAL PLANS (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) DRAWN BY: DATE ScalePROJECT TITLE Drawing No.Farrell - 3 DESIGNED BY: DATE PROJECT No.TITLE SHEET REVIEWED BY: DATENo. DATE BY REVISIONS CITY APPROVALSDEPARTMENT DATECITY OF GILROYDEPARTMENT OF PUBLIC WORKS7351 ROSANNA STREETGILROY, CALIFORNIA 95020MAIN (408) 846-0415 | FAX (408) 846-0469N10/20/202010/20/2020G-121-PW-263SHEET 2 OF 7NO SCALERANCH SITE BUILDINGAND TRAILERDEMOLITIONGENERAL NOTESGeneral Notes1. Locations of all utilities shown are approximate and contractor shall exercise extreme caution in excavating and trenching on this site to avoid intercepting existing piping or conduits. It shall be the responsibility of the contractor to locate all existing utilities whether shown on or detailed and installed by other contract. The contractor shall immediately notify the City should any unidentified conditions be discovered. Contractor to pothole all utilities prior to work effort. The contractor shall bear all expense of repair or replacement of utilities or other property damaged by operations in conjunction with the prosecution of this work.2. The work shown on these drawings as existing conditions wasobtained from the Improvement Plans for Christmas Hill Park Ranch Site II Improvements dated June 14, 1996. While this information is believed to be reliable, the City is not responsible for the accuracy or adequacy of any work shown as existing, nor is the City responsible for any errors or omissions which may have been incorporated into these drawings as a result.3. Fire Safety during demolition: A. General: Fire Safety during demolition shall comply with California Fire Code (CFC) California Code of Regulations (CCR) Title 24, part 9, Article 87. B. Access Roads: Fire Department access roads shall be established and maintained in accordance with section 902. C. Water Supply: Water mains and hydrants shall be operational in accordance with Section 903. D. Building Access: Access to existing buildings for the purpose of firefighting shall be provided. Demolition material shall not block access to buildings, hydrants, or fire appliances. E. Demolition of Buildings: Shall comply with all applicable provisions of Article 87. F. Fire Watch: Maintain Fire Watch when required by the Building Official and when existing fire protection systems are shut down for demolition. Fire Watch shall remain in effect until new fire protection systems are returned to service or as allowed by the Building Official.4. Contractor to coordinate with Bill Headley, City of Gilroy Parks and Landscape Supervisor at (408)710-5876, to arrange for removal or utilization of temporary fencing.5. Contractor agrees to assume sole and complete responsibility for job site conditions during the course of this project, including safety of all persons and property. This requirement shall apply continuously and not be limited to normal working hours and the contractor shall defend, indemnify, and hold the City harmless from any and all liability, real or alleged, in connection with the performance of work on this project, except for liability arising from the sole negligence of the City.6. It is the responsibility of the contractor to obtain permits necessary to perform the improvements in these plans from the appropriate agencies and to comply with the City's requirements. The contractor must comply with all local, state, and federal laws.7. The contractor shall provide all lights, signs, barricades, flagmen, orother devices necessary to provide for public safety and worker safetyin accordance with the latest Caltrans, CA MUTCD, and Cal-OSHAspecifications.8. If any cultural features or archaeological material are uncovered duringgrading, trenching, or other excavation work, all work within one hundred(100) feet of this material shall be stopped until a professional archaeologistcertified by the Society of Professional Archeology (SOPA) and/or Society ofCalifornia Archeology (SCA) has had an opportunity to evaluate thesignificance of the find and appropriate mitigation measures are determined andimplemented.9. The contractor is responsible for having a complete and current copy of theapproved plans on the job site at all times.10. The contractor shall be held responsible for any field changes made withoutwritten authorization from the City.11. The contractor shall be responsible for matching surrounding landscape, andany other existing conditions, with a smooth transition in grading, and to avoidany abrupt or apparent changes in grades, low spots, and hazardousconditions.12. Public Notices - Contractor shall provide notice of demolition activities atleast (5) working days in advance of demolition activities for residences alongGrenache Way. Notification to be in the form of door knob hangers andapproved by City, as detailed in the Specifications for this project.13. Traffic and Pedestrian Control Plan - Prior to pre-construction conference,the Contractor shall submit for approval the proposed route(s) for allconstruction traffic on the project. Traffic and Pedestrian Control Plan shall beperformed in accordance with the requirements of the latest "California Manualon Uniform Traffic Control Devices" published by Caltrans, and as required inthe project specifications.14. Dust Control - The contractor shall control dust to the maximum extentpracticable meeting or exceeding requirements established by the Bay AreaAir Quality Management District, and as required in the project specifications.15. Safety Measures - At all times, including non-working hours, the contractorshall be solely and completely responsible for conditions of the job site,contractor's operations and/or materials and equipment stored in the stagingareas, including safety of persons and property, and for all necessaryindependent engineering review of the conditions. The engineer's job sitereview is not intended to include review of the adequacy of the contractor'ssafety measures.16. Trees - Contractor shall protect in place all trees within the limits of the workarea except a 10-inch palm tree as indicated in these plans. If any tree rootsare exposed during the course of the demolition, it is the full responsibility of theContractor to provide the services of a certified arborist and obtainapproval from the City's engineer/inspector prior to cutting, pruning, orremoving any tree roots during demolition. Contractor is responsible fortrimming any branches to allow for access to the project site.17. Existing landscaping within the area of work shall be carefullyremoved and replaced in kind with minimal damage as required in the project specifications.18. Contractor shall contact Underground Service Alert (USA) at (800) 277-2600, 48 hours in advance of commencement ofdemolition.19. Hazardous Materials - Asbestos, Lead-based paints, and other hazardous materials are assumed to be present in the buildings to be demolished. It is the full responsibility of the Contractor to commission a Hazardous Materials Assessment that meets the requirements of the Bay Area Air Quality Management District (BAAQMD) and/or other jurisdiction notification for demolition/renovation permit and Environmental Protection Agency disposal requirements.20. Project Signs - Contractor shall install three (3) project signs within ten (10) days of Notice to Proceed, as defined in the Specificationsfor this project. The signs shall be located at the entrance of the Christmas Hill Park and on the pedestrian/bike trails near the project site.21. Working Hours - Contractor shall keep all demolition and project activities between working hours of 7:30 AM to 4:30 PM, Monday to Friday. No demolition or other onsite project activities shall be permitted on weekends or holidays.SSSSGary Heap, City EngineerFaranak Mahdavi, Senior Civil EngineerJulie Oates, Project EngineerJulie Oates, Project Engineer7.A.bPacket Pg. 32Attachment: 21-PW-263 Ranch Site Demo FINAL PLANS (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) DRAWN BY: DATE ScalePROJECT TITLE Drawing No.Farrell - 3 DESIGNED BY: DATE PROJECT No.TITLE SHEET REVIEWED BY: DATENo. DATE BY REVISIONS CITY APPROVALSDEPARTMENT DATECITY OF GILROYDEPARTMENT OF PUBLIC WORKS7351 ROSANNA STREETGILROY, CALIFORNIA 95020MAIN (408) 846-0415 | FAX (408) 846-0469N10/20/202010/20/2020E-121-PW-263SHEET 3 OF 7NOT TOSCALERANCH SITE BUILDINGAND TRAILERDEMOLITIONSITE MAP ANDEXISTING CONDITIONSMILLER REDBARN TOREMAIN AND BEPROTECTED INPLACE(SD) 125 LF 12" CPP S=0.012(SD) 142 LF 12" CPP, S=0.004(SD )(SD)(SD) DIRIM 212.40INV THRU 206.00EXISTING HOUSEAND TRAILER TOBE DEMOLISHEDLEGENDLIMITS OF WORKSTRUCTURES TOBE DEMOLISHED(SD)EXISTING STORMDRAIN SYSTEM(SD) 46 LF12" SDR S= 0.010(SD) DIRIM 213.0INV THRU 209.30(SD) DIRIM 213.0INV OUT 210.00ONE (1) 10-INCHPALM TREE TO BEREMOVED(SD) DIRIM 215.5INV 208.57EXISTING UTILITY BOX(PROTECT IN PLACE)SSSSGary Heap, City EngineerFaranak Mahdavi, Senior Civil EngineerJulie Oates, Project EngineerJulie Oates, Project Engineer7.A.bPacket Pg. 33Attachment: 21-PW-263 Ranch Site Demo FINAL PLANS (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) DRAWN BY: DATE ScalePROJECT TITLE Drawing No.Farrell - 3 DESIGNED BY: DATE PROJECT No.TITLE SHEET REVIEWED BY: DATENo. DATE BY REVISIONS CITY APPROVALSDEPARTMENT DATECITY OF GILROYDEPARTMENT OF PUBLIC WORKS7351 ROSANNA STREETGILROY, CALIFORNIA 95020MAIN (408) 846-0415 | FAX (408) 846-0469N10/20/202010/20/2020D-121-PW-263SHEET 4 OF 7NO SCALERANCH SITE BUILDINGAND TRAILERDEMOLITIONDEMOLITION PLANDEMOLITION NOTES1. All trees are to remain and be protected in-place, except for the 10-inch palm tree as shown on the plans.2. Contractor to locate and verify all sewer and water lateral connections at main. Where applicable, cut and cap laterals and abandon at main. 3. Patch and repair any damaged paving outside of property lines, in sidewalk, and/or street as required by City.4. Remove all asphalt and concrete paving, and base indicated within "limits of work" and any other materials that would prevent a clean rough graded work site inside the limits of work area.5. Pavement removal for underground utilities is not shown specifically. Remove as required.6. All caps, plugs, etc., necessary to maintain service to utilities to remain shall be installed. Trenches resulting from utility removal shall be backfilled per therequirements of the Project Specifications.DEMOLITION LEGENDHouse (approx. 2,100 SF) and Trailer (approx.750 SF) to be demolishedOne(1) Existing 10-inch PalmTree to be removedExisting trees to remain and beprotected in place25 ft30 ft30 ft55 ft36 ft62 ft11 ftAll MEASUREMENTS ARE APPROXIMATIONSEXISTINGMILLER REDBARNTOREMAIN ANDBE PROTECTEDIN PLACElimits of worklimits of workSSSSGary Heap, City EngineerFaranak Mahdavi, Senior Civil EngineerJulie Oates, Project EngineerHOUSECONSTRUCTIONTRAILERJulie Oates, Project Engineer7.A.bPacket Pg. 34Attachment: 21-PW-263 Ranch Site Demo FINAL PLANS (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) DRAWN BY: DATE ScalePROJECT TITLE Drawing No.Farrell - 3 DESIGNED BY: DATE PROJECT No.TITLE SHEET REVIEWED BY: DATENo. DATE BY REVISIONS CITY APPROVALSDEPARTMENT DATECITY OF GILROYDEPARTMENT OF PUBLIC WORKS7351 ROSANNA STREETGILROY, CALIFORNIA 95020MAIN (408) 846-0415 | FAX (408) 846-0469N10/20/202010/20/2020P-121-PW-263SHEET 5 OF 7NO SCALERANCH SITE BUILDINGAND TRAILERDEMOLITIONPHOTO LOCATIONS123781LEFT SIDE OF TRAILER (FRONT FACE)RIGHT SIDE OF TRAILER (FRONT FACE)RIGHT SIDE OF TRAILER (BACK FACE)NORTH-WEST CORNER OF HOUSE(BACK FACE)BACK FACE OF HOUSE AND LEFT SIDE OF TRAILER (BACK FACE)NORTH-EAST CORNER OF HOUSE (FRONT FACE)64FRONT FACE OF HOUSE(see Photo No. 5 for 10-inch palm tree tobe removed)10-INCH PALM TREE TOBE REMOVED5FRONT FACE OF HOUSE(10-INCH PALM TREE TO BEREMOVED)5TO BEREMOVEDPHOTO APHOTO B286SSSS374Gary Heap, City EngineerFaranak Mahdavi, Senior Civil EngineerJulie Oates, Project EngineerJulie Oates, Project Engineer7.A.bPacket Pg. 35Attachment: 21-PW-263 Ranch Site Demo FINAL PLANS (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) DRAWN BY: DATE ScalePROJECT TITLE Drawing No.Farrell - 3 DESIGNED BY: DATE PROJECT No.TITLE SHEET REVIEWED BY: DATENo. DATE BY REVISIONS CITY APPROVALSDEPARTMENT DATECITY OF GILROYDEPARTMENT OF PUBLIC WORKS7351 ROSANNA STREETGILROY, CALIFORNIA 95020MAIN (408) 846-0415 | FAX (408) 846-0469N10/20/202010/20/2020AR-121-PW-263SHEET 6 OF 7NO SCALERANCH SITE BUILDINGAND TRAILERDEMOLITIONACCESS ROUTE FORHEAVY-EQUIPMENTSSSSGary Heap, City EngineerFaranak Mahdavi, Senior Civil EngineerJulie Oates, Project EngineerPROJECTSITESANTA T E R E S A B L V DCLUB DRGRENACHE WYBIKE TRAILPROPOSED STAGING AND ACCESS ROUTE FOR HEAVY-EQUIPMENT VEHICLES(FOR ACCESS ROUTES FOR ALL OTHER VEHICLES, SEE SHEET AR-2)FOR CONSTRUCTION STAGING SEE SHEET AR-2PROJECT ACCESS ROUTE (HEAVY EQUIPMENT)Julie Oates, Project Engineer7.A.bPacket Pg. 36Attachment: 21-PW-263 Ranch Site Demo FINAL PLANS (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) DRAWN BY: DATE ScalePROJECT TITLE Drawing No.Farrell - 3 DESIGNED BY: DATE PROJECT No.TITLE SHEET REVIEWED BY: DATENo. DATE BY REVISIONS CITY APPROVALSDEPARTMENT DATECITY OF GILROYDEPARTMENT OF PUBLIC WORKS7351 ROSANNA STREETGILROY, CALIFORNIA 95020MAIN (408) 846-0415 | FAX (408) 846-0469N10/20/202010/20/2020AR-221-PW-263SHEET 7 OF 7NO SCALERANCH SITE BUILDINGAND TRAILERDEMOLITIONCONSTRUCTIONSTAGING ANDACCESS ROUTESSSSGary Heap, City EngineerFaranak Mahdavi, Senior Civil EngineerJulie Oates, Project EngineerPROPOSED CONSTRUCTION STAGING AND ACCESS ROUTE FOR NON-HEAVY VEHICLES (FOR ACCESS ROUTE FOR HEAVY-EQUIPMENT VEHICLES, SEE SHEET AR-1)MILLER AVEBIKE TRAILPROPOSEDCONSTRUCTIONENTRANCELIMITS OFWORKEXISTINGUTILITY BOXTO REMAIN(PROTECTIN PLACE)TRAVEL PATH(12-FOOT WIDE)PROJECT ACCESS ROUTE(NON-HEAVY VEHICLES)PROPOSEDSTAGINGAREA~1,000 SFJulie Oates, Project Engineer7.A.bPacket Pg. 37Attachment: 21-PW-263 Ranch Site Demo FINAL PLANS (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00500 Ranch Site Building and Trailer Demolition AGREEMENT-27 SECTION 00500 AGREEMENT Ranch Site Building and Trailer Demolition PROJECT No. 21-PW-263 THIS AGREEMENT, made this day of , 202, by and between the City of Gilroy, hereinafter called the “City,” and hereinafter called the “Contractor.” W I T N E S S E T H: WHEREAS, the City has caused the Contract Documents to be prepared comprised of bidding and contract requirements and technical specifications and drawings for the construction of the Ranch Site Building and Trailer Demolition, Project No. 21-PW-263, as described therein, and WHEREAS, the Contractor has offered to perform the proposed work in accordance with the terms of the Contract Documents. NOW, THEREFORE, in consideration of the mutual covenants and agreements of the parties herein contained and to be performed, the City and Contractor agree as follows: Article 1. Work. Contractor shall complete the Work as specified or indicated in the Contract Documents. Article 2. Contract Time. The Work shall be completed by the Contractor in accordance with the Contract Documents within the time period required by Paragraph 00810-2.0, Time Allowed for Completion, subject to extension as expressly provided in the Contract Documents. Article 3. Liquidated Damages. The city and the contractor recognize that the city will suffer substantial damages and significant financial loss as a result of the contractor’s delays in performance of the work described in the contract documents. The city and the contractor 15th March SV Group, Inc. 7.A.c Packet Pg. 38 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00500 Ranch Site Building and Trailer Demolition AGREEMENT-28 hereby acknowledge and agree that the damages and financial loss sustained as a result of any such delays in performance will be extremely difficult and impractical to ascertain. Therefore, the city and contractor hereby agree that in the event of such delays in performance, the city shall be entitled to compensation by way of liquidated damages (and not penalty) for the detriment resulting therefrom in accordance with paragraph 00700-6.5, liquidated damages, of the contract documents. The city and the contractor further agree that the amounts designated as liquidated damages are a reasonable estimate of the city’s damages and financial loss in the event of any such delays in performance considering all of the circumstances existing as of the date of this agreement, including the relationship of such amounts to the range of harm to the city which reasonably could be anticipated as of the date of this agreement and the expectation that proof of actual damages would be extremely difficult and impractical. By initialing this paragraph below, the parties hereto signify their approval and consent to the terms of this article 3. ________________________________ ________________________________ City’s Initials Contractors Initials Article 4. Contract Price. In consideration of the Contractors performance of the Work in accordance with the Contract Documents, the City shall pay the Contract Price set forth in the Contract Documents. Article 5. Contract Documents. The Contract Documents which comprise the entire agreement between City and Contractor concerning the Work consist of this Agreement (Section 00500 of the Contract Documents) and the following, all of which are hereby incorporated into this Agreement by reference with the same force and effect as if set forth in full. Invitation to Bid Instructions to Bidders Bid Documents Designation of Subcontractors Bid Guaranty Bond Agreement Acknowledgements Performance Bond Payment Bond General Conditions Supplementary Conditions ________ ractors I 7.A.c Packet Pg. 39 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00500 Ranch Site Building and Trailer Demolition AGREEMENT-29 General Requirements Standard Specifications (Caltrans, 2018 edition) Technical Specifications Drawings Addenda, if any Executed Change Orders, if any Maintenance Bond Notice of Award Notice to Proceed Article 6. Miscellaneous. Capitalized terms used in this Agreement which are defined in Section 01090, References, of the Contract Documents will have the meanings set forth in Section 01090, References. Contractor shall not assign any rights, obligations, duties or responsibilities under or interest in the Contract Documents without the prior written consent of the City, which consent may be withheld by the City in its sole discretion. No assignment by the Contractor of any rights, obligations, duties or responsibilities under or interests in the Contract Documents will be binding on the City without the prior written consent of the City (which consent may be withheld in City’s sole discretion); and specifically but without limitation monies that may become due and monies that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically stated to the contrary in any written consent to an assignment, executed by the City, no assignment will release or discharge the assignor from any liability, duty, obligation, or responsibility under the Contract Documents. Subject to the foregoing, the Contract Documents shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. Nothing contained in the Contract Documents shall in any way constitute a personal obligation of or impose any personal liability on any em ployees, officers, directors, agents or representatives of the City or its successor and assigns. In accordance with California Business and Professions Code Section 7030, the Contractor is required by law to be licensed and regulated by the Contractors’ State License Board which has jurisdiction to investigate complaints against Contractors if a complaint regarding a latent act or omission is filed within four years of the date of the alleged violation. A complaint regarding a latent act or omission pertaining to structural defects must be filed within 10 years of the date of the alleged violation. Any questions concerning the Contractor may be referred to the Registrar, Contractors’ State License Board, P.O. Box 26000, Sacramento, California 95826. 7.A.c Packet Pg. 40 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00500 Ranch Site Building and Trailer Demolition AGREEMENT-30 IN WITNESS WHEREOF, this agreement has been executed on this day of , . Name of Contractor Signature of City City Administrator Signature of Contractor Title of Signator _____________________ Title of Signator Approved as to form by City Attorney ATTEST: ATTEST: Signature Signature Title of Signator Title of Signator ***END OF SECTION*** Signature of Contractor Senior Estimator Senior Estimator ATTEST: Signature Estimating Assistant 5th February SV Group, Inc. 2021 7.A.c Packet Pg. 41 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) 7.A.c Packet Pg. 42 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) 7.A.c Packet Pg. 43 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) 7.A.c Packet Pg. 44 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) 7.A.c Packet Pg. 45 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) 7.A.c Packet Pg. 46 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) 7.A.c Packet Pg. 47 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00630 Ranch Site Building and Trailer Demolition CERTIFICATE OF INSURANCE-35 SECTION 00630 CERTIFICATE OF INSURANCE Return Completed Certificate to City of Gilroy (Agency) This certifies to the Agency that the following described policies have been issued to the Insured named below and are in force at this time. Insured Address Description of operations/locations/products insured (show contract name and/or number, if any): POLICIES AND INSURERS Bodily LIMITS Property Injury Damage POLICY NUMBER EXPIRATION DATE Workers’ Compensation (Name of Insurer) (Best’s Rating) Employers Liability $ Check policy type: COMPREHENSIVE GENERAL LIABILITY , or COMMERCIAL GENERAL LIABILITY . (Name of Insurer) (Best’s Rating) “Claims Made” Occurrence Each Each Occurrence Occurrence $ $ Aggregate Aggregate $ $ or Combined Single Limit $ Aggregate $ BUSINESS AUTO POLICY Liability Coverage Symbol Each Person Each Accident $ $ $ Each Accident $ or, Combined Single Limit $ UMBRELLA LIABILITY (Name of Insurer) (Best’s Rating) “Claims Made” Occurrence Occurrence/Aggregate $ Self-Insured Retention $ Please See Attached 7.A.c Packet Pg. 48 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00630 Ranch Site Building and Trailer Demolition CERTIFICATE OF INSURANCE-36 The following coverage or conditions are in effect: Yes No The Agency, its officials, and employees are named on all liability policies described above as insureds as respects: (a) activities performed for the Agency by or on behalf of the Named Insured, (b) products and completed operations of the Named Insured, and (c) premises owned, leased or used by the Named Insured. Products and Completed Operations The undersigned will mail to the Agency 30 days written notice of cancellation or reduction of coverage or limits Cross Liability Clause (or equivalent wording) Personal Injury, Perils A, B and C Broad Form Property Damage X, C, U& Hazards included Contractual Liability Coverage applying to this Contract Liquor Liability Coverage afforded the Agency, its officials, employees and volunteers as Insureds applies as primary and not excess or contributing to any insurance issued in the name of the Agency Waiver of subrogation from Workers’ Compensation Insurer This certificate is issued as a matter of information. This certificate is not an insurance policy and does not amend, extend or alter the coverage afforded by the policies listed herein. Notwithstanding any requirement, term or condition of any contract or other document with respect to which this certificate of insurance may be issued or may pertain, the insurance afforded by the policies described herein is subject to all the terms, exclusions and conditions of such policies. Agency or Brokerage Insurance Company Address Home Office Name of Person to be Contacted Authorized Signature Date Telephone No. Note: Authorized signatures may be the agent’s if the agent has placed insurance through an agency agreement with the insurer. If insurance is brokered, authorized signature must be that of official of insurer. Please See Attached 7.A.c Packet Pg. 49 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00630 Ranch Site Building and Trailer Demolition CERTIFICATE OF INSURANCE-37 City of Gilroy (“the Agency”) GENERAL LIABILITY ENDORSEMENT 7351 Rosanna Street Gilroy, CA 95020 Attn: Risk Manager A. POLICY INFORMATION Endorsement No. 1. Insurance Company Policy No. 2. Policy Term (from) (to) 3. Named Insured 4. Address of Named Insured 5. Limit of Liability Any One Incident/Aggregate $ 6. Deductible or Self-Insured Retention: (Nil unless otherwise specified): $ 7. Coverage is equivalent: Comprehensive General Liability form GL0002 (Ed 1/73) Comprehensive General Liability “occurrence” form CG0001 Comprehensive General Liability “claims-made” form CG0002 ....................................................... 8. Bodily Injury and Property Damage Coverage is: “claims-made” - “occurrence” if claims-made, the retroactive date is . NOTE: The Agency’s standard insurance requirements specify “occurrence” coverage. “Claims-made” coverage requires special approval. B. POLICY AMENDMENTS This endorsement is issued in consideration of the policy premium. Notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any other endorsement attached thereto, it is agreed as follows: 1. INSURED. The Agency, its elected and appointed officers, officials, employees and volunteers are included as insureds with regards to damages and defense of claims arising from: (a) activities performed by or on behalf of the Named Insured, (b) products and completed operations of the Named Insured, or (c) premises owned, leased or used by the Named Insured. 2. CONTRIBUTION NOT REQUIRED. As respects: (a) work performed by the Named Insured for or on behalf of the Agency; or (b) products sold by the Named Insured to the Agency; or (c) premises leased by the Named Insured from the Agency, the insurance afforded by this policy shall be primary insurance as respects the Agency, its elected or appointed officers, officials, employees or volunteers; or stand in an unbroken chain of coverage excess of the Named Insured’s scheduled underlying primary coverage. In either event, any other insurance maintained by the Agency, its elected or appointed officers, officials, employees and volunteers shall be in excess of this insurance and shall not contribute with it. 3. SCOPE OF COVERAGE. This coverage, if primary, affords coverage at least as broad as: (1) Insurance Services Office form number GL 002 (Ed. 1/73), Comprehensive General Liability Insurance and Insurance Services Office form number GL 0404 Broad Form Please See Attached 7.A.c Packet Pg. 50 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00630 Ranch Site Building and Trailer Demolition CERTIFICATE OF INSURANCE-38 comprehensive General Liability endorsement: or (2) Insurance Services Office Commercial General Liability Coverage, “occurrence” form CG 0001 or “claims-made” form CG 0002; or (3) If excess, affords coverage which is at least as broad as the primary insurance forms referenced in the preceding sections (1) and (2). 3. SEVERABILITY OF INTEREST. The insurance afforded by this policy applies separately to each insured who is seeking coverage or against whom a claim is made or a suit is brought, except with respects to the Company’s limit of liability. 4. PROVISIONS REGARDING THE INSURED’S DUTIES AFTER ACCIDENT OR LOSS. Any failure to comply with reporting provisions of the policy shall not affect coverage provided to the Agency, its elected or appointed officers, officials, employees or volunteers. 5. CANCELLATION NOTICE. The insurance afforded by this policy shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days prior written notice by certified mail return receipt requested has been given to the Agency. Such notice shall be addressed as shown in the heading of this endorsement. C. INCIDENT AND CLAIM REPORTING PROCEDURE Incidents and claims are to be reported to the insurer at: ATTN: (Title) (Department) (Company) (Address) (Telephone) D. SIGNATURE OF INSURER OR AUTHORIZED REPRESENTATIVE OF THE INSURER I, (print/type name), warrant that I have authority to bind the below listed insurance company and by my signature hereon do so bind this company. SIGNATURE OF AUTHORIZED REPRESENTATIVE (original signature required on endorsement furnished to the Agency) ORGANIZATION TITLE ADDRESS TELEPHONE Please See Attached 7.A.c Packet Pg. 51 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00630 Ranch Site Building and Trailer Demolition CERTIFICATE OF INSURANCE-39 WORKER’S COMPENSATION/EMPLOYERS LIABILITY ENDORSEMENT The City of Gilroy (“the Agency”) 7351 Rosanna Street Gilroy, CA 95020 Attn: Risk Manager A. POLICY INFORMATION Endorsement # 1. Insurance Company (“the Company”) Policy Number 2. Effective Date of This Endorsement 3. Named Insured 4. Employer’s Liability Limit (Coverage B) B. POLICY AMENDMENTS In consideration of the policy premium and notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any other endorsement attached thereto, it is agreed as follows: 1. Cancellation Notice. The insurance afforded by this policy shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days prior written notice by certified mail return receipt requested has been given to the Agency. Such notice shall be addressed as shown in the heading of this endorsement. 2. Waiver of Subrogation. The Insurance Company agrees to waive all rights of subrogation against the Agency, its elected or appointed officers, officials, agents and employees for losses paid under the terms of this policy which arise from work performed by the Named Insured for the Agency. C. SIGNATURE OF INSURER OR AUTHORIZED REPRESENTATIVE OF THE INSURER I, (print/type name), warrant that I have authority to bind the below listed insurance company and by my signature hereon do so bind this company. SIGNATURE OF AUTHORIZED REPRESENTATIVE (original signature required on endorsement furnished to the Agency) ORGANIZATION TITLE ADDRESS TELEPHONE ***END OF SECTION*** Please See Attached 7.A.c Packet Pg. 52 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00650 Ranch Site Building and Trailer Demolition WORKERS’ COMPENSATION INSURANCE CERTIFICATE-40 SECTION 00650 WORKERS’ COMPENSATION INSURANCE CERTIFICATE In accordance with California Labor Code Section 1861, prior to commencement of work on the Contract, the Contractor shall sign and file with the City the following certification: “I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract.” Signature Name of Contractor Title Date ***END OF SECTION*** ignature SV Group, Inc. Mike Ruff - Senior Esitmator 02/16/2021 7.A.c Packet Pg. 53 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Project No. 21-PW-263 SECTION 00670 Ranch Site Building and Trailer Demolition NOTICE OF NONDISCRIMINATION IN EMPLOYMENT-41 SECTION 00670 NOTICE OF NONDISCRIMINATION IN EMPLOYMENT The undersigned contractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, age, marital status or national origin. The Contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, age, marital status or national origin. Such action shall include, but not be limited to, the following: Employment, upgrading, demotion, or transfer, recruitment advertising; layoff or termination; rates of pay, or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment notice to be provided by the municipality setting forth the provisions of this nondiscrimination clause. Date Licensed General Contractor Company License # ***POST IN CONSPICUOUS PLACE OF EMPLOYMENT*** ***END OF SECTION*** 02/10/2021 SV Group, Inc.970115 f this nondiscriminati censed General Contrac 7.A.c Packet Pg. 54 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) 7.A.c Packet Pg. 55 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) Policy #: EF4ML06283-211 7.A.c Packet Pg. 56 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) 7.A.c Packet Pg. 57 Attachment: 21-PW-263 Silicon Valley Group Inc. Agreement (3185 : Award of Contract for Ranch Site Building and Trailer Demolition) City of Gilroy STAFF REPORT Agenda Item Title: Standing Report on Operational Impacts and City/Community Efforts Related to the COVID-19 Pandemic Meeting Date: March 15, 2021 From: Jimmy Forbis, City Administrator Department: Administration Submitted By: Jimmy Forbis Prepared By: Jimmy Forbis Strategic Plan Goals  Fiscal Stability ☐ Downtown Revitalization ☐ Economic Development ☐ Neighborhood Services ☐ Enhanced Public Safety ☐ Workforce Stability  Public Engagement RECOMMENDATION Receive report. EXECUTIVE SUMMARY The instabilities of the COVID-19 pandemic continues to play a major role in influencing how local government responds to this current health and fiscal crisis. Timely and accurate situational awareness is critical for elected officials to assist you in making informed decisions on how best to allocate resources for maximum effectiveness within the community. This report serves as a standing Council discussion concerning the various impacts of the pandemic. Presentations will be given on interconnected topics such as health and safety, City finances, and business and economic recovery. POLICY DISCUSSION 9.A Packet Pg. 58 Discussions coming from the information contained in this report may include service levels, fiscal decisions and employee relations, among others. FISCAL IMPACT/FUNDING SOURCE Fiscal impacts are directly tied to and occur as the result of pandemic conditions region- wide, and within our community. CONCLUSION This standing report is to inform the City Council and to keep you updated on the changes to COVID-19 conditions within the clinical and operational spheres of local government. PUBLIC OUTREACH Public education and outreach regarding COVID-19 is a regular and ongoing feature of the City’s community engagement efforts. 9.A Packet Pg. 59 City of Gilroy STAFF REPORT Agenda Item Title: Introduce Draft Policy Recommendations to Regulate Electronic Billboards in the City of Gilroy Meeting Date: March 15, 2021 From: Jimmy Forbis, City Administrator Department: Community Development Department Submitted By: Karen Garner Prepared By: Karen Garner Cindy McCormick Strategic Plan Goals ☐ Fiscal Stability ☐ Downtown Revitalization  Economic Development ☐ Neighborhood Services ☐ Enhanced Public Safety ☐ Workforce Stability ☐ Public Engagement RECOMMENDATION Review recommendations and provide staff with direction regarding allowance and regulation of Electronic Billboards in the City of Gilroy. EXECUTIVE SUMMARY Although consideration of allowing electronic billboards in the City was prompted by a formal application, staff recommends a more holistic view given the significance of such a change in policy direction. Therefore, the policy recommendations prepared by staff are based on feedback received from the Council in September and best practices from other cities, rather than the applicant’s specific proposal. If the Council wants to move forward with allowing electronic billboard(s) in the City, the recommended policies could 9.B Packet Pg. 60 inform a future amendment to the City’s Sign Ordinance. Once the Council has weighed in on the requested policy direction, staff will proceed with drafting the necessary zoning amendment(s) and scheduling the corresponding public hearings with the Planning Commission and the City Council. Following formal adoption of a zoning amendment, staff could then proceed with processing any application that complies with the standards set forth in the new Ordinance. Once Council identifies the general thresholds for allowing electronic billboard signs in the City, the current applicant will have a better understanding of Council expectations, and can then modify their proposal, if necessary. Some of the major policy considerations before the Council include whether such signage would be allowed off-site and under what circumstances, how many electronic billboard signs should be allowed in the City and where, and the maximum height and sign area that would be permitted. The Council will also need to consider that most of the advertisements on the electronic billboard would likely be for businesses that are not actually located in Gilroy. With some exceptions that could be memorialized in an operating agreement, content control will largely be out of the Council’s hands since the sign would be owned and operated by a third party. BACKGROUND On September 14, 2020, the City Council discussed the potential for allowing electronic billboard sign(s) in Gilroy. The Council was generally receptive to this possibility; but had concerns about the total number allowed in the City, the height of the sign, and the location(s) where they would be permitted. The Council also wanted to ensure that such signage, if allowed, would benefit City businesses, particularly regional-serving and high revenue generating businesses, such as auto dealerships and/or regional shopping centers including the Gilroy Outlets. The Council had several questions that are addressed in the discussion below, including the potential costs and benefits of the sign. It was also requested that the sign company be invited to a Council meeting for further discussion of Council’s goals, concerns, and questions. Outfront Media will be available during the virtual meeting to answer any questions the City Council may have. Outfront Media leases out advertising space on electronic billboards such as the one proposed by the applicant. Existing City Code: The Gilroy Sign Ordinance does not currently allow off-site advertising signs (other than real-estate signs) and has general restrictions for freeway- oriented signs and automobile dealership signs (e.g., height and size limits). The Sign Ordinance also prohibits signs that utilize scrolling or moving text or images (i.e., electronic billboards). Allowance of such signs would require an amendment to City Code Sections 30.37.30 (Prohibited Signs), 30.37.50 (Commercial and Industrial districts), and 30.37.51 (Freeway Oriented Signs). 9.B Packet Pg. 61 General Plan: The Gilroy 2040 General Plan was adopted in November 2020 and has the following policies related to billboards and freeway signage. While the policies do not directly address digital media, the policies do encourage signage for freeway commercial uses (such as auto dealerships), so long as such signage has minimal negative impact on the visual environment. Staff will ensure that a future zoning amendment would have sufficient design standards to minimize such impacts. LU 4.11 Freeway Signage - Work with Caltrans to explore ways to increase directional signage to freeway commercial uses at U.S. 101 interchanges. LU 8.7 Signs and Billboards - Require the location of signs and billboards to respect the surrounding context to minimize any negative impact on the visual environment. Enforce sign regulations and design standards to reduce sign clutter and illegal signage along corridors. DISCUSSION Although this policy discussion was initially prompted by an active application before the City, staff recommends taking a holistic view of allowing electronic billboard(s) in the City. The application, as currently proposed, does not conform to current City sign requirements and therefore, could not be approved without modifications to several sections of the zoning code. The policy recommendations prepared by staff are based on feedback received from the Council in September and best practices in other cities, rather than the applicant’s specific proposal. Furthermore, based on questions and discussion at the last Council meeting, staff reached out to the applicant with a list of specific questions. The questions and answers have been provided as Attachment 1. Some questions were more general in nature, whereas others were more specific to the applicant’s proposal. The provided answers should facilitate City Council’s understanding of how an electronic billboard might operate in the City of Gilroy. Benefit to Auto Dealerships: An important consideration identified by the Council in September, was the potential costs and benefits to the City’s auto dealerships. While the intent of allowing off-site signage in the City would be to primarily benefit the auto dealerships, the attached questionnaire estimates that approximately six of eight advertisement spots would be sold to non-auto dealers. In terms of cost, an auto dealership could be expected to pay approximately $2,500 for a four (4) week-long / 8- second advertising spot, while national advertisers would likely pay between $3,000 and $3,500 per four (4) weeks. The attached letter from the applicant includes signatures from four (4) dealerships expressing their support for the electronic billboard and their intention to advertise on the sign (Attachment 2). Policy Recommendations: While staff would continue to research best practices in terms of illumination (e.g., light sensing/adjustment device, maximum foot candles) and message standards (e.g., minimum display time), staff has made some specific 9.B Packet Pg. 62 recommendations for Council consideration regarding quantity, location, distance between signs, sign area and sign height, as illustrated in the following table. Furthermore, two of the major policy considerations before the Council include whether such signage should be allowed off-site and under what circumstances and how many electronic billboard signs should be allowed in the City. The Council will also need to consider that most of the advertisements on the electronic billboard would likely be for businesses that are not actually located in Gilroy. With some exceptions that could be memorialized in an operating agreement, content control will largely be out of the Council’s hands since the sign would be owned and operated by a third party. Following is a table summarizing policy considerations, followed by additional information discussing the rationale behind the recommendations. City Council Decision Points ON Site Electronic Billboards Recommended Policy: Allow on-site on private property Alternative Policy: Prohibit all Electronic Billboards on-site and/or off-site (Status Quo) OFF Site Electronic Billboards Recommended Policy: Allow off-site on both private and public property Alternative Policies: • Only allow off-site on public property • Prohibit off-site signs City Agreement Requirements Recommended Policy: Prior to scheduling an Electronic Billboard Sign application for review by the Planning Commission, the owner/operator shall enter into a development agreement, operating agreement, lease agreement, contract, license or other accord in form acceptable to the City Attorney ("City Agreement") with the City, setting forth any required fees, terms, off- site advertisement criteria, content control standards, community service message provisions, community outreach requirements, maintenance standards, conditions that trigger sign removal, and other covenants or restrictions needed to offset or mitigate the impacts of a proposed Electronic Billboard Sign. Alternative Policy: No specific alternative is recommended. Permit Requirements 9.B Packet Pg. 63 Recommended Policy: ☒ Conditional Use Permit & CEQA ☒ Architectural & Site Review ☒ Caltrans Off-Site Advertising Permit Alternative Policy: No specific alternative is recommended. Conformance Hearings Recommended Policy: Require minimum of three (3) compliance hearings before the City Planning Commission and/or City Council, as follows: 1. Six (6) months from the date of final building permit issuance, 2. Six (6) months from the date of the first compliance hearing, and 3. Twelve (12) months from the date of the second compliance hearing. Following the three initial compliance hearings, the owner, operator, and/or property lease holder shall be subject to periodic compliance hearings before the City upon request, due to non-compliance. Alternative Policy: Require only two (2) compliance hearings; one at six (6) months from final building permit issuance, and another one year from the date of the first compliance hearing. City Branding Recommended Policy: Unless otherwise approved by the City Council, the Electronic Billboard sign shall include the words "City of Gilroy" and/or the City insignia permanently affixed somewhere on the sign structure. Alternative Policy: Do not require such branding. Maximum number of Electronic Billboards allowed in City Recommended Policy: A maximum of two (2) Electronic Billboard Signs may be allowed in the City of Gilroy. Alternative Policy: Allow up to three (3) electronic billboards (e.g., on Highway 152, east of Highway 101) Permitted Locations 9.B Packet Pg. 64 Recommended Policy: The sign shall be located on property designated as General Services Commercial or City Gateway District. Alternative Policy: No specific alternative is recommended. Maximum Distance to Freeway Recommended Policy: The electronic billboard shall be located within 660 feet of Highway 101. Alternative Policy: No specific alternative is recommended. Minimum Distance between Signs Recommended Policy: No Electronic Billboard sign shall be placed within 1.5 miles from another Electronic Billboard sign. Alternative Policy: If three (3) signs are permitted in Gilroy, the minimum recommended distance is 1,000 feet. Angle to Freeway Recommended Policy: To the extent possible, the Electronic Billboard sign shall be located and oriented in a manner that avoids or minimizes the direct exposure of the display to view from adjacent or nearby residential or hotel uses. Alternative Policy: No specific alternative is recommended. Maximum Height Recommended Policy: The overall height of the sign shall not exceed seventy-five (75) feet. Alternative Policy: Allow a maximum height of eighty (80) feet Maximum Sign Area Recommended Policy: The maximum sign area of the digital display shall not exceed 672 square feet. Alternative Policy: No specific alternative is recommended. Public Service / City Announcements 9.B Packet Pg. 65 Recommended Policy: The City of Gilroy shall be guaranteed a minimum of one (1) advertising spot per week for City events, public information, emergency alerts, and other similar public service announcements. Alternative Policy: No specific alternative is recommended. Policy Discussion: The following discussion is intended to provide the Council with staff’s rationale for its recommendations, while also encouraging Council discussion of alternative standards. Off-Site versus On-site Signage. One of the major policy considerations before the Council is whether to require that electronic billboard signs be located on-site (e.g., auto mall property) or allow them off-site (e.g., a property adjacent to the auto mall). If off- site, the Council would need to decide whether to allow off-site electronic billboard on private property, or to limit off-site signs to City owned property. The primary benefit of allowing off-site signs on private property is the potential for locating the sign where it has the most visibility and where a driver can safely exit the freeway to access the advertised businesses. The primary benefit of limiting off-site signage to public property is more control by the City, and the ability to get proposals (via a competitive RFP) from multiple sign companies who may be more willing to agree to the terms of a development agreement that is in the best interest of Gilroy. For example, the development agreement could disallow advertisements for cannabis, which is currently prohibited in the City even though it is legal in the state. City Agreement: In addition to the typical conditional use permit and design review permits that the City utilizes to minimize potential impacts, staff is recommending that the owner/operator of an electronic billboard sign be required to enter into an agreement with the City (e.g., Development Agreement or Operating Agreement) setting forth any required fees, terms, standards, provisions, etcetera needed to offset or mitigate the impacts of an electronic billboard sign. The Agreement could also include language requiring removal or replacement of other billboards owned by the owner/operator, if applicable. The type of Agreement will depend on whether the sign is on private property or public property and whether there is a relocation requirement. For example, in the City of Rocklin, the owner/operator of an electronic billboard on private property has an Operating Agreement with the City and pays the City a monthly fee of $2,000 in year 1-6, with increases of 2% for every year thereafter. The City of Rohnert Park has a Master Lease Agreement with a company who would install, operate, and maintain a new electronic billboard on public property. The company will pay Rohnert Park a one-time fee of $50,000 in addition to permit fees. The City also receives a guaranteed monthly rent of $15,000 in years 1 to 5, and variations on the lease rates for the remaining years of the 20-year term. Rohnert Park is also 9.B Packet Pg. 66 guaranteed exclusive use of 10% of the total advertising time on the electronic billboard sign. Likewise, in Milpitas where the electronic billboard will be on public property, the City will collect an initial fee and payments will be made to the City on either a quarterly or annual basis. The City of Milpitas will also ask for a certain number of City postings per day. The fees and details of the Agreement have not been worked out yet. Compliance Hearings: Staff is recommending initial compliance hearings before the City to review the owner/operator’s compliance with the City Agreement (e.g., content standards, message frequency, etc.). The Ordinance and City Agreement would also be structured to allow the City to request subsequent compliance hearings, as needed, if the City receives a verifiable complaint of non-compliance with the City Agreement and/or City standards. Maximum Number of Electronic Billboards: Staff recommends a maximum two (2) electronic billboard signs in the City of Gilroy since these types of signs are generally located adjacent to the freeway and there is a limited distance between the major gateways to the city. Alternatively, the Council could authorize up to three (3) signs, given that many drivers will be coming into Gilroy from Highway 152, east of 101. Sign Location: Staff recommends that electronic billboards be located within 660 feet of Highway 101, since this distance will require an Outdoor Advertising Permit from Caltrans. Furthermore, if off-site signage is allowed on private property, staff recommends that these signs be limited to properties designated as General Services Commercial or City Gateway District. These two designations are primarily comprised of regional-serving commercial uses and are also adjacent to the freeway. Distance between Signs: Staff recommends a minimum distance of 1.5 miles between signs, as this is the approximate distance between the Leavesley Road exit and the 10th Street exit off Highway 101. This is also a reasonable distance between signs, if only two (2) signs are permitted in the City. However, if three (3) electronic billboards were permitted in the City, a shorter distance is recommended. For example, if a third sign were desired in the vicinity of Highway 152 and Highway 101, the minimum distance would need to be reduced to something closer to 1,000 feet. Sign Height and Sign Area: Another major policy decision before the Council is the allowable sign height and sign area. Staff1 is recommending a maximum height of 75- feet above freeway grade based on the current allowance for the Gilroy Crossings sign. Staff is also recommending a maximum digital sign area of 672 square feet per side, based on the industry billboard standard of 48-feet wide by 14-feet tall. This 672 square foot allowance per side is consistent with other city codes, including Concord, Rocklin, and South San Francisco. 1 The applicant requested zoning amendments that would allow a maximum sign height of 80-feet above freeway grade and a maximum sign area of 1,200 square feet. 9.B Packet Pg. 67 FISCAL IMPACT/FUNDING SOURCE There are no fiscal impacts associated with conducting this policy discussion. NEXT STEPS Following Council direction on these policy recommendations, staff will draft a zoning amendment and schedule the item for public hearings with the Planning Commission (advisory) and City Council. The zoning amendment will also require environmental review (paid for by the applicant) prior to approval, given the potential significant impacts of allowing such signage. If the applicant chooses to move forward with an application that conforms to the new ordinance, staff will also prepare a draft City Agreement for Council consideration. Attachments: 1. 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Gilroy, CA 95021-0638 . (408) 847-2233. FAX (408) 847-0292 021221202L Dear City of Gilroy Planning Department: , , The auto dealers whose signatures appear below, have verbally pledged their support and intention to advertise on a 3d party digitalfreeway sign to be constructed on the NE corner of the Automall Parkway property owned by Emsee Properties, lnc. in Gilroy. The advertising portion of the sign would be 48' wide by 14' high, with an overall sign height of approximately 65'' Sincerely, Emsee Properties, lnc. con rottom i ke@ gmail.com (408)69L-777s Michael Winding, Dealer PrinciPal Gilroy Buick, GMC and Hyundai , _-"t ,/-' *\( )-- E/ian verdin, General Manager Nissan of Gilroy -r''-""" Frank Bolea, Dealer PrinciPal Gilroy Toyota f Dealer Principal Chevrolet and CDJR 4,/L 9.B.b Packet Pg. 71 Attachment: Autodealer's letter of support (3167 : Draft Policy Recommendations Regulating Electronic Billboards in the City of Gilroy) City of Gilroy STAFF REPORT Agenda Item Title: Community Development Department Customer Service Strategy Meeting Date: March 15, 2021 From: Jimmy Forbis, City Administrator Department: Community Development Department Submitted By: Karen Garner Prepared By: Julie Wyrick Julie Wyrick Strategic Plan Goals ☐ Fiscal Stability ☐ Downtown Revitalization ☐ Economic Development ☐ Neighborhood Services ☐ Enhanced Public Safety ☐ Workforce Stability ☐ Public Engagement RECOMMENDATION Receive report. EXECUTIVE SUMMARY The Customer Service Division of the Community Development Department was established in August 2020. This division is primarily responsible for the improvement of processes and services between the Planning, Building, and Engineering Divisions when it comes to land development and permit processing, both internally and externally. One of the initial tasks was to draft a Customer Service Strategy that creates a framework for customer service standards and training. This includes establishing a set of criteria and level of service that customers can expect when they walk through the 10.A Packet Pg. 72 door, pick up the phone, email, or otherwise communicate with Community Development staff. The Strategy begins by identifying the target audience, analyzing their needs, and then using that information to create a Customer Service Vision for the Department. The Vision is a future state of customer service from the Department, and a goal to continuously work toward. To live up to the Vision, the Strategy includes setting clear and attainable goals for staff and using feedback from customers to continually improve. Finally, the Strategy identifies the need to reinforce good customer service and train staff where improvements or new approaches are needed. The Customer Service Strategy also includes creation of a Customer Bill of Rights. This document includes five fundamental rights that a customer can expect when working with the Community Development Department: 1. Fair and Courteous Treatment 2. Questions and Complaints Heard 3. Regulatory Certainty 4. Responsive Service 5. Administrative Remedies The first four Rights reflect the values identified in the Vision. The fifth right, administrative remedies, are of particular importance because customers want to know what corrective action will be taken if their customer service expectations are not being met. BACKGROUND Staff conducted research on Customer Service Best Practices and Customer Bills of Rights of major corporations, large retailers, and government organizations known for their service to review the practices of industry leaders. Major cities such as Los Angeles, CA, Atlanta, GA, and Seattle, WA have implemented Customer Service Bills of Rights, as well as large customer and experience-oriented organizations such as Macy’s and Disney. Government management organizations including the International City/County Management Association (ICMA) and the Municipal Management Association of Northern California (MMANC) were also consulted for best practices in local and regional government operations. This research helped identify best practices and benchmarks to include as the Customer Service Strategy and Customer Bill of Rights were developed. 10.A Packet Pg. 73 In the end, Gilroy must create and hone expectations and promises specific to the City and its services. The Community Development Department was surveyed to understand how staff interact with the public, how staff wants to be treated by a business or service provider, and how staff measures success. The following questions were asked of staff: 1. How does staff interact with residents, business owners, and visitors? 2. How is success measured in staff’s role with the City? 3. How do our own staff feel when they receive excellent customer service from a business or service-oriented agency? 4. How can the individual divisions, or city as a whole, improve when interacting with customers? 5. How does staff know they have done a good job when interacting with customers? 6. What makes staff proud to complete their job every day? This effort resulted in illuminating areas where staff felt they were doing a good job, as well as areas for improvement. Asking these questions helped with staff buy-in as the Customer Service Strategy was created. There is a deep commitment from staff to continually work to improve processes, communication with customers, and decrease time to permit issuance. Key words and concepts were taken from the survey results to create the Draft Customer Bill of Rights and were put together to create the word cloud below. CUSTOMER SERVICE STRATEGY 10.A Packet Pg. 74 The Customer Service Strategy consists of seven tasks with goals, metrics, implementation measures, and timelines aimed at improving customer service in the Community Development Department and for all City operations. The Strategy culminates in the Customer Bill of Rights, which outlines what customers can expect from City staff, including how we will resolve their concerns if these Rights are not met. The graphic below represents the process a customer might go through when working with the City and needing assistance with Customer Service. Our customers can expect fair and courteous treatment from City staff. If a problem arises, there is a dedicated staff person who will coordinate with the City departments involved to help remedy the situation. Identify Our Target Audience The first step in the process was to identify the Community Development Department’s Target Audience. The Community Development Department works with a wide variety of individuals, businesses, and organizations. The primary customers with whom the department works are the Citizens of Gilroy, including residents, property owners, business owners, employees, and visitors. Homeowners and business owners apply for and pull permits every day to build their dreams and livelihood. Staff recognizes that these individuals are the lifeblood of the department. The department has other customers as well, including other governmental or quasi- governmental agencies such as the State of California, the federal government, the County of Santa Clara and neighboring communities, or agencies with whom the City conducts business, such as Valley Water, the Bay Area Air Quality Management District, LAFCO, etc. 10.A Packet Pg. 75 Additionally, the staff has internal customers in the other departments and divisions within the City. Working well together helps each city department work well for the customers. Analyze the Needs of Our Target Audience To determine and analyze the needs of our citizens, the question was asked – “What do the citizens of Gilroy expect from the Community Development Department?” In general, our customers expect the following qualities of service: These six customer needs are basic components of the services provided by the Community Development and are often just as important as the information or permit sought by the applicant. If the customer’s needs are met, they are likely to have a positive experience with the Department and would be willing to return to do business with the City again. These needs make up the essence of the draft Customer Service Vision. Create a Customer Service Vision • Fair and Courteous Treatment o To be treated in a kind and positive manner, fairly and equally, no matter who they are, where they live, what they need from the Department, or who they know. • Regulatory Certainty o Clear direction that is supported by reasonable rules and regulations rooted in the health, safety, and welfare of the community. • Transparency o Access to information and the ability to participate in the process every step of the way. • Complete, Accurate, and Timely Information o Answers to questions that include all the information requested (and often more) within a timeframe communicated to the customer. • Fair Costs for Service o Costs and fees that are reflective of the service received. • Fast Turn-Around Times o Permits issued as quickly as possible with timeframes communicated to the customer. 10.A Packet Pg. 76 The Community Development Department currently operates under the following mission statement, which can be found on the Department webpage: The Community Development Department is committed to working with the public, development community, and non-profits to enhance the quality of life in our community; promote safe, attractive, and sustainable development; and facilitate development projects that meet the city's objectives. The Customer Service Vision helps to implement the Community Development Department Mission by stating how the department gets things done. The needs of the customer outlined above lent themselves to a clear and concise Vision Statement: The City of Gilroy delivers services in a fair, courteous, and timely manner that ensures transparency of process and provides regulatory certainty. This Vision Statement describes the desired future position of the Community Development Department as it relates to serving customers. A vision statement should be dynamic and revisited regularly to ensure it is still attainable and that staff embody the vision in all interactions with the public. Set Clear and Attainable Goals Clear and attainable goals must be set for staff to be successful in upholding the Vision. This will take the form of a Customer Service Training Program for new hires and current employees, as well as creating guidelines and protocols for day to day operations. Staff also require tools to do their jobs successfully. Some of these tools are currently being implemented, including the ENERGOV Land Management System (LMS) and the MUNIS Enterprise Resource Planning (ERP) software systems. Other tools for the Department include updating the Zoning Code and other regulatory and guidance documents to be clear and concise for both staff and the public. Having clear and easy to use information will instill confidence into staff to be able to provide accurate and complete information to the public. Get and Respond to Feedback A critical step in the Customer Service Strategy is the feedback loop. Staff should listen to feedback from the public and use that feedback to improve processes and develop training. Feedback can come from all kinds of sources, including direct conversations with applicants, survey responses, conversations with staff and elected officials, and more. This feedback can be tracked and monitored. Both positive and negative feedback will be reviewed with staff and used for training purposes. Reinforce Good Customer Service Good customer service should be reinforced to help create a positive work environment. A job well done should be rewarded, and negative feedback should result in training modifications and process improvements. Community Development Department staff 10.A Packet Pg. 77 are working on awards for good customer service, which may be as simple as a small physical tokens to display, or statistics shared at an employee appreciation event. Create Administrative Remedies when Customer Service Goals are Not Met If a customer feels staff is not living up to the Customer Service Vision, upholding the values, or the Customer Service Rights are not being met, what can that customer expect? A formalized process to elevate customer concerns to the Customer Service Manager, or appropriate manager/director. This process will be structured to resolve the situation in the most expedient manner possible without compromising the City’s rules, regulations and processes, or the process for other customers. For example, if plan check comments for a project are delayed, the Customer Service Manager will work with the department or division experiencing the delay to understand why comments cannot be prepared or released. If appropriate, this information will be shared with the applicant, and if possible, that project will be put in a priority position for review to get it back on schedule. The Customer Service Manager will also work with management staff to communicate project priorities and facilitate the tools to help staff meet their deadlines. Finally, the Customer Service Manager will conduct a post- incident analysis to review the matter and determine what process modifications may be needed. A clear path to solution should be available to the customer, within the ability of the City. Metrics, Implementation Measures, and Timelines Metrics, implementation measures, and timelines are being developed for each of the seven tasks outlined above. The preliminary metrics could include information available to the public on the City’s website, time to resolution of concerns, comparable fees to other jurisdictions, or level of customer satisfaction, for example. Some implementation measures are already underway, such as the LMS and ERP systems. Other measures will be created, including updating the customer service survey, process flow charts, and materials on the website, as well as meeting with staff on a regular basis to understand how the Strategy is working internally as well as externally. Furthermore, components of the Strategy could be aligned with employee performance evaluations and integrated into Human Resources on-boarding procedures. The timelines will depend on the implementation measures. For example, the LMS and ERP systems will “go-live” by the end of this year, but other measures may be implemented sooner, with some having hard and fast dates and others being on-going. Post-Incident Analyses will occur on a case by case basis, but successes and improvements can be reported on quarterly, or more frequently. It is anticipated that formal trainings might occur a few times per year, but Customer Service line items can be added to staff meeting agendas that occur weekly. Timelines will be assigned to each implementation measure and presented to Council in the future. DRAFT CUSTOMER BILL OF RIGHTS 10.A Packet Pg. 78 The Customer Service Strategy culminates with the Customer Bill of Rights. This document is different from a vision or mission statement. It is a simple set of rules that help guide the City’s customer service efforts. Simple efforts like quick return of phone calls and easy accessibility to upper management are examples of how staff can implement these rights. The Customer Bill of Rights was created to concisely present the Departments promises to their customers. These Rights will be publicized on the Department’s website, hung on the wall in City Hall, printed in training manuals, and revisited at all customer service trainings. In order to implement the mission of the Community Development Department, customers can expect the following Rights: The Right to Fair and Courteous Treatment: Our Customers have the right to prompt, friendly, honest, fair, and respectful service. At City Hall, on the phone, or via email, we will greet you with a polite and positive attitude. You will receive consistent and impartial application of services, codes and policies, without consideration to economic, social or cultural conditions or position. The Right to be Heard: Our Customers have the right to receive a response to their questions and concerns and ensure that these questions and requests are correctly understood. Your inquiries will result in answers. These answers will lead to guidance, project entitlement, or other resolution for your business, property, or service request. The Right to Regulatory Certainty Our Customers have the right to a clear path to obtain the permit, license, or service that they seek. Information will be easily accessible and understandable. Our staff will take ownership of your request and help you every step of the way. The Right to Responsive Service: Our Customers have the right to receive responsive and timely service to their inquiries and requests from all City staff. Staff will provide prompt, accurate, and complete information to help you achieve your goals. Swift action will be taken to correct mistakes and solve problems. The Right to Administrative Remedies 10.A Packet Pg. 79 Our Customers have the right to a resolution if these rights are not met. Members of the public have access to management staff and elected officials to voice their concerns. Concerns about service will be elevated to the Customer Service Manager and swift corrective action will be taken. FISCAL IMPACT/FUNDING SOURCE Customer Service is an integral part of all department and division operations. The new Customer Service Division will be included in the FY 21-22 Budget with an identified budget. CONCLUSION Customer service is being elevated to the forefront of the Community Development Department operations. Staff recognizes that the customers are integral to the success of the department and that it is their vision that staff implement every day. The Customer Service Strategy is one step toward creating a comprehensive customer service program that each department can use for training new hires and integrating into day to day operations. NEXT STEPS The Customer Service Strategy is a developing document that will be revised as new information and feedback is obtained. Staff can begin implementing some strategies immediately while more of the details are finalized and documented. Metrics, implementation measures, and timelines will be developed and assigned to each task and presented to Council within the next quarter. The next priorities will be to create the formal administrative remedies process, including the post-incident analysis; update the Customer Service Survey and process flow charts; and to draft the Customer Service Training Manual with protocols for common situations and engagement strategies for staff. Tasks with a longer lead time include automating feedback loops through the LMS and ERP systems, incorporating components of the Customer Service Strategy into employee performance evaluations, and working with Human Resources for the on- boarding procedures. Staff will also prepare a quarterly report to the City Administrator on successes and areas for improvement. This report will highlight areas where staff has improved, where improvements are still needed, and a team performance improvement plan, if needed. There are many opportunities for improving and maintaining a high level of customer service within the Community Development Department and each incremental step in implementing the Customer Service Strategy will be critical to the overall success of the Department. PUBLIC OUTREACH Community Development Department staff were surveyed regarding best practices in customer service and how they would like to be treated as customers. Responses from 10.A Packet Pg. 80 past customer surveys were also reviewed and responses integrated into the Strategy. As the Strategy is implemented, there will be additional outreach to the public and other staff. 10.A Packet Pg. 81 City of Gilroy STAFF REPORT Agenda Item Title: 2020 General Plan and Housing Element Annual Report Meeting Date: March 15, 2021 From: Jimmy Forbis, City Administrator Department: Community Development Department Submitted By: Karen Garner Prepared By: Karen Garner Cindy McCormick Strategic Plan Goals ☐ Fiscal Stability ☐ Downtown Revitalization ☐ Economic Development ☐ Neighborhood Services ☐ Enhanced Public Safety ☐ Workforce Stability ☐ Public Engagement RECOMMENDATION Accept the 2020 General Plan and Housing Element Annual Report and direct staff to transmit the report to the appropriate State agencies. EXECUTIVE SUMMARY The General Plan Annual Report fulfills the requirements of California Section 65400 of the California Government Code, which requires all jurisdictions to prepare an annual report addressing two primary topics: 1) the status of the General Plan and activities in 2020 that show progress towards its implementation; and 2) a Housing Element Annual Progress Report (APR) which includes a summary of Gilroy’s progress towards meeting its 2015-2023 Regional Housing Needs Allocation (RHNA). Following presentation to the City Council, the General Plan Annual Report and APR will be forwarded to the 10.B Packet Pg. 82 Governor’s Office of Planning and Research (OPR) and the State Department of Housing and Community Development (HCD), prior to its April 1st due date. DISCUSSION The first section of the General Plan Annual Report describes notable activities in 2020 that made progress towards implementing 2020 General Plan policies and action items. The summarized activities are not a comprehensive list, as the majority of the 2020 General Plan policies and related action items have been implemented throughout the 18 years since its adoption in June 2002. Moreover, many of the implementation actions, such as design review of development applications, code enforcement, and building inspections are ongoing, and are not listed in the report. The previous implementation of other more specific General Plan policies and action items can be viewed in prior Annual General Plan Reports. A review of the Housing Element implementation status, and progress toward meeting the City’s 2015-2023 Regional Housing Needs Allocation (RHNA), is provided in section 2 of the General Plan Annual Report, beginning on page 13 (Attachment 1). In addition to the discussion on the General Plan Annual Report and APR, this staff report includes a discussion on the status of the ADU Ordinance, the City’s SB330 compliance, status of creating objective design standards for the City, and future work plan items including an Affordable Housing Ordinance, the City’s 2023-2031 Housing Element Update, and an update to the City’s Downtown Gilroy Specific Plan. General Plan 2020 Annual Report. The attached Report highlights the following notable activities:  Adoption of the 2040 General Plan  The City’s public safety response to COVID-19  Completion of the Sewer Local Limits Study and Evaluation, Sewer Use Ordinance update, and Sewer Enforcement Response Plan  Various economic development activities including: ▪ Progress towards implementing a new Land Management System for processing permits ▪ Small Business Relief Program funding through the CARES Act ▪ Outdoor dining streamlined registration program ▪ Downtown Improvement Incentive Program ▪ Unreinforced Masonry (URM) building retrofit progress  Historic preservation efforts including an update to the City’s Historic Resource 10.B Packet Pg. 83 Inventory and approval of two (2) Mills Act Agreements  St. Joseph’s Family Center Rent Relief Program funding through the CARES Act  City Council approval of $267,500 in General Fund monies to help local community- based agencies  Accessory Dwelling Unit Ordinance Update  Development activity that took place in 2020, including completion, or near completion, of several neighborhoods in the Glen Loma Ranch area. Housing Element Annual Progress Report (APR). The second section of the General Plan Annual Report includes a table illustrating the City’s progress towards permitting its Regional Housing Needs Allocation (RHNA) of affordable and market rate units. The Report also includes a written summary of the City’s progress in implementing Housing Element programs and other activities intended to remove governmental constraints to the maintenance, improvement and development of housing. The APR will be submitted electronically to HCD and OPR, following staff’s presentation to the City Council. 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 RHNA program establishes an eight-year cycle within which the city must work to achieve the allocated amounts of new housing in each income category. The current RHNA cycle is for the period from January 31, 2015 – January 31, 2023 (2015-2023). In 2020, the City of Gilroy issued building permits for the Glen Loma Ranch, Below Market Rate (BMR) Apartments. That complex included 129 very-low income units and 42 low income units, as well as two (2) manager’s units that can be counted towards the moderate-income RHNA category. Additionally, 13 Accessory Dwelling Units (ADUs) that were issued building permits in 2020 can be counted towards the City’s moderate-income RHNA category. As illustrated in the following table, the remaining Very Low Income target is 97 units and the remaining moderate income RHNA target is 178 units. The City has exceeded the RHNA for Low Income and Above-Moderate (market rate) housing units. Regional Housing Needs Allocation Progress (2015 – 2020) 10.B Packet Pg. 84 Income Level Unit Allocation 2015 – 2019 Units 2020 Units Total Units Permitted Units Remaining *Very Low (31 – 50% AMI) 236 63 76 129 97 Low (51 – 80% AMI) 160 487 80 567 0 Moderate (81 – 120% AMI) 217 24 15 39 178 Above Moderate (Above 120% AMI) 475 1,124 172 1,196 0 Total Units: 1,088 1,698 243 1,941 Remaining Need = 275 *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. Status of Specified Housing Activities As a follow-up to questions raised by various members of the City Council during previous Council meetings, staff has provided some additional information below regarding status of the ADU Ordinance, SB330 compliance, status of creating objective design standards for the City, and future workplan items including an Affordable Housing Ordinance, the City’s 2023-2031 Housing Element Update, and an update to the City’s Downtown Gilroy Specific Plan. ADU Ordinance: On January 1, 2020, new state laws became effective which require local approval for various types of accessory dwelling units (ADUs) on single-family and multi-family zoned parcels. On February 10, 2020, following a report by staff state housing legislation including revised ADU standards, Council directed staff to update the City’s ADU ordinance to implement the mandates of state law. Although the City had the option of simply rescinding the existing ADU ordinance and complying with state law, the new ADU requirements were spread across multiple bills and were difficult to interpret. Staff recommended and the Council agreed that adopting a new Gilroy ordinance best served our citizens and development community by making it easier to find and understand ADU requirements. Consultation with the California Department of Housing and Community Development (HCD) staff was initiated early to confirm staff understanding of the law and help assure the final ordinance would be accepted by the State. During this review, HCD staff advised the City that it must not impose a limit on the number of bedrooms, must allow 10.B Packet Pg. 85 attached ADU’s with only 4-foot side and rear yard setbacks (including exterior side yards), and must permit internal conversions up to 50% of the primary residence size. The Ordinance was then revised to include these allowances. On May 14, 2020, the Planning Commission recommended approval of the draft Ordinance. The ADU Ordinance 2020-03 (Z20-01) was adopted by City Council on July 6, 2020 and sent to HCD on July 22, 2020 for its review and final approval. There is no formal “approval” from HCD of the city’s ADU ordinance, rather, HCD continues to provide clarifications and direction to cities. City staff has been in direct contact with HCD and received acknowledgement that the city’s ADU ordinance is in substantial compliance with only minor, non-substantive suggested changes. SB330 Compliance: SB 330, the Housing Crisis Act of 2019, amended the Housing Accountability Act to require, with certain exceptions, that a housing development project only be subject to the ordinances, policies, and standards adopted and in effect when a preliminary application is submitted. Furthermore, in 2020, SB 1030 clarified that SB 330 is applicable to the submission of a “complete” application, pursuant to the Permit Streamlining Act, even if the applicant has not submitted a preliminary application. The City of Gilroy has long provided applicants with comprehensive application submittal checklists, both in person and on the City’s website. The City’s 28 page long Submittal Checklist Details Document continues to be thoroughly reviewed by the City’s Community Development and Engineering Departments to ensure that the City receives “complete” application submittals in line with the City’s expectations. Staff spends time with each applicant, as needed, to go through the checklist and streamline the submittal process where appropriate. Additionally, staff is drafting a comprehensive preliminary application checklist, in consultation with the City Attorney’s office. Additional information on SB 330, the Housing Accountability Act, the Permit Streamlining Act, and other noteworthy housing laws are included in Attachment 2. Objective Design Standards: As provided in the March 8, 2021 City Council Study Session memo, the City of Gilroy was awarded a $160,000 grant to create objective design standards for multi-family residential projects in Gilroy, The City hired a consultant to complete this work with oversight from city staff. In addition to ensuring that the new Zoning Ordinance (to be completed by the end of 2021) is objective, this project will result in a final report outlining a menu of recommended objective design standards that will be used to amend the City’s policies, standards, and conditions to ensure that the City is compliant with the Housing Accountability Act and SB330. Following feedback from the City Council at the March 8, 2021 Council study session, the consultant will refine the scope of work and create objective standards that are in line with Council expectations and the vision for the City of Gilroy. The recommendations will be presented to the Planning Commission and the City Council for review and approval prior to formally adopting them as part of the City’s multi-family residential review process. This project is expected to be complete in fall 2021; however 10.B Packet Pg. 86 interim objective design standards could be implemented sooner. In addition, all existing objective design criteria applicable to multi-family housing may still be applied. Affordable Housing Ordinance: In 2020, the City was awarded $150,000 in HCD grant funding1 to be used towards efforts that would help accelerate housing production in Gilroy. One of the tasks identified in the grant application was the preparation and implementation of an Affordable Housing Ordinance. This could take the form of an Inclusionary Housing Ordinance or an Affordable Housing Incentives Ordinance. The exact form of the Ordinance will be determined through community outreach, as part of the Housing Element update. An Inclusionary Ordinance would require all residential developments over a certain size to restrict a certain number of units as affordable and would be in line with what many other jurisdictions throughout California have implemented to satisfy RHNA. An Inclusionary Ordinance would also allow for more controls over rental and owner-occupied affordable units. Alternatively, the City could adopt an Affordable Housing Incentives Ordinance that takes a “carrot versus stick” approach to meeting the City’s RHNA. A Housing Incentives Ordinance could include incentives such as streamlined review and/or regulatory incentives that go beyond the Density Bonus Ordinance. These incentives could also target specific areas identified for more affordable housing, including the Downtown Gilroy Specific Plan area and the City’s Neighborhood Districts or specific housing types such as micro-units. The City could also prioritize specific needs identified in the Housing Element, including but not limited to extremely low-income households, large households, and senior households. This Ordinance would be adopted as part of the City’s 2023-2031 Housing Element Update, following community outreach and the potential creation of a Housing Element Update Advisory Committee. Additional information on affordable housing has been prepared by the Santa Clara County Planning Collaborative and is provided in Attachment 3. The Collaborative is a shared effort among the county's jurisdictions to help address the region's housing challenges. The jurisdictions, by working together collaboratively, save money, time, and resources by sharing information and capacity; maintain & facilitate relationships with non-profits, affordable housing advocates, and key governmental organizations; and receive additional staffing support from Baird + Driskell Community Planning. 2023-2031 Housing Element Update: In 2021, the City applied for up to $182,602 in ABAG funding to be used towards the City’s 2023-2031 Housing Element Update, since it is anticipated that the cost of the update will be significant, given new requirements for identifying sites that can accommodate the increase in RHNA units and new requirements for affirmatively furthering fair housing. The City is guaranteed at least $32,602 from this grant application. However, staff has recently heard that the overall grant requests received by ABAG exceed the available funding by approximately $11 million. 1 Local Early Action Planning Grant Program (LEAP) funds through the 2019-20 State Budget Act 10.B Packet Pg. 87 Additional information regarding next steps in the 2023-2031 Housing Element Update will be presented to the City Council soon. Downtown Gilroy Specific Plan Update: As part of the ABAG housing grant discussed above, the City also requested $700,000 in funding to update the City’s Downtown Specific Plan and associated environmental review. Only jurisdictions that have a designated Priority Development Area (PDA)2 were eligible to apply for the PDA funding portion of the grant. However, as discussed above, overall grant requests exceed the available funding by approximately $11 million. To be eligible for the PDA funds, the grant must be used towards expanding the Downtown Specific Plan area further into the PDA boundary. The PDA area includes the entire Downtown Specific Plan area as well as commercial and residential properties located to the south of Old Gilroy Street between Alexander Street and Highway 101 down to the intersection of Highway 101 and Monterey Street3. PDA grants must be completed within 30 months of being awarded. If the funds were awarded sometime this summer, the funds would need to be expended by the end of 2023, give, or take a few months. Given the highly competitive nature of this grant funding and the requirement that the funds be exclusively used for accelerating housing production in the PD, it is anticipated that the City of Gilroy would need to provide additional funding towards this effort. Additional information and a potential budget for the update will be presented to the City Council in late spring / early summer, following ABAG’s grant hearings scheduled for May 2021. ALTERNATIVES 1. Should the Council choose not to accept the report, staff will seek direction from the Council regarding additional information needed and bring the report to a future Council meeting for acceptance. This action is not recommended. 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 and the State Department of Housing and Community Development. 2 Priority Development Areas (PDA) are places near public transit planned for new homes, jobs and community amenities. PDAs are intended to help the Bay Area reduce greenhouse gas emissions and provide housing for all, regardless of race or income. 3 The City’s PDA was approved by the Metropolitan Transportation Commission (MTC) 10.B Packet Pg. 88 PUBLIC OUTREACH Staff posted a notice of this meeting on social media and through all other usual City communication outlets. Staff will also be presenting the findings of this report to the Planning Commission on April 1st as an informational item. Attachments: 1. 2020 General Plan Annual Report 2. Housing Laws 101 3. Affordable Housing 101 and FAQs 10.B Packet Pg. 89 City of Gilroy 2019 General Plan Annual Report March 15, 2020 10.B.a Packet Pg. 90 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 2 Purpose of the General Plan Annual Report The General Plan Annual Report fulfills the requirements of California Section 65400 of the California Government Code, which requires all jurisdictions to prepare an annual report addressing two primary topics: I. 2020 General Plan Implementation Activities describes notable activities in 2020 that made progress towards implementing 2020 General Plan goals, policies and action items. II. Annual Housing Element 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. The General Plan Annual report is to be presented to the Gilroy City Council, the Governor’s Office of Planning and Research (OPR) and the State Department of Housing and Community Development (HCD) on or before April 1 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 the policy text, containing goals, polices and implementation actions, and the land use diagram, displaying the planned future land uses and pattern of development. All land use decisions by the Planning Commission and City Council must be consistent with the adopted General Plan. Under California law, cities are required to address seven issue areas or “elements” in their general plans: land use, transportation, housing, safety, open space, conservation, and noise. 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. Typically, a general plan is designed to address the issues facing the city for the next 15-20 years. State Planning Guidelines recommend updating the General Plan about every 10 years. The Gilroy 2020 General Plan was adopted in June 2002. There have been multiple individual amendments to both the policy text and the land use diagram since that time. The Gilroy 2020 General Plan (which was current until November 2, 2020), incorporates the State-mandated elements, but organizes them into five major policy areas: Community Design and Development; Housing; Transportation and Circulation; Public Facilities and Services; and Community Resources and Potential Hazards. The General Plan also addresses a number of topics sometimes included in General Plans as “optional elements” to address key issue areas. These include Agriculture, Air Quality, Economic Development, Historic Preservation, Parks and Recreation, Schools and Water Supply and Quality. 10.B.a Packet Pg. 91 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 3 I. 2020 General Plan Implementation Activities The subsections below describe notable activities in 2020 that made progress towards implementing 2020 General Plan policies and action items. This is not a comprehensive list, as the majority of the 2020 General Plan policies and related action items have been implemented throughout the 18 years since its adoption in June 2002. Moreover, many of the implementation actions, such as design review of development applications (Action 1.J), code enforcement (Action 8.B), and building inspections (Action 25.C) are ongoing, and are not listed here. The previous implementation of other more specific General Plan policies and action items can be viewed in prior Annual General Plan Reports. A review of the Housing Element implementation status, and progress toward meeting the City’s Regional Housing Needs Allocation, is provided in Section 2, beginning on page 13. A. 2040 General Plan Adopted Action 28.C of the 2020 General Plan provides for a comprehensive review and technical update of the General Plan once every 10 years to evaluate the General Plan’s performance and consider possible modifications, in response to changed conditions and revised growth projections. In August 2013, 11 years after the adoption of the 2020 General Plan, the City initiated a comprehensive update. The 7-year process that began in 2013 endeavored two lengthy delays including the Measure H ballot initiative that passed in 2016, establishing an Urban Growth Boundary that restricts new development outside the boundary through 2040. The update focused on a number of important steps, including gathering information about existing conditions, establishing a vision and guiding principles, and evaluating land use alternatives. The process also included, preparing new General Plan goals, policies, and programs to address changing conditions and priorities, and new State laws. Following City Council approval of the 2040 General Plan Land Use Alternative in late 2019, the General Plan Advisory Committee (GPAC) and the Planning Commission recommended approval of the Draft Policy Document text (January 23rd and February 6th 2020, respectively). Following the March 16, 2020 City Council approval of the Draft General Plan Policy text, an Environmental Impact Report (EIR) was prepared. The Draft EIR was made available for a 45-day review period from June 26, 2020 through August 10, 2020. The City received thirteen (13) comment letters from individuals, organizations, and agencies. Responses were provided to each individual who had commented on the Draft EIR and included in the Final EIR which was completed on September 23, 2020. On October 2, 2020, the Gilroy Planning Commission voted unanimously to recommend that the City Council certify that the EIR and adopt the new General Plan. On November 2, 2020, the City Council certified the EIR, adopted the CEQA findings of fact and statement of overriding considerations, and adopted the Gilroy 2040 General Plan. 10.B.a Packet Pg. 92 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 4 B. Public Safety One of the primary Goals of the 2020 General Plan is to provide: Public health and safety through (1) the provision of high quality police, fire, and emergency-response services that respond to community needs and issues; (2) education programs that raise community awareness about public safety issues; and (3) preventive programs that involve residents in deterring crime, reducing fire hazards, and addressing other threats to public health and safety. Although the 2020 General Plan never envisioned a global pandemic, Policy 18.05 (Emergency Response and Preparedness) directs the City to continue to provide essential emergency public services during natural catastrophes. Promote emergency preparedness through staff training and planning in cooperation with other public agencies and appropriate public interest organizations. On March 16, 2020, by Order of the Health Officer of the County of Santa Clara, all individuals currently living within Santa Clara County (the "County") were ordered to shelter at their place of residence, due to the coronavirus (COVID-19) global pandemic. In response, the City of Gilroy shut its doors to the public and directed most if its employees to work from home, in order to slow the spread of COVID-19 to the maximum extent possible. The City of Gilroy’s offices continue to remain closed to the public, while providing remote services and enabling essential services, such as public safety and building inspections, to continue. The timeline below includes a small sample of Gilroy’s Fire Department response to the COVID-19 global pandemic: • January 2020 - Enacted significant infection control practices in preparation for the coming COVID-19 pandemic. • February 2020 – Required mandatory infection control reporting on all patients exhibiting COVID-19-like symptoms. • March 2020 – Enacted infection control practices assuming all patients were COVID- 19 positive. • April 2020 – Replaced all N-95 masks to highest respiratory protection available for firefighters when responding any patient regardless of symptoms. Enacted workplace health screening and contact tracing for all fire employees. • July 2020 – Enacted face-covering requirements for all firefighters within the station. • August – Routine COVID-19 testing provided for all firefighters. • December 2020 – Only one firefighter developed COVID-19 during the 2020 calendar year. C. Public Facilities and Services Infrastructure systems must meet residents’ needs, conserve resources, protect the environment, and protect public health and safety. Per Policy 19.03 (Sewer, Treatment, and Disposal Capacities), the City shall provide and maintain adequate sewers, 10.B.a Packet Pg. 93 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 5 wastewater treatment, and treated water disposal capacities to meet the needs of future growth (residential, industrial, and other). The City’s Fire Prevention and Pretreatment group completed the Sewer Local Limits Study and Evaluation, Sewer Use Ordinance update, and Sewer Enforcement Response Plan update in 2020, and submitted them to the State in January 2021. D. Economic Development Another primary Goal in the 2020 General Plan is economic development. This goal provides for a mix of traditional and new businesses and industries that provide a vibrant local economy, a diversity of economic opportunities for all Gilroyans, and a stable tax base to support City services, with a vital city center in and around Gilroy’s historic Downtown. With a strategic central location, talented workforce, and outstanding quality of life, Gilroy truly is “A Community with a Spice for Life”—and an ideal place to live, work, and build your business. The City of Gilroy proudly partners with the local business community to drive economic growth and development throughout the region. The City of Gilroy is business-friendly and offers a wide range of support services, including one-stop permit processing, permit expediting and financial incentive programs for high sales tax or job- creation businesses. Even through the pandemic, the City of Gilroy continues to support its local businesses through incentives, new programs, and exceptional customer service. The following represents a small sampling of the economic development tools that the City is using to keep its existing businesses “in business” and drive new business opportunities to the City. Permit Processing Improvements: The City of Gilroy provides a variety of services to fulfill the objectives of the General Plan and understands that efficient permit processing services is a key component of economic development. In 2020, the City awarded the contract for the purchase and implementation of a Land Management System to Tyler Technologies for the implementation of Energov to manage land development applications, business and professional licenses, special event permits, code enforcement cases, and fire prevention/pre-treatment/ hazardous materials management. The City and Tyler teams kicked off the project in September of 2020 with an anticipated "go-live" completion by the end of 2021. This project will modernize the City's application processes by allowing online application submittals, coordinated digital plan review, and automation of many steps in the process. Applicants will be able to check the status of their permit online and staff will have greater control over the workflow. CARES Act Funding: The federal Coronavirus Aid, Relief, and Economic Security (CARES) Act program has provided $5 billion in CDBG coronavirus related funds to help prevent, prepare for and respond to the coronavirus outbreak. The City of Gilroy received 10.B.a Packet Pg. 94 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 6 $275,486 in CARES Act Funding, which was coupled with $344,229 in unused CDBG funds for a total of $619,715. A portion of these funds were used to support the City’s Small Business Grant Program. The City of Gilroy continues to partner with local agency providers to support their programming with these funds. Small Business Relief Program: In the face of COVID-19, City leaders know that many local small businesses are struggling. A strong business community fosters strong employees and strong communities. In an effort to help support our local small businesses and our community, the City of Gilroy established a grant program to support small businesses in these trying times. Businesses operating within the city limits of Gilroy were able to apply for a one-time business relief grant using CARES Act funding in 2020. A total of $469,715 in CARES Act funds were designated to small business grants. Since summer of 2020, $310,000 was distributed to 46 local business in the amounts of $5,000 or $10,000 for operational expenses such as the purchasing of merchandise, payroll and rent relief. In February 2021, the City of Gilroy entered into an agreement with the Gilroy Chamber of Commerce for the facilitation of the remaining $125,000 for the continuation of the CARES ACT Small Business Grant program. This program will continue into 2021. Outdoor Dining: Under the current COVID-19 restrictions for indoor operations, outdoor spaces are becoming vital to our community, which is why Gilroy developed a program to assist our local businesses and the community, while at a safe distance from others. The Gilroy Al Fresco Program, which began in 2020, continues to be an opportunity for restaurants and other businesses, such as fitness facilities, to remain open by utilizing outdoor space for dining, displaying merchandise, exercising, and providing services to their clients. The City has made it fast, easy, and free to sign up for the program, asking businesses to complete a brief registration form. Downtown Revitalization: The Vision and Guiding Principles of the 2020 General Plan place a high priority on Downtown, stating that Downtown will be the pride of Gilroy’s residents and the focal point of activity in the city.…” It envisions an active, attractive, and economically vibrant Downtown of restored historic buildings, attractive new buildings, a bustling transit center, new housing, pedestrian-oriented public spaces and amenities, and a new town Gilroy’s Old City Hall is located in the heart of the historic Downtown district, plaza or pedestrian mall.” While Downtown has experienced a period of decline, it remains a valued community resource and an important small business center, with restaurants, antique stores, and other specialty shops and service operations. Recent steps towards revitalization have produced valuable results, but many more challenges remain. Downtown Improvement Incentive Program: Policy 3.30 (Historic Preservation, Restoration and Re-use in the Downtown Area) encourages restorative maintenance to deteriorated buildings in the Downtown and restrict the demolition of historically and/or architecturally significant buildings to accommodate new development. Encourage adaptive re-use of historic structures to maintain their historic character while supporting economic development. 10.B.a Packet Pg. 95 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 7 Gilroy’s downtown businesses are an important part of our community and provide services and experiences that make our community unique. From July 1, 2019 to June 30, 2020 the City of Gilroy offered two limited-time incentives to help downtown businesses by assisting with efforts to revive and refresh their buildings. The two Downtown Improvement Incentive Program pilots were: (1) the Downtown Commercial Corridor Development Incentive Pilot, which temporarily reduced building and planning fees by 75%; and (2) the Downtown Façade Improvement Pilot, which offered $5,000 matching grants for façade improvements. A summary of results are presented below: Downtown Improvement Incentive Program The Downtown Commercial Corridor Development Incentive Pilot 34 planning and/or building permit applications qualified $64,738 in combined savings for all applicants $3,753,594 estimated new assessed valuation in building improvements Feedback revealed the pilot was viewed favorably by local business owners and that there is interest to renew The Downtown Façade Improvement Pilot 12 total applicants with an average project budget of $14,035 and average planned reimbursement of $4,166 $50,000 in total funds reserved for projects, representing 100% utilization $168,424 combined planned investment in downtown building improvements, including the City’s portion. This is a 337% increase over the City’s portion of $50,000 Feedback revealed the pilot was viewed favorably by local business owners and that there is interest to renew Participating businesses are host to a combined 44 local jobs URM Buildings: Action 25.D (Unreinforced Masonry [URM] Buildings) directs the city to implement actions to address safety issues related to Unreinforced Masonry Buildings. For a very long time, URM buildings remained vacant in the City of Gilroy, due to a lack of structural retrofit construction, required under state law. With the help of a city-property owner URM Task Force, agreements were reached with property owners resulting in significant progress. During 2020, a total of 14 of 17 remaining URM buildings were found to be compliant with the Voluntary Retrofit Standards (VRS) or the Mandatory Retrofit Standards (MRS), and can be occupied once tenant improvement are completed. This effort is resulting in a major reduction in vacant storefronts and the opportunity for new businesses to locate downtown. The 14 properties are listed below. 1. 7373 Monterey St (VRS) 2. 7401 Monterey St (VRS) 3. 7451, 7451-1/2, 7452 Monterey St (VRS) 10.B.a Packet Pg. 96 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 8 4. 7455 Monterey St (MRS) 5. 7477 Monterey St (VRS) 6. 7511 Monterey St (MRS) 7. 7529, 7531 Monterey St (VRS) 8. 7574 Monterey St (exempted by city) 9. 7568 Monterey St (exempted by city) 10. 7320, 7330, 7340 Monterey St (VRS) 11. 7517, 7525 Monterey St (VRS) 12. 7533, 7539 Monterey St, 7530 Gourmet Alley (MRS) 13. 7541, 7443 Monterey St, 7440 Gourmet Alley (MRS) 14. 7515 Monterey St (VRS) E. Historic Preservation Goal #5 of the General Plan is a strong sense of connection to Gilroy’s past through historical, archeological, and paleontological resources that are preserved, protected, enhanced, and commemorated for the benefit of current and future generations. Historic Resource Inventory and Context Statement: Policy 5.01 (Historic Preservation) encourages public and private efforts for the preservation of historic and architecturally significant buildings, archeological sites, and other landmarks that give residents a tie with the past and Action 5.E (Survey of Historic Structures) directs the City to periodically update the City’s Survey of Historic Structures. In 2018, the City hired a consultant to update the City’s 1986 Historic Resource Inventory (HRI), develop a Historic Context Statement, and create a Property Owner’s Guide to Historic Preservation in Gilroy. The consultant conducted a reconnaissance-level survey of all properties over 45 years of age within the city, surveying 3,374 properties. The consultant documented each property with notes and photographs, and made recommendations on properties to remain on the list, to be removed from the list, and to be added to the eligibility list. On June 17th and July 9, 2020 respectively, the Historic Heritage Committee and Planning Commission reviewed the documents prepared by the consultant and recommend that the City Council accept the HRI update and corresponding documents as guidance for evaluating historic or potentially historic structures. On August 17, 2020 the City Council accepted the Historic Resource Inventory Update and Context Statement as a guiding document for preservation of historic resources in the City of Gilroy. In 2021, the City will begin the process of considering the recommended additions and deletions of properties to be listed on the HRI. Mills Act Agreements. Action 5.G (Mills Act Agreements) supports the use of Mills Act contracts to reduce property taxes on historic properties and thereby provide a monetary incentive for their acquisition, maintenance, and restoration. 10.B.a Packet Pg. 97 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 9 The City of Gilroy adopted the Mills Act Agreement Policy in 1997 to foster and encourage the preservation, maintenance, rehabilitation, and restoration of historic properties. Owner-occupied family residences and income-producing commercial properties may qualify for the Mills Act program. If granted, the Mills Act agreement(s) can provide a property owner tax relief in exchange for a commitment to restore and retain the architectural integrity of the historic property. The tax benefit runs with the property and could potentially be indefinite since the Mills Act agreement auto-renews each year until a non-renewal notice is filed. Mills Act properties must be on a local, state, or national register of historic places. On November 2, 2020, the City Council approved two Mills Act program requests and authorized the City Administrator to execute Mills Act Agreements for a commercial Neo- Classical style building located at 7363 Monterey Road (the Neon Exchange) and a Tudor Revival style residential home located at 7511 Carmel Street. F. Community Development CDBG. Action 10.L (Community Development Block Grant Program [CDBG]) supports agencies that provide services to Gilroy households, especially to households with special needs, through the Community Development Block Grant Program. The health and economic impact of the COVID-19 pandemic has been felt around the world, but the virus has had a more devastating effect on our most vulnerable communities. Data from Santa Clara County indicates that communities of color have a greater risk of having a disproportionate impact from COVID-19. Gilroy is no exception. • Gilroy is largely a community of color (58% of the population is Latino). • Gilroy’s poverty levels are high compared to other cities (11.9% or 1 out of 8 Gilroy residents live in poverty, which is lower than the State poverty rate level of 15%). • It is not uncommon for multiple families to live in one household to make ends meet. • Many Gilroy residents work in the service industry or other lower paying jobs like in retail, hospitality, restaurants or food service, and agriculture. • Not all Gilroy residents have access to health care. The pandemic has created significant increases in rental debt, causing instability and financial hardships for both tenants and landlords. Additionally, job hour cutbacks and losses due to COVID-19 have disproportionately affected workers of small businesses and industries affected by the stay-at-home orders such as retail, entertainment, hospitality, and food service. Most of the workers in these industries are more likely to be renters because of lower wages. St. Joseph’s Family Center Rent Relief Program: As described earlier in this report, the City of Gilroy has received several rounds of CARES Act Funding. A portion of these funds were used to support the St. Joseph’s Family Center Rent Relief Program. The City of Gilroy partnered with the St. Joseph’s Family Center for the facilitation of the rent relief 10.B.a Packet Pg. 98 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 10 program utilizing $150,000 in CARES ACT funds. The St. Joseph’s Family Center Rent Relief Program was initiated back in September 2020 and since February 2021, the entire $150,000 has been utilized on rent relief. This program supported 62 Gilroy households, equating to 226 individuals, averaging 3.6 individuals per household. The average assistance amount was $2,362. Seventy (70) percent were extremely low income and thirty (30%) were very low income. Additionally, ninety (90) percent were Latino/Hispanic families. Community-based Partners. Action 7.C (Collaboration with Non-Profits) provides for establishing relationships with, and providing technical assistance to, both profit and nonprofit groups working in the area of affordable housing, facilitating innovative partnerships and collaborative approaches to affordable housing development. In April 2020, the City Council unanimously voted to designate $267,500 in General Fund monies to local community-based agencies, providing essential services to Gilroy’s most vulnerable populations affected by COVID-19. The City of Gilroy continues to partner with local agency providers to support their programming with these funds. Housing Trust Fund. Action 10.G (Housing Trust Fund) directs the City to continue to use the Housing Trust Fund to support affordable housing opportunities, seeking funds from public and private sources to implement or supplement the City’s housing programs, in accordance with administrative guidelines. The City continues to administer the Housing Trust Fund (HTF) program and funds housing-related activities as funding allows. These activities include fair housing services, tenant landlord counseling services, and homeless prevention services. In 2020, HTF funding was used for the following grant allocations: • The Health Trust (meals on wheels) $20,000 • Gilroy Compassion Center (day center for the homeless) $23,800 • St. Joseph’s Family Center (homeless prevention and safety net services) $50,000 • St. Joseph’s Family Center (Gilroy Street Team) $35,000 • Silicon Valley Independent Living Center (housing and emergency services for persons with disabilities) $25,000 • Project Sentinel (fair housing) $21,000 • Project Sentinel (tenant/landlord counseling and dispute resolution) $26,000 Accessory Dwelling Unit Ordinance Update. Action 9.C (Accessory Unit Ordinance) encourages the construction of accessory units in R1 areas through the Accessory Unit provisions of the Zoning Ordinance. On January 1, 2020, new state laws became effective which require local approval for various types of accessory dwelling units (ADUs) on single-family and multi-family zoned parcels. On February 10, 2020, following a report by staff state housing legislation including revised ADU standards, Council directed staff to update the City’s ADU 10.B.a Packet Pg. 99 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 11 ordinance to implement the mandates of state law. Consultation with the California Department of Housing and Community Development (HCD) staff was initiated early in order to confirm staff understanding of the law and help assure the final ordinance would be accepted by the State. During this review, HCD staff advised the City that it must not impose a limit on the number of bedrooms, must allow attached ADU’s with only 4-foot side and rear yard setbacks (including exterior side yards), and must permit internal conversions up to 50% of the primary residence size. The Ordinance was then revised to include these allowances. On May 14 202, the Planning Commission recommended approval of the draft Ordinance. The ADU Ordinance 2020-03 (Z20-01) was adopted by City Council on July 6, 2020, and sent to HCD on July 22, 2020 for its review and final approval. City staff will work with HCD on any further refinements needed to receive their approval. Development Activity in 2020. The General Plan is based on the premise that growth and change are inevitable, and that while growth is certain to have some undesirable impacts, it can also provide important community benefits. The General Plan helps guide the City’s long-term development. It establishes the overall policy framework for development decision making and defines the desired location, character, and quality of future development, as well as the process by which development should proceed. As the City faces tough development decisions, the General Plan serves as a guide to help ensure that each decision is made in the best interest of the City’s long-term future. If a project is proposed that does not conform to the General Plan, then the project must be either modified or denied, or the General Plan must be amended. Major Industrial Buildings 1. Distribution Center, 407,850 sq. ft. (under planning review) 2. Data Center, 418,680 sq. ft. (under planning review) 3. Silva Sausage Expansion, 28,989 sq. ft. (under planning review) 4. 8900 Murray Storage – 30,978 sq. ft. (under building review) Major Commercial / Office Buildings 1. Evergreen, 19,649 sq. ft. commercial, 120 room hotel (under planning review) 2. O’Reillys Auto Parts, 7,000 sq. ft. commercial (under building review) 3. Gilroy Nissan (occupied) 4. The Patio Shopping Center w/ Starbucks, Brew City Burger (occupied) 5. Hampton Inn Hotel (under construction) 6. Alpine Landscapes – 17,795 sq. ft. commercial & office (under construction) Glen Loma Ranch Specific Plan Area: Glen Loma Ranch includes 359 acres bounded by Uvas Creek to the north, Santa Teresa Boulevard to the west and south, and existing development to the east. The development includes two neighborhood parks, a new fire station, a town center commercial area, preserved open space, bicycle and pedestrian trails, and two existing schools: Ascencion Solorsano Middle School and Las Animas Elementary School. The Plan calls for up to 17 residential neighborhoods with a 10.B.a Packet Pg. 100 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 12 maximum of 1,693 dwelling units. Under the City’s Neighborhood District Policy, the Glen Loma Ranch Specific Plan area is required to allocate at least 15.1% of the actual units produced. The maximum potential number of affordable units is 256. Glen Loma Ranch completed, or neared completion of, the following neighborhoods as of the end of 2020: Vista Bella, Home Ranch, Wild Chestnut, Petite Sirah, and Mataro. Glen Loma Ranch is currently constructing the following neighborhoods: Montonico, Luchessa, The Grove, Town Center BMR apartments, and Town Center Townhomes. Neighborhoods that have not yet started construction include Nebbiolo, Malvasia, The Glen, Palomino and Luchessa. Neighborhoods currently under tentative map review include Malvasia Townhomes, Rocky Knoll Townhomes, and Canyon Creek. Development areas with no current development activity include Olive Gove and Town Center Flex. Neighborhoods are listed by name in the map below. Major Single-Family Developments 1. Glen Loma Ranch, Nebbiolo, 102 single-family homes (entitled by Planning) 2. Glen Loma Ranch, Malvasia I, 46 single-family homes (entitled by Planning) 3. Glen Loma Ranch, The Glen, 23 single-family homes (entitled by Planning) Major Multi-Family Developments 1. 9070 Kern Avenue Apartments, 22 affordable units (occupied) 2. Monterey Gateway Senior Apartments, 75 affordable units (occupied) 3. Glen Loma Town Center Apartments, 158 affordable units (under construction) 4. Glen Loma Town Center II, 125 townhouse units (under review) 5. Jemcor Apartments, 120 affordable units (under review) 6. Glen Loma Rocky Knoll Townhomes, 34 mixed-income units (under review) 7. Glen Loma Malvasia II Townhomes, 40 mixed-income units (under review) 8. Hecker Pass Apartments, 99 affordable units, 1 manger’s unit (under review) 10.B.a Packet Pg. 101 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 13 II. Annual Housing Element Progress Report Government Code section 65400 requires the City to prepare an annual progress report (APR) for Gilroy’s Housing Element, which is part of the City’s General Plan. The Housing Element outlines the City of Gilroy’s goals, policies, and implementation programs for the preservation, conservation, improvement, and production of housing for the 2015-2023 planning period. The Housing Element identifies the specific actions the City will take to address existing and future housing needs. The APR includes the City’s progress in permitting its Regional Housing Needs Allocation (RHNA) of affordable and market rate units. The APR also includes a description of the City’s progress towards implementing Housing Element programs intended to remove governmental constraints to the maintenance, improvement and development of housing. The APR will be submitted electronically to HCD and OPR, following staff’s presentation to the City Council. A. RHNA Progress Report The RHNA program establishes an eight-year cycle within which the city must work to achieve the allocated amounts of new housing in each income category. The current RHNA cycle is for the period from January 31, 2015 – January 31, 2023 (2015-2023). In 2020, the Area Median Income (AMI) for a four-person household in for Santa Clara County, as defined by the California Department of Housing and Community Development (HCD) was $141,600. Based on this, the following represents the income limits for the various affordable housing categories for a family of four: Extremely Low Income (ELI) 0 – 30% AMI – $47,350 Very Low Income (VLI) 31 – 50% AMI – $78,950 Low Income (LI) - 51 – 80% AMI – $112,150 Moderate Income 81 – 120% AMI - $169,900 Above Moderate – Above $169,900 In 2020, the City of Gilroy issued building permits for the Glen Loma Ranch, Below Market Rate (BMR) Apartments. That complex included 129 very-low income units and 42 low income units, as well as two (2) manager’s units that can be counted towards the moderate-income RHNA category. Additionally, 13 Accessory Dwelling Units (ADUs) that were issued building permits in 2020 can be counted towards the City’s moderate-income RHNA category. As illustrated in the following table, the remaining Very Low Income target is 97 units and the remaining moderate income RHNA target is 178 units. The City has exceeded the RHNA for Low Income and Above-Moderate (market rate) housing units. Regional Housing Needs Allocation Progress (2015 – 2020) 10.B.a Packet Pg. 102 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 14 Income Level Unit Allocation 2015 – 2019 Units 2020 Units Total Units Permitted Units Remaining *Very Low (31 – 50% AMI) 236 63 76 129 97 Low (51 – 80% AMI) 160 487 80 567 0 Moderate (81 – 120% AMI) 217 24 15 39 178 Above Moderate (Above 120% AMI) 475 1,124 172 1,196 0 Total Units: 1,088 1,698 243 1,941 Remaining Need = 275 *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. B. Activities to Remove Governmental Constraints The second component of the Housing Element Annual Progress Report requires the city to provide information on the progress in implementing Housing Element programs and other activities intended to remove governmental constraints to the maintenance, improvement and development of housing. Efforts conducted in 2020 include: Consideration of an Affordable Housing Ordinance: In 2020, the City of Gilroy applied for and was awarded $150,000 in grant funding to be used towards efforts that would help accelerate housing production in Gilroy. One of the tasks identified in the grant application was the preparation and implementation of an Affordable Housing Ordinance. This could take the form of an Inclusionary Housing Ordinance or an Affordable Housing Incentives Ordinance. The exact form of the Ordinance will be determined through community outreach, as part of the Housing Element update. This Ordinance would be adopted as part of the City’s 2023-2031 Housing Element Update, following community outreach and the potential creation of a Housing Element Update Advisory Committee. CDBG program funding: The city continues to administer the CDBG program and funds eligible activities as funding allows. One such activity is a housing rehabilitation program that helps low income individuals with accessibility improvements. The city has provided a grant to Rebuilding Together Silicon Valley to operate and expand the Home Repair, Rehabilitation and Modification program in Gilroy. This program provides a wide range of home repair, accessibility, mobility and rehabilitation improvements for low income homeowners. The city also continues to utilize CDBG funding to fund housing code 10.B.a Packet Pg. 103 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) 15 enforcement services within the HUD-approved Neighborhood Revitalization Strategy Area. Housing Trust Fund: The City continues to administer the Housing Trust Fund program and funds housing-related activities as funding allows. These activities include fair housing services, tenant landlord counseling services, and homeless prevention services. Housing Rehabilitation: The city currently funds a housing rehabilitation program that provides accessibility improvements to very low income households. The city has provided a grant to Rebuilding Together Silicon Valley to operate and expand the Home Repair, Rehabilitation and Accessibility Modification program in Gilroy. This program will provide a wide range of home repair, accessibility, mobility and limited rehabilitation improvements for low income home owners. BMR Program Administration: The City continues to contract with a Program Administrator to manage the city's Below Market Rate (BMR) home ownership and rental property program. The Program Administrator helps ensure regular monitoring of deed- restricted units that have the potential of converting to market rate. The Program Administrator helps the City implement resale controls on owner-occupied BMR units to ensure that affordable units provided through public assistance or public action are retained for 30 years or more as affordable housing stock. Homeless Services: The City provides funding to homeless service providers through both its CDBG and Housing Trust Fund programs. Services include referrals to the Santa Clara County Continuum of Care program, case management, homelessness prevention and provision of basic need items. Fair Housing Counseling: The City funds fair housing counseling services through its Housing Trust Fund program. It also publishes the availability of both tenant/landlord counseling and fair housing services via its website. 10.B.a Packet Pg. 104 Attachment: 2020 General Plan Annual Report (3202 : 2020 General Plan and Housing Element Annual Report) Housing Laws 101 prepared by City Staff as reference material for the 2020 Annual Report Page 1 of 2 Housing Laws 101 SB-35 was signed into State law in 2017 and became effective on January 1, 2018. SB- 35 applies in cities that are not meeting their Regional Housing Need Allocation (RHNA) goal for construction of above-moderate income housing and/or housing for households below 80% area median income (AMI). Currently, Gilroy meets its RHNA goal for construction of above-moderate income and low-income housing. However, the City has not yet met the RHNA goal for moderate and very-low income housing. Therefore, projects in Gilroy are eligible for a ministerial approval process, provided they meet all of the SB35 eligibility criteria, including setting aside at least 50% of the total units as affordable housing for lower-income households (max 80% AMI). AB 831, an "urgency statute" that took effect Sept. 28, 2020 upon being signed into law, makes a number of amendments to SB35. This amendment prohibits cities from using post-entitlement review processes to avoid the intent of SB 35, given that housing developments inevitably evolve after an entitlement permit is issued. This bill allows specified minor modifications to the development prior to the issuance of the final building permit, so long as the project continues to meet specified objective standards that were in place when the original application was submitted. The bill also provides that required off-site public improvements should be approved without delay and in a manner that does not inhibit, chill or preclude the development. The Permit Streamlining Act is a State law that requires the City to compile an application submittal checklist that specifies in detail the information that will be required from an applicant for a development project. Pursuant to this Act, the City has a maximum of 30 days to provide the applicant with a list and a thorough description of the specific information needed to complete the application. Once an application is complete, this Act also requires the City to approve or disapprove a development project within certain timeframes, depending on the type of CEQA review needed. The Housing Accountability Act (HAA) is a State law that is applicable to both affordable and market rate housing development projects, including emergency shelters, farmworker housing, transitional housing, and supportive housing. The HAA prohibits the City from disapproving, or conditioning approval in a manner that renders infeasible, a housing development project that is consistent with objective local development standards, unless the City makes specified written findings based upon a preponderance of the evidence that a specific, adverse health or safety impact exists. In other words, the City cannot deny a housing development project based on subjective reasoning. SB 330 (Housing Crisis Act of 2019) amended the Housing Accountability Act to require, with certain exceptions, that a housing development project only be subject to the ordinances, policies, and standards adopted and in effect when a preliminary application is submitted. 10.B.b Packet Pg. 105 Attachment: Housing Laws 101 (3202 : 2020 General Plan and Housing Element Annual Report) Housing Laws 101 prepared by City Staff as reference material for the 2020 Annual Report Page 2 of 2 AB 2345 (amendments to State Density Bonus Law) increases the maximum density bonus to up to 50%; lowers the minimum affordable unit threshold for granting incentives/concessions; allows 20% of the units in a 100% affordable development to be moderate-income units (the other 80% must be low-income); and requires the General Plan annual report to include density bonus information. This legislative update also decreases the maximum parking ratio to 1.5 spaces for 2-3 bedrooms units; authorizes a developer to request a total waiver of parking for senior housing projects that meet certain criteria; and clarifies how to measure half-mile of a major transit stop (for purposes of qualifying for additional benefits (e.g., parking reductions) and defines the term "natural or constructed impediments" for purposes of determining whether a development has unobstructed access to a transit stop. Furthermore, the city shall not impose any maximum controls on density if the housing development is located within one-half mile of a major transit stop. AB 1851 makes it easier for faith-based organizations to build affordable housing on their parking lots. This legislation reduces/eliminates parking requirements that would otherwise preclude such development and prevent cities from forcing faith-based organizations to later make up lost parking spaces when a parking lot is developed for housing. AB 3182 (Limit HOA's Ability to Restrict Home Rentals, including ADUs) prohibits HOAs from adopting or enforcing rental restrictions on more than 25% of the individual dwelling units in a development. AB 3182 also makes clear that accessory dwelling units (ADUs) and junior ADUs (JADUs) are not counted toward the overall 25% cap. However, HOAs can still enforce bans on short-term rentals for fewer than 30 days. AB 3182 also clarifies state ADU law to specify that an ADU application shall be deemed approved if the City has not acted upon a completed ADU application within 60 days. AB 725 (Moderate- and Above-Moderate-Income Housing Sites) imposes new requirements for city housing element updates. Under state law, housing elements must include, among other things, a residential land inventory that can be used to identify potential housing development sites. Commencing January 1, 2022, this law requires that at least 25% of a metropolitan jurisdiction’s RHNA share of moderate-income and above moderate-income housing be allocated to sites with zoning that allows at least 4 units of housing, but no more than 100 units per acre of housing. AB 1561 (Housing Entitlement Extension) extends the expiration of a housing entitlement by 18 months, if it was in effect on and issued before March 4, 2020, and would have expired before Dec. 31, 2021. This legislation affects tentative maps, discretionary permits, and ministerial approvals / building permits. It explicitly excludes development agreements, a preliminary application under SB 330, and SB35 permit applications. This bill also extends the time for Native American tribes to respond to a CEQA consultation request by 30 days for any housing development application deemed complete between March 4, 2020, and Dec. 31, 2021. 10.B.b Packet Pg. 106 Attachment: Housing Laws 101 (3202 : 2020 General Plan and Housing Element Annual Report) Affordable Housing 101 provided by the Santa Clara County Planning Collaborative Page 1 of 3 What is Affordable Housing in Santa Clara County? When we all have safe, healthy, affordable homes we create opportunities for everyone to have a bright future, but our region’s housing shortage has made it increasingly harder for people to call Santa Clara County home. Many working and middle-income families cannot afford housing priced at market rates, and there aren’t nearly enough affordable housing options. Purchasing a home is out of reach for many low income and middle class families while renters face some of the highest rental rates in the country. There’s no single cause that has led us to this housing shortage and there’s no magic bullet that will solve it. Fortunately, there are a variety we can come together to address the need for affordable housing options for all members of the community. Together, we can rise up to this challenge. Santa Clara County will need to plan for 129,927 housing units for the eight-year period between 2023 to 2031, with 73,199 of them being for lower and moderate-income residents. Improving and expanding housing options is imperative to advancing social, racial, and economic equity and inclusion goals across Santa Clara County. All communities across the County and the state will have to do their part in producing affordable housing and welcoming new residents to achieve housing for all. If we don’t produce enough affordable housing, the lack of housing options will result in longer commute times for workers, gridlocked traffic, and increased pollution. By creating affordable housing options, we’ll create robust and diverse communities that support a strong quality of life and welcome people of all generations, families with children, and single adults who will bring their talents and skills to Santa Clara County. This also includes having homes that match the diversity of incomes in our community and are available for the workers we rely on as a community. What is affordable housing? When we talk about affordable housing, we mean homes that are rented or sold at rents or sales prices that are lower than prevailing market rates. Affordable housing means your favorite hairstylist, your child’s teacher, or the friendly medical assistant at your doctor’s office can live close to their work. A medical assistant and a preschool teacher in Santa Clara County with two children would be in need of affordable housing with their combined average salaries of close to $90,000 a year. A year’s worth of rent would swallow up over 40% of their income, making them Affordable Housing Development Edwina Baker Plaza in Sunnyvale. Source: David Baker Architects. 10.B.c Packet Pg. 107 Attachment: Affordable Housing 101 and FAQs (3202 : 2020 General Plan and Housing Element Annual Report) Affordable Housing 101 provided by the Santa Clara County Planning Collaborative Page 2 of 3 rent burdened. Consider a single-earner household of four. A daycare administrator with an average yearly income of about $55,000 heading a household of four. To afford market rent in Santa Clara County, 70% of this person’s income would be directed towards housing costs. In Santa Clara County, the vast majority of purpose-built affordable housing is built and managed by private and nonprofit developers using a variety of funding and financing sources. Affordable housing programs generally target households who earn 80% or below of the area’s median income, which for Santa Clara County is $112,150 a year for a household of four. Households that pay more than 30% of their monthly income are considered “rent burdened” while families who pay over 50% of their monthly income are considered “severely rent burdened”. Santa Clara County Area Median Income (AMI) Levels, 2020 Number of Persons in Household 30% 50% 80% 100% 1 $ 33,150 $ 55,300 $ 78,550 $ 99,100 2 $ 37,900 $ 63,200 $ 89,750 $ 113,300 3 $ 42,650 $ 71,100 $ 100,950 $ 127,450 4 $ 47,350 $ 78,950 $ 112,150 $ 141,600 5 $ 51,150 $ 85,330 $ 121,150 $ 152,950 Source: HCD (hcd.ca.gov), 2020 Income Limits The Wage and Housing Gap Occupation Mean Annual Wage % of AMI for 3 person HH % of Monthly income needed to afford average market rent for a two- bedroom unit Dishwashers $30,160 24% 127% Retail Salespersons $39,987 31% 96% Security Guards $41,512 33% 93% Daycare & Preschool Administrators $55,020 43% 70% Police Officers $130,911 103% 29% Preschool Teachers $41,563 33% 92% Hair Dressers $33,384 26% 115% Medical Assistants $47,846 38% 80% Receptionists and Information Clerks $39,239 31% 98% (Based on fair market rent for a one bedroom in Santa Clara County (hcd.ca.gov). Wage information from the California Employment Development Department) 10.B.c Packet Pg. 108 Attachment: Affordable Housing 101 and FAQs (3202 : 2020 General Plan and Housing Element Annual Report) Affordable Housing 101 provided by the Santa Clara County Planning Collaborative Page 3 of 3 Frequently Asked Questions about Affordable Housing FAQs on affordable housing ● Who builds and manages affordable housing? ○ The vast majority of purpose-built affordable housing is built and managed by private and nonprofit developers using a variety of Federal, State., Local Government and private funding and financing sources. ● Who qualifies for affordable housing? ○ Affordable housing programs generally target households who earn 80% or below of the area’s median income, which for Santa Clara County is $112,150 a year for a household of four. See the tables below for more details on income levels and wages for the County as of February, 2021. ● Who lives in affordable housing? ○ Seniors, families with children, people facing health challenges or disabilities, or those who simply are starting a new phase of life – in short, people of all backgrounds. ● What does affordable housing look like? ○ Affordable housing is built in a wide range of architectural styles and densities. They can be midsize to large multifamily family developments, duplexes, triplexes, quadplexes, granny units, or cottage clusters. Affordable housing must comply with the same zoning codes, restrictions, and design standards as market-rate housing. Often, because affordable housing projects frequently rely on some public money, they have to comply with additional restrictions and higher standards than market-rate housing. ● I’ve heard affordable housing makes traffic worse and brings in crime-- is that true? ○ Affordable housing residents tend to own fewer cars and drive less and many affordable housing developments are located near transit centers. Local governments can also adopt policies that encourage affordable housing developments near job centers so affordable housing can help reduce traffic. ● Will an increase of affordable housing lead to overcrowded schools or affect the quality of our schools? ○ Households living in affordable housing on average have fewer children than those living in single family homes. School staff and teachers can benefit from affordable housing as well since wages for educators have not kept up with rising housing costs. A more robust supply of affordable housing options can be key to retaining talent in our schools. Lastly, children’s educational performance can be affected if they aren’t able to stay in one school for long and are forced to move around due to unstable housing. Affordable, stable housing provides a foundation for children to learn better. 10.B.c Packet Pg. 109 Attachment: Affordable Housing 101 and FAQs (3202 : 2020 General Plan and Housing Element Annual Report) City of Gilroy STAFF REPORT Agenda Item Title: Consent to the Appointment of Daryl Jordan as Public Works Director Meeting Date: March 15, 2021 From: Jimmy Forbis, City Administrator Department: Human Resources Department Submitted By: LeeAnn McPhillips Prepared By: LeeAnn McPhillips Strategic Plan Goals ☐ Fiscal Stability ☐ Downtown Revitalization ☐ Economic Development ☐ Neighborhood Services ☐ Enhanced Public Safety  Workforce Stability ☐ Public Engagement RECOMMENDATION Consent to the City Administrator’s recommendation to appoint Daryl Jordan to the Department Head position of Public Works Director. BACKGROUND In November 2020, the City commenced a recruitment to fill the vacant position of Public Works Director. After a series of panel interviews comprised of subject matter experts, Department Directors, and the City Administrator, a top finalist was selected for the Public Works Director position, Daryl Jordan. Based on his knowledge, skills, experience, and leadership style, Mr. Jordan has been identified as a strong fit for the Gilroy Public Works Director position. Mr. Jordan recently completed a thorough background check and, at this time, City Administrator Forbis is recommending he be appointed as Gilroy’s next Public Works Director. 10.C Packet Pg. 110 Mr. Jordan brings over twenty-five years of public works experience having worked in both the private and public sectors. He has worked for three public agencies: Merced, Ceres, and Scotts Valley. He is currently the Public Works Director for the City of Scotts Valley. Mixed in with his public sector experience is over ten years of private sector engineering and development experience which provides a unique understanding of what it is like to be on both sides of the counter in City Hall. Mr. Jordan’s experience covers all of the main functions of public works to include development processing/engineering, traffic/transportation engineering, capital improvement program preparation and implementation, wastewater treatment plant oversight, management of various operations and maintenance functions, as well as coordination with Caltrans, water district, transportation agencies and other outside entities. He has experience securing and implementing grant funding for public improvement projects. Mr. Jordan brings to this position some of the key leadership and management traits the City sought in the new director: strong technical and leadership skills, an excellent customer service orientation, an action oriented work style focused on getting projects completed on time and within budget, the ability to establish and maintain partnerships, the ability to develop and lead teams, and creative problem solving. His management style is that of a coach while at the same time holding his team accountable for results. Understanding some of Gilroy’s current fiscal and operational challenges, Mr. Jordan is excited join the Gilroy team and put his talents to work to fulfill the Council’s and City Administrator’s priorities. Mr. Jordan holds a bachelor’s degree from California State University, Fresno, in Civil Engineering and is currently pursuing a master’s degree in Business Administration from California Coast University. In addition, he currently holds a valid State of California Professional Civil Engineering License. Upon consent of the City Council and issuance of a final offer letter, Mr. Jordan is scheduled to begin employment on April 12, 2021. COMPENSATION Mr. Jordan’s starting compensation after applying the current temporary pay reduction will be $177,770 annually, plus benefits. 10.C Packet Pg. 111