Loading...
M 04-20-87TOWN OF LOS GATOS CALIFORNIA TOWN COUNCIL/PARKING AUTHORITY AGENDA APRIL 20, 1987 TOWN COUNCIL The Town Council/Parking Authority met in the Council Chambers of the Town Hall at 7:40 p.m., in regular session. ROLL CALL PRESENT:Joanne Benjamin, Eric D. Carlson, Thomas J. Ferrito, Robert L. Hamilton and Mayor Brent N. Ventura. ABSENT:None. PLEDGE OF ALLEGIANCE Given by all in attendance. CLOSED SESSION REPORT Town Attorney Levinger reported that Council had met in Closed Session prior to tonight's Council meeting and the following were discussed. Pursuant to Government Code Section 54956.9 (a) litigation of Magnet v Town of Los Gatos - discussed and nothing to report. Pursuant to Government Code Section 54956.9 (c) litigation which involved a zoning violation. Council authorized institution of litigation for illegal tree removal at 35 Mariposa Avenue Council discussed personnel matter which involved the discussion and evaluation of the Town Clerk's salary for non elective appointed duties. The Council determined that the salary increase for the 1986-87 fiscal year, in the amount of $1,500.00 was warranted and an appropriate Resolution will be presented for Council consideration at the next meeting; and Council discussed labor relations and there is nothing to report on that discussion. PUBLIC HEARING SCHEDULE Informational report for Council on upcoming scheduled public hearings. COUNTY REFERRAL Mr. Carlson moved Council accept staff recommendation on the following: 3165-26-44-87LA Kent Way Nguyen-Huu Lot line adjustment No comments. Mr. Hamilton seconded. Carried unanimously. MEETING CALENDAR Informational meeting schedule for Council for April and May. APRIL 10, 1987 PAYROLL Mr. Carlson moved for approval of the April 10, 1987 payroll in the amount of $138,095.80 and payroll related warrants in the amount of $121,601.77. Mr. Hamilton seconded. Carried unanimously. APRIL 1987 WARRANTS Mr. Carlson moved for approval of the April 1987 warrants in the amount of $301,695.99. Mr. Hamilton seconded. Carried unanimously. ALCOHOLIC BEVERAGE LICENSE APPLICATION Mr. Carlson moved to accept staff recommendation to note and file the application for sale of alcoholic beverages at 354 N. Santa Cruz Avenue. Applicants: Vincent Fiorillo and Richard Bauer. Mr. Hamilton seconded. Carried unanimously. SINGLE AUDIT REPORT Informational report for Council. KNOWLES DRIVE & CAPRI DRIVE 4 WAY STOP Mr. Carlson moved to refer this to staff and request a accident summary report be prepared (during the 90 day trial period) and brought back for Council consideration (as suggested by Mr. Hamilton). Mr. Hamilton seconded. Carried unanimously. SB 2232 (TRUCKS) Mr. Carlson moved to modify staff recommendation and refer this matter back to staff for report as to all alternatives and give detailed information on what needs to be done; why you (staff) recommends one over the other and what the practical impact might be. Mr. Hamilton seconded. Carried unanimously. TRANSPORTATION 2000 Mr. Carlson moved to refer this back to staff for comments and report back to Council. Mayor Ventura stated he would like to take some of the recommendations in that study paper and apply them to Route 85 Land Use study which is underway right now. Mr. Hamilton seconded. Carried unanimously. SIGNING AT FIRE STATION WINCHESTER BLVD. Mr. Carlson moved to authorize a work order to perform work of painting "KEEP CLEAR" pavement messages on the northbound lanes of Winchester Boulevard in front of the fire station at Lark Avenue and install a "FIRE STATION AHEAD" sign on the east side of Winchester Boulevard, south of the fire station. Mr. Hamilton seconded. Carried unanimously. CODE OFFICER QUARTERLY REPORT 1-1 / 3-31-87 Mr. Ferrito questioned the code violation at 119 Las Astas Drive, which happened 3 months ago and asked where it stands. Mr. Bowman answered questions of Council and stated this should be cleared up by the end of this week and if not then a citation will be issued. Mr. Ferrito spoke of his concern there might be a sale or transfer of the property and that the Town's action ought to be on record at the Recorder's Office so that any potential buyer or transferee would know about the Council's previous action. After further discussion Mr. Carlson moved to accept the quarterly report for the third quarter code violations 1-1-87 through 3-31-87. Mr. Hamilton seconded. Carried unanimously. TRACT 7992 Mr. Carlson moved for adoption of Resolution No. 1987-44 entitled, RESOLUTION APPROVING AND ACCEPTING FINAL MAP OF TRACT NO. 7992. Mr. Hamilton seconded. Carried unanimously. TRACT 7979 Mr. Carlson moved for adoption of Resolution No. 1987-45 entitled, RESOLUTION APPROVING AND ACCEPTING FINAL MAP OF TRACT NO. 7979. Mr. Hamilton seconded. Carried unanimously. APPEAL - 16935 ROBERTS ROAD BAS HOMES INC. Mr. Carlson moved for adoption of Resolution No. 1987-46 entitled, RESOLUTION REMANDING TO THE PLANNING COMMISSION DECISION OF PLANNING COMMISSION DENYING ARCHITECTURE AND SITE APPLICATION AND CONDITIONAL USE PERMIT APPLICATION TO CONSTRUCT A 7-UNIT RESIDENTIAL CONDOMINIUM PROJECT IN THE RM:5-12 ZONE (16935 ROBERTS ROAD - BAS HOMES, INC.). Mr. Hamilton seconded. Carried unanimously. SECONDARY DWELLING UNIT RESTRICTIONS Mr. Carlson moved for adoption of Ordinance No. 1716 entitled, AN ORDINANCE OF THE TOWN OF LOS GATOS AMENDING THE ZONING ORDINANCE RELATING TO SECONDARY DWELLING UNITS. Mr. Hamilton seconded. Carried by vote of three ayes. Mr. Ferrito and Mayor Ventura voting no. VERBAL COMMUNICATIONS Speaking from the audience was Sandra Carr, representing the Business Promotion committee of the Chamber of Commerce, thanking Council for allowing Chamber to put up a banner in the Town Plaza on April 1 & 2, 1987, and she is requesting permission to put that same banner up on May 28th through the 30th and July 15 through 19, 1987. Mayor Ventura asked Ms. Carr to put that request in writing and present to the Clerk's office. Ms. Carr was informed that due to the change in laws of the Brown Act, Council will not be able to act on the request for the dates in May. As to be able to act on the request for the dates in May. As to be able to act on this it needs to be agendized and noticed at least 72 hours prior to the Council meeting. Mr. Zullo questioned if there will be testimony on item 18, Bicknell Road speeding problems. He was informed this is on the agenda. BICKNELL ROAD Mayor Ventura spoke on report re request of Ms. Paula Rubin's request to have staff review the possibility of having some traffic deterrent on Bicknell Road to stop speeding. Town Engineering Department sent notices to residents within this area to hear any testimony on this problem. It was noted that Ms. Rubin had withdrawn her request and staff recommends the item not abe heard. Recommendation from staff is not to add speed bumps or stop signs. Speaking on the issue was Sam Zullo, 806 Bicknell Road, who felt an arterial stop sign might help, as needs something other than surveillance. Ron Caselli, 742 Bicknell Road, favored stop sign at More & Bicknell; Sid Pollard, favored stop sign at More and Old Adobe Way and more surveillance; Mr. Chioni, 200 Chippendale, feels the area is fine, just the way it is; R. Burt, 730 Bicknell, opposed to speed bumps and favor sign at More and Old Adobe Road. After further discussion Mr. Carlson asked for accident history and enforcement actions that have been done on that road and moved to set a public hearing for June 1, 1987 to consider whether to install stop signs at More and Old Adobe Road. Mrs. Benjamin seconded. Carried unanimously. PREZONING OF 160 ACRES NOVITIATE PROP. Mayor Ventura stated this was the time and place duly noted for public hearing to consider the Planning Commission's recommendation of the prezoning of approximately 160 acres of property located immediately easterly of state highway 17 and southerly of the existing Town of Los Gatos limits to RC (Resources Conservation) application Z-87-10; Owner - California Province - Society of Jesus. There being no one in the audience wishing to speak on this issue, Mr. Carlson moved to accept staff recommendation and continue this item to June 15, 1987. Mrs. Benjamin seconded. Carried unanimously. Mr. Ventura requested the Planning look at the idea of using the HR zone, whichever HR zone would be appropriate for a winery use, as well as the RC Zone. ZONE CHANGE BLAIR PROPERTY KENNEDY ROAD Mayor Ventura stated this was the time and place duly published for public hearing to consider Planning Commission's recommendation of the change of zone for land containing approximately 43 acres of property located southerly of Kennedy Road and northerly of the Town's southerly limit consisting of APN 537- 13-003 from HR-20 (Hillside Residential 20-160 acres for each dwelling unit) to RC (Resource Conservation) application Z-86-12. Property owner - James Blair. There was no one from the audience wishing to speak on this issue, Mrs. Benjamin moved to close the hearing. Mr. Carlson seconded. Carried unanimously. Mrs. Benjamin moved to make the negative declaration. Mr. Ferrito seconded. Carried by vote of four ayes. Mr. Hamilton voting no. Mrs. Benjamin moved to make finding that zone change is consistent with the General Plan as it is consistent with Town policy as stated in Sections 7.4 and 7.5 of the General Plan that open space lands be preserved. Mr. Ferrito seconded. Carried by vote of four ayes. Mr. Hamilton voting no. Mrs. Benjamin moved to waive the reading of AN ORDINANCE OF THE TOWN OF LOS GATOS AMENDING THE ZONING ORDINANCE EFFECTING ZONE CHANGE NO. _____ REZONING FROM HR-20 to RC (Resource Conservation). Mr. Ferrito seconded. Carried unanimously. Clerk read title. Mrs. Benjamin moved for introduction of Ordinance. Mr. Ferrito seconded. Carried by vote of four ayes. Mr. Hamilton voting no. REZONING 6.42 ACRES - OPEN SPACE FROM HR-2 1/1 TO RC Mayor Ventura stated this was the time and place duly published to consider the Planning Commission recommendation on the rezoning of 6.42 acres of undeveloped open space lands located south of the southerly terminus of Jones Road and Euclid Avenue from HR-1/2 to RC. There being no one from the audience wishing to speak on this issue, Mr. Ferrito moved to closed the public hearing. Mrs. Benjamin seconded. Carried unanimously. Mr. Ferrito moved to make the negative declaration. Mrs. Benjamin seconded. Carried unanimously. Mr. Ferrito moved to make the findings that the zone change is consistent with the General Plan, it is consistent with Town policy as stated in Sections 7.4 and 7.5 of the General Plan in that open space lands be preserved. Mrs. Benjamin seconded. Carried unanimously. Mr. Ferrito moved to waive the reading of AN ORDINANCE OF THE TOWN OF LOS GATOS AMENDING THE ZONING ORDINANCE AFFECTING ZONE CHANGE NO. _____ REZONING TO RESOURCE CONSERVATION Mrs. Benjamin seconded. Carried unanimously. Clerk read title of Ordinance. Mr. Ferrito moved for introduction of the Ordinance. Mrs. Benjamin seconded. Carried unanimously. REZONING 357 LOS GATOS BLVD. Mayor Ventura stated this was the time and place duly published for public hearing to consider Planning Commission's recommendation requesting approval of a change in zone from R-1:8,000 to R-1:8,000-PD for the construction of a 7 lot single family residential development, Application Z-86-7. Property owner, Dave Flick & Dean Sakel. Property located at 357 Los Gatos Boulevard. Dave Flick, 122 Stacia Street, owner of the property, spoke on proposal of the construction of the 7 lot development. Each lot is separate with no group maintenance. Discussion was held re increase of cost if developer lowered development to 6 lots. Mr. Flick presented photographs showing the area and feels this development would upgrade the area. Lowering number of units would increase cost of units and would not be feasible. They have buyers for some of the lots and it would increase the cost of the houses if they could not build 7 units. There was discussion on increased cost if lowered development to 6 lots; traffic impact; BMP unit fee is 6% of the building permit valuation of each of the units if the developer chooses to pay the fee instead of providing the unit; set backs were changed from 5 feet to 8 feet; and style chosen for the units. Larry Walker, 1188 Fremont St., San Jose, spoke in favor of the development and is interested in purchasing one of the units. Mr. Walker feels the developer is sensitive to the impact the houses will have on the neighborhood and encouraged Council to approve the project. Elenor Rissen, 346 Bella Vista spoke in support of the development. Mike Strano, 212 Bella Vista Avenue, lives in the area and spoke in favor of the project. He feels it will enhance the neighborhood. No one else from the audience wished to speak on this issue. Mr. Carlson moved the hearing be closed. Mrs. Benjamin seconded. Carried unanimously. Mr. Carlson made modifications to the section of conditions in the proposed ordinance. Mr. Carlson moved to change item 7, payment in-lieu fee to read, "Payment of a fee of $2,500.00 to be used to whatever improvements Council decides to make at either Kennedy or Caldwell." Mr. Carlson withdrew his motion. Mr. Carlson moved to add to the ordinance, condition number 13, "The tree planting that is rendered in sheet 1 (attached drawings) be incorporated by reference into the official development plans." Mrs. Benjamin seconded. Carried unanimously. Mr. Carlson moved to add condition number 14 to the ordinance, "The Architectural style be defined in term of height, roof line, color, materials, and front porches to be determined by the Planning Commission as part of the site and architecture to be appropriate for the neighborhood." Mayor Ventura seconded. Motion failed by a vote of two ayes. Mrs. Benjamin, Mr. Ferrito and Mr. Hamilton voted no. Mr. Carlson moved to change condition 7a of the ordinance from a fee of $70.00 To $700.00. Mayor Ventura seconded. Carried by a vote of three ayes. Mrs. Benjamin and Mr. Hamilton voted no. Mr. Hamilton does not want Caldwell changed. Mr. Hamilton supported the motion but feels Council should be careful about putting to much of the burden on one developer. Mrs. Benjamin can't see asking for so much money if Council doesn't have a project that Council can agree upon to spend the money on. Mr. Carlson moved to make the Negative Declaration and that the mitigation factors cover any environmental impact identified. Mrs. Benjamin seconded. Carried by a vote of four ayes. Mr. Ferrito voted against the PD because he doesn't feel Council can make the finding. The project would double the traffic and he can't see the trade-off with the PD. Mr. Ferrito referred to comment by Barbara Spector, Planning Commissioner, "It is going to impact the traffic during the rush hour. The staff report indicates itself that the p.m. rush hour increase will be three vehicle trips and we have testimony that it might even be by more. The planning development is the only vehicle that is allowing the seven homes on this parcel; were it not for the PD there would only be three or four." Mr. Carlson moved to make the finding that zone change application Z-86-7 is consistent with the Downtown Specific Plan and the General Plan. Mrs. Benjamin seconded. Carried by a vote of three ayes. Mr. Ferrito and Mayor Ventura voted no. Mayor Ventura stated that the problem with the project is consistency, in the Specific Plan infill project should not be at a higher density in the surrounding neighborhood and this is a higher density. Mr. Carlson moved to waive the reading for AN ORDINANCE OF THE TOWN OF LOS GATOS AMENDING THE ZONING ORDINANCE EFFECTING ZONE CHANGE NO. ____ FROM R-1:8,000 TO R-1:8000-PD. Mrs. Benjamin seconded. Carried unanimously. The Town Clerk read title of the ordinance. Mr. Carlson moved for the introduction of the ordinance as amended. Mrs. Benjamin seconded. Carried by a vote of three ayes. Mr. Ferrito and Mayor Ventura voted no. APPEAL - OAK TREE REMOVAL 48 CHESTNUT Mayor Ventura stated this was the time and place duly published for public hearing to consider an appeal of Planning Commission's denial on the request to remove two oak trees at 48 Chestnut Avenue. David Quinn, Property owner. Gary Schol, representing David Quinn, referred to Exhibit B, stating with the trees as they are, the owner can do nothing to enlarge his house, which he wishes to do. Council discussed having the owner to go through the process with the DRC and architect and site approval on what can be built on the property before approving the removal of trees. Mr. Carlson moved to close the public hearing. Mr. Ferrito seconded. Carried unanimously. Mr. Ferrito moved to deny removal of the trees based on the evaluation and recommendation of the Superintendent of Parks and Forestry, since the applicant has not demonstrated satisfactorily that no other alternative is available. Mrs. Benjamin seconded. Carried unanimously. The Town Attorney directed to prepare appropriate resolution and present for Council consideration at the next meeting. APPEAL - 50 UNIVERSITY MIMI'S RESTAURANT Mayor Ventura stated that the publication notice of this item was not published by the Times Observer in a timely or legal time limit and therefore should be held until May 4, 1987, at which time it will be scheduled. Mr. Carlson moved to continue the public hearing to May 4, 1987. Mrs. Benjamin seconded. Carried unanimously. Mr. Ferrito requested a report from the Clerk regarding problems with publications since the change was made to the Times Observer. Also copies of letters that have been sent to the Times Observer regarding problems. APPEAL - BUILDING OFFICIALS REQUIREMENTS FOR RECONSTRUCTION OF FIRE WALL (442 N. Mayor Ventura stated this was the time and place duly published for public hearing to consider an appeal of the Town Building Officials decision concerning fire wall protection and exit requirements for the proposed reconstruction of the building located at 442 N. Santa Cruz Avenue. (Owner, Sam Chuck). Mr. Charles Kilian, representing Mr. Chuck, stated the only issue is the back portion of the building abuts the public parking lot owned by the Town. They would be willing to remove the rear exits if the Town decides to build behind them. Mr. R. Useldinger, architect for the project, also spoke on this issue. Mr. Watson, Building Official, stated if the parking lot is considered a public right-of-way then the fire wall is not an issue. A representative of Coldwell Banker Real Estate spoke on the difficulty of marketing the building. There was discussion by Council on the rear fire exits designed into the project; and size and configuration of units. No one else from the audience wished to speak on this issue. Mr. Ferrito moved to close the public hearing. Mr. Carlson seconded. Carried unanimously. Mr. Ferrito moved to deny the appeal and uphold the present policy that Town parking lots are not public ways as defined in the Building Code; refer the nonconforming status of the shopping center with regard to parking and possible future Assessment District to the Parking Commission; and need to redesign the building to meet building codes. Mayor Ventura seconded. Carried by a vote of four ayes. Mr. Hamilton voted no because he feels this is not a correct action. Town Attorney directed to prepare appropriate resolution and present for Council consideration at the next meeting. MINUTES APRIL 6, 1987 Mrs. Benjamin requested correction of the April 6, 1987 minutes, page 4, APPEAL 121 WILDER AVENUE, to read, "Mrs. Benjamin abstained because she was not present at the public hearing." Also on page 6, H.E. SMITH APPEAL, correct motion to include, "If changing the zoning from residential to light manufacturing look at the zoning for the whole area and then look at the traffic generation for the whole area if the zoning was changed." Mr. Ferrito requested correction on page 6, last line, change "made" to "met". Mrs. Benjamin moved for the approval of the minutes as corrected. Mr. Ferrito seconded. Carried unanimously. MINUTES APRIL 13, 1987 Mrs. Benjamin requested correction of April 13, 1987 minutes on page 1, DOWNTOWN PARKING ASSESSMENT DIST., correct quote to read, "If the businesses in the downtown area don't feel the parking is needed or not that important to expend funds, then I'm not going to vote for increased parking and spend Town funds." Mayor Ventura requested the addition of his support for Mrs. Benjamin's remarks. Mrs. Benjamin moved for the approval of the minutes as corrected. Mrs. Benjamin moved for the approval of the minutes as corrected. Mayor Ventura seconded. Carried by a vote of four ayes. Mr. Ferrito abstained. TREASURER'S REPORT - MARCH 1987 Mayor Ventura stated Council was in receipt of the Treasurer's Report for the month of March, 1987. RESIDENTIAL CARE FACILITY DEFINITION Mr. Carlson moved to waive the reading for AN ORDINANCE OF THE TOWN OF LOS GATOS ADDING A DEFINITION RESIDENTIAL CARE FACILITY FOR THE ELDERLY TO THE ZONING ORDINANCE. Mrs. Benjamin seconded. Carried unanimously. Clerk read the title of the Ordinance. Mr. Carlson moved to introduce the Ordinance. Mr. Ferrito seconded. Carried unanimously. RESIDENTIAL DEVELOPMENT ZONE 110 WOOD ROAD Mr. Carlson moved to waive the reading for AN ORDINANCE OF THE TOWN OF LOS GATOS AMENDING ORDINANCE 938 WHICH AMENDED THE ZONING ORDINANCE EFFECTING ZONE CHANGE NO. 17 FROM R-1:40,000 AND RM:8000 TO R.P.D." Mrs. Benjamin seconded. Carried unanimously. Clerk read the title of the Ordinance. Mr. Carlson moved to introduce the Ordinance. Mr. Ferrito seconded. Carried unanimously. KMG MAIN HURDMAN ADDITIONAL EXPENDITURES 85/86 AUDIT Mr. Ferrito moved to authorize an expenditure from the approved 1986-87 budget of $11,540 for audit and consulting services to KMG Main Hurdman. Mrs. Benjamin seconded with the following reason: 1) Work performed in good faith by auditor. The Auditor or vendors do not ask for Council approval of expenditures. This is done by staff. 2) The Town benefited from the Auditors additional services. 3) The fees charged by the Auditors were reasonable. She also stated, 1) the work would have been authorized, had the Town Manager requested the advance approval from Council. The Council knew this issue of Bell Savings was taking place and was discussed many times. 2) There is no question regarding the payment. However, the fact was mentioned it was a mistake of staff not to bring it before Council and if that's the case, it is not the vendor that should be jeopardized. 3) The manager did not try to circumvent Council authority. 4) Mrs.s Benjamin was not at that Council meeting and read in the papers distorted remarks were made. She believes if the Town Treasurer wished to comment on something she wishes he would attend the meeting so he can hear the rationale for making a decision and she believes the Treasurer's remarks are trying to put this into a political realm and she hopes she will never make political decisions but correct decisions. She also believes, if the Treasurer had not made an illegal investment in which the Council had to address. The Town wouldn't have this payment. Mr. Hamilton can't support motion. He bases this on Article 4, Section 17 which states, "Extra compensation for past services the legislature has no power to grant or to authorize the City, County or other public body to grant extra compensation or extra allowance to public officer or public employee, or contractor after service has been rendered or a contract has been entered into and performed in whole or in part or to authorize the payment of a claim against the state, or a city, County, or other public body under an agreement made without the authority of law." Mr. Hamilton believes the auditor was fully aware of the procedure to be used in case he needed extra funds. The auditor exercised the option on one occasion. By not coming to Council, Council does not have the option to say the number of hours to be used on this project. Mr. Carlson came to the same conclusion as Mr. Hamilton but for different reasons. 1) in the proposal submitted by the auditor, the auditor would first present the facts to the appropriate Town official along with the estimated fees before proceeding. In the contract it states the fees would be determined as the services are requested not afterwards. Mr. Carlson stated Council has been very particular about open contracts with outside contractors and doesn't feel Council should change the policy. Mr. Carlson also stated this is not in response to anything the Treasurer has or ever will say. The request by the treasurer for additional funding violated what was directed in the budget by spending more hours than originally authorized. Declining the Treasurer's request and declining this request are for completely different reasons. Mr. Ferrito stated when Council provides the Manager staff to do a job and when the Manager has staff turnover and two vacancies and had to respond to questions that Council had, of an immediate nature, regarding money matters that she could ask KMG Main Hurdman to prepare schedules, reports, reconciliation which were originally to be provided by staff, given prior experience with the Town's financial records the Auditors could do the work quicker and more accurately. He feels the Manager took the appropriate action and feels if Council had the chance to approve the request in advance, Council would have done so. Mr. Ferrito requested information from the Attorney regarding Section 17. Mary Jo Levinge, Town Attorney, stated in addition to Section 17, Article 11, Section 10, deals with granting extra compensation. These sections would be analyzed with regards to this issue is whether there is "extra" compensation. The scope of the contract and what was paid for the audit needs to be looked at. In review the additional work that was done was not contemplated in the original agreement because there is a provision that the Town would provide certain records. In regards to those items she doesn't believe that was in the work that Main Hurdman was compensated for. The question regarding Bell Savings presents a factual determination you (Council) may wish to make as to what was contemplated; what is include within the audit: at what time Main Hurdman did the work to identify the Bell Savings issue and what was done outside the contract or whether we were paying an additional sum of money for work we had already agreed to under the contract. After further discussion Mr. Ferrito restated his motion to move to accept and authorize payment from the approved budget 1986-87 the amount of $11,540.00 for audit and consulting services to KMG Main Hurdman. Mrs. Benjamin seconded, and stated her reasons - that the fees charged were reasonable; work would have been authorized anyway; no question regarding payment and Manager did not try to circumvent Council's authority. Motion carried by vote of three ayes. Mr. Hamilton and Mr. Carlson voting no. Mayor Ventura stated the reason for his yes vote was that the audit was performed in good faith and do not see this as extra compensation. Funding is coming from items approved in town budget in June 1986 and are within the appropriate amount. REQUEST TO FINANCE "THE TERRACES" Mayor Ventura referred to request of American Baptist Homes request that the Town serve as issuer for tax exempt bonds to finance the Terraces Project on Blossom Hill Road. Speaking on this issue was Richard Ice, President of the American Baptist Homes, stated that a tax exempt bond issue would provide the Terraces project with financing at approximately 2 points lower than conventional financing. If this request were approve by Council it could dramatically reduce the cost of construction for the project. After further discussion on this issue, the Council felt they needed more information. Mr. Carlson moved to refer this request to staff to research every aspect of this and report back to Council with a recommendation. Mrs. Benjamin seconded. Carried unanimously. SB 516 (BERGESON) It was noted this State Senate Bill 516 (Bergeson) authorizes the Department of Transportation (CalTrans) to contract out for the services of engineers, surveyors and others, whenever CalTrans is inadequately staffed to carry out its various design programs. Discussion was held whereby Mr. Ferrito stated he could see no good motivation for supporting bill. Other Councilmembers stated they did not go along with the bill. No further action was taken. RECONSIDERATION LOS GATOS BLVD & SARATOGA AVENUE Mayor Ventura stated this is request from Planning Commission for the Town Council to reconsider the proposed traffic improvement project for Los Gatos Boulevard and Saratoga Avenue, so that it can be used as a mitigation measure for the Los Gatos Convalescent Hospital. Discussion was held whereby Councilmembers felt they could not accommodate more traffic and did not favor widening Los Gatos Boulevard. Mr. Bowman gave a summary report of what has gone on previously. Discussion was held on cost of EIR. Engineer Zapf answered question of Council re the impacts of traffic generation. No further action was taken. Town Manager stated study session on Capital Improvements should be scheduled. After some discussion May 19th, 1987 was the date chosen for study session. ADJOURNMENT Mrs. Benjamin moved meeting be adjourned at 11:20 p.m., Mr. Ferrito seconded. Carried unanimously. ATTEST: Rose E. Aldag Town Clerk