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2026-021 - GRANTING AN APPEAL OF THE DECISION OF THE COMMUNITY DEVELOPMENT DIRECTOR’S INCOMPLETENESS DETERMINATION FOR A SENATE BILL 330 (SB 330) APPLICATION REQUESTING APPROVAL TO DEMOLISH A COMMERCIAL BUILDING AND CONSTRUCT A MIXED-USE DEVELOPMENT RESOLUTION 2026-021 RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS GRANTING AN APPEAL OF THE DECISION OF THE COMMUNITY DEVELOPMENT DIRECTOR'S INCOMPLETENESS DETERMINATION FOR A SENATE BILL 330 (SB 330) APPLICATION REQUESTING APPROVAL TO DEMOLISH A COMMERCIAL BUILDING AND CONSTRUCT A MIXED-USE DEVELOPMENT (175 MULTI-FAMILY RESIDENTIAL UNITS) WITH COMMERCIAL SPACE AND A CONDOMIUM TENTATIVE MAP ON PROPERTY ZONED C-1:HEOZ AND C-1. APNS 424-17-035 AND -036 ARCHITECTURE AND SITE APPLICATION: S-24-018, CONDITIONAL USE PERMIT APPLICATION: U-24-007, AND SUBDIVISION APPLICATION: M-24-009. PROPERTY LOCATION: 15300 AND 15330 LOS GATOS BOULEVARD APPELLANT/PROPERTY OWNER/APPLICANT:ARYA PROPERTIES, LLC. WHEREAS, Government Code Section 65941.1 authorizes housing development project applicants to submit a Senate Bill 330 (SB 330) "preliminary application;" WHEREAS, under Government Code Section 65589.5(o), submittal of an SB 330 "preliminary application" containing all items required by Government Code Section 65941.1 vests an applicant to the Town regulations that were in effect on the date that the preliminary application was deemed submitted, with certain exceptions; WHEREAS, Government Code Section 65941.1(e)(1) provides that within 180 calendar days after submitting a preliminary application with all of the required information,an applicant must submit a planning application that includes all of the information required by Government Code Sections 65940, 65941, and 65941.5 in order to retain vesting; WHEREAS, Government Code Section 65941.1(e)(2) provides that, if the Town determines under Government Code Section 65943 that the planning application is incomplete, the applicant must submit the information required to complete the planning application within 90 days of receiving the Town's determination in order to retain vesting; WHEREAS, Government Code Section 65941.1(e)(2) could be interpreted to mean that the applicant may have either a single 90-day period in which to render a planning application complete after the 180-day submittal period expires, or unlimited 90-day periods to complete the application; WHEREAS, a preliminary application for the Arya project was submitted on November 7, 2023, and a formal planning application for a mixed-use development (175 units) and a condominium tentative map (Architecture and Site Application S-24-018, Conditional Use 1 of 3 Resolution 2026-021 April 21, 2026 Permit Application U-24-007, and Subdivision Application M-24-009)was submitted on May 10, 2024; WHEREAS, on December 23, 2024,the Town provided the Applicant with a letter indicating that the Town had completed its review of the resubmittal of the formal application pursuant to provisions of the Permit Streamlining Act (specifically, Government Code Section 65943), and that the application remained incomplete; WHEREAS,the application incompleteness determination was provided to the Applicant's team on December 23, 2024, as part of the Staff Technical Review Committee comments, and discussed at the January 8, 2025, Staff Technical Review Committee meeting; WHEREAS,the Arya applicant received an incompleteness letter after both the 180-day submittal period and an additional 90-day period had elapsed; WHEREAS, on January 30, 2025, the Town's Community Development Director provided provided the Applicant with a letter stating that the application remained incomplete and that, in accordance with Government Code Section 65943,the Applicant may appeal the incompleteness determination of the SB 330 application to the Town Council by paying the required appeal fee and submitting a written appeal to the Town Clerk on the appeal form within 10 days of the date of the letter; WHEREAS,the applicants' architect called a Town staff member to inquire regarding the import of the incompleteness letter, and the Town staff member indicated that the vesting afforded by the preliminary application may have expired; WHEREAS, after speaking with a Town staff member,the Arya applicant submitted an appeal of the Town staff member's statement that their preliminary application vesting may have expired; WHEREAS,the Town sought declaratory relief to obtain a judicial determination on the question of whether, after the initial 180-day submittal period expires,there is a single 90-day period or unlimited 90-day periods in which to render a planning application complete; WHEREAS, the Town continued to process in a normal fashion, without delays, all potentially affected planning applications, including the planning application of the appellant, pending judicial review of this question; WHEREAS,the Arya planning application was deemed complete on April 16, 2025, and is continuing to be processed, pending receipt of requested information from the applicant; WHEREAS, on January 29, 2026,the Santa Clara County Superior Court ruled in The Town of Los Gatos v. Arya Properties, LLC(Case No. 25CV462276), that that Government Code Section 65941.1(e)(2) "allows for multiple 90-day resubmission periods for a project proponent 2 of 3 Resolution 2026-021 April 21, 2026 to respond to successive incompleteness determinations without losing the project vesting conferred by a preliminary application as provided at section 65941.1, subdivision (e)(1)." NOW,THEREFORE, BE IT RESOLVED that the Town Council of the Town of Los Gatos does hereby declare, determine, and order as follows: 1. Because the Superior Court has determined that multiple 90-day resubmission periods are allowed to respond to successive incompleteness determinations,the Town will act in compliance with that determination absent any contrary, controlling legal authority applicable to the projects. Thus, based on the Superior Court determination the vesting afforded by the SB 330 preliminary applications for the Arya application has not expired. 2. The appeal submitted on behalf of Arya Properties LLC is granted. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 21st of April, 2026, by the following vote: COUNCIL MEMBERS: AYES: Rob Rennie, Maria Ristow, Mayor Rob Moore NAYS: Mary Badame, Matthew Hudes ABSENT: None ABSTAIN: None SIGNED: MAYOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA ATTE T: / r'I 4 .� TOWN CLJYK OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA 3of3 Resolution 2026-021 April 21, 2026