M02-16-101
MINUTES OF THE TOWN COUNCIL/PARKING
AUTHORITY/REDEVELOPMENT AGENCY
FEBRUARY 16, 2010
The Town Council of the Town of Los Gatos conducted a Regular Meeting on
Tuesday, February 16, 2010 at 7:00 P.M.
TOWN COUNCIL/PARKING AUTHORITY/REDEVELOPMENT AGENCY
MEETING CALLED TO ORDER
ROLL CALL
Present: Mayor Diane McNutt, Vice Mayor Joe Pirzynski, Council Member Steve
Rice, Council Member Barbara Spector, and Council Member Mike Wasserman.
Absent: None.
PLEDGE OF ALLEGIANCE
Ronan Shaw from Hillbrook School led the Pledge of Allegiance. The audience
was invited to participate.
PRESENTATIONS
Council Member, Chuck Page, City of Saratoga, presented information about
the Peninsula Division of the League of California Cities.
Vice Mayor Joe Pirzynski commented that the focus right now is on
obtaining almost 700,000 signatures state-wide by April 15, 2010 for the initiative
to protect local revenue from State takes.
CLOSED SESSION REPORT
There was no Closed Session scheduled for this meeting.
TOWN COUNCIL
COUNCIL/TOWN MANAGER REPORTS
Council Member Mike Wasserman
• Commented on an issue brought up at the Guadalupe West Valley Flood
Control meeting last week regarding a proposition by the Board for
consideration of a proposed fee schedule for the issuance of
encroachment permits, license fees, etc.
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Council/Manager Matters – Continued
• Mr. Wasserman provided a packet of information regarding the issue for
distribution to the Council Members and stated if there are any questions
or thoughts he will bring them up at the next Guadalupe West Valley Flood
Control meeting.
Vice Mayor Joe Pirzysnki
• Recommended that at the next council meeting, language be brought
forward for a Council proclamation of support in favor of the statewide
initiative to protect local revenues.
• Council Member Mike Wasserman seconded the request by Vice Mayor
Joe Pirzynski.
MANAGER MATTERS
Mr. Larson
• Commented that last Wednesday a milestone was celebrated as long-time
Volunteer in Policing (VIP), Don Stillwell, walked his 3000th mile
protecting our trails. The Police Chief walked with him towards the end of
the trail and there was a celebratory welcome at Town Hall.
• Commented that site prep and demolition were started last week for
the new library project. The historic home has been moved to Winchester
Boulevard and Lark Avenue and the Town is continuing to seek individuals
who are interested in purchasing the house.
• Commented that the stimulus-funded work on University Avenue and
Blossom Hill Road is underway.
• Suggested that residents save the date, Wednesday, April 21st from 5-7
p.m., for a General Plan Update Community Forum.
Did You Know…?
Jerett Blaskey, Parks & Public Works Acting Parks Supervisor
• Updated the Council and community on the Town’s park reservation
process.
• Commented that the community can make park reservations on-line at the
Town’s website: www.LosGatosCa.gov, by telephone (408) 399-5781, or
by visiting the Parks and Public Works Department at 41 Miles Avenue.
Mayor Diane McNutt
• Questioned if the type of events for which the parks can be reserved are
things like birthday parties, family reunions, company picnics, etc.
Mr. Blaskey
• Confirmed that the events for which the parks can be reserved also
include events such as cancer walks, which require a special use permit.
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CONSENT ITEMS (TO BE ACTED UPON BY A SINGLE MOTION)
1. Adopt a resolution authorizing the Town Manager to execute the
Amendment to Grant Agreement By and Between the Town of Los
Gatos and A Place for Teens and Los Gatos-Saratoga Community
Education and Recreation 2009-2012 (continued from 1/19/2010)
RESOLUTION 2010-015
2. Adopt resolution authorizing the Manager to sign the Joint Powers
Agreement to become a member of the Silicon Valley Regional
Interoperability Authority (SVRIA) and authorizing the Manager to sign
the Amendment to the Second Amended Joint Funding Agreement
(JFA) to allow the JFA and it’s assets to transition to the Silicon Valley
Regional Interoperability Authority JPA RESOLUTION 2010-016
3. PPW Job No. 09-20 - Prospect Avenue Resurfacing Project 421-812-
0108
a. Adopt a resolution approving plans and specifications for the
Prospect Avenue Resurfacing Project and authorizing staff to
advertise the project for bid RESOLUTION 2010-017
b. Adopt resolution of local support for American Recovery and
Reinvestment Act of 2009 (ARRA) Funding. RESOLUTION 2010-018
c. Authorize a budget adjustment in the amount of $75,705 from 421-812-
0108
4. Tract No. 10041 - Thrash House (371 Los Gatos Boulevard) Adopt a
resolution approving final map for Tract No. 10041 - Thrash House
(371 Los Gatos Boulevard), accepting the dedications, and
authorizing the Town Manager to execute the contract for public
improvements RESOLUTION 2010-019
5. Adopt resolution authorizing the Town Manager to enter into
preliminary discussions with the Santa Clara Valley Transportation
Authority regarding transit shelter advertising RESOLUTION 2010-020
6. Adopt amended Council Committee Appointments effective January,
2010
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Consent Items – Continued
Mayor Diane McNutt
• Clarified that there are desk items on Consent Item #7 and Consent Item
#9.
Vice Mayor Joe Pirzysnki
• Commented on Consent Item #7, the minutes, and Consent Item
#10 within the minutes.
• Commented that Consent Item #10 was previously presented to Council
with verbatim minutes from the Planning Commission meetings and
requested clarification if verbatim minutes from the Town Council
meetings will be made available for the Planning Commission.
• Commented that there are clarifications in the Desk Item and he hopes
that the Planning Commission has the opportunity to review not only the
summary motion, but the other issues that were brought up.
Mr. Larson
• Clarified that the verbatim minutes of the Council’s discussion will be
provided to the Planning Commission.
Council Member Barbara Spector
• Commented on Consent Item #9, page 2 of the staff report regarding the
future disposition and development agreement (DDA.)
• Asked for clarification about what it is that the Agency is conveying in the
agreement or has that decision been made yet.
Mr. Martello
• Clarified that the decision on the form of the conveyance has not been
made by the Council but it will be determined by Council in public session.
• Clarified that the word convey can mean transferring full fee title
ownership, or it could also be a lease.
• Commented that at this point the initial deliberations with ROEM
Corporation will be around the possibility of transferring the fee simple, but
that would have to be approved by Council.
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TOWN COUNCIL/REDEVELOPMENT AGENCY
7. Approve Council/Agency minutes of February 1, 2010
8. Accept the 2008/09 Comprehensive Annual Financial Report (CAFR)
and Management Letter
9. 20 Dittos Lane
a. Adopt Town Council/Redevelopment Agency resolution approving a
Relocation Impact Statement and Last Resort Housing Plan for 20
Dittos Lane RESOLUTION 2010-021
b. Adopt Redevelopment Agency resolution approving a First Amended
and Restated Amended Exclusive Right to Negotiate Agreement
RESOLUTION 2010-022
10. PPW Job No. 07-22 - Los Gatos/Monte Sereno Police Operations
Building Project 821-2401 Adopt resolution authorizing the Town
Manager to execute a third and final amendment to the professional
services agreement with Ross Drulis Cusenberry, Incorporated to
provide design services in an additional amount not to exceed
$36,335. RESOLUTION 2010-023
11. PPW Job No. 09-06 - Los Gatos Library Project 411-281-2104 and 411-
281-2501 Adopt resolution authorizing the Town Manager/Executive
Director to execute a Design and Construction Agreement with San
Jose Water Company to provide water service to the Los Gatos
Library in an amount not to exceed $331,600. RESOLUTION 2010-024
MOTION: Motion by Council Member Steve Rice to approve
Consent Items #1-11.
Seconded by Council Member Mike Wasserman.
VOTE: Motion passed unanimously.
VERBAL COMMUNICATIONS
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Mr. Miller
• Thanked the Town of Los Gatos for their past and continued support of A
Place for Teens.
Mr. Fagot
• Thanked Council for their support to the youth and community through
their involvement, action and financial commitment to teens.
Ms. Helmer
• Thanked the Council for their continuous support of A Place for Teens.
• Commented that without the support that the Town provides for the Venue
there would be no place for teens to hang out and have a safe
environment.
Mr. Miller
• Thanked the Town for their support of A Place for Teens.
Commented that the Venue-A-Thon has been re-scheduled to May 16,
2010.
Closed Verbal Communications
OTHER BUSINESS
12. Fiscal Year 2009/10 Mid-Year Budget Performance and Status Report -
Six Months ending December 31, 2009
a. Accept 2009/10 Mid-Year Second Quarter Budget Performance Status
Report, including FY 2009/10 Fiscal Year Financial Projections
b. Authorize budget adjustments as recommended in the attached
Second Quarter Budget Performance Report
Staff report made by Steve Conway, Director of Finance and Jenny Haruyama,
Finance/Budget Manager.
Council Comments
• Requested clarification of what tool is being used to make the projections
through 2015 on the graph of the 5-year update.
• Commented on the graph forecast trend line between 2013/14 and
2014/15 which shows a notable decrease in revenues and questioned why
we are projecting that change to what appeared to be an upward move in
the scale to that point.
Other Business Item #12 – Continued
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Mr. Conway
• Clarified that information is extracted from the Town’s financial system,
which includes salary and benefit costs by employee, and placed in an
Excel spreadsheet.
• Clarified that the revenue is not declining, rather the 5-year forecast graph
is a portrayal of all of our revenues, including use of reserves. The last
year, 2014/15, reflects that we will have used all of our reserve for capital
monies that have been set aside.
Mr. Larson
• Clarified that on page 7 of the staff report, under Capital & Special
Projects Reserve, it shows the $600,000 to $550,000 swing that Mr.
Conway mentioned, but the last column shows the drop in revenue from
the reserve funds being transferred.
• Commented that half of the Netflix money is being allocated to GFAR
funds so if we end up this year where we think we will, with half of the
Netflix money going to revenue stabilization and GFAR, we will have
covered that year five that currently shows nothing.
Mr. Conway
• Commented that it is the hope that there will be $500,000 that can be
added to the reserve, which can then be used to fund our capital program
in the fifth year.
Council Comments
• Questioned if the $8,000 increase in credit card fees is offset by revenues
from convenience fees that the Town charges.
• Commented that a convenience fee should be looked into to allow for cost
recovery of credit card fees.
• Questioned if a portion of the $100,000 increase in parking citation
revenue is a result of the concerted effort to retrieve past due parking
citations.
• Commented that the Town lost revenue from the sales taxes generated
from the car dealerships, but will gain revenue from the property tax for
new development and asked if there is a projection for revenues that will
be generated from development of vacant car lots.
• Expressed concerns regarding operating expenditure trends and how to
determine when reserves should be used with the intention of replacing
them as we move forward.
Other Business Item #12 – Continued
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Mr. Conway
• Clarified that the Town does not have a conveyance fee and stated that
there are no cities in Santa Clara County charging a conveyance fee at
this time, although several are considering it.
• Clarified the increase in credit card fees is due to the use of cards by
customers being higher than expected and there is a fee associated with
the use of credit cards.
• Confirmed that the Town did have some additional enforcement to collect
on past due parking citations which is reflected in the $100,000 increase in
parking citation revenue.
• Clarified that at this time there is no projection for development of vacant
car lots due to the limited reporting technology available from the County
to run a report of assessed values on all parcels.
• Commented that although future development will someday generate
income, it is not calculated in the revenue projection.
• Commented that the Town is sensitive to reductions in service levels and
it is a priority in crafting the proposed budget for next year.
• Commented that there may be a recommended use of reserves for next
year.
• Commented that the latest projections show that in fiscal year 2011/12 we
can expect that the economy will begin to come out of the recession.
Open Public Comments
Ms. Garcia-Kohl, Associate Director, Housing Trust of Santa Clara County
• Commented on the Town's support of the Housing Trust's program.
Closed Public Comments
MOTION: Motion by Vice Mayor Joe Pirzynski Accept Fiscal Year
2009/10 Mid-Year Budget Performance and Status Report,
Including Fiscal Year 2009/10 Fiscal Year Financial
Projections and Authorize Budget Adjustments as
Recommended in the Attached Second Quarter Budget
Performance Report.
Seconded by Council Member Barbara Spector.
VOTE: Motion passed unanimously.
ADJOURNMENT
Attest: /s/ Jackie D. Rose
____________________________
Jackie D. Rose, Clerk Administrator