Staff Report - Hwy 85 Final
PREPARED BY: ROBERT SCHULTZ
Town Attorney
Reviewed by: Town Manager, Assistant Town Manager, and Finance Director
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 11/07/2017
ITEM NO: 6
DATE: October 31, 2017
TO: MAYOR AND TOWN COUNCIL
FROM: ROBERT SCHULTZ, TOWN ATTORNEY
SUBJECT: APPROVAL OF SETTLEMENT AGREEMENT IN TOWN OF LOS GATOS,
SARATOGA AND CUPERTINO VS. CALIFORNIA DEPARTMENT OF
TRANSPORTATION (CALTRANS) AND VALLEY TRANSPORTATION
AUTHORITY (VTA)
RECOMMENDATION:
Approve the attached Settlement Agreement in Town of Los Gatos vs. Caltrans and VTA (Case
No. 115CV281214)
BACKGROUND:
In April 2015, the Town Council authorized the filing of a CEQA lawsuit with Saratoga and
Cupertino challenging the CEQA determination for the Highway 85 Express Lanes Project
(Project). The lawsuit filed against the California Department of Transportation (Caltrans) and
Valley Transportation Authority (VTA) maintains that a full Environmental Impact Report should
be undertaken. The fundamental concerns with the Project can be summarized as follows:
• The Initial Study fails to adequately evaluate the Project’s potential
environmental impacts or to propose effective mitigation measures,
rendering the document inadequate under both the California
Environmental Quality Act (“CEQA”), Public Resources Code section
21000 et seq. and the National Environmental Policy Act (“N EPA”), 42
U.S.C. section 4321 et seq;
PAGE 2 OF 3
SUBJECT: APPROVAL OF SETTLEMENT AGREEMENT IN TOWN OF LOS GATOS, SARATOGA
AND CUPERTINO VS. CALIFORNIA DEPARTMENT OF TRANSPORTATION
(CALTRANS) AND VALLEY TRANSPORTATION AUTHORITY (VTA)
OCTOBER 30, 2017
BACKGROUND (cont’d):
• VTA’S environmental review does not consider reasonable alternatives to
the Project;
• The Project has the potential to hinder, or preclude altogether, light rail
transit along the State Route (SR) 85 corridor;
• The Project will discourage carpooling and the use of electric vehicles;
and
• The Project, as currently designed, is socially inequitable and fails to
achieve its own goals.
The Action has been stayed since August 19, 2016 in order to allow for settlement discussions
among the parties following approval by the voters of Santa Clara County of Measure B on
November 8, 2016 authorizing VTA to enact transactions and use tax for transportation
purposes.
DISCUSSION:
Since the passage of Measure B, the Town along with the Cities of Cupertino and Saratoga have
been meeting with VTA staff and Board members exchanging settlement proposals in an
attempt to resolve this litigation. On September 5, 2017 the Council met in closed session and
provided direction to the Town Attorney which has now been formalized into a settlement
agreement (Attachment 1).
The following are the major settlement terms that staff from the Town/Cities and VTA has
reached and have been incorporated into the settlement agreement.
I. Dismissal of Litigation. The Action shall be deemed settled and the Cities shall, within five (5)
days thereafter, execute and file a Dismissal with Prejudice of the Action.
II. Proposed State Route (SR) 85 Corridor Program Guidelines. The Proposed Guidelines
reference the role of the SR 85 Transit Guideway (TG) Study. VTA has already begun the SR 85
TG Study to identify the most effective transit and congestion relief projects o n SR 85. VTA
agrees to complete the State Route 85 TG Study. Upon completion of the TG Study, an
implementation plan for SR 85 Corridor projects will be developed which will identify projects
that are candidates for funding. The SR 85 Policy Advisory Board will forward recommended
projects to the VTA Board of Directors to be funded in the 2 -year budget process.
PAGE 3 OF 3
SUBJECT: APPROVAL OF SETTLEMENT AGREEMENT IN TOWN OF LOS GATOS, SARATOGA
AND CUPERTINO VS. CALIFORNIA DEPARTMENT OF TRANSPORTATION
(CALTRANS) AND VALLEY TRANSPORTATION AUTHORITY (VTA)
OCTOBER 30, 2017
DISCUSSION (cont’d):
III. No Projects until Completion of TG Study. VTA and Caltrans agree that any activity on the
portion of SR 85 that would preclude the implementation of a lane for transit purposes shall be
suspended until the TG Study has been received by the VTA Board of Directors.
IV. Noise Abatement Projects. The Settlement Agreement provides that the five pilot projects as
identified in the SR 85 Noise Abatement Study will be funded when the 2016 Measure B
funding is available.
V. Non-Waiver of Rights under Performance Agreements. The Settlement Agreement does not
waive or affect any rights or defenses of any of the Parties under the 1989 Performance
Agreement between the Santa Clara County Traffic Authority and the City of Cupertino, the
1989 Performance Agreement between the Santa Clara County Traffic Authority and the City of
Saratoga, the 1990 Performance Agreement between the Santa Clara County Traffic Authority
and the Town of Los Gatos, and the 1990 Freeway Agreement between Caltrans and the Town
of Los Gatos.
VI. Attorneys’ Fees. The Cities will not seek attorneys’ fees or costs with regard to the Action.
The terms of the attached settlement agreement are consistent with the direction Council
provided in closed session and all other parties have agreed to these terms.
CONCLUSION:
Approve the attached settlement agreement in Town of Los Gatos vs. Caltrans and VTA (Case
No. 115CV281214)
Attachment:
1. Draft Settlement Agreement