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DATE:
TO:
FROM:
MEETING DATE: 10/06/2015
ITEM NO: '-
COUNCIL AGENDA REPORT
September 29, 2015
MAYOR AND TOWN COUNCIL
ROBERT SCHULTZ, TOWN ATTORNEY
SUBJECT: ADOPTION OF A RESOLUTION OF THE TOWN COUNCIL OF THE
TOWN OF LOS GATOS SUPPORTING THE BOARD OF TRUSTEES
OF THE LOS GATOS UNION SCHOOL DISTRICT EFFORTS TO
RELIEVE OVERCROWDING IN ITS SCHOOLS
ADOPTION OF A RESOLUTION OF THE TOWN COUNCIL OF THE
TOWN OF LOS GATOS DENYING THE BOARD OF TRUSTEES OF
THE LOS GATOS UNION SCHOOL REQUEST TO SET AN INTERIM
SCHOOL FACILITIES FEE
RECOMMENDATION:
Staff recommends Town Council adopt a Resolution supporting the School District's efforts to
relieve overcrowding in its schools and also adopt a Resolution denying the School District's
request to set an Interim School Facilities Fee.
BACKGROUND:
On April 17, 2015 the Town received from the Los Gatos Union School District a Notice of
Findings of Overcrowding and arequest pursuant to Government Code Section 65970 et seq.,
(SB 201) for the Town of Los Gatos to enact an Ordinance for additional development fees and
establish a fee of $9.57 per sq. ft.
At the September 1, 2015 Town Council meeting, the Council approved the introduction and first
reading of an Ordinance adding section 25.60 to the Town Code related to Interim School
Facilities Fees. However, the Town Council raised several legal issues, including but not limited
to, the preemption and applicability of SB 50, the maximum allowed school fee that can be
assessed, and the use of interim fees for the purchase of land.
PREPARED BY: Robert Schultz, Town Attorney
Reviewed by: J_ fj Town Manager
Town Manager n 101 Finance
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: Ordinance re fees for overcrowding of schools
September 29, 2015
At the September 15, 2015 Town Council meeting, the Council denied the adoption of an
Ordinance adding section 25.60 to the Town Code related to Interim School Facilities Fees and
directed Staff to work with the School District on a new ordinance that complies with the legal
mandates of both the 1977 Act and S1350.
Also at the September 15, 2015 Town Council meeting, the Council directed Staff to bifurcate
the resolution into two separate resolutions. One Resolution would contain the language in
sections 1 -6, and one resolution contain the language in sections 7 -12, and would also include
the changes suggested by the Town Attorney, and return to Council for final approval on October
6, 2015.
DISCUSSION:
Pursuant to Council direction, attached are two separate Resolutions. The first resolution is
supporting the School District's efforts to relieve overcrowding in its schools. The second
Resolution is denying the School District's request to set an Interim School Facilities Fee.
Both Resolutions contain language that the Town Council's support to relieve overcrowding
shall not be deemed to concur with the School District Findings of overcrowding. This language
is very important to make certain that the Resolutions are not interpreted to be a concurrence
with the School District Findings pursuant to Government Code Section 65971- 65972. Such an
interpretation could mean that Town could not approve any permit for residential use unless the
Town made specific overriding fiscal, economic, social, or environmental findings which justify
the approval of a residential development. The addition of these Sections in both Resolutions
makes certain that the Town will not need to make the overriding findings, but still supports the
School District efforts to relieve overcrowding in its schools.
CONCLUSION:
Staff recommends Town Council adopt a Resolution supporting the School District's efforts to
relieve overcrowding in its schools and also adopt a Resolution denying the School District's
request to set an Interim School Facilities Fee.
ENVIRONMENTAL ASSESSMENT:
The action is not a project defined under CEQA and no further action is required.
FISCAL IMPACT:
The adoption of this agreement results in no fiscal impact.
Attachments:
1. Resolution Supporting the School District's efforts to relieve overcrowding
2. Resolution denying School Interim Facilities Fee
RESOLUTION NO
A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
SUPPORTING THE BOARD OF TRUSTEES OF THE LOS GATOS UNION SCHOOL
DISTRICT EFFORTS TO RELIEVE OVERCROWDING IN ITS SCHOOLS
WHEREAS, the Legislature of the State of California enacted Government Code Sections
65970 -65981 in 1977 (S13 201), in order to provide a means to alleviate overcrowding in public
schools caused by new residential development; and
WHEREAS, the Legislature of the State of California enacted Government Code Sections
65995 -65996 in 1986 and amended thru SB 50, provides that the payment or fees imposed in the amount
specified in Section 65995 are deemed to be full and complete mitigation of the impacts on adequate
school facilities; and
WHEREAS, the Los Gatos Union School District (hereinafter the "School District ") has
made and presented to the Town Council of the Town of Los Gatos, a Resolution containing
findings that conditions of overcrowding exist in the attendance area of the School District within
the Town of Los Gatos; and
WHEREAS, the Town Council of the Town of Los Gatos held public hearings on
September 1 and September 15, 2015 on the finding of overcrowding of the School District.
NOW, THEREFORE, the Town Council of the Town of Los Gatos does find and resolve
as follows:
SECTION 1:
The School District provides a high quality public school education to students who live in
the Town of Los Gatos and quality schools are a critical resource for local communities and
employers.
SECTION 2:
Improvements to school facilities are needed in the School District in order to provide the
students with adequate, proper, and safe educational facilities.
SECTION 3:
The School District asserts that it is experiencing an increase in enrollment that has led to
overcrowding at schools and enrollment projections call for continued increases in enrollment,
resulting in more overcrowding.
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ATTACHMENT 1
SECTION 4:
The Town Council of the Town of Los Gatos strongly supports the School District's
efforts to relieve overcrowding and make improvements to school facilities and relies upon the
School District in its expertise, methodology and determination of overcrowding in schools.
SECTION 5:
The Town Council of the Town of Los Gatos strongly encourages developers to
collaborate with the School District to address school needs and work closely with the School
District's to project enrollment growth and address overcrowding by assisting with identifying
strategies for providing needed school facilities and associated sources of funding.
SECTION 6:
The Town Council of the Town of Los Gatos shall work with the School District to seek
additional mitigation from developers to prevent further overcrowding. In implementing this
provision, the Town of Los Gatos shall comply with the provisions of SB 50.
SECTION 7:
The support of the Town Council of the Town of Los Gatos to the School District's efforts
to relieve overcrowding shall not be deemed to concur with the School District Findings pursuant
to Government Code Section 65971- 65972.
PASSED AND ADOPTED by the Town Council, Town of Los Gatos at a regular
meeting thereof held on the 6`" day of October 2015 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST: Marcia Jensen, Mayor
Shelley Neis, Clerk Administrator
PAI
RESOLUTION NO
A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
DENYING THE BOARD OF TRUSTEES OF THE LOS GATOS UNION SCHOOL
REQUEST TO SET AN INTERIM SCHOOL FACILITIES FEE
WHEREAS, the Legislature of the State of California enacted Government Code Sections
65970 -65981 in 1977 (SB 201), in order to provide a means to alleviate overcrowding in public
schools caused by new residential development; and
WHEREAS, the Legislature of the State of California enacted Government Code Sections
65995 -65996 in 1986 and amended thm SB 50, provides that the payment or fees imposed in the amount
specified in Section 65995 are deemed to be full and complete mitigation of the impacts on adequate
school facilities; and
WHEREAS, the Los Gatos Union School District (hereinafter the "School District ") has
made and presented to the Town Council of the Town of Los Gatos, a Resolution containing
findings that conditions of overcrowding exist in the attendance area of the School District within
the Town of Los Gatos which will impair the normal functioning of educational programs
including the reasons for such conditions existing and requesting the Town of Los Gatos to enact
an Interim School Facilities Fee of $9.57; and
WHEREAS, the Town Council of the Town of Los Gatos held public hearings on
September 1 and September 15, 2015 on the finding of overcrowding of the School District and
the request to enact an Interim School Facilities Fee of $9.57 per sq. ft.
NOW, THEREFORE, the Town Council of the Town of Los Gatos does find and resolve
as follows:
SECTION 1:
SB 50 created a comprehensive school facilities financing and mitigation regime. The
effect of these SB 50 provisions is to limit the school fees that can be charged to new
development and to remove the ability of the Town of Los Gatos to make land use decisions
based on the inadequacy of school facilities or school overcrowding. Therefore, the Town
Council of the Town of Los Gatos denies the School District request to set an Interim School
Facilities Fee at $ 9.57 per sq. ft.
SECTION 2:
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ATTACHMENT
SB 50 expressly provides that the amount of any fees, charges, dedications, or other
requirements authorized under SB 201 may not exceed the Level I, II, and III maximum fee
amounts and the School District request to set an Interim School Facilities Fee at $9.57 per sq. fi.
is over the maximum fee allowed. Therefore, the Town Council of the Town of Los Gatos denies
the School District request to set an Interim School Facilities Fee at $ 9.57 per sq. ft.
SECTION 3:
SB 201 is limited to funding temporary /interim school facilities and the School District's
findings fail to limit the requested fee expenditures to the authorized interim school facilities.
Therefore, the Town Council of the Town of Los Gatos denies the School District request to set
an Interim School Facilities Fee at $ 9.57 per sq. ft.
SECTION 4:
The Town Council of the Town of Los Gatos cannot make the findings required under SB
201 that the specified land and interim facilities are consistent with the jurisdiction's General
Plan since the School District has failed to identify the interim facilities with sufficient
specificity. Therefore, the Town Council of the Town of Los Gatos denies the School District
request to set an Interim School Facilities Fee at S 9.57 per sq. ft.
SECTION 5:
SB 201 establishes that the value of the land to be dedicated or the amount of fees to be
paid shall not exceed the amount necessary to pay five annual lease payments for the interim
facilities. There is no evidence that the proposed fee of $9.57 per sq. ft. is limited to the amount
necessary to pay five annual lease payments for interim facilities. Therefore, the Town Council
of the Town of Los Gatos denies the School District request to set an Interim School Facilities
Fee at $ 9.57 per sq. ft.
SECTION 6:
The Town Council of the Town of Los Gatos cannot make the findings pursuant to
Government Code Section 65971 -65972 that all reasonable methods of mitigating conditions of
overcrowding have been evaluated and the School District has failed to comply with SB 50 and
SB 201 as set forth above.
PASSED AND ADOPTED by the Town Council, Town of Los Gatos at a regular
meeting thereof held on the 6`h day of October 2015 by the following vote:
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AYES:
NOES:
ABSENT:
ABSTAIN:
Marcia Jensen, Mayor
ATTEST:
Shelley Neis, Clerk Administrator