Los Gatos is still recovering from the economic blows caused by the pandemic, which Mayor Maria Ristow said presents new challenges in setting the town’s budget priorities.
Los Gatos Town Council will meet Jan. 24 to discuss issues like traffic control, public safety, financial planning and overall quality of life, and to set priorities for town staff to use to craft the budget for fiscal year 2023-24.
“The biggest constraint we have right now as we’re recovering from COVID is we are resource-limited,” Ristow said. “I think the hardest thing for all of us is we can’t take on any new priorities. But that said, the priorities we have are incredibly robust, and things that we absolutely have to continue.”
Financial planning
Los Gatos is projecting a $10 million-plus budget deficit over the next five years as the region rebounds from the economic impacts of the pandemic.
“I think one of the biggest things we’re going to have to do is look at sources of revenue,” Ristow said.
Annual transit occupancy tax revenues from hotels dropped from $2.4 million before the pandemic to $700,000 in 2020. These revenues have started to rebound, reaching $900,000 last year and $1.4 million by the midyear budget review.
The town had a $1.4 million deficit in the 2021-22 fiscal year, which was offset with American Rescue Plan Act funding, but councilmembers stressed that the town can’t count on those funds to bail them out in the coming years.
Council last year focused on exploring new revenue opportunities, approving a ballot measure to increase the local business license tax but denying legalization of local cannabis storefronts. Voters passed the tax increase in November.
The business tax, which up until the November election had not been updated in 30 years, is expected to bring in an estimated $1 million in annual revenues. Los Gatos staff estimate that the deficit will increase by about $2 million per year, so the town still needs to come up with another $1 million to break even.
The Los Gatos Chamber of Commerce submitted suggestions to the town, like streamlining business permits to get stores and restaurants up and running — and generating revenue for the town— more quickly, and investing in “destination marketing” to bring in tourists and bolster the hotel tax.
“There’s an effort to redefine Los Gatos. … How do we make Los Gatos a travel destination?” Ristow said. “We’re an absolutely beautiful setting, right near wineries with a walkable downtown. It always struck me from the time we moved here that we didn’t have more people coming and staying here vacationing.“
Traffic and transportation
From beach traffic in the summer to school traffic during the academic year, traffic and parking have been top concerns for residents, according to a resident survey conducted last year.
“That’s always an issue in Los Gatos,” Ristow said. “We’re so geographically constrained that there’s not really a grid where traffic can sort of spread out; we tend to funnel down. We’re continuing work to continue our bike and pedestrian improvements, and our Measure B transportation projects.”
The town also made progress on its comprehensive parking study last year, implementing elements of its Downtown Parking Program like the employee parking program, which converted more than 400 spots into “employee only” parking.
Improved signs and new parking pay stations could pop up in the coming year.
Quality of life
Council highlighted diversity, equity and inclusion efforts in its priority list in January 2022 and voted to pay two consultant groups — American Leadership Forum Silicon Valley Insights and ReadySet — to develop a JEDI report.
This report audited the town’s current policies and procedures and surveyed residents on what changes they wanted to see from the town, like developing more affordable housing, engaging with youth groups and working with school districts.
Council tasked the consultants and town staff with developing short- and long-term goals, action items, metrics and timelines for making those changes for presentation later in 2023.
The town set some goals on boosting services for the older adult community as well. The recently established Senior Services Commission is developing a roadmap of services to be presented to town council later this year.
Commission chair Tom Picraux said the group looked at what peer cities like Palo Alto, Campbell, Saratoga and Princeton, NJ, have implemented for their seniors.
“Our older adult population has been growing rather rapidly,” Picraux said. “We’re guessing that probably a third of Los Gatos will be seniors at the end of this 10-year vision we’re laying out.”
Town Council also made progress on its Housing Element, which outlines areas for future housing development to meet state-mandated requirements. The Planning Commission has already approved the document, and Town Council is ready to send its final draft to the state Jan. 30.
The 2040 General Plan, which outlines the town’s growth and development over the next 20 years, was recalled by a group of residents who claim the plan called for an unnecessarily high number of future housing units.
The Los Gatos Community Alliance lead the referendum against the Land Use and Community Design elements. Ristow said the council will decide whether to rewrite those chapters or put them before Los Gatos voters.
“We listened to a lot of voices in the community, we crafted what we thought was an excellent document, and one group decided to have a referendum,” Ristow said. “So I would rather all those groups talk to each other and then come to us and say, ‘This is what the main vocal groups in the community have agreed on.’”
Public safety
Public safety will always be a priority for the town, Ristow said. The recent storms that worked their way through the Bay Area showed the importance of emergency preparedness and community support.
Early last year, Los Gatos-Monte Sereno Police Department hired a new police chief, Jamie Field, who spearheaded community policing efforts in town.
Events like Coffee with a Cop and Walk with a Cop were scheduled to give residents a chance to interact with the department in a more casual setting.
They also brought in two therapy dogs, JJ and Gary, who are used for community engagement and to support the mental health of officers.
The department hosted its first community policing academy where residents could learn about the different aspects of policing in Los Gatos.
Source: www.mercurynews.com