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City Council Meeting - Media

Published: Jun 15, 2026

Zoning And Land UseCommercial

Gilroy City Council Advances Ordinance to Address Downtown Vacancies and Establishes Campaign Expenditure Ceilings

The Gilroy City Council introduced an ordinance to amend Chapter 5D of the Gilroy City Code, concerning vacant commercial spaces in downtown districts. The ordinance aims to improve the visual appeal and economic vitality of downtown by replacing plywood coverings with higher quality materials, potentially incorporating art, and regulating the duration of plywood use. It also reinstates registration fees for vacant buildings, adjusted to $750 for the first year and $1,500 thereafter, and introduces a building report card requirement. Delinquent fines can be collected through special assessments on property tax rolls. The council also voted to introduce and waive the reading of an urgency ordinance to establish voluntary campaign expenditure ceilings of $25,000 per district-based election and $1 per resident for the at-large mayor seat, effective immediately.

Budget & FinanceOther

Gilroy City Council Reviews Q3 Budget, Approves Position Control Updates and Fire Engine Bid

The Gilroy City Council reviewed the third quarter fiscal year 2026 budget update, general fund forecast, and position control list. The report indicated a projected operating deficit for fiscal years 2026 and 2027, which would be offset by excess general fund balance and a pension trust. The council also approved budget adjustments for the police department's overtime, a grant for youth access, and the purchase of a reserve fire engine. Non-general fund adjustments were also presented, including increased appropriations for solid waste, police grants, capital projects, and street trees. The council received the budget update, adopted resolutions for updated position control lists and budget amendments for fiscal years 2026 and 2027, and authorized the city administrator to bid for a reserve fire engine.

UtilitiesInfrastructure

Gilroy City Council Adopts 2025 Urban Water Management and Contingency Plans Amidst Public Concerns

The Gilroy City Council held a public hearing and adopted the 2025 Urban Water Management Plan (UWMP) and the 2025 Water Shortage Contingency Plan (WSCP). The UWMP, a state-mandated document updated every five years, outlines how the city will manage its water supply and demand through 2050, emphasizing water conservation and reliability. The plan highlights Gilroy's success in reducing water usage below the state's 2020 target and details a four-level water shortage contingency plan to manage drought conditions. The WSCP addresses different drought levels and outlines corresponding water-saving actions. The plan relies on groundwater from the Yagas Basin, managed by Valley Water, and utilizes recycled water as a supplemental source. Public comments raised concerns about the data center's water usage, the accuracy of water demand projections, and the need for updated models and transparency regarding water allocation, particularly concerning industrial users.

Parks & EnvironmentInfrastructure

Gilroy City Council Approves $1.28 Million Contract for Los Animas Park Pickleball Courts

The Gilroy City Council approved the plans and specifications for the Los Animas Park Pickleball Courts project and awarded a construction contract to Monterey Peninsula Engineering (MPE) for an amount not to exceed $1,226,401. The total project construction cost, including contingency, is $1,288,000. The project will include six asphalt pickleball courts, pathways, accessible parking, fencing, storm drainage, landscaping, lighting, and site furnishings. The approved budget includes a shortfall of $499,190, to be funded from the facilities fund and the recreation fund. Councilmembers expressed concerns about the project's cost exceeding initial estimates and the timeline for completion, but ultimately supported moving forward due to community demand and the risk of further cost increases if delayed. The project is expected to be completed by mid-October.

Transparency And GovernanceCommercial

Gilroy City Council Renews Tourism Business Improvement District

The Gilroy City Council held a public hearing and adopted a resolution to renew the Gilroy Tourism Business Improvement District (TBID). The renewal process included a management district plan, which removed the 10-room threshold for hotels previously included. No written protests were received from lodging business owners, meaning no majority protest exists. Therefore, the council adopted the resolution to renew the TBID, confirming that all statutory requirements were met.

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