Gilroy council approves VMT greenhouse‑gas reduction program contract, trims community outreach

The Gilroy City Council voted 5–2 to award a contract to Ascent Environmental to develop a citywide vehicle‑miles‑traveled greenhouse‑gas (VMT GHG) reduction program and related policy documents, approving a reduced scope that omits enhanced community outreach.

The contract approved by council covers a VMT reduction policy, transportation demand management (TDM) guidelines, CEQA documentation, and a safety element update at a total contract amount of $440,816. The project is primarily funded by a Caltrans sustainable transportation planning grant of roughly $335,529; the grant requires a local match and staff said the city budget contains the required local funding.

Council members debated the contract’s scope at length. Supporters said a locally tailored VMT/GHG program will give the city a predictable, “menu” of mitigation measures for new development and streamline CEQA review. Critics warned the work could lead to regulations that shift costs onto residents — for example through mitigation that effectively increases development costs — and urged caution until public transit options improve.

“Whatever falls within what the state requires, the city has discretion to determine how aggressive we want to be,” a consultant for the project told council during Q&A. Several council members pressed staff and the consultant on how flexible the final menu of mitigation measures would be and whether the city’s charter status changes any legal obligations; the city attorney said the charter city status did not create a special exemption for this item.

Staff described alternatives: a full scope At $473,841 (including enhanced community engagement) or a reduced scope without the enhanced outreach for $440,816. Council approved the reduced scope as a friendly amendment before the final vote.

The council’s roll call showed Council member Bracco and Council member Marks voting no; Council members Klein, Fugatni, Hilton, Ramirez and the mayor voted yes. No changes were made to grant acceptance; staff said the Caltrans grant must be closed out by June 30, 2027, and that the work should be completed by May 2027 so grant closeout steps can be finished.

What happens next: staff will execute the contract and work with Ascent to produce the draft VMT policy, TDM guidance, CEQA documentation, and the safety‑element update. The approved scope includes CEQA work and the safety element update as required by state law. Council members asked for the final menu of mitigation options to be clear and for continued opportunities for public input during the consultant’s outreach and drafting.

Budget and funding: staff said the Caltrans grant will provide the majority of funds for the consultant work, with a required local match already budgeted in the Community Development Department fiscal year budget. The city identified optional tasks (enhanced community engagement and others) that were removed from the contract by council action. The Caltrans grant guidance states that CEQA documentation is not grant‑eligible and therefore must be locally funded; the adopted contract reflects those constraints.