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BACKGROUND Measure GG was passed by the voters in 1996 to limit the number of housing units to a total of 29,000. At that time, the City's 1996 General Plan was readopted to include the policy and programs which were part of the initiative. The City's current General Plan (adopted in July 2009) includes the initiative language as well as other text, policies and programs referencing the housing cap. In November 2006, Urban Habitat filed a lawsuit against the City claiming that various City policies and ordinances prevent or hinder the development of affordable housing in Pleasanton, and are inconsistent with State housing law. Earlier this year, the Court issued a decision in the Urban Habitat matter, and on August 17, 2010, the City Council reached a settlement with the plaintiffs and with the State Attorney General's office which had intervened in the lawsuit. As part of the Settlement Agreement, the City agreed to eliminate all references to the voter - adopted housing cap from the City's General Plan, and to do so by October 19, 2010. PROJECT DESCRIPTION The proposed General Plan amendment will remove all references to the housing cap within the 2005 -2025 General Plan. The following section outlines the changes that are proposed to the General Plan within each applicable element. Attached to the proposed resolution (Attachment 1) are the pages within the General Plan that will be modified. To distinguish the proposed modifications from the existing text, text in standard format is to remain unchanged, text to be removed is shown in strikeout (i.e., strikeout), and proposed text is shown in red color, bold and double underlined. Proposed changes are summarized as outlined below. Changes to the pagination of the document will be reflected once the final approval is granted by City Council. Introduction, Page 1 -3: The first sentence under the heading "General Plan Accomplishments" makes mention of the of the 29,000 unit residential cap. This sentence will be deleted. Land Use Element, Page 2 -ii: The table of contents for the Land Use Element references the section for the residential cap. This reference will be deleted. Land Use Element, Page 2 -14: The second sentence under the Growth Management section will be modified to omit the reference to the cap on residential development. Land Use Element, Page 2 -15: The text of the section labeled "Residential Cap" will be deleted. Table 2 -3 will be moved to the Growth Management Program section. Land Use Element, Page 2 -16: The second paragraph under the Growth Management Program will be modified to omit reference to the 29,000 unit cap. Land Use Element, Page 2 -17: The second paragraph under the heading Holding Capacity will be modified to delete reference to the housing cap. The population projection will remain, but the reference at the end of the paragraph regarding the housing cap being validated by a vote of Pleasanton residents will be deleted. Page 2 of 5