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She said if the City were to allow multi-family housing at the Goodnight Inn, it does not necessarily need to be 23-30 units/acre but could still add toward reaching the City's goals. Ms. Stern noted however that it would not count for the very low or moderate income categories. Councilmember McGovern said the City has looked at the possibility of increasing the percentage of inclusionary housing in multi-family, and suggested increasing the ordinance by 5% which would allow for low or affordable units at less than 23 units/acre. Mr. Dolan said whatever percentage the City requires would be affordable, but the State would not allow the City to assume that the entire project counts. Councilmember McGovern disagreed and said the City is trying to spread high density development throughout the community. There are areas where flexibility can be used while still allowing multi-family and increasing affordability, and it would add to the mix the City is trying to achieve and reduce some of the impacts of 3, 4 and 5 story housing densities. Councilmember McGovern questioned if the City has thought about any type of housing that would set aside a percentage for second units. Ms. Stern said second units can be counted and they are talking about how they can facilitate them by re-looking at some of the development requirements for them. Councilmember McGovern said in moving forward to have a better mix, she asked staff to look more toward these types of situations. Mr. Dolan commented that second units are allowed to be counted, but the State also looks at the City's track record of production. Staff could not claim an enormously greater number than produced. Councilmember McGovern said she was more questioning whether or not a level could be set for up to 20% of homes needing second units, and Mr. Dolan said this could be done. Councilmember McGovern supported maintaining all sites on the list and having them further studied in moving forward. She noted that the Council still has on its priority list the East Side Specific Plan and is still looking to plan this and make it work with Legacy Partners. One issue with the east side is the chains of lakes, the amazing chances for having recreation in the area, and doing it well with housing, mixed use, and trails. Lastly, Councilmember McGovern said she has raised her family in Pleasanton and the housing cap was special to her because it meant to her that they could have a smaller town yet remain sustainable. When the housing cap was lost, it was a major blow to her and she is very concerned that local control is being taken away from government. She knows the City will continue to work and listen to the community and do the best it can to preserve a high quality life, while offering workforce housing to younger people and those who will hopefully raise their own families here. Vice Mayor Cook-Kallio concurred with Council comments and agrees the process has been incredible. She thinks all of the sites should remain on the list and go through the process. She said most helpful to people's perceptions will be to look at sites in terms of percentage and to see the map better refined once acreages have been reduced. Regarding seeing the Council Chambers packed with people who are angry, it reminds her of a book called Citizen Democracy, which is about regular people who become engaged because they believe something is important. This is a very positive thing for Pleasanton, and it makes the community special. She hopes that people will take advantage of some of the offers made in terms of engaging in conversation because it is important that people contribute to the process. City Council Minutes Page 14 of 19 May 3,2011