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Ms. Ayala said the Cooperative Fee Agreement did not provide any funds for the high school improvements, so why would that stop construction? Ms. Lemmons said it was part of the overall cash flow calculations. The District felt that signing the Cooperative Fee Agreement by a developer who is a leader in the community and the City also signing the agreement would make a strong statement to other developers and encourage them to also sign the Gift Agreement. Ms. Ayala did not believe that was tree. She felt the developers considered the agreements to be totally separate. Ms. McGovern wanted the community to be aware that the infi'astructure costs for the Vineyard Corridor have gone up so drastically that the District could be prevented from ever building a school there because it is being asked to pay $9.2 million. The school itself only costs $8.5 million. It is incredible to think this community, the City, the District and the development community cannot work on this issue to make the project feasible. She believed $23 million for the infrastructure is astronomical. The District originally said it would pay $4.6 million. The costs have now doubled in a short period of time. When will it ever get under control? She begged people not to think the District does not want to build Neal Elementary. The citizens voted to allow 29,000 housing units and no action has changed that. The District is basing its facility needs on 29,000 units and the fees for those units not yet built. She referred to the new demands for affordable housing and those units will bring children. Affordable housing units pay a fee of $2.05 a square foot. She compared the situation to peeling an onion; remove the "what ifs" and find "what is known". Remove personal attacks and find the issues. Remove the adversarial choices that could be made and seek ways to bring ourselves together. There is no solution that cannot be found if these agreements are signed. If this adversarial position continues, it will take much longer to find solutions. She urged Council to work with the School Board. It is not trying to hide anything or put something over the community. The economy has slowed the building of houses. There is a developer who will pay $8.5 million to build a school this community needs. There is one signed agreement and negotiations continue for other agreements to pay $6.50 per square foot. That is $4.45 more than is allowed by the State. She did not know of any school district in any city in the State of California that has an agreement of that magnitude. She did not want to lose them. She believed the Council and School Board can continue to work together to solve the issues. There were no further speakers. Ms. Ayala said this is a three-way agreement and it was designed that way so each entity can make individual decisions. She felt the important point to consider is the District's attorney says there is no fallback position and the City's attorney says there is because the City has not signed the new agreement. She felt once the new agreement is signed, the City is out of the picture forever. Ms. Michelotti indicated she has been part of this process for several years. The City and District agreed there would be a shortfall in the next three years. A year ago, with the aid of Signature Properties, we brought all the parties together to solve the funding issues. We moved Pleasanton City Council 14 10/02/01 Minutes