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Ms. McGovern asked if people come forward with ideas for increased density in specific projects, would it be addressed? Mr. Fialho said yes, on a case-by-case basis. If property is rezoned from commercial to residential, it will decrease the housing cap. That could be addressed later. He noted there were two other topics staff requested direction on, specifically the topic of larger homes and the reduction of the housing cap. On the reduction of the housing cap, he believed he had heard an interest in setting aside a reserve, which by default meets the concern about reduction of the housing cap. Ms. McGovern said there was already a motion to set aside 200-500 units from the cap. Mr. Fialho said there had been discussion to reduce the housing cap from 29,000 to 28,000 or less and he has not heard consensus to do that. He asked for discussion of the larger homes. Mr. Sullivan felt some of the other things discussed at the meeting such as the four points regarding jobs/housing balance are in that same direction. The affordability workshop also goes in that direction. He understood the position of the Planning Commission and realized it cannot tell an applicant it does not like large houses and to come back with a design for small houses. Mr. Fialho explained the current General Plan contemplates larger homes in the southeast hills and what staff is looking for with regard to the 2,500 to 1,600 remaining units is a way to say it is looking for smaller homes. Mr. Brozosky said Council wanted to encourage condominiums and smaller homes because there are not many of them in this community. There are many large homes and it is time to use in-fill to build homes for smaller families. Ms. McGovern referred to the Merritt property, which is outside the city limits, has a zoning designation and is counted in the housing cap. She did not want to tell a person who has purchased five acres of land that they cannot put a large home on it. Mr. Iserson acknowledged that there are large parcels left, such, as on the west side of Foothill Road, where which would apply. What staff is looking at are areas that are not now designated for residential and have the capability of being rezoned in the future. Perhaps the key word is in appropriate locations. It was moved by Mr. Brozosky, seconded by Ms. McGovern, to encourage developers to build apartments, condos, and smaller units in appropriate locations and move away from policies that encourage the construction of larger homes and to direct staff to schedule a time for a future workshop to discuss existing affordable housing techniques. Pleasanton City Council Special Meeting 9 11/29/05