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MINUTES Page 7 City of San Leandro City Council and San Leandro Redevelopment Agency Joint Meeting-December 17, 2007 Mayor Santos commented that for many employees in the BID, there is no other means of transportation to and from work. He noted that through ACTIA, he has looked into the possibility of expanding the program in order to secure grant funding, but currently there is no additional funding available. Mayor Santos commented on the suggestion that the program funding be shifted from the RDA to the General Fund, noting the improbability due to current economic conditions. He stated that at the City Council's upcoming retreat, the Council can discuss this program and where it fits in with its other priorities. Councilmember Prola asked whether the proposed increase in the assessment is adequate, and whether it is possible to get grants from other agencies, such as MTC or the Bay Area Air Quality Management District. Mr. Jermanis acknowledged that the LINKS Shuttle has been a very controversial program almost from its inception. He gave a brief history of the program, noting that the West San Leandro RAC recommended the program as a way to transport employees from BART to businesses in West San Leandro. The program was initially funded primarily from grants and the Redevelopment Agency with the intent that the business community would participate financially. The City Council implemented the program for afive-year period, and the program will expire in FY 2008-09. In response to the question raised by Councilmember Prola, Mr. Jermanis stated that more money is needed to fund the program. Last year, the BID Advisory Board did not recommend an increase in the assessment, and this year is only recommending an increase at a level equivalent to the average of the increase in CPI for the past two years. Mr. Jermanis commented that some of the questions asked by Councilmember Souza were also raised by the BID Advisory Board. He indicated that the recommended increase in the BID would apply to the fiscal year ending June 2008. Mr. Jermanis recommended approving the annual report and the increase in the BID assessment, and directing staff to return early in 2008 with a report on options and alternatives to the program. The Council, and possibly its Facilities and Transportation Committee, could carefully evaluate the program, determining whether the service is sustainable and how to appropriately fund it. Public Comments on Item 8.D.: Robert Battinich, San Leandro business owner, property owner and RAC member, addressed the City Council, commenting on the proposed increase to the BID assessment. Mr. Battinich commented that the RAC and business owners within the RAC did not have an opportunity to review the Annual Report. Mr. Battinich asked who is really benefiting from the service. End of Public Comments on Item 8.D. Councilmember Souza commented that she has seen disabled employees ride the LINKS Shuttle, but they could also ride paratransit at no cost. She indicated her frustration that an in-depth analysis and discussion of the program has continually been delayed. Councilmember Souza asked whether businesses that pay the assessment