An evaluation of the operating costs associated with the Silicon Valley Animal Control Authority ("SVACA") sheltering services is currently underway and scheduled to be presented to its Board of Directors on December 19, 2002. In addition, size, location and cost of its proposed animal shelter remain as unresolved issues for many of the participating cities. The magnitude of the concern is great enough for some of the cities to consider seeking animal shelter services elsewhere. This situation resulted in a review of the withdrawal provisions of the Joint Exercise of Powers Agreement ("JPA") and it is concluded that an adjustment to the timetable for withdrawal notification is necessary. As a result, the SVACA Board of Directors voted at a Special Meeting held on December 10, 2002 that "the proposed amendment to Joint Exercise of Powers Agreement be forwarded to all Member Cities for approval prior to December 30, 2002.

On July 20, 2000, the City of Sunnyvale ("Sunnyvale" or "City") entered into a JPA with six other cities to form the Silicon Valley Animal Control Authority with the specific goal of providing animal field and shelter and related services to seven partnering cities. Currently, the Authority’s field service is operational and it is providing animal control services to six of the seven participating cities. In addition, SVACA has secured an animal sheltering contract with the Humane Society of Santa Clara for all seven-partner cities. That contract expires in June 2003.

SVACA completed its first full year of field operations during FY 2001/2002. During its first year and up to the present, the Authority continued to expand its operation by hiring a General Manager, filling other key staff positions, acquiring vehicles, installing support operations (payroll, computers, policies/procedures, budget, etc.) and performing all of the necessary tasks associated with the start-up of a new operation providing field services.

While things have progressed concerning the development of the day-to-day field operations, several challenges have emerged concerning the development of SVACA’s proposed animal shelter and its sheltering services. First, the proposed shelter is larger than originally planned, requiring the participating cities to appropriate additional capital funding. Second, challenges have emerged with the proposed animal shelter site on Reed Street in the City of Santa Clara related to an existing hydrocarbon plume and a "right of way take possibility" from BART for a test track and its BART Around the Bay public transit project.

In addition to the property challenges, which have resulted in uncertainty regarding fitting the proposed facility on the site, Sunnyvale’s sheltering costs have increased dramatically since joining SVACA. Budgeted operating costs have more than doubled from Fiscal Year 2000/2001, when services were provided directly by the Humane Society, to Fiscal Year 2001/2002 with SVACA administering the contract. These higher costs are continuing in Fiscal Year 2002/2003. Further cost increases will result when the building is complete and the additional shelter staff are hired.

Program Outcome Statement: Control animal disease and vicious animals, minimize animal nuisances, and promote the humane treatment of animals.

SDP 45301: Contribute to public health and safety as related to animal control issues concerning vicious, injured, and stray animals.

On December 3, 2002 a meeting of the SVACA Member Cities' City/Town Managers and staff was held in the Town of Los Gatos to discuss the outcome of an "lndependent Financial Analysis" performed by the City of Sunnyvale, City of Cupertino and Town of Los Gatos. At the conclusion of the meeting, the consensus of the Managers was that there were still operational and fiscal issues that would require more research in order for some of the cities to make a decision regarding their FY 2003-2004 participation in the JPA by the December 31, 2002 deadline (per the Joint Exercise of Powers Agreement). Therefore, Staff was asked by the City Managers to call a Special Board Meeting to discuss, approve and forward an amendment to the cities for a 90-day extension of the December 31, 2002 deadline for this year only.

The two amendments the Member Cities are being asked to approve are:

1. Approve amendment to Joint Exercise of Powers Agreement creating the Silicon Valley Animal Control Authority.
2. Do not approve amendment.