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4i% of the first $250,000 of the total contract construction cost; plus, 4% of the next $250,000 of the total contract construction cost in excess of $250,000; plus, 3i% of the next $250,000 of the total contract construction cost in excess of $500,000; plus, 3% of the remaining total contract construction cost in excess of $750,000. Councilman Herkner asked about the requirements of calling for bids. The City Attorney stated that it was not necessary to call for bids in this particular case. This was approved by the City Engineer and the City Manager. Councilman Granger offered RESOLUTION 2247 AUTHORIZING EXECUTION OF AGREEMENT WITH HARRY N. JENKS AND JOHN H. JENKS FOR THE PREPARATION OF PLANS, SPECIFICATIONS AND ESTIMATES OF hor COST FOR ENLARGEMENTS AND ADDITIONS TO REDWOOD CITY SEWAGE DISPOSAL SYSTEM and moved its adoption, seconded by Councilman Stout and carried on roll call, Councilman Spillers being noted absent. PLANNING COMMISSION RECOMMENDED THE COUNCIL DIRECT THE CITY ATTORNEY TO BRING APPROPRIATE LEGAL ACTION palm AGAINST WILLIAM SMITH, 1679 HAMPTON AVENUE, FOR VIOLATIONS OF ORDINANCE 600. (Illegal carport erected, ifirm garage converted to living quarters, no permits taken out.) Councilman Herkner recommended that the City Manager and Building Inspector be authorized to see Mr. Smith and see if it could be properly handled without legal action. Councilman Herkner so moved giving them thirty;-days to negotiate and complete the matter, seconded by Councilman Stout and carried. Councilman Weiss offered RESOLUTION 2248 APPROVING THE ASSESSMENT DIAGRAM HIGHLANDS TERRITORY NO. 1 SEWER AND WATER IMPROVEMENTS and moved its adoption, seconded by Councilman Weymouth and carried on roll call, Councilman Spillers being noted absent. SIDEWALK COMMITTEE REPORT. Councilman Stout reported that they had been contacted by Miss Heydenfeldt who has been ill and has not been able to complete the matter of sidewalk repair to her property. The committee recommended that Miss Heydenfeldt be given an additional thirty days to complete the repairs. Councilman Herkner moved approval of the Committee's recommendation, seconded by Councilman Stout and carried. PRESENTATION OF THE PRELIMINARY BUDGET FOR 1957-58 FISCAL YEAR. The City Manager handed each member of the Council a copy of the budget. The Mayor announced that the budget would be introduced on June 17th and adopted on June 24th. Councilman Stout moved that the budget be acknowledged by the Council and be made a part of the minutes, seconded by Councilman Weymouth and carried. PLANNING COMMISSION REQUEST ACTION ON A SIGN ORDINANCE. The Clerk read the letter from the Planning Com- mission. The Mayor announced that Councilman Granger had been contacted by Mr. Al Davies who said he would go along with the proposed sign ordinance. The Mayor appointed Councilman Herkner to work with Councilman Granger on the committee. FURTHER CONSIDERATION OF PLANNING COMMISSION'S RECOMMENDATION OF APPROVAL OF THE APPLICATION OF L. ALAUX FOR VARIANCE TO ALLOW FIVE FOOT REAR YARD SETBACK INSTEAD OF FIFTEEN FEET AT 433 LINCOLN AVENUE (portion of Lot 3, Block K, W. W. & M. Subdivision). The Council had asked at a previous meeting that the Planning Commission furnish further information and a sketch of the property. This was followed by discussion in regard to what was to be done in the way if improvements an this property. Councilman Weymouth moved approval of the Planning Commission's recommendation and authorized the City Attorney to draw up the necessary resolution, seconded by Councilman Weiss and carried. COUNCILMAN STOUT OFFERED ORDINANCE 858 APPROVING THE ANNEXATION TO THE CITY OF REDWOOD CITY OF CERTAIN UNINHABITED TERRITORY DESIGNATED 'WILLIAMS TERRITORY NO. 2" AND HEREIN DESCRIBED, AND HEREIN ANNEXING SAID TERRITORY TO SAID CITY OF REDWOOD CITY and moved its adoption, seconded by Councilman Herkner and carried on roll call, Councilman Spillers being noted absent. Councilman Weymouth offered ORDINANCE 859 TRANSFERRING AND APPROPRIATING $11,250 FROM UNBUDGETED RESERVE TO SEVERAL GENERAL FUND ACCOUNTS: APPROPRIATING $293.38 FROM THE CAPITAL PROJECT FUND TO CAPITAL IMPROVE- MENTS OF THE TRAINING BUILDING, COMMUNITY PARK: AND APPROPRIATING $13,000 FROM THE YACHT HARBOR IMPROVEMENT FUND, AND $1,937.23 FROM THE 1944 BOND FUND FOR CAPITAL IMPROVEMENTS TO THE YACHT HARBOR i and moved its adoption, seconded by Councilman Stout and carried on roll call, Councilman Weiss voti