At the meeting, the council reviewed the draft master plan for the trail that runs beside the railroad tracks between Saratoga-Sunnyvale Road and Saratoga Avenue and decided to go ahead with Phase 1 of the project.

The first phase of the project includes the approval of the master plan, an environmental impact report and a feasibility study.

Hours earlier, Mayor Kathleen King, Councilman Nick Streit and Councilwoman Ann Waltonsmith had walked the area with local residents.

The De Anza Trail, a dusty 1.6-mile stretch of land next to the Union Pacific Railroad tracks in Saratoga, has long been used by nearby residents for running, walking and cycling.

The city plans to clean debris and brush from the area and repave the trail with decomposed granite. It also plans to post some signs and build two small bridges. The project, which will cost $1.9 million, is funded by grant money from the Valley Transportation Authority. An anonymous donor will bear 20 percent of the project cost.

Many local residents have vociferously objected to the project because they feel it will decrease their property values and bring undesirable elements to the area.

They voiced their protest again at the meeting.

"The trail goes nowhere. It is inappropriate for real cyclists," said Bill Johnson, who lives near the trail. Johnson said that using VTA money to develop the trail would be a misuse of public funds.

Jeffrey Pugh, another area resident, said the city will have to spend $30,000 annually to maintain the trail and the cost seemed inappropriate in a time of fiscal crisis for the city.

Mike Nishimoto, whose backyard borders the trail, said he is especially concerned about privacy issues. "People on that trail can look into my kitchen," he said.

Several others pointed out that the trail has effectively been divided into two smaller trails because PG&E does not have the right of way for the entire stretch and part of it near Cox Avenue is owned by the San Jose Water Company.

Diane Reese is one of the few local residents in attendance who thinks that the city should go ahead with the project. "We should keep it as open space," she said.

The plan to develop the trail had originally been discussed in the late 1990s when Cupertino, Saratoga, Los Gatos and Campbell showed an interest in developing the entire stretch of land along the railroad tracks into an 8.7-mile trail. The project fell through after the railroad was unwilling to discuss land acquisition next to the tracks.

In 2002, the VTA allocated grant money to Saratoga to explore the development of the trail along PG&E's right of way, right next to the railroad tracks. The city plans to get an easement from PG&E if it develops the trail.

Last year, a task force that included King and Waltonsmith was formed to discuss the issue further and several community meetings were held. A shortage of staff in the city's public works department subsequently delayed the plans.

Vice Mayor Norman Kline stressed that Phase 1 of the project only involves planning and not any development. "The city council might decide not to go ahead with Phase 2 or the VTA might decide to pull out," he said.

Kline said that he is concerned about safety and privacy issues of residents who live near the trail. He also said that he is against the plan to put in some parking spots near the Gateway Business District as part of the project because it would encourage people from other communities to use the trail.

Waltonsmith said that development of the trail will make it cleaner and safer.

Councilwoman Aileen Kao recused herself from the discussions because she lives within 500 feet of the proposed trail.

All work related to Phase 1 is expected to be complete by September. The city council will then vote on the project and decide if it wants to move to Phase 2, which includes the development and construction of the trail.

"Things are fluid. They can change," John Cherbone, the city's public works director, said.

"Development of the trail will increase traffic and loitering in the area. It will go against the basic fabric of the community," Brete Bigley, another area resident, said.