City establishes funding mechanism that is applied to new development to assist in financing this program. City hosts Freedom Train to celebrate the bi-centennial of the Country. The train is a moving museum of major historic documents of the Country's history. San Juan Capistrano is one of only four stops in Southern California to host the train. Portions of the neighborhood along Los Rios Street is recognized as an Historic District and placed on the National Inventory.
City adopts first growth management program in Orange County, and one of the first in California.
Program restricted residential development to a maximum of 400 building permits in any given year. It represents the tallest building in the community with its bell tower at 104 feet and the main rotunda at 85 feet in height. City assembly's vacant land parcels in the downtown core for future commercial development and selects a developer to create a commercial plaza and hotel in the area known as the Historic Town Center. Although water was running through the tent, the celebrants took off their shoes and danced the night away. Due to the presence of these artifacts, City puts Historic Town Center project on hold.