Loading...
HomeMy WebLinkAbout2024-05-15 Retail Committee Summary MinutesRETAIL COMMITTEE SUMMARY MINUTES Page 1 of 6 Retail Committee Meeting Summary Minutes: 5/15/2024 Regular Meeting May 15, 2024 The Retail Committee of the City of Palo Alto met on this date in the Community Meeting Room and by virtual teleconference at 9:30 P.M. Present In Person: Burt, Lythcott-Haims, Kou (Chair) Present Remotely: Absent: CALL TO ORDER Council Member Lydia Kou called the meeting to order. The clerk took roll with three present. PUBLIC COMMENTS 1) Roxy opined that the Planning Department was the stumbling block for realtors wanting to come into Palo Alto because they make it too tough to get in. ACTION ITEMS 1. Receive and accept report regarding near- and medium-term initiatives that focus on enhancing retail and hotel uses. Steve Guagliardo, Assistant to City Manager, provided a slide presentation discussing the near and medium-term initiatives to enhance retail and hotel uses including a comprehensive economic development strategy Council approved on August 14, 2023, guiding principles from the Street Sense Strategy, Planning and Transportation Commission (PTC), work to enhance hotel support, the next steps and the recommended motion. Council Member Burt questioned if there is a written plan that lays out the near-term initiatives, the schedule for completing each of them, any barriers and which department has the lead on each of them. He wanted a written plan and recommendation to Council to direct it. He expressed his support of the City providing a fraction of the funding for the Visitor’s Bureau as a partner with the hotels. He asked if there were barriers in place to streamline resolution to problems. SUMMARY MINUTES Page 2 of 6 Retail Committee Meeting Summary Minutes: 5/15/2024 Mr. Guagliardo advised there is a rolling plan that is not yet produced in full written form. They have conversations on a weekly basis with the stakeholder departments about what is happening in each district working to identify and troubleshoot what the barriers are and how best to overcome them. He explained that they included timelines by district in their presentation given last month. He said that helping people navigate the process and thinking creatively about how to overcome things was actively happening. City Manager Shikada added it is important to acknowledge the connection between that process and the codes that Staff are administering. The issues that were highlighted in the work that PTC is now reviewing in order to simplify the codes is an interval part of that simplification they are trying to provide for applicants. The other work he would reference for the Committee is a follow-up to a building services audit that was completed last year and has been ongoing work reported out through the Policy and Services Committee. Council Member Burt thought that was a significant component but he was not sure it was the majority of the issue. He thought recognizing they have a significant problem there and putting it in writing in the plan is important. He was interested in seeing a side by side comparison with other cities. He thought there was a disconnect between their customers experiences and perceptions and their self-perception of the improvements they are making. He was interested in including a focus on permit streamlining as a near and medium-term strategy they need to pursue on their referral to Council. He opined that the focus on the retail areas should be feeding into the Bike and Ped Master Plan rather than awaiting for that plan to determine what should be done in these areas. Mr. Guagliardo agreed with the need for the customer service and experience troubleshooting. He advised he has very open lines of communication with their business stakeholders and fully expected to continue that to help identify what those areas may be and figure out how to best troubleshoot them. He appreciated the point about incorporating that above the water line to make sure they are naming something they are accountable to and transparent on to the community that they are working on. He explained that he is working with the Office of Transportation on the development of the Bike and Ped Master Plan. Council Member Julie Lythcott-Haims agreed with the concern about permit streamlining and customer experience. She wanted to see a clear report on where they are on that. She thought it was implied that other jurisdictions have more budget for economic development and wanted to know if budget requests were made this year and, if so, were they heeded. Her concern was that the report they were being asked to accept feels like a presentation. She thought the details that had been presented last month along with the presentation from this meeting bundled together might be a report they could recommend that Council accept. City Manager Shikada advised he would not characterize it that other cities have a greater budget for economic development or support and facilitation of applications getting through permit processes. He agreed that other cities have placed a higher priority on staffing to facilitate in particular commercial applicants getting through the permitting process out of a SUMMARY MINUTES Page 3 of 6 Retail Committee Meeting Summary Minutes: 5/15/2024 recognition of the jobs and sales tax that are generated and the self interest cities have in supporting that activity. They have not resourced that specific activity. The majority of their permit applications are residential and as such that has been the focus of much of their attention in recovery from COVID. He suspected resources to be an issue in that context but he would not suggest it was the primary issue. He thought the challenge for the Retail Committee was helping them accelerate their solutions. He opined that this is really a status report and an attempt to provide information the Retail Committee can respond to. Mr. Guagliardo clarified there are different ways to scale a function. He said different cities approach it differently and it is making sure that people can navigate that particular process directly. He called attention to Attachment A of the report that goes action by action describing which of those priorities from the unanimously adopted Economic Development Strategy are actively underway throughout the organization. Chair Kou asked if the hotel who does not wish to pay a fee toward the Chamber is able to decline. She thought it was important to discover the sizes of hotels and if there is a tiered system in terms of payment. She noticed they used to have a lot of large companies that had cafeterias. She wanted to know if that might be looked at in order to show they might have a kitchenette but they are not a cafeteria. She asked if there is another PTC session to review all the work they had done. She queried if the guiding principles are on the website for Retail. Mr. Guagliardo said they were at the start of those discussions with the San Francisco Peninsula to understand what that range of options may be. They are including all hoteliers in the conversation. They are doing outreach and coordinating and communicating with each hotel in town to talk about potential next steps. As that conversation develops, the City will engage as appropriate. The next steps for the PTC report are agendizing it for full council. He described where the guiding principles can be found on the website. City Manager Shikada believed it was scheduled for the June 18 Council meeting which establishes some immediate opportunities for next steps on discussion. Council Member Burt discussed making aesthetic improvements around the City and wondered what it would take. He opined some things were taking longer than they should. He used an example of getting covers on bollards and wanted to find ways to streamline getting projects done in a timelier manner. Bruce Fukuji, Project Manager recalled a meeting in April when an outline of timeline for implementation of these things was made. In order to expedite that, the decision was to do a very limited, focused procurement process. They put together a bid document which outlines all of the different elements they are looking at procuring and having a single contractor to do that to expedite the process. They have been working with Peter Jensen in Public Works to put together what could be done directly through purchasing. It will be reviewed with City Manager Shikada the following Friday then will go through a bidding process. Once that is complete, they will do the contracting process enabling all of the stuff to be implemented. He said they started SUMMARY MINUTES Page 4 of 6 Retail Committee Meeting Summary Minutes: 5/15/2024 with going through a prioritization list of issues and concerns with the Cal Merchants. They presented them with concepts of what to do that were accepted. He described specific design concepts that were presented in the April meeting as to what to do at El Camino, Birch and Ash Streets. That was reviewed with the merchants and at the previous Retail Committee meeting. They are going through the procurement process to get that started. City Manager Shikada added an explanation of why it has taken as long as it has. He shared Council Member Burt’s frustration on the amount of time in getting projects done. He ensured that the Staff are motivated and feel positive that the work they are doing is appreciated and they have momentum to go. He opined if they encounter a deconstruction on the steps they have been at at every Retail meeting, it will be increasingly challenging for him to push the organization forward. Mr. Guagliardo recalled being asked the question of when will the barrier covers be replaced to which he had given the answer of a month but it did not happen. He described steps being taken in order to get it done. Council Member Burt responded to City Manager Shikada that as a policy maker, he was reflecting a broad concern in the community, the businesses and the property owners that many things that have been anticipated for several years as near-term measures are still not there. He thought things would not change if it was not recognized as a problem. He thought there was a broad willingness to maybe not go through as extensive a process as otherwise might be desired because there is a greater sense of urgency and that they are not recognizing the willingness by the Council, property and business owners and the community to get near things done sooner. He referred to the list they have noting it does not have any kinds of dates associated with it or which department is leading it. He wanted to see those things added as it goes to the Council with an understanding that dates are target dates, not certain dates. He mentioned the Visitor’s Bureau and the issue of whether this would happen quicker if at the outset it was conveyed that the City would be willing to be a financial contributor to this. The hotels had said they would take it over but years later one hotel owner insisted they could do better and it should be returned to the Chamber. He did not know whether the hotels are held up by the question of being willing to chip in because the concept initially was to increase the TOT and reinvest them into the hotels which would drive occupancy and rates and they would get a return on that investment in addition to the fact that they owe it to them. He realized that is not in their budget but he does not know what discussions have happened and whether that would help move that ball forward more quickly. City Manager Shikada shared he did not want to itemize departmental responsibilities because part of the challenge they have is that this is an interdepartmental effort and he wanted to ensure he could keep Staff focused on the work rather than suggesting that by itemizing responsibilities that stakeholders should be contacting those individual departments. He ensured that their one stop point of contact is Mr. Guagliardo. SUMMARY MINUTES Page 5 of 6 Retail Committee Meeting Summary Minutes: 5/15/2024 Mr. Guagliardo responded to Council Member Burt about the Visitor’s Bureau issue by stating he thought the conversation was not just right for that and they were still working through understanding what the offering from the San Francisco Peninsula would be and then as they get to that point and start looking at that return on the investment, that will be the appropriate point to engage and mention their investment might be lesser and the return on investment could conceivably be greater if the City was contributing to that. Council Member Burt sensed that it would be useful for them to ask if the process would be facilitated if there was a commitment by the Council providing some financial support toward that. City Manager Shikada thought they could take that as a resource for the conversations with the hoteliers, Chamber and others. Chair Kou suggested when they bring the report to City Council including some information about what Redwood City does in terms of their advertising, marketing and attracting businesses. She stated she receives a lot of informative emails of events from NAPA and opined that was something to explore and bring to Council, as well. She expressed concern about immediate targets. She wondered if the golfing thing on California Avenue blocks the visual of California Avenue itself. 1) Roxy R. advised holding the first business stakeholder’s meeting on Zoom was a mistake. He thought they have done enough talking and planning and just needed to get it done. 2) Brad E. described how going back to 2018 before changes were made to the Retail Preservation Ordinance would solve all the problems. He thought the concept of having somebody to help shepherd an application through an application through the different departments would be beneficial. He spoke about Redwood City’s process in getting a challenging retail space leased. It had to be converted from retail to restaurant. The city expedited the permit in order to streamline the process. He opined Palo Alto needs to give Staff the discretion to make these decisions to help tenants and applicants get through the process. 3) Maico C. (Zoom) reiterated the importance of speeding up beautifying the streets. 4) Nancy C. (Zoom) agreed they need to get more efficient and speed things up. They need leadership and help in the planning department. She talked about the length of time it took her restaurant to get a permit to serve beer and wine. 5) Michael (Zoom) thought a big concern for them as a business was the lack of any defined urgency on behalf of the City. He spoke about the physical condition of the street. No action taken. SUMMARY MINUTES Page 6 of 6 Retail Committee Meeting Summary Minutes: 5/15/2024 FUTURE MEETINGS AND AGENDAS Mr. Guagliardo advised it had been previously discussed not to meet in June given that the date would take place after the last Council meeting. If the Committee so chooses to continue with that, the next meeting would convene in August after the Council recess. They would be working to agendize this report with the feedback heard on that day to Council and would be discussing the PTC item on June 18 at Council. Chair Kou wanted an ETA on the sign for California Avenue barrier. Mr. Guagliardo explained an update would be provided in the City Manager’s briefing about that day. He hoped it would be in the next 10 days, including installation. The barriers would be up for the next few months as Mr. Fukuji continues to work on planters and other medium- term solutions. Council Member Burt queried if planters were being viewed as medium-term. Mr. Guagliardo explained that the document Mr. Fukuji mentioned included planters. The planters would be replacing the barrier covers as they continue to explore the longer-term visioning for Cal Ave. Council Member Burt wanted a timeline on signage on Page Mill and El Camino. Mr. Fukuji responded the vendor who would produce the sign had been identified, they wanted the contractor to subcontract with them so they are doing another step to eliminate another obstacle on the timing and have been meeting directly with the sign fabricators. They are in the process of that. Council Member Burt asked if the signage was out of the Public Works Sign Group capability and wanted to be sure they were not adding to the timeline and complexity by going outside of the inhouse staff. Mr. Fukuji agreed to look into that. Adjournment: The meeting was adjourned at 11:10 A.M.