HomeMy WebLinkAbout2008-06-02 City Council Summary Minutes
06/02/08 103-201
Special Meeting
June 02, 2008
A. Interview of Four Applicants for the Public Arts Commission. 203
B. Interview of Two Applicants for the Human Relations Commission. 203
ORAL COMMUNICATIONS 203
APPROVAL OF MINUTES 204
CONSENT CALENDAR 204
2. Approval of Four Utilities Public Benefit Contracts for: (1) Residential
Energy Audits with Acterra, (2) Residential Energy Display Devices with
Blue Line Innovations, Inc., (3) Commercial Energy Efficiency Programs
with Ecology Action, and (4) Electric Efficiency Program Measurement
and Evaluation with Summit Blue Consulting in the Combined Amount
Not to Exceed $2,176,986 for a Term of Up to Three Years. 205
3. Approval of a Sublease Agreement Between the Santa Clara Valley
Transportation Authority and Caffe Del Doge, Venezia, Inc. for a Portion
of the University Avenue Depot, 95 University Avenue for a Five Year
Term with Two Five Year Options to Extend. 205
4. Ordinance 5004 stating “Ordinance of the Council of the City of Palo
Alto adopting Budget Amendment Ordinance in the Amount of $30,000
and Approval of an Amendment to Contract C07120333 with RMC
Water & Environment, Inc., to Add $25,000 for Completion of a
Recycled Water Facility Plan and Preparation of Environmental
Documents for Capital Improvement Program Project WS-07001,
(Recycled Water Distribution System Extension) for a Total Not to
Exceed Amount of $267,700. 205
5. Ordinance 5005 stating “Ordinance of the Council of the City of Palo
Alto Amending Chapter 21.50 (Park Land Dedication or Fees In-Lieu
Thereof) of Title 21 (Subdivisions and Other Divisions of Land) of the
06/02/08 103-202
Palo Alto Municipal Code to Set the Park Land Dedication Requirement
to Five Acres Per Thousand Residents. 205
6. Ordinance 5006 stating “Ordinance of the Council of the City of Palo
Alto Amending Title 18 (Zoning) of the Palo Alto Municipal Code to Add
a New Chapter 18.44 (Green Building Regulations)”. 206
7. Resolution 8823 stating “Resolution of the Council of the City of Palo
Alto Expressing Appreciation to Biff Schaefer Upon His Retirement”. 206
8. Ordinance 5007 stating “Ordinance of the Council of the City of Palo
Alto adopting Budget Amendment Ordinance for the Fiscal Year 2007-
2008 to Amend the Table of Organization to Reinstate the Deputy City
Manager Special Projects Classification and Resolution 8821 stating
“Resolution of the Council of the City of Palo Alto Amending the
Compensation Plan for Management and Professional Personnel and
Council Appointees Adopted By Resolution No. 8748 to Reinstate One
Classification”. 206
9. Ordinance 5008 stating “Ordinance of the Council of the City of Palo
Alto adopting Budget Amendment Ordinance Increasing: (1) Budget
for Electric Supply Cost by $6,350,000, (2) Revenue for Electric Surplus
Energy by $800,000, (3) Budget for Gas Supply Costs by $1,500,000,
(4) Revenue for Gas Supply Sales by $900,000, (5) Revenue for Gas
Distribution Sales by $1,000,000, (6) Budget for Water Supply Costs by
$700,000, and (7) Revenues for Water Sales by $2,000,000”. 206
PUBLIC HEARINGS 206
10. TEFRA Hearing Regarding Conduit Financing for the Fabian Way Senior
Apartments Project Located at 901 San Antonio Road, Palo Alto, and
Adoption of Resolution 8825 stating “Resolution of the Council of the
City of Palo Alto Approving the Issuance of Bonds by the California
Municipal Finance Authority in an Aggregate Principal Amount Not to
Exceed $14,000,000 for the Purpose of Financing the Construction of
Fabian Way Senior Apartments”. 206
COUNCIL MATTERS 208
11. Discussion of City Manager Selection Process. 208
12. Colleagues Memo from Council Members Barton, Burt, and Kishimoto
Regarding Tour of California 2009 Proposal. 211
COUNCIL COMMENTS, ANNOUNCEMENTS, AND REPORTS FROM CONFERENCES 213
ADJOURNMENT: The meeting adjourned at 9:40 p.m. 214
06/02/08 103-203
The City Council of the City of Palo Alto met on this date in the Council
Conference Room at 6:05 p.m.
Present: Barton, Burt, Drekmeier, Espinosa, Kishimoto, Klein, Morton,
Schmid, Yeh arrived at 6:10 p.m.
A. Interview of Four Applicants for the Public Arts Commission.
B. Interview of Two Applicants for the Human Relations Commission.
ORAL COMMUNICATIONS
Michael C. Kushlan, 769 Garland Drive, spoke regarding the Palo Alto
Children’s Theatre.
Jay Jeffries, 2569 Webster Street, spoke regarding the Palo Alto Children’s
Theatre.
Elizabeth Moon, 3351 Alma Street, Apartment 201, spoke regarding the Palo
Alto Children’s Theatre.
John Abraham, 736 Ellsworth Place, spoke regarding police demographics.
Diane Williams, 111 Morse Avenue, Apartment 166, spoke regarding the Palo
Alto Children’s Theatre.
Kirke Comstock, 9 Coalmine View, Portola Valley, spoke regarding the Palo
Alto Children’s Theatre.
Tony Ciampi, Lincoln Avenue, spoke regarding evidence.
Keaton Smith, 4085 Laguna Way, spoke regarding the Palo Alto Children’s
Theatre.
Alison Lee, 1241 Harker Avenue, spoke regarding the Palo Alto Children’s
Theatre.
Leni Silberman, 1290 Cedar Street, spoke regarding the Palo Alto Children’s
Theatre.
Amy Moskowitz, 1941 Tasso Street, spoke regarding the Palo Alto Children’s
Theatre.
Stephanie Munoz, 101 Alma Street, spoke regarding the Palo Alto Children’s
Theatre.
06/02/08 103-204
Donald Freiberg, 5235 Sullivan Drive, spoke regarding the Palo Alto
Children’s Theatre.
Dylan Reinhart, Portland, OR, spoke regarding the Palo Alto Children’s
Theatre.
Margaret Govea, 2771 South Court, spoke regarding the Palo Alto Children’s
Theatre.
Trudi Reinhart, 3440 Kenneth Drive, spoke regarding the Palo Alto Children’s
Theatre.
Phyllis Smith, 920 Boyce, spoke regarding the Palo Alto Children’s Theatre.
Jane Marcus, 1820 Channing Avenue, spoke regarding the Palo Alto
Children’s Theatre.
Sonya Raymakers, 768 Stone Lane, spoke regarding the Palo Alto Children’s
Theatre.
Lucy Erman, spoke regarding the Palo Alto Children’s Theatre.
Jonathan Erman, spoke regarding the Palo Alto Children’s Theatre.
Justine Franklin, 2473 Greer Road, spoke regarding the Palo Alto Children’s
Theatre.
Ourry Schwartzford, 572 Seahorse Lane, Redwood City, spoke regarding the
Palo Alto Children’s Theatre.
APPROVAL OF MINUTES
MOTION: Council Member Barton moved, seconded by Council Member
Morton to approve the minutes of April 07 and 14, 2008.
MOTION PASSED: 9-0
CONSENT CALENDAR
Vice Mayor Drekmeier advised he would not be participating in Agenda Item
Number 2 per Government Code Section 1090 due to his being on the
Acterra Board of Directors.
06/02/08 103-205
Council Member Barton advised he would not be participating in Agenda Item
Number 3 per Government Code Section 1090 due to his being on the faculty
at Stanford University. He would not be participating in Agenda Item
Number 6 due to a conflict with his business. He also registered a no vote on
Agenda Item Number 5.
Mayor Klein advised that he would not be participating in Agenda Item
Number 3 per Government Code Section 1090 due to his wife being on the
faculty at Stanford University.
Council Member Morton advised he would not be participating in Agenda Item
Number 9 per Government Code Section 1090 as he owns stock in Shell Oil.
MOTION: Council Member Kishimoto moved, seconded by Council Member
Schmid to approve Consent Calendar Item Numbers 2-9.
2. Approval of Four Utilities Public Benefit Contracts for: (1) Residential
Energy Audits with Acterra, (2) Residential Energy Display Devices with
Blue Line Innovations, Inc., (3) Commercial Energy Efficiency Programs
with Ecology Action, and (4) Electric Efficiency Program Measurement
and Evaluation with Summit Blue Consulting in the Combined Amount
Not to Exceed $2,176,986 for a Term of Up to Three Years.
3. Approval of a Sublease Agreement Between the Santa Clara Valley
Transportation Authority and Caffe Del Doge, Venezia, Inc. for a Portion
of the University Avenue Depot, 95 University Avenue for a Five Year
Term with Two Five Year Options to Extend.
4. Ordinance 5004 stating “Ordinance of the Council of the City of Palo
Alto adopting Budget Amendment Ordinance in the Amount of $30,000
and Approval of an Amendment to Contract C07120333 with RMC
Water & Environment, Inc., to Add $25,000 for Completion of a
Recycled Water Facility Plan and Preparation of Environmental
Documents for Capital Improvement Program Project WS-07001,
(Recycled Water Distribution System Extension) for a Total Not to
Exceed Amount of $267,700.
5. Ordinance 5005 stating “Ordinance of the Council of the City of Palo
Alto Amending Chapter 21.50 (Park Land Dedication or Fees In-Lieu
Thereof) of Title 21 (Subdivisions and Other Divisions of Land) of the
Palo Alto Municipal Code to Set the Park Land Dedication Requirement
to Five Acres Per Thousand Residents.
06/02/08 103-206
6. Ordinance 5006 stating “Ordinance of the Council of the City of Palo
Alto Amending Title 18 (Zoning) of the Palo Alto Municipal Code to Add
a New Chapter 18.44 (Green Building Regulations)”.
7. Resolution 8823 stating “Resolution of the Council of the City of Palo
Alto Expressing Appreciation to Biff Schaefer Upon His Retirement”.
8. Ordinance 5007 stating “Ordinance of the Council of the City of Palo
Alto adopting Budget Amendment Ordinance for the Fiscal Year 2007-
2008 to Amend the Table of Organization to Reinstate the Deputy City
Manager Special Projects Classification and Resolution 8821 stating
“Resolution of the Council of the City of Palo Alto Amending the
Compensation Plan for Management and Professional Personnel and
Council Appointees Adopted By Resolution No. 8748 to Reinstate One
Classification”.
9. Ordinance 5008 stating “Ordinance of the Council of the City of Palo
Alto adopting Budget Amendment Ordinance Increasing: (1) Budget
for Electric Supply Cost by $6,350,000, (2) Revenue for Electric Surplus
Energy by $800,000, (3) Budget for Gas Supply Costs by $1,500,000,
(4) Revenue for Gas Supply Sales by $900,000, (5) Revenue for Gas
Distribution Sales by $1,000,000, (6) Budget for Water Supply Costs by
$700,000, and (7) Revenues for Water Sales by $2,000,000”.
MOTION PASSED for Item 2: 8-0 Drekmeier not participating
MOTION PASSED for Item 3: 7-0 Barton, Klein not participating
MOTION PASSED for Items 4, 7, & 8: 9-0
MOTION PASSED for Item 5: 8-1 Barton voting no
MOTION PASSED for Item 6: 8-0 Barton not participating
MOTION PASSED for Item 9: 8-0 Morton not participating
PUBLIC HEARINGS
10. TEFRA Hearing Regarding Conduit Financing for the Fabian Way Senior
Apartments Project Located at 901 San Antonio Road, Palo Alto, and
Adoption of Resolution 8825 stating “Resolution of the Council of the
City of Palo Alto Approving the Issuance of Bonds by the California
Municipal Finance Authority in an Aggregate Principal Amount Not to
Exceed $14,000,000 for the Purpose of Financing the Construction of
Fabian Way Senior Apartments”.
06/02/08 103-207
Council Member Barton advised he would not be participating in Agenda Item
Number 10 as it is a project that his wife is working on through Bridge
Housing Corporation.
Deputy Director of Administrative Services Department Joe Saccio stated this
TEFRA Hearing is sponsored by the Bridge Housing Corporation. This public
hearing and approval of a local jurisdiction are required by federal
regulations. He stated the City has no financial obligation due to the
Council’s actions at this hearing.
City Attorney Gary Baum stated Federal Law allows private projects to be
financed through tax-exempt revenue bonds if certain requirements are met.
One requirement is that an elected public agency conduct a public hearing
(TEFRA hearing) to allow the community to object to the issuance of the
bonds. The City’s only role in this process is to provide a forum for the public
hearing. The City Attorney’s office has confirmed with specialized bond
counsel that the City will have no financial responsibility or obligation related
to the issuance or repayment of these bonds. The bonds are issued through
the California Municipal Finance Authority (CMFA) and will not affect the
City’s bond rating. The financing documents will contain disclaimers that the
City of Palo Alto has no financial obligations related to the bonds.
Council Member Kishimoto asked for an example of why someone might
object to this issuance of bond.
Mr. Baum stated that due to utilizing tax-free bonds, the public must have an
opportunity to voice concerns if they disagree with the use of the funds.
Public Hearing opened and closed at 8:39 p.m. without comment.
Council Member Schmid asked that the statements from Staff be represented
in the minutes of the meeting.
MOTION: Council Member Schmid moved, seconded by Vice Mayor
Drekmeier to accept Staff recommendation to 1) Conduct a public hearing
under the requirements of the Tax Equity and Fiscal Responsibility Act of
1983 (TEFRA) and the Internal Revenue Code of 1986, as amended (Code);
and 2) Adopt a resolution approving the issuance of the bonds in an
aggregate principal amount not to exceed $14,000.000 by the California
Municipal Finance Authority (CMFA) for the benefit of Fabian Way
Associations, L.P. (Borrower) in financing Fabian Way Senior Apartments.
Council Member Yeh asked if the Fee for Service item under Resource Impact
paid for Staff time or something else.
06/02/08 103-208
Ben Barker, CMFA, stated that a portion of the issuance fee is returned to the
local municipality without consideration for how it may be used.
Mr. Baum stated the City would use these funds to cover the internal costs.
MOTION PASSED: 8-0 Barton not participating
COUNCIL MATTERS
11. Discussion of City Manager Selection Process.
Mayor Klein confirmed with the City Clerk that a memo from Council Member
Barton and him had been distributed to Council and the public. The memo
requested authorization for the Mayor and the Chair of the CAO Committee
to; 1) disclose certain information to the media, and 2) the approval of
senior Staff and nine citizens to be appointed by the Council to participate in
the interviewing process of the finalists for the City Manager position.
City Clerk Donna Grider noted that the memo was distributed prior to the
Council meeting.
Mr. Baum stated the Colleague’s Memo is not really on the agenda it is only
the discussion that is agendized.
Mayor Klein stated that given the focus is process oriented the Council can
proceed with a discussion to get a sense of the matter. He stated questions
were received regarding the status of the search; how many applications had
been received, and how many semi-finalists are being considered. He stated
due to State Law that information could not be disclosed without consent of
the full Council. He asked for consent from the balance of the Council to
provide answers to these two questions.
Council Member Morton stated the press has the right to ask these questions
but wondered about the value of making the information public. He stated
his view was that the Council should refuse the request and cite the Brown
Act.
Mayor Klein stated that eight Council Members had consented to the two
items by the nodding of their heads.
Council Member Barton stated this would allow many people to interview the
final candidates. He stated that senior Staff preferred to conduct interviews
separate from community leaders. He stated the value of this is in bringing
additional input to the process, including an opportunity for the candidate to
hear concerns directly from senior Staff and the community. He stated that
the community would appreciate their opinions being valued.
06/02/08 103-209
Sandra Lonnquist, 122 Hamilton Avenue, stated the March 17, 2008 memo
expressed the business community’s appreciation for the opportunity to
participate in selection of a recruiter and requested further participation in
the interview process.
Herb Borock, P.O. Box 632, stated that as it is part of the public record to
disclose which Council Members appointed particular positions. This practice
should be extended to participation in the recruiting process.
Mayor Klein stated that there is an error in the memorandum regarding the
dates shown in the last paragraph, where it reads June 7 and/or 8 it should
be June 14 and/or 15.
Council Member Kishimoto asked for verification that the interviews would be
done June 14 or 15 and done in Closed Session. She asked for clarification
regarding a Motion on this discussion.
Mr. Baum stated that this was not appropriately noticed to take action. He
stated it was listed as a discussion where no Motion would be in order.
City Manager Frank Benest stated that should the Council appoint community
members confidentiality of candidates would be an issue.
Council Member Barton stated that he discussed that challenge with Mr.
Murray who produced forms that would alert the community members to the
need for confidentiality.
Mr. Baum stated that Mayor had the power to appoint any committee at any
time without any action from the Council.
Mayor Klein stated he was aware of that provision and was interested in an
informal vote of the Council for guidance.
Mr. Baum stated that no vote can be taken.
Mayor Klein stated that he was looking for a more informal indication of the
preference of the Council Members.
Council Member Morton stated his concern regarding protecting the
confidentiality of the applicant’s at this point in the process. He also stated
that this may be shifting responsibility to the public that should remain with
the Council.
Council Member Espinosa stated that the public participants would not be
making the decision. He stated that previously he was not in favor of an
open process but at this point he is in favor of including community
participation.
06/02/08 103-210
Council Member Barton stated that Bob Murray assured him that this would
not adversely affect any of the applications.
Council Member Kishimoto stated the main concern has been confidentiality
and if that can be assured she would support this. She noted that the list of
senior Staff includes six members but leaves out several other department
heads and would prefer to include all department heads.
Council Member Yeh stated his concern is also confidentiality and expressed
the opinion that signing a form may not be sufficient. He stated that even
though public input is very important, the risk of breaching confidentiality is
too high. He stated that he would not support appointing nine citizens to
participate in process. He asked if confidentiality would be an issue in regard
to the involvement of the department heads.
Mr. Benest stated that the department heads could also sign forms but he felt
they would be less likely to breach confidentiality. He stated that the benefit
of professional Staff involvement outweighed the risk of breaching
confidentiality.
Council Member Yeh stated there is value in the candidates meeting with the
department heads and supported the notion that all department heads be
included in the process.
Council Member Schmid stated his view that it would be beneficial for the
candidates to meet with both professional Staff and the public
representatives. He stated that if the consultant could assure there would be
nothing detrimental to the candidates, he would support including the public.
He stated that mixing Staff and public members in these meetings might
prove beneficial.
Council Member Barton stated that he found Mr. Murray adamant about the
two groups meet separately with the candidates. He stated the reason being
questions from one group about the other may become awkward with
everyone present resulting in more limited conversations.
Council Member Morton stated he agrees that including senior Staff is
important even though he disagrees with including the general public.
Council Member Burt asked for further information regarding disclosing
information publicly.
Mayor Klein stated his preference to disclose the information regarding who
would participate publicly.
06/02/08 103-211
Mr. Baum stated that it will be listed on the agenda or attached to the
agenda. He stated that there would be no intention of concealing the
identities of the participants.
Council Member Burt stated that he agreed that all department heads and
the senior-most member of the Auditor’s Department should be included.
Mayor Klein stated he will go ahead with the process as described with the
addition of all department heads. He stated he will appoint the nine people
proposed by the Council Members as each member may select one
appointee.
Mr. Baum stated that if anything is submitted in writing it would need to be
made part of the public record.
Mayor Klein asked the Council Members to verbally propose their choice so as
not to embarrass any citizen who may decline to participate.
No Action Taken by the Council
12. Colleagues Memo from Council Members Barton, Burt, and Kishimoto
Regarding Tour of California 2009 Proposal.
Council Member Kishimoto stated the event was an unqualified success in
terms of community participation, partnership with Stanford, Palo Alto’s
image as a cycling center and green city, and international coverage of the
event. She stated enthusiasm for future events and described the changes
for holding the event again in 2009.
MOTION: Council Member Kishimoto moved, seconded by Council Member
Barton to authorize the City Manager to negotiate a mutually beneficial
agreement between AEG and the City of Palo Alto to host the February 16th
stage finish in the 2009 Tour of California cycling race.
Council Member Barton stated he seconded the Motion due to the huge public
support and enthusiasm for the event.
Council Member Burt stated he supported the Motion adding the
overwhelming amount of highly favorable publicity generated by this event
was invaluable to Palo Alto.
Council Member Yeh stated his appreciation to colleagues for bringing this
forward and his enthusiasm for the event. He asked for clarification of the
date that personnel would be hired to manage these programs.
06/02/08 103-212
Mr. Benest stated the Request For Proposal responses are due in a couple of
weeks, there would be a review period, and Staff should bring this back to
Council prior to the summer break.
Council Member Morton asked if Staff would continue the same level of
commitment to this program going forward.
Mr. Benest stated that Staff will ensure the same level of commitment was
continued with the benefit of the experience gained from the first event.
Council Member Morton asked if the route would come through the heart of
community.
Deputy City Manager Steve Emslie stated the tentative route is from
Sausalito to Palo Alto using either Page Mill Road, Woodside Road, or Tanitas
Creek with laps through Stanford and finish at Prolog.
Council Member Morton stated that this level of involvement in the route was
exciting and he was happy to support it.
Council Member Espinosa stated his support for the Motion. He stated that
people may be interested in the Tour de Cure race hosted by the American
Diabetes Association that starts and finishes at the Hewlett Packard campus.
Mayor Klein stated that although he is very enthusiastic about the event he
had some concerns about expenses. He stated that foremost concern was
that the numbers were soft regarding exactly what could be attributed to this
event. He stated going forward the City Manager should negotiate a cap on
expenses and Staff strenuously request the Chamber to work with hoteliers
and restaurants to get accurate data to be held confidentially.
Council Member Kishimoto stated that she is comfortable with that additional
direction.
Mr. Benest stated Staff would be very aggressive in that regard and
expressed concern about data from the restaurants.
Mayor Klein stated that he was disappointed in the data provided from the
first two years.
Council Member Kishimoto accepted the direction as a friendly amendment.
INCORPORATED INTO MOTION WITH CONSENT OF MAKER AND
SECONDER for the City Manager to negotiate a cap on the City’s expenses,
request the Chamber of Commerce work with the hoteliers and restaurants to
get accurate data to be held confidentially.
06/02/08 103-213
Mr. Benest stated that in addition to the partnership with AEG it is critical to
have the commitment from the LOC and would include that as part of the
condition.
Council Member Schmid stated his view that these conditions should not
overshadow the excitement created by the event. He stated that possibly the
World Music Festival could be rescheduled to President’s Day to expand this
event for Palo Alto.
Council Member Morton stated his agreement with defining, if not capping the
risk. He asked if the cap would be predetermined in advance of negotiating
the details of the event and identifying the costs.
Council Member Burt stated his suggestion for an amendment to include a
request to the Visitor’s Bureau to provide their best judgment on the range of
benefits from publicity.
Mr. Benest stated that to get the hard dollar and other benefits, Staff would
work with the Destination Palo Alto provider. He stated they are the
appropriate organization to provide information on both issues.
INCORPORATED INTO MOTION WITH THE CONSENT OF MAKER AND
SECONDER that the Destination Palo Alto Visitor’s Bureau provide their best
judgment on the range of economic benefit derived from the publicity for the
City.
MOTION PASSED: 9-0
COUNCIL COMMENTS, ANNOUNCEMENTS, AND REPORTS FROM CONFERENCES
City Clerk Donna Grider announced that the public can bring their mail-in
ballots to the lobby of City Hall, where there is a secure box and that the
ballots will be picked up and counted by the County.
Council Member Yeh spoke regarding the soap box derby that occurred this
past weekend in Mountain View and there was a request that Palo Alto
participate in future soap box derby events.
Mayor Klein spoke regarding his attendance at the National League of Cities
(NLC) Energy, Environment and Natural Resources Committee meeting in
Cleveland, Ohio this past week. He also stated that the NLC has scheduled
an event for next year, the week of Earth Day, solely devoted to environ-
mental issues.
06/02/08 103-214
Council Member Kishimoto reminded all that there is a Study Session this
Thursday at 1:00 p.m. in the Chambers led by Bill Burton Wright. She also
spoke regarding the update from Staff on the use of tasers.
ADJOURNMENT: The meeting adjourned at 9:40 p.m.
ATTEST: APPROVED:
City Clerk Mayor
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