HomeMy WebLinkAbout1994-07-11 City Council Summary Minutes
Regular Meeting July 11, 1994 1. Interviews for Planning Commission....................73-214 1. Remarks by Stanford University President Gerhard Casper73-215 2. Appointment of a Member to the Board of Directors of the Mid-Peninsula Access Corporation......................73-217 ORAL COMMUNICATIONS........................................73-217 APPROVAL OF MINUTES OF MAY 2, 1994 ........................73-217 3. Agreement between the City of Palo Alto and Austin-Knight Advertising Inc. for Recruitment Advertising Services.73-217 4. Renewal of Agency Agreement between the City of Palo Alto and Santa Clara County for Continuation of AB 939 Fee (Integrated Waste Management Act).....................73-217 5. Maintenance Agreement between the City of Palo Alto and 531 Cowper Street Partners for 531 Cowper Street, Acceptance of Grant of Easement for Pedestrian Purposes and Grant of Parcel in Public Right-of-Way Pursuant to a Lot Line Adjustment...................................73-217 6. Amendment Nos. 2 and 3 to Webster-Cowper Garage Air Rights Lease Requiring Tenant Responsibility for Insur-ance Coverage, Expanding the Lease Area for Maintenance Obligation Purposes, and Giving Authority to City Manager and City Attorney to Approve Alternative Forms and Amounts of Security...................................73-218 7. Agreement between the City of Palo Alto and Keyser Marston Associates, Inc. for Consulting Services to Perform a Midtown Market Analysis.....................73-218 8. Policy and Services Committee Recommends Approval of the Implementation of the Terman Specific Plan............73-218
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9. Finance Committee Recommends Approval of Staff's Recom-mendations re the Economics Resource Plan; the Policy and Services Committee Forwards the Economic Resources Plan Without Recommendation................................73-222 11. Comprehensive Plan Update Process - Response to City Council Request for Information on Status of Budget (continued to July 18, 1994)..........................73-228 12. Request for Authorization to Disperse Peninsula Times-Tribune Archival Records among Local Historical Associa-tion Collections (continued to July 18, 1994).........73-228 13. Staff Response to Council Concerns re the Former Contract with Landscape West-North, Inc. for Cubberley Landscaping and Maintenance Services (continued to July 18, 1994).73-228 10. Agreements between the City of Palo Alto and Brown, Vence and Associates; ELH Development Services, Inc.; Newcomb Anderson Associates; and Salas O'Brien Engineers, Inc. for Consulting Services to Utilities Resource Conserva-tion for Commercial/ Industrial Programs..............73-235 14. Council Comments, Questions, and Announcements........73-236 ADJOURNMENT: The meeting adjourned at 10:52 p.m...........73-236
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The City Council of the City of Palo Alto met in a Special Meeting on this date in the Council Conference Room at 5:50 p.m. PRESENT: Fazzino, Huber, Kniss, Rosenbaum, Simitian, Wheeler ABSENT: Andersen, McCown, Schneider SPECIAL MEETING 1. Interviews for Planning Commission No action taken. ADJOURNMENT
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The City Council of the City of Palo Alto met on this date in the Council Chambers at 7:10 p.m. PRESENT: Fazzino, Huber, Kniss, McCown, Rosenbaum, Schneider, Simitian, Wheeler ABSENT: Andersen SPECIAL ORDERS OF THE DAY 1. Remarks by Stanford University President Gerhard Casper Gerhard Casper, President, Stanford University congratulated the City on its 100th birthday celebration. He commented on the World Cup Soccer event and its success due to the established relation-ship between Stanford University, the City of Palo Alto, and the Palo Alto Chamber of Commerce (Chamber). He spoke regarding the completion of the review of undergraduate education, budgetary equilibrium, and the implementation of the reorganization of Stanford Medical Center to would start approximately September 1, 1994. Council Member Fazzino asked about the relationship between Stanford University and Stanford Research Park (Research Park). Mr. Casper said the Research Park had received a great amount of attention with respect to keeping the park viable. The emphasis would be on the redevelopment of the existing facilities and to make them more attractive and competitive. Stanford University was currently working with the City to finalize the arrival of the biotec firm Genencor and expected Council and Planning Commission review and approval later that year and construction to begin in early 1995. The Stanford Research Park was undergoing the most systematic re-evaluation in decades. Council Member McCown said her question was prompted by Mr. Gerhard's comments about the Stanford Medical Center (Medical Center) issues and the communication that the Council had received regarding the status on the various Sand Hill Road projects. She asked how the Medical Center issue that might invoice land use development would be coordinated with the Sand Hill Road projects and the overall level of development. Mr. Casper said the environmental analysis for the Sand Hill Road project would include all possible future changes in the Medical Center. The overall planning for the Medical Center was difficult because of the unknown factor of future developments in the medical marketplace and what demands would be put upon Stanford. Stanford knew there would be a greater shift of in-house patient care to outpatient care and more ambulatory care. Stanford had no idea how much could be afforded in terms of projects and adaptation in the next two years. Revenues would continue to go down as Stanford
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went to managed care. Stanford would seek additional entitlements for 400,000 square feet for possible projects to the Year 2000 but presently had mo plans to use that much space. It was a precau-tionary measure so that Stanford could plan when they were ready. Council Member McCown referred to the environmental analysis that included the potential Sand Hill Road, the Stanford Shopping Center and housing projects, and the Medical Center, and she asked whether there was a process that was foreseen in terms of making some trade-offs with other plans in order that the overall impact would be within some reasonable level that was environmentally accept-able. Mr. Casper said Stanford needed to move forward with the Sand Hill project now. There was always room for trade-offs in looking forward but not looking backward. If the Medical Center in the long run imposed limitations on what could be done, that issue could be dealt with at that time. He urged attention be focused presently on the issues of the Sand Hill Road, the Stanford Shopping Center, and the senior apartment complex projects. Council Member Rosenbaum said it appeared that medical centers across the country were building expensive new facilities, and he asked how that fit in with cost containment. Mr. Casper replied there were a couple of projects that had been in the planning stages a long time. He did not think Stanford had been building facilities that would add to costs and they had been exceeding careful about that because Stanford's exposure was so great. If anything went wrong at the Stanford Medical School, it put Stanford University completely at risk. Remaining competitive was of great concern but so was Stanford's own finances and whether new projects could be justified. He stressed that Stanford University as an employer had observed that medical prices were beginning to drop. They attempted to determine what the Medical Center needed, what it could afford, what it needed in order to do what was it's real mission--to bring together work, research and the basic sciences, research in the clinical sciences, with better therapies, better patient care, and in particular, prevention. Stanford had been a leader in the world in doing that and had continued to make that contribution in the medical field under the most difficult circumstances. Instead of being in a more expansive mode, there could come a day when the Medical Center could not be afforded. That was clearly a question that could not be avoided. Council Member Schneider said the City of Palo Alto was in the process of rewriting its Comprehensive Plan and Stanford University played a significant role in that process. She asked what Mr. Gerhard would most like to see as Stanford's role in the Comprehen-sive Plan and how did he see the communities being able to further their relationship as a result of the rewrite.
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Mr. Casper said over the last 12 months with regard to the Comprehensive Plan and other issues, Stanford and Palo Alto had developed a very good working relationship and were both thinking in regional terms. There was not and never should be a barrier between Palo Alto and Stanford. He was strongly committed to working closely together and was satisfied on the whole during the last year that on the planning side it had been going very well. Mayor Kniss said the Council had met with Mr. Gerhard, Andy Coe, and Larry Horton extensively and has attempted to keep channels open and communication flowing. She felt the relationship was a valuable one and needed to continue in the vein in which it had gone along in recent years. 2. Appointment of a Member to the Board of Directors of the Mid-Peninsula Access Corporation RESULTS OF THE FIRST ROUND OF VOTING VOTING FOR BECKER-HAVEN: Fazzino, Huber, Kniss, McCown, Rosenbaum, Schneider, Simitian, Wheeler City Clerk Gloria Young announced that Jane Becker-Haven received eight votes, with Council Member Andersen absent, and was appointed on the first ballot. ORAL COMMUNICATIONS James Lewis, Abate Shoreline Amphitheater Noise (ASAN) Coalition, spoke regarding noise impact on property values (letter on file in the City Clerk's Office). Edmund Power, 2254 Dartmouth Street, spoke regarding honesty in government (letter on file in the City Clerk's Office). APPROVAL OF MINUTES OF MAY 2, 1994 MOTION: Vice Mayor Simitian moved, seconded by Wheeler, to approve the Minutes of May 2, 1994, as submitted. MOTION PASSED 7-0-1, Fazzino "abstaining," Andersen absent. CONSENT CALENDAR MOTION: Vice Mayor Simitian moved, seconded by Fazzino, to approve Consent Calendar Item Nos. 3 - 7. 3. Agreement between the City of Palo Alto and Austin-Knight Advertising Inc. for Recruitment Advertising Services
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4. Renewal of Agency Agreement between the City of Palo Alto and Santa Clara County for Continuation of AB 939 Fee (Integrated Waste Management Act) 5. Maintenance Agreement between the City of Palo Alto and 531 Cowper Street Partners for 531 Cowper Street, Acceptance of Grant of Easement for Pedestrian Purposes and Grant of Parcel in Public Right-of-Way Pursuant to a Lot Line Adjustment 6. Amendment Nos. 2 and 3 to Webster-Cowper Garage Air Rights Lease Requiring Tenant Responsibility for Insurance Coverage, Expanding the Lease Area for Maintenance Obligation Purposes, and Giving Authority to City Manager and City Attorney to Approve Alternative Forms and Amounts of Security 7. Agreement between the City of Palo Alto and Keyser Marston Associates, Inc. for Consulting Services to Perform a Midtown Market Analysis Ordinance 4231 entitled "Ordinance of the Council of the City of Palo Alto Amending the Budget for the Fiscal Year 1994-95 to Provide an Additional Appropriation for a Midtown Shopping Center Market Analysis" MOTION PASSED 8-0, Andersen absent. REPORTS OF COMMITTEES AND COMMISSIONS 8. Policy and Services Committee Recommends Approval of the Implementation of the Terman Specific Plan Council Member Huber said the item was referred to the Policy and Services (P&S) Committee about a year and one-half ago to review the results of a Council-directed neighborhood survey to see what type of services people wanted in the Terman area and to return to the P&S Committee to determine the type and level of services that should be provided. The P&S Committee at its meeting added that at least one member of the Jewish Community Center would be represent-ed on the seven-member committee; and once the community committee had been appointed, the P&S Committee would receive a status report back within six months. MOTION: Council Member Huber for the Policy and Services Committee moved approval of the Implementation of the Terman Specific Plan that: 1) Council endorse continuing staff actions to create new pilot City programs, promote existing City and other agency programs already in place, and encourage community use of facili-ties. Staff should focus especially on programs for youth and senior citizens and on programs which are revenue positive; 2) A seven-member review committee would be created by the City Council to make recommendations to staff and Council regarding Terman facilities and programs during the 1994-95 fiscal year; and 3)
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Funds from the Jewish Community Day School lease would be earmarked for Terman programs, equipment and maintenance. The review committee and staff would consider potential collaboration with the Jewish Community Center and/or other organizations as a means of providing programs to the community. Further, that: 1) at least one member of the Jewish Community Center would be represented on the seven-member committee; and 2) once the community committee had been appointed, the Policy and Services Committee would receive a status report back within six months. Director of Community Services Paul Thiltgen introduced Recreation Supervisor Richard James who would present the existing programs and the proposed programs for the fall. Recreation Supervisor Richard James said using the survey informa-tion, along with certain parking issues and class conflict issues with the Jewish Community Center (JCC), a program had been put together for the fall. During the summer, a full line up of camps in that area had been sold out; and for the fall, agreements had been put together with the Palo Alto Chess Club and the Chinese Goe Club, which would move to the Terman Community Center. Additional-ly, two classes including a computer class and a flower arranging class, would be moving. The mobile recreation program providing afternoon services for children would continue along with schedul-ing various community meetings, etc. Floyd Kessler, 4272 Los Palos Avenue, Board Member, Greenacres Association, said the Greenacres Association was heavily involved in the original Terman Specific Plan and the Terman development. He said that the JCC agreed through the Terman Specific Plan to abide by the decision that Wing 30 would be a community center. Without much notice, the Recreation Department gave a room to the Railroad Club and to Friends Abroad. Two years prior, rooms were refurbished for the Jewish Day School, and the Jewish Day School had been notified that it had until September 1, 1996, to relocate. It now looked as if the JCC was going to take over Wing 30, which could not be done according to the original Terman Specific Plan and the agreement with the City. The suggestion had been made that the JCC take control over all of the programs, and he wondered who would be in charge of all the classes, studies, and activities. He had a problem with the JCC taking over all the programs because it was not a City entity and he did not feel the neighbors in the Terman area should have to go to the JCC to solve programs issues. The JCC was a peninsula organization and not a Palo Alto organiza-tion. Ellen Christensen, 4217 Los Palos Avenue, said the Council should proceed cautiously with any widening of the contract with the JCC. The JCC had a very fine program, but it was a membership program and classes and the majority of its services were open to members only. As a member of the Greenacres Association and as a family that lived there at the time the Terman Specific Plan was adopted,
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her children were admitted to the City pool by the JCC, for a price. She felt her family was unwelcome there. In the last few years, her children were hassled and were refused entry during the current year and were told the Terman Specific Plan had changed and they were no longer allowed. She took issue with the staff contention that the Wing 30 money was the only money available for projects. If the proceeds from the JCC lease over the past 12 years had been targeted for programs by the City and the neighbor-hood, there would be a substantial amount of money for those programs. The neighborhood associations had been involved with the Terman Community Center and had attended many meetings. She felt they deserved to get some kind of notice. The JCC continued to solicit members which increased parking and facility problems, and a notice was recently issued to its members that it was okay to park in the surrounding neighborhoods. Janet Wright, 625 Glenbrook Drive, President, Greenacres I Association, said the Greenacres I Association did not want another Lucie Stern or a huge community center that had a full time staff. She was concerned about a collaboration with the JCC. When taking a class through the JCC, she and her daughter experienced the tight bond among the members of the JCC, much like a private club. When taking a class through the Recreation Department, it was easy to make friends and feel welcome. At the last public hearing on June 7, 1994, Recreation Superintendent John Williams said the centers throughout Palo Alto were still operating in the red and were funded by money through the General Fund. The Greenacres Associa-tion was excited about the pilot program at the Terman Community Center and understood that money earmarked from the Jewish Day School was funding the project which had been awaiting development since 1982, but she left the meeting with an ill feeling that the people from the neighborhood could not be accepted into the regular community programs unless that money was available which made them feel like they did not deserve the Terman Community Center. At the conclusion of the June 7, 1994, a motion was proposed by Council Member Huber that a member of the JCC be included in the seven- member committee that one be and she did not see any acknowledge-ment as to having members from the neighboring community. She requested that special attention be given to having some residents from Greenacres I, Greenacres II, and the people that lived in that community on that committee. Marion Hill, 4270 Pomona Avenue, Board Member, Greenacres I Association, said Association had been involved in City issues since 1952 and had worked toward improving the neighborhood. As a result of the Association's activities, it was deeply involved in the development of the Terman Specific Plan. The Association had been primarily involved in keeping a transformer station from being placed at Arastradero Road and in establishing Juana Briones Park where an apartment complex was originally planned. He felt that the Association's participation in the Terman Specific Plan and other issues deserved some consideration in the development of the
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forthcoming committee. He supported the establishment of the pilot program. He did not support the perception of the staff to develop a joint JCC/ City program. At the time the Terman Specific Plan was developed, it was established that there was a public use for that area as well as a use for the JCC. The JCC had its objectives for its programs which were not necessarily the same as the City's programs. The area was deprived of a pool and a gymnasium when the JCC took it over. Partial use of the gymnasium was extracted and for a while the neighbors were given free use of the pool but then a considerable membership fee was established. He felt there should be a clear distinction between City and JCC activities and those of the JCC. Program funding had been touched on and reservations expressed by the P&S Committee which he felt were appropriate. He concurred with the establishment of the review committee and recommended that it be chosen from southwest Palo Alto citizens, two from Greenacres I, and the remainder from Greenacres II and Barron Park. Bob Moss, 4010 Orme Street, member, Barron Park Association, remarked that it was the 14th year of its lightening campaign to provide City funded, City operated services, and a community center at Terman. He appreciated Council Member Huber's comment that funding should not be limited to the Terman Community Center only for the rentals. If that were to happen, he urged that funding only be limited to rentals at Cubberley, Lucie Stern, etc. Southwest Palo Alto should not be treated differently than other community centers. He was delighted with the proposed program to take a popular class from another community center and move it to Terman to see if it would work there. He felt that would be a viable test. There were five rooms in Wing 30 and the negotiations which were agreed upon in the Terman Specific Plan explicitly said the rooms would be City; and, therefore, community facilities. The JCC was given a portion of the site and that was the only portion, which explicitly excluded Wings 20 and 30, to which the JCC was entitled or should have any expectation of entitlement. There had been several comments that night with regard to the JCC violating the Terman Specific Plan. The plan required that the JCC's performance and compliance be reviewed annually; and if it failed to comply, it was to be put on notice and required to cure that noncompliance. It was a violation under the plan not to permit those who were not to use the pool to use the pool and to tell the members to park in the neighborhood. He suggested that the JCC be put on formal notice that the violations existed and must be cured. He endorsed the pilot program suggested. The survey was given in percentages of how people voted; but if the actual numbers were given, it could be seen that only a few hundred people participat-ed. He felt the survey was not adequate. He agreed with the seven-member committee and felt that having a member from the JCC was irrelevant since all they wanted was to encompass Wing 30. Recreation did not support itself and should not be treated differently at Terman. The overall goal to complete the Terman Specific Plan and put programs into the facilities was excellent,
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and he hoped that in the next budget that funds would be directed toward a Capital Improvement Program (CIP) and for development of the Terman Community Center, Wing 30. Council Member Wheeler said unless the committee was up and running very quickly, it was unlikely that the report with the results would have any impact on the next year's budget. She asked about the formation of the committee, when the first meeting would be held, when the report would return to the Council, and some back and how that would or would not fit within the time frame of the budget deliberations and budget formation for the 1995-96 year. City Manager June Fleming said if the recommendation were approved that evening, staff would try to form the committee so that it would convene in September 1994. If the committee stayed within the six-month time frame, there was sufficient flexibility in the budget to accommodate some recommendations in next year's budget. Council Member McCown said one of the speakers suggested that consideration of potential collaboration with the JCC organization or other organizations had come from staff, and she clarified that that was not part of the staff recommendation but came up during the P&S Committee meeting as a result of comments from representa-tives of the JCC and also Kathy Berra, employee of the Cardiac Therapy Foundation, who had discussed her program. The only addition to the staff's original recommendation which to pursue the pilot programs and create the committee and that the committee would consider potential collaboration with the JCC. She had the expectation that the committee would consider a whole range of possible ways of providing service to that community. She had emphasized that if collaboration with other non-city organizations and the use of that wing were to be considered, the criteria would be whether or not it provided the services defined by the committee as needed in that facility. The Council was trying to be open and imaginative in maximizing the use of the facility. The question raised about membership in the committee was not reflective in the motion. The P&S Committee assumed that the membership would be made up of individuals from the surrounding neighborhoods and that a communication would be sent out to the neighborhood organizations to invite people to submit letters of interest to the Mayor, who would then make the appointments. City Attorney Ariel Calonne pointed out that the new committee would be subject to the new Brown Act rules of open and public meetings notice with agendas posted 72-hours in advance. MOTION PASSED 8-0, Andersen absent. 9. Finance Committee Recommends Approval of Staff's Recommenda-tions re the Economics Resource Plan; the Policy and Services Committee Forwards the Economic Resources Plan Without Recommendation
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Council Member Huber said the Policy and Services (P&S) Committee discussed the issue and forwarded the item to the Council without recommendation. Council Member Wheeler said that the Economic Resources Plan (ERP) presented an entirely new approach to addressing issues related to the business community. It was unique in that it went to both standing committees, and was drafted in a manner uncommon to City staff reports. The ERP made suggestions without giving answers. It asked the Council to take a look at how the City could play a proactive role in planning a stable economic future. The staff report (CMR:373:94) asked how it might be possible for the City to influence the manner in which business enterprises in the community might develop in the future. It challenged the Council and the community to determine what role the residents might play in the planning process. Both standing committees focused on what the adoption of the plan would mean, particularly the various compo-nents of the plan. Both committees proceeded with caution, seeking and receiving from staff assurances that specific implementation plans for any of the recommended actions would return to the Council for discussion and approval. MOTION: Council Member Wheeler for the Finance Committee moved approval of the staff's recommendations re the Economic Resources Plan to: 1) initiate a Business Outreach Program; 2) institute a business retention program with targeted assistance to major revenue-generating areas and uses in the City; 3) develop a program which would assist in expediting the City process for existing businesses desiring to expand within the community, and for targeted new businesses wishing to locate in Palo Alto; 4) actively participate in regional economic strategic efforts; and 5) consider, on a selective basis, the use of traditional economic development tools utilized across the State and nation to accom-plish specific economic goals. The Finance Committee's support was for the general program outline and was not to be construed as a free reign to implement every item in the ERP related to the five items. Further, that a caveat which indicated that support for the ERP neither implied nor precluded the use of zoning changes or financial assistance to any proposed development as part of any particular effort. City Manager June Fleming said that the ERP took a path which was not traditional to the way that business was done in Palo Alto and neither was the staff recommendation. Staff felt the opportunity should be presented to the Council to decide whether or not it wanted the staff to be bolder in its efforts to join the ranks of the surrounding cities that had already adopted an ERP, in various formats, strategies, and philosophical approaches. The staff felt the purpose of the document was achieved, and it had been exten-sively reviewed by the community and both standing committees. The Council needed to recognize the priorities when establishing the economic future of Palo Alto. She reminded the Council that the
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economic resource planning effort head a looser format for the past year and a half. In one form and in one phase, the ERP had justified itself in having a person on staff that businesses could call who would understood the problems they were facing. The benefits of this were demonstrated with issues in Midtown, Genencor, and other similar projects. She understood the Council's concern because it was a change which needed to be taken cautiously but she felt it was a change in a direction that needed to be taken. Any major changes in City policy could not be made without approval of the Council before implementation and financial incentives to either retain or attract businesses. Small steps had been taken internally which were consistent with the ERP, such as a pre-screening process. There were issues of a plan not being successfully implemented without Council approval, and staff would probably return to Council in October 1994 with an implementation plan and a recommended budget amendment ordinance to carry the ERP forward for the remaining six months. The ERP had six months of funding, but it would need to be funded for the balance of the year. Council Member Fazzino referred to the salaried position, such as the program assistant, and he asked for specifics as to other costs which might be included in the ERP when staff returned in October 1994. Ms. Fleming was thinking more comprehensively when speaking to implementation. Staff would return to Council with ideas as to how the document would become a "living" document. She was not prepared to respond to staffing until she knew in what form the ERP was adopted. Council Member Fazzino asked about the elements of implementation if the Council approved the recommendation. He wanted to know what areas would be included in implementation plan. He asked whether staff would suggest a fund to support businesses. Manager of Economic Resources Planning Carol Jansen said if the Council were to approve the ERP substantially as written, the critical element would be prioritization within the organization because it was cross-departmental, e.g., what was important to do, how much time should be allocated to do it, and where within the plan were the areas that should get the most emphasis. Ms. Fleming did not foresee request to Council that would include a large increase in staffing or a large amount of dollars set aside. The first year would be an implementation year and there would be the traditional costs for implementation such as printing, publishing, posting, attendance at meetings, etc. Council Member Fazzino confirmed the initial costs would reflect the outreach program. He said that the Council would not likely see a loan guarantee fund during the first year. He asked for
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clarification with respect to the recommendations in the staff report (CMR:373:94) that corresponded to the bold-typed items in the November 1993 draft ERP that Council would approve, and not the narrative. Ms. Jansen said the assumption was that Recommendation No. I regarding initiation of an Outreach Program, would include the elements listed. Council Member Fazzino referred to that Recommendation No. V regarding the use of economic development tools across the state and nation to accomplish specific economic goals, and said that was quite different. Ms. Jansen said staff was not going to collect data on what other communities were doing or how certain tools might be implemented; but she did not want to preclude the tools as issues, and staff needed to return to Council for policy direction. Council Member Fazzino wanted to clarify what the Council would be approving and referred to the November 1993 Draft ERP report. For example, the Council would approve Letters A through G under Recommendation No. I and would not necessarily be approving A through F under Recommendation No. V. Ms. Fleming said there were items listed under each of the Recommendations I - V in the November 1993 draft ERP report, and if the Council did not want the staff to proceed with any of the items listed, the items should be pointed out. Vice Mayor Simitian clarified there was a difference between the language in the first couple of recommendations which specifically indicated that certain proponents were included as contrasted with the later recommendations which gave descriptive narrative and indicated that those might or might not be used as part of the recommendation. Mayor Kniss asked about "fast track permitting" which was mentioned in Exhibit A of the staff report (CMR:373:94) "100 Cities" by a number of the cities. She did not see it included in the recommen-dations and asked if there were any plan regarding that. Ms. Jansen referred to I.G., page 17 of the November 1993 Draft ERP report and said it reflected in the statement: "Work toward improved coordination of the City's environmental review, enforce-ment, and permit processes." Jeffrey Vaillant, 3412 Hillview Avenue, Stanford Research Park Chairperson, said the Stanford Research Park Forum (Forum) made up of both large and small businesses. The Forum saw the ERP as an important document for the businesses that were located in the Stanford Research Park and also important for tying together the
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comprehensive planning currently going on. In terms of the Chamber and its activities, there was also an economic vitality group out of which a sub-group was formed. He asked Council to adopt the ERP and also hoped that a Chamber of Commerce/City of Palo Alto partnership be formed out of the ERP. Exhibit A mentioned fast track permitting, one-stop permit centers, and permitting accep-tance which was a very important issue to the already established businesses and businesses that might come to Palo Alto. The failure to handle permits expeditiously could determine the difference in a business being profitable or not. The California Trade and Commerce Agency recently held a seminar regarding permitting which was attended by many cities, counties, etc. The state had a real concern, just as the City of Palo Alto should, over the subject of permitting. He hoped with the permit process review a comprehensive group of people could be established from the City Manager's Office, Planning, Public Works, and Utilities Departments, property owners, commercial developers, Stanford, Stanford Research Forum, Silicon Valley Joint Venture, Santa Clara Valley Manufacturing Group, etc., to work in a partnership to address the subject. Gene Endicott, Manager, Bay Area Governmental Affairs, Hewlett Packard, 3000 Hanover Street, supported the implementation of the proposed Economic Resources Plan (letter on file in the City Clerk's Office). Nancy Noe, Alza, 950 Page Mill Road, stressed the importance of business outreach. Businesses in the Stanford Research Park wanted to see ongoing dialogue and communication with all City depart-ments. She currently saw an increased communication effort from the City and the businesses at the Stanford Research Park who in essence should be partners in finding solutions to the problems. With the implementation of the ERP, the Palo Alto Chamber of Commerce and businesses in the City should be involved in dialogue as to how that should happen. She had been involved in a joint committee with that city to look at how they could support each other and discuss permit streamlining. She urged Palo Alto to review the streamlining processes that were occurring in Mountain View and other cities. The processes did not involve reductions in standards for aesthetics or safety but provided a process where key City department people were brought together in one location so that everything could be accomplished at one time. Maggie Sarovich, California Trade and Commerce, 111 N. Market Street, San Jose, was fortunate to have worked with representatives from the City of Palo Alto and the Chamber of Commerce since June 1993 on the Genencor project. She said Texas and North Carolina were currently offering businesses very comprehensive business packages to attract them to their cities and towns. Team Califor-nia was a cooperative effort of cities, counties, states, and local governments to work together to create a more favorable business climate. That project helped mobilize and solidify some of the
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thought processes to develop that kind of plan. She recommended implementation of the ERP. Lee Weider, 637 Middlefield Road, said increased housing densities in the Downtown area and nearby neighborhood commercial areas were good for business but even more so for adding to the present, future, economic health, and quality of Palo Alto's urban living. The ERP laid a conceptual foundation to better realize Palo Alto's assets. Increased residential densities in the Downtown area could mean more sales tax dollars, property taxes, and property transfer taxes without having the tremendous infrastructure costs associated with typical residential development. The three commercial areas that supported increased residential density and proximity to neighborhood commercial areas were: business and economics, transportation, and housing. At a recent presentation of an Urban Land Institute seminar in San Francisco entitled "Designing for Higher Densities," it was pointed out that the proportion of traditional nuclear families had significantly declined over the past 20 years. He recommended that along with the ERP, a study be conducted to examine whether increased residential densities in the Downtown and neighborhood economic retail areas would have a positive economic impact, as well as provide more affordable housing for many first-time buyers. Tom Wyman, 546 Washington Avenue, referred to the first sentence of the Introduction Section of the Economic Resources Plan (ERP), which read "This report constitutes a set of integrated proposals that are intended to assist the Council in defining and implement-ing a community-sensitive Economic Resource Planning (ERP) strategy for the City of Palo Alto." and said the plan spoke to economic development and encouraging business and commercial activities without reference to their impact on the community. There was no effort in the report to recognize that commercial development should be balanced against and not override other community needs and concerns. Members of the Business and Economic subcommittee of Comprehensive Plan Advisory Committee (CPAC) were mindful of the need for a healthy business climate in Palo Alto and that it should develop in harmony with other community needs. The ERP as written did not contain moderating or balancing language and did raise questions as to what extent the plan could be used in the future to override other community interests. In a community survey taken last year, more than 75 percent responded that Palo Alto did not need more office or bulk retail development. Traffic congestion, prevailing jobs, and housing imbalance were identified as the most troubling issues in the community and new economic development was not mentioned. He endorsed the ERP but said it should include some statement reflecting the necessity for balance between economic development, vitality, and other pressing community concerns and priorities. Bill Phillips, Managing Director of Real Estate, Stanford Manage-ment Company, 2770 Sand Hill Road, had been involved with the ERP
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for a long time and supported its adoption. He felt a major reason for Palo Alto's success as a community was its diverse and thriving business element. The businesses were responsible for providing services directly and indirectly through the revenue commitment they made to the City. The businesses could only stay vital and competitive through their ability to quickly adjust to customer demand. He believed Palo Alto desired to maintain a vital and dynamic business environment. John Benza, Chairman, Community and Business Relations Committee, Barron Park Association, 3745 LaSelva Drive, said the committee was formed in January 1994 in an effort to address some immediate issues within the Barron Park area along El Camino Real but had a long-term goal which was in line with the ERP. He felt the ERP offered an excellent opportunity for the members of the community to prepare for the realities to be faced in the future. He wanted to emphasize the importance of including a cross section of the entire community; business, government, development organizations, and the neighborhood associations. He was interested in the areas along the El Camino Real and Midtown and was pleased to see that the City staff had begun the development of economic modeling and encouraged the City to adopt the concept of building a macro-economic model for the City to provide the capability to do an in-depth micro-economic analysis on those particular areas of opportunity that existed within the community; undeveloped or existing. There were 21 properties along El Camino Real in South Palo Alto that were empty and not bringing any economic value to the City or to the residents. He committed the support and cooperation of the Community and Business Relations Committee and welcomed any participation, ideas, etc. Susan Frank, Executive Director, Palo Alto Chamber of Commerce, submitted a letter (on file in the City Clerk's office) written by Barbara Gross, Chair, Downtown Marketing Committee, Palo Alto Chamber of Commerce, extending her support for the ERP recommenda-tions. S said she met with Chamber of Commerce executives once a year from all over the country for the Institute for Organization and Management and it was always interesting to discover that while Palo Alto stood above other communities in many ways, it fell short in terms of population and number of businesses when compared to similar communities that had had economic resources planning in place that had worked effectively for many years. The ERP document was not unusual, it was only unusual for Palo Alto. Integration and retention were two items that were crucial to the Chamber. She stressed the need to integrate economic resources planning in other City functions and departments, while allocating resources for the division of Economic Resources Planning, as necessary. She urged the Council to support the heavy business retention of the plan and the ways needed to be developed to preserve the business resources in Palo Alto. The Chamber urged the Council's support of the ERP and looked forward to collaborating with the City on its implemen-tation.
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RECESS: 9:32 P.M. - 9:38 P.M. MOTION TO CONTINUE: Council Member Fazzino moved, seconded by Schneider, to bring Item Nos. 11, 12, and 13 forward for the purposes of a continuance to the Monday, July 18, 1994, City Council Meeting. 11. Comprehensive Plan Update Process - Response to City Council Request for Information on Status of Budget (continued to July 18, 1994) 12. Request for Authorization to Disperse Peninsula Times-Tribune Archival Records among Local Historical Association Collec-tions (continued to July 18, 1994) 13. Staff Response to Council Concerns re the Former Contract with Landscape West-North, Inc. for Cubberley Landscaping and Maintenance Services (continued to July 18, 1994) MOTION TO CONTINUE PASSED 8-0, Andersen absent. ITEM NO. 9 - Economic Resources Plan (continued) Joella Paquette, Digital Equipment Corporation (DEC), 250 Universi-ty Avenue, encouraged the City Council to support the ERP. DEC had worked on a number of projects with the City of Palo Alto and she was proud of the relationship. Dr. Beverley Bryant, Manager, Government Affairs, Sun Microsystems, 2550 Garcia Avenue, Mountain View, supported the ERP and applauded Palo Alto in its innovative approach to review its economic future. Sun Microsystems would work together with the City to ensure that the recommendations were carried out and would continue to communicate with regard to some of the issues contained in the ERP. Steve Player, Board Member, Palo Alto Chamber of Commerce, 1874 Guinda Avenue, echoed the importance of the ERP. The business community was the engine that drove the services which were enjoyed by the community. It was not only important to retain business but to attract new businesses as well. The past year represented how well the Chamber and the City could work together in being business-friendly to Palo Alto businesses. He encouraged adoption of the ERP and urged continued interest in the business community and a willingness to work with the community to keep it strong and vital. Herb Borock, 2731 Byron Street, said one of the elements of the substitute motion as proposed by Council Member Rosenbaum in his memorandum to the Council dated July 11, 1994, dealt with the improvement of underutilized areas such as El Camino Real and Midtown and asked in the case of Midtown how it related to Consent
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Calendar Item No. 7 regarding Midtown Shopping Center Market Analysis which had already been approved that evening. The previous speaker, Mr. Weider, had mentioned increasing housing densities in neighborhood commercial areas, and in an article in the Palo Alto Weekly, the City's Chief Planning Official pointed out that Charleston Center, which was for the most part low-density housing, was a successful suburban area that probably would not change. He asked how that related to residential density being increased in Midtown when there had been testimony the previous month from the residents of that area opposing the already increased density. Only a portion of the Midtown area matched in size to the successful neighborhood commercial areas such as Charleston Center. There could be more residential construction in Midtown by consolidating the neighborhood serving commercial areas in an area that was similar in size to Edgewood, Charleston, or Alma Centers and the remaining area could be developed residential-ly at densities that would be compatible to the community. Various groups that were addressing higher densities in general were referring to areas such as University or California Avenues where mass transit was available. He felt it would be a mistake to try and change the density of residential development in Midtown as opposed to changing excess commercial areas to residential. Bob Moss, 4010 Orme Street, supported the basic concept of the ERP. He felt time should be spent on business outreach, emphasizing the positive aspects of the community and what Palo Alto had to offer that other cities did not. Palo Alto had an excellent Police Department known throughout other communities, and the City along with the Palo Alto community worked together to resolve problems in the most cost-effective way. He suggested a computerized system be set up where a permit form could be brought up from a remote location. If someone on the East Coast were interested in moving to Palo Alto, there would be an on-screen capability to call up the permit and walk through the process along with an on-screen help capability and a number to call if they needed help. Also, if someone wanted to know the status of their permit process, they could inquire and get a direct answer. He referred to Exhibit A attached to staff report (CMR:269:94) which showed tax benefits from various developments and said when the analysis and outreach was done that it should show not only the tax benefits to the community but also the cost to service that development. Dawn Miller, President, Palo Alto Chamber of Commerce, 325 Forest Avenue, spoke on behalf of the 775 plus businesses that made up the Chamber and for the support of the ERP. While there was strong support for the business retention portion of the plan, she asked that stronger emphasis be placed on attracting new businesses to Palo Alto. Attrition was natural and the Chamber wanted to be proactive in filling the void instead of waiting to see what happened. The Chamber felt that greater emphasis should be placed on expediting the process for welcoming new businesses, whether it be the permit process or getting them educated about Palo Alto.
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There was substantial competition from neighboring communities on the Peninsula and other communities did a better job of communicat-ing the benefits in their communities than Palo Alto did. She said Palo Alto businesses relied on the continual and varietal renewal of businesses in the community. As a business owner, she wanted to emphasize that the ERP was very important to the vitality of the business community. Elsie Begle, 1319 Bryant Street, was strongly in favor of the adoption of the ERP and felt it was mutually beneficial to all. El Camino Real was an example of why there needed to be an overall approach, and economic benefits needed to be considered in the planning process of the ERP whether it was Midtown, El Camino Real, or Downtown. Alisa Fong, Palo Alto Board of Realtors, 610 Cowper Street, supported the ERP. It was the Boards feeling that the provisions and programs embodied by the ERP represented a practical and necessary approach toward facilitating the economic vitality of Palo Alto's current and future business community. Individuals chose to live in Palo Alto due to the quality of life that was offered and enjoyed, and a strong and vibrant business community helped to fund the services. The ERP recognized the role of the business community that related to the City, and it was the Boards hope that all of the provisions entailed would be implemented. Council Member Schneider commended Ms. Jansen on the ERP. The ERP would provide marketplace considerations affecting the business community and allow the City to get ahead of the trends in business which would allow Palo Alto set its own economic future. Issues such as Downtown changes and use, the effect of City actions on retail and office markets, and economic reason for retail decline as seen in Midtown were all aspects of the plan. The ERP strongly emphasized business retention as opposed to new business attrac-tion, although specific business attraction such as solicitation of a hotel was reflective of the type of business needed in the community that satisfied both service and revenue. The ERP advocated facilitation and problem solving for the business community and increasingly complex regulatory environment. As rules became more difficult, government needed to become more helpful. Other comparable cities such as Cupertino, Berkeley, Santa Barbara, and Santa Monica were all doing far more toward their businesses and direct economic resources. Palo Alto was fortunate to have an active and professionally run Chamber of Commerce. The Economic Vitality Task Force was championing the causes contained in the plan, but it needed the City's participa-tion and leadership. The ERP as proposed was currently being used to provide a road map for Palo Alto's economic future and she strongly supported the motion. SUBSTITUTE MOTION: Council Member Rosenbaum moved, seconded McCown, to approve the following that: 1) The Council give
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conceptual support to the economic resource planning without necessarily agreeing with the assumptions or supporting all the recommendation of the Draft Economic Resources Plan; and 2) The Council direct staff to prepare implementation tools for Council approval to achieve the following objectives: a) Improved outreach to the business community; b) More expeditious processing of permits; c) Improvement of underutilized areas such as parts of El Camino and Midtown; and d) Retention of existing businesses. Council Member Rosenbaum supported Ms. Jansen's efforts. In reviewing the minutes of the Finance and P&S Committees, there were major concerns with both the assumptions and some of the recommen-dations. It was the Council's duty to specify certain objectives and to then ask staff the objectives would be accomplished. The objectives he had listed happened to be the ones that most of the speakers had addressed that evening: improved outreach to the business community and the expeditious processing of permits. He referred to an article in the Business Journal, "Sunnyvale leader in red tape cuts" on the back of his memo dated July 11, 1994, and assuming it did not endanger health and safety, he saw no reason why Palo Alto should not be a leader in that effort too. The Council was interested in the underutilized area of the City and retention of existing businesses. He did not agree with the premise that the adoption of the ERP would have a significant effect on the City's economic future, but there were important activities to be pursued which were listed as objectives in his memo. Mayor Kniss asked Council Member Rosenbaum to outline how his motion differed from the recommendation. Council Member Rosenbaum referred to Item a) Improved outreach to the business community in his memorandum and said the difference was that he was not proposing Items A to G. He felt it was an important objective, but he was asking staff to return with something specific when it came to implementation; Item d) Retention of existing business was essentially Recommendation II without the specifics; Item c) Improvement of underutilized areas, such as parts of El Camino Real and Midtown, was not directly addressed, but he felt it was an important goal and objective and one that might have very little financial impact. He left out Recommendation IV, Actively participate in regional economic strategic efforts, in his objectives because he felt it was like motherhood. He said it could be added. He left out Recommendation V re economic development tools since there were objections from members of the Council regarding several of the items listed. Vice Mayor Simitian supported the original motion. He saw three key differences between the motion and the substitute motion. The addition of improvement of underutilized areas such as parts of El Camino Real and Midtown. He felt in a general policy statement that it was inappropriate to specify areas of town that needed attention because it was a policy document rather than a work plan
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for particular areas in the community and because the areas included suggested that other areas had been excluded. He did not disagree with the importance of the two areas but saw it as being inconsistent with the adoption of the ERP which had citywide ramifications and coverage. Missing from the substitute motion was participation in regional economic and strategic efforts. He stated for the record that Palo Alto saw itself as having a role and a responsibility to participate in regional efforts. There was benefit to Palo Alto if there were successful regional efforts. With respect to the issue of traditional economic development tools, he knew that those had given the Council Members the greatest pause, but it was important to underline the fact that it was the most cautiously worded of the five recommendations identified. It indicated only that the City would "consider on a selective basis..." He wanted staff to return to Council with that policy option rather than excluding it that evening as part of the ERP. He resisted the substitute motion for that reason and felt that the original motion was more appropriate. He complimented the City Manager on her graciousness in her description of the ERP but disagreed with her remark that the item had not taken a traditional path and was a bit bolder. He felt it had taken a traditional path since it had taken three years in processing the issue to get it to the point where it was now and did not feel there was anything bold about the ERP. Palo Alto had proven over the years that it could regulate and that was appropriate but could it accommodate and facilitate. That was what the plan was asking the Council to do. Palo Alto had proven that it could process, and now the Council was being asked whether or not it wanted to exercise leadership in terms of what came to it, what shape it took, and what direction it took. There had been some suggestion during the discussions that part of what drove the discussions was a short-term concern that derived from the recession of the past three years and it was important to note that what he felt was driving the discussion were long-term trends that were well documented. People talked about disagreeing with the assumptions. The assumptions he looked at that the staff had provided were: sales tax revenue growth had not kept up with inflation over the last ten years, hotel tax had done even worse, and property tax growth which had been automatic every year had slowed. The trends had been in place for the last ten years and the question was what the Council was going to do about it. The Council might not be able to reverse the trend or even have a major impact on it, but the Council could have a significant impact on the trend. After three years, both the public and the business community were at the point where they were curious to know what the Council was going to do. That was important because what it did that evening not only had ramifications in terms of the direction that was given to staff and what they did with that direction, but it sent a message to the general public and to the business community. The Council wanted to let the general public know that it wanted to avoid increasing taxes and fees and cutting services, and it would do that by working on the business climate in the community and hope that that effort would have some impact
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on the revenues that were derived to pay for the services that were valued. It was also important to state clearly the goals and values that had been the goals and values of the community for the last 10 to 30 years were still the same goals and values that Palo Alto had always held; however, the means by which they were realized were very different in the 1990s than in the 1960s through the 1980s. Sales, profits, and assets could not be taxed, so the ERP was nothing more than a case of enlightened self-interest if Terman, Cubberley, and the Lucie Stern Center; senior services and affordable child care; police and fire services, including those police services provided to East Palo Alto were looked at. Those were things that Palo Alto wanted to continue to provide, and he wanted to be able to count on a successful business community to pick up their fair share of the cost. He felt the measures were modest and it was time to support the ERP and urged his colleagues to vote "no" on the substitute motion. Council Member McCown felt her concerns about the ERP were communicated to the P&S Committee earlier. She preferred the substitute motion. In terms of allocation of resources, the substitute motion was trying to get the ERP down to the essential objectives, asking staff to return to Council, within the four areas, the specific points of implementation. The Council might get back some subset of Items A through G under Recommendation No. I regarding implementation. She felt that Council Member Rosenbaum was trying not to get into that level of specificity and to let the staff return with what steps should be taken. She also felt the substitute motion prioritized the things that were the most important to go after, e,g, outreach, permit processing, business retention, etc. Although Recommendation No. V regarding economic development tools was specifically left out of the substitute motion by Council Member Rosenbaum, there might be an appropriate inclusion for some of those tools within the four areas mentioned. The substitute motion gave more specific direction to staff than a blanket endorsement of the five points as structured in the motion. She agreed with Vice Mayor Simitian's comments that the Council needed to address the issue and return with some specific steps that were realistic based on the City Manager's assessment as to what could be done next. Council Member Fazzino opposed the substitute motion because it weakened the Council's commitment to the ERP and it proposed a much more passive approach to economic maintenance. He would much rather see staff continue to meet with the business community aggressively and pursue opportunities to promote a healthy business climate in Palo Alto. He also objected to the exclusion of the regional economic objective. He would not describe the City's efforts to strengthen East Palo Alto's economic base as merely being a motherhood effort but absolutely critical to that city's economic survival. He supported the main motion; it was active, aggressive, encouraged private/public partnership, and was focused on healthy communications with the current business community in order to maintain both a healthy and economic residential base. He
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praised Ms. Jansen and City Manager Fleming for their efforts to prepare the ERP and their effectiveness in placing it before the Council. The most important issue that evening with respect to the issue of economic maintenance was not the specific proposals in the ERP, but attitude. For many years in Palo Alto, the attitude was not "build it and they will come" but "ignore it and they won't leave." He would not embrace the former as a strategy but he was troubled by the latter being Palo Alto's strategy for far too many years. For the past five years, the business community, Council candidates who became Council Members, and many residents and neighborhood associations had addressed the need for Palo Alto to focus on its business health which it had taken for granted since the 1960s. The loss of sales offices in 1988 had caused the Council to realize the potential loss to the City. He believed that attitudes and practices had changed to some degree and he credited former Mayor Mike Cobb for meeting with the business community and the Stanford Research Park to address their concerns. Out of the meetings came great progress in permit streamlining and improved Palo Alto Sanitation Company (PASCO) service, and an outstanding Stanford Research Park study which the Council was looking to implement parts of. The Palo Alto Chamber of Commerce deserved credit, in particular through groups like the Downtown Marketing Committee which identified specific concerns of interest to the small business community that were brought to the Council's attention and to a certain degree to form the basis of the recommendations that were before Council that evening. He was pleased with Ms. Jansen's efforts to encourage Genencor to locate in Palo Alto and her efforts as well as others to find an appropri-ate use for the old European Health Spa eye sore. He hoped that similar tools and efforts could be used to revitalize other parts of the business community. The two most important elements of any ERP were attitude and basic infrastructure and services. Across the country, the most successful economic development efforts were not in states such as South or North Dakota or Utah which offered special financing, tax abatement services, but the states which had a basic infrastructure and predictable tax system and a fair regulatory environment. Those were the principles needed to form the foundation of Palo Alto's ERP and he was ready to put some ideas into action. Council Member Wheeler said the people that addressed the Council earlier that evening regarding the Terman Community Center and its 14 years in the planning probably thought a 3-year process was indicative of the new attitude toward expediting processing. The substitute motion captured a lot of the sentiment that was prevalent at the Finance Committee meeting and that came through well in the P&S Committee minutes which was a very cautious approach. In the items Vice Mayor Simitian pointed out that were missing from the substitute motion, she found one item that was crucial to her thinking which was identifying and targeting new businesses which the community believed should be located within the community and thus she could not support the substitute motion.
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It was addressed that evening as an important element by both the current and past presidents of the Palo Alto Chamber of Commerce and Mr. Benza of the Barron Park Association. A few weeks prior, the Council approved a program proposed by the Utilities Department that would offer rebates on newly purchased, energy saving refrigerators. It was interesting to note that the refrigerators could not be purchased within the city limits of Palo Alto because there were no longer any appliance stores in Palo Alto--that might be the type of business that would be actively sought to relocate within the community. For that reason, she supported the main motion. Council Member Huber supported the main motion. He believed that enough time had been spent on the project and that Council should move ahead. He felt the plan as drafted was more appropriate than what was in the substitute motion. He was concerned was Recommen-dation No. V of the draft ERP but he concluded that the wording was such that it would take a tremendous act of the Council for anything to occur. He was more concerned with the implementation of the ERP than he was with the plan itself. At the implementation stage, when it returned to Council, he wanted a clear definition of the interrelationship between the Economic Resources Office and the Council. There needed to be a means by which the Council was continuously or actively apprised so no surprises occurred. Mayor Kniss supported the main motion. She felt the ERP was a very important step to take as a city, and it had been three years in the making, had been reviewed, worked over, commented on, gone to both standing committees, and a lot of information had been distributed. The ERP allowed for future planning and was a blueprint for where Palo Alto was headed. The staff had consulted with the Council regularly and would be cautious about what it did. As Mayor she had the opportunity to travel to other cities, particularly the west, and it was very clear to her that many other cities had economic resources plans in place and if not were putting one into place. She was astonished when she attended conferences and heard what was happening in North Carolina, Texas, Seattle, and Portland. Portland's plan was extensive and rather awesome and was clearly laid out. Palo Alto had lost a lot of its manufacturing and even though there was still a very good job space, it substantially changed the income base. She was delighted to see on the front page of the current Western Cities magazine, an article written by Director of Finance Emily Harrison about "Mission Driven Budget." The real dollars that were spent in the 1960s and 1970s were simply not in the budget any longer. It was important to her that there were certain things that were not done as a result of not having a plan but that meant there were many things that could be done if there were a plan. The ERP was a way in which to move forward and making it a reality that evening did change where Palo Alto was going in the future. She admired Council Member Rosenbaum's attention to the motion and what she heard from the Council that evening was not dissention but support
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for the plan from different perspectives. She thanked the staff and both standing committees for their hard work on the ERP. SUBSTITUTE MOTION FAILED 2-6 McCown, Rosenbaum "yes," Andersen absent. MOTION PASSED 8-0, Andersen absent. ORDINANCES 10. Agreements between the City of Palo Alto and Brown, Vence and Associates; ELH Development Services, Inc.; Newcomb Anderson Associates; and Salas O'Brien Engineers, Inc. for Consulting Services to Utilities Resource Conservation for Commercial/ Industrial Programs Director of Utilities Edward Mrizek said the staff asked for Council's approval of four consultant contracts for specialized consultation and engineering analysis on an as needed basis. Funds had been provided in the previous year's budget; however, an issue concerning compliance with the public notice delayed staff's schedule and on June 30, 1994, the funds were returned to the Electric Stabilization Reserve. Vice Mayor Simitian said for the record, he noticed that the staff report (CMR:353:94) had been rewritten, and that it answered the questions he would have had if it had not been revised. He asked if commercial industrial demand-side management meant "asking the shopkeepers to turn the lights out." Manager of Resource Conservation Tom Auzenne said no, it meant "any type of program or measure that a utility would undertake in order to optimize resources but would be optimized on the customer side of the meter." There were six types of demand-side management activities, five of which were considered some form of conservation and one load growth or load building. MOTION: Vice Mayor Simitian moved, seconded by Fazzino, to: 1) adopt the Budget Amendment Ordinance in the amount of $204,000 to fund the Consulting Services to Utilities Resource Conservation for Commercial/Industrial Programs; 2) approve and authorize the Mayor to execute agreements with Brown, Vence and Associates; ELH Development Services Inc.; Newcomb Anderson Associates; and Salas O'Brien Engineers, Inc. for a combined, maximum total of $204,000 for consulting services to Utilities Resource Conservation for Commercial/Industrial Programs; 3) authorize the City Manager or her designee to acquire replacement consultant(s) as necessary from the approved list as deemed necessary; and 4) approve and authorize the Mayor to execute agreement(s), as necessary, with the replace-ment consultant(s). Ordinance 4232 entitled "Ordinance of the Council of the City of Palo Alto Amending the Budget for the Fiscal Year 1994-95
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to Provide an Additional Appropriation for Consultant Services for Commercial/Industrial Demand Side Management Programs in the Electric Fund" MOTION PASSED 8-0, Andersen absent. COUNCIL MATTERS 14. Council Comments, Questions, and Announcements Council Member Huber asked for a status report on the La Cumbre litigation. City Attorney Ariel Calonne said the City was served on Wednesday, July 6, 1994, with a lawsuit by the proprietors of the La Cumbre nightclub. They sought on July 8, 1994, a court order to prevent the City's action from going into effect on July 23, 1994. The court rejected that request but set the matter for a hearing on July 21, 1994. There would probably be a Closed Session at the City Council Meeting on Monday, July 18, 1994, to discuss strategic concerns. ADJOURNMENT: The meeting adjourned at 10:52 p.m. ATTEST: APPROVED:
City Clerk Mayor
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NOTE: Sense minutes (synopsis) are prepared in accordance with Palo Alto Municipal Code Sections 2.04.200 (a) and (b). The City Council and Standing Committee meeting tapes are made solely for the purpose of facilitating the preparation of the minutes of the meetings. City Council and Standing Committee meeting tapes are recycled 90 days from the date of the meeting. The tapes are available for members of the public to listen to during regular office hours.
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