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HomeMy WebLinkAbout1985-07-15 City Council Summary MinutesCITY COUMCIL Minutes ITEM Regul ar Meeting July 15, 1985 Oral Communications Consent Calendar Referral Action Item #1, Foothills Park Dam Item #2, Security Services at Municipal Services Center Item #3, Pavement Management Maintenance System - Computer Services Agreement Item #4, Park Boulevard Underground Conversion Project (U.U.D. 28) Item #5, Cambridge Avenue Underground Conversion Project (U.U.D. 27) Item #6, Santa Clara County Mortgage Revenue Bond Program Agenda Changes, Additions and Deletions Item #7, Special Election, November 5, 1985 Ballot Arguments for Measures Item #7-A, Request of Mayor Levy Re Reconsideration of Measures B and D (Resol utiiun 6409) Recess. Item #8, PUBLIC HEARING: Pl anning Commission Recommendation Re Changes in the CS (Service Commercial) , CN (Neighborhood Commercial) , and OR (Office Research) Zone Districts Item #10, PUBLIC HEARING: Planning Commission Recommendation Re .Appl ication of Real Estate Arts, Inc for a Tentative Subdivision Map Combining 5 Parcel s into 1 for Property Located at 2701 El Camino Real Item #11, PUBLIC HEARING; Extensions of Develop- ment Moratorium Wi thin Downtown Palo Al to and University Avenue Parking !Assessment District Parking Ordinance cull OE PALO 1LTQ PAGE 5 0 4 9 6 0 5 0 6 0 5 0 6 0 5 0 6 0 5 0 6 0 5 0 6 0 5 0 6 0 5 0 6 0 5 1 6 0 5 1 6 0 5 1 6 0 5 1 6 0 5 9 6 0 6 3 6 0 6 3 6 0 7 6 6 0 7 8 6 0 4 7 7/15/85 ITEM PAGE Item #14, Planning Commission Recommendation Re Exception from Downtown Moratorium Provisions to Permit Additional Floor Area for Creation of a Pedestrian Arcade Area for Property Located at 499 Hamilton Avenue 6 0 7. 9 Item #15, Request of Council member Bechtel Re 6 0 8 1 Enforcement of Zoning and Neal th and Safety Regulations Adjournment to Closed Session Re Personnel : 11:55 p .m. Final Adjournment: 12:30 a.m. 6 0 8 1 6 0 8 1 5 0 4 8 7/15/85 Regular Meeting July 15, 1985 The City Council of the City of Palo Alto met on this date in the Council Chambers, 250 Hamilton Avenue, at 7:33 p.m. PRESENT: Bechtel, Cobb, .Fletcher, Klein, Levy, Renzel, Sutorius, Woolley. ABSENT: Witherspoon (conveyed regrets family illness) absence due to Mayor Levy announced that a Special Meeting re Planning Commission interviews was.held in the Council Conference Room at 6:15 p.m. Mayor Levy announced the need for a Closed .Session re personnel to be held at some point during the meeting. ORAL COMMUNICATIONS 1. Nancy. Gordon, 60 Alannah Court, introduced the Palo Alto AYSO 1980 soccer team which went to Hamburg, Germany and , the members of the Hamburg team. Palo Alto played against. She also introduced the Paloma team, and Harry Kreplin, their spokesperson. Mr. Kreplin thanked the Council for the invitation, and was pleased the connection to Palo Alto in AYSO or CYSO soccer continued after six years. He thanked John Gril 1 i and his assistant John Lyndon who did a good job welcoming them. Mayor Levy welcomed Mr. Kreplin and all the members of the La Paloma Sports Club of Hamburg, West Germany to Palo Alto. The Paloma Sports Club known as the "USC Paloma" from Hamburg, West Germany 'would visit Palo Alto from July 10 to July 29, 1985, and USC Paloma had approximately 1500 members including 450 youth involved in a variety of sports activities and was one of the best known sports clubs in Hamburg. During 1984, USC Paloma celebrated its 75th anniversary. The under age 19 boys team known as the "Timers" from the Palo Alto Soccer. Club was hosted by USC Paloma during their visit to Hamburg to 1984 to compete in USC Paloma's 75th anniversary competition. In 1977, USC Paloma sent a team to Palo Alto under the sponsor- ship of Palo Alto's AYSO and was looking forward to its return visit to Pal o . Alto that summer. The City of Palo Alto, the Palo Alto Soccer Club, and . the California Youth Soccer Asso- ciation were proud to host the three youth teams from the Paloma Sports Club and extended the warmest of wei comee to the young visitors from West Germany. The City Council and resi- dents of Palo Alto wished the USC Paloma good luck in all of their matches and the most successful tournament. He pro- claimed eul y 15, 1985 as USC Paloma Day in Palo Alto and requested all citizens of Palo Alto join in welcoming the youth visitors from Hamburg, West Germany and a successful and enjoyable stay in the Bay Area. He presented a :,framed pro- clamation to Mr. Kreplin. Mr. Kreplin thanked the Mayorand presented a tie, Photograph, flags from the Hamburg Sports unit, Hamburg Soccer unit, the Hamburg . Sports Club, information about Hamburg, and a poster to Mayor Levy in friendship from the Mayor of Hamburg, West Germany. Marc Strassman, 685 Scofield Street, thanked the City Council for scheduling a meeting to decide on cable. He hoped Council woul d consider the wi shes of the people. CnNSENT CALENDAR MOTION: Couacilmember Sutorias moved, seconded by Cobb, approv- al of the Consent Calendar. Referral None Action ITEM #12. FOOTHILLS PARK DAM (PAR 2-15) (CMR:422:5) Staff recommends that Council: 1. Authorize the Mayor to execute the agreement with Hardesty Associates for $20,000; and 2. Authorize staff to execute change orders to the agreement of up to $3,000 for reimbursable and additional service costs. AGREEMENT - PROFESSIONAL LANDSCAPE ARCHITECTURAL/ PLANNING CONSULTANT SERVICES - FOOTHILLS PARK DAM PROJECT, PROJECT NO. 84-03 Hardesty Associates ITEM #2 SECURITY SERVICES AT MUNICIPAL SERVICES CENTER (SAF 3-9) (CMR:4T3:5) Staff recommends that Council: 1. Authorize the Mayor to execute the contract with Stanley Smith Security, Incorporated, in the amount of $18,000; and 2. Authorize staff to execute change orders to the contract up to $2,000. AWARD OF CONTRACT Stanley Smith Security, Inc. ITEM #3 PAVEMENT MANAGEMENT MAINTENANCE SYSTEM - COMPUTER SERVICES AGREEMEN (PWK 2-5) (CMR:421:5) Staff recommends that Council: 1. Authorize the Mayor to execute the agreement with ARE, Inc., Engineering Consultants, -iii the amount of $19,740 for computer services relating to the Pavement Management Maintenance System; and 2. Authorize staff to execute change orders to the agreement for additional services of up to $2,500. AGREEMENT ARE, Inc., Engineering Consultants ITEM PARK BOULEVARD UNDERGROUND CONVERSION PROJECT (IJ.U.D. 28) (UTI 840 (CMR:418:t) Staff recommends that: 1. The low bid of Lewis and. Tibbitts, Inc. be accepted and the Mayor be authorized to execute a contract for the work; and 2. Council authorize execution of change orders to the construc- tion contract up to ten percent of, the contract amount or $29,935 AWARD OF CONTRACT - Utility Trench end Substructures Lewis Tibbetts, Inc 6.0 5 0 7/15/85 CONSENT CALENDAR (Cont'd) ITEM #5, CAMBRIDGE AVENUE UNDERGROUND CONVERSION PROJECT (U.U,D, Staff recommends: 1. The low bid of R. Flatland Co. be accepted and the Mayor be authorized to execute a contract for the work; and 2. Council authorize execution of change orders to the construc- tion contracts up to ten percent of the contract amount or $7,936. AWARD OF CONTRACT Utility Trench and Substructures R. Flatland Company ITEM #6, SANTA CLARA COUNTY MORTGAGE REVENUE BOND PROGRAM (PLA 2-6) (t`MR:429:5) Staff recommends that Council approve the Developer Agreement for the Palo Alto Housing Corporation and the Third Amendment to the Kinney and Kinney Developer Agreement. DEVELOPER AGREEMENT Palo Alto Housing Corporation/ City of Palo Alto/Santa Clara County THIRD AMENDMENT TO DEVELOPER AGREEMENT Kinney and Kinney/City of Palo Alto/ Santa Clara County MOTION PASSED unanimously, Witherspoon absent. AGENDA CHANGES, ADDITIONS AND DELETIONS Mayor Levy added Item 15-A, reconsideration of Measures B and D (Resolution 6409) in order to consider the deletion of the advisory vote relative to barriers. MOTION: Vice Mayor Cobb moved, seconded by Levy, to bring forward Item 15 A, reconsideration of Measures 8 and D to become Item 7-A, MOTION PASSED unanimously, Witherspoon absent. ITEM #7 SPECIAL ELECTION, NOVEMBER 5, 1985 BALLOT ARGUMENTS FOR MEASUR!S (Continued from 7/13/85) (ELE 2-2) Mayor Levy said the first item before the Council was the question regarding Measure A. Councilmember Sutorius was concerned that Council needed to address Measure 0 and whether there would be a Council statement. Mayor Levy understood Council did not take action on the arguments per sc. Council's action was whether the Council, as a body, wanted to take a position on any of the items which were part. of the election. Council was not discussing the arguments except Council would sighthem as individuals if they wanted, .and Council would discuss whether any , of the arguments would be signed as a council Jack Morton, 2343 Webster, Trust for Community Skating, reempha- sized their effort was devoted to giving the voters a chance to decide the choices involved in the l ony-ter,ta solution for' the Winter Club. The Trust expressed its appreciation to the Council for the adoption of the exchange and undedication measures and would welcome Council endorsement of the measures, but would be content to have the measure presented to the people of Palo Alto neutrally, and for Council, after hearing from those people, to act in accordance with the wi shes of the people of Palo Al to. Councilmember Sutorius said technicalle Measures A and B were called for election by the Council as Council actions, but those actions resulted from recognition that the Trust for Community Skating circulated two initiatives and successfully qualified them for the ballot. In response to the content of the separate ini- tiatives, Council melded the spirit, intent and provisos and offered to place the single initiative for the swap. The Trust, with its responsibility having sponsored two of the initiatives, carefully considered the content of the Council -proposed ballot measure, and based on their response and evaluation, withdrew from filing either of the two petitions for which they qualified. Philosophically and ethically, the right to propose the arguments for both measures A and 8 as they were now designated resided with the Community Trust. MOTION: Councilmember Sutorius moved that Council not take a position on Measures A and B. Mayor Levy ruled the motion out of order because Council could take the action by not acting. Vice Mayor Cobb said where Council was significantly divided on an issue, it seemed to him to be not only inappropriate, but mis- leading for _:Council to take a position as a Council. It was potentially confusing even if it was tabulated that it was done by a split vote. Where the Council's view was unanimous as it was with respect to Measure D, then it was appropriate for Council to take a position. He proposed that Council not attempt to take positions on those measures where it was divided. Councilmember Klein believed it was moreappropriate to express in the ballot argument that Council's vote was whatever it was and let the public decide what a split vote of the Council was worth. On the particular issue, while he agreed with Councilmember Sutorius' comments that the primary argument should be made by the Trust, there was nothing wrong with Council being a joint signer of the ballot argument with a group such as, the Trust. MOTION: Councilmember Klein moved that Council go on record \as being a joint signatory with the Trust for Community Skating for the passage of Measures A and B. MOTION DIED FOR LACK OF A SECOND Councilmember Woolley said Council had, at its places, the revised maps with the addition of "office building," "restaurant" and "car dealership." The effort was, to make the map, which would appear in the ballot argument, as neutral as possible. She believed the additions further helped to clarify the location. Mayor Levy said the Council , as a body, would not take a position on either side of Measures A and B, but individual Councilmembers indicated a desire to sign the arguments on both sides of the measures. Mayor Levy said the next issue was Measure C, the Yacht Harbor. Florence LaRiviere, 453 Tennessee Lane, represented the Board of Directors of the Santa Clara Valley Audtbon Society, and said one of the primary goals of the National Audubon Society was to pro- tect wetlands, since their loss nationwide reached alarming _ pro- portions. They had newspaper clippings from the Palo Alto Times as long ago as 1929. She said 90 percent of the hfstorlc marshes were gone, a sad loss when considering they and the open, waters of the Bay forayed the basis for clean air, moderate cl larate,and the 1 1 abundant wild life of the area. Over the years, the Audubon Society always objected, to the piecemeal destruction of tidal; marsh which resulted from indiscriminate dumping of dredged mud, most of which was done solely to keep the Palo Alto Yacht Harbor open for pleasure boating. Fifty years of dredging experience and one study after another failed to reveal any sound long-range solution to the problem. The ones the group remembered were the Balloon Plan, Gerritt Ecbo, Baylands Master Plan, Dames & Moore, Water Resources Engineers, Cooper -Clark, Gainy Associates, George knol ton, and Henry Heid, not: to mentions enurnerabl a staff and County meetings, studies, analyses, and valuations and recommenda- tions. The Audubon Society strongly urged that Council honor the earlier vote of the people and the position against continued dredging taken by the City Council in 1980. That decision was to allow the inner harbor to return to nature after one more dredging leaving access to the Bay available from the public ramp. That action was in full accord with the Bay Commission's policy of discouraging marinas in areas of rapid siltation., The initiative before the Council was highly distressing because at the outset, it did not define the reasonable methods of maintaining the harbor so- the voters could not know what they were voting for, and it placed that decision in the hands of future City Councils whose environmental sensitivities were unknown. The public would have no resource to bring about change except through another vote of the People. She respectfully requested that Council vote to take the "no" position. Tryg Ager, 954 Blair Court, said preserving the harbor required a policy and a practical plan. In the initiative there were three concepts: 1. The policy statement was that Palo Alto would continue to have a harbor; 2. The harbor would be user -supported. Its financial self- sufficiency could turn it into an asset. A user -supported harbor in Palo Alto was not a pipe dream. The harbor func- tioned successfully on a user -supported basis for the past four years. Even without the usual commercial trappings of a marina, such as, fuel, boat yard or restaurant, there was a revenue base for an adequate maintenance program. The exist- ing model was a good plan for the future. 3. Reasonable actions to maintain the harbor would be permitted. Determination of reasonability ul tf 1 ately rested with the City Council. The initiative set a goal and took a balanced, rea- sonable approach to achieve it. Opposition to the harbor took on the aspects of a crusade. Pub- lished remarks which insinuated the harbor had no redeeming social value already. appeared. Sea Scouting and mariners programs in Palo Alto, along with public junior sailing and other organized individual boats ng„acti vi ti es, were positive aspects of Palo Alto. The long-standing programs which involved hundreds of Palo Altarss over the years would go away if the harbor did. The project to save the harbor represented positive, solution -oriented efforts by citizens. The idea' as a means of preserving the harbor were con- tributed by the people who used it. It was neither thoughtful nor constructive to allege that the harbor issues were as simple- minded as mud or as selfish as privilege. The proble with the harbor was the complexity of its maintenance and its affect on the environment Even if the harbor was a good thing for the commun- ity, there were the environmental issues. The area was intended to be a public park and the long-term environmental impacts were important. Conditions which made the harbor usable for recrea- tional boating could be managed without lasting environmental con-, sequences. Basically, opponents of the . harbor did not believe it pcsed a long-term environmental threat, .which was shown by the idea that unless the harbor was maintained, it would become a marshy Waste disposal projects in the Bayl ands," :.the landfill 6 0,5 3 7/15/85 Corrected 9/23/85 and sewage treatment posed a much greater long-term environmental problem _than. the harbor, but harbor maintenance meant dredging. Study atter study dealt with the obvious symbiotic relationship between the harbor and the landfill. Dredging produced spoils which the landfill operation consumed. As long as production and consumption of dredged material were in balance, there would not be negative environmental impacts from dredging. There might be a net environmental gain since native Baylands materials were used for dump cover and distance foothills were not mined for their landfill. In terms of the expense of dredging, when dredging was totally paid for by harbor users, direct costs of dredging could be factored out of the costs of landfill cover. it meant harbor users subsidizing the landfill, not the City subsidizing the harbor. Common sense said symbiotic dredging where usable cover was basically delivered free was an alternative worth serious consideration. That evening's agenda corcerned action on ballot arguments. The Council acting as the body which called the elec- tion must ensure the voter information was prepared fairly and reasonably. A vote in official public session to sign off on arguments no one saw fended an appearance of premature judgment added to the fact that Council was divided on the issues and there was good reason to avoid the spectre of a Council position. Because of built in constraints and its character as a public choice on a matter of policy, the harbor decision should be made by voters at the polls. The City Council could afford to be are impartial observer. Douglas McConnell, 4174 Cakhill Avenue, volunteered in scouting for the past 16 years in the Palo Alto/Stanford Area Council, and during the past three years, he commodored the Sea Scout program. Since the scouting organization was "'apolitical," he spoke as a Palo Alto resident. He urged Council to not prejudge the harbor issue nor to give the appearance of prejudging the issue by voting for Council to prepare the ballot argument against the initiative. He requested that Council as a body remain neutral. The spoils from the dredging were essentially a free resource. For the past four years, they were fully paid for by the users of the harbor. The harbor and the future of the Sea :>cout program and junior sailing were small pieces on the same mosaic as the provision for swimming pools, tennis courts, and other recreational facilities for Palo Alto residents with diverse inteeests. He was happy to hear the Council positively reaffirm the recreational programs for people with diverse interests last Monday evening. He requested the harbor remain open and not be subsidized by the City even though there were subsidies for tennis courts, swimming pools, bowling green, various little league and bobble sox fields, Nature Interpretive Center, and other facilities provided by the Council. Scouting was an important factor for good in a community like Palo Alto where 42 to 44 percent of youth of scouting age were involved at some point during those years in a scouting program. Different scouting programs served different needs, and for the past 55 years, the Se.a Scout program at the Yacht Harbor developed good citizens. If the harbor closed, the environmental impact on youth and on everyone in Palo Alto would be adversely affected. On behalf of the Friends of Sea Scouting, he urged that Council keep an open mind and not give the appearance of unanimous support to one position or another when Council was clearly divided. Councilmernber Renzel; asked how many youth were involved in the Sea Scout program. Mr. McConnell said the Sea Scout program had a total of four units and 114 registered volunteers and scouts active in the program Counci i meMber . Fletcher asked how many of the participants were Palo Al to residents. Councilmember Renzel said in March, 1985, there. was an article in the :pan Jose Mercury which indicated there were nine members in the Palo Alto Sea Scout troop, and she asked how it related to the figures he provided. Mr. McConnell did not recall the article and said nine was a totally erroneous figure. Councilmember Renzel said the figure was provided by the man who ran the program out there for many years. She clarified it said nine members in Troop 51. Councilmember Woolley urged that Council not take a position either wty. She said Mr. Ager represented the small boaters and Mr. McConnell represented the young people. The approach was new in that the initiative took a broad perspective, and by looking at the total picture instead of just a piece of it, a solution might be found which the narrower focus of where to put the mud so far had not suggested. The proponents of preserving the harbor believed Council would not seriously consider another proposal because the previous initiative was a policy statement to the con- trary, and another initiative was necessary so the Council's mind set would be in a direction of looking for a solution. For example, Council recently had before it the study .concerning the effluent from the Sewage Treatment Plant. The effluent study did not fully consider the harbor option because the consultant decided the use of the harbor was ,a political question. Council 's expectations were that it did not want to find a solution, and, therefore, a solution was not forthcoming. As with skating, if the initiative passed, the specific future action would not be determined by the initiative, but by the Council. Therefore, she believed it was confusing then and awkward later for the Council as a body to oppose something they might well implement. She urged that Council let a policy brought forth by the people be decided by the people. Councilmember Renzel said the initiative was similar to one defeated by the voters in 1980, and its general wording appeared to offer some sort of new, reasonable proposals. She said the options were fewer then than they were five years ago. There were only three ways to "maintain* the harbor; that is, the place where people parked their yachts: 1. Improve scouring action; 2. Dike it off from the bay as proposed in the sewage lock pro- posal; or 3. Dredge. Councilmember Renzel said there were only two potential sources of improved scouring action short of returning the flood basin, ITT, golf course, airport, and industrial lands to full tidal ,_action. One source was to reroute San France squi to Creek throu;lh the harbor. The Yacht Harbor Technical Report indicated that would scour about 35 cubic yards of mud from the harbor each year, but not effective when compared with the hundreds of thousands .of yards of mud dredged from the harbor to no avail. The second was sewage effluent. For many years, the sewage effluent emptied through the harbor without significant impact on siltation. The plant would discharge about 90 -acre feet of water per day compared with the 3,600 -acre ' feet of tidal prism that maintained a maximum depth of eight feet in the channel historically. The proposal for a diked off harbor with a lock system for access to the Bay was costly and destructive to marshlands as well as the tidal prism in the outer channel. The San Francisco Bay Conservation and Devel- opment (BCDC) staff in a letter dated June 21, 1985, , said °the. levee lock system is not consistent with State law and the Bay plan policies on filling the bay protecting tidal rearshes and mud flats maintaining surface area and volume of the Bay, and developing marinas. They strongly discouraged any further consid- eration of the levee lock system fo.r the Yacht Harbor. What remained there was to continue to dredge and dump on the City's park dedicated.baylands. Since the election in 1'80, options for dumping the mud narrowed. Yacht Harbor Point, the current disposal site of 11 acres was committed to marsh restoration and public access as mitigation for problems caused by the current dredging so it would no longer be available. The ITT property which was previously proposed as the primary disposal site was now park dedicated and was proposed by the sewer utility as a holding pond for sewage effluent. Furthermore, the cost .of dredging to ITT and then using the mud for dump cover was about twicethecost of the impermeable fill which the City now purchased from an outside contractor. City staff was adamant that the primary disposal dewatering area might not be located on top of the refuse area. In any case, the part of the dump nearest to the harbor was soon scheduled for completion as park. The question remained where to put the dredged mud. She urged her colleagues to oppose the harbor dredging initiative or to let the voters know exactly which magical, reasonable solution was favored for maintaining the harbor because the City Attorney said reasonable is whatever five members of the City Council said it is. MOTION: Councilmember Renzel moved, seconded by Klein, that the City Council take a position opposing Measure C. Vice Mayor Cobb said he already stated his position about when the Council was divided, and his vote should be interpreted in that regard. He believed the matter should go to the people for them to decide. Many serious questions were raised to him by opponents of the measure and he intended to carefully listen, make a deci- sion .and act accordingly. He wanted to have all the information before making a final decision. He opposed the motion, but it did not mean he was taking a position on the measure because he had not yet concluded his position. Councilmember Klein supported the motion. It was not a new issue, a previous Council took a position adopting the Baylands Master Plan. A group of citizens chose to initiate a referendum which was ►voted on by the citizens of Palo Alto in 1980, and the citi- zens chose to endorse the Council's position. A firni policy was on the books, passed by the Council in the 1970's and endorsed by the people in 1980. He supported the policy, and while Council had not voted on it in the 4-1/2 years he was on the Council, there was no reason to reconsider it. Having adopted the policy and as one who supported it, it seemed to him to be improper to back off the position and throw his hands up and say he was neutral. He was not neutral and was willing to stand up and be counted by the people of the City of Palo Alto. If there was ever a proposal before the Council which offered a way out of the problems, he would have been willing to consider it. One was not before the Council, and he could not go on a general statement to change a well thought out policy that was considered and debated over the years. In order for him to feel comfortable making a change in the basic policy of the City, he would have to be shown some specific proposal. He saw no evidence to overturn the long- standing City policy, and believed it w?s appropriate and desir- able for the Council to go on record as stating it to the voters to give them guidance. Councilmember Bechtel said Councilmembers Renzel and Klein elo- quently stated her concerns. She could understand why the propo- nents of the measure were able to get signatures. It was a gen- eral statement and everyone liked things that were user -supported. The facts related to user -supported showed that in the past there were a number of large boats in the harbor that had to leave. Early indications were that there were losses and it was difficult to make the particulars harbor '"user -supported." There- were no specifics in the proposal. Everyone wanted to see small boats, and the Council unanimously , directing staff to explore that and 1 preliminary discussions had commenced with BCDC about the pos- sibility of a sailing station or some access into the outer harbor. It was not the same as the subject measure which was in the inner harbor. She shared the concerns of some of her col- leagues about where to put the mud. BCDC said harbors should not be maintained that require excessive and continual deedging as Palo Alto's did. She supported the motion to oppose. Councilmember Sutorius believed the discourse shared, questions raised, and analyses propounded presented ample opportunity for response during the election period. He was confident in the electorate to determine whether the quality if the dialogue and reasonability of the responses met the tests of what each voter would use as a decision. He understood the rationale expressed for Council's not taking an official position, and did not believe the issue was one where Council should take an official position. He did not know his personal position, and as he was contacted and raised questions about the subject, he clarified he did not know where he was on the issue. The questions were real and important and they must have good, clear answers in order for him to see there was a way to move in the direction the initiative proposed. While he claimed no particular position, he took a position of not wanting to be part of a Council majority which advocated the "no" position at that juncture. He would not support the motion. Mayor Levy said six years ago when he first ran for Council, the Yacht Harbor was an issue. At that time, he believed the Yacht Harbor was a benefit to the community and the City should maintain it if it could afford to. Since then, he studied the question because they were asked . on many occasions to take posi ti ons on whether the Yacht Harbor should be maintained and supported by city funds. He said "supported by City funds" because every study indicated fairly substantial City funds would be required. Every proposed process for keeping the harbor open was found to be costly; He still believed a Yacht Harbor was a benefit to the community, but as he looked at community priorities, he did not believe a Yacht Harbor, worthwhile as it was, should be supported by individual public taxpayers. He believed Council should take a position on the issue because he studied the issue over the years and every study brought him to the same conclusion. He saw no reason why he should not reiterate that conclusion that evening and during the election. If during the election, facts were brought out that proved him wrong, he was willing to accept it and bow to the will of the public and perhaps change his own opinion. Unfortunately, at that point, he was satisfactorily convinced. it was not financially feasible to keep the Yacht Harbor open. .The proposed measure raised false hopes and assumed the Council would do something different than what it would do that day. If he were now shown a way to financially keep the harbor open, he would do it. If the measure passed, his vote would not change because the measure said Council would only keep it open if at that point a way was found to do it which was completely user -supported. He believed the only responsible action for him was to go or record notifying the public about the results of his studies as their representative over the past six years. He supported the motion. MOTION PASSED by a vote of 5-3, Woolley, Sutorius, Cobb voting *no,' Witherspoon absent Councils ember Renzei said on July 7, when John Walker, President of. the Palo Alto Harbor Association (PAHA) was at the meeting, she inquired about whether the requested information concerning PAHA's financial condition would be forthcoming. He indicated it was placed in the mail the previous week. It was later ascer- tained the information was not yet submitted to the PAHA's accountant. 6 0 5 7 7/15/85 MOTION: Councilmember Renzel moved, seconded by Fletcher, that the City Auditor work with the Count; and Palo Alto Harbor Asso- ciation (PAHA) to examine PAHA `s books and records to determine their total revenues and expenditures, assets and liabilities, reserve accounts, and tax records for the period covered by their contract with the County, and to provide a written report to the Council as soon as possible. Councilmember Renzel said it was desirable to get the information in time for the ballot arguments, but short of that, the City needed the information for purposes of the election. Inasmuch as the initiative proposed the harbor to be 100 percent user - supported, it was important for the voters to have, in the ballot statement, evidence that the. harbor was 100 percent user -supported during the period of the contract with the Palo Alto Harbor Asso- ciation. Councilmember Woolley asked whether it was professionally possible to tell the County we wanted to see their books and records. City Attorney Diane Lee said they could ask. Councilmember Woolley said the staff report included a letter from the PAHA indicating the report Was in the hands of their accoun- tant and they anticipated it would be available on July 17 or 18. Since it was probably not possible for the information to be received by when the ballot argument had to be in, she suggested that rather than take the City's staff time, the City find out whether the information was forthcoming. Councilmember Fletcher agreed with Councilmember Renzel that the information was crucial and the sooner .it was obtained, the more reasonable the arguments would be during the campaign on the issue. If the information was forthcoming, then nothing was lost. on the other hand, the action would ensure the information was received by the City as early as possible. Mayor Levy asked if the maker and second had any problem adding to the motion a request that the City's Auditor work with the County and with PAHA. Councilmember RenzeZ had no objection. The City's legal entry into the PAHA books was through the County. If the PAHA wanted to make its books available directly, that was fine, Councilmember Fletcher also had no objection. Mayor Levy supported the motion. Regardless of whether the infor- mation was received in time for the ballot arguments, it was important for the data to be available to the public during the course of the election. Having the City cooperate with the PAHA and the County to develop accurate financial data was in every- one's best interests. City Auditor Mike Northrup assumed the County would allow the City to audit PAHA'_s records. He, al so assumed sufficient documentation was available for the City to determine or reconstruct some type of financial statements. He assumed PAH4's staff and its accoun- tant would be available for questions. The motion said he would audit for the period covered by their contract, and he assumed Council would accept a period that might be less if the records were deteriorated as time went on. In other.. words, if 1980 o.r 1981 was not available, Council would accept 1982, 1983 or 1984, Whichever chever records were available. Councilmember Renzel said the intent was to be able to provide to the voters an accurate picture of the user -supported nature of the harbor. Whatever i nformati,on fir. Northrup Could obtain would have to be satisfactory. 6 0.5 8 7/15/85 Councilmember Sutorius said the electorate would also decide the Winter Lodge issue and the user•supporting nature of it. He ack- nowledged that a considerable fund of information was provided by the Trust for Community Skating on their. financial situation, the participation, revenues, and expenditures. He appreciated the purpose behind the request being made. He wished.Council was not voting on it because he liked to think the material would be available fn the time frame spoken to by Councilmember Woolley. By the same token, he did not want to be recorded as voting "no" for not pursuing the information he believed was germaine to the overall issue. He would support the motion for the technical reasons and hoped it was understood that the information was made available by other organizations for similar situations. He did not believe it was unreasonable for it to be available from PAHA. Vice Mayor Cobb believed the motion was an example of one reason why there was a City Auditor. He was a professional who could provide the Council with unbiased and necessary information to help evaluate the issue, and it would go a long way towards answering some of the unanswered questions in his mind. He wel- comed the opportunity to get the data and he assumed the propo- nents of the measure would be fully cooperative, and the City would have the information it needed to not only help the Council, but to also help the voters make a proper decision on the economic question. MOTION PASSED by a vote of 7-1, Woolley voting 'no, Witherspoon absent, Councilmember Woolley asked whether the vote on the ballot argu- ment be recorded as five in favor, three opposed, and one absent. Mayor Levy said that was correct. ITEM #'-7-A, REQUEST ,OF MAYOR LEVY RE RECONSIDERATION OF MEASURES B # (UESOLBTION 6409) (ELE 22) MOTION: Mayor Levy moved, seconded by Fletcher, to reconsider Resolution 6409 and divide the motion into (a) and (b): a. To reconsider Measure B in order to change map; and b. To reconsider in order to take Measure D off of the ballot. Mayor Levy asked the City Attorney if the question could be divided. City Attorney Diane Lee said the question coui=y;. be divided because the resolution before the Council only spoke to one of the items. She was concerned about what Council wanted to do with the map at that time. When the options were discussed with respect to deleting a particular ballot measure, one of the bases for her saying it was appropriate to do so was because it was an advisory measure, and therefore, she did not believe it prejudiced the pro- ponents or opponents in terms of changing something that should have been fixed the previous Monday so they could be writing their ballot arguments. There was a distinction in the Election Code between advisory measures and regular measures. If the ballot had too many items on it, the Registrar could just drop an advisory measure. There- was a difference in -the treatment of ordinary ballot measures and advisory measures. Mayor Levy clarified that for the purposes of revising the map, Council should not reconsider Items A and B. Ms. Lee said yes. MOTION. DIVIDED FOR PURPOSES OF VOTING 6 0 5.9 7/15/85 Councilmember Bechtel understood from the City Attorney that she advised Council against the reconsideration of Measurers A and B. If Council voted on the natter=, she would vote "no." Councilmember Renzel asked if Council was to address the substance of the motion or just the matter of reconsideration. She con- curred with Councilmember Bechtel. Mayor Levy clarified Council was voting on the reconsideration, not the substance of the matter. Councilmember Klein clarified it was inappropriate for Council to change the map, and that a lawsuit might be filed against the City. Ms. Lee said yes. Councilmember Klein was constrained to vote against the motion. Councilmember Sutorius was also constrained to vote against the motion. He regretted it was the case because the purpose behind the proposal was to clarify and improve voter understanding. City Manager Bill Zaner said the City Attorney advised him that he could revise the vicinity map before the Council because there was a clerical error. Faber Place was moved slightly north of where it belonged and it would be returned to its proper spot. Ms. Lee said Council could always correct a clerical error in order to not mislead the voters by a City mistake. FIRST PART OF MOTION TO RECONSIDER ITEM "B" failed by a vote of 1-7, Fletcher voting 'aye." Witherspoon absents Reconsideration of Item "D" Lois Johnson, 230 Sequoia Avenue, said on June 24, 1985, a peti- tion was presented to add a chapter to the Palo Alto Municipal Code to limit the use of traffic barriers as a form of traffic control, which was denied. She urged reconsideration of the Council denial to put the petition on the November ballot and give the citizens of Palo Alto the opportunity to make their own choice. At least six percent of the registered voters wanted something done and requested a law or service by those! in charge of performing such duties. The Council was not asked \so like the petition, but rather to give each person who cared enough to cast a vote, the opportunity to speak out. As elected representatives - of the people, it was the Council's duty to hear the voices. The use of traffic barriers for control of neighborhood traffic was around for more than 20 years. Some believed that form of traffic control was the salvation of their neighborhoods; some did not care whether the use of the streets was limited; and some believed traffic barriers were a destructive. influence on the neighborhoods and the City as a whole. Their petition should indicate the dis- agreement on the use of traffic barriers was serious enough to warrant a vote of the electorate to decide the issue. With due respect to the City's legal staff, the decision on the legality of the petition would have to be made in the courts. There were no cases to date where an initiative petition on traffic barriers was denied and subsequentlypresented for a judicial decision. There was a precedent for putting such an initiative on the ballot in Berkeley in 1976, which lost. Theirs' might also be defeated, but they were willing to take the chance. They believed there were enough people in Palo Alto who were seriously concerned about the situation to warrant the opportunity for a City-wide vote. Each Councilmember spoke against the petition on June 24, and each indicated they would work to have such an initiative defeated, which was their individual right. It was their right to work to.. the initiaitive's acceptance. As servants of the people, she did not believe Council had the right to refuse a choice. 6 0 ..6 0 7/15/85 1 Mayor Levy did not intend to reconsider the matter of whether the original initiative petition should be on the ballot and under- stood Ms. Johnson planned legal action in that regard, and he would await the results of that action. The issue in his mind related to her . letter (which is on file in the City Clerk's office) as secretary to the Citizens Against Barriers, which stated she was opposed to the advisory measure being on the ballot. He clarified that she opposed the advisory measure being on the ballot. Ms. Johnson said yes. Many of the members of Citizens Against Barriers believed it would only confuse the voters. Mayor Levy asked how many members Ms. Johnson checked with com- pared to the number that circulated petitions. Ms. Johnson was only able to contact about ten people. The deci- sion to remove the advisory measure was unanimous. Mayor Levy asked if any member of the public indicated a desire to sign an argument in favor of the advisory measure. City Clerk Ann Tanner said no. John Canyon, 270 Leland, did not understand why it was improper to request that barriers be removed when it was proper to request them. On June 24, 1985, Councilmember Fletcher said if the bar- riers were removed, she would lose the bicycle paths on Bryant. He believed it was the Council's duty to follow the mandate of the public. Councilmember Renzel commented that Council gave a lot of time and consideration on the issue, which was true, but he believed it was only half true because the majority of the Council listened to the side with which they agreed and did not hear the opposition. Despite the fact that the Citizens Against Barriers showed that many people had strong opposition to the barriers in Evergreen Park, they nevertheless went in. The elected officials were expected to be statesmen. It was difficult for the. Citizens Against Barriers to believe they were getting democracy and government for the people and by the people. Councilmember Klein would not support the motion to reconsider and was opposed to the motion to strike the item from the ballot. An extraordinary action was uncalled for; there were no extraordinary circumstances for Council to take an action which was not agen- dized and of which the public was unaware. It should only be done in unusual circumstances, and he found none which had changed since Council last considered the matter. Council did not take actions without gutting matters on the agenda. Ten` telephone calls over the weekend hardly constituted public notice. The entire public had a stake in such an issue, and at minimum the 3,004 people who signed the petition had a stake. The vast majo- rity were unaware of Council's reconsideration including the people in Evergreen Park who were on the other side of the issue. It was inappropriate for Councfl to take any action. The only thing which had changed was Ms. Johnson's letter to the Council that Citizens Against Barriers did not intend to put an argument on the ballot in . favor of the proposition. Council had no way of knowing whether someone would appear at 4:59 p.m., on Friday, with an argument in favor. Moreover, it was not the Council's deci- sion. If petiole wanted to step e orward, it was their business; if they did not, .Council had no control. The reasons for putting the matter on the ballot a few weeks ago remained the same. He. basically believed it was desirable for Council to give some voice to those who signed the petition and to clear the air in order to have an understanding of where the citizens of Palo Alto stood on the..meesure. He urged rejection of the motion to reconsider. 6-0 6 1 7/15/85 Mayor Levy agreed with Mr. Canyon in most of his comments although he disagreed on the purpose of 641-r ier as d traffic control device in a community. He believed the public should be heard from and that the initiative should be an open process. He was sorry Council's legal advice was clear that the matter was not appropriate for an initiative process, and that Council would open itself up to protests and legal action if it appeared on the ballot. Council was caught in a position with which he was uncom- fortable, and he believed he saw a way out by putting the item the Citizens Against Barriers wished to have on the ballot in the form of an advisory measure, which was legally acceptable. His reasons for doing so was as a service to those who signed the petition not because he advocated it. The Citizens Against Barriers made a strong statement in writing that they believed placing the item on the ballot as an advisory vote would cause confusion and would undermine the initiative process They planned to pursue action through the courts, and he understood their feeling. In addition, Citizens Against Barriers believed they should oppose the advisory vote and since Council would also oppose the advisory vote, it appeared the strongest advocates for the proposal would not ad'vo- cate.it. Thus, the election became a travesty and meaningless. If it was overwhelmingly defeated, as he expected it would be in any case, there were many in the community who would say it was a meaningless vote because there were no strong supporters. Two arguments were made for Council to not reconsider. First, the Citizens Against Barriers were only a small group. There were several thousand citizens who signed the petition and Council had a responsibility to them. He did riot believe the Citizens Against Barriers were an irrelevancy. There were cases in the past where petitions were circulated, votes gathered, and then not submitted because those who circulated the petitions believed another way of dealing with the matter was more appropriate, which was represented by the Winter Lodge. In the subject case, the circulators of the petition denied legally to have their petition on the ballot and said they believed their interests were best served by not having anything on the ballot at present. Those who signed petitions did not usually read them in detail. The petition was lengthy and he suspected few of the thousands read it in detail. He respected the Citizens Against Barriers, none of whom wished to have the advisory vote on the ballot. If one or two wished to nave the advisory vote on the ballot, he would not oppose it. He believed Council had an item which was frivolous; there was a cost to have it on the ballot, to counting the votes, and it was a travesty. He saw no point in having the measure on the ballot. He suggested clarity would be served by taking it off. Vice Mayor Cobb agreed with Councilmember Klein. Acting on the best legal advice available, Council concluded the measure could not be put on the ballot as presented, and tried to be responsiblet public servants by putting the advisory measure on the ballot Council did not know how the legal challenge to its attorney's advice would come out, and he urged those who circulated the peti- tion to write an argument in support of their position to, at least send the message if that was the message the public wanted to send, and attach whatever caveats it chose, including . that they believed\the advisory was at best a shadow of what the real thing should have been. The circulators of -the petition could do that in their argument and still pursue their other avenues. It would provide a chance for their position to be brought by the public to the Council in the clearest possible way. He believed Council had an obligation to those who signed the petition to let them be heard in the loudest .,possible way, and acting on good legal advice, Council did ,precisely that. Councilmember Fletcher said one member of the public said if _bar- riers- cO311 d be- requested, why Could they not .request=' .they be removed. Those who requested themdid not do _i t by petition, they - made a request of the Council, and both sides were heard. Council in its best judgment made a decision. ' She- spoke against the measure because she did not want to lose the bicycle path referred 6 0 6 2 3/15/85 1 to as the Bryant Street Bicycle Boulevard. It was not only her decision, the network of bicycle boulevards was part of the Com- prehensive. Plan, adopted in 1976, before she was on the City Council. It wa.s adopted after a lengthy and thorough process where the Planning Commission held many public hearings. The concept was supported without one voice in opposition. She clari- fied it was not only her opinion that the bicycle boulevard was benefit to the City, it was part of the City's plan. She was also greatly concerned that a permanent barrier be erected to prevent traffic from crossing El Camino from Willow Road to Alma Street. Councilmember Woolley agreed with Mayor Levy that she was con- cerned and bothered by the possibility of a measure with no sup- porting arguments. She was swayed by Councilmember Klein's point that the item was not agendized, and it was inappropriate for Council to make any change. Councilmember Sutorius believed many of the points cited by Lois Johnson having to do with the purposes and processes of govern- mental bodies and being responsive to the public were well recog- nized by the action of the Council in seeing that the measure, in a Verbatim manner, but as an advisory measure, would be on the ballot. He believed the analogy with the Winter Lodge subject raised as a reason for rescinding that action was weak in the sense that the initiative for the barrier subject was a submitted initiative, and once submitted, an initiative could not be with- drawn or altered in any form. Council substituted for the spon- sors in the sense of making it an advisory measure and he believed it was entirely appropriate that it continue on the ballot. He encouraged the proponents for the original initiative take advan- tage of having a sponsorship of the argument process and conveying a message to the electorate. SECOND PART OF MOTION TO RECONSIDER THE RESOLUTION CALLING FOR AN ELECTION FOR THE PURPOSE OF DELETING FROM THE NOVEMBER BALLOT ITEM Po" RELATED TO AN ADVISORY VOTE ON BARRIERS 2-6, Fletcher, Levy voting "aye,' Witherspoon absent. COUNCIL RECESSED TO CLOSED SESSION RE PERSONNEL FROM 9:25 p.m. TO 9:48 p.m. ITEM #8, PUBLIC HEARIN>J: PLANNING COMMISSION RECOMMENDATION RE CHANGtS IN THE CS (SERVICE COMMEI IAL), CN tNEfGHBDRHOOD tOMMERCIATTARIJO Ciff ZONE DISTRICTS (PLA 7 -9 -2T --- Planning Commission Vice Chairman John Northway said the Commis- sion concurred completely with staff except it believed the drop in the floor area ratio (FAR) from 2 to .5 was too much and recom- mended a drop to .75. The Planning Commission believed the staff recommendations were necessary as an interim measure in order for the staff study to continue. Vice Mayor Cobb said the Merner people raised a question which suggested a major retail use might be driven from town as a result of the change. The other question had to do with a question raised by small property owners as to whether the restrictions might render some properties totally undevelopable because of the economics. He asked for comment. Planning Commissioner Northway said with regard to the smaller properties, one reason the Commission believed .75 was reasonable was because it was important that the small service -oriented bus- inesses in the zone be allowed to continue and expand in a reason- able sort of way. With the parking requirements, and with the type of businesses already there, It was unlikely the businesses would opt for an underground parking garage so they could ° even build to a 1:1 level. The Commission believed .7S would allow some expansion and with the parking requirements, it could be worked out on the smaller properties. With regard to Hubbard and Johnson, any lumber yard with which he was familiar rarely covered its entire site with covering, which would be what a 1 :1 FAR would require. It seemed to him a .75 FAR for a lumber yard was reasonable, especially considering the amount of parking required for a retail lumber yard such as Hubbard and Johnson. The Com- mission believed the .75 was a fair FAR that allowed small exist- ing service -oriented businesses to continue and to have some expansion, and it would discourage combining lots and taking major parcels and doing something that would severely change the service orientation of the properties. Vice Mayor Cobb asked if any thought was given to some kind of an exception procedure that would enable the City to let the projects of smaller properties go through if they met certain tests. Chief Planning Official Bruce Freeland said no. He reminded the Council that staff suggested the changes be a two-year ordinance to be i n .place while staff gave a more in-depth study to the ulti- mate zoning necessary for the parcels. He believed the types of businesses currently located in the CS, CN, and OR zones were inherently not businesses that required a large building in rela- tion to the site. The back of the staff report included bar graphs which indicated existing sizes in terns of floor areas of properties subject to the changes, and all the zones were typi- cally in the area of .3 to .4 FAR which Indicated they were sup- ported by at -grade parking. They were relatively small, low value buildings with at -grade parking which was the kind of building with relatively low rents that he believed made it possible for iiany of the businesses in the area.. The major difference between the Planning Commission's recommendation for a .75 FAR and the staff's belief that it could be smaller was that staff inherently did not believe development at the .75 or larger range was likely to be of the similar type of business to those generating the concern. Staff and the Commission agreed their should be some wriggle room for some additional small expansion. Staff did not believe an exception should be necessary, particularly if Council went with the .75 FAR, and in any event because it was an interim measure. Vice Mayor Cobb said an example raised to him was a currently vacant piece of property which was proposed to be undevelopable in any form under the proposed conditions. Mr. Freeland said staff could not comment on the particulars of an unknown vacant parcel, but he found it hard to believe,a property could not be developed. It seemed to be a strong statement. Buildings .typically found i n the proposed zones were in the .3 to .4 FAR, and he saw no evidence said those types of buildings could not be built again. Mayor Levy declared the public hearing open. John G. Merrier, 795 Cl Camino Real, was concerned that the interim measure not be permanent. He understood part of the concern was generated by traffic flows and problems with neighborhoods, but suggested his property was isolated from residential areas. He believed some of the restrictions on properties were echieved by more restrictive parking and landscaping requirements which of themselves presented more strong economic problems to keep devel- opment from . idly occurring. He felt economically, dispropor- tionately penalized for keeping the property for a long time and having a n existing lease which he proposed to continue for a long- term future use. It seemed the particular activity unsettled his, presumption that there was some stability to property located in such a high -density, commercial area. He understood the repre- sentation of: support for the'downzonfng was virtually nonexistent. If part of the .interest was generated by the residents, then' interests- seemed to be evidenced by a matter of convenience to some extent. They did notseem to show any concern. 6.0 6 4 7/15/85 Julia M. Raigent, attorney for Mr. Merner, 400 Hamilton Avenue, said the zoning proposal before the Council had significant impacts upon the property owners in the CS and CN zones. In the case of the CS zone, the proposal was to reduce the development potential to almost one -quarter of what it presently was. Assump- tions were being made that were supposed to be determined by the study to be conducted during the period or the zoning, proposal, which resulted in putting the cart before the horse and deter- mining the outcome of the study before the study was made. Mr. Merner.' s property wa s a .case in point. Staffs' intentions were ✓ al id and something that anyone in Palo Al to would support. Regarding serious economic effects to property owners, she did not bel ieve staff was in the position to make that determination. In the Planning Commission meeting, five or six proper=ty owners said the proposal would have a . significant economic effect, and she bel ieved they were the ones to make the determination on whether they could develop their properties under the proposal In the case of Hubbard and Johnson, they found themselves competing in a market which required them to put their product under roof as o pposed to being out in open parking areas and land as it cur- rently was. The lease between Mr. Merner and Hubbard and Johnson provided they would extend their lease for close to 40 years if they put a .new store on the property. Hubbard and Johnson might not be able to build that store under the current zoning proposal , which would potentially drive them out of town to surrounding areas and meant a retail use, which she bel ieved to be supportive o f the neighborhoods and people in Palo Al to, would no longer be avail able. The demand for space in Palo Al to would not go away by downzoning the development potential of properties in an effort to address the parking and traffic problems. Under those scenarios, it created more pressure for office space and the kinds of uses that dictated the higher rents so a property owner did not have an option except to try and build projects that would bring those higher rents to make economic use of the property. It was a reverse effect of what the zoning proposal was intended to achieve. A lot was heard about residents being concerned that convenient retail uses were moving out of town and she believed it was a side effect of the down zoning. There needed to be a more specific solution to the problem of parking :_ and traffic . In the particular situation, there was a guessing game going on as to what development potential had an effect on the parking and traf- fic problem . Numbers were pulled out .of ` the air that had long- term and significant effects on the proper ty owners, especially because Council would be in a difficult position to try and raise the FAR after the action that evening even though the intentions might be sincere to reconsider- after the study saes completed. She believed responsible zoning dictated that a decision of that mag- nitude not be made without a more thorough study being done, not o nly testing the impacts on parking and zoning, but on the effects on the residents in Palo Alto and the businesses in general a other than just the parking and zoning problems which needed to be addressed in a way that did not have other negative side effects. Councilmember Sutorius asked about the present FAR of the Hubbard and Johnson operation Counc it member Fl etcher asked when the 1 ease was up for renewal Ms. Baigent understood it had two years before the .right to extend arose. The right could not be .exercised unless a. new store was. built. Stephen Burg, 955 Industrial Road, was an officer of Evans Products .• Corporation, the -owners and operators, of Hubbard and Johnson. Hubbard and Johnson was pleased with its business and Palo Alto and planned to stay. They wanted to bpi i d a new store which would provide the customer better parking, access,;._ and service. The buildings currently_ on the property represented about one-third to fi fty percent of the buildings that were on the property when they l eased it ten years ago. They tore down, _many old, broken dnwn hid 1ding e and el ected to not repl ace them, but to sell the merchandise out of doors. They leased, as additional property for receiving purposes, something from an . adjoining neighbor which tied into the property. The buildings, which represented about .3 FAR were all old and virtually unworkabl e in presenting a new, modern retail business in the community. They wanted to build a new one. Economic reasons forced them to delay the project for two -and -one-half years. Hubbard and Johnson cur- rently anticipated completing initial sketches for staff consid- eration, plans and buil ding a store in 1986. He did not know what would be proposed, but knew under the new 1985 retail homes cen- ter, much more was enclosed under roof than was outside. Hubbard and Johnson had not had an opportunity to 1 ay out a site pl an wi th a new store and approach staff with what could be built. They wanted to have that opportunity, but did not know if the proposed .5 FAR would be acceptable. He did not know if .75 would be acceptable, and said it depended on what staff and the Archi- tectural Review Board (ARB) believed was architecturally accept- able on the premises, on what size package of merchandise could then be put in a new, modern facility, and what the impact of parking and landscaping would be on a new facility. They wanted the opportunity to do it and requested the property not be down - zoned, and if it must be done, he urged that Council carefully consider the impact of a .5 or .75 FAR. He bel ieved a 1 :1 FAR was within a workable range and that between the other constraints in the City, there were many controls on what could happen with the property. Councilmenber Klein did not believe Hubbard and Johnson had any competition within a meaningful radius, and asked if that was correct. Mr. Burg bel ieved the nearest meaningful competition was the Hubbard and Johnson in Mountain View. Councilnember Klein said based on the radius of competition; it indicated Hubbard and Johnson would build their new store no matter what FAR was created. Mr. Burg repl ied not if it was not economically .feasible. Councilmember Klein suggested Hubbard and Johnson was in a semi - monopoly position and would continue to make profits no matter what building was on the site. Mr. Burg said if Hubbard and Johnson could not get better facili- ties than what it currently had, it would live with. the sane facilities. Hubbard and Johnson would stay in Palo Al to. Peter Taskovich, 751 Gail en Avenue, agreed with the downzonttnng concept, but hoped the study coul d occur faster than two years. Robin Faisant, 750 Welch Road, attorney for Evans Products Company, which did business in Palo Alto as Hubbard and Johnson Lumber, and was the lessee of the Merner property. The property was a lumber yard for almost 50 years. The lease presently had two more years to run and Evans Products then had an option to extend the lease to the year 2017 provided that Evans put a new building there. It wasa coincidence that Council was looking at a downzonin9 for two years which might effectively prevent. Evans Products from exercising its option and result in some leverage from Mr. Merrier. It wa s., a good coma un i ty for Evans and the cor- porate desire was to stay, but he was not sure it would be pos- sible. If the downzoning to an extreme figure of .5 went through, he bel ieved they would be prohibited from building a modern facil- ity frost an economic viewpoint and would be in a posture of going with hat in hand to Mr. Kerner and asking for an extension of the lease on some terms and Just running the same buildings. If they were prevented from building` a new facility, they might just go on business as usual which was an economic loss to them and Mr. Herner, but it would keep them in the community. They were deal ing wi th a staff -generated proposal to cut the level opabil ity of the property by a factor of four. At the Planning Commission no one supported the proposal except staff. The Planning Commis- sion vote arrived at the Council as a unanimous vote, but it was a compromise. Some Commissioners indicated a 1 :1 ratio might be considered. Generally, he believed the effect of the down zoning might force his cl ient' s property into a less beneficial use than what the City could otherwise enjoy in the next 32 years. He believed it was important to realize that part of El Camino was different frog, the rest of El Camino and extremely different from downtown. Staff pointed out there was a lot of congestion at the intersection about ore -quarter mile south of the property, but in terms of El Camino itself near the, property, it took a "Big Game" or "Superbowl" to congest that part of El Camino. It was usually free flow at all hours of the day. He was concerned that staff had not specifically considered a 1 umber yard in making the blanket proposal . The only subject specifically covered was hotel s and motel s and staff acknowl edged a special rul e might be permitted there. A 1 umber yard was a different breed of cat from the other uses. A 1 umber yard was not benefited by a high fl ow of. traffic,. it was a destination user. People formed an intention try go to the lumber yard to buy something, and it was different from typical retail uses which were lumped in the rest of the CS uses. it also generated a lot less volume of traffic and parking per square foot of floor area than any other similar kind of retail use. He did not believe the proposal was adequately researched and ne felt like it was a punitive measure without enough study. In 2"7 years as a city attorney., he never saw a property upgraded or upzoned after a measure such as the proposed one was applied. As a practical matter, to ever think it would go back up was not in the cards. He hoped Council would see fit to not lock them into an undesirable development posture. In particular, he wanted the opportunity to work with staff to bring forth drawings and work with all of the City`s criteria for parking, l andsc aping and architectural control to do a development tht would be a credit to Palo Alto . Staff asked him how they could need a ratio of .75 or higher, and he responded the lumber yard presently there was not the a typical lumber yard of the future. In the future, even the lumber itself would be stored under roof. All of the nursery supplies and plants would be under roof and there was a consid- erable amount of roof area which was counted as floor area needed than was seen in the typical .old fashioned lumber yards in the area. Mayor Levy clarified that the significant difference in terms of desired floor area between the Hubbard and Johnson of today and the Hubbard and Johnson of the future was that the l umber space would be covered. Mr. Faisant said that was effectively the case. It might be a 1 ittl a more compl mated . Mayor Levy clarified there would be no significant change in the l aynut which generated more traffic into the lumber yard area. Mr. Faisant b el ieved that was true . Councilmember Bechtel understood the lumber aspects were tieing emphasized as needing to be covered.: Her knowledge of Evans Products was i t was more of a hardware business than a 1 umber business. She asked if there might be more of an emphasis on the hardware aspects which were the retail store portions rather than the uncovered portions; Mr. Faisant said it was a home improvement center, and .it con- tained hardware and -lumber in a mix . The mix was not seen as changing and the eaiphasi s would remain as i t was. It was not a home supply center in the sen sea they did not sell dish drainers and hot pads. They more into the home improvement, home beauti- fication market.. Ellen Wyman, 546 Washington, urged Council to adopt the staff recommendation of the .5 FAR for the CS zone. The staff report was clear that the purpose of the interim ordinance was to curtail development during the study in order to see what should be done l ater. If development was to be contained, .75 was higher than the average CS in Palo Al to. The previous speaker seemed to feel that the Merner site was different and special and presented a different problem. She did not suppose any ordinance worked out perfectly for everyone, but they saw their location on El Camino as being special and not presenting the traffic problem seen in other places. She disagreed. She saw no reeson for the CS to have a higher FAR than the CN. The purpose of the interim ordi- nance was to curtail development. Linda Ross, 201 Loma Verde, President of the League of Women Voters (LWV) of Palo Al to, on whose behal f she stated that con- trary to the Planning Commission's recommendation on the item, the LWV urged Council to impose a moratorium on new development in the CS, CN and OR zones pending completion of the Comprehensive Land Use Study of the commercial and industrial areas and the traffic studies slated for Palo Alto. As was their rationale in their June 17, 1985 statement to the Council in support of the contin- uation of the Downtown Study area moratorium, the LWV's land use and planning positions supported a _planning process which, prior - to final decision --making being publicized, allowed public comment on the development alternatives and their probable consequences; land use planning which included consideration of housing, jobs, transportation,. and air pollution; and opposed development in an area of the City which was under a special planning study. As stated in the staff's June 7, 1985 report to the Planning Commis- sion, an area -by -area approach to reduce development potential proved unsatisfactory because it did not permit a comprehensive view of growth or its overall effect on traffic. Because incon- sistencies resulting from an ad hoc approach might occur and be exacerbated as more areas of the Ci ty were looked at in isolation, every reason cited for Council's seeking any kind of break on development in the study area was an all the more compelling reason forimposing a moratorium at that point. Permitting even a small amount of additional development in the study area increased the risk that problems with traffic, the jobs/housing imbalance, and general land use imbalance would worsen and the options for deal ing with such problems would be reduced by the time the study was completed. Many of the intersections in the area were already at level "E," and more development would unlikely improve the situation. The purpose of the study was to determine the desired planning and land use configuration. The purpose of a moratorium was to ensure that a meaningful and thorough study offering options for viabl a corrective action could occur. The LWV of Pal o Alto urged that Council impose a moratorium on the subject area and reject the Pl anning Commission' s recommendation only to reduce the FAR. Bob Moss, 4010 Orme, spoke as President of the Palo Alto Civic League and as Chairman of the Land Use and Zoning Committee of the Barron Park Association. He pointed out that contrary to some of the statements made by the property owners, there was a letter sent by the Civic League to the Planning Commission supporting the reduction in FAR in both the CH and CS zones. He referred to the _. June 7 1985, staff report, and said it was disturbing that the Planning Commission selected a .75 FAR for the CS zone with no supporting data. The only data provided said the existing 2:1 ratio would allow almost 5.4 million square feet of additional develoment in the. CS zone, and a .5 ratio would reduce it to 577,000 square feet. There was nothing stated about how much development there might be at a .75 FAR, but more than 80 percent of the existing parcels,: according to the staff- report, presently developed in the CS zone had less than .75, and, therefore, could have a significant amount of additional development. The .5 ratio proposed in the staff report for both the CS and CH zone would still Wow in excess of ` 750,000 square feet of development. Regarding the viability of development on small parcels, many parcels in the CH zone along El Camino were only 4,000 to 5,000 square feet, and were developed and used viably and economically. As to the effect ,of excessive development, particularly along El Camino adjacent to the residential communities, the experience in Barron Park was that any development along El Camino had an ad- verse impact on the adjacent residential communities in parking overflow from the commercial strip and increased traffic. Any excessive development exacerbated the ,Jobs/ housing imbalance. He urged the City Council to adopt the staff recommendation for a FAR of .5:1 in both the CS and Cli zones. They also supported a mora- torium on further development in those zones during the pendency of the study as recommended by the LWV. Councilmember Woolley asked about the number of parcels under .75. Mr. Moss directed Councilmember Woolley to the bar graph in the back of the staff report, and said there were 27 parcels that were .8 or above, and 115 parcels that were less than .75. He calcu- lated 81 percent were below .8 FAR. John Wanless, 2682 Cowper, endorsed the reduction in FAR in con- cept, but was concerned about the impact on Midtown. Midtown was currently experiencing a great development in residential units, and he saw a reduction in FAR might have the opposite effect in forcing developers to develop multi -unit residential units in the area. There were many old buildings along Middlefield Road with sufficient depth to support multi -unit type housing which could be torn down. Without a consistent reduction in the number of hous- ing units, they might see another Hoover site which could occur in Midtown. He urged consideration of that fact before adopting the FAR concept. Barbara Newton, 1585 Edgewood Drive, said it was supposed to be a time of curtailed development in Palo Alto while a comprehensive study was prepared. She referred to the same bar graph used by Mr. Moss, and pointed out there were 21 vacant lots in the CS zone, 17 CS lots with a .1 FAR, and 16 CS lots with a .2 FAR. It meant there were 54 properties significantly smaller than the pro- posed .75 FAR. If all of the lots decided to develop to the .75 FAR, it could result in a lot of large buildings. She understood the Sports Medicine building on Everson was approximately .8 FAR which was close to .75 FAR. She did not believe Palo Alto needed or wanted anywhere from 21 to 54 buildings of that magnitude. She was concerned that the .75 FAR would not prove to be a lid on development, but would be seen as a last chance for development possibilities. She recommended the FAR in the CS zone be limited to .50 in support of the City staff recommendation. She said 49 other people joined her in signing the Palo Alto Tomorrow peti- tions stating they wanted City-wide curtailment. Mayor Levy declared the public hearing closed. MOTION; Councilmember Fletcher moved, seconded by Renzel , to adopt the Planning Commission recommendation (with the exception of amending the FAR in the CS zone) finding that the following charges will not have a negative environmental impact and that these zoning ordinance changes be approved and remain in effect for two years In the CS zone district, the FAR be reduced from 2.0 to 1 to 0.50 to 1 for nonresidential uses except that sites . used exclu- sively for hotels and motels be allowed f an FAR of .75 to 1. Sites used exclusively for residential development or for mixed residential and nonresidential development mold be allowed a FAR of 2.0 . to 1, .. bat the nonresidential portion could not exceed 0.50 to 1 FAR. 6 0 6 9 7/15/85 NOTION CONTINUED • In the Cif zone district, the FAR be reduced from 1.0 to 1 to .5 to 1 for nonresidential uses. Sites used exclusively for resi- dential development or for nixed residential and nonresidential development would be allowed an FAR of 1.0 to 1, but the non- residential portion could not exceed .5 to 1 FAR; • In the OR zone district, the FAR: for all uses be reduced from .75 to 1 to .5 to 1. Sites used exclusively for hotels and motels, or for residential development, or for mixed resi- dential and nonresidential development would be allowed an FAR If .75 to 1, but the nonresidential. nonmotel section could not exceed .5 to 1; and - In the CS zone district, the ordinance limiting office develop- ment to 5,000 square feet per site remain in effect until July 1 , 1987 . ORDINANCE FOR FIRST READING entitled °ORDINANCE OF THE COUNCI ar THE tITT OF PAI0ALTO SETTING INTERIM REGULA- TIONS REGARDING THE FLOOR AREA RATIO IN THE OR, CN AND CS DISTRICTS AND EXTENDING THE LIMITATIONS OF THE SQUARE FOOTAGE OF OFFICE USES IN THE CS DISTRICTS (EXCEPTING CS DISTRICTS IN THE DOWNTOWN AREA BOUNDED BY LINCOLN AVENUE, ALMA STREET, HAMILTON AVENUE AND RAMONA STREET) Councilmember Fletcher said .5 would still allow significant devel opment. In the case of Hubbard and Johnson, she suggested the possibility of a PC to allow for such specialized use. She did not bel ieve it was proper to set a standard based on a special single situation. Councilmember Bechtel said the original staff recommendation incl uded exceptions for hotel s, motel s, and housing to encourage housing, and she asked if the motion should have included them. Councilmember Fletcher said no because she was not persuaded by the staff comments. On the other hand, she might be persuaded by comments from other Councilmembers. Mayor Levy said the proposed ordinance allowed for residential uses in the CS and CN zones apd also spoke to hotel and motel uses in the OR district. Councilmember Bechtel said on the bottom half of the first page of the ordinance discussing FAR, it stated the maximum FAR for non- residential uses shall be allowed a maximum a, floor area for hotels to .75.'° She wanted assurances that when the blanket change was made to .50, it did .not include that portion. Mayor Levy said in Section 3, paragraph 2, it stated "in all CS districts except those bounded by Lincoln and Hamil tau Avenues and Alma and Ramona Streets, the maximum floor area ratio for nonresi- dential uses shall be .75 to 1." He interpreted the motion to amend that section to read .5 to I. It continued on the next page with paragraph 3 and discussed residential uses. He understood only Section 3, paragraph 2 was affected. Councilmember Fletcher said that was correct. Councilmember Bechtel believed staff made strong arguments in their original recommendation that housing be encouraged, and in response to the member of the publ lc from the Midtown area, as she looked at the neap, she did not See _ the kind of problem he envi- sioned. In otber-. parts of the community, = .75 was reasonable for that portion of the property that world onlybe for housing. In terms of the possible revenue from hotel s and motel s, she -bel ieved staff made some strong arguments. 6 0 7.0 7/15/85 AMEMDMEW7: Cnunciimember Bechtel moved the ari9inal staff recommendation on that portion affecting hotels, motels, and the housing portion. $ In all CS districts except those bounded by Li nccl n and Hamilton Avenues and Alma and Ramona Streets, the maximum floor area ratio for nonresidential uses shall be .5 to 1 except that sites used for hotels shall be allowed a mcx#mum floor area ratio of .15 to 1.6 Mr. Freel and said the only substantive differences were the incl u- sion of the .75 FAR for hotels and motels. Houses were taken care of because it established that the overall FAR remained at 2:1 . Just the nonresidential component was limited to .5, or in the case of hotels and motels, .75. AMENDMENT DIED FOR LACK OF A SECOND Council member Bechtel supported the citizens and members of the community who wanted to preserve the _character of the community. She bel ieved staff made some good recommendations. She bel ieved a moratoriums would be appropriate during the study period as pointed out by the LWV. The .5 was a compromise from a moratorium and allowed some limited development during the period, and gave the City a time-out while it determined the best possible use for the land in the CS, CN, and OR zones, Councilmember Kl ein associated himself with the comments of Councilmember Bechtel. Staff made a persuasive case, and he believed .5 was more appropriate for the CS zone, and by supported the motion. Vice Mayor Cobb said it was suggested that if Council wanted to deal with the case of Hubbard and Johnson, which seemed to be unique, a PC might be appropriate. .He asked if that were true. Mr. Freeland said in order to have a PC zone, Council would have to make a finding of public benefit. There was no hard and fast definition of a public benefit, but he believed simply having a hardware -lumber store was not the typical publ is benefit, It was ultimately up to the Council and Commission to debate. He would be surprised if Hubbard and Johnson was able to produce a building of more than .5 FAR on the site . The main parcel was about 135,000 square feet in size, and if one assumed a .5 FAR, it was approximately a 67,500 square foot building. If it were a bulk lumber storage ---no warehouse —it would require about 192 parking spaces, or 400 square feet each to lay out or about 77,000 square feet of 1and . In order to have a building larger than a .45 to 1 FAR, the building had to be multiple story or the parking had to be underground. He would be surprised to see plans for a 1 umber yard be mul ti pl a story or have underground parking. Vice Mayor Cobb said regarding the property owner with a small piece of vacant land, the interest was to put in a mixed use which used commercial to support some residential , which was presumably one of the goals. It was proposed by those property owners where economics were such that there would not be any housing on the site without some el bow room for people in those small site s because by the time setbacks and dayl fight planes, were "pl egged in, it was impossible to put housing there. He was concerned about whether Council was dealing with unintended consequences. He generally supported the motion, but would be concerned if Council encouraged an al l commercial development rather than one which was mixed use with some housi ng because the economics did not work for the mixed use on , smaller properties. He suggested one. way ' to. approach the problem might be have staff look at the particular issue and see whether the need existed for that type Of exception process in order to not lose the housing opportunities if it turned out to be too difficult a situation and, therefore, encouraged 01 commercial growth. Councilmember Renzel pointed out the City distinguished the CS zone from the other commercial zones because it allowed for cer- tain kinds of services that were not permitted in the other zones. She bel ieved Mr. Freel and cl early outl ined that a high percentage of the existing CS uses were low floor area ratio buildings because of the nature of the use. If the zone was for the purpose of Omitting those kinds of, uses, she bel ieved its structure should rel ate primarily to those uses. Cl early it was nice to get some residential in those zones from time to time and the City permitted a higher FAR for residential in those zones if someone wi shed to utiI ize it, but to get back to the basic principle, they were deal ing with a CS zone and uses which were important to the community and which. the City wanted to encourage. To raise the FAR to the point where the price of the land would be bid upon by those who wished to put a different kind of use on it would dis- courage the kinds of uses for which the zone was designed. She strongly supported the motion and associated herself with the com- ments of her colleagues. Councilmember Woolley commended staff on their thorough research and cl ear presentation on what was a compl icated issue. She liked the fact that the .recommendation was a more fl exible approach than a moratorium; it allowed for remodel ing and additions, but not for large new developments; and she supported the fact that it in- creased the present incentive to build housing rather than commer- cial , She disagreed with Councilmember Fl etcher' s amendment to go al ong with the staff rather than the Planning Commission on the CS zone, and bel ieved the parking 1 imitations and maximum square footage for office limitations, coupled with the Planning Com- mission recommendation of .75, gave a package that provided enough deterrent to large development over the study period. She asked if going back to the original Pl anning Commission could be accom- pl fished by going back to the wording of Section 3, No. 2. Mr. Freel and said yes. AMENDMENT: Coenciimember Woolley moved, seconded by Levy, to change .the FAR in the CS zone to .75 Councilmember Sutorius debated between the .75 as recommended by the Planning Commission because the staff table .analysis which produced the square footage situation as it appl ied to Hubbard and Johnson were the larger and unique uses that created some of the situations which were perhaps part of the motivation of the P1 an- ning Commission in their recommendation. He would not support the. .75 FAR because the application: of the higher square footage as demonstrate] by the charts in the staff material were not borne out by need. Councilmember Renzel opposed the amendment to change the FAR. It was a CS zone and there was good evidence that those kinds of uses did not need the high FAR, and to establish a higher FAR created competition that would drive out the. uses. It was a temporary ordinance to allow time for a proper study to take place without forecl ()sing any options. Councilmember Klein did not support the amendment. The figures provided by Mr. Freeland indicated that to get to .75, one had to provide underground parking which was expensive and drove up ren..ts. If it drove up rents, it seemed to him they created a more bout' queem atmosphere of which there was pl enty in Pal o Al to. He preferred to keep the economics of construction in order to main- tain some of the uses in the CS zones in town . Mayor Levy was concerned that Palo Alto -would be overofficed Palo Alto had become the downtown of Silicon Valley, and was the most desirable area tolocate offices. He no longer saw Palo Alto as a self-contained community -of: 50,000 with a little downtown on University Avenue and the rest of the town was shopping. The entire_ town was desirable to build offices and it.: was seen on Cai ifurnia Avenue as well as Univer:i ty Avenue and it was ning on 11 Camino. currently, the City had a 1 imitation of 5,000 square feet per office which was appropriate. Office use would develop higher rents for the property owner than retail use, and by having the lower FAR, Council provided a strong incentive for every piece of property that was 10,000 to 12,000 square feet or less to be completely developed as an office. If Council had a more expansive floor area ratio, it would provide more of an incentive for retail uses on those sites which he believed were better uses for the town. An owner of a 10,000 square feet piece of property could put 'a 5,000 square foot office there or a some- what 1 arger retail use . He was wel sati sfied that a somewhat 1 arger retail use was a better trade-off for the community than a 5,000 square foot office building. AMENDMENT FAILED by a vote of 2-6, Levy, Woolley voting "aye," Witherspoon absent. Councilmember Sutori us was interested in an amendment to affect Section 3 and apply to the CS districts described in paragraph 2, which were those not inci uded in the Downtown area. He asked for assistance in the wording, and said the intent was to permit an appl icant to apply for an exception to exceed the 0.5 and go. up to a .75 if there were publ is benefit. Mr. Freeland said during the moratorium appl ications could be made for an exception to a project which would be of public benefit. Such projects might include, but were not limited to, a grocery store serving the needs of elderly and mobil ity-impaired downtown residents, preservation of an historic building or a residential use, or otherwi se allowable use under the zoning code if such use was restricted to a total floor area not to exceed 50 percent of the fl oor area ratio under the zoning. The only real criteria was public benefit. Councilmember Sutorius asked if final action was that night or whether there was a second reading whereby it was feasible if the wording posed any problem for the attorney or staff, they coul d add to it. Ms. Lee suggested Council incorporate the moratorium exception procedure in the Downtown moratorium ordinance and ask staff to make the corresponding changes to the ordinance. Co unc i l m em ber Su to r i us said that was fine,. Mayor Levy bel ieved the essence of the motion was to permit excep- tions to the .50 FAR up to a maximum of .75 for public benefit uses. Ms. Lee said it was the same procedure as the Downtown moratorium ordinance. AMENDMENT: Councilmewber Sutori us moved, seconded by Woolley to permit exceptions to the .5 FAR up to a maximum of .75 for pubs lc benefit _ uses utilizing the same procedures as in the Downtown moratorium. Council member Wenzel said with regard to Councilmember Fletcher` s question about PC' s, the major question was pubs is benefit, which was identical.: to the amendment. She preferred to leave the .exist- ing process in place and allow a project to go in under PC. It would have to demonstrate the same public benefit one way or the other, and she preferred to keep the ordinance clean and have anyone wanting an exception to use the PC process. She would not support the amendment. Counciimember Wool] ey asked about the advantage of including it in the Downtown Moratori um. 9/15585 Mr. Freel and cl ar i r i ed she meant opposed to the P1 anned Commun i ty zone process. Councilmember Woolley said yes. Mr. Freeland believed it was a less. rigorous process spelled out In the exception process. A Pl anned Community zone required fully -developed architectural drawings .and hearings before the Architectural Review Board (ARB) and the P1 ann1ng Commission which was tine -consuming. Some of the exceptions considered for the Downtown and which were granted were very minor items. He be- lieved .a less rigorous process was an advantage in that regard. If they were talking about larger buildings than the City other- wise wanted, there might be justification, for requiring the additional detail of a PC zone. Councilmember Woolley cl art fled it was true a PC zone was continu- ously monitored whereas the exception process was not. Mr . Fr eel and said yes. Councilmember Woolley said from the standpoint of monitoring, there was some reason to include it, particularly, as pointed out by Mr. Freel and, for the small er exception. They were not things Council wanted to continually track of over a long period of time. Councilmember KI ein said whil e the motion had some surface appeal , he would not support it because he bel ieved there was a difference between it and the Downtown. The Downtown was an outright mora- torium. Council introduced the exception process for publ is bene- fit to provide some flexibility, and flexibility in the process before Council that night was already built in by the fact that a moratorium was not declared and a small amount of construction would still be al Towed. It seemed to him that if Council wanted to go beyond that flexibil ity, the PC process already on the books should be used Vice Mayor Cobb was al so tempted by the amendment but concl uded it would not solve the Hubbard and Johnson problem. He was not sure that problem was solved. If Council was to deal with a large project, he would rel uctantly suggest the PC was a better way. He was stiO concerned about the very small parcel s, but believed it had to be dealt with by a separate motion which he would deal with as a study request later. Mayor Levy said the amendment was to permit . exceptions to the .5 FAR up to a maximum of .75 for public benefit utilizing the same procedures as in the Downtown Moratorium. AMENDMENT FAILED by a vote of 3-5, Woolley, Sutorius and Levy voting "aye,' Witherspoon absent. MAYOR LEVY RE ITEMS TO CONSIDER AFTER 11:00 p.m. Mayor Levy asked Mr. Zaner which items had the highest priorities and whether any of them might be deal t. a►i th another. time, Mr. Zaner said Council had a request in the packet to postpone Item 13, 3045 Park Boulevard, so that would not be heard assuming Council granted the request to continue., He understood there might be. a request to continue Item 9, 103 Kellogg. Regarding Item 12, a 1 egisl ative report, he saw nothing there that looked critical from a time point of view, The other public hearings could also be postponed if Council wished, but he believed they would go fairly quickly as staff did not see a great deal of con- troversy surrounding them If Council took off Items 9, 12, and 13, it might get them through the evening a little faster. 6 0 1 4 7 /15/85 Mayor Levy suggested Council continue Items 9, 12, and 13 until date set by staff, and asked staff and Ms. Lee if it was in order to bring those items forward and continue them. to a time set by staff rather than a time certain. Ms. Lee said Council needed to set a date certain for public hearings so people in attendance that night knew to when those matters were continued. Staff could advise Council, or Council could delegate to staff, the determination of the Leg isl ative Committee report. Mr. Zaner suggested Council might continue the public hearings to July 22, 1985. After a week of negotiations with the cable com- panies, he bel ieved the report staff would make to Council on July 22, including the presentations from the cable companies, would not take the entire night. Substantial progress was made. Many of the controversial items were cleared out of the way so Council would have time that evening to finish the items. He mentioned parenthetically that it appeared staff would not need the July 23, which Council could cl ear off its cal endar . Mayor Levy clarified a minimum of public input was anticipated on July 22, so July 23 was not needed. Mr. Zaner bel ieved even wi th the pubs lc input, Council could handle the hearings that might be set. MOTION: Mayor Levy moved, seconded by Menzel , to bring forward Items 9, 12, and 13 for continuance. MOTION PASSED unanimously, Witherspoon absent. MOTION: Mayor Levy moved, seconded by Menzel, to continue Item 9, 103 Kellogg, to July 22, 1985, and Items 12, Legislative Report, and 13, 3045 Park Boulevard, to dates set by staff. MOTION PASSED unanimously, Witherspoon absent. RETURN TO ITEM #8 , PUBLIC HEARING RE CHANGES IN THE CS , CH , AND OR ZONES MOTION AS AMENDED PASSED unanimously, Witherspoon absent. Vice Mayor Cobb was still concerned about unintended •consequences. For exampi e, the City Might get an all -commercial devel opment rather than one which encouraged some housing. He suggested with respect to the areas covered by the previous motion, Council ask staff to study and report back as to the need, if any, and give Council recommendations for possible exception '`mechanisms for small properties where the exception would allow a mixed --use project where housing el ements would not otherwi se be obtained. MOTION: Tice Mayor Cobb moved, seconded by Klein, with respect to the zones covered by the previous motion, that staff study the :ice of smaller parcels with the aim of encouraging mixed ases where they might not otherwise be possible, Which 'cold involve an exception process. Councilmegiber Bechtel did not like getting into exception►\ _pro- cesses to begin with, and did not l ike the idea of another staff assignment. She believed staff Careful ly reviewed the conse- quences, and hopefully all unintended consequences, and she, would not support the motion. Councilmember_ Renael said the previous motion allowed for a floor area ratio of 2 for housing when ='provided in the zone, and limited the- service commercial use to .5, which= was: anrpl a incentive. It was a two-year situation and she bel ieved there would be few mixed uses that would want to be incorporated along with ,a service com- mercial use in any case Be that as it may, the provision and incentive Were incorporated in the ordinance and would benefit l arge and small properties al Ike . She would riot support the motion. Vice Mayor Cobb hoped Councilmember Renzel' s statement was true, but obviousl y if a property owner brought the example forward, they were concerned it might not be the case . He only requested that staff advise Co unc it whether there was a need for such an exception. It would give staff a chance to focus on the particu- 1 ar problem, and if no need existed , staff could._ return and tel 1 Council, and that would be the end of it If there was a need for a process, he wanted to know because he was concerned about the small property owners. The particular instance had to do .with an undeveloped tot which was practically open. If Council locked people into that situation, he was not sure it would help the neighborhood to leave it as empty, vacant property. They might get a 1 i et1 a housing if they made sure the economics worked for people on small properties. Mayor Levy would not support the motion because staff had reviewed the situation, and bec ause at some point, there had to be an end to the el aboration of studies Counc it requested. He bel ieved they could let the two-year moratorium be as it was, par ticul arl y since they were allowing a fl oor, area ratio of 2.0 for mixed uses, which was pretty substantial . MOTIOW FAILED by a vote of 1-7, Cobb voting "aye," Witherspoon absent. ITEM #10, PUBLIC HEARING: PLANNING COMMISSION RECOMMENDATION RE APPLICATION OF REAL ESTATE ARTS, INC., FOR A E A'IVE SOBDIVISfON MAP COMAINING 5 PARCELS- INTO 1 FOR PI CPERTY T 270). EL IAT1Ie1O REAL (PIA f anning Comri ssioner Hel ene Wheeler said the Commission' s discus- sion focused on the extra development potential the merger of the five parcels would bring, particul arly the traffic impacts. Staff pointed out there would be no increased potential in the develop- ment of the commercial portion of the property, and the commercial component would increase traffic potential to' a greater extent than residential . There would be some increased residential devel opment potential , but the Commission concluded the unique nature of the proposed housing and the location of the site along maj or arterials without heavy impact on residential neighborhoods made the project a benefit for the community. The Comm i ssion unanimously recommended approval . Mr. Bruce Freel and said a revised environmental assessment addressed the issues raised at the P1 anning Commi ssi-en. Mayor Levy declared the public hearing open . Otto Foyt, 1052 N. Cal ifornia Avenue , was an owner of Real Estate Arts, and presented Palo Al to' s first rental housing project in about 20 years. It was an apartment project, not a condominium, and there was no condominium map. The property was zoned RM-5, and they proposed 40 units, four of which would =be below -market - rate. Along ` El Camino, they had a small portion of Cpl, which` would have 3,650 square feet of office and financial services. It took about seven years to acquire the property on a 50 -year: land lease fro the owner who was in Hong Kong. Thirty neighborhood residents along with staff and ARa members attended a meeting and there was unanimous support. The site was currently occupied by an abandoned gas station and vacant land behind it on Sheridan. They requested no variances and complied with all setbacks and zoning and parking requir ents. The question before the Council was the merging of five 'tots into one because if ,they tried to develop the fivelots separately, they could not do so because of the required setbacks for each lot. By merging the five lots, 6 0 7 6, 7/15/85 their architects created a meaningful- landscape plan with signifi- cant open space and mature trees. As traffic mitigation, they proposed each tenant be given a packet of information concerning bus schedul es as there was a major bus stop at El Camino and Sheridan in front of the project. The packet would also contain information about train schedul es, a nearby Cal Trans Depot, l imou- sine, and other services to the airport. They would al so provide information concerning the Ci ty' s bike routes, hiking, and jogging routes, and shopping in the nearby California Avenue district. They were close to jobs and employment and would make bicycles available for tenants to ride to work and shop. Their location at the entrance to the Stanford Research Park provided new housing within walking and biking distance of _ from 23,000 jobs. They believed the amount of traffic would be reduced in Palo Alto as people could walk and bike to work rather than drive and commute from the East Bay and San Jose. The ARB provided unanimous con- ceptual design approval and they were scheduled to meet again on Thursday, July 18, 1985, to clarify certain design items. He requested Council support for Palo Alto' s first rental housing project in many years by the merging of the five lots into one parcel . Mayor Levy declared the publ is hearing closed. MOTION: Councilmember Woolley moved, seconded by Fletcher, approval of the Planning Commission recommendation finding the application fora tentative subdivision map to merge the five par- cels at 2701 El Camino Real will mot have an adverse environmental impact, and that the proposal complies and is consistent with the provisions of the Subdivision Nap Act, this title, and the Palo Alto Comprehensive Plan, including all elements thereof, and all other provisions of the Palo Alto Nunictfipal Code and state law, including, but not 'limited to Section 66473.6 and 66474 of the Government Code. Councilmember Fletcher was pleased with the innovative proposal and liked to hear about traffic mitigation measures. Many buses stopped at the corner of El Canino and Sheridan, and she pointed out the AC Transit Lines which went to BART in Union City. She looked forward to the project. Mayor Levy clarified Councilmember Woolley moved the Planning Commission recommendation. Councilmember Wool 1 ey said yes. Vice Mayor Cobb asked if the appl icant' s comments with respect to the neighborhood support were correct. Mr . Fr eel and said yes. Vice Mayor Cobb was unenthusiastic. Neighborhood support would sway him to vote in favor,\\but for short-term, rental s, he bel ieved the ideas about using publ is transportation, bicycles, etc., were a drew and _Council was fooling itself if they bel ieved it would be any different. They would, be car -oriented people, and if they were long - term rentals, it might be different. He observed the development potential was increased five ° units, but no increase was made with respect -to below -market units, which was what : he bel ieved got the City in trouble: with respect to =the condominiums being built. The neighborhood support weighed in the balance for him, but a few yearsdown the road, he believed they would see that no traffic problems were solved and he hoped the neighbors were still happy with the :extra density and traffic. Mayor Levy was satisfied that as long as they were rental units, there was a considerable public benefit. 'In the present market, rental units were cl ose to being acceptabl e as to moderate income famil ies. He would not approve a condominium map for the project. under any canceivabl e circumstances. MOTION PASSED unanimously, Witherspoon absent. ITEM #11 PUBLIC HEARING: EXTENSIONS OF DEVELOPMENT MORATORIUM DISTRICT PARKING ORDINANCE (PLA T-2) reMR:428: 5) Council member Klein said due to the supposed conflict of interest as rul ed by the Fair political Practices Commission, he would not participate in the. item. Mayor Levy decl ared the publ is hearing open. Linda Ross, League of women Voters (LWV) , 201 Loma Verde, earl ier referred to the LWV's request regarding continuation of the Down- town moratorium anil the reasons for making the request. She incorporated by reference their reasons. The LWV was disturbed by, and opposed, the proposal to modify the moratorium by l uniting the prohibition on ground floor conversions to the Peoestrian Shopping Combining Di strict rather than continuing the prohibition in the entire primary Downtown Study area. The proposal before the Council was apparently unaccompanied by any figures regarding the potential square footage that could be converted to an office use in the fringe area of the Downtown Study area or the impact .on parking and traffic conditions generated by such office uses. A superficial comparison of the maps of the Pedestrian Shopping Com- bining Di strict and of the entire Downtown Study area indicated limiting the prohibition to only the Pedestrian Shopping Combining Di strict would make a large part of Alma vul nerabl a again to con- version to office and •financial service uses. The traffic and land uses on Alma were already a cause for Palo Alto' s concern about growth, The LWV reminded the Council that the entire Down- town Study area was the subject of the City's planning study, and that the core of Downtown may contain the more serious conse- quences of recent growth and development does not•mean the fringe of the Downtown Study area should be opened up to potential devel- opment of the same uses which might have placed the Downtown core area in its present predicament. Doing the Environmental Impact Report (E IR) should ensure consideration of alternative balances of office, retail , and residential uses and the concomitant prob- lems of parking, traffic, and air pollution generated by each such use. The LWV respectfully requested Council avoid a piecemeal approach to the planning study and continue the moratorium on the entire Downtown Study area pending completion of the study. Mayor Levy decl ared the publ is hearing closed . Councilmember Bechtel asked for comment regarding exclusion of the Alma extensions on either side of the core area. Mr. Fr eel and said the recommendation wa s made because tho se areas were no longer under study by the P1 anning Commission or the Down- town Advisor=y Committee as potential areas for the ul timate appl 1 - cation of a ground floor use control policy. The Committee would be looking at the precise boundaries of the ground floor use con- trol policy in the next few months, but all of the areas.. under active consideration were within the Pedestrian Combining Zone,. not outside. MOTION: Coueciimember Menzel- moved, seconded by Cobb, to adopt the staff recommendations as`\follows: 1. Finding that the ordinances will not have a significant adverse environmental impact; and 2. Adopting the following ordinabces: MOTION CONTINUED a. extending the effective period of the Downtown moratorium on new construction, subdivisions and parcel mergers within the primary study area, and ground floor . con- versions to office and financial service uses within the (P) Pedestrian Shopping Combining District. until May 28, 1986; and b. extending the effective period of the iJn1versity Avenue Parking Assessment District parking regulations until May 28, 1986. ORDINANCE FOR FIRST READING entitled 'ORDINANCE OF THE COUNCIL OF THE CITY Ot -PALO ALTO AMENDING AND EXTENDING THE ORDINANCES IMPOSING DEVELOPMENT MORATORIUM IN THE DOWNTOWN AREA' ORDINANCE FOR FIRST READING entitled 'ORDINANCE OF THE COUNCIL or ThE CITY OF PALO ALTO EXTENDING ORDINANCE NO. 3502 REGARDING OFF-STREET PARKING AND LOADING REGULA- TIONS IN A SPECIFIED AREA OF DOWNTOWN PALO ALTO' MOTION PASSED unanimously, Klein 'not participating,'° Wi therspoon absent. ITEM #14 , PLANNING COMMISSION RECOMMENDATION RE EXCEPTION FROM DO N TO PERMIT ADDITIONAL FLOOR AREA FOR eltAT1UN OF A PEDESTRIAN ARCADE AREA F611 PROPERTY LOCATE` AT 499 HAMILTON AVEPU€ (PLA 3-1) Planning Commissioner Helene Wheeler said the Planning Commission recommendation was unanimous in favor of the exception from the moratorium with the conditions and assurances that the design approved by the ARB be implemented and that the public amenity in the form of the pedestrian arcade be protected and preserved and not converted into usable floor area space. Mayor Levy said arcades and any covered area was considered part of the floor area built up space, and if he had an extension over a window, which was a permanent awning, he clarified it was con- sidered part of the floor area of the building. He asked why. Mr. Freeland said in the subject instance, even though the area was open to thn outside, it was considered part of the floor area ratio because it was actually within the structural components \ of the building; that is, the columns and the outside of the building that were used to define the arcade were actually the structural elements of the wall and could easily be enclosed in the future if they were not built within a special manner. If it were .simply the area under a balcony, i t might not matter. Mayor levy clarified it had to be within the structural members of the building to qualify. Mr. Freeland could not give the exact definition. In the subject instance, it was the explanation he received from the Building Department that it was within the actual structure of the build - Mayor Levy said if Council approved it, he asked if the area could be enclosed without Council approval . Mr. Freeland said it was a condition of approval as suggested , by the Planning Commission, and it could no.t be enclosed. 5 O 7 9 .. 5/85 Jive Baer, 532 Chalon ing, confirmed the spirit of the developer- to comply with what they believed the moratorium was directed at and the important pol icy of the City to .make retail space in the down- town more attractive. They did not intend to enclose the arcade and would do everything possible to create a building which en- hanced architecturally, and from a retail point of view, the important corner of Hamil ton and Cowper_. A strong architectural statement was important in the location to balance the 1 arger building across the street at 400 Hamilton. They were eager to get on with the project and make a contribution to the Ci ty. Councilmember Fl etcher said the present building had many bicycles. parked inside. Under the zoning ordinance, they were not required to provide for bicycl e parking, and she asked whether they had pl ans to provide comparabl e, secure parking. Mr. Baer said it was not yet raised at the ARD 1 evel . There were two areas where bicycles could be located. On one edge of the building wa s an approximately eight foot corridor which was the difference between the edge of the building and the next building. There was an entry to the second floor which was open to the air in part, and it might be that bicycle parking could be provided there. It would be considered. NOTION: Counctlmember Bechtel moved, seconded by Klein, to adopt the Planning Commission recommendation approving an excep- tion to the provisions of the Downtown moratorium, finding that: I. The projects benefits t.o the public outweigh the potential increase in traffic and parking demand generated by the proj- ect in that the leasable floor area of the building will mot be increased by the building renovation, and, the requested exception is for an unencl osed, unl easabl e, pedestrian - oriented a*enity, which will conform to Program 18 of the Urban Design Element of the Comprehensive Plan which encour- ages 'street frontages that contribute to retail vitality in shopping districts; and 2. There are exceptional or extraordinary circumstances or condi- tions applicable to the project involved that do not apply generally to properties in the Downtown moratorium area in that the additional gross floor area is not leasable space, but is provided as a pedestrian/architectural amenity. Mayor Levy liked the proposal and believed it was an enhancement of the Downtown area. He was uncomfortable as he heard that "arcades" were to be considered enclosed space. He asked if that was being reviewed_ as part of the Downtown Study or whether staff would prefer a separate request for another study. Mr. Freeland said it was not being studied. It was mostly a question of how the Building Code was interpreted in relation to the zoning ordinance which was why he could not provide a clear answer to the earlier question.. The d i ffl c ul ty was that if sta ff died not look after the arcades, there was al ways the chance they might be filled in in the future. He was not suggesting it. was the case with the subject proposal , but perhaps it was better to have them singled out for special treatment. Mayor Levy encouraged the construc tior of .arcades like the one proposed and hoped the developer would not -be penal ized for them. MOTION PASSED unanimously,, Witherspoon absent. ITEM #15, REQUEST OF COUNCILMEMBER BECHTEL_ RE F►4FnRCFMFHT OF 'KING ANn HIM _ ' IONS (VLA 7-9-2f Councilmember Bechtel said her request was the result of a peti- tion sent to her and a photograph (which is on file in the City Cl erk' s office) . They were concerned about what was happening in Palo Alto with the properties and the adequacies of the zoning enforcement, as well as various parking problems where people parked on the roll ed curb areas where they blocked the sidewai k. MOTION: Council•eaber Bechtel moved, sec eded by Fletcher, that staff be directed to report to Council on zoning .enforcement pro- cesses and the adequacies of staffing levels and regulations. Counc ilmember Woolley supported with having staff look at the problem and agreed there was a need. She did not want to mislead staff by incl uding the adequacy of staffing levels because she did not intend to add to staff in order to better enforce the ordi- nances. AMENDMENT: Councilmember ,Woolley moved, seconded by Sutorius, to delete the question of staffing levels. Councilmembers Bechtel and Fletcher had no problem revising the motion. MOTION RESTATED: STAFF BE DIRECTED TO REPORT TO COUNCIL ON ZONING ENFORCEMENT PROCESSES. Vice Mayor Cobb said the language on the petition suggested inter- esting maneuvers with respect to limiting the number of cars people could park around the house. He clarified the suggestion was not to pursue those suggestions. Councilmember Bechtel said she specifically excl uded them because they had to do with ghat a person could do on their own private property. Someone might have a large piece of property and have space to be abl a to put that number of cars. MOTION PASSED unanimously, Witherspoon absent, ADJOURNMENT>.TO CLOSED SESSION Council adjourned to a Closed Session re Personnel at 11:55 p.m. FINAL ADJOURNMENT Final adjournment a t 12:30 a.m. ATTEST: APPROVED: