HomeMy WebLinkAbout1983-11-14 City Council Summary MinutesO
8
ITEM
Oral Communications
Minutes of July 7, 1903
Minutes of July 11, 1983
Minutes of •►'u ly 18, 1983
Minutes of July 25, 1983
CITY
COUNCIL
M INUTES
cIlY
aF
PfitO
ALTO
Regular Meeting
Monday, November 14, 1983
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Item #1 Resolution of Appreciation Congratulating 3 9 3 1
Participants in the Downtown Charette
Consent Ca endar
Referral -
Item #2, Load Management - Voluntary Curtailment
and Demand Limit Program .- Referral to Finance and
Public Works Committee
Action
Item #4, Ordinance re 1983 Speed Limit Update (2nd
Reading)
Item #b, Ordinance re Charitable Solicitations (2nd
Reading)
Item #7, Ordinance re Parking\ Lones for the
Handicapped (2nd Reading)_
Item #8, Architectural Review Board Approval of
Energy Design Elements (2nd Reading).
Item #9, Approval of Application for Grant Funds
under the Roberti-Z'Berg Urban Open -Space and
Recreation Program
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item #1O, Amendment of Jobs Bill/Community 3 9 3 3
Development Block Grant Application to Allocate
Additional Funs
Item, X11, Summary Vacation of Easements Crescent 3 9 3 3
Park I Undergroundi ng
Item 012, "Approval of the application of Mario 3 9 3, 3
Sanchez for Bay Area Industrial Corporation for
Site and Design. Approval of . an Addition to an
Existing Building located at .2197 East Bayshore
Road
Item #13, Amendment -. Number Four
Airport Lease. Agreement
to Palo Alto 3 9 3 3
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11/14/83
ITEM
Item #14, Lease Extension - Palo Alto Sanitation
Company - PASCO Yard Expansion
Item #15, Fuel Efficient Traffic Signal Management
Grant (FETSM)
item #16, Ratification of Park Restoration and
Urban Reforestation Program.Actions
Item #17, Sidewalk Replacement Project - Rejection
of Bids
Item #18, Street Base Failure Repair
Agenda Changes,.Adoitions and Deletions
Item #19, Finance and Public Forks Committee
recommendation re Supervisory Control and Data
Acquisition (SCADA) - Engineering Consultant
Selection to approve the negotiations with Energy
and Control Consultants, Inc. and to negotiate
concurrently with the second ranked firm in the
event an agreement is not reached
Item #2ii, Planning Commission Recommendation re
Parking Lots S & L Mixed Use Project
Item #20-8 (Item #5), Ordinance -Imposing a
Moratorium on Development in the area of the former.
Maxi rna rt Site
Item #2U -A (Item #3), Downtown Business Improvement
t!.,istrict - Referral to Finance and Public Works
Committee
Item #21-. Request of Mayor Bechtel re Recruitment -
of City Auditor
Item #22, Request of Councilmember Cobb re Northern.
California Power Agency in Palo Alto on November
17, 1983
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11/14/83 -
Regular Meeting_
hove►titer 14, 1983
The City Council of the City of Palo Alto met on this day in the
Council Chambers at City Hall, 250 Hamilton Avenue, Palo Alto, at
1:30 p.m.
PRESENT:
Bechtel, Cobb, Eyerly, Fletcher,
Klein, Levy (arrived at 8:00 p.m.),
Renzel, Witherspoon
ABSENT: Fazzino
URAL CUMMUfi1CATIUNS
None
MlNJT;� S OF JULY 7; JULY 11; JULY 18 ANi) JULY 25, 1983
Mayor Bechtel submitted the followir:g correction to the minutes of
July 11, 1913:
Page 3594, paragraph 11, word "Bryant" should read "Bryan."
Counci Sanember Fletcher submitted the following correction to the
minutes of July 11, 1983;
Page 3593, line 5, sentence should read, "She would like to see
passive solar siting, natural drainage, and community gardens us-
ing setbacks as a possibility, in addition to safer bicycle park-
ing on campus, whi-ch presently suffered 400 to 50£3 stolen bicycles
per year."
Councilmember Cobb had the following correction to the minutes of
Juiy 18, 1983:
Page 3bU7, line 5, word "condominiums". should be "condomania."
MOTION: Counciirember Eyerly moved, seconded by Witherspoon,
approval of the minutes of July 7, 1983 as submitted; July 11,
1983 as corrected; July 18, 1983 as correc:.ed; and July 25, 1983
as submitted.
MOTION PASSED unanimously, Fazzino, Levy absent.
1TIrM if1 kESOLUTION OF APPRECIATION CUNGRATULATLNG .PARTI.CIPANTS IN
THE—DWATINN—AHCalEC/URAL CHAkETTE
MOTION: Vice Mayor Witherspoon moved, seconded by Cobb, ap-
proval of the Resolution of Appreciation congratulating partici-
pants in the downtown architectural charette.
RESOLUTION 6193 entitled " "RESOLUTION OF, THE COUNCIL OF
PALO A TO COMtRATULAT1 * PARTICIPANTS IN
PALO ALTO'S DOWNTOWN ARCHITECTURAL C$ARETTE'°
MOTION PASSED unanimously, Fazzino,Levy absent.
Mayor Bechtel commended Virgil Carter and the members of the
Architectural Review Board. She specifically commended Mr. Carter
for the idea and helping to make the Downtown Architectural Char-
ette occur. From September 30, 1983 to October 2, 1.983, the Down-
town architectural charette was _held.in Palo Alts. Professor Paul
Neel and 12 ,gr4duate.architectural. students from California Poly-
technic State U►iiversity at San Luis Obispo donated theirtime and
efforts. Each team of -architectural students worked on challeng-.
ing _assignai.ents it lust:rat�i;ng_. horn downtown Palo Alto..would appear
in the ,.future. The scope of those assignments included developing
certain \: blocks to maximum height, preserving downtown' structures
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of architectural. an historic interest by transferring unused
development rights to other retail and office blocks by upgrading
downtown alleys with innovative yet economic techniques and
applyiny amenity zoning incentives to selected downtown retail and
office --blocks. Each team presented the ideas at a public
presentation at the Palo Alto Cultural Center on October 2, 1983.
Members of the City Council, Planning Commission, Architectural
Review Board, Historic Resources Board, and citizens of Palo Alto
were enthusiastic in their response to the designs and ideas
yen, hated by the downtown architectural charette. The Palo Alto
City Council appreciated the achievements and hard work of
Professor Neel and the students from CalPoly.
CUNS�.LNTrw s(.ALAN AR
���.ru
Mayor Bechtel removed Item #3, Referral to Finance and Public
Works (F&Pw) Committee cif the Downtown Business Improvement Dis-
trict from the Consent Calendar at -the request of members of the
public.
Vice Mayor Witherspoon, Councilmembers Eyerly and Cobb asked to be
recorded as voting "no," on Item #5, Ordinance Imposing a Mora-
tori�-m on Ueveloprnent in the Area of the Former Maximart Site.
Mayor Bechtel removed Item #5, Ordinance Irnposing a Moratorium on
Development in . the Area of the Former Maxima.t Site (2nd reading).
MOTION: Counci lraes+ber Cobb moved, seconded by Witherspoon, ap-
proval of the Consent Calendar as amended.
Referral
ITEM #2 LOAO MANAGEMENT - VOLUNTARY
P15U RAM I: ERR L G FIPN 1r NIl 1
O:
CURTAILMENT AND DEMAND LIMIT
Action
ITEM #4, ORDINANCE RE 1983 SPEED LIMIT UPDATE (2nd Reading)
ORDINANCE 3483 entitled *ORDINANCE OF THE COUNCIL OF
THE CITY OF PALO ALTO AMENDING THE PALO ALTO MUNICIPAL
CODE. TO ESTABLISH SPECIAL SPEED ZONES" .(1st Reading
1U/17a/83;,' PASSED 9.40
)
ITEM #a, ORDINANCE RE CHARITABLE SOLICITATIONS (2nd Reading)
UMDINA4CE 3484 entitled "ORDINANCE OF THE COUNCIL OF
1717"7/7-17-7110 ALTO AMENDING CHAPTER 4.30 (SOLICITING
FUNDS) OF TAE PALO ALTO MUNICIPAL CODE" (1st Reading
1U/17/83 PASSED 9-0)
ITEM #7, ORDINANCE RE PARKING ZONES FUR THE HANDICAPPED (2nd
Reading)
ORDINANCE 3485 - 'entitled *ORDINANCE, OF .THE COUNCIL OF
TiirrririrrTALO ALTO AMENDING SECTION 1040.010 AND
10.40.020'0F, THE PALO ALTO,- !MUNICIPAL CODE'RELATING TO
THE ESTABLISKNENT OF ZONES . FOR AN0 MARKING CURBS
DESIGNATING HANDICAPPED PARKING". (=1st Reading 10/24/83,
PASSED 8-0, Eyerly absent)
ITEM id, ARCHITECTURAL REVIEW BO : RD APPROVAL OF. ENERGY DESIGN
EL€M NTS (2nd Rea t ny
ORDINANCE :348i entitled *ORDINANCE OF THE COUNCIL OF
Tarr LU._ ALTO. MEWING SECTION 16.40.120 OF THE
PALO , ALTO MUNICIPAL, "CODE: 'RELATING TO. ARCHITECTURAL
REVIEW BOARD APPROVAL"UF EMERY EFFICIENCY AND RENEWABLE
ENERGY DESIGN ELEMENTS"; (1st Reeding 10/24/83, PASSED
8-0s. Eyerly absent)
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_ITEM #.9 APPROVAL '.{F APPLICATION FOR GRANT FUNDS UNDER THE
R1) ER T I -Z T r3ERG UP:b r -.OPEN-SPACE AND RECREA1 I ON PROGRAM
,CMR:574:3}
Staff recommends that Council enact the resolution approving ap-
plication for grant funds under the Roberti-Z'Berg Urban Open -
Space 'and Recreation Program.
RESOLUTION 6194 entltf.J "RESOLUTION OF THE COUNCIL OF
w^-1)ALO ALTO APPROVING THE APPLICATION FOR
GRANT FUNDS UNDER THE RUBEItTI-Z`BERG URBAN OPEN -SPACE
AND RECREATION PROCIRAM FOR ` STERN COMMUNITY CENTER
RENOVATION PROJECT"
ITEM #1U AMENDMENT OF JOBS %ALL/COMMUNITY DEVELOPMENT BLOCK GRANT
1 YTTC N U LT O Cif AD -TM C4 L l MIt :57'3:3)
Staff recommends that the City Council 'authorize staff to submit
an amended Jobs Bill application n to-.:-e0D which reflects the addi-
tional $10,6523 allocated to the Housing Improvement Program.
ITEM #11, SUMMARY VACATION OF EASEMENTS - CRESCENT PARK I
L ITOTIuTfi iNU 57 52g: 31
Staff recommends that the Council adopt the Resolution of the City.
Council Ordering Vacation of. Public Utility Easements in the area
of the Crescent Park I underyrounding.
RESOLUTION 6206 entitled "RESOLUTION OF THE COUNCIL OF
LO ALTO ORDERING THE SUMMARY VACATION OF
EASEMENTS FOR PUBLIC UTILITIES RENDERED SURPLUS AS A
RESULT OF THE CRESCENT PARK I UTILITY UNDERGROUNDING
PROJECT"
ITEM 112, APPROVAL OF THE APPLICATION OF MARIO SANCHEZ FOR BAY
ARt kNl7USTRIAL CORPORATION FOR SITE AND DESIGN APPROVAL OF AN
A�€11TION TO AN EXISTING BUI Dlli-G L
on 1.)
Planning Commission and the Architectural Review Board unanimously
recommend approval, with revisions to the plans, of the applica-
tion of Mario Sanchez for Bay Area Industrial Corporation for Site
and Design approval of an 4,573 square toot addi ti on to an exist-
ing + 16,263 square foot building located at 2197 East Bayshore
Road. The revisions have been incorporated into the plans for the
City Council, and consist of:
(a)
(b)
(c)
lowering ,of the building parapet;,
the additi-or: of three planting islands in the north parking
lot; and
the installation of a planting screen for the front patio.
ITEM #131.A21.12122UL NUMBER FOUR TU PALO ALTO AIRPORT LEASE
T W I:EASE #2 .b CMR:S - ...'
S :aff recommends that the Mayor be authorized to sign Amendment
Nu. Four to Lease Agreement #2276 -; Palo Alto Airport providing
for the necessary billing changes and credits.
AMENDMENT NUMBER FOUR TO LEASE AGREEMENT
PALO ALTO AIRPORT (LEASE AGREEMENT 92276)
Santa ' Clara County
ITEM #14 LEASE EXTENSION - PALO ALTO SANITATION COMPANY - PASCO
-Staff : reco: mends that the CJunci l authorize the Mayor to :execute
the Lease with PASCU upon notice -from the ReaEl Property
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AdiiiinistraLor that work on the expansion nas been completed and
PASCO is ready to occupy and use the expansion area.
LEASE
Palo Alto Sanitation Company
ITEM #15, (UEL EFFICIENT TRAFFIC SIGNAL MANAGEMENT GRANT (FETSMj
CMK : 576 : 3 j — —
Staff recommends that Council approve the resolution authorizing
the submittal of an cfficial application to the California Energy
Commission for an FETSM Program grant.
RESOLUTION 6195 entitled "RESOLUTION OF THE COUNCIL OF
LO ALTO AUTHORIZING THAT A GRANT APPLICA-
TION FOR A FUEL EFFICIENT TRAFFIC SIGNAL PROGRAM BE SUB-
MITTED TO THE CALIFORNIA ENERGY COMMISSION"
ITEM #1b, RATIFICATION OF PARK RESTORATION AND URBAN REFORESTATION
V113tRAM ACTIONS iCMR : 71:3 )
Staff recoinriendF that Council authorize the Mayor to execute the
two short form contracts to ratify the previous actions of staff
and enable the City to pay the contractors engaged to perform the
State grant work, which will make the City eligible to receive
payment from •the State Urban Forestry Department in the amount of
$34,657 for the removal, planting, and purchase of trees.
ITEM #17, SIDEWALK REPLACEMENT PROJECT - REJECTION OF BIOS
Staff recommends that Council authorize the rejection of the bid
received for the Sidewalk replacement program on November 2, 1983.
(he project will be readvertised at a later time,
ITEM #1i8, STREET BASE FAILURE REPAIR (CMR:572:3)
Staff recommends that Council:
1. Authorize the Mayor to execute a -contract with O'Grady Paving
Company in the amount of $70,104.
Z. Authorize staff to execute change Orders up to $10,000.
AWARD OF CONTRACT
O'Grady Pao ing
Company
MOTION PASSED unanimously, Fazzino and Levy absent.
AuENUA CHANGES AUDITIONS AND DELETIONS
City Manager Bill Laner said Item #3, Downtown Business Improve-
ment District would become Item 20-A, and Item #5, Moratorium
Ordinance, would become Item 20--B.
TEM #19' FINANCE AND PUBLIC WORKS COMMITTEE RECOMMENDATION RE
r
CONS -IMAM SELEC IO TU ;A'1a"1it)ilE HE 1VEGUT A I}iiS ENERGY 00
CONTROL 'tU lSULTAI TS`11 , AND TO NEGOTIA1 t NCURRENTLY WITH 1Hr
1: ounci lmember . Klein for the Fi narite and Pobl i c Works Committee-
said the Committee- recommended LeoteCution of the Cont-Oct with
Energy and Control Consultants, Inc. (ECC) for Consult#ng.services
for procurement of a SCA(IA syst-€m.
MOTION: Counci lmewber Klein for the Fina ice and Public Works-
Coieitttee. la4ved:-approval of the coitract .with ,Iaetly .and Control
1
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MOTION CONTINUED
Consultants, Inc. and to negotiate concurrently with the second
ranked firm in the event an agreement is not reached.
AWARD OF CONSULTANT CONTRACT
Energy and Control Consultants, Inc.
MOTION PASSED unanimously, Fazzino and Levy absent.
ITEM 020, PLANNING COMMISSION RECOMMENDATION RE PARKING LOTS S & L
711LEDF.OSE an .
Councilmember Eyerly asked that the record show his nonparticipa-
tion in the item due to a conflict of interest. He was a property
owner in the Downtown Assessment District, and the City Attorney
concurred there might be an impact on the payment for such a proj-
ect.
Real Property Administrator Jean Diaz said data were based on the
most restrictive definition of mobility -impaired and a number of
seniors: and low income persons in the area were factored in. P.J,
.Donnelly Co., determined a 10,000 square foot facility to be ade-
quate for a limited full -service market, allowing for sufficient
meat, produce, and grocery sections, with fairly restricted sec-
tions for more profitable non-food items, which made it a dispro-
portionate income -producer for a grocery store operation. The
size would appeal to a small independent operator or a family
operation, not a larger or chain operation. Prices would not be
as competitive as chain stores nor as high as convenience stores,
and the rent expectation was approximately $3,000 to $3,600/month,
or 30 to 36 cents a square foot per month, compared to 54 to 63
cents for the 19,000 square foot grocery store. Attached to the
Donnelly report were specific analyses, and Alternative IV sub-
stituted a 10,000 square foot grocery store with 2,400 square feet
of retail, with the remainder used for parking and additional buf-
fer areas. .Page O of the supplemental memo summarized the analy-
sis, and showed the unadjusted total net income after 25 years to
be $986,412. Principal and interest balances (assuming deficits
to be financed outside the project) after 25 years would-be $3.5
mil'ion. Compared with Alternative IT of the feasibility. study,
for a 19,000 square foot grocery store, the figures were $3.3 and
zero respectively, all the earlier deficits having been paid off,
including the interest factor. Alternative V addressed -Council-
member Renzel's suggestion: City purchase of a facility --should
one be found --with an improved area of approximately 10,000 sqUar e
feet should be capable of serving as- a grocery store. Page 10 of
the supplemental memo gave a 25 year financial summary of that
option, and showed a direct los-s or 'subsidy from the City in the
amount of $740,600, and including the _cost of parking, would be
over $2.9 million, it assumed market rent, with no external
forces on kinds or prices of goods supplied. An additional rent
subsidy to limit consumer prices mould raise the question of price
-control . The design :team would be made aware of the design tone
terns stated in the report, public and Planning Commission meet-
ings and . the Council workshop. Council was requested to focus` on
larger issues° such as City involvement and the possible bulk and
mass of the project,
Vice Mayor Witherspoon corapltmentedt Mrs, Diaz on an excellent
report that offered -many possibil ties. She wars glad -Council.-
member Renzel's suggestion was addressed, and asked whether alter-
native ownership for the store was explored where 'a- private party
participated in_the subsidy by using the tax breaks not available
to the City s, a tax-exempt organization„.' -Although complicated,
she believed_ it might change the bottom -1 t.ne figures.
Mr. Diaz said the analysis assured a long-term lease arrangrement
and _no condoriniumization in order to Include some of —the -
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As Corrected
2/06/84
benefits, Exploration of the best way to package would continue
until financing began, but tax-exempt financing parameters made it
unlikely. Although the question was still open, the bottom -line
figures should not change significantly.
i:ouncilmember Lev arrived at 8:0Q .m.
Vice Mayor Witherspoon said although a bond financing structure
would not work, if handled separately for a property not pur-
chased with tax-exempt bonds, it could be possible. It might be
another way to cope with the dollars and cents issue.
Councilmember Cobb said if the initial recommendation for a sub-
stantially sized market were pursued, other store owners might
take issue with the City for going into competition and potential-
ly stealing customers. He asked the City Attorney what legal
risks, liabilities or exposure the City faced.
City Attorney Diane Lee said the question was whether the enter-
prise was carried out in a competitive manner, and she did.1/not
believe it was. Although nothing prevented the City from being
presented with a lawsuit for being competitive, it was not a legi-
timate concern due to the structure of the project.
Councilmember. Cobb referred to the map on page 13 of the bound
report, where two secondary grocery store trading areas were iden-
tified. He understood the health_. of the store depended upon draw-
ing from trading areas close to other grocery stores, specifically
the Mid -town, Edgewood and Town A Country markets. He asked at'out
the economic success of the market since grocery stores operated
on a narrow percentage margin. One secondary trading area was
south of Embar°cadero, and one was east of Middlefield. Those res-
idents might find it easier to go tth local stores rather than
fight the downtown traffic.
Mr. Jim Connelly, P.J. i)o.:nelly Company, said after 25 year. of
making surveys, the trading area of a supermarket extended about
one mile. - The parameters in the geographical areas showed which
residents would be patrons, and the east side of Middlefield would
furnish prime customers. The 14,000 square foot- market -would draw
from the area outlined, and the extent of the draw was based on
formulas cornpped for over 25 years.
Counciimernber Cobb asked, as a resident who appreciated the .traf-
fic problems, what would. happen to the economics of the market if
the situation were misread.
Mr. Donnelly said it would be an extraordinary case, and with the
market now beginning to fulfill its potential, the effect would be
profound.
Counci lmer,:ber Cobb asked what impact a 10,0'.3 square foot market
would have on reducing the size of the proposed structure compared
to the 19,000 square foot market.
Alr Diaz said it would increase .the needfor other income- produc-
ing uses such as office or retail space. Page 8 of the supple-
mental information showed the ,economics of a 10,000 square foot
grocery store as .being far worse than the feasibility study showed
on pose 7,. and indicated the need for a heavier subsidy of more
direct cashor more square footage of space to subsidize the gro-
cery store rent.
Councilrnember Cobb said the size of the parkl:g structure could
then not be reduced, if anything,- more offices would be neces-
sary.
Mr. Diaz said that was correct.
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Councilinenibar Cobb said census data indicated that less than 13000
households were without automobiles in the census tract of
Middlefield, Embarcadero, Alma and San Francisquito Creek. He
asked how many people would be served from subtracting households
in Channing House and Lytton Gardens where meals were served.
Mr. Diaz said the November 10 staff report gave the demographic
target population, and the most restrictive definition of
mobility -impaired factoring in the seniors and low-income families
in the area, showed 200 to 575 people. Using a broader definition
of need and target population, not including seniors an income,
the Transportation Department estimated 1,200 or 1,300 residents.
Councilmember Cobb asked if comparable data was available about
households with automobiles.
Director of Transportation Ted Noguchi said their data indicated
there were approximately 681 households without automobiles.
Councilmember Cobb said that corresponded with his figures. He
asked if consideration was given to -returning to s=taff's basic
assumptions to see what could be done on the smallest scale toe
meet the needs of seniors in the downtown - area with a direct sub-
sidy rather than a subsidy through land, and on a scale consistent
with the target population. That would involve different assump-
tions about subsidies, kinds of ownership, models, possible opera-
tion by volunteers and/or retired -people from the Senior. Center,
all of which could change the overhead picture and require a sub-
sidy that might cost the City less in the long term,
Mr. Diaz said the •Council directive was to consider the mixed use
concept involving the parking- structure, offices and grocery
store. Staff was limited in that assignment and did not look into
anything else.
Mayor Bechtel asked Mr. Sutorius about the ?lanning Commission
recommendations, and congratulated him and Gail Woolley on their
election to the City Council.
Planning Commissioner Jack Sutorius said the potential of an
American Institute of Architects' (AIA) competition to consider
design possibilities was discussed by the Commission but not fully
explored.
Councilmember Klein referred to page 12 of the staff report which
indicated that approximately 40 percent of annual sales would be
drawn from the secondary grocery store trading area --Crescent Park
and Professorville, He asked how that would be divided between
the two areas.
Mr. Donnelly said the area east of Middlefield would contribute
more because the other area was sufficiently serviced by Town &
Country.
Councilmember Klein sail the downtown 19,000 square foot store was
expected to generate $7 or $8 million in sales annually.
Mr. Donnelly said information was obtained when making a _,:later
study., and indicated the figures shown in the April report were
understated and would require further examination.
Councilmember Klein asked if $2 to $3 million annually would come
from the area east of Middlefield --Crescent Park.
Mr, Donnelly said yes.
Councilmember Klein clarified those sales would be drawn from some
existing stores,
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2/06/84
Mr. Donnelly said presently the money was being spent at Safeway.
which was enlarging its store, at Lucky on Lmbarcadero, and to a
lesser extent at Town & Country.
Councilmember Klein asked if sales would be reshuffled.
Mr. Donnelly said the reshuffling would not be major. Stores now
gained the beyond business that the proposed store would capture.
Councilmember Klein asked if Safeway or Lucky miget lose $1 mil-
lion sales per year.
Mr. Donnelly had not calculated the figure, and said all estimates
were subjective, based on experience.
Councilmember Klein asked about the effect on Lucky.
Mr. Donnelly said their 'loss in sales would be negligible.
Councilmember Klein said based on the figures discussed, the loss
was not "negligible."
Me. Donnelly said $2 million spread over three stores was not a
large amount of money for Lucky and Safeway. The Co-op on
Middlefield was a marginal operation based on its size.
Councilmember Klein referred to Mr. Donnelly's letter of June 22,
1983 which indicated that in order for the southern secondary mar-
ket to be a major factor, the street system would have to be
changed.
Mr. Donnelly said that was not the intent of the letter, and the
access from the southern are,: had to be improved in order to ob-
tain the sales estimates.
Councilmember Klein clarified that staff believed it was inappro-
priate to make changed along those lines.
.Mr. Donnelly said, as a professional merchandiser, the City needed
another direct access into the area east of Middlefield, but only
a modification --not a freeway. It could be done by restrictive
parking along the sides of the street or some measures beyond the
scope of his letter.
Councilmember Klein asked for his opinion if no changes were made
to the streets.
Mr. Donnelly said it would invalidate or reduce the sales poten-
tial of the market.
Mr. Diaz pointed out on pages 15 through 17, vehicular access,
around and to the grocery store, was discussed. Factors to im-
prove the traffic circulation were suggested which staff believed
would offset Mr. Donnelly's concerns. There would not be a signi-
ficant effect on the gross income.
Councilmember Levy asked about the approximate volume of the
19,000 square foot store.
Mr. Donnelly said sales estimates took time to calculate, and he
did not want to. guess.
Coonci lmember Levy asked .if the store mould be economic.
hr. Donnelly believed it would be.
Councilmember Levy asked about the level of volume netessary to-
make the store feasible.
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Mr. Uonnelly said it would have a volume of about $5 million,
Councilmember Levy clarified the Co-op was marginally profitable.
Mr. Donnelly said the Co-op had serious size limitations, which
cuuld be verified by its president and general manager. It was at
a disadvantage when competing with larger stores because of size
and parking.
Councilmember Levy asked if the City might put the Co-op out of
business-.
Mr. Uonnelly did not believe that would happen. The Co-op's
clientele were members and patronized the store for reasons other
than convenience and proximity.
Councilmember Levy said the primary trading area was described as
being between Middlefield and Alma and Embarcadero and San
Francisquito Creek, and he asked how many grocery stores the area
should have.
Mr. Uonnelly said it was geographically a small trading -area with
a high density --62,100 residents. The rule of thumb Was a minimum
of 5,000 people with a maximum of one major competitor for 15,000
square feet, and by that definition, the area was understored.
Councilmember Levy said if there should be ore store for every
5,000 people, Town & Country was on the border of the area and
within ene mile of the whole area.
Mr. Uonnelly said Town & Country was a small store hy modern
standards. It was recently expanded, and was a well run store
with a credible business.
Councilmember Levy asked about competition. The store would pro-
vide cornpetit'on to other supermarkets and would partially compete
with stores already in the downtown area such as wa l green' s , Wool-
worth's, the /-11 store, the drug store, and some of the cigar and
magazine stores. He asked if the effect of that competition was
considered,
Mr. Uonnell,, said the effect would be minimal. Health and beauty
items were carried. by pia l green's , etc., and comparing linear
feet
of shelf space, a 19,0013 square foot store scaled down to a sell—
ing area of 15,00U square feet would not' compete with Walgreen's
or Woolworth's. The amount of business that would be taken away.
would be negligible. The store was contemplated as a beneficial.
effect on Walyreen's and Woolworth's by bringing more customers
z ntn t'e area t.r+; wrier wi se went to Ni ven' S or Safeway. A Safeway
was built at 29th and_ Mission, in San Francisco where previously
the local small stores were economically depressed, but since had
done well.
Counc“member Levy said the ,potential rise in assessments were
presently 12 cents .per square foot and Parking Lot J plus the
Project under diScd;:sion would increase the assessments to 85
centsa He asked about the cost of Parking Lot J alone.
Mr. 'Uiaz said a table summarizing Lots J, S & 1 and the cumulative
effects were given' on page ;'13 of the bbund shady, parking _Lot .l -
alone would add 'approximately 33-34 cents --pee square foot annual-
ly.
Councilmember Levy said the current project . could add another. 40
cents per sgb re foot, and he asked how many parking spaces --not
dedicated to the office space or supermarket --each lot would add
for t:fe gerrei:al public.
3 9 1 9
11/14/83
Mr. Diaz said the estimated net increase in public parking spaces
for Lot J was 261. For alternative 2 (13,000 square feet of of-
fice epace and the 19,0011 square foot grocery store), the esti-
mated net gain in parking was approximately 264 spaces.
Councilmember Fletcher referred to the comment that Council direc-
tion was to pursue the possibility'of a grocery store in conjunc-
tion with the parking structure and office space, and asked for
details.
Mr. Diaz said on September 29, 1983 the concept for such a mixed
use project we.s before the City Council, and involved grocery and
some retail space on the ground floor, some offices, and a parking
structure. On September 30, 1983, the Council directed staff to
review the financial and other data upon which the proposal was
based, the project feasibility and work program and implementation
sc►redule, if the work appeared feasible.
Geoff Ball, 315 Bryant, said he lived half a block from the pro-
posed store. and believed a full-size, cost -competitive store
would help. There was a need for office and parking space in
order for the assessment district to support the store. He was
concerned about traffic. the design should mask the bulk of the
parking lot. 0eever, Colorado, had hanging gardens over a parking
lot, which was ,,ttractive, sand he asked that the scenic value of
the newly restored, Florence Avenue Victorian house be retained.
Lucy Carnick, 6tib Lytton Gardens, said the Lytton Garden residents
were saddened that Norm's Starlite market would soon go out of
business. It was convenient, within walking distance, and the
only market in the vicinity where fresh meat and prndfe could be
purchased. Not all residents were able to attend the meeting, but
she presented a petition signed by 194 residents, showing the num-
ber of concerned people at Lytton Gardens. Many more senior citi-
zens in the area were concerned about losing a convenient market.
Councilrnember Levy asked Mrs. Carnick if she found Norm's market
to be of satisfactory size.
Mrs. Carnick said although larger stores had more items, Norm's
had many items they needed. The only other grocery store close
was the 7-11, which carried fro produce or meats.
Counci l wember Cobb said the prices at Norm's were not so com-
petitive as in a large store, but less than those of a 7-11 store;
He asked if Norm's pricing structure was troublesome.
Mrs. Carnick said the prices were higher than at Safeway, but the
question was more of convenience than price, because it was diffi-
cult -to get to the Safeway. -
Sue Cottle, 971 Mears Court, Stanford, Chaired the Downtown Market.
Community Committee (DMCC). She presented a 22 -page petition
which ch urged the Council -to proceed to the design stage for Lots 5
a aid ,L because' it +yes believed a market with a full line of grocery
and household, necessities at _competitive prices was. needed by
seniors, residents and workers in the . downtownarea. Such a study
could result, in' important issues relating to traffic, impact on
surrounding bi.i ldings and the downtown environment. The -signa-
tures were gathered between November 8 and 14, 1983 --many people
in the audience preferred .not to -speak but supported a downtown.
grocery store, and she asked+, those people to stand. The DMCC en-
dorsed the staff report, and' was formed when the City's Comprehen-
sive Plan referred to the need for a downtown food market. DMCC
was enthusiastic about the proposal and participated in studies
leading -to the recommendation. DMCC was proud to be part of the
project team, and she expressed appreciation to Jean Diaz and
other staff members.
3 9 4-0
`1-1/14/83
L. ti. Spivack, 488 university, said seniors attempted to acquire,
provisions.at decent prices, they had fixed incomes and were faced
with the rising cost of living. The majority had no aoequate
means of transportation, nor the physical stamina to use public
transportation. He did not blame the system, and it was a credit
to the City that remedial means were being considered. The prob-
lem of rent control had to be faced, no problems were isolated,
and half way solutions were undesirable. His experience in Canada
of retail patterns showed the solution to congested parking, which
he offered to discuss with staff.
Jeanne Zoken, 488 University Avenue, lived in Palo Alto for 18
years, and she represented men .and women in the area. She and
many others were unhappy when they learned that Norm's was to be
closed. She did not drive, and it was dangerous for her to cross
the streets. She asked for the Council's help in developing a
grocery store in tee area.
Cheryl Lathrop, 321 Cowper, said it was a problem not having a
market in downtown Palo Alto where -- she lived and worked, and
would miss Norm's. She believed the loss of Norm's would create a
biyeer problem than it soiyed. Subsidization of a 19,000 square
foot grocery store at .$50,000 annually, even if paid for by put-
ting more offices in downtown --which was against what most people
on the Council and downtown wanted --prevented the free enterprise
system from working. If private enterprise wanted as large grocery
store, they should try to get it. The Co-op made feasibility
stud'es, and might be able give the City an idea. Norm's super-
market would not close until March 1905 --Norm's had 1,100
customers per day, and did $2 mi l l i on per Gear, with an average
sale of $5. He was a convenience store, and he might offer to run
the large grocery store or provide a small -grocery store to sell
fresh neat and poultry,. deli, cneeses, wines, etc. The _proposed
parking lot and grocery store was not in Keeping with the Compre-
pensive Piano -Policy 1.1 spoke of minimizing the need for long-term
parking facilities and encouraging short-term parking. Lot J
would add 10 short-term spaces and 330 long-term spaces in the
,riddle of downtown. (119 spaces were dedicated to the grocery
store). The only ground level parking wo3fld be for the grocery
store --others would have to go either below or above. The Compre-
hensi ve Plan aimed to have workers use mass transit, and a large
parking garage would not be in keeping, The Urban Design Section
aimed to maintain the present scale of the City and ban overwhelm-
ing structures, and the parking structure would be massive. The
Voorhees study said it was appropriate because of buildings
erected on the black,, but only Crocker Sark and the Victorian
structure, both 50 feet high, had been built. A 50 foot high
seven -level parking structure with over 200,000 square feet was
massive. The Plan said large parking lots and structures could be
a pervasive threat, and called for• a reduction in employment
levels --parking and offices did not do that.
Or. Kurt Muel ter -Vol imer, 174 Seneca€._ Street, said as a secondary
access .resident, it was. -a nuisance to go to the other side of
midd1efield to shop, He ;anted to see -a ,,de;rerst, high -quality,
well_-manacged market in Palo Al to, as was the case in similar comma
raunities in Europe. He had lived inHamburg, which was comparable
in size to Pal() Alto, and there was- a non"subsidized market. They
had a two-tier approach to Marketing - provide the basic groceries
at discount prices, and . a butcher 's• shop comparable to J. J. '&
I's. The shelving was utilized better than in the U.S. and were
continually refilled! and .there was a good bakery. The whole mar-
ket ---was smaller., but had a- la ryer turricver.
Ely Orandes., 5b4 Madison Way, favored having a market, but was
disturbed --about the C.ty's entering into a monopoly-licensad con-
tract with a single operator and subsidizing him. It was a long -
ter€ -subscription to d can of worms._ The City- Council and staff
would soon be held responsible for the prices, service, quality. of
produce, etc.' at the supermarket, and he suggested an
3 9 4 1
11/14/83
AMerican a i terniative—a municipal market. In many towns a city -
owned structure leased space to individual operators. In a 19,000
square foot structure, space could be leased to a dozen operators.
The City could select those applicants to comprise a market --that
would not offer a subsidy to anybody, and would encourage family
operators to enter into business without lots of hired help. It
was a system that was proven for many years and still existed in
the United States.
Tony Eiadyer,_ 381 Hawthorne Street, said he lived in Palo Alto very
close to Norm's Starlite for seven years, and was an enthusiastic
cyclist. He did not like to use his car, but used it for all
other markets. Without Norm's, traffic would be increased by
people having to use their cars. A store was obviously necessary,
and retail stores versus office space was an important considera-
tion. When the hardware store left the area, he was inconve-
nienced. Subsidization of retail stores rather than offices
should be considered-- there was too much office space already
making no direct contribution . to community residents, whereas
retail stores were a convenience. He was concerned about the size
and profitability of _the store, and whether it needed subsidiza-
tion.
Hal Hodson, 535 Everett- Street, represented the Senior Coordina-
tiny Council (SCC), and was its Executive Director. The SCC, many
residents of all ayes in downtown Palo Alto, merchants and proper-
ty owners were aware of the need for a permanent, full- service
market near University Avenue. Almost every major shopping area
required such a service for its viability --Stanford Shopping Cen-
ter had one, Men 1 o Park had three. The SCC took the lead in as-
sembling the DMCC, and saluted the effort to provide a market and
parking. Present downtown land costs made economic help neces-
sary. The S & to project, by using City -owned parking land, and a
group of offices and/or shops for additional income to help sup-
port a market, was a reasonable approach. Acceptability depended
on proper design. He had been on the project team since its in-
ception, and it had not proposed a monolithic building. No at-
tempt was made at professional design concepts, only financial and
lay -out studies were considered. The SCC hoped the Council would
approve the design alternatives. The project could help all who
lived or worked downtown, but would be of critical importance to
the many seniors who did not drive and could not buy food within
walkiny distances.
Diarmuld McGuire, _3dl Waverly Street, said the project was an
expression of vitality of the unique and diverse Palo Alto commu-
nity. The store was neede•3, but the real question was -th4 future
of the community. Present zoning made office space and entertain-
ment- economic, anti downtown was becoming a suburban, Embarcadero
complex. Although it was happening rapidiy, the community was
being strengthened by young families moving in. Seniors, one per-
son households, young families, etc.. wanted a- grocery store, and
the Council should consider the dynamics it would create. Without
a store, the community was less viable, the vitality would go,
more offices and entertainment space would go up, and residents
would leave. The question should be reconsidered when zoning and
Comprehensive Plans were reviewed.
Pam Marsh, 37 Waverley, was enthusiastic about Council's efforts
to create a downtown market. Free enterprise could not be relied
upon --it provided only large office buildings that did not help
residents. The need for a market for seniors was well -documented.
The 1-11 did not meet seniors' needs, and some 4,000 downtown
residents were under 55 and very diversified. However, all ate
and bought food, and would support a local market. Many chose to.
live ,;Downtown in, order to walk to a vital retail area. A market
was vital to a retail area, and without one, the basic retail
shops would leave. Trees and sidewalks were being replaced, but
the money could be better spent.
3'9 4 2
:11/14/83
Naphtali Knox, 1025 Forest Avenue, lived in the understored area
on the other side of Middlefield. As an owner and renovator of
the Victorian on 420 Florence, he was opposed to the immense size
and traffic for the parking structure and grocery store. The
needs of seniors and persons without cars should not be met with
only economically feasible answers. A cautious, knowing sense of
the community and respect for what was small and comfortable was
necessary. He showed slides indicating that, markets were major
traffic generators and truck loading was a cause for concern.
The parking structure would be the same height as the gable of the
Victorian. He agreed to a 10,000 square foot store, and said
possible operators should be located, but it was too early to
begin designs.
David Florian, 530 Emerson Street, had a business downtown. He
represented the Joint Sponsor Group, who were property owners,
merchants, and the general public charged with monitoring the
vitality of the downtown and who supported the concept of a mar-
ket, but did not endorse any particular plan or location. The
group was concerned by the continual erosion of neighbox•hood- ser-
ving uses, and believed a supermarket would benefit the commu-
nity.
Jean Ramacciotti, 959 Waverley Street said there was no question
of the need for a downtown market, but asked if a 19,000 square
foot market was necessary. The owners of John's market were in-
terested in the market, but thought it need not be so large.
Their Town & Country market was 12,000 square feet, Out did the
same amount of business at their Portola Valley store, one-third
in size. She asked the Council to first make sure that such a
huge store was necessary.
Chuck Kinney, 4242 Manuella Court agreed the market was necessary.
It was unique and required unique answers. Some of the money used
for design studies should be used for a first step in design de-
velopment to finalize plans regarding size and appearance.
COUNCIL RECESSED FROM 9:24 f .m. TO 9:43 p.m.
Councilmember Cobb said that Norm of Norm's Stariite Supermarket
was in the audience, and he asked what he considered a suitable
size for the operation, and whether he would be willing to serve
the smaller -scale operation.
Norman Hightower, 248 Lytton, was interested in operating a
smaller store. His present store, 10,000 square feet, was ade-
quate, and a larger store could carry more items. He did a little
over $2 million yearly, had 1,100 customers daily, with the aver-
age sale being about $5. He had a 15,000 square foot store in San
Jose, and did approximately $4 million. It was like a morgue, and
could do' twice as much. A smaller store_ would be adequate and
busier. Some problems had to be worked out. He worked the stock
at night so there were no groceries on the floor during the day.
Councilmembe7 Cobb asked if a smaller stare would meet the senior
citizens' needs.
Mr. Hightower said if he still had a lease he would upgrade the
present store, and stay as long as he had a lease.
Councilmember Levy said Norm's had no dedicated parking, only the
City 2 -hour parking l ►t behind the store.,
Vice :Mayor Witherspoon believed action should be taken that eve-
ning. The first decision was the importance of the learket,
whether the Council wished to subsidize it, and how. Public com-
ments and the excellent staff reports, together with her instinct,
told her. the 19,000 square foot market was too big. Creating
3 9 4 3
11/14/83 --
1
1
1
markets from scratch was for experts, and 19,000 square feet was
bigger than anything else in town. It was too large for the loca-
tion --the block was tight, and access streets were too small for
trucks to ingress and egress. The target population for a subsi-
dized market was 500 to 1,000 people, which did not justify a mar-
ket of that size. The retail stores downtown offered a variety of
edibles also offered in a supermarket. Only fresh meat, fish and
poultry and produce were lacking. That was the area originally
targeted in the Farmer's Market, which did not operate all year
round. The speakers who mentioned the European -type supermarket
and the municipal market with independent operators spoke of the
kind of operation she was interested:in creating because that kind
of subsidy was affordable. The staff experts should be asked how
it could be accomplished --it would need much smaller space and
support systems of parking and truck access. The site should be
in the heart of downtown, and parking areas were the only areas
downtown the City owned, or held title to in the name of the
assessment district. The City could not give parking property to
operators of a merchant's mall of grocery operators, only air
rights. That was as far as she was willing to go to provide a
subsidy --provide the land and create a situation where independent
operators could provide the service. She did not want to go into
an elaborate procedure tc.decide on the operator, es in Cable TV,
nor have to cope with an unhappy public if the operator did not
provide the expected service during a 2.0 year contract.
Councilmember Cobh said there were two separate actions to be tak-
en: One was the fundamental question of whether a subsidized
downtown market should be supported, and if so, the specifics must
be worked out. He and his colleagues were anxious to meet senior
citizens' needs in the downtown, and the Council was asked to ap-
prove a design study for an enormous structure with which no ooe
was happy,
MOTION: Councilmember Cobb Moved, seconued by iiithet'spoon, that
the Council support the concept of a downtown area market to serve
the needs of residents of that area, and in particular the needs
of seniors and mobility impaired people, and is prepared to sup-
port the concept with a subsidy of some kind.
Councilmember Cobb ranted to qualify the word "subsidy"} so it did
not get out of control. He asked for comments to.con strain the
problem within the world of reality.
Councilmember Cobb_ said the second part of the motion gave seeci-
fic instructions to staff, since he believed it was inappropriate
for staff to reconsider the problem until it was sure whether
Council wanted to do something about it.
Mayor Bechtel clarified that Councilmember Cobb did not wish to
define "modest subsidy" at that point.
Councilmember Cobb qualified modest subsidy with "reasonable,"
"feasible," or "economic." It needed to be qualified. The second
part of his motion would continue the item and instruct staff to
re-evaluate alternatives --single: use, air rights, and direct pur-
chase to get away from the complex structure and development given
in the staff report. Staff should evaluate mechanisms for a
smaller scale market to more directly serve seniors and mobility
impaired people, looking at, but not limited to, ownership models,
including management by retired people under the au spites of the
Senior Center or a nonprofit corporation analogous to the Housing
Corporation's, or more direct subsidies to allow the market to
operate on a smaller scale. Staff should also show the relation-
ship between the size of the market. the nature of the subsidies
required, and the kind of ownership/management models that might
11/?4,81
As Corrected
2/06/84
�
obtained a t E,. Finally,
bebe i) show the �'ai,�e-i�r r 5 to �e r�id(ie. , other
mechanisms for getting the needed goods to .seniors and mobility
impaired people such as delivery services, telephone ordering or
van services should be considered. Minneapolis and at least. one
other city used.a= service called "shopping on wheels," and such
alternatives iniyht be creative, providing goods - to seniors and
yiviny them the ultimate convenience at a. lower overall subsidy.
He wanted staff to look at those four areas --the first dealing
with alternativeF, and second with scale.
Councilmember Klein said he wanted some form of market ;n the
downtown area because it would provide a community focus. The
downtown should be a neighborhood, not a business district. Since
everyone needed to buy food, a downtown market would provide a
community focus and a desirable .characteristic. He believed the
proposal was a monster. To get a small food market of perhaps
:k:U,UUU square feet, the Council would build some 200,000 square
feet it would not otherwise consider. It was the reverse of the
adaye, "for the want of a nail, the shoe was lost, the horse was
lost, etc."_ A building was contemplated with more square footage
than all the -projects going in downtown at the present time. He
requested that language be added to the motion to prevent further
work on the mixed use. It was not the way to go, and he wanted to
see the reaction to the parking structure on -Lot al before building
further ones. The Council should not erect, willy-nilly, parking
structures all over town before finding out if they were accept-
able to the public. The Council should not go the route explored,
but try other means outlineii. by Councilmember Cobb. He hoped one
alternative would be fruitful and produce the downtown market the
City needed. He was intrigued by a flyer_ that depicted a small
market, and believed the artist captured the mood --it was about
4,000 square feet, street level, with no parking structures at-
tached. He agreed with the language dealing with the question of
subsidy. The word in that sense could take a variety of meanings,
not necessarily a monetary donation, but could l;e donation of air
rights. He believed staff should return with ideas on the subsidy
since they knew what the City could afford. The budget was
limited, and the City could not afford large subsidies. Those
needs had to be balanced with others, and he would vote on the
question of subsidy when the Council had all the facts and could
see where it was going. He was not committed to the idea of a
food market at any price, but some levels of subsidy might be .ap-
propriate.
Councilmember Levy said his colleagues conveyed many of his
thoughts. He also believed there was a need for a market and gro-
cery store, primarily for seniors and mobility impaired persons,
but a large-scale supermarket was not envisioned by anyone. The
project presented problems --it was massive, aesthetically unsight-
ly, and carrier! 8,0UU square feet of commercial development`.in-
cludiny 19,000 square feet of offices, at a time when public sen-
timent was against more office building, It -occupied a large num--
ber of potential parking spaces for the general public, or an open
area, which were important downtown. Also, the ecology of the
downtown was not satisfactorily addressed. All economic elements
downtown -interfaced witri. each other, acrd he. preferred° to see more
smaller units and diversity,` A large supermarket. would reduce
other outlets providing similar products. The project before the
Council was wrong, and he supported Councilmember Cobb's.suggested
motion to add the focus that it was to serve primarily the Seniors
and tile rn4b.iiity; impaired. II, would iWoolve the modest use of
City resources. The use should be .extremely -modest. There was a
food store downtown at tldriri-'s that-- was financially successful
41 mi l l ion trade per year. Because the `store would lose
its lease in 19H5 did not..mean-all' food stores were unfeasible.
3 9 4 5
11/14/83
The store could be cwii.iuued in another location, and the Council
should encourage the private sector to do what was appropriate.
He supported the motions.
Councilmember Fletcher concurred with her colleagues. The scale
of the proposal would dwarf the Senior Center across the street,
and hide the beautiful work done on the Victorian restoration.
She did not want to see the City sponsor demolition of the Board
of Realtors' building, and hoped that a smaller market would work
out. She would not endorse a larger market if the price was a
bU='foot high structure. It would not be a disaster if downtown
residents had to use the bus. There was an excellent service to
Lucky's from the dh,iwntown--lines 23 and 86 went directly to the
Midtown area. When she grew up, all the people in her area
shopped by bus. it was _during the war, they did not have cars or
grocery stores within three miles. A letter from a elderly lady
in Sunnyvale said she had an arrangement with the manager of a
store --she gave- him a check monthly with a letter and shopping
list. He would load the cart, call her to make sure she was home,
and send the groceries by taxi. She gave the driver $3, and he
carried her groceries into the house. A Palo Alto home service
had failed, such a service would be useful once Norm's went, and
she hoped there wo17ld be a substitute. She wanted to see a
grocery store downtown because it would carry benefits, lout a
19000 square foot supermarket with a parking structure -and of-
fices was inappropriate.
Councilmember Menzel concurred with her colleagues that a store
downtown was desirable, and was wi 1 1 ing to commit some City re-
sources to accomplishing it. The proposal before the Council was
overkill in terms of the massiveness of the structure, and the
City should _not get involved in office space and add to the prob-
lem. The Council should look for a solution that primarily ad-
dressed the needs of the targee population. There was an obliga-
tion to the seniors and mobility impaired to provide a grocery op-
tion nearby, and she supported the motion.
Mayor Bechtel said although she agreed the motion should be aimed
to help the seniors and mobility impaired, all who lived downtown
wanted to see a market. Any Councilmember would have signed the
petition supporting a downtown market, but a -seven-level parking
structure with 19,UUU square feet of office space and over 2UU,GOU
square feet of construction was not what they had in mind --a mar-
ket similar to the one shown on the flyer was, desired,
Councilmember Levy was concerned about the use of the word "sub-
sidy" which generally meant a regular payment of some type. He
felt the phrase "use of City resources" might better convey the
range of concepts the Council had in mind. He as-ked the maker of
the motion to consider that alternative language.
Councilmember Cobb said he believed they floored themselves when
trying to couch motions in terms other than what they were. The
proposals were various loan of subsidy, and the, proposal before
the Council was subsidized through the zo,iing process. There were
cno free lunches --a 1.1 r°equi red some €orm of subsidy, whether a City
resource or a cash payment. The simpler, more -direct language
used, the easier it would be to communicate to the public the dif-
ficuit trade..offs the Council was trying to make.
I4UTLU1 04SSEU unanimously, hazzino absent*. Eyerly "nut pirtici-
pat,inga"
3 9 4 6
11/14/83
MOTION: Councilmember Cobb moved, seconded by Witherspoon# to
continue the item with instructions to staff to deal with and ex-
plore the following concepts, issues and possibilities:
1. Re-evaluate downtown market alternatives, including: single
(market only) use, use of air rights, direct purchase of land,
etc.;
1. Methods whereby a smaller scale market could be developed that
would meet the needs of downtown residents,' and particularly
those who are senior citizens and/or mobility impaired. This
would include, but not be lim ted to:
i
3 9 4 7
11/I4/83
(a)
Other ownership models, including management by retired
people, or through a non-profit corporation analogous to
the Housing Corporation;
(b) Alternative, simpler, more direct subsidies;
3. Relate the s€/e of the market, the nature of the subsidy,
ownership/management model, etc.;
4. Other mechanisms for getting the needed goons to seniors and
mobility impaired people, including:
(a)
(d)
Delivery services, with telephone ordering (perhaps over
cable TV);
Van services;
The °shopping on
Others, as might
wheels° concept, as used in Minneapolis;
emerge from this process.
Counci !member Levy said the phrase, "...was looking- for_ a market
that would meet the needs of downtown residents, especially
seniors and/or mobility impaired" could be confusing, and it Would
be beneficial to have a market that met the needs of downtown
residents, but City resources or subsidies should not be used for
those who were mobile and had a number of shopping options, only
for seniors. and mobility impaired. A market satisfactory- for them
would also meet the needs of many downtown residents. They
started out trying to help the mobility impaired, and ended _up
with a large-scale supermarket because they were told, rightly sr
wrongly, that it was the only economically feasible option, The
Council should go back to basics and focus On
the seniors_ and
mobility impaired., and if it met the needs of other downtown r. s i-
dents, so much the better.
MAKER AND SECOND REWORDED THE MOTION TO READ.. 4...SPECIFICALLY
TARGETED TO THOSE WHO AP SENIOR CITIZENS AND/OR MOBILITY
IMPAIRED. °
Mayor Bechtel asked for staff .comments
Mr. Caner believed the items listed by Counci lmember Cobb were
illustrative and staff might find others that could be successful.
A. number of those -items listed were explored, not only by staff
but also by the Downtown Market Committee and others. Staff might
come back soon and say that a number of the items were checks out
and would not work, and .i t might take a long time to find an
adequate solution.
Counci lmef€goer :Cobb hoped some of the suggestions` would work, and
that staff was given sufficient 'room to find a solution.
idyur Bechtel said an incredible number of hours was already put
into the study by members of the community and' staff. Their work
was appreciated, and the Council did not want to suggest that it
was A waste of time --rather, 'the Council could not support' the
City building an office complex with the size of parking structure
it would require. She concurred with Counc imember Klein 'that
parkiny was desperately needed downtown. She did not know hether
citizens who lido to either move their cars every two hours or park
in residential neiyhborhoodc would use the parking structure being
designed for lot J. She hoped they would, but did not want to
spend $6 to $l# million dollars on a further structure, only to
find that neither worked.' She supported the motion,
MOTION PASSED unanimously, Fazzino absent, Eyerly 'not partici-
pating."
ITEM #20-b OLD ITEM #5 , ORDINANCE IMPOSING A MORATORIUM ON
N H R 0 H ORM.R MA MR 7
MOTION: Councilmember Klein moved, seconded by Renzel, to adopt
the ordinance imposing a moratorium on development in the area of
the former Maximart site.
'ORDINANCE 3487 entitled mORDINANCE OF THE COUNCIL OF THE
CITY OF PALO ALTO IMPOSING A MORATORIUM FOR SIX MONTHS
ON THE PROCESSING OF ALL APPLICATIONS FOR PLANNING
APPROVAL IN THE AREA GENERALLY BOUNDED BY PARK
BOULEVARD, LAMBERT AVENUE AND ASH STREET, INCLUDING AND
SURROUNDING THE FORMER 'MAXIMART SITE" (1st Reading
1.0/17/83, PASSED 5-4, Eyerly, Witherspoon, Fazzino, Cobb
voting 'no")
MOTION PASSED by a vote of 5-2, Cobb, Witherspoon voting '°no,°
Eyerly, razzifiu absent.
Counci lme#nber Eyerly 1ef �e rr�eeting dt p.m.
ITEM #2U -A, (ULU 11 -EM #3 DOWNTOWN BUSINESS IMPROVEMENT DISTRICT
- REFERRAL TO FINANCF..MW PUBLIC WORKS COMMIT EE
- n
Mayer Bechtel asked if any members of the public wished to address
the item before it was referred to the Finance & Public Works
Committee (F&PW Committee).
Councilmember Klein said in the past, there was no discussion by
_,the public on items to be referred since they wanted to avoid dis-
.cussion on the merits. It was difficult to limit discussion to
whether the item should be referred. It was not a public hearing
item, but there would be discussion at the F&PW Committee and
Council level, and discussion twice at Council level was inappro-
priate,
Mayor Bechtel said the public had' the right to say `whether the
downtown business improvement district should be referred to the
F&PW Committee. The tem was due to be heard at the F&PW Commit-
tee meeting on November 15, 1983 at 7:30 p.m.
Everett Steichen, 261 Hamilton Avenue, said the staff report and
agenda led him to believe the Council was taking up the question
of establishiny a new downtown improvement area. If that was not
the case, he would hold his comments.
Mayor Bechtel `:.said the Mater was being referred to the F&PW Com-
mittee where his -comments would be welcome.
MOTION: Vice Mayor Witherspoon moved, seconded by Fletcher, to
refer the. Dowdtown business Improvelbent.District to the Finance
and Public Works Committee.
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11/14/83
MOTION PASSED unanimously, Eyerly and 1=azzi.no absent.
ITEM #21, RE U€EST OF 7ATui BECHTEL RE RECRUITMENT OF CITY AUDITOR
1
Mayor Bechtel said she envisioned a process similar to the one
when the City Attorney was hired where the Council received names
of several firms that helped in the hire of personnel. Those
firms were interviewed and criterion considered important by the
Council was set. Since the position was restructured, the process
was necessary and should be done in public at a work session with
the search firms to be interviewed.
MOTION: Mayor Bechtel moved, seconded by Fletcher, that the
City Manager's office be directed to get proposals from two or
more search firms for Council to choose among re Auditor posi-
tion.
.Vice Mayor Witherspoon said Mr. Zaner wrote-- a--ii:;ern setting out
steps he planned to take in onjur€ction with the appointment, and
she asked whether the motion was the same.
Mayor Bechtel said yes. They discussed the matter previously, and
although neither knew the other had put a memo in the packet, Mr.
Zaner spoke of the process to develop a firm job description. She
believed Council would prepare the job description or the cri-
teria for the person, and would work with staff in its descrip-
tion. Since it was a Council -appointed office, the Council would
describe the position.
Vice Mayor Witherspoon said she believed Council should consult
with Clay Brown, the Controller, who had a good grasp of the situ-
ation. The Council should prepare a job description with the
_desired functions. If Mr. Zaner believed there was a need to cre-
ate a finance office, it could be done after a decision was made
on the experience and auditing functions the Council required.,
The finance office should not be organized before it was ascer-
tained -what the auditor would do:
Mr. Zaner said the a'Aditor function would be totally divorced once
the Charter amendment was taut into -effect from the finance opera-
tion. Under the provisions of the new Charter, the finance opera-
tions would fall under the City Manager's jurisdiction, and reor-
ganization was done in accordance with those functions. He would
have nothing to do with the audit function, and his memo suggested
that in order for the Council to select a firm to recruit, they
needed a stareiny place. His office could provide a starting
place that the Council could modify.
Mayor Bechtel sold that was acceptable to her. The Council had
the ultimate power, and would not send out proposals to search
firms.
Councilmember Klein say -d the Council was net writing on a clean
slate with respect tenthe auditor's eosition.e A great deal , was
written when the report was received from the special citizen's
c.o€mittee, and the proposed 'language had to be considered. _ It ex-
plained what the auditor i3:nd the Manager's -office were to do, and
he believed it was -appropriate to put a proposal forwardann The
Counci-i's embellishmeets would be minor since much -of the work was
done already.
Vice Mayor Witherspoon clarified the Council -=would decide on the
_e;xperience •ievel, salary and background required -for the indivi-
dual to be hired. The Charter nlaid down the functions, but the-
Counci l had many parameters.. -She preferred to keep the matter in-.
the Council rather than take .suggestions from the City Manager's
office..
`
Councilmember Klein agreed, but believed,a document from which to
work waultl be helpful, and he was open to suggestions from the
City Manager,
3 9 4 9
. 11/14/83
Ccunc i lrrrembeu Levy said i t might -be helpful to be assisted by
representatives of the .'d Hoc Committee on finance.
Mayor Bechtel said the motion would direct the City Manager's
office to get proposals and give suggestions regarding the job
description in line with the Charter requirements, for ultimate
Council approval.
MOTION PASSED unanimously, Fazzino, Eyerly absent.
ITEM #22 RE UEST OF COUNCILMEMBER COBB RE NORTHERN CALIFORNIA
N To -1#N NOVEMBER 17, 1983
No action taken.
ADJOURNMENT
Council adjourned at 10:35 p.m.
ATTEST:
APPROVED:
1
3 9.5 0
11/14/83