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HomeMy WebLinkAbout1983-12-05 City Council Summary Minutes1 CITY COUNCIL MINUTES Reyular Meeting Monday, December ITEM Ural Communications CITY Or ALTO , 1983 PAGE 3 9 7 8 Item 11, Department of Transportation Extending 3 9 7 8 Coijrnute Service to Downtown San Francisco Consent Calendar Referral Action Item #3, Resolution Appreciation to Robert A. Harvey Item #4, Resolution of Appreciation- to --Ali-an ----A, 1owra Item•#5, Manayernent and Confidential Compensation Plans item #7, Ordinance . re Council Organization and Procedures (2nd Reading) Item #8, Ordinance re Second Dwelling Units (2nd Reading) • Item #9, Ordinance re 461 and 471 Page Mill Road (2nd Reading) Item #1U, Ordinance re 225-231 Homer Avenue/748 Ramona Street (2nd Reading) item #11, Agreement for Relocation Assistance for Richard Young, Director of Utilities. Agenda Changes, Additions and Deletions Item #1€-A (Old Item 06), Amerrdg,ent to the 3 9 8-1 Hazardous Materials Ordinance 3 9 7 9 3 9 7 9 3 9 7 9 3 9 7 9 3 9 7 9 item tt2, PUBLIC HEARING: Planning Commission Recommendation re Amendment to Zoning of Downtown Parking Lot J from PF to PC for the Purpose of Building a ()asking stricture with 416 Parking Spaces Mesa #13, PUBLIC HEARING: Planning Commission kecommendation for Comprehensive Plan and Zoning Ordinance Amendments Aimed at Reducing Traffic Potential in the East Bayshore Area 3 9 7 9 3 9 7 9 3 9 8 0 3 9 8 0 3 9 8 0 3.9 8 0 3 9 8 0 3 9 8 2 3 9 8 4 3 9 .7. 6 12/5/83 ITEM ltern #14, Policy and Procedures Committee Recommendation re Stop Sign System Updating Item #15, Policy and Procedures Committee Recommendation re Land Development Applications in Unincorporated Areas Recess to Executive Session re Litigation Item #16, Report from Council Legislative Committee on Three Resolutions Item .#16_B (Old Item #2), Request from Palo Alto Unified School District re Cubberl ey PF Zone Modification - Refer to Planning Commission Item #17, Terrnan Housing Conveyance Agreement Project - Revised Item #18, Terman Housing Project Budget Amendment Ordinance Item #19, Request of Mayor Bechtel that staff be directed to prepare a Resolution Supporting the 1984 Olympic Soccer Event to be held at Stanford Item #2U, Request of Councilmember Levy commending tiunn High School re Winning Santa Clara County Academic Decathlon and Commending Palo Alto High School Item #21, Report by City Manager William Zaner re Fire on Alma, and - Storm Drain Damage/Services Provided PAGE 3 9 8 6 3 9 9 1 3 9 9 5 3 9 9 6 39 9 6 3 9 9 8 4 0 0 4 4 0 0 8 4 0 0 8 4 0 0 8 Adjournment . 4 0 0 9 39 i7 11/21/83 Regular Meeting December 5, 1!x83 The City Council of the City of Palo Alto met on this day in the Council Chambers at City Hall, 2.50 Hamilton Avenue, Palo Alto, at 7:35 p.m. PRESENT: Bechtel, Cobb, Eyerly, Fazzino, Fletcher, Klein, Levy, Renzel, Witherspoon ORAL COMMUNICATIONS None ITEM #1, DEPARTMENT OF TRANSPORTATION EXTENDING COMMUTE SERVICE Peninsula Commute Service Chief for Cal Train, Robert W. Crockett, 150 Oak Street, San Francisco, said -his -company ran the major com- mute service that connected San Francisco and San Jose-. He requested the Council reaffirm its support for a necessary major improvement to extend the service into downtown San Francisco to ensure the continued health of the peninsula commute service. The peninsula rail service was an underutilized transportation facili ty and allowed orderly, continued and planned growth of the Penin- sula.without the proliferation of automobiles. Upgrading stations and tracks were planned, and by 1985, Cal Train would present a new image with new cars, locomotives, scheduling, and operation. He applauded the new California Avenue station, and said central- ized train control, a third -track installation and electrification were being considered. An improved San Jose terminal could in- crease commutes by as much as 100 percent --it was important to have the:San Francisco terminal in a central location, and the proposed Trans -Bay terminal would be within walking distarre,,for 80 percent of its commuters. The new line would carry the 'equi} va- lent of a four -lane freeway, at a cost of $300 million. There was nationwide competition for federal transit assistance, and the Bay Area had a good chance to get help. If $210 mi,liion.were:obtained from Federal moneys, $90 million would be 'needed from private de- velopment. Cal Train would not only .h.elp commuters, it would open employment centers in the Peninsula, Mayor Bechtel said the Council heard the presentation as informa- tional because it previously gave its support -tit) extend"the termi- nal to the more convenient building. - - Vice Mayor Witherspoon asked why the extension to the Ferry Build- ing was no longer contemplated. Mr. Crockett said the City of San Francisco did not concur with Cal Train's proposals. It was a surface extension with no -signi- ficant time saving because of the many rail crossings and the impact on traffic, and it presented a potential safety hazard, - It was planned as a demonstration -project, which was misleading, because many consultant reports found t -hat a new terminal was necessary. Councilmemher Eyerly asked if it would hel-p to have -a resolution .- reaffirming Council support of the terminal. - Mr. Crockett asked that all communities express support of the exten`siO i tp the Mit, either before or at the January{, 1984 pub- lic hearings on new rail_ starts to provide an incentive' for 'people to use the peninsula commute service instead of Highway 101. Mayor Bechtel thanked .Mr. Crockett' for tins preserntation; ?2Y57/83 i Councilmember Renzel asked the City Manager if additional guidance ,From the Council was necessary to reiterate support since the extension proposal was different from the one the Council previ- ously supported. City Manager Bill Zaner said no additional motion was needed because the Council supported the principle of extending the sys- tem into the Downtown San Francisco area, and that would be reaffirmed. CONSENT CALENDAR Mayor Bechtel removed Item #6, - Amendment to the Hazardous Materials Ordinance, from the Consent Calendar at the request of a member of the public. Councilmember Cobb removed Item #2, Request from Palo Alto Unified School District re Cubberley PF Zone Modification. May r. Bechtel and Councilmember Renzel asked to be recorded as voting "no" on Item #10, Ordinance re 225-231 Homer Avenue/748 Ramona Street (Second Reading). MOTION: Mice Mayor Witherspoon moved, seconded by Cobb, approval of Consent Calendar Items 3 through 5 and 7 through 11. Referral None Action ITEM #3, RESOLUTION OFAPPRECIATIOHTOROBERTAHARVEY RESOLUTION 6197 entitled .'RESOLUTION OF THE COUNCIL OF O ALTO EXPRESSING APPRECIATION TO ROBERT A. HARVEY FOR HIS YEARS OF SERVICE" ITEM #4, RESOLUTION OF APPRECIATION TO ALLAN A. BOWRA RI:SOLUTION 6198 entitled "RESOLUTION OF THE COUNCIL OF ALTO EXPRESSING APPRECIATION TO ALLAN A. BOWRA UPON HIS RETIREMENT" ITEM #5, MANAGEMENT 6O h :_37 .. . Staff recommends approval of the attached resolutions in order to facilitate the implementation of the changes. A N ry rf #\ v CONFIDENTIAL COMPENSAT ION RESOLUTION 6199 entitled "RESOLUTION OF THE COUNCIL OF ALTO AMENDING THE COMPENSATION PLAN FOR MANAGEMENT PERSONNEL ADOPTED 8Y RESOLUTION NO. 6180* RESOLUTION 6200 entitled "RESOLUTION OF THE COUNCIL OF ALTO AMENDING. THECOMPENSATION PLAN, FOR CONFIDENTIAL PERSONNEL 'ADOPTED BY RESOLUTION NO. '6056 AND AMENDED BY RESOLUTION NO. 6114- AND RESOLUTION .; NO.. 6149" PLANS ITEM #7, ORDINANCE RE COUNCIL ORGANIZATION AND PROCEDURE (Second ORDINANCE 3488 entitled 'ORDINANCE OF THE COUNCIL OF citt yr PALO*ALTO REPEALING .CHAPTER 2.04. OF THE PALO ALTO MUNICIPAL CODE AND ADOPTING A NEH -'CHAPTER 2.04 REGARDING COUNCIL ORGANIZATION AND PROCEDURE" (1st Reading 11/21/83, PASSED 8-0, Levy absent) As Co12 2/ ITEM #ii, ORDINANCE RE SECOND DWELLING UNITS (Second Reading) ORDINANCE 3489 entitled "ORDINANCE OF THE COUNCIL OF THE ALTO AMENDING THE ZONING CODE (TITLE 18) WITH i(EGARU TO SECOND DETACHED SINGLE-FAMILY DWELLING UNITS AS CONDITIONAL USES" (lst Reading 11/21/83, PASSED 8-0, Levy absent) ITEM #9 ORDINANCE RE 461 and 471 PAGE MILL ROAD (Second -Reading) URUINANCE 3490 entitled "ORDINANCE OF THE COUNCIL OF Tilt CITY OF PALO ALTO AMENDING SECTION 18.08.040 OF THE PALO ALTO MUNICIPAL CODE (THE ZONING. MAP) TO CHANGE THE CLASSIFICATION OF PROPERTY KNOWN AS 461-471 PAGE MILL KOAU FROM CS TO CN" (1st Rea.1i ng 11/21/83, PASSED 8-0, Levy absent) ITEM #lU ORDINANCE RE 225-231 HOMER AVENUE/748 RAMONA STREET econTc ORDINANCE 3491 entitled "ORDINANCE OF THE COUNCIL OF Tn _ -HALO ALTO AMENDING SECTION 18.08.040 OF THE PALO ALTO MIINIC1PAL CODE (THE ZONING MAP) TO CHANGE THE CLASSIFICATION OF PROPERTY KNOWN AS 225-231 HOMER AVENUE/148 RAMONA STREET FROM RN -2 TO RN -3" (lst Reading 11/21/83, PASSED o-2, Renzel, Bechtel "no,* Levy absent) ITEM #11, AGREEMENT FOR RELOCATION ASSISTANCE FUR RICHARD YOUNG D RZ U O U ILI II:S CMR:614:3 Staff recommends that in order to complete the transaction on a timely basis, Council approve the documents including the Guaran- te d ,Sales Price Agreement, the Promissory Note, the Deed of Trust and the iiudget Amendment Ordinance. AGREEMENT BETWEEN RICHARD YOUNG AND THE CITY OF PALO ALTO RELATING TO GUARANTEE OF SALES PRICE OF PROPERTY LOCATED AT 2955 GRACELAPIU WAY, GLENUALE, CALIFORNIA PROMISSORY NOTE DEED OF TRUST ORUIlAN4CE 3492 entitled "ORDINANCE OF THE COUNCIL OF THE ALTO AMENDING THE BUDGET FOR THE FISCAL 1983-84 TO ESTABLISH AND PROVIDE FUNDING FOR CAPITAL IMPROVEMENT PROJECT NO. 83-26 "DIRECTOR OF UTILITIES HOUSING ASSISTANCE" MOTION PASSED unanimously, with Bechtel and Renzel voting "no," on Item #1U Ordinance re 225-231 Hover Avenue/748 Ramona Street. AGENDA CHANGES ADDITIONS AND DELETIONS 1..• _ i��.nlr�.errwlA�e�suY.i/1��/I!! . Counci lmember Levy added Item 020, request for a resolution com- mending Gunn High School and Palo Alto Hi..gh School for their achievements in, the Santa Clara County academic decathlon. Mr, Loner said that. Item #b, Amendment to the Hazardous Materials Ordinance would become Item 16-A, and Item.- 2, Request from the P.A.U.S.D re Cubberley PF Zone Modification would become Item 1b -k3 Councilmeraber Eyerly asked staff to provide -a verbal report that evening on the state of the electric_ utility after the Saturday storm and resultant outages. He asked for reassurance that .the City was back on line and that all residents had power. 3 9 8 .0 12/5/83 Mr. Liner said staff would provide a verbal report to be followed by a written report. Mr. Laner'referred to Item 16-A, and asked that it be handled ear- ly in the agenda since same .staff members were in •attendance for that item only. MOTION: Coufci lmemher Cobb moved, seconded by Klein, to bring forward Item 116-A, Amendment to the Hazardous Materials Ordi- nance. MOTION PASSED. unanimously. ITEM I6 -A, (OLD ITEM #6 AMENDMENT TO T11E 1111 Pi A N C k ...- -.� HAZARDOUS MATERIALS Couricilrrrember fazzino said a member of the public voiced concern about the wording of the ordinance. Senior Assistant City Attorney Anthony Bennetti said the ordinance ensured that Palo Alto's ordinance was grandfathered in under the Sher bill. Some minor adjustments were necessary, and with respect to Section VII on page 4, "(Monthly for underground stor- age tanks)" the following language shbutel be added and returned to the Council at second reading: "(Monthly, for underground storage tanks, storing any hazardous material other than motor vehicle fuels, as designed under the California government, code.)" The ordinance should be introduced with that amendment. Bob Moss, 4010 Orine, said he and -his Company's health and- safety employees were concerned about paragraph VII because industry rep- resentatives who participated in the hearings and adoption of the initial ordinance were not involved in the update. An active par- ticipant in the formation of the initial hazardous waste ordinance had no idea it was on the agenda, and was shocked the City would amend- it without input from the industry. He was glad to hear of the amendment proposed by Mr. Bennettii-because the petroleum in- dustry would have a severe problem if it. had to monitor monthly, It cost $4,000 to monitor his company's tanks, which was too ex- pensive for a monthly cost and too prohibitive for gas stations in the City or County, He recommended a modification of the pars-- yraphy striking out everything between "...storage facility..." and "...may be approved", to deilete the words "...on a semi-annual (monthly for underground storage tanks storing anything other than motor vehicle fuel) or a more. frequent. •bass.". The -necessity of a monthly monitoring of tanks was not clearly shown, and local clay soils did not transmit leakages quickly. The County Transit Dis- trict lost over 300,000 gallons of motor fuel which -was - still -in the around of the storage yard Months later. He agreed that if there was potential danger of contamination through be'ng close to a well or -flowing water, frequent monitoring •was necessary-, but a blanket statement. to monitor -monthly was excessive. He did not believe the ordinance should be imposed without first knowing its cost, which required industry. input. He suggested that the clause regarding the frequency of testing be deleted in order to confer :with more people and determine that 'information_ by the -site- and type of environment susceptible to pollution, Mr. Bennetti said staff attempted:to grandfather the Palo Alto ordinance into the. Shea bill and made ethe minimum number of chanyes presently,: required by State legislation in order to.qua1te fy. . The ordinance, as arended, had to be adopted prior to December 31, 14$3, ^r_it would not be grandfathered. For that reason, it was quickly returned to the' -Council with thp. changes. - The Cemmittee of City Attorneys worked on the mode's --with Assem- blyman_ Sher to get the -- bi ll through the Assembly. Alth-ough there were rough spots, it should be put i n "effect now and amended later as developments took effect under the Sher bill. In order -for Palo Alto's ordinance to be, grandfathered, act -kin was required that'evening because only one other reading sviould be possible before the end of the year. 3 9 8 1 12/5/83-: Counci I rriersaber Fazzino supported the proposal. A number of indus- try representatives were involved throughout the project, and spoke to him on certain metters, including the exemption of.motor fuels, and he was comfortable that it was reviewed and supported by the industry. He was concerned about the "rough edges" or inadequate parts of the ordinance, and hoped it would not have to be greatly qualified and that the grandfathering issue would not result in rushing it through precipitously. Mr. Sennetti clarified that the "rough edges" were one or two clauses or phrases where the ordinance might not match the Sher bill. As he understood the intent of the Sher bill, there was sufficient discretion under the ordinance for the Fire Chief's interpretation for compliance. Councilmember Fazzino clarified that it was a question of .differ- ences in language rather than substance. Mr. Hennett i said .yes. MOTION: Counci 1 mearber Fazzino moved, seconded by Renzel , to adopt the araendme71', to the Hazardous Materials Ordinance as amend- ed in Section VII) ORDINANCE FOR FIRST READING entitled 'ORDINANCE OF THE 0 ALTO AMENDING SECTIONS OF TITLE 17 OF THE PALO ALTO MUNICIPAL CODE RELATING TO THE STORAGE OF HAZARDOUS MATERIALS IN ORDER TO CONFORM WITH ASSEMBLY BILL 1362 AND CHAPTER 6.7 OF DIVISION 20 OF THE CALIFORNIA HEALTH AND SAFETY CODE" MOTION PASSE() unanimously. ITEM 12, PUBLIC HEARING: PLANNING COMMISSION RECOMMENDATION RE A {LNLSML U t M iii OF DOWN TOWN PARKING LOT J FROM PF TO PC TOR IRE PURPOSE OF BUILDING A PARKING STRUCTURE Planning_ Commissioner Jack St:torius said the Council reviewed the - concept in 1982 and was kept apprised. of Commission and staff ac- tion. The proposal for a Lot J parking garage was approved under the PC (Planned Community) zone to provide a five level garage with• a further..potential two levels above. Courci lrnember Eyerly asked to be recorded as "not participatin in Item 12, re Parking Lot -J, due to a conflict of interest. Mayor Bechtel declared the public hearing open. Receiving no requests from the public to speak, she declared the public hearing closed. Counc i lrnernberr Cobb refer°redi to page 2 of the staff report regard- ing additional loading zones on Uni-versity Avenue, ana asked whether that would create problems the street was unable -to han- dle. Uirector of Transportation Ted;. Noguchi said the loading zones shown on the. map attached to the staff report --indicated that: addi- tional facilities might be needed. The initial reaction was that the loading zones on Webster and Cowper would be sufficient to service most of the current areas in the back' that were now served by the access _way 'to lo" J. Counci lmember Cobb said he understood the reason was .because trucks of a certain size could not get through, and asked If _the design cou1 a be altered so that access coul_zi,., be preserved through the a l leyways and not brought onto University Avenue. Nr. Noguchi said that was considered extensively,- but; since the desire was to enhance -pedestrian amenities, staff be? ieved such 3 9 8 2 12/5/83 traffic movement should not be constrained into tfe area. Both architects and staff preferred to remove the loading facilities from the driveway access to the parking garage. Coancilriiember Cobb was concerned about loading zones on University Avenue; the traffic was already a problem, and trucks should not be added unless absolutely necessary. MOTION: Councilmember Cobb moved, seconded by Fazzino, to adopt the Planning Commission and Architectural Review Board recommenda- tions to: 1. Adopt ordinance approving the change of zone district of Parking Lot J from PF to PC; and 2. Direct staff to implement a contract change order which adds up to $16,500 to the contract with Parsons Brinckerhoff so that the final construction drawings can encompass a five - level garage with one level underground and with provisions for an additional two levels. ORDINANCE FOR FIRST READING entitled 'ORDINANCE OF THE PALO ALTO AMENDING SECTION 18.08.040 OF THE PALO ALTO MUNICIPAL CODE (THE ZONING MAP) TO CHANGE THE CLASSIFICATION OF PROPERTY KNOWN AS PARKING LOT J (INTERIOR OF BLOCK BOUNDED dY UNIVERSITY, HAMILTON, COWPER, AND WEBSTER) FROM PF TO PC" Councilmember Klein asked about the potential for the additional two levels because he was not sure they would ever be bui i t, and what return was anticipated on the extra $200,000 invested. He asked about the likelihood of the extra construction and for figures concerning the use for seven level garages. Mr. Noguchi said there was a waiting list of approxir.=.'tely 88 people for the garage, which represented about 80 percent of the current permits available on the lot. Councilmember Klein said that would be more than taken care of by the suggested structure. Mr. Noyuchi said the demand already existed for those spaces, but did not include short-term parking, only permit parking. Councilmember Klein did not believe that justified planning for two additional floors. Mr. Noguchi said the Wilbur Smith report showed the overall demand in the area was much higher than the parking lot provided. Even with two additional levels, it might not- Meet the demand. The •current demand indicated the latent demand. Director of Plannin.9 and Community Environment Ken Schreiber said there was more parking generated in the area than could be met, and staff believed that when the parking structure was erected, it would be occupied. Future needs depended on development in the area, which was hard to assess. Future: City polities might restrict free on street parking in close by nei-ghborhoods and push commuters into the center. The additional 5200,000 investment would mean the City had the option of future building, and staff believed the potential for additional structure space was suffi- cient to justify the risk. Councilmember .Klein askew why not build the the two additional levels immediately. Executive Assistant to the Planning Director Lynnie Melena_ said because the two additional levels would raise the structure to 50 feet, and the Wilbur Smith study recommended that. a garage of approximately 400 spaces wase currently feasible. The study 3 9 8 3 12/5/83 analyzed tile, environmental impacts for a garage cif; on ly that :s.i ze, and staff operated within certain Council directives. Councilrnember Klein asked whether staff considered the most revert Council directives requiring additional development in the University' Avenue area to furnish its own parking spaces When con- sidering possible legislative action by the City Council. Mr. Schreiber said yes, but the current shortage of parking spaces in the assessment district meant a large number of cars parked in the residential areas outside the district, and current parking structure erections' were focused on future development which. created a pool of latent demand. The Council direction on future parking requirements exempted the ground floor because of past involvement with the assessment district, so, some development might not provide parking on -sites Additional demand would be 1eveloied and met by the public assessment district process. Mr. Noyuchi said the Wilbur Smith report indicated a demand of approximately 1,150 long term and 1-00 short-term spaces for the Lot J site. There was tremendous latent demand for parking, and he referred to the number of vehicles that parked in the residen- tial district. The proposed parking structure would not satisfy that demand. Councilraember Klein asked when staff anticipated Council would be rsked to build the extra two levels. Mr. _Schreiber said it was almost impossible .:o estimates --policy changes in the near term could trigger the need if the City looked for an in lieu parking payment provision and needed a project to which to apply tite money. Simultaneously, a culmination of chaniaes that could lead to increased parking might not occur, but that was part of the risk. Cotjncilmember Renzel believed the City Wauld be more restricted in the future, and perhaps beyond its immediate planning sphere in terms of ability to purchase new parking sites. The extra two floors provided some flexibi?.ity, and she asked if staff had com- parative costs for purchasing spaces in the future equivalent to those two floors. - Mr. Schreiber said the advantage of the Lot J development was no land costs to be paid, A disadvantage was that existing parking was beiny replaced, and the purchase of another site, paying land costs in addition to building the structure, would rake the cost per space significantly higher than adding floors to Lot J. Mayor Bechtel ibelleved it was prudent to plan for an extra two floors, and ttie 'money would be well spent. The City was 2,000 parking spaces short downtown and the situation would. wrrsen, MOTION PASSED unanimously, Eyerly "not participating.'° ITEM /I3 PUBLIC HEARING: PLANNING COMMISSION RECOMMENDATION FOR AN ANv ON NG oolyarr AMENDMENTS AIMED'AT REDUC- I • • • Mr. Sutorius said the Council reviewed the item in concept prior to Lire moratorium, and it was returned with specifics, including final wording on the permitted uses and revised GM(B) zone. Councilmember Klein asked to he recorded as "not participatine" in the item, clue to a conflict of interest. Mayor Bechtel declared the public hearing open. Receiving no requests from the public to speak, she declared the public hearing closed. 3 9.8 4 12/5/83 MOTION: Councilmember Renzel moved, seconded by Witherspoon, to approve staff recommendations: I. That the proposed Comprehensive Plan and zoning ordinance amendments will not have a negative environmental impact; 2. To adopt the Comprehensive Plan resolution, zoning ordinance amendments and zone changes; and 3. To estat'lish fees of $100 and an additional $300 if there is an objection for chemical storage exceptions in the LM(3) zone and add it to the Municipal Fee Schedule. RESOLUTION 6201 *RESOLUTION OF THE COUNCIL OF THE CITY mriqunrwm-TRENDING THE PALO ALTO COMPREHENSIVE PLAN WITH REGARD TO REDUCING EMPLOYMENT AND TRAFFIC POTENTIAL" ORDINANCE FOR FIRST READING entitled *ORDINANCE OF THE 4 ALTO ADUIN6 CHAPTER 18.57 (GENERAL MANUFACTURING COMBINING DISTRICT) AND AMENDING CHAPTER 18.53 (LIMITED INDUSTRIAL SITE COMBINING DISTRICT) OF THE PALO ALTO MUNICIPAL CODE TO CHANGE USES AND CERTAIN SITE DEVELOPMENT REGULATIONS IN THE EAST UAYSHURE AREA" ORDINANCE FOR FIRSI REAU1N3 entitled "ORDINANCE OF THE It , - ALQ ALTO AMENDING SECTION 18.U8.040 OF THE PALO ALTO MUNICIPAL CODE (THE ZONING MAP) TO CHANGE THE ZONE CLASSIFICATION OF CERTAIN PROPERTIES IN THE EAST BAYSHORE AREA FROM GM TO GM(B) AND FROM LM(U) TO LM(3)(U)1 Courici lmember Menzel was pleased that progress was being made in planning the East 1ayshore area, and said it was a significant step forward. Mayor Bechtel said when the item returned for a second reading, in conjunction with the cottage zone, it would mean the Council lifted two of the four moratoria. Councilrnember Fletcher. said some concern was expressed at the Nlianing Commission level regarding transportation terminals that something other than passengers could he located there, and staff clarified it was passenger terminals only. AMENDMENT: Counci 1mearber -Fletcher moved, seconded by Renzel, to amend Section F of the ordinance adding Chapter 18.57 and amending Chapter 18._63 of the Palo Alto Municipal Code to read, *Passenger Transportation Terminals` Counci lmernber Fletcher said she was concerned with .the new over• -y size trucks- being `allowed on the freeway. The -double-trailer trucks were already approved for the freeways ire California, but were ' not legal on City streets. -California was now. testing triple -trailer trucks for. the federal' government to be allowed within half a mile of the freeways for foods fuel, and rest. Facilities were planned where trailers could be disengaged from .the main truck in order to conform to. focal Ordinances-, and she wanted assurances that East 8ayshore would -not be used as a facil- ity for cabs to pick up the -leftover trailers. CoUncilmember Levy asked if insertion of the word "passenger" would eliminate any kind of -trucking, not just the large ones. Mr. Schreiber sa .d that- Incidental ' trucking activitieseedelivery, loading etc.--were a conditional use and would still be allowed. - Terminal's. were being discussed -.as a primary activity, AMENDMENT PASSED unaaia©usiy, Klein "not participating" 3 9 8 5 12/5/83 Councilmernber Levy asked why animal board and kennels were ex- cluded from permitted uses because he believed that such: uses should be permitted in the GM zone. Ms. Melena said staff followed what .: :► currently allowed in the GM zone, and animal kennels a1nd boarding were not permitted there. Certain uses were deleted when the GM(B) zone was set up. Councilmember Levy asked why they were deleted. Mr. Schreiber said that in most zones, animal care, boarding and kennels were conditional uses because of noise, odor and other imparts. Counciimember Levy asked why lodging was included if staff was concerned about traffic., s Ms. Melena said lodging was included i-n the GM zone, and according to the Transportation Division standards about which uses should be eliminated, it did not generate a high level of traffic. Counci lineraber Levy asked about facilities such as the Holiday inn. Mr. Schreiber said the Holiday Inn was a hotel, Lodging meant taking in individuals within a dwelling unit. 'The permitted uses were single, douhie, and multiple -family. Counci lmernber• Levy approved of a site being used for parking as part of other permitted uses in the area. The parking itself `did nut generate traffic, but took an area out of an additional traf- fic -generating use. He wondered about the use of parking as a part of other permitted uses in the area. Mr. Schreiber~ said parking was allowed for nearby use, and a pro- vision in that regard was included inn the ordinance. Page 3 spoke of temporary parking facilities which were defined separately and would not be allowed unless clearly indicated in the ordinance. Councilmenber Levy said that in terms of animal kennels and board- iny, people were concerned about the availability of the service. He believed since the area was overwhelmingly GM and LM use, those concerns could be eliminated by making animal boarding and kennels a permitted use in that particular GM(B) zone. AMENDMENT: Counci laember Levy moved to remove the restriction on animal boarding and kennels from paragraph (c) of 18.57.040 of the ordinance adding Chapter 18.57 and amending Chapter 18.63 of the Palo Alto Municipal Code. AMENDMENT FAILED) for lack of a second. MOTION AS AMENDED PASSED unanimously, Klein "not participat- ing ITEM #1,. POLICY AND PROCEDURES COMMITTEE RECOMMENDATION RE STOP 421 MR:6 MOTION: Counci lme.ber Menzel for the Policy and Procedures Com- mittee moved that Council take the following action regarding the Stop. Sign System Update: 1. Install a stop sign at the corner of Homer and Emerson, and staff to investigate theremoval of the stop sign at Hower/ High Street .and return to the Policy and Procedures Committee with a report during its 1984 annual review of stop signs; 2. Install a stop sigh on Channing at Greer Road; 3 9 8 €i 12/5/83 MOTION CUNTINUEU: 3. At University and Alma: a. Replace the existing stop sign with a yield sign, b. Install a "two-way bike traffic ahead" sign on the on - ramp, Improve the visibility at the intersection, and d. Make the painted island permanent. Further, staff to research the accident history at this location and to develop suggestions to slow down the traffic and make traffic aware of the two-way bicycle situation, to be returned to Council for final approval, 4. That the stop sign at MeaCow and Wilkie not be removed at this time, and that staff work with the PTA to determine what ac- tion, - if any, should be taken; b. Remove stop signs from the southerly end of Orme Street; b. Remove stop signs from Cerrito Way at Los Robles Avenue; 7. Remove stop signs from Palo Alto Avenue at Byron Street; B. Install stop signs on Ash Street at Grant Avenue; 9. Install stop signs on Dana Avenue at Alester Avenue; U. Reverse location of the stop signs at the California/Ramona intersection from California Avenue to Ramona Street and make the California/Emerson Street intersection a four-way stop; 1. Staff to continue to monitor the visibility problems on Webster and Forest and to report back to Council with a"'recom- mendation for a stop sign if the visibility pro i a~s caanot be. improved; 2. Staff to investigate having a uniform red zone policy and report back to Council. RESOLUTION 6202 entitled "RESOLUTION OF THE COUNCIL Of HE U ALO -ALTO AMENDING` -TIE CITYWIDE STOP INTERSECTION SYSTEM MAP' t;ounci member Cobb said he understood the stop sign at .Webster and Forest would not be implemented immediately. If a problem was found to exist, he asked whether action would have to wait for the 1984 review. Transportation Officer Ashok Aggarwal saki staff's report on that would go directly to the ,COurci 1. Counci h ember Cobb asked if that could also apply to the Homer/ Emerson stop sign slated._for reviewrin 1984. Mr. Schreiber sa)d staff wanted to evaluate the situation to find out if the new stop sign functioned or whether there was_ a con - f l i ct with having two stop signs so close together. He believed it Was easier to go with the normal cyc-1. but if the red:tone mo4Ifi.cation or repainting did not work, therewould be community c+in :ern that should not be `put off another Year.- Gounci irember Cobb c rat--i t'i ed his question was Whether the Council would nape to wait until an arbitrary cycle was finished before taking action if a problem was found to exist. 1 3 9 8 7 12/5/83 Mr. Schreiber said that if the stop sign at Homer and High created substantial problems, staff would recommend that it be taken out immediately. Councilmember Klein disagreed with .the proposed stop sign at Charming and Greer, and said he drove that section for a long time and had no problems. He was concerned that Palo Alto was reputed to have more stop signs than anywhere else on earth, and wanted to prevent increases. A stop should be put on the prolif- eration of stop signs. Channing was a through street, but people_ did not speed on it, and a stop sign would increase air pollution and slow down cruses. William Cane, 636 Webster Street, referred to his wife's letter to the City Council which was on file in the City Clerk's office. Four accidents occurred at the corner of Forest and Webster within a 17 month period, and a representative of the Mid -Peninsula Health Service initiated the request for a stop sign. The acci- dents_ were right angle types, which were susceptible to correction by the installation of stop signs. His wife did not know a stop sign was under consideration, and collected 91 signatures from neighbors who favored a sign, and who had observed the danger of the intersection. Bob Moss, 4010 Orme, represented the Barron Park Association and the Traffic Committee, who unanimously agreed to support the staff recommendations (4), (5) and (6), in spite of disagreeing with the PTA's assessment of the stop sign at Los Robles and La Donna. He personally recommended removal of the sign at Meadow and Wilkie. Meadow was a major collector street carrying some 9,000 cars daily, El Camino Way to Alma was completely plugged.during the morning rush --particularly on rainy school days. It took hire 10 minutes to get from El Camino Way and cross Alma on a rainy morn - and it was not much faster in the evening. A major. conges- tion point was the stop sign, and -he believed the road was too congested for drivers to race over the crossing even if the sign was removed. He only knew of one accident, when a boy bicyl-ist was hit by a car at the corner .of Meadow and Park. Bicyclists did not stop at the sign, and the stop sign at Colorado and Byron was not desired by local residents as their primary traffic control device. The residents wanted many other improvements, the last of which was a stop sign. Staff should review that entire section of street, and in particular to protect the bike traffic. :As the st ff report pointed out, a stop slorn was not justified at that loCation, Daniel Farmer 638 Mountain View Avenue, Mountain View, said he cycled to Stanford everyday, and wanted two stop signs retained --one at Wilkie and Meadow. As an adult bicyclist, he stopped at the sign even though some did not, but that was a mat- ter for law enforcement. He appreciated the stop sign, and pre- ferred to cross at Meadow and Park. He also wanted to retain the stop sign on the off ramp from northbound. Alma to westbound University Avenue. People stopped needlessly there, but it was the route to Stanford University, and if only a "yield" sign existed, people would not stop, although crossing bicyclists had the right of way since._they were on the sidewalk.-. Cars did not stop in time, and without the sign, he might be hit. Roger Levin, 770 Welch Road, 031,1, favored removal of the stop sign at University and Alma. He had a 20 minute video tape monie tiring the traffic at that stop_ sign.,. and of over 1511 cars, only two came close to :stopping. A person on a bicycle was not a pedestrian, but there was illegal two-way bike traffic thee. The stop sign presented a problem by backing traffic up into the right lane of Alma. Visibility coului be improved so that cars, if warnedt of two -ray- Mice traffic, could look both ways. There snvd iii be'a permanent raised island, and d "yield" sign could warn drivers to look for (illegal) two-way bike traffic.- A justified siyn was respected by the people. 3 9 8 8 12/5/83 AMENDMENT: Counci lmember Klein moved, seconded by Witherspoon, to delete (4), ninstall a stop sign Channing at Greer Road." Counci lmember Fazzino said that as a member of the P&P Committee, he supported al l the recommendations. He heard many good reasons for supporting the items, citizen concern about potential or actu- al traffic problems around town, and it was incumbent upon the Committee and Council to respond. Regarding a stop sign at Channing and Greer, in his younger days, Channing was one of his favorite speedways. It was easy to gather speed from Lucky Stores, around Green Gables and up to Newell. As probably the last existiny speedway in town, it was important to put in a stop sign. He urged Council support for the Committee recommendation on that item. - - - Councilmember Menzel concurred with Counc=-lmember Fazzino regard- ing the stop sign on Channing and Greer,t Residents in the area provided some graphic descriptions of near accidents, including tape recordings of screeching tires. The intersection was not ✓ ight angled, making for lower visibility. The distance between stops on Channing in that area was significantly higher than any- where else in town. Distance between signs was also a factor' with regard to the sign on Homer acrd Emerson because people picked up significant speed on long stretches. The accident reporting sys- tem did not report all City accidents --only those where people were ticketed or injured. Minor accidents were not available for speed limit or stop sign analysis, and staff was asked to suggest a more comprehensive accident report system than police reports which were constrained by State reporting requirements. She asked the Council to support the Committee's recommendations, especially w ith regard to the sign at Channing and the other new stop signs required. Councilmember Fletcher said extensive public testimony at the P&P Committee made it clear that the stop sign at Channing a!id Greer was justified. Palo to Alto's nice, quiet, secluded , neighborhoods were a result of the many stop signs, and without them, there would be sa lot of speeaing through traffic. The stop signs pro- tected the res-ideneial neighborhoods. Counci lmernber Eyeriy said there was a stop and go system in Palo Alto with collector streets interlard. Loading collector streets w ith stop signs created a problem, dnd the staff report indicated that evidence did not support an additional stop sign at Channing and Greer --Greer carried approximately 500 cars per day, Channing 3,000. No accidents were reported since January, 1982, and he did not want a stop sign put in to destroy a collector street without evidence of speeding, etc. Stop signs were a political game, and every year the community asked for pore, New signs should not be installed without reason. Vice Mayor Witherspoon used Channing a lot. It was a collector street, and a stop sign at that location would eventually be removed since a stop sign was put in closer to the school, Few people attempted to cross Channing at --Greer, and a stop sign was not juatified. Counci lmember Klein said usually the people living at the corner favored a -stop Sign while everyone else opposed orre. Until over- whelming public concern: was shown for a sign, such as the one on Homer, nothing should be done. In the case of the sign on. Channing at Greer, support was conspicuous by.its absence. There was -no apparent_ hazard to the many school children in the area attending Green gables, and they managed without a stop sign there for 40 years. The system had not, broken down; =there was no evi- dence that it was a dangerous intersection, and it should be left alone. Countilnember 12en.zel said many people attended the Council meeting because of dissatisfaction with. the P&P -Committee recommendation, 3 9 8 9 12/5/83 AMENUMENT PASSEL) by a vote of a-3, Fle foher, Renzel;, Fazzino iilii� riii� ! voting woo." Councilmember Cobb -was concerned about the situation at University and Alma, and the recommendation for a "Yield" sign without any curb to prevent accidents with the two-way bike traffic. Mr. Aggarwal said the need for a stop sign was created because of the pedestrians and cyclists. A yield sign encouraged people to carry on driving, and a stop sign afforded the opportunity to stop and look both ways. Councilmember Cobb asked whether pedestrian traffic presented the same problem as bicycle traffic. Mr. Aggarwal said the status its of May, 1983 showed approximately 1,500 bicyclists and i3U0 pedestrians used the area. Councilmember Cobb said the stop sign never created a problem for him during his many years of driving that area, but he was con- cerned removal would create a problem for pedestrians. AMENDMENT: Councilmember Cobb moved, seconded by Renzel, regardin (3), to retain the stop sign at Vnivprcity and Alma, Councilmember Fletcher concurred with the staff analysis that the stop sign was useful at University and Alma. Stanford had a two- way bicycle path on that side of the street, but not en the other, and the most feasible location for cyclists to cross to the right side of the street was on the other side of the underpass at High. The stop sign should be maintained to protect that traffic, especially since there were no accidents or significant problems. Vice Mayor Witherspoon said a potential hazard was that drivers in the right-hand lane coming from Stanford in the downtown direction were all prepared to turn right on High Street. Most people com- ing in from Alma wanted to continue -on University, and had to thread their way through the traffic. A stop sign would protect everyone. Councilmember Levy agreed, and said that with a yield sign, one looked left, but did not see problems on the right. That problem could be solved with a stop sign, AMENDMENT PASSER unanimously. AMENDMENT: Councilmember Cobb shoved, seconded by Fazzino, that staff report back within three months on the visibility problems on Webster and Forest. AMENDMENT PASSED .by a vote of 8-L-, Witherspoon voting "no." Councilmember e.Fletcher said regarding the stop sign removal at Palo Alto Avenge and Byron Street, she was informed by a Byron Street representative that -since Byron was -barricaded, it became a popular bicycle route. Exhibit -B-22. showed the curve in the road, ana .cyclists turning left onto Palo -Alto Avenue from Middle"fieido They headed west towards Byron, and made the turn into Byron with no clear sight line down Palo Alto Avenue, of approaching traffic. She asked whether the eastbound stop _sign should stay-. to solve the probleth, or whether a warni-ng sign or other device should be erected to protect b 'ycie traffic. Mr. Aggarwal said a warning sign was more appropriate. AMENDMENT: Councilmember Fletcher shoved, seconded by Renzel , on (7), that a warning sign be erected in the northbound direction on Palo Alto Avenue at Byron. 3 9 9 0 12/5/83 Mayor Bechtel - said she jogged down that street every morning, and could not believe a slop sign existed. Councilmember Levy believed that since the street was a natural speedway for cyclists, some warning was required if an appropriate sign could not be found. AMENUMENT PASSED by a vote of 7-2, Fazzino and Cobb voting "no." MOTION AS AMENDED PASSED unanimously. ITEM #1t, POLICY AND PRUCEDURE,S (P&P) COMMITTEE RECOMMENDATION RE LAND DEVELOPMENT APPLICATIONS IN UNINCORPORATED AREAS TO 1 TE rT t liKR,EUUN=S=f1N ADS DATE; 2) PURS-U tUMMUNICATIOIN BETWEEN TMi FITSTET775 Councilmember Henze] said the :natter of land development appl ica- t i ons in unincorporated areas was referred to the P&P Committee when the decision on Peter Coutts Hill brought a legal problem for Stanford to light. The Committee focused on improved coordination with Stanford, and City and Stanford staff worked together to coordinate problem solving. Aside from: continuing,the current policy of coordination and development review, the e.ommittee recommended that Stanford be encouraged to ensure that its repre- sentative to the City speak clearly and comprehensively so that the City might be assured that Stanford in fact agreed when advised of that fact by a spokesperson. The Committee believed communication should be improved with the individual members of the a Board -of Trustees of Stanford in order to communicate the City's interest with respect to particular projects related to Stanford. MOTION: Councilmember 'Renzel moved, on behalf of the Policy and Procedures Committee, to adopt the Committee recommendation re Land Development Applications in Unincorporated Areas as follows: 1. Accept the present unincorporated area development application review procedure as being adequate; 2„ Encourage Stanford to -ensure that a spokesperson take respon- sibility for communication with the City of Palo Alto on proj- ects of mutual interest; and 3. Pursue the issue of improved communication between the City Council and the Stamford Board of Trustees. Stanford Director of Community Relations Andy Doty, 4072 Scripps Avenue, said Stanford concurred that existing review procedures for the use of Stanford's unincorporated land were adequate. The procedures were established in the early 70s, and reaffirmed by the City in the late 70s. The procedures provided Stanford with mechanisms to inform the City in advance about projects on acad-e- mic lands within the County, and for the City to make recommenda- tions regarding such development. The recommendations could not bind the County, but represented a degree of influence nu other city in the County enjoyed without. annexing the lands in. question' and providing them with municipal services and capital improve- ments. -Stanford looked forward to Palo Alto's agreement to rebuild Pales Drive. City staff filled its communication responsi- bilities with a blizzard -of paper, keeping Stanford well inflamed of all actions even remotely 'related, and it was alMost impossible to keep up -with the ,fast pace set by the City's employees and its duplicating equipment. The City's thoughtfulness was appreciated, and the l#aison worked. well for both sides,.:, but- should meet more frequently. Stanford's minutes were late, ;but it would;try- tb move more quickly. The recommendation requested that .Stanford assign a single spokesperson the`,responsibi lity of communicating with Palo Alto. Stanford would attempt to tighten its procedures, but it was a large institution, with many individtials responsible for a given area. The recent disagreement about Stanford West lay behind the request for a single Stanford voice ---those involved at Stanford were , of one voice, and clearly_ stated that the extra 3 9 9 1 12/5/83 jurisdictional conditions were unacceptable to the University. the Committee minutes quoted him as being surprised that there were so few misunderstandings between the University and the City, given the frequency of Stanford -related items. Regarding improved -communications between the City Council and the Board of Trustees, the Board of Trustees invited the Mayor and City Manager to meet in February, and that the meeting in 1983 was well -received by both parties. A staff report was planned from University offi- cers in early 1984, and the Counci could send the F lard material, The 34 member board was made up of volunteers who only met nine times a year. There were numerous items on the agenda, and it was not as involved with fine details. as the City. The University president and his officers were familiar with issues and- - nine Trustees lived locally, and were aware of community concerns. Stanford was like other private entities, but also like a City. Sometimes it was asked to behave like a developer with no special treatment; and other times like a city, with open staff reports, public hearings, and other special provisions. Stanford recog- nized that ambiguity and tried to tailor its actions accordingly. It was more open than most corporations, but not as open as a pub- lic body. It tried to notify neighbors in advance of major proj-- ects, although it was not required to do so. Stanford held open .planning meetings, and stated that the concerns of neighboring jurisdictions were important and should be considered. No -other private entity went to such lengths to accommodate community con- cerns, and he believed Palo Alto had a bargain in Stanford. The institution benefited the area with its people, program s and facilities, and was a stable employer that weathered two reces- sions well. It provided more than $8 million per year to the City, and had held 5,600 acres open while surrounding jurisdic- tions were crowed to its edges, It provided contracts to munici- pal services without cost to the City, and was a responsible neighbor. It behooved the City to consider the benefits rather than the minor irritants. Councilmember Eyerly appreciated that Mr. Doty's presentation ended on an upbeat note. He said the entire City Council loved Stanford, but occasionally communication got off track, which was the case with Stanford West. He was unable to attend the P&P Com- mittee meeting to put his comments on record, but believed a , reso-- lution was needed to speak to better communication with Stanford,_ and spell out basic ingredients to improve the current relation- ship. The City's relationship with Stanford was dependent upon individual councilmembers and the Mayor, and the relationship varied with each Council. He was pleased that Stanford would invite -the -Mayor and City Manager. to meet in February, 1984, and hoped it would continue annually, and that the Nty would continue to invite the President and Vice Presidents of the University to speak to the City Council. The individual spokesperson, as sug- gested by the Committee, warranted exploration. . He was sure Stan- ford could not always have one spokesperson, but there should be a key spokesperson on major items to help communications and assure mutual understanding,. The liaison committee eras a good idea, but when the experts got together, the political impacts were left out. That ingredient was needed someplace on the liaison commit- tee toward the end of the final discussions • between the two staffs, If that was done on Stanford West, the City staff recom- mendation might have been somewhat different, or -the wording might have been changed such that both Stanford and the City could agree and accomplish the:,same goals. A resolution should include that on major issues involving Stanford, some representative of the City ,Council should attend -the last meeting.or two at Stanford to deterrine political impacts, which process worked -_-.-well in his ex,-. periente. When a staff expert returned to -the policy making board with a_ recommendation, the political- issues musto be debated, and on Stanford West that process might.have camrnenced sooner and an agreement: reached in the ends A -resolution for better communita- tions should also include an- opportunity for the. City Council to appoint some representation --either a -Councilmember or other person. --to the Stanford .Hospital. Board. That. area_ was within Stanford's jurisdiction and the Council needed some continual con- tact. It was a big job to sit on that hoard; they met frequently, and had a lot of decisions to make. A Councilmember might not be an appropriate representative, but someone sensitive to the Coun- cil's concerns was needed. Stanford basically agreed to that con- cept last year, and he believed that area was important for better communication. There' might be other areas on which to improve communication, and if they were put in a resolution, the subject was before the City and not forgotten. Currently, the Council and Stanford talked about improved communication, but it was lost between the cracks because there was nothing more than a nebulous motion. He suggested staff be assigned to prepare something basic to be used as a guide, Councilmember Fazzino believed the subject was talked out, but that Councilmember Eyerly's specific suggestions were excellent. Better communication was discussed several times in recent months specifically related to Stanford West. He appreciated Mr. Doty's comments, and accepted and respected the way in which they were offered. He agreed the relationship between Palo Alto and Stanford was excellent for the most part, and given Mr. Doty'`s remarks, he was clearly the right person to be the designated spokesperson for Stanford. Even though he and Mr. Doty disagreed about specific issues such as Stanford West and others, he agreed the relationship was good, and pot much more could be done except reliance on the trust and respect of both sides for the other.. The Hospital Board representation was a good idea for Council con- sideration, but the line of communication and respect for the most part depended on the people in prime public positions in the City of Palo Alto, whether it was the Mayor or City Manager. He believed the Mayor and City Manager this year and the past few years kept the Council informed about what was happening at Stanford, and worked hard with the Stanford staff to ensure that the communic. ion process took place. He did not want to dwell on the few times the process broke down, and believed the recommenda- tions of the Committee were sound. The Council should move ahead and possibly consider some of Councilmember Eyerly's specific sug- gestions. Councilmember Cobb said regarding Stanford speaking to the City Council with one -voice, the City dealt -with Stanford in so !zany ways, including land use issues, the hospital, etc., and given the size of the institutions, he did not believe it was realistic to expect Stanford could ever speak to the City with one voice. He lived in Palo Alto since he was a child, and though he went to University of California at Berkeley, he believed the relationship between the City and Steeford was one of mutual benefit. Stanford was a great asset to Palo Alto, and Palo Alto was a great asset to Stanford, and both sides needed- to remind themselves of that occa- sionally. He hoped everyone would pledge to keen :working towards maintaining a positive "town/gown" relationship. There would be disagreements, but those should not allow the two entities to become adversaries. The entities should remain good neighbors and partners on issues of mutual concern. Councilmember Fl etc_oer was grateful Stanford had an open meeting policy which kept the City informed, and it was generally sensi- tive to the City's concerns. Mr. Doty "hit the nail on the head" when he said Stanford's staff was far more familiar with local conditions than the Board. That was clearly demonstrated in the Stanford West process when staff reported to the Council that the board disallowed this or that or would not agree to this or that. The City should have some communication with the Board of -Trustees since it made -the decisions, but might not be aware of the ioca1 political climate, conditions routinely imposed on developers, and the strict setback':: requirements in high traffic areas. The Stanford staff was probably aware of conditions, but was not the final decision making body. Stanford's board needed to be aware of all ci rcismstances the in order to be more realistic in terms of. 3 5 9 3 12/05/83_ As :Corrected 2/13/84 i 1 meeting_ the City's expectations of Stanford. She believed better= communication between the Council and Board was warranted. She hoped Stanford would remember that the requirements requested by tne City on Stanford West were the "minor irritants" referred to by Mr. Uoty. Counci hnember Renzei clarified the Committee did not intend that there would only be one person who spoke for Stanford on all is- sues, but rather when someone spoke on Stanford's behalf on a par- ticular issue, that person had authority to do so and represented the board, president, legal aspects and whatever else was neces- sary in the decision making process, so that the City did not hear one thing one day and something else the next, day. It was intend- ed that a spokesperson have authority to speak for the University and make assurances with respect to particular aspects of the. University's position on any given issue. Councilmember Levy said the management of Stanford University was probably a complex problem, and one of the most complex of any organization because it had a number of functions --education, research, hospital care, residential, industrial and commercial land, sizable employer, and a large deficit spending enterprise required to raise a substantial amount of money from the public each year. It was easy for the City to feel the people it dealt with should be buttoned up and able to represent themselves suc- cinctly in short memos and with one voice. It behooved the City -- as a part of its complex interrelationship --to recognize that a lot of people at Stanford had_ different objectives in terms of what the enterprise should be. He sympathized with Stanford as to the likelihood of a number of different objectives when it put together large scale projects such as Stanford West. It was worthwhile for both sides to understand that the nature of both institutions made it hard to speak with one voice. Counci 1menrber Eyerly asked what the last two items of the Commit- tee's recommendation meant without any resolution or direction. City Manager Bill Liner said staff had difficulty understanding the messages from Stanford and if the messages did not come from one spokesperson, .they were not consistent. Improved corruiun,ca- tion between the Council and the Stanford Board would be difficult to accomplish because a majority of the board members did not live in the area, and it would be difficult for the Council to make tnose contacts. Some board members lived in the area, and some served on subcommittees, but those contacts would be grade on an issue -by -issue basis. Counci lmember Eyerly saw no reason for -the Council to not approve the Committee's recommendations because they at least advised Stanford of areas where the City would like improved communica- tions. His own suggestions might be more down to "nut,.- and bolts," and were on the record, but he heard no loud cry for a resolution to try and do anything on communication. He hoped: Stdnford and the City would remember the points raised by the Com- mittee and tne comments made that evening for use as ingredients to keep both entities on track to achieve better communication. Counci member Klein associated himself with some of the remarks of Coeinci lmenber lienzel with regard to encoura-guig Stanford to speak w;'tn one voile on ar issue-by.issue basis, otherwise it was diffi- cult for .the City to understand Stanford's position. Regarding the :Stanford West issue, about six people presumed to speak ,on Stanford's behalf --President Kennedy, Bill Massey, Bob Freeland, Frank Morrow, Andy Doty, Phil Williams, and perhaps one or two more --and it -was .difficult for the City to understand Stanford's position because -people inevitably spoke .differently and: empha- sized different things. He `clarified the suggestions were friend -- ly advice -to Stanford, and did not - bel #eve it was appropriate to crake it an official motion because S.tanford was its own entity, and now it ran its -affairs was .for it to decide, 3 9 g 4 1215/83 AMLNUMENT: ` Counci lrriember Klein moved, seconded by Cobb, to delete recommendation (0 that Stanford ensure a spokesperson take responsibility for communication with the City of Palo Alto on projects of mutual interest. Counci lrnernber Renze1 opposed the amendment because it was irnpor.- tau,i for the Council to officially express to Stanford some of the problems it experienced. The expressions did not need to be un- friendly, but a recognition that the problem was experienced, and to encourage its correction. Regarding improved cornmuni_c:..ion be- tween the City Council and the Board of Trustees, the l.C+rumittee intended that from time to time where appropriate, staff reports or other documents would be forwarded to the individual board mem- bers, and their residences were irrelevant. It would be valuable for the Board. of Trustees to receive a summary staff report with respect to a biy issue like Stanford West indicating the City's position and what it considered to be the major issues with respect to a particular project. The Committee recognized it would be inappropriate for the City to request that Stanford in- clude a member of the City Council on its board, but believed because the Board came from various parts of the country, were volunteers, and worked part-time as board members, they would greatly rely on the advice of the Stanford staff. When the Stanford staff returned to the City Council and said the board disapproved of something, it was hard to know from where that recommendation came. It would be helpful for the City to make sure the board had pertinent information. She urged that Council defeat the amendment because it was important to express the prob- lem. A problem could be discussed, but 1f it sat without some official action, it would not have much meaning. Councilmember Levy supported the amendment and did not believe the City could lec,islate clear communications. Oftentimes, it was more clear to hear from several people rather than one person. In its deliberations, the Council encouraged that the City Manager not be the unique spokesperson for the City staff, but that mem- bers of his staff communicate with the Council. Similarly, with a large ongoing project such as Stanford West, it might not be Stanford's best representation to have al l information to the City Council and City staff filtered through one person. lie. agreed it was up to the Univer:.ity to determine what it believed to be the best way to communicate with the City. Stanford realized the benefits of one indisputable statement through one spokesperson, bet also recognized the benefits of sometimes having a number of different people communicate in a complex project. AME.NUMEMT PASSED by a vote of 5-4, Fletcher, Eyerly, Renzel, Witherspoon voting no. Councilmember Klein said improved communication between the City Council and the Stanford Board of Trustees should be pursued because in his recent conversations with different trustees, he did not believe they got the full picture on Stanford West, and he worried whether that was the case on other major items. If the City Council wanted to make sure the message got through to the Board of Trustees, it might have to take that responsibility it- self. Counci lrnember Renzel painted out the City must not forget the pub- lic in the -process. There was talk -Of Counci lmembers meeting with Stanford, the two staffs meeting, and lots -of communication and liaison committees, but at the end of the process, when final decisions were made, the decisions should not .be so embedded in concrete that the public was.. left out of the process. fIUIIUM IBS AMENDED PASSED unanimously. 'RECESS TO EXECUTIVE SESSION RE LITIGATION COUNCIL RECESSED TO EXECUTIVE SESSION RE LITIGATION FROM 10:00 p.rn. to 10:30 p.m. .3 9 9'5 12/5/83 ITEM N16, REPORT FROM COUNCIL LEGISLATIVE COMMITTEE ON THREE : 15:3j Mayor Bechtel said the Council Legislative Committee met twice and made the recommendations: 1) in support of the new partnership task force; 2) to oppose the 1983 Jarvis initiative; and 3) oppose SCA-2 to limit any possible gun control bans. MOTION: Mavof Bechtel moved, seconded by Levy, approval of the resolutions and that the resolutions be converted to letters for transmittal. RESOLUTION 6203 entitled "RESOLUTION OF THE COUNCIL OF it cI r? OF PALO ALTO EXPRESSING SUPPORT FOR THE RECOM- MENDATION OF THE INTERIM REPORT OF THE NEW PARTNERSHIP TASK FORCE ON STATE AND LOCAL GOVERNMENT" RESOLUTION 6204 entitled "RESOLUTION OF THE COUNCIL OF !Nt UM !3F PALO ALTO OPPOSING THE 1983 JARVIS INITIATIVE" RESOLUTION 6205 entitled "RESOLUTION OF THE COUNCIL OF IIlE CITY OF PALO ALTO OPPOSING SENATE. CONSTITUTIONAL AMENDMENT NO. 2 RELATING TO FIREARMS" Councilmember Fletcher asked whether resolutions were better than letters especially when directed to one legislative body. Mayor Bechtel said staff wanted to have a record at the City Council level, but that any resolution would be converted to let- ter because resolutions were not an effective means of communica- tion. She said on Friday, December 9, 1983, she would speak at Assemblyman Cortese's local government committee in support of the new partnership finance recommendations. Councilmember Cobb said individual Councilmembers needed to do more on the potential Jarvis Initiative than just pass the resolu- tion. The impact of the initiative on Palo Alto would be devasta- ting because of how it related to the City's utilities.. The Councilmembers must be outspoken on the issue and do everything possible to convince people that the initiative was a bad idea. Mayor Bechtel agreed, and said she received a mailing at her home that was filled with misinformation. If the initiative passed, it would be devastating. MOTION PASSED unanimously. ITEM #16-B (OLD ITEM f2), REQUEST FROM PALO ALTO UNIFIED SCHOOL DISTRICT RE CUB3ERLEY Pr ZONE MO6IFICATTON - REFER 10 PLANNING -CITMlki I s -S TUN Councilmember Cobb said he removed the matter from the Consent Calendar because Item /4 of the areas open for consideration, as shown in the staff report, was the rezoning of the Cubberley site to PC. NOTION: Councilmember Cobb moved, seconded by Witherspoon, that the request from the Palo Alto Unified School District re Cubberley PF Tone modification be referred to the Planning Commission with the possibility of a PC rezoning deleted from con- sideration. Councilmember Cobb said the Cubberley site was one of the most important sites remaining in the City with the possibility of sig- nificant change over the next decade, and a change from its pres- ent zoning should be done with considerable publ discussion and 3 9 9 6 12/05/83 As Corrected 2/13/84 thnirghL The idea of considering- a PC without extensive discus- sions with residents and everyone else was out of line, and should not be opened until the City was ready to deal with it in a thoughtful and open way. He had no problem with the other areas of different uses, but believed any consideration of a change to PC should remain for future discussions, with a lot of involvement with a lot of people. Councilmember Renzel said she had a similar concern with respect to expanding the number of uses on a permanent basis. Dependent upon how economic the City made the use of the buildings; it could permanently remain in the present condition which might be fine for the City if it had the use of the playing fields, etc. The City must be careful to not create a defacto new commercial zone when it might choose some other zone for long-term planning. She was happy to make the referral to see what the Planning Commission might recommend, but expressed her concerns because if the site was made too useful for professional offices, or whatever, it right create a situation of permanency when the City had another idea in mind for long-term planning. Councilmember Klein said the staff recommendation was to refer the matter to the Planning Commission, and the four items referred to by Councilmember Cobb were items the staff would study if the referral was made. He understood the motion was the recommenda- tion as it appeared on page 2, plus a direction to staff to study at least the three items, but to not study item 4. Councilmember Cobb -said that was the thrust of his motion. He had no problem with the matter being referrer; - to the Planning Commis- sion, and the goal should be to keep the public uses of the field, etc. If the referral would help do that, he was all for it, but did not want a PC considered until the Council was ready to con- sider it. Councilmember Klein said the matter was a referral item and the Council should not make direction as to the advice it should receive. The Commission should give it i_ts best shot, and rrrany already stated a PC was inappropriate, and that was okay informal- ly. The Council had the Planning Commission and staff to provide advice, and after receipt, it was appropriate for the Council to approve or disapprove as the final arbiters of such matters, SUBSTITUTE MOTION: Councilmember Klein moved, seconded by Repel, to delete all four specific items to be studied and'refer to the Planning Commission. Vice Mayor Witherspoon supported the substitute motion, and ex- pressed her concern about the entire issue. She locked at the school sites located in residential zones as specially privileged because of the convenience to the education of the children, and when those sites became -a commercial enterprise, it opened a new can of worms that would remake the City's problems with churches in residential zones minor by comparison. She believed if the school district wanted to start making a commercial enterprise out of Cubberley, it should be up ,front about it. It - would not be an interim use, and would have to be done through a real zone change. She did not believe it was appropriate to make little changes here and there to the City's existing zones and the conditional uses n lowed therein, Councilmember Renzel concurred with Vice Mayor Witherspoon and indicated that at some point when the school district declared its property surplus, the City was asked to prezone the property. She did not want staff or _anyone to pursue anything with respect to the Cubberley site that would prejudice the City's ability to do real planning for, the site when it was required to do '_so. The Council must recognize that whatever was done in terms of expand- ing uses would have ramifications in terms of the prezoning prior to the school district's disposing of its site. Co4rrrci lmenaber Levy believed the Council should be more focused iii recommendation reco nendation which was the thrust of Counciliiieiiiber Cobb's motion. He 'agreed a planned community was not acceptable, and believed the only difference between the substitute• motion and Councilrnember Cobb's motion was whether the planned community should .be considered. By keeping the matter open, but expressing opposition to a planned community and other options, they would not be considered. The clearer communication would be to assure the concept of x rezoning to PC was not on the Pl anni ng Commission agenda. He would not support the substitute motion and favored Councilrnember Cobb's motion. Counci linember Cobb said it was nice to talk in theoretical terms about plans for the site, but reminded the Council all indications so far from the school district were that the site might be ten years away from being declared surplus. Further, for those who lived in South Palo Alto,- that site was a critical element of their open space recreational activities, and the Council must take a clear and thoughtful short term view to permit the school district to operate in such a way that the City did riot lose those uses for the people of South Palo Alto who cared deeply. He ap- preciated long-term planning, but did not wa{+t to lose sight of the long-term objectives of preserving those public uses which were so important to the people of South Palo Alto. He wanted the Planning Commission to have a clear reading on that fact for the short term. Councilrnember Eyeriy asked for clarification of the substitute motion. Councilrnember Klein said his motion adopted the staff recommenda- tion to refer the district's request to the Planning Commission for advice. He wanted the referral left open-ended. Mayor Bechtel supported the substitute motion because the staff report said staff would investigate a number of options, and they should be left to make those investigations. SUBSTITUTE MOTION PASSED by a vote of 5-4, Fletcher, Fazzino, Levy, Cobb voting "no.'° ITEM #I7, TERMAN HOUSING PROJECT - REVISED CONVEYANCE AGREEMENT l�li G : off} ..3 Real .Property Administrator Jean Diaz said last June the Council approved the option agreement for the Ternan housing project wnich included the $920,000 purchase price for the housing portion. In that report, staff indicated that given the HUD review process and its unknown specific reaui rements, it might be necessary to return with some amendments, HUU approved the project subject to some changes in the agreement as noted in the marked up copy of the revised conveyance agreement. The $920,000 was untouched despite the fact that HU0 approved substantially less monetary support for the project. HUD, like a lender, looked at a project in a manner to enhance its security. The first significant change was -on page 4. Initially, the City indicated that very low income units must be made available to elderly and/or handicapped households.e HUD said that' must be stricken --and the City must substitite wording that the buyer roust make its best efforts to make such units available only to elderly. - That did not change the specific ale locations between senior, handicapped and other units contained in the specific plan. It only dealt with the allocation between very low income units should there be a requirement for that. At the bottom of that page, there was.a statement in the event HUD ac- quired title to the project by foreclosure or by deed in lieu of, foreclosure, HUO would not be• bound by the use restrictions con- - tained therein. f'rov_isions In the agreement restricted HUD's f lekibi l ity in sel i i:ig that pr'ojecte--primarily, the= option ---treat it would have`. to convert affordable units to Market trate units to 3 9 9 8 12/5/83 i 1 4/1 enhence iiie marketability and thereby get their net .of a sticky financial problem. The City's protection was as follows: "It 13 understood that in the event buyer defaults, the City has the op- tion to come in and cure the default prior' to foreclosure," or ex- tinguish HUD's interest in the project by somehow buying them out, and the city retained its control over the property in tact. The City initially had an option to repurchase the project at the 50th year, and HUD required, that it be at the 55th year because it con- sidered the option to purchase analogous to a lease. According to the HUU regulations, the minimum term of a lease must be equal to the maximum term that the lessor was allowed to enter into, and the City's charter limited its ability to enter into leases up to 55 years. On page 6, just before clause 5, "Seller's right to ap- prove transfers and to inspect," the bold wording indicated that in the event seller exercised its repurchase option, it shall then assume the obligations under any existing deed of trust naming HUD or any HUD insured mortgagee as beneficiary or any other deed of trust previously approved by seller. The initial HUD loan expired well before the 55 -year period, and with other language in the agreement, on any refinancing that extended past the date of the city's option to repurchase, the City must consent. The City had the right to approve any refinancing or other monetary encumbrance that extended beyond the time of the City's option to repurchase. The condemnation awards clause was another specific requirement of the HUU regulations and basically allocated any award out of con- demnation between seller and buyer equal to the sale arrangement currently being entered into, The City would obtain 40 percent of the market value of the land --what it paid for the land for the conveyance of the property --and the 60-40 percent relationship held throughout in terms of the value of the land: Staff believed the requirements of the specific plan were intact, that the City had adequate protection to ensure that the specific pt•ar adopted by the City Council would remain intact and control the use of the property throughout the agreement. Councilmernber Renzel said reyarding the change that "buyer shall use its best efferts`S rather than the units must be made available to elderly or handicapped, that it was said it did not change the specific allocations between elderly and handicappers, and other individuals, and she -asked whether that meant specific plan allo- cations. Mr. Diaz saiu the allocations set out in the specific plan were not altered by the change. Counci-lmember Henzel clarified the specific plan required that the below market units or Section 8 `units specifically be designated for elderly or handicapped. Mr. Diaz said the Housing Section of the Specific Plan`on page 25, indicated that a maxirnurri of 80 to 9Z dwelling units would be built. Eighty units was based on all units being for families, and 92 was based on a maximum of 30 percent for elderly with two elderly units being substituted for each family unit, etc. That formula was not changed --if HUD should establish a -`requirement that very law income units must be provided, instead of forcing those to be all seniors and handicapped units, the merman Asscici- ates must crake their .best efforts to crutch the very -low income units for seniors and handicapped. Director of Planning and Community Environment Ken - Schrei b.er said page 3 of the Conveyance Agreement still contained intact the sen- tence, "said project shall be constructed .and operated consistent with the terms and conditions set forth herein and in the Terman Specific Plan adopted by the City on May 3, 1982.'1 That was the basic governing document in terms of the allocation of units-, and he regarded the Other--- Wording-. as satisfying some o'f hUD's con- cerns, but it did not override the. Specific Plan. 3 9 9 -9 Cvurrc i i rirembe r Henze! Sala the bottom of page 4 said:. "if HUD ac- quired title by foreclosure, it shall not be bound by the use restrictions container! herein." She, asked what "use restrictions" were 'eferred to. Mr. Diaz said it was boilerplate language fnr HUD packages. As he understood the intent, if HUD acquired an interest in the property by foreclosure, it did not wish to be bound by any requirements that said certain units had to be affordable at less than market rents. It wanted to be able to capture as much money out of the project as possible to bail out. Staff included wording to get the City around that particular specific wording that HUD required to indicate that she City had -the option to come in and take care of the problem or buy out HUD's interest and obtain 100 percent control before it went into foreclosure. Councilmember Renzel wanted to be certain that the use require- ments were related to the requirement that the funds be used for moderate and income housing as opposed to market rate units. Mr. Uiaz said that was correct, and staff believed that other provisions of the Specific Plan would so govern. Counci lrnember Renzel said on page 5, under _ sel 1 is option to repurchase, she found the price --the consideration for seller's forbearance or refusal to exercise its option to repurchase a sum equal to 60 percent of the then .current market value of the prop- erty (land only)-, to be somewhat ambiguous. On page 7, the lan- guage was much clearer and said 60 percent of the land component. She was concerned that 55 years from now, she would not remember the details, and risked whether the City should be explicit about what was meant. Mr. Diaz said the intent went back to the 60 percent/40 percent ratio dealing with that portion of the property. The $921,000 being received by the City represented 40 percent of what it had to buy the site for. Clearly, the intent was to apply that 60 percent to the then current value of the land component, He believed the City was okay because "property" was defined earlier in the agreement as being the property as it was now being cone veyed to the developer without improvements, and especially Since the record contained the legislative history. Councilmember• Renzel asked if the- Council could approve the revised agreement as written, but express a preference for more explicit language from HUD, -as used on page 7, in order to not delay the process and obtain assurances that -tire documents were explicit for future reference. She did not know how many Council - members would b'e around in 55 years, and could not project the condition of the records, It was a significant option and would undoubtedly be more significant in 55 years. Mr. Diaz suggested the item be highlighted in a cover letter with staff's transmittal of the signed agreement, end that the cover letter be attached to the final- signed copy of the agreement con- tained in the records of the City Clerk as well as in the Real Estate Division records. Counci !member Renzel said that would satisfy her. She asked how the City would be reminded in 55 years that i+t etas time to buy the property back for $1 or be in default. Mr. Diaz said he intended to be sure the. ''City had seven or eight back up tickler systems. He was currently workin on an annual report from the Real Estate Division where each piece of property where the City had a contingency or residual_ interest was tracked. The agreement before the Council was a classic example of the kind of agreement where there were continuing rights and obligations and interests of the City, and would be the kind of document reflected in the annual report. 4 0 0 0 12/5/83 Coinci itrernber Cobb said he was concerned about the changes with respect to the best efforts and HUD not being bound. He gathered HUD said to make the change, and the City's reaction was that it did not have much choice --it either went -along with it or the deal fell apart. He asked if that was the case or whether the changes were arguable. Mr. Diaz said HUD approved the project contingent upon, the changes ocin9 made. He spent a lot of time with the HUD attorney in an attempt to find out HUD's exact requirements and working out lan- guage to meet those requirements and provide the City protection ayainst its protection. He believed HUD was firtri in its require- ments, and the other problem was -a matter of timing. The project relied heavily on mortgage revenue bonds and the tax exemption that went along with it. Congress adjourned its session without extending the tax exemption status for mortgage revenue bond pro- grams; therefore, the tax exemption expired on December 31, 1983. Sending anything back to HUD at that point would create the possi- bility of not getting any type of ruling in time to go ahead and complete the project beforie the December 31 deadline. Counci lmember Cobb said he felt like a gun was being held to the City's head with some of the clauses, and if the City wanted to include some language to define "best effort" or language that said HUD would make a best effort to abide by the use restrictions herein, etc., he asked if those changes could basically stop the agreement. Mr. Diaz said that was his understanuing based on how long it took to get the package through HUD initially. He deferred to Glenn Miller for further information. City Planner (Glenn Miller said regarding the current status of the HUD department, it went through a reorganization with new people in every position especially on the housing side, but not so much the community development. Any change requested from HUD would probably take an extensive period of time, and it was difficult to yet HUD to take major steps to bring the project to its current level. Mr. Schreiber said the "best efforts" phrase applied to the Hous- iny Corporation/Goldr ch, Kest Associates and whether they made their best or worst efforts to make units available only to elder- ly or handicapped made no difference because it was not only in- cluded in the conveyance agreement, but attached to the conveyance agreement were the relevant portions of the Specific Plan that governed the site. His interpretation of the changes showed nothiny to overrule the Specific Plan, and the attachments to the conveyance agreement contained at least twice the Specific refer- ences regarding the breakdown of family units and elderly units. He believed i n teems of that phrase; the City was dealing with HUD bollerplete language that it preferred. in reality, he did not believe it would make a difference in terms of the Specific Plan and the regulations that applies' to the site. Further, there was anticipated to be tar more demand for the elderly units than could ever be sdt;sfied, and in that sense, the discussions were focus- ing on something of no 'significance in terms of- the operation of the site. Bob Moss, 4010 Urme, spoke as a member of the Terman Working Group with. proxies from the `three representatives who could not -attend .the meeting, the Jewish Community Center, and some of the neigh - bars around Terman who attended. the meetings earlier in the year and who were concerned about having Section 8 housing on Terman. Their concerns also related to the two changes made by HUD, and With regard to the very low income requirement, they were bothered becaus44 they were told. most recently that it was a red herring and there was no such thing. .That was probably true, but the neigh- borhood representatives were assured the very low income - require-ment would.be limited to seniors, and rranaged to convert the most 4 0 0 1 12/;x/83 rabid opponents by use of that restriction, which was now poten- tially loosened. He agreed with the staff comments that if the units designed and intended for the elderly were not used as such, it would be in direct conflict with the Specific Plan. He did not believe HUD could enforce any requirement that would change the u se of those elderly. units. ':lath regard to the usage restric- tions, it should be explicit that HUD was bound by the usage restrictions which related to the Specific Plan --site design, cov- erage. He did not want HUD to come in and say it was an RM-3 zone and therefore HUD did not have to observe the site restrictions which were greater• than those imposed on an RM-3 Tone. Those were carefully desiyned to make the use on the s s to More compatible. He suggested the.use restrictions that HUD was not bound by rela- ted to the below market component of the project or rental versus ownership project, and if HUD wished to change that, it was free to do so. That would allow HUD to sell the units for market value providing it met the terms of the City's .condominium conversion ordinance and allowed it to rent up at market rather than subsi- dize if it was found to be financially necessary, and it would not ✓ iolate the Specific Plan of the Terman agreement. it would vio- late the community concern for subsidized housing and lower income housing, but would not violate the intent in terms of the housing component in genera 1 . he asked that when the '_:i ty returned the conveyance agreement to HUD, some language be included to make it explicit what HUD would be released from if it did not have to comply with the use restrictions; that it was not open-ended and that it applied only to specific components of the project. If that was done, he believed it would eliminate a lot of concerns. If HUD intended to abrogate the Specific Plan or agreements by gleans of the conveyance agreement, it had a major fight can its hands. Sam Sparck, 4099 Laguna, spoke as the other neighborhood repre- sentative to the Terman :forking Group. He appreciated Mr. Diaz' explanation and the other comments made, but was concerned about the two changes made by KUD on page 4. The changes were in the form of contingencies, and as worded, they would only take effect some time in the future after the development was constructed, The construction plans that governed the development were on file, HUD approved them, and they were in the last cycle of City approv- al, and were unlikely to be changed, 'ihe plans seen in the past would probably be the ones to go into effect. If the project was constructed. according to those plans, the City would sit with 68 family units, 24 one bedroom senior units, for a total of 92, with all other major parameters laid out. If something triggered HUD's concerns, he asked for clarification as to how the project might be affected or altered at that time. He was concerned that in some fashion, somehow something might happen to the pr,eject under HUD directives that neither the residents nor City Council wanted. Hopefully, since it appeared unlikely that the City could even get the most minor change in wording, all possible safeguards, explan- ations and clarifications should be put into a cover letter to be on record. Rebecca Heck, 4216 Los Palos Avenue, resided in the area, and was concerned about the wording on page 4. She disagreed with Mr. Schreiber and said it mattered to her :that the elderly housing would •not be guaranteed as the very low income if HUD made a .. reyui rement of very low income. That was what the residents were promised, and she believed it was vialat.ed if the.. wording were changed. She understood that it was unlikely. to occur, but one could not tell what would happen in the future. She wanted that portion nailed down, and HUD`s wording should not. be accepted. It should be stated that such, units must be made available only to e lderly just- as _originally proposed. Regarding liUD not ,being bound _by the use restrictions cont.aified herein, it .was not good enough to state a belief about HUO's meaning. sThe residents were under the impression that-. the housing project would always be maintained by the City or -a . City agency such as the Housing Cor- poration. Even; when: the City entered into agreements with the 4 0 0 2 12/5/83 developer, the .residents were concerned that the developer not have more to say about the project than the Housing Corporation. She realized there was an out clause for the City to take certain options, but there was no guarantee the City would be able to. She did not believe the City Council could agree to that type of wording because the residents were assured of something else. The City was being threatened by HUD with a deadline to make conces- sions that were never intended to occur, and •the Council must deal with that. Marilyn Zatz, 959 Mears Court, President of the Palo Alto Housing Corporation, said there was some confusion about the status of the 24 elderly units. The contract signed by HUD for the Section 8 allotments over the next number of years specified that the senior units were to be subsidized --not market units. That would not be changed, and she was concerned some people believed those could be switched to'fawily units and not provide the subsidized units for the elderly. Mayor Bechtel clarified- that all 24 of the elderly units were under Section 8, and she asked how many family units were Section 8. Ms, Zatz said thP_re were 72 subsidized units ---24 elderly units and 48 family units. Mr. Schreiber said if HUD ended up owning the property, the eriti- ca 1 sentence was on page 4, "It is understood that in the event buyer defaults, the City could step in and take a series of ac- tions to maintain control of the property." As a matter of law, if the federal government acquired fee. title to property in Palo Alto whether it was the Veterans Administration Hospital, Post Office site,, or a long-term lease, it was not bound by any local regulations. If the section HUD added ended after the words "restrictions contained herein," there would theoretically be the possibility of HUD taking over the site at some point in the future. With the additional sentence Mr. Diaz had HUD agree to insert, the City maintained control. If for some reason, the City decided in the future that it would be in its best interests to have HUD own the site, the risks and benefits of doing that would be clearly known and it would be a City Council decision to be made at that time, which was the prerogative of a City Council at any time. -The Specific Plan stated that the City would endeavor to maintain control over the site in terms Of its negotiations with the district. Mayor Bechtel believed Mr. Diaz and other City staff worked hard to rake it an excellent conveyance agreement within the restric- tions and limitations in working with HUD. By adding the sentence at the top of page 5, the City was protected and had the right to repurchase the property. The possibility of it not being acccord- ing to the formula previously agreed upon was so remote the Coun- cil should stop nitpicking at the minor wording change required by HUD. MUTION: Mayor Bechtel moved, seconded by Klein, to adopt the staff recommendations to: 1. Authorize the Mayor to sign the% Revised Conveyance Agreement upon notice from the Real Property Administrator that Terman Associates have satisfied each and er ry condition of the Option Agreement;- and 2. Authorize the City Manager and City Attorney or their desig- nated representative to sign incidental documents and approve last minute nonsUbstan,tiai amendments. . AGREEMENT Terman Associates 4 0 0 3 12/5/83 Vice Mayor Witherspoon said staff did a superb job in getting everything possible out of HUD to protect the City. She did not see how the Council could bind future City Councils for the next 55 years. Them riiight be a remote chance that the project went into default, and she could think of about ten ways to keep it from happening. If a future City Council decided that the project should change, it would have to decide then. It would be a poli- tical process many years down the road. She believed the agree- ment provided the future City Council as many options as it could possibly acquire under a HUD agreement, and it was probably a good document. Councilrnember Cobb said earlier it was stated that a letter of transmittal would yo along with the conveyance agreement to clari- fy and point up the kinds of issues raised that evening with respect to some of the language changes. He asked if that was something that would happen as a matter of course as a result of the discussions, or whether it should be required by some specific motion. Mr. Diaz responded that a formal letter of transmittal on a docu- ment was a matter of standard procedure, and in the subject case, it could be the vehicle to include the City's interpretation of certain things it wanted to highlight. From the sense of the Council meeting, it was clear that it might be important, and staff would include as much clarification as possible in the transmittal letter. Counci lmember; Cobb clarified that it was important to do so, and he asked whether to make an amendment to that effect or whether it would be done, Mr. Diaz said it would be done. Councilmember Renzel wanted assurances that the ambiguous language on page 5 would be clarified. She believed that 55 years from now someone Would have to make decisions, and she "anted to be clear about what the 60 percent represented. MUTIUN PASSEU unanimously, ITEM #18, TERMAN HOUSING PROJECT BUDGET At ENDMENT ORDINANCE (CMR : 6Ut): 3 ) Real Property 'Administrator Jean Diaz said the Terman conveyance agreement would cause a cash inflow to the City of $920,0UC. Under the proposed budget amendment ordinance, the $920,000 would be allocated as follows: $441,750 to the school district in order for the City to have accumulated sufficient principal payments to obtain fee -- title to the 4.35 acre housing parcel; $272,320 as required by HUD to be reprogrammed to other eligible community development block grant projects, or 29.6 percent of the $920,000. HUL) regulations required that any money coming back be repro- grammed in a pro rata portion. If the budget ordinance amendment passed, he suggested that of the $272,320, $120,000 be repro- grammed ore allocated specifically for housing related Terman expenses, The project was approved by HUD with significantly less monetary support than applied for, and rather than reduce the $920,000 on the conveyance, by reprogramming the funds, the City could transfer the. money to help support some of the off site costs at no direct City expense.- The remaining $152,320 of the Cubt-money would go towards increasing the 1984-$5..CDBG allocation for those projects. The net balance 'e $205,930 would go to the Terman reserve, and at some point in the future, when the books were closed at the end of a fiscal year, the City could look at the Terman reserve and make any appropriate changes, Vice Mayor Witherspoon clarified the reallocation of $120,000 would be made within the guidelines established by the citizens committee, and it would review next year's ,allocations. 4 0 0 4 12/5/83 City Planne=r Glenn Miller said tie• Citizens Advisory Committee met on yeptember° 7, - and. approved reallocating up to $Z/0,000. The words "in principal" were suggested because- staff only recom- mended up to $110,000. A resolution was adopted that included up to $Z/U,UUU for Terman off site costs. Vice,Mayor Witherspoon said it was important for the record to reflect that the Citizens Advisory Committee made a recommenda- tion, and that the Council did not arbitrarily decide the guide- lines. Councilmember Renzel asked if it was City's standard process for the CUI3G funds committee to meet mid -year to advise on any subse- quent allocations. Mr. Miller said yes. The schedule was changed for 1984-85 proj- ects, and the Committee would meet from January to March in 1984. Councilmember Menzel clarified that the process applied to any reallocations that might occur in'the future. Mr. Mi 1 ler- said it was not an arbitrary reallocation --the Citi- zens Participation group only required an actual public advertise- ment in the newspaper during the City's regular allocation proce- dure, but that a meeting was called for the actual intertransfers of funds., etc. in the subject case. Uirector of Planning and Community Environment Ken Schreiber said there was a -procedure for allocation or reallocation. The Commit- tee recommendations went to the City Council and were generally smaller amounts and ended up on the Consent Calendar. MOTION: Councilmember Menzel moved, seconded by Fletcher, ap- proval of the budget amendment ordinance and authorize reimburse- ment of up to $120,000 of MSG reallocated funds for housing rela- ted off ,ite improvements on the Terman site. ORDINANCE 3493 entitled "ORDINANCE OF THE COUNCIL OF THE ALTO AMENDING TH"s: Q9DGET FOR THE FISCAL YEAR 1983-84 TO PROVIDE AiiD i T I ONAL FUNDING TO THE LONG- TERM DEBT RET1REf4EtIT FUND FOR TERMAN SCHOOL SITE ACQUISITION; T9 ESTABLISH AND PROVIDE FUNDING FOR CAPITAL IMPROVEMENT PROJECT NO. 83-25 'TERMAN OFF SITE HOUSING IMPROVEMENT'; AND TO PROVIDE FOR RECEIPT OF REVENUE FROM THE TERMAN ASSOCIATES" Councilmember Levy asked for assurances that the sources of funds were known and subject to previous Council approvals. He asked if the 4441,15U being conveyed to the school district was part of the purchase price, and terms of the purchase agreement with the school district. Mr. Diaz said yes. Under the purchase agreement with the school district, the City had the option to acquire fee title to the housing parcel at that point when sufficient•principal payments to equal that portion of the site were ma -de. In order to reach that point in principal payments, the City needed to -pay an additional X441,15U, C uncilmember Levy clarified that the $441,000 was already Within the Terman reserve. Mr. Diaz said there Pia, no specific al -location to exercise the City's option. Councilmember Levy• sa'd a large amount of money was put into the lerman reserve, and he asked if that amount included the $441`,000. 4 0 0 5 i12/5/83 City Manager tai l l Liner said the money contemplated the _$441,000 payment. CounciImerrber Levy asked whether the receipt of $920,000 was con- templated within the allocation of the Terman reserve. Mr. Diaz said the Terman reserve was established prior to discus- sions about a housing project, and he did not believe the reserve reflected receipt of the $920,000. Mr. Laner said Mr, Diaz was correct. Councilmember Levy clarified the Terman reserve was expected to be adequate to greet the total costs of the Terman acquisition, and that essentially the $920,000 was excess except for minor changes that took place since the reserve was established. Mr.. Laner said that was correct, and assuming the initial amount screw sufficient interest to pay off the Terman property, the entire $9 million was not placed in reserve. A lesser amount was designated with the anticipation of interest. Councilmember Levy believed the recommendation to put the $920,000 into the Terman reserve was inappropriate accounting. Mr. Diaz said that in effect the budget amendment ordinance would only allocate the $205,930 re,:raining to go into the Terman reserve after all transactions took place. The $272,320 to CI)BG was a requirement; and the $441,750 would be used to maid the City's payment to the school district out of escrow. In terms of book- keeping, - an account was established within the proposed budget amendment ordinance to transfer the money, but in effect, the money to pay the school district would come from the $920,000 out of escrow. Counci lfrrember Levy believed it was more appropriate for the $920,UUU to go into the 4erman reserve from; a proper accounting standpoint. Acting Controller Clayton E. Brown said that after providing for the replacement of the CUBG funds, slightly more than $647,000 would remain which could be allocated either to the Terman reserve or back to the reserve for capital projects. It was not a .ques- t i on of accounting methods, but the Council should decide on the a.l location. The forecast indicated that the funds set acid for the Terman project reserve Were sufficient, that the $64'1,000 could go back to capital projects, and be so allocated if the Council desired. Councilmember Levy said with regard to timing, the Council should approve the $920,000 and $441,000 payments. Mr. Diaz said the CDBG portion of the allocation should also be approved. Caurici lnieMber Levy asked whether any time constraints would pre- vent the CIP d3-25 project from being returned to the Finance Committee for discussion of the off site improvements, etc. Mr. Diaz said it was important to clarify that CIP 83-25 was only an account number where the $120,000 could be placed while current -off-site work Was done by the City and deveoper under Phase I of the Terman contract. When the off site work was completed, they could effect reimbursement to the City. The C I P was not for any work, but --a place to: put the reallocated CUBG funds. Counci lrnember Levy asked i f ,_the $120,000 was approved. Mrs Di:az said_. not putting the money aside, but off site work was largely approve i .as part of the Phase I contract for. Terman, and in the 1983 Capital Improvement Budget. 4 0 0 6 12/5/83 Mr. Laner said money was allocated that year in the CIP for Terman improvements. Councilmember Levy asked what would happen to the other $120,000 if the money were replaced with the CDBG funds. Mr. Zaner said the funds would be freed --the CIP project would be unexpended and moved back to the General Reserve at the end of ;he year, unless additional work was needed, which was not contem- plated. Coencilmember Levy asked for clarification that a CIP project was approved to expend the money. He suggested that money be put into the CIP project for an extra $120,000 and reverted to the General Reserves. Mr. :Liner said it was easier for tracking to open a separate ac- count. It made no difference, but as CUBG funds required isola- tion, they were put into a separate fund. Mayor Bechtel agreed with Counciimernber Levy's concern about the validity of the destination of the remaining moneys. Of the $647,000, after C!?BG reimbursement;, $205,000 would be left. Mr. Latter said $400,000 was already in the Terman Reserve to pur- chase the school property: and replacement of $440,000, would leave an extra $400,000. Mayor Bechtel believed whether to increase the Terman reserve or return the money to the General Fund . was an issue that should be discussed by the Finance and Public Works Committee. She opposed the establishment of the Terman reserve because it would tie the hands -of the Council, while others believed careful tracking was necessary to avoid overspending. If the F&PW Committee desired, t could discuss the size of the reserve and whether some should go back into the General Fund. Councilmember Levy said the Terman Reserve was set at a level for acquisition of Terman, and should not be overcommitted. AMENDMENT: Councilmember Levy moved, seconded by Klein, that of the $920,000, $272,000 be allocated to Community Development Block Grant (CVB(i) and $647,000 to General Reserves rather than Terman Reserves. Mr. Uiaz said the amendment would not ptise a problem to staff for completion .of the transaction, but the reserve fund was based on an educated guess of the necessities, and was subject to many var- iables. Presently, there were significant unknowns, and it 'night be better to wait until the end of the fiscal year, when a com- plete accounting of the reserve and a better determination could be made of future requirements. ents. Mayor Bechtel said Mr. Diaz's points were well taken, and she would hot support the amendment. The size of the reserve should be discussed at some more appropriate point in the future. Counci lmember l:yerly agreed with the amendment, but wanted to see it coupled with a staff report regarding the Terman fund, showing investment results, timing, interest paid, etc. After the report, the Finance Committee could recommend whether the $647,000 should stay in the Terman fund or go to,.the General fund, Councilmember Klein believed Counci lmeraber Levy focused on how the money should be nandled. He voted in favor of establishing the Terinan reserve in order to provide for careful accounting, and the amount was established on the advice of Staff.e Based on no infor- mation to the contrary, he assumed those figures were correct, and that no greater reserve was needed. 4 0 0 7 12/5/83 Counci hnember Renzei was concerned that staff had good reason for suggesting the money be put back into the Terman reserve. Mr. Uiaz mentioned some unresolved natters such as rents, and if the amendment tailed, she would make a motion to refer the matter to the Finance and Public Works Committee. AMEi4UME;iT PASSEL) by a vote of 5-4, Fletcher, Renzel , Witherspoon, Bechtel voting "no". MOTION AS AMENUEU PASSED. unanimously. ITEM #19, SE U T OF MAYOR BECHTEL THAT STAFF BE DIRECTED TO PkEIARE A K l R G H c —STAN FORD Mayor Bechtel said a similar resolution was passed in support of the 1985 Super Bowl. The Soccer Olympics would be held at the end of July and beginning of August, 1984. The City would be more in- volved than with:the Super Bowl, because nine games --including a semi -final --would be held at Stanford stadium. There would be opening ceremonies, and she was asked to find seven community mem- bers to serve on a Steering Committee, which would not be City - related. MOTION: Mayor Bechtel moved, seconded by Fazzino, that the City Clerk be directed to prepare a resolution expressing City of Palo Alto support for the soccer events to be held at Stanford next summer in conjunction with the 1984 Olympics. MOTION PASSED unanimously. ITEM #20, KEctUEST OF COUNCILMEMBER LEVY COMMENDING GUNN HIGH ACADEMIC DECATHLON AND Cal.. Councilmember Levy said Gunn High School won the Santa Clara County -wide competition in the academic decathlon, and Palo Alto High School finished second, He believed the accomplishment was worthy of commendation by the City Council. MOTION: Councilmember Levy moved, seconded by Klein„ that the City Clerk be directed to prepare a resolution commending Gunn High School and Palo Alto High School ' MOTION PASSED unanimously ITEM 021, REPORT BY CITY MANAGER WILLIAM ZANER RE FIRE ON ALMA - Au STORM UKAIN r. AM GE/SERV CES PROVIDED Mr. Zaner reported that the recent fire on Alma at Rudyard's Pub was out and firemen -were cleaning up. With regard to storm damage, about 90 percent of the work force was out by 6:00 a.m. an Saturday, and worked for 18 to 20 hours before resting. Some were called in frog vacation to provide weekend services.- Fourteen feeders to the electrical system were lost, which affected about IU,0ul' customers or one-third of the City's customers in terms of power {-ass. Foothi l l s, residents lost power for six hours, but the average was two hours and fifteen minutes. One underground system was lost temporarily. Clearing trees blown over caused 90:percent of the problems, and some Edyewood and Grove areas had no power on Monday. Most of the latter outages were due to a transformer problem that, occurred simultaneously with the storm. Staff responded well --in some instances power was restored fast, and other instances took more time. Counci lmember Eyerly asked- how many customers were without power that evening. Mr. Zaner said about 35 customers,, but power would be: restored that ni ght;�. and might already be reconnected, 4 0 0 8 -12/5/83 Councilrrrernher Levy said he lived across the street from the Walter Hayes area and lost power for 24 hours. He suffered a lengthy out- age during the previous story,;, and he asked if it was dire to ran- dom tree darrraye.or a rnisfunction of the system. Mr. Zaner believed the lengthy outage was a coincidence since there was nothing inherent in the system to cause it, but he would double check. Although switchiny and cross -tying were limited, it was possible. Councilmen:ber Levy believedL the Utilities Department should be commended for its response times, and that those response times should be publicized in order to make the cor:;munity aware of its efforts. Mr. Lamer said a major problem when trying to repair the damage caused by a major catastrophe or storm was that power lines ran through the many trees. Palo Alto was a small utility, and once the manpower was used, there were no crews on which to fall back. Palo Alto had only 15 people, who needed rest periods. He autho- rized both the Public Works and the Utilities operations to con- tract tree trimming crews on the spot to speed up work. The City tried to line up crews before the storm, but was only able to get one crew. Cbunci lmember' Cohb asked about the ,creeks that overflowed the previous year. Mr. Zaner said there were no problems with flooding. The wind in the trees caused the problems, and the shallow -rooted trees on the golf course again suffered substantial damage. There was some damage at the yacht harbor mostly caused by the wines. Counci lmernber Renzel suggested that cost comparisons be made com- paring cost of calling in crews for double shifts versus ender- yroundiny e:osti over a period of time. There might be merit in looking into a more aggressive approach to undergrounding utili- ties. AUJUURNML NT Council adjourned at 12:0d a.m. ATTEST: APPROVED: 4 U 0 9 12/5/83