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HomeMy WebLinkAbout1981-08-24 City Council Summary MinutesCITY COUNCIL Minutes CITY OF PALO ALTO Regular Meeting Monday, August 24, 1981 ITEM PAGE Oral Communications 1 1 9 8 Approval of Minutes 1 1 9 9 Consent Calendar - Referral 1 1 9 9 Consent Calendar o Action Master Social Worker - Police Department Contract for Administration of Self - Insured Employees' Health Plan, Dental Plan and Retirees' Health Plan and Premium Reimbursement Plan Fire Department Physical Fitness Program - Award of Contract Ordinance Authorizing the Northern California Power Agency to issue Revenue Bonds (2nd Reading) Ordinance re Crescent Park II Underground. Conversion (2nd Reading) Agenda Changes, Additions and Deletions Cultural Center Patio and Sidewalk Repair (continued from 8/17/81) Request of Councilmembers Eyerly, Fletcher, Henderson, Klein, Witherspoon re Additional Arastra Study (continued from 8/17/81) Fi:nance and Public Works Committee Recommends Approval of the Selection of the Firm of Wilbur Smith for Professional S rvtces for Downtown Parking Structures Study 1 1 9 9 1 1 9 9 1 2 0 0 1 2 0 0 j 2 0 0 1 2 0 0 1 2 0 0 1 2 0 0 1 2 0 1 1 1: 9 6 8/24/81 ITEM Golf Course Coffee Shop Lease Modification - Lease 166 Request of Mayor Henderson re Clean Water Grant Funding Request of Councilmember Witherspoon re Arastra Horse Boarding Fees Council Meeting of September 8 PAGE 1 2 1 4 1 2 1 6 1 2 1 8 1 2 1 9• Adjournment 1 2 1 9 Regular Meeting Monday, August 24, 1981 1 The City Council of the City of Palo Alto met on this date in the Council Chambers. at City Hall, 250 Hamilton Avenue, at 7:35 p.m. PRESENT: Bechtel, Eyerly, Fletcher, Henderson, Fazzino Witherspoon, Renzel (arrived at 7:45 p.m.), Klein ABSENT: Levy ORAL COMMUNICATIONS 1. Herb Borock, 3401 Ross Road, said that this month prospective candidates for City Council could obtain nomination packets from the City Clerk, and that one of the items included in the paf:ket_ was a copy of Chapter 2.10 of the Palo Alta Municipal Code (PAMC). relating to Conflict of Interest Guidelines. He thought it was appropriate for the Clerk to distribute. it since it was part of City law, but recalled that about two years ago, the City Attorney pointed out that Chapter 2.10 contained references to State law that had been superseded, and recommended that Chapter. 2.10, or at least those .parts which were obsolete, be repealed. He thought it was appropriate for City officials who were not covered by the City's Conflict of Interest Guidelines to Alle made aware through the PAMC of their responsibilities unde► the Political Reform Act, but Section 2.10 as now written did `snot do that. He referred to a Report from City Attorney, dated 'October_ 3, 1979, which .stated that the information presented in the report to the Council was information only pending further definition of. Counci l intention. As far as Mr. Borock knew, the Council had not indicated any further intent since that time. He said the Report referred to the requirements under the law for the Council, the City Manager and. other employees of appointed board and commissions. Then in reference to the Moscone Act, he stated that the Moscone Act, the previous legislation -requiring disclosure by planning officers and others, was superseded by the City's Conflict of Interest code discussed -in -that memo. He said that portions of. that Actwere referred to in Chapte► 2.10 of the PAM; and should _ be repealed.. He hoped that.one of the first acts that the new City Attorney performed_ would be to update Chapter 2.10 of the PAMC. 2. David Blumenthal, ..1766 Willow Road, read a.. letter into the record, which is on file in the City Clerk's Office, regarding.. the resolution of the problem regarding Paragraph 16 of the. Lifetime Lease for Oak Creek Condominiums, and commending Don Mayngr, the City Council and Scott Carey. . Linda Austin, 1540 Oak Creek Drive, said she had received a letter regarding the termination of her lease at Oak Creek. She called a number of people in an attempt to =ascertain what was. happening. She Said she ranted to stay at Oak Creek, and did not want to keep getting the runaround. COIJNC I LMEMUER RENZEL ARRIVED AT 7:45 . rn . City Attorney Don Maynor said he had not spoken to Ms. Austin's landlord, but the landlord was not Scott Carey, and his under- standing was that the landlord dnd not wish to continue his lease with her because he wanted to raise the rent. Mr. Maynor said he did not know if that was true, but that was what he was told, and that was a dispute betwen the landlord and the tenant. The City Attorney's Office and the City Council could not get involved. Mayor Henderson said it sounded like it was a job for the Rental Housing Mediation Task Force, and suggested that Ms. Austin call them. MINUTES OF JUNE 15, 1981 Councilmember Renzel had a correction on page 915, second para- graph, third line from the bottom, the word `"flog" should be '`bog down." Councilmember- Renzel had a correction can page 917, paragraph 2, 11 lines down,_ the line beginning with User's Tax should read, "User's Tax. It might well ...." Councilmember Klein said on page 893, first line, beginning with the word "when," change to read, :'between issues that directly_ and indirectly affected the JCC." MOTION: Vice Mayor Fletcher moved, seconded by Fazzino, to approve the minutes of June 15, 1981 as corrected. MOTION PASSED -unanimously, Levy absent. MINUTES OF JUNE 18, 1981 MOTION: Vice Mayor Fletcher moved, seconded by Klein, to approve the minutes of June 18, 1981. MOTION PASSED unanimously, Levy absent. CONSENT CALENDAR Councilmember Witherspoon advised that she would abstain on Item 6, Ordinance re Crescent Park II Underground Conversion Councilmember Renzel removed Item 3, Golf Course Coffee Shop Lease Modification. MOTION: Councilmember Fazzino moved, seconded by Witherspoon,. approval Of the Consent Calendar as amc,.nded. Referral None_ Action a MASTER SOCIAL WORKER POLICE DEPARTMENT (CMR:413:1). The staff recommends that the City Council authorize the. City Manager to sign a purchase order in the amount of $11,362, pay- able to the County of Santa Clara, Department of Social Services. The recommendation is in keeping with the exaendituies authorized i_n the current budget and the. Council's action for funding during 1981-82 AGREEMENT - MASTER SOCIAL WORKER Santa Clara County 1 " 1-'9- 9 8/24/81 CONTRACT FOR ADMINISTRATION OF SELF -INSURED EMPLOYEES' HEALTH PLAIT DENTAI FLAN AND RETIREES' RaLTii PLAN AND PREMIUM M AGREEMENT - PROFESSIONAL SERVICES MANAGEMENT AND ADMINISTRATION OF CITY OF PALO ALTO EMPLOYEES HEALTH PLAN AND DENTAL PLAN R. L. Kautz & Co. 1 1 ICMR:4fO.l) FIRE DEPARTMENT PHYSICAL FITNESS PROGRAM - AWARD OF CONTRACT AGREEMENT - PALO ALTO FIRE DEPARTMENT PHYSICAL FITNESS PROGRAM Fiscal Year 1981.82 YMCA ORDINANCE RE NORTHERN CALIFORNIA POWER AGENCY ISSUING REVENUE ORDINANCE 3298 -entitled "ORDINANCE OF THE COUNCIL OF THE CITY OF PALO. ALTO AUTHORIZING THE NORTHERN CALIFORNIA POWER AGENCY TO ISSUE BONDS (SHELL EAST BLOCK PROJECT - SECOND PHASE BONDS)" (1st reading 8/10/81, passed 9-0) ORDINANCE RE CRESCENT PARK II UNDERGROUND CONVERSION 2nd aaalazi ORDINANCE 3299 entitled "AN ORDINANCE AMENDING SECTION 12.16.020 OF CHAPTER 12.16 OF TITLE 12 OF THE PALO ALTO MUNICIPAL CODE BY ESTABLISHING UNDERGROUND UTILITY DISTRICT NO. 23" (1st reading 8/10/81, Passed 7-0, Witherspoon "not participating," Klein "absent.") MOTION PASSED TO APPROVE CONSENT CALENDAR AS AMENDED unanimously, with Witherspoon "not participating" on Item 6, Crescent Park II Underground Conversion, Levy "absent." AGENDA CHANGES, ADDITIONS AND DELETIONS City Manager Bill Zaner advised that item 3, Golf Course Coffee Shop Lease Modification, would become Item 9A. CULTURAL CENTER PATIO AND SIDEWALK REPAIR Continued from Councilmember Witherspoon said she had thought the proposed re- pair work was too expensive, and she suggested that staff look into alternatives such as putting wood decking down on the old concrete rather than going to the expense of removing it and laying a new patio. She said the Councilmembers had at their places a staff report evaluating that alternative. She thought she should have been more articulate as to what she had in mind because they included the cost Of removing the,old concrete patio which was not what she had in mind. She said that unless staff wanted to design a simple.wood decking over a concrete patio, she ,would vote against the ordinance. Assistant Director of Public Works George Bagdon said there were two reasons for removing the existing concrete. 1) A lot ` of the concrete was not stable and would, not support the piers that would be supporting the deck, 2) They want to ._remove the concrete in order -to allow root growth. They did not want to promote: root growth, but real lied that it would take place, and the space that would be present by removal , of the concrete would allow that 1 2 0 0 8/24/81 growth. Councilmember Witherspoon wondered why concrete was being put back in, and in about ten more years, it would have to be taken out again. Mr.. Bagdon responded that under the decking alternative, there would be no concrete ex;ept for: at the street for making the curb cut in order to drain the deck. Councilmember Witherspoon said she understood that originally the concrete was to be replaced with another concrete patio. Mr. Bagdon said that was correct, with paving stones, which would give with the tree roots. There would be ten drainage basins in that area so that there would be no drainage problems no matter how the tree roots uplifted the stones. He said the stone would be taken out and releveled so that it would not be a tripping hazard. Vice Mayor Fletcher said she realized it was a large expense, but saw no alternatives. MOTION: Vice Mayor Fletcher moved, seconded by Henderson, approval of the ordinance. ORDINANCE 3300 entitled "ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING THE BUDGET FOR THE FISCAL YEAR 1981-82 TO INCREASE THE APPROPRIATION FOR CAPITAL .IMPROVEMENT PROJECT NO. 80-03 'PATIO AND SIDEWALK REPAIR AT CULTURAL CENTER" MOTION PASSED by a vote of 6-2, Fazzino, Witherspoon voting "n Levy "absent." RIQUEST OF COUNCILMEMBERS EYERLY FLT ER,HENDERSO KLEIN t l RsPUON RE Au TrEIMMTM 01 9 Councilmember Eyerly said the Councilmembers had a report in response to requests for additional information on' raw land values, so that they could try and get -some perception as to the value of the acreage in the. southwest corner of the Arastra prop- erty. The study indicated that the bringing in of utilities --- electric, water, gas and sewer, an expensive item to get over to that area, may be forestalled if they were thinking of a develop- ment in that corner rather than on the 77 acres. The item was agendiaed because it appeared that the Council should consider that southwest corner for a possible 50 homesites so that ,some,, or all or more, of the investment in the Arastra property could be recaptured. He asked ` for some comments from staff regarding the feasibility of a development __in the southwest corner. and that they speak to the utilities. Particularly, he wanted to know if. there were other hookups available rather than bringing the utilities from the Palo Alto side:_ He did not know where the Hewlett development wasesuppl ed from dr. the Lee property. He thought that perhaps PG&E or other sources of ,those utilities might be more economically feasible° in view of that fact, that there was housing there. Chief Planning Official Bruce Freelan) said that at Present there were utilities near;: the southwest corner and utilities at the 77 acres. He said the 77 acres had a good public road, and could. 1 1 1 be serviced immediately --it has gas, sewer and electricity run- ning right at the perimeter of the property itself. He said that in order to get to the southwest corner; access. would most likely come. up the existing gravel road through what was known as "the Reimer house." He said that the --existing road would have to be upgraded in order to serve a 51 lot subdivision. It was in good shape for a gravel road,.but would not be acceptable as the ac- cess to. a:subdivision.. He could not give any type of a price estimate, but said that: it would be more expensive than on the 77 acres where the main access road was already there.. He said that presently there was electricity, sewer and water connections run- ning up along Arastradero Creek over to serve the Hewlett subdi- vision and other subdivisions around the golf course. He said that in order to get sewer, water and electricity, it would be necessary to run an extension between the existing service and the southwest corner.. It would be a fairly expensive undertaking in several respects. He said that as he understood City policy, new extensions of electricity would be undergrounded. Under - grounding in that area would be .difficult because of steep topog- r aphy. He said water foul d hav to be pumped uphill, the sewer had a fall. He said presently. there was_ a gas line which ran part way there and then turned around _to the subdivisions around the golf course, and An order .to bring gas in, it would have to go all .the way up and then over to the site. Staff did not ex- plore the possibility of bringing utilities in from the other side. . He said there may be something to look at there, The Hewlett subdivision was .served from utilities already full, and Lee subdivision was on septic systems not sewer. Councilmember Eyerly asked how "the Reimer house" was serviced. Mr. Freeland said there was an existing series of telephone poles bringing Palo Alto electricity into the site. .Certainly it would not bring in the amount of power that a subdivision would require. He -said apparently there was not gas :service toe the site-, and water he speculated was provided from a well. Councilmember Eyerly asked if was feasible to service the area' in the southwest corner with utilities from other than City of Palo Alto utilities. . Mr. Freeland said he did not know. Councilmember Eyerly said that his point on utilities was that he thought they were all available right ad,;acent to the southwest corner, but not by Palo Alto. He felt that had to be c onsid- e r e d . . .. Mr. Freeland sa d that regarding the market value of the prop- erty, staff asked the consultant for the Arastra project to put together information on comparable sales in the area. lie said that "comparable sales" was .a loose term because they were talk- ing about a project which was not 'being designed as a typical Los Altos Hills, Por tot a Valley type of development. He said that, homes and lots in the area typically were on one or two acres of land, and the City was talking about a project that would cluster homes on a smaller land area. The first thing they were dealing with was the fact that most sales were not that . different in size. In the latter pert of lest year .and the first two months of 1961, in all there -were about 200 transact -ions in the hills of Palo Alto, . Los Altos' Hills and Por tot a'Valley, and of those only 54 were land sales, and of the 54., only i ,'out 35 were considered to be useful for this type of analysis., Of tt?e 35, 5 were over 2 acres ° in size. The range in prices was from $165,000 to $370,000 1 i for vacant lots ready° to receive homes. He said one could not say there was a typical price within that range --there were prices throughout the range. Twenty-one home sales were for properties of one to two acres in size, which ranged from $100,000 to $300,000, but were typically in $180,000 to $240,000 range. There were only nine lots of less than one acres, and five of them were in Portola Valley Ranch. The prices of the nine lots were from $103,000 to $195,000, and tended to be around the area of $150,000. He said the Portola Valley Ranch was prob- ably the best comparison in terms of an existing development with the type of development being talked about on the 77 acres. Portola Valley Ranch had homes on lots of from one-third to one-- half acre in size and in addition to the land which comes with the unit, each unit had a share of the common open space, He said if all of the open space were taken and considered the amount of land on average that was associated with each home, it would come out to something over 2-1/4 acres for home size, but someone would only actually own about one-half acre, but would have a -common interest in additional open space. Mr. Freeland said that usually Portola Valley Ranch sold final houses, they have few transactions where they sell only the lots themselves. They had five of those to look at, and the price range on those five were from $141,000 to $195,000. He said the foregoing was as close as staff had to .a comparable situation in that when the 77 . acres were looked at, there were five different development schemes several of which also included one-half acre size with some, open space associated with the project, but not under the individual ownership. He said that in the City's case, the total amount of land area which would be associated per unit was about 1.1/3 acres, so there was less land in the .development. associated with the project than in Portola Valley Ranch. Fur- ther, he said staff looked at options that would forego market value by trying to cluster the homes in areas that had the poor- est views because some of those options had the least environmen- tal impact. He said staff had asked themselves, through the con- sultant, to look at some options that a normal developer would not look at because a developer would be looking always to maxi- mize the price and that often meant maximi z iehg the visual impacts of the project itself on the landscape. Despite the foregoing, the consultant came up with a range of projected prices from $113,000 per lot for the developments that were town houses, with the town houses located out of the view area., up to $220,000 for the half acre lots located on the ridge with the- best view. Mr. Freeland said that was the first point of comparison which he believed was the one that had been called into challenge in that it did appear that, for at least the half -acre lots, the consul- tants were being optimistic in their view of what the market potential might be for those sites at least as compared to Portola Valley Ranch. The consultants justified that in that they felt that the best views on the 77 acres were superior to the best views from Portola Valley Ranch. He thought _that was subjective and difficult to say for sure what was the value of an individual view, but -it_ was:probably: the best c.o'i arison..- Mr. Freeland said that the consultant had given information in their report that got at hhe question of lust what established the value of a given site. The consultant felt. that there were a number of factors, but that the most important were the: size, the views, and the slope .._. They feel t that - the ,size was must ;important as it related to sense ofopen space and privacy ' iie- development nffe_red__to ._t' inriiv3du i The slope and topogt'aphy _ was- impor-,•- tant _ in that the more gentle and easily developed the site, the higher the value,' The more rugged, the less it would be valued. 1 2 0 3 8/24/81 He said other factors the consultants felt would come into play were things like trees and creeks; distance up the hill --the higher the elevation, the higher the sales price; the prestige of the area; and whether or not there was noise which would detract from other values. i 1 Mr. Freeland said he attempted to evaluate the 77 acres with the southwest corner in terms of the factors which were brought forth by the consultant. First, he said that in terms of size, staff designed the developments on the 77 acres to be no more than one-half acre sites, which was done at the direction of Council, the direction being to avoid the one and two acre typical subdi- visions in the hills_. He said his assumption was that the same philosophy _would be applied to the southwest corner, that would be to design .relatively small lots .and maximize the open spate preservation. -On size of lots themselves, they were probably comparable. In terms of privacy, he said there seemed to -be a decided advantage to the southwest corner. He said that - the 77 acres was basically an open field and- would be very difficult to get a sense of privacy other than the design of the homes theme selves, trying to orient their -views to not look at each other. On the ,southwest -corner, there were many hills and knolls and trees, and it vould be easier to design homes so that there would be more of a sense ,of privacy. Also, he said that in fairness, the southwest corner, if associated with a large area of public open space, would have some benefit of that proximity of the large -body of public open space sort of in the backyard of the project, which would add to the sense_ of size.. Regarding the views, he said that from the 17 acres they were good, but in his opinion, the views were better from the southwest corner. There were more panoramic vista and varied near` distance scenery to look at. The topography on the 77 -acres was excellent and very easily developed, and on the southwest corner it -varied from fair to excellent. The fact that it was more interesting topograph- ically meant that some of it was somewhat harder to develop. In his opinion, it was not a difficult site in terms of the lay.: of the land. Regarding amenities, he judged the 77 acres as aver- age --it was -an open field, it had a few trees within the site. The southwest corner, he thought was extraordinary, many trees and different views. Regarding distance up the hill, the 77 acres was lamer than the southwest corner. Regarding prestige, it had been asserted that the 77 acres would have a lower pres- tige value than the southwest corner.. He said he accepted that, and said he had no particular feeling for that. - He -thought `they were both prestige locations as he understood them, He said the 77- acres had art influence of noise from 280, iwhtch detracted from the site. Looking at it objectively, from the .criteria the con- sultants put forward, his conclusion was that the- southwest corner had qualities which would be more favored in the market place. Mr. Freeland said he made some observations and had some clues- tior;. If the City took the 51 attached homes hidden from View, the' consultants estimated that individual lots would sell from $115,000 to $145,000, that the gross value of. the project of the land would be $6,330,000, development costs would be $2,410,000, for a raw land value of about $3,920,000. Compared to the option of one-half acre lots loeateaup on the ridge for the best views he said that in that case, the finished lots might sell for $190,000 to $220,000, the grosz value of the `project would be. $10,845,000, development costs somewhat higher because there was' more roadwork involved $2,825,00, raw land value, of $8,020,000. He said that the design options .:- had =:' had a major influence on what the potential profits might be. The difference in value would have to be equated to the difference in the impact of the project on the landscape and the type of project they Would be. A serious question that only the consultants could reveal to the Council was whether there- were 51 half -acre good view sites -on the southwest corner for comparison. Looking opti- mistically --at what the values might be, given that it did seem to be a superior -site. to the 77 acres, it:wet possible that the values mi,ght-be somewhat higher for 'the individual half -acre lots. Hea said that with some concern in that there'had been a challenge that the 77 acre site was somewhat overvalued, so it may be that, by ass-uming prices going into the range of the one end two acre lots, the prices Isere inflated and overly .opti- mistic. He mentioned that as a caveat= -not a conclusion. He said it would niean a gross value, if the Council assumed that 20. of` -the lots might be $200,000, 31 of the._. lots at $240,000, for a total of $11,400,000. If one was very optimistsa and assumed that all 51 would have the highest price, that could be about $12,240,000. The development costs were unknown, but most cer- tainly would be higher than on the 77 acres even if the utilities did not have to,be brought in as far, the road had to be im- proved, the utilities would have to be brought in further than they would on the 77 acres, but did not know how much higher. He said if that were taken away from the potential sales prices, there might be raw land value--- in the .neighborhood of $9,000,000 give or take $1,000,000, dependent upon what was found in terms of the real cost of the utilities. In a nutshell, he said there --may be an economic advantage by moving to the southwest corner, maybe that advantage would be on the order of $1,000,000, more or less, but he could net say for sure without_ doing the study, which would cost between $30,000 to $40,000. He thought thats in looking at this, one might ask whether the potential advantage on that or :.ter of Magnitude was worth the investment of money or whether the fact was that the higher value was because of fea- tures of the land that alseamade that land obviously of higher value for_.;,open space preservation.. He said that the very fact that it was higher had the more important views, was visible, and had views of the Foothills Park, etc., were the very factors that made the difference in value. Mayor Henderson commented that the presentation was very helpful for such a short notice project. Counciimember Witherspoon said that regarding the southwest corner and the road coming off Alpine Road, was it a public road and if the City proposed a 51 unit subdivision on that southwest corner, would they get a lot of static from Portola Valley. Mr. Freeland said it was possible. He did not know the status of the road .outside the City's jurisdiction, ;.but within the City's jurisdiction, it was a prim=ate road. He said the road had not been evaluated in terms of what improvements would have to be made, ,which was something that ' the consultant study would look into. - - L -- - Councilrnember Renzel said regarding the raw land sales data, presumably they were already subdivided and the development costs had already been incurred c,o that the people were paying for developed land sites where the developer purchasing any Arastra lands would ha. to discount from that price in order to pay for utilities and the development costs. Mr. Freeland said that Was. correc improvements to the road had to be figured, plus the improvements to the basic services and also the carrying costs of the land during the development process. He said there would have to be a development fee of some sort to be paid, financing the carrying_ costs during the subdivision stage. Councilmember Renzel said that actually the higher prices for the 35 raw land sales might be inflated prices in terms of trying to make them comparable to what the City could expect to get, other than a gross figure. Mr. Freeland said he would not say they were inflated, he would say they were for land in a different status, therefore, land that had been subdivided and was ready to receive development and had additional value put into it, which was why one would have to look at development costs before jumping to a conclusion about whether the added property values in the area would in fact result in added revenue to the City. Councilmember Renee] said that in Jegard to the extensions of utilities, if the Council wanted to go to the southwest corner, currently the utilities, went., up Arastradero Creek ,so that any co.='str uct ion to put in the_ utilities would disturb Arastradero Creek for a short period of time. Mr. Freeland said the major concern would be bring -trig the gas line in. The other basic services --electricity, water and sewer came to the point where they went off eat a diagonal. The gas Would have to be brought -in fresh and would cause more distur- bance. He said he would be concerned about the disturbance that bringing tie utilities oeerland from their existing location to the southwest corner would entail. He said it was pretty rugged property and dependent on how it was put in, there could be quite a bit of disturbance. Councilmember Klein asked if the same type of analysis had been done comparing the environmental harms which would occur from the development of the 77 acres to the southwest corner. - 'Mr. Freeland said that in the case of the 77 acres, they had done an extensive analysis and it was up to the City Council. They had choices that would effectively hide the homes.ites He said those were the choices that took the homes off the ridges and returned the lover` prices to the City. He said the homes placed on the ridge would be visible from points higher up, again if they were clustered they would have less impact because the impact could be controlled with design. Clustering into town houses lowered the potential return. In the case of the south- west corner, there was some land nearest, the edge oaf Alpine Road which sloped away from th.e property and, some homes could be located there that would not be highly visible. _ He said he had not done an analysis, but his feeling was that 51 homes could not be ._ put there unless they were town houses or very highly clustered. He thought" that in order: to locate 51 one-half acre sites, many of the sites would have to be in locations -which would be prominent, from the Park above, and from other points around the landscape. Again, he said that at, this point they did not know where the viable sites were. He thought the geology would nave to be looked at to feel comfortable with the answer. Counci lmei er Klein asked' Mr . Freeland if he saw any '`other_. envi- ronmental ` differences between , the development of the two sites. 1 Mr. Freeland said he thought that not so much an environmental difference, but certainly the impact on views from surrounding territory was greater on the southwest corner. He was also concerned about the damage which might occur putting the utili- ties in and the question of potential isolation from the uses of a future park in the area. He said they were both at the edges and he felt that the 77 acres was somewhat more separated physi- cally from the bulk of .the parcel, and` it would be easier to make it not seem like an intrusion into the Park. He believed that a major access to a future park was going to be up through that access road that the homes•would also have to use. Larry.Faber, 3127 David Avenue, President of Palo Alto Horsemen for wails Preservation,- said their stand was that they preferred to see the entire property dedicated as parkland, however, if the Council must sell off some of. it, they felt that the southwest - corner was much more desirable. Pose Gray, 1235 Hamilton Avenue, Chairperson of the Loma Prieta Chapter of the Sierra Club, said she looked at the southwest corner and noticed that it: was partly woody and a creek was there. She felt that one thing that had not been addressed in any of the studies was the impact on wildlife in any of the areas. She commented that Foothills Park, Hewlett and Arastra had a very large population of wildlife hand her. sense was that utilizing the southwest Corner would interfere with the areas where the wild animals.had been able to wander. She said she had been told that each of the open space areas had a carrying capac- ity for wildlife and that as the developments increased and encroached on open spaces, their ability to support the wildlife decreased. The Council should address whether they would firnd out by paying $40,000 if the views would be impaired from Parks and if the wildl ife areas would be impacted. She thought that as a City, Palo Alto should take a leadership role in preservation of open space. She cited the 1970 Livingston- Blaney report, which suggested leaving the property as open space. She ques- tioned whether tore money should be put into further studies.. She thought the land should be dedicated as an open space park l anti, and asked the Council to do that. Bob Moss, 401.0 0rme, said he thought the questioh really was whether the City wanted view lots which would also be viewed from other areas. If the answer was that the City wanted minimum visual impact, then it probably would not make sense to go to the southwest corner. He said that in terms uf the advantage' of having a view site vs. a non -view site, it was between 10% and 15% for equivalent houses. No one had mentioned emergency ser- vices and he thought that„access through Portola Valley was a serious problem. He wond.ered is Portola Valley would be willing to spend money to upgrade a road to serve a °significant subdivi- sion. i.r the past there had been problems with neighhoring com- nunities'where Palo Alto had asked for service roads in. the Foot- hills and the neighboring communities had been very uncooper- ative. Fuvther, he asked if a development on either of the sites would.: be more susceptible to wildfires. A lot of the lava had not been burned since early in the century, and he wondered which area would bemore vulnerable to .brush fires. His preference Was for housing on the 77 acres, because the services were there and because the access.. 'was better. Mayor Henderson said that he felt it was important that the Council study the Arastra property for development feasibility and potential financial return. He felt that without doing that., the Council jeopa'rdi zed any future revenue t a i sng ballot measure. He thought that the entire 515 :.acres should have been 1 2 0 7 8/24/81 1 1 1 looked at for $100,000 rather than 77 acres for. $90,000. He said he looked again at the property, and the area indicated by Mr. Carey and Mr. Faber probably would bring in more dollars, but it was obvious that there would be higher costs to develop utilities and roads more damaging to the environment, and greater visual impacts. At this stage, he was not willing to spend another $30,00; to .¢40,000 to make an extended study into that one area. He hoped that Council could complete the study on the 77 acres as soon as possible so that it could be decided if any development were favored. He was ready to move forward toward dedication of the 438 acres as soon as possible. Councilmember Eyerly said he thought there were some ingredients missing on the southwest corner. The most obvious one was that Council did not know the feasibility of utility connections other than with Palo Alto. He said he did not think that the visual. impact had been studied in enough depth for anyone to make any statements. His observation was that houses developed on the southwest corner were in enough of a depth laid so that they would not be visible from any of the Arastra property on the north side of the Reimer ridge and that 'the outlook at Foothills Park was not visible from that area. lie thought Council needed input from staff on that with some environmental inspection as far as the visual impact. Further, he thought that the road status from Alpine Road up to the southwest corner property line needed to be looked at. He wondered whether Councilmembers who had not been out there within the last month should not partici- pate in the walk around. He thought the entire Council was thinking about the money which had already been spent on the con- sultant for the _77 acres, and he was reluctant to spend any more money, but would not be against stopping the consultant's .work at this time on the. 77 acres, and using, the money which was left in that contract for getting some of the more detailed information which was needed on the southwest `corner. Short of that, he would be interested in staff fielding some of that information and leaving the southwest corner out of the dedication until Council had that information. He felt Council needed to consider the possibility of recapturing between $8 and. $10 million for some housing in one section or the other of the Arastra property. He thought Council had enough information on the 77 acres, and if any more Honey were to be expended, he would rather see it spent on the southwest corner. The City needed the recapture of money; he heard people continually talking aboit purchase of school sites, but the City needed the money to do it, and if the Council passed up an opportunity for $8 to $10 million on the Arastra property, he thought the Council was being short- sighted.. He wanted to delay the process to get'iore information. Mayor Henderson asked staff if they could stop the consultant study at $7.5,000 and put the $15,000 into something else, and would the City still have to eventually pay the consultant to. complete the presentations to the Planning "Commission and Council, etc. Mr. Freeland said it corld . be decided not to publish the report which Was -worth several thousand, they could decide not to have any additional presentation from the consultant. He said the: consultants had been working practically: -full time on the report, and he was wire their bill was larger than it was a week ago. He said he could not give the Council a dollar figure of what was left in the contract. He said that the biggest single item would be to not publish the report. 1 1 Vice Mayor Fletcher said she thought that the report the Council 'received was incomplete, and that the. results of the additional work would be very useful. She thought the study should be pub- lished and available for the general public to comment on, She said she was content that the discussion of the southwest corner had been useful and was not sorry that she signed the memo which requested additional study of the area. She said she was origi- nally of the opinion that the Council should study the -entire area to determine if there was a desirable site for housing and where the best site might be. At no time did she permit herself to want to vote for an additional $30.000 to $40,000 for addi- tional consultant study, but the discussion did lead to a brief - my -.by staff on site both on the 77 acres and the southwest corner, and it did point out the difficulties in the upper lot. .The costs in the report tonight showed the Council that there would not be a significant difference in the selling price of the lots_but really did not make it worthwhile to continue to look at the southwest corner, and it was not worth shifting funds from the 77 -acre site study because she felt that should be completed. Vice Mayor Fletcher felt At was still questionable whether housing would be approved on -the 77 acres itself, but Council did ,-need to have -all the facts since they had gone so far in order to make a intelligent determination. She did not want to hold up the drafting of the dedication ordinance for the 438 acres and hoped Council proceeded with that. Councilmember Bechtel said she felt there were too many environ- mental costs as well as costs to provide- the services and access on the road, as well as emergency vehicle access to get to the southwest corner. She said she spent several hours walking, around the property, and there was no question that it was a beautiful piece of property. She said she would rather see the southwest corner and all of the Ar astr a property available to all members of the public to be_ able to walk on, fly kites and picnic on, than limit it to 51 families who -had -$500,000 that they could afford to spend on housing. Councilmember Fazzino commended Bruce Freeland on his presenta- tion. He proposed that Council double his salary and refuse to pay the consultant because he thought Mr. Freeland gave the Council the only_information anyone .on the Council ever wanted to receive. He thought the consultant report was the biggest waste of taxpayer funds in the history of Palo Alto. Regarding the information received by Council tonight as far as the southwest corner was concerned, there might be economic advantage over the southwest corner, but only if the development potential were maximized. He was concerned that th'6 development costs were. unknown and if the assumptions of tonight's report were carried out, there probably was not that much difference between the economic return of the 77 acre proposal and the southwest corner. He said he recognized that some Counci lsnember s still preferred to get additional information to consider the possibility of housing. on the 77 acres, 'and even though he opposed it, he encouraged if the councilmewbers supported that, moving forward asp; quickly as possible with dedication: of the 438 acres, and holding off until the Council felt it . had enough information to make a decision on, the other 77 acres. Councilmember Fazzino still believed that the best course: would be dedication of the entire property. He Said -he was concerned ;;that the Council was throwing good money after . a"' very poor consultant report and information which would not give the Council any additional ability to make an informed decision.:. He thought the Council was in a position now to make a decision as to whether there should be housing on the site. .He supported dedication. 1 Councilmember Klein said he thought Council saved either $35,000 to $40,000 or $10,000 at least tonight while at the same time having given sufficient exploration of the southwest corner as a possible site. He said that as one who had been going out to the Arastra property for better than tenyears, his initial reaction was that the 77 acres was probably the best site, if any, to be developed, but when others proposed that perhaps the southwest corner was better, he thought it deserved to be explored.. He thought it had been explored now, and he thought that Mr Freel and' s excellent report and the intelligent and persuasive comments from the audience were sufficient to demonstrate that the southwest corner did not need to be explored any more, and that, therefore, some money had been saved for the City. He thought that a majority of the Council felt the same and that they should probably proceed and forget about the southwest corner. Councilmember Witherspoon said that the Council would not be meeting again until September 14, and would not get a Park Dedication Ordinance before them until at least the 14th. She thought it would probably cost a lot more to develop the south- west corner than Mr. Freeland estimated in which case, the City was not ahead $1 million by developing that vs. the 77 acres. She was persuaded that it would be nice to keep the 77 acre swatch open as an open space corridor, which was one reason she was interested in developing the southwest corner, as well as.. the fact that she thought the City could get a better price for . the land. She was concerned about three things which she thought could be answered in two weeks by three phone calls. She wanted: 1) The status of that road determined vis-a-vis Portola Valley and to hear what their position on it would be; 2) The utility situation vis-a-vis the PG&E service to the houses around that road; and 3) Staff is to go to the -outlook in Foothills Park and take some 1 i ne of site readings to see whether or not . that corner was visible from the Foothills Par k over l ook or from any other sites Council felt were environmentally very important. She thought these things could all be done within the next few weeks. MOTION: Councilmember Witherspoon moved, seconded by Eyer1y, to continue the discussion of whether to consider the southwest corner any further until September 14, and ask staff to make three investigations: 1) Determine the legal status of that road down to Alpine Road and make a call to Portola Val 1 ey to see what their policy was as to further development on that road; 2) The utility situation; and 3) Line of site views to be taken at overlook at Foothills Park. Councilmember Renzel said that when Council decidedto study the frastra property, she made it clear that the only circumstance in which she would consider development would be if it were an exemplary development to show how: could Foothills development could be done, which would be highly clustered, With very small use of the land, and a high degree of open space protection. It was clear to her that. 'IA terms, of dollar return for the City by a sale of, any of the Arastra'- property for development that high return meant high environmental damage, building on ridge .tops, using a lot more land per unit to sell l off, and less, open space, and probably much more paving and�'drainage problems. She thought it was clear that the one to two acre lots that could be,, seen from Mtastra in Portola Valley would basically urbanize the. Foothills, which were :not rural in the visual sense. She thought it was clear that if the City were to develop in an environmen- tally sensitive way, the,_-return.:_.to the City would be minor in terms of any commitne4its they would- have to make to purchase school sites in the urban area, .and she did not find it satisfac-. tory to consider one-half acre or one acre lots as a way to 1. 2 1 0 8/24/81 develop it. She did not think it was an environmentally sound way for the City to set any type of example, She was prepared to dedicate all of the 515 acres and would like. to see th.e Mullen Ridge and the Arastradero Creek properties which had been dedi- cated to the City as open space be _dedicated as well in the Park Dedication Ordinance. Mayor Henderson said regarding the consultant Is report, whereas their report did not totally meet all of CounciI's.:needs, he thought it was useful when Council met with the consultant and pointed out some of the shortcomings, and he did not think the report was all that atrocious. For example, he felt the consul- tant had given a very complete analysis of the 77 acres. He thought the information was a little short on the financial side, but he was sensitive to the fact that the Council was saying it teas a total waste of time, and that they had done a terrible job, and he did not entirely agree. MOTION _._FAILED TO CONTINUE by a vote of 6-2, Eyerly, Witherspoon voting "aye," Levy absent. Counci lmember Renzel moved, seconded by Eyerly, to direct staff to prepare an ordinance for dedication oi Mullen Ranch and Arastradero Creek properties (separate from Arastra park dedication ordinance). City Manager Bill Zaner asked that since Councilmember Renzel had included the additional properties if Council would give staff some time to report back to Council before they included them in the dedication because staff was trying to work out some negotia- tions with the County for some park vs. housing land, Staff thought they might be able to use some of this land, keep it in park, but do it in such a way that the City would end up with some additional land for housing in the flatland. Once the land was dedicated, staff would lose that flexibility. He proposed that staff prepare a brief report, explaining to Council how staff would like to make the switch so that the Counci 1 would be assured that they would not lose any parkland it: the process He was concerned that flexibility with the County would be lost once dedication was made. Counciimember Renzel asked how long the negotiations had been going on and why Council did not know about them. Mr. Zaner said they had been going on about two days. He said the County owned the property at Birch . and Grant and would like to sell that property to their own park fund and. then dedicate that property. The negotiations involved trading properties with the City, and the County could then purchase their new property with their park money, and turn it ove" to Palo Alto. Palo Alto .cou l d then dedicate it as parkland, just as the Council wished, and the City would end up with the piece at Birch/Grant and the parkland. Councilmember Renzel asked: if it would be County parkland? Mr. '_;Zaner said yes, _ it would be a piece of County park and as staff saw it, the County would have Lo turn . around and offer it back to the City i n per petutty for some $1 0 $2 per- year. Couric ilmember Renzel asked where the, County would get the $.5.0,0003 Mr. Zaner- said it would be from their park fund. He said the County had money in their park fund, but could not reach it for their general fund. What the County was trying to do was trans- fer the money from the park fund to the general fund, and were going to do it by selling themselves an asset. Councilmember Renzel thought it was an interesting concept, but was concerned that to try and provide a County park in that area might be somewhat difficult because the kinds of facilities that would be needed to make i t into a County park facility might be significant. Mr. Zaner said the City would not expect the County to operate it as a park, they would expect the County to return it to the City in some fashion. It would be added to the City's open space. up in the hills, and for all intents and purposes would be a City park not a .County park. " The County would not deal with it. Counc lmember Renzel said she not sur..e whether the. Park Dedi- cation Ordinance prevented the City from selling parklands for other than park use. City Attorney Don Maynor said it was also confusing to him. He said the park ordinance did prohibit 'the sale of property for nonpark use. He said he would have to sit down with Mr. Zaner to discuss the particulars, and. was not ready to say whether this would be legal'. Mr. Zaner said the attorney already had instructions to bring back a dedication ordinance for the Arastra property. Mr, caner said he would like an opportunity to outline the plan in some more detail for the Council before the other properties were added. If after reviewing the memo, Council still decided to add those properties to. the ordinance, it could be amended and move ahead, but he did not want to lose the opportunity because of moving'too fast. Councilmember Fyer"ly was sympathetic to Mr. loner's request. It seemed to him that there ;`sight be something going there which would be to the City's advantage. One question he had was that the City still, with the transfer, would be able to exclude people who were not residents of Palo Alto from the use of those properties as in Foothills Park. He wondered whether that had been thought about. With County property, he saw the foot in the door to open Foothills Park to outside of Palo Alto usage, and. he thought the Council would want to exclude out of town people from the Arastra property and the adjoining property. He said it had nothing to- do with removing the motion or continuing it, but as long as they were into it, he wanted the question answered. Councilmember Renzel said she would still prefer the dedication for the Mullen and. Hewlett and Arastradero_ Creek properties. She said the Arastradero Creek property could be defined separately from the -Arastradero property and if there was :a need to continue it because of negotiations, that was okay, but she would like to see it come before the Council, and they could continue it if need be at that time. She wanted to set the wheels in motion. Councilmember Witherspoon supported the. motion. She asked the City Attorney if the City took the dedicated open space that went with the development rights on the properties involved, would the City run into any. `complications with that having to be .open space. She said she thought that some of the land to be dedi- cated was deeded . to the City with the understanding that ii re - ma -In open space and : t:" was tied in with the -Open Space District requirements for the development rights on the lot that would be privately owned and bu t en, 2 1 2. 8/24/81 Mr. Maynor said he did not think it was a problem because in the City's park dedication ordinance, one of the uses under the park dedication ordinance was for open space so he thought the two would be consistent. He said he would double check as part of the assignment. Vice Mayor Fletcher asked Mr. Zaner how long he thought the negotiations with the County would continue? Mr. Zaner said he thought the negotiations would take some time. He said that -staff had requested that the County remove from its agenda the `matter of dedicating the Grant/Birch piece as a part. The County took it off their agenda and agreed to hold_ it until they had an opportunity to review with City _staff whether an arrangement could be worked out which would be satisfactory to the City Council, the Board of Supervisors and the Housing Corporation. The County had told them that they did not need to take the step of dedication until sometime in the Spring, which would allow some time to try and work out the details. If they were talking about Swapping properties and doing those kinds of things, it could not be done quickly.. He had no problem with the motion as -_ it now read, but asked for an opportunity to give the Council an explanation in some detail of how staff -.felt the program could be put together. If it". looked like it had merit at that time, Council could continue the items_ or set them aside. As long as the City was not pinned -down at this point, it would be a i l right, Vice Mayor Fletcher said she did not want to. hold up the Arastra dedication pending outcome of the negotiations. MOTION PASSED unanimously, Levy absent. FINANCE AND PUBLIC WORKS COMMITTEE UNANIMOUSLY RECOMMENDS MA t AU I IIUK I F TR M Iii[ T 1l ii E N I iV i' A SS T S R ASH 1d e IA O N S ftI1.GUR SMITH & AstpcIATEs (CMR:4O6: Counci)member Eyerly advised that he would. not participate i.n this item, Councilmember Fazzino, Chairman of the Fioance and Public Works Committee, said that a selection committee was put together to make the recommendation to the Committee and subsequently to the Council with respect to the firm of Wilbur Smith. He said the Committee briefly discussed the issue, and went along, with the. staff recommendation that the Council authorize the Mayor to execute the contract with Wilbur Smith & Associates i_ n the amount of $36,000. He. said that at the Committee there was concern about the whole issue of retail, the issue of air rights, and the kinds of concerns being addressed in the downtown area, and the feeling was< > that with respect to this particular ' lot that had been made for the parking structure, that the City needed _to move forward as quickly . as possible to provide the needed spaces. He said the Committee asked . what the City would be receiving as a result of the study, and it was indicated that the City would not get a final design, but ` rather a conceptual design, and the Committee and the -Council would ,have the opportunity to change course in the piddle of stream. if they so desired given the concerns about air rights and -other issues. -MOTION: Caunci lmember Fazzirio on behalf of the :Finance and Public Works Committee moved approval of the selection of -the 'firm • of Wilbur Smith - & Associates for professional services for the Downtown Parking Structures Study, and that staff be authorized to negotiate with the second ranked firm in the event an impasse is reached with Wilbur Smith & Associates. AGREEMENT - CONSULTANT SERVICES - TRANSPORTATION PLANNING Wilbur Smith & Associates 1 S Vice Mayor Fletcher commented that she did not know of a commit- ment of the_ Council for a parking structure.' She said the Council did commit themselves to have a study done. further, she said that there had been some demand for.. a - public restroom down- town, and she felt that 'a parking ,structure would be a suitable location if it could be worked in.. She said it was 'in the minutes of when Council discussed it, but wondered if it might not still- be considered in the study. She said that among the groups that should be consul ted in the course of the study, she wanted to add on Exhibit A, page I, under II(a)2 that "PABAC".- be added to that section, which was the Palo Alto Bicycle Advisory Committee, because there was mention of bicycle parking. Councilmember Witherspoon asked if the restroom was inct-uded in the motion, and pointed out' that there were eight floors of. public restrooms in City Hall plus facilities in the City Library, so she took Hal of London's comments continuously about no public restrooms' downtown with a- large grain of salt. Vice Mayor Fletcher said she had come in to town one Saturday to do some reading in the library. She heard the leaves outside the building rustling. She said she peeked outside, and there was a well -dressed, elderly lady squatting down in the corner relieving herself. She said it did happen and that City Hall was not al- ways open when the shops were open. She said when her children were young, she avoided taking them downtown because they always heeded a restroom. She said she preferred shopping at the Shopping Center because she knew there were bathrooms available. MOTION.. PASSED unanimously, Eyerly "not participating," Levy absent.' GOLF COURSE COFFEE SHOP LEASE MODIFICATION - LEASE 166 Councilmember Klein said that since he had represented Mr. Kramer in civil matters including the negotiation of the original :lease with the City more than a year ago, he would abstain on this matter. Staff recommends that Council authorize the. Mayor to approve a lease amendment reflecting the recommended changes. The modifi- cations are also supported by the Citizens' Golf Advisory Committee. Councilmember Renzel said that if the tenant was going to adver- tise to the public generally . for evening use, it seemed to her that it would preclude civic groups from leasing the fv.rfiity and contracting with the tenant for group meals. Per sonal ly, she preferred to see that option left open. She did not want to see civic groups precluded frol reserving the dining room for dinner, meetings. If the facility was to be open, she thought it was more in keeping, as a public facility, to have it available to civic groups. Acting Golf Course' Manager :; Del Thorpe said that Mr. Kramer 1-2'1 4 8/24/81 1 currently provided some services for groups and banquets in the evening, which seemed to work quite well. He said there was a meeting room which would accommodate from 80-100 persons for that type of activity as well as. the Coffee Shop area for groups or people who would come in for dinner. He said they had had limited experience with both groups, but he was sure that both could be accommodated. Councilmember Renzel said that the use of the facility in the evening was governed by Mr. Kramer under the current lease and the proposed lease. She said it was not a City facility that was leased out through the City property department, but through Mr. Kramer. Real Property Administrator Jean Diaz said --that the lease as it currentlyexists-regarding this particular provision would not be modified and did require that during the non -luncheon hours the room could be made available to different groups that were inter- ested in using_it, subject to reasonable fees and rates for com- parable City facilities.-- He said the City did not directly administer the use of that facility, but the lease did prescribe provisions for use by others that, Mr. Kramer was bound by. Councilmember Renzel clarified that that would. not be modified. Mr. Thorpe said that was correct. Councilmember Renzel said she was also concerned that in Attach- ment "A,' last paragraph, it said, "In the event that LESSOR's City Manager or designee determines that such existing condition is unsafe for night -tine use, TENANT shall make the necessary lighting modifications subject to LESSOPT applicable review and approv°ei procedures..." She said that obviously it would have to go through Site and Design, but it also bound the tenant to do it. She was concerned that there was quite a proliferation of lighting out in the Bayl an is area, and she was concerned about mandating more lighting even though it would have to go through Site and Design Review. Mr. -Diaz said that the intent in that clause and in the last phrase, "or alter business hours to eliminate such night-time activities" reflects the staff's belief that the current situa- tion was adequate for any of the anticipated night-time activi- ties that would be going on even if dinner were ,served. However, i f it should turn out that the assessment was not accurate s staff believed there were two courses of action that may be appro- priate: 1) to make some lighting changes if was desired; or z) alter the business hours. in. other words eliminate the problem ,that required additional lighting. Staff did not inter- pret the clause as automatically requiring the lighting. Councilmember Renzel : said the intent as she understood it was that the tenant had to pay for such lighting if:. needed and if it were approved. She asked if it 'could be worded in such a way as to make it clear that the object was that the tenant was required to, pay for it, but only if it were approved and required rather than to say that the tenant shall , maker it. She said she was on the Planning Commission long enough to know that it would come before the Planning Commission and the applicant would say the tenant was required to put it in, now . you have got to approve something. She did not want to see that condition set up for the future. Mr. Diaz said that one reason was to define.: that 1 1 determined that additional or some modified lighting was the appropriate course of action that the tenant shall take that action. He said it was not staff's intent to indicate that that was the only option to be pursued, which was the reason for adding the language, "or alter the business hours. Councilmember Renzel was concerned that the City was requiring them to do one of the two alternatives, and that the City was determining that the tenant would be asked to do one of those two alternatives. Then they would come to the City, and ask for approval of the lighting, and would undoubtedly say that they were required by the City to put it in, or else "they would suffer tremendous economic hardship by having to close earlier." She thought that perhaps Mr. Maynor could help her with the language. Mr. Maynor asked if Counci lmember Renzel was concerned that under that provision, the" P anning Commission or the -Council would be. compelled .to approve lighting because often times the City included language "that nothing herein would require that the City approve lighting." He said he had_ not seen the wording before tonight either. Councilmember Renzel said adding that language would satisfy her. MOTION: Councilmember Renzel moved, seconded by Fletcher, to approve contract with language to be added "that nothing herein shall require or obligate City to approve the additional or modified lighting." GOLF COURSE COFFEE SHOP LEASE MODIFICATION - Lease 166 Vice Mayor Fletcher said she was concerned that the emphasis was on dinner time, and she wanted to see the emphasis on expanding the lunch time patronage.- She said there was a rapidly growing empl: tyment center east of Sayshore, and most of those people drove to the westside of Bayshore at lunch time. She hoped they could be made aware of the .facility during the lunch hour. She wondered if there could not be a direction given to the coffee shop owner to attract.tha.t type of patronage. Mr'. Diaz said hat . the situation currently experienced was that lunch time kisiness was at- capacity, and those were the hours that the golfing public was the primary user. He said: they wanted to be sure that they 'did not adversely affect the service to that very important public, In fact, he said staff -was concerned that they not expand the attractiveness of the lunch time hour too much and, therefore, they wanted to allow Mr. Kramer to concentratee on rbreakfasts eand dinners" to get the necessary use and occupancy of that business. MOTION PASSED unanimously, Klein "not participating," Levy absent, RE9UEST OF MAYOR HENDERSON RE CLEAN WATER GRANT FUNDING Mayor Henderson said that President Reagan's _ budget for 1981-82 included a moratorium on _ federal grants for wastewater treatment facilities. = He said many members of Congress were expressing concern about . it, and tfiey saw ;_hope`: for :a budget amendment reinstating at least some funding for the coming year°:. He, said .a cut off of all funding would be devastating. In the Bay Area there were a number of wastewater facilities in , their final stages of development. They were all part of the overall program to clean up the Bay, and if these projects Were delayed, local funding would not be adequate for later completion. He said 1 .2 1 G 8/24/81 1 everyone was affected by the quality of their Bay water, and after years of constructing new wastewater facilities, including Palo Alto's plant, a remarkable improvement in Bay water quality was noted. There were a. number of projects in Marin County, Petaluma, Hayward, San Jose, and San Francisco that would be drastically affected if the funding was not forthcoming. Remaining funds for carry over from this year into 1981-82 were likely to go in the main to Southern California so that if there was not the additional funding next year, this - rt of the State would be very short. MOTION: Mayor Henderson moved, seconded by Renzel, to direct the Mayor to write a letter to Palo Alto's senators and represen- tatives urging funding in 1981-82 for the Clean Water Grant Program. Councilmember Eyerly asked if the State Water Resources Control Board was appointed by the Governor? Mayor Henderson said yes. Councilmember Eyerly said :he had heard State Water Resources Control .Board's presentation at a number of permit request hear- ings which he had attended, and At was anything but moderate, and did not consider both sides of the issue. The letter from Carla Bard did not present all of the Administration's side of what they planned to do. Ho said it did mention that zero appropria- tions for 1582 would give Congress and the Administration time to work out reforms. It did not say that they necessarily were going to discontinue all grants, Before he would be willing to vote on the motion, he needed some input from the other side, because he thought the letter they had was too one sided and did not present anything from the other side. He said the Adminis- tration was trying to economize and that this might be a viable way to do it. He would oppose the motion as presented. Mayor Henderson said that if there was zero appropriation in 1982, it was not that they ware saying that they should not be economizing, that the pro raM should not be reviewed and possibly out back. However, if there was zero appropriation it 1982, then a number of the projects in Northern California would simply be out because they had already. reached their final stages, the citizens jiad passed local bond issues which would run out, and there was no likelihood that' they would be able to pass them again at a much higher cost. This would simply. ,br i ng those projects that had gone through years and years of stages to the very final stage and would be brought to a halt. He said if there were not at least some minimum funding to complete those at Stage 3, some of them would not be able to go forth, and a place _like San Jose may very well face upsets because they had to do a $20 million interim improvement 'this year or they would not be able to function. Counc i lmember Eyerly said he aceepted that, and asked if `'the motion ar_ the letters written qualify what the _City was actually asking for. More specifically, asking to keep the project alive while the > ref0rL studies were being. - made - by - Congress and Ole Administration. Mayor Henderson said it would be seeking minimum funding t it alive. Councilmember Eyerly said that was fine as :long 'a that way. Councilmember Witherspoon said she supported what had just been worked out, and pointed out that last week's Wall Street Journal had an article on that subject. She understood that the zero appropriation for this specific purpose in 1982 would be phased into block grants to the State. In other words; from now on the priority would be at the State level to take the federal money and set aside so much for the sewer treatment. MOTION PASSED unanimously, Levy absent. RE9UEST OF COUNCILMEMBER WITHERSPOON RE ARASTRA HORSE _BOARDING FEES MOTION: Councilmember Witherspoon moved, seconded by Fazzino, to postpone increase in horse boarding fees until decision is made re Arastra. Councilmember Bechtel said she thought staff had sent a memo saying that the City's fees were considerably lower than the fees in surrounding private stables, and she wondered if any of the staff people at the meeting knew what those fees might be. Mr. Zaner said he did not have the fees with him, but "would have no problem with postponement. Councilmember Witherspoon said the City had done a study about six months ago, and although the City's fees seemed very low at the time, when the service was compared, people have to go and feed their horses and got minimal service. She said they were probably lower, but on the other hand, people had to do, a lot of their own work-. Councilmember Renzel said that in conjunction with the item, in touring the property, she observed that much of the property was badly overgrazed. If people were responsible for feeding their own ho►ses, maybe they were not being fed enough. AMENDMENT: Councilmember Renzel moved, seconded by, Fletcher, that staff look into grazing policy on the land. Larry Faber, 3127 David Avenue, said that regarding the observa- tion that parts were overgrazed, there were a great many parts that were under gr azed. He would like to see more of it grazed. He said it would cut down on the fire hazard considerably, and a lot of grazing land for that area was needed. He thought the problem was that the orders had been given to retain status quo, and not make any changes, and he thought that if some horses were, shifted to other property, a little fencing would have , to be. done, and the City might have to put in a small- water piping to get some watering troughs, but it might solve that problem. He supported the continuance, and his personal opinion was that the City's rates were where they ought to be right now. If the City felt.: it needed more income to support the property, open more of it to grazing ° land and put a few more head in. The land . could support a lot more horses than it had. Vice Mayor Fletcher said she was puzzled because the original recommendation was to raise the fees, that an increase was justi- fied. She did not know how it tied in with the study of the Arastra land ' and why there was an advantage to holding up the raising of the fees. Mt. Zaner said that the original study - related fees to the faci l.. ities provided, and the trails and items that were there for people who . had horses. While the analysis Was being done, the _1. 2 1 8 8/24/81 ultimate disposition of the property was unknown. Vice Mayor Fletcher asked if it was the study on the 77 acres. Mr. Zaner said it was the study on the use of: the= Arastra prop- erty in total. He said staff had an assignment which was still outstanding to come back to Council with a ling -range plan for the ultimate use of the Arastra property as open space. Mayor Henderson said he thought it would be a long time before the adoption of a policy and changes were made. He was not sure why the fee schedule did not proceed at this time. Mr. Zaner said he thought staff had originally based their entire recommendation to the Council with regard to fees :on. the kinds of facilities and programs being provided on the property. He said those had not changed, and unless some changes were made, there was no rationale, other than keeping up with the competition, for changing the City's fees. If the Council wished to do that and stay "competitive," the fees could be raised. The facilities had not changed any, and once the analysis was done and staff reports back to Council and says, "these are the kinds of facilities we propose to provide, and they are worth the following money," at that time Council could make the change in fees. MOTION TO CONTINUE PASSED by a vote of 6-2, Renzel, Henderson voting "no," Levy absent. MOTION TO STUDY GRAZING PASSED unanimously, Levy absent. COUNCIL MEETING OF SEPTEMBER 8 MOTION: Mayor. Henderson moved, seconded by Fazzino, to cancel regular meeting of September 8 and set Special Executive Session re City Attorney search on the 8th. MOTION PASSED unanimously, Levy absent. ADJOURNMENT Meeting adjourned at 9:50 p.m. ATTEST: APPROVED: