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HomeMy WebLinkAbout1979-11-11 City Council Summary MinutesCITY couriai M IHUT€S Regular Meeting November 13, 1979 ITEM Minutes of October 1! 1979 Oral Communications 1. Charles Moulds, 605 Guinda Street Consent Calendar - Action Items Routine Gas Rate Tracking Increase Amendment to Piggyback Contract - Santa Clara County Housing Authority Finance and Public Works Committee Recommends re Refuse and Recycling Re -Use of Former Fire Station Number 2 at 2253 Park Boulevard Proposed Relocation of Two Houses Offered to the City by Northern California Savings (continued from 9/24/79) Request of Councilmember Eyerly re Foothills Fire Hazard Request of Mayor Henderson re November 6, 1979 Letter from Northern California Savings Rtq,estof mayor Hendersonre Control of Vicio&s Animals Request of Mayor Henderson that Staff Report to Council on Application of Spencer Associates (High Street Slur Project) and Fire Lone 1 Restrictions Request of Vice Mayor Sher for Report from City Attorney Regarding Ordinance Requiring Item Pricing of Goods in Grocery Stores Request of Counc imember Brenner re Peter Coutts Hill —Proposed Amendment to Comprehensive Plan Procedural Rules for Council Meetings Han Relations Commission Candidates Interview Mayor Henderson re Letter from Senator Garcia Councilmember Eyerly Requests for Clarification on Peter Coutts Project Oral Communications Adjournment in Memory of Former Councilmember Ed Worthington CITY ALTO PAGE 259 259 259 2 5 9 2 5 9 2 5 9 26© 262 266 268 269 272 272 27.2_ 274 275 275 2 7 5 275 276 276 Regular Meeting November 13, 1979 The City Council of the City of Palo Alto met on this date in the Councilchamber at 250 Hamilton Avenue at 7:40 p.m., Mayor Henderson presiding. PRESENT: Brenner, Eyeriy, Fazzino, Fletcher, Henderson, Levy, Renzel, Sher, Witherspoon (left meeting at 10:30 p.m.) ABSENT: None MINUTES OF OCTOBER 1 1979 Councilmember Renzel asked that on page 189, the last line of the eighth paragraph read instead: "...experience of proposers in operating similar coffee shops at public facilities." Councilmember Fazzino asked that on page 200, sixth paragraph the following be added to become the second sentence: "Few restaurants in town offered patrons a choice of smoking and non-smoking areas." MOTION: Councilmember Fletcher moved, seconded by Fazzino, that Council approve the minutes as corrected. The motion passed on a unanimous voice vote. C0# JN J CAT ONS '. ar es ulds, 605 Guinda Street, protested "...an ill-advised and ill-conceived traffic diverter on the corner of Hamilton and Guinda." He said Guinda Avenue residents were subjected to much traffic as a result. He thought that a stop sign on every intersection on Hamilton would have been more effective. He protested, and said he would pursue his objection. CONSENT CALENDAR Mayor Henderson ascertained that no member of the public nor Councilmember wished to speak to items on the Consent Calendar, which were: Referral Items_ None Action Items ROUTINE GAS RATE TRACKING INCREASE Staff recommends that Council approve the following resolution .. nfiraring the action taken by the City Manager to adjust gas rates in accordance with Resolution 5735. RESOLUTION 5747 entitled "RESOLUTION OF THE CO IL OF THE CITY OF PALO ALTO AMENDING SCHEDULE G-1 TO THE EFFECT OF A WHOLESALE GAS PRICE INCREASE UPON PALO ALTO GAS RATES." AMENDMENT PIGGYBACK CONTRACT ITY (C :459:9) rrurr�r...■wrs�rar■o.rs.run.nrsr .■inr ■ unr.� Staff Winds that Council (1) approve the attached amendment to the City's piggyback program contract with the Santa Clara County Housing Authority so that low-income tenants in seven units at "Greenhouse I" can continue to live there; (2) authorize the Mayor to sign the amendment; and (3) adopt the budget ordnance authorizing use of $5,130 of in -lieu housing funds for this amendment to the *Piggyback Program." 259 11/33/79 AMENDMENT 5 TO COOPERATION AGREEMENT Housing Authority of the County of Santa Clara ORDINANCE 3167 entitled "ORDINANCE OF THE COUNCIL OF THE CITY OF FALO ALTO AMENDING THE BUDGET FOR FISCAL YEAR 1979-80 TO PROVIDE ADDITIONAL FUNDS FOR THE COOPERATION AGREEMENT WITH THE SANTA CLARA COUNTY HOUSING AUTHORITY," MOTION: Councilmember Fazzino moved, seconded by Witherspoon, that Council adopt the ordinance and approve the resolution. The motion passed on a unanimous voice vote. F t1ANCE AND PUBLIC WORKS COMMITTEE COMENiDS Rt: REFUSE AND RECYCLING The Finance and Public Works Committee recommends to Council, by unanimous vote, that Council: A. Approve the proposed contract with the Palo Alto Sanitation Company (PASCO) for the operation and expansion of the Curbside Collection Program and the operation of the Recycling Center, to become effective through Juno 30, 1981, with the following changes: That the City Manager may suspend or terminate the agreement for any reason by giving 90 days° written notice to the contractor; If the revenues drop to $7,000 or lower for two consecutive nonths then PASCO would have the option to terminate the agreement unless the City recompenses it for those two months paying the difference between $9,000 and what revenues fell to during those two months, S. Approve the budget amendment ordinance transferring $62,160 from the Refuse Reserve Fund for System Improvements to the 19/9-80 Refuse Operating Budget for the PASCO contract through June 30, 1980. Vice Mayor Sher said that the Committee recommended that Council enter into anarrangementwith PASCO for City-wide curbside pickup beginning i i98u !4e said th m t be 1, �,....., .,�. ..�..� w+� amount to mss; paid PASCO had been diSCu:Sed, with the understanding that PASCO was not to lose money in performance of the new service, but what PASCO was to make in dollars was dependent on what the recyclable materials could be sold for, and it had been estimated that if the value of the recyclables were to drop to $7000 or lower PASCO would have the option to terminate the agreement unless the City were prepared to recompense it for the difference between PASCO's revenues and $90€10. Vice Mayor Sher noted that under those terms the City had the option to pya..7f. he difference rather than PASCO having the, option to terminate the service. MOTION: Vice Mayor Sher, chairman of the Finance and Public Works Committee, introduced Committee's recommendations listed above with the following agreement and budget ordinance and moved their adoption by Court i l : AGREEMENT OPERATION OF CITY OF PALO ALTO RECYCLING SOLID WASTE PROGRAM Palo Alto Sanitation Company (PASCO) ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING THE BUDGET FOR THE FISCAL YEAR 1979-80 TO PROVIDE FUNDS FOR THE RECYCLING CONTRACT WITH THE PALO ALTO SANITATION COMPANY 260 11/13/79 A discussion ensued regarding money terms of the proposed agreement, with Dale Pfeiffer of the Refuse Department explaining some changes in the City's contract with PASCO. He said that not only did the City have the option to continue the curbside program it also had the option to stop the program immediately subject to payment to PASCO of actual labor costs for the preceding 90 days. He reviewed the proposed system of recompense by the City should PASCO's revenues show a drastic drop within a one- or two -month period. Vice Mayor Sher said that with the staff change under 4 (b) the City was agreeing to pay the difference between the contractor's costs and revenues. Vice Mayor Sher said the changes suggested by Mr. Pfeiffer were different from what he had understood in Committee and, in his opinion, somewhat reduced the City's option. Mr. Pfeiffer said that the amount of proposed reimbursement by the City was brought before PASCO and was unacceptable to it; if revenues were to drop PASCO would bring the matter to the City Manager's attention and the City Manager had the option to terminate the program or return to Council for additional funding. Vice Mayor Sher Noted that the Committee recommendation was that the City pay the difference between $9,000 and what PASCO's revenues fell to --expected costs were about $16,000 and expected revenues were about $8,200, and the Committee had wanted to retain the option to increase its payment of the differential but keep PASCO bound to continuing the service. He asked Mr. Pfeiffer if the staff was now saying that it was all right to pay the difference, whatever it night be, but PASCO's service would be subject to termination by the City if the City thought the difference was too high. He asked Mr. Pfeiffer if he understood that correctly. Mr. Pfeiffer replied that Councilmerber Sher's understanding was still not quite accurate. He reviewed the present method the City used in paying PASCO. He referred to Exhibit tl of the staff report of October 11, 1979, which showed that the present operating deficit for PASCO was running from $4200 to $7800; when the deficit exceeded the maximum, that is, $7800 monthly, that fact would be brought to the City Manager's attention. Vice Mayor Sher said he assured then, that the key sentence in the staff report was that which read "lhe City agrees to pay the contractor a sum equal to the amount by which the contractor's actual operating costs exceed revenues.' He noted that the City's protection, with those terms, was to terminate the agreement, and that to be with a ninety -day notice. Vice Mayor Sher said that the Finance and Public Works Committee had reviewed those terms in Committee and had decided against then, wanting instead to have some sea Opp city cot1d take short of termination. He thought that it would also be wise to have within the contract some incentive to keep costs down and revenues up. He acknowledged that PASCO had given good contractual service in the past. He thought that perhaps further discussion would be needed in Committee unless Council approved the changes staff had offered. Councile er Witherspoon said that perhaps an annual ceiling could be set --an amount up to which the City would pay deficits, perhaps up to about $100,000. She ascertained that the federal grant for recycling was not for operating costs but for purchase of equipment. Vice Mayor Sher emphasized that an annual ceiling, with a ninety -day termination notice, was too uncertain. He preferred a contract with incentives to reduce costs and raise revenues. 261 11/13!19 Mr. Pfeiffer said that PASCO had raised the question of its higher labor and fuel costs. Councilmember Renzel said she did not think the annul deficit ceiling was very good business practice. Roy Abrams, City Attorney, said the matter now before Council was the contract and also the Committee reco!rrmendations, either or both of which could be adopted, or amended, so long as the contract base remained intact. Councilrnember Eyerly asked when the contract had to be executed; he did not like that the contract terms, which had been discussed in Committee, were being gone over again with so many changes at Council level. He said PASCO had not attended the Finance and Public Works Committee meeting at which the contract was discussed, nor was there any representative from PASCO at the Council meeting. He thought that the matter should return to Committee for further discussion at that level. Vice Mayor Sher said that as chairman of the Committee he would just as soon the matter not return there; he would like to continue the matter with staff, in the meantime, to propose something acceptable to PASCO and still have within it an incentive to 'ower cost and rnaxtmi a revenue. William Zaner, City Attorney, said that staff could take the time to work out those elements with PASCO. MOTION TO CONTINUED: Vice Mayor Sher moved, seconded by Renzel, that Council continue discussion on PASCO's recycling contract with the City, with staff to develop a proposal to objective of having built-in incentive in the contract, and staff to return to Council with a report December 3. The motion to continue passed on a unanimous vote. h PRKBULEVARD FIRE STATION NUM3ER 2 CMR:470: g Mayor Henderson read the staff recommendation: '`Staff reco rends that Council determine that any of the alternatives chosen will not have a significant adverse effect on the environment; and direct staff to negotiate a lease with the Peninsula Conservation Center (PCC) subject to the following major conditions: (1) The term shall be year-to-year subject to 90 days termination by the City; (2) Rent shall be at least $600/month and shall be adjusted upwards annually by 7 percent; (3) The lease shall not be assigned or subleased without City approval; (4) All alterations or improvements to the structure must be approved by the City. Councilmemher Eyerly noted that the staff recommendation negotiate _ _ _ _ ,...�. .-rw.var was to :K"+!�"JilQLa" a lease with the Peninsula _ Conservation Center --he asked if the City had a policy of lower rental for non-profit organizations, and why staff had recommended PCC. He said there were marry non-profit organizations in Palo Alto such as the Lions Club and Klwanis. He added that to rent the 3800 square feet of building plus parking, for $600, was less than the going rate for office rental --how had staff arrived at that figure? Did staff think PCC should have a subsidized figure? Should other groups have a similar subsidized figure? Jean Diaz, Real Property Administrator, said that the former tenant at 2253 Park Boulevard had a lease which would have expired in 1980. The commercial tenant, Pao Alto Ambulance, had paid $640 per month, plus utilities. $r. Diaz said that when the ambulance company had lost its lease and wanted to terminate their rental agreement he had attempted to find out what non-profit groups with which the City had had some dealings in the past months might be interested in having the advantage of the facility, which was not a typical office building and which, therefore, 262 11/13/79 was not as rentable as office space. Mr. Diaz said the facility needed much work to get it into good condition. Many non-profit groups throughout the City could not afford to pay market rentals--PCC was paying about $600 for its present building. Councilmember Eyerly asked City Attorney Abrams asked if there was any legal hazard for the City if it leased to PCC or other service groups without putting the facility onto the open market, for bid, so to speak, to see what rental it might bring. Sy not doing that could the City be said to be making a gift of public funds? Mr. Abrams said the Constitution did prohibit gifts of public funds, however that concept was one that could be broadly interpreted so long as public benefit was being served. With that and the rundown condition of the facility he saw no difficulty in the City entering into a lease as recommended. Councilmember Eyerly asked what would be the case if a higher rent were offered and rental by the City at a lower rate were challenged. Mr. Abrams replied that because a higher figure were offered did not mean the needs of the City for the specific site were being met. The City might, for example, want to have, or have the need of, freedom to terminate the lease, or have the facility remodeled or the like. He said he assumed Mr. Diaz had considered those matters. The City did not have to put the facility "out for bids" and could make up its own mind. Councilmember Eyerly asked if the City made rental concessions to other organizations —not service organizations such as Palo Alto Child Care and Senior Coordinating Council but groups that did not directly provide services to the City. Mr. Diaz replied that. the City leased to the Boy and Girl Scouts at nominal rent and also leased to the Palo Alto Child Care Center at a low rent and a portion of the utilities. Interest had been expressed by groups for some of the facility at Ventura School; many groups from whom the City was hearing, he said, did not have resources to pay what is "fair market rental." He thought the City, at the staff level, would be dealing with that, and reporting to Council later. Councilmember Eyerly asked if Mitchell Park and other similar City buildings were being fully used; perhaps the 2253 Park buiiu;ing could be rented at better income if other facilities were not in full use and could be used by groups such as PCC. Mr. Diaz said he had not reviewed all the requests, but he thought that requests for space exceeded the a unt_ of. square footage to nee a°sailabie He empnasized that a short-term lease on a run-down facility such as2253Park might not be worth much more than the $640 paid by Palo Alto Ambulance: He said that he had notified Wildlife Rescue that the topic would be aired at that evening's Council Ming, and Virginia Cohen of the Humane Society had stated that it was thought PCC had much more need and served more people with a specific facility and so Wildlife Rescue had withdrawn its request. Councilmember Fazzino said he thought the staff recommendation was well supported with logic. He cautioned that the lease not be so longterm as to tie the City's hands should it wish to develop another project on the site; FCC's use would be interim only. Mr. Diaz said he had stressed to PCC that there was a possibility that some housing need or other might lead to the requirement by the City that the lease be terminated --the 90eda,y termination clause appeared to be acceptable to PCC. Mr. Diaz continued. He said that PCC hid indicated when it viewed the facility that it would probably do some upgrading-- i rove the appearance outside of both grounds and building. '®1'm sure it's nothing very capital -extensive but perhaps it would put that building in a condition which is much better than it is right now.°" 263 11/13/79 Councilmember Levy said he was interested in what the marketplace rent would be for the subject building and grounds. The lease with Palo Alto Ambulance was in its last of several years, and rates had risen considerably in the past fear years, he thought. Perhaps the 90 -day termination clause led to the reduced rental. Mr. Diaz replied that the 1975 rental for the building had been $525 monthly, and the rent had been raised each year --the location of the building on the fringe of the California Avenue commercial area did have some market potential --perhaps the only way to find out would be to place it in the rental market, but with low -intensive use possible in its location he did not think the rental would bring much more --maybe $670...$680...it could not be known without a market test. Council could choose that option. Councilmember Levy asked what a market test would be. Mr. Diaz replied that it could not be easily assessed with this old fire station design --some commercial market proposals could be solicited and then responses could be judged. Costs of such a test would be for the one or two months involved, plus staff time and the process of soliciting proposals. Mayor Henderson read a letter from the Loma Prieta chapter of the Sierra Club, asking that Council support the rental of the 2253 Park Boulevard facility to PCC. The Loma Prieta chapter would share those facilities with others, and the chapter had 4000 Palo Alto residents as members, with 10,000 members in Santa Clara and San Mateo counties. The letter is on file at the City Clerk's office. Jerome Elkind, 2040 Tasso, said he represented the Peninsula Conservation Center and was a board member of that organization. He urged that Council support the staff recommendation of renting the 2253 Park facility to PCC, since PCC was about to be evicted from its present facility because the building had been sold. PCC was an umbrella group for many organizations, some of which were Green Foothills Committee, Environmentar Volunteers, Camp Unalayee, and others, along with providing administrative services to the Santa Clara Valley Audubon Society. He cited the public use of PCC's library and other services. Mr. Elkind said that the one- year lease and the 90 -day cancellation clause did present some problem to PCC, and he would like to have that made more negotiable. Lynn Myerson said she was on the Board of Directors of Camp Unalayee, and urged Council's support of the staff recommendation to rent the old fire station to PCC. ee sy Bechtel, 458 Lowell Avenue, said she was on the board of directors for Committee for Green Foothills, She said the organization was 15 years old and had been affiliated with PCC for a loql time. She described the kind of work Green Foothills did in the community, saying the firehouse site would be an ideal locations and she encouraged Council approval. Karen Hilssen, said she was president of the Peninsula Conservation Center. She said that at present the 24 x 47 -foot building with high ceiling of the old fire station gave extreme sound resonation and diminished "market value" of the site. She said it was expected that the area would be turned into a public meeting room for the benefit of the community. She said that the City had helped PCC build one of the first solar greenhouses in northern California. She noted that Palo Alto was the only unity with a public facility in both bay and foothills areas., She listed the ways in which PCC helped people vocationally since it had moved into Palo Alto in 1972. Jean McDonald, 1509 Portola Avenue, said she was co -director of Nature Explorations, headquartered at PCC. She outlined the means by which Corrected Pg. 339 12/17/79 264 11/13/79 Immummummuwgoals of the nature explorations were facilitated. She lauded the help in attainment of goals that was given by PCC. Vice Mayor Sher said he strongly supported the PCC and its bringing together of nature and conservation groups, and he said PCC had been a definite community asset. He thought $600 a fair rental figure. MOTION: Vice Mayor Sher moved, seconded by Renzel, that Council determine that rental to PCC will not have a significant adverse effect on the environment, approve staff recommendations one through four, and also direct staff to prepare a lease with PCC subject to the conditions that (1)the lease shall be year-to-year subject to 90 days termination by the City; (2) rent shall be at least $600 a month and shall be adjusted upward annually by 7 percent; (3) the least ,hall not be assigned or subleased without City approval; (4) all alterations or improvements to the structure must be approved by the City. Councilmember Fazzino acknowledged that it was not out of the question that the City might find some more important use for the subject building and lot in the future, but at present, because PCC had to invest some money to fix the building up, he did not want to have them subject to the uneasiness of a one-year lease. AMENDMENT: Counciimeter Fazzino moved, seconded by Fletcher, that the first term of the lease should be for two years, with subsequent leases to be year-to-year, and termination would be with six months' notice. Councilmenber Brenner said she liked the amendment; she thought PCC was the right group to meet the challenges of the peculiar features of the building. Also, the California Avenue had been somewhat isolated from community centers and PCC's location there could help meet that need for meetings in that area. She was very enthusiastic in her support. Councilor Witherspoon learned from Mr. Diaz that with the fire station there was "...a good deal of parking area." Councilor Renzel said that PCC would provide services to many other organizations and she favored its broad public service aspects. Councii r Levy said he favored the staff proposal anti he also praised PCC's service to the community. He raised the question regarding the process by which the City let out its property assets to non -City uses. He thought the City should have an open -bidding process that assured citizens that the City's assets were being used efficiently and that should there be a rental subsidy by the City, the amount be known. He noted that the longer the tens of the lease the more valuable the property became as a rental. He did not think that the firehouse plan reduced th possibility of intrisuir r ::ei ing possibilities. For those reasons h uld vote against the -year lease amendment, but he would support the main motion. He thought PCC would be a very good asset in the area. Mayor Henderson supported the amendment, which he thought fair in i i erg of the work PCC had to do to the bu i i di ng to make it useful to its purposes. He reminded Councils bees that rental costs would increase by 7 percent yearly. AMENDMENT PASSED: The amendment that the first term of the lease should be for two years, with subsequent terms to be year-to-year, and termination to be with six months' notice, passed on the following vote: AYES: Brenner, Eyerly, Fazzino, Fletcher, Henderson, Renzel, Sher, Witherspoon NOES: Levy 265 11/13/79 MAIN MOTION AS AMENDED PASSED: The main motion, that Council find no significant adverse effect on the environment and approve the staff recommendations one through four, aid prepare a lease with conditions as amended, passed on a unanimous vote. 1 1 PROPOSED RELOCATION OF TWO }�■++ HOUSES I l��IRTMITb ZEITIAWITIPTrcerrimmror fcv t ►nine " ror" ptember 24, 1979) Naphtali Knox, Director of Planning and Community Environment said that the offer of donating two houses to the City by Northern California had been brought to Council two months ago. One proposed site had been ruled out by Council, but the proposed site at Community Lane and Pine was still before Council. Mr. Knox projected a slide on the screen showing the site. Councilmember Witherspoon asked what had been concluded about a proposed site at the community gardens rear the Cultural Center. Mr. Knox replied that a need for a new roadway off Ertarcadero had seemed too much of an obstacle; also, the community garden would be encumbered so far as future use, were a house to be placed on it. Vice Mayor Sher asked about the availability of the vacant lot near Hopkins and Pine. Mr. Diaz said some tennis -court related facility or a comvinity garden might be placed there. He said an adjacent resident had expressed interest in acquiring a portion of it, thus making her parcel fit better with the minimum -lot size requirement. Vice Mayor Sher said that the staff report s atvi that if the staff recommendation were adopted the house could be added to the below - market -rate program or sold at the market rate. If the latter were done the proceeds could be used in the housing program. Vice Mayor Sher said it had been estimated that it would cost about. $50,000 to move the house and put it in placerand it might be possible to sell it at market rate for about $200,000 --were those reasonable estimates? Mr. Diaz said that they were --sale at market rates could perhaps raise more money. The market value of the lot alone was somewhat more than $75,000 at today's prices. Vice Mayor Sher asked if the lot could be purchased for placement of the second house. with $75,C00 for the of a $50.000 for the house, could not more money be raised for the using program? Mr. Diaz said potential problems arose with that plan; finding the lot along with an owner willing to sell it at present prices could delay relocation of the house and add to the cost. He knew of no such lot at present. Councilor Renzel asked if it were planned to extend the tennis court with the present small lot. Mr. Diaz said the corner house at Pine would have to be acquired in order to expand the tennis courts --at one time that had been the City's intent, but today's economic restraints had quashed that intent. Councilmember Renzel said she did not want to dispose of City property unless it was possible to acquire more, and that did not swan likely at present. 256 11/13/79 MOTION: Vice Mayor Sher moved, seconded by Levy, that Council: 1) Find that moving either house from its East Bayshore location to the Pine Street location would have no significant environmental impact; 2) Accept the offer of one of the houses from Northern California Savings to be moved to the site at Pine Street and the Community Lane; 3) Adopt the budget amendment for the "turn -key" relocation of one house; 4) Either incorporate the Community Lane/Pine Street house in the program or direct staff to sell it at market rates; and 5) Initiate the necessary parcel map, Comprehensive Plan change, and rezoning to R-1. And include that the house be sold at market rate after it is moved and in place, with the proceeds to go toward the City's housing program ORDINANCE 3168 entitled ORDINANCE OF THE COUNCIL OF THt CITY OW PALO ALTO AMENDING THE BUDGET FOR THE FISCAL YEAR 1979-80 TO PROVIDE FUNDS FOR THE RELOCATION OF A HOUSE Vice Mayor Sher said that thanks were owed Northern California Savings for its generous offer. Councilmember Fletcher said she saw no definite benefit to putting the Northern California Savings house proceeds into the Housing Program --it could just as well be another house. Mayor Henderson and Councilmember Renzel concurred with Councilmember Fletcher. Councilmember Renzel said that $150,000 perhaps to be generated from the sale would not create a below -market unit at today's prices. She preferred keeping ":...the bird in the hand." Councilmember Brenner said that she preferred to make a decision about the house after it was in place; passage of time might disclose other solutions. Naphtali Knox, Director of Planning and Community Environment, said there were insufficient funds for the landbank program. At present there were $500,000 for capital improvements in the housing landbank-- that money would not buy two acres of land at today's prices. If the subject house were sold at market rate and added to the fund, the money from the sale added to the present fund it would potentially produce more housing units; the proceeds from the -house sale could go toward some other program too. Councilmember Brenner renewed her suggestion of some time back that Northern California Savings keep the second house in its present location, because she thought Northern California could use the house as an inducement toward attracting a security guard or the like. She said the zoning ordinance permitted the house to stay on its present site, with the sgiare footage of the site not being deduct 1 from --t other t r tleiii fifornia land available for office uses --the house and its land could be a bonus to Northern California. She said she was very enthusiastic about havingthehouse stay in place --tire location had many residential advantages Mayor Henderson confirmed that at present there was no place else to move the house, and housing was needed desperately. Council tuber Fletcher asked the opinion of the Housing Corporation. Sue McPherson, of the, Palo Alto Housing Corporation, replied that she wanted to have the property kept for the below -market housing, Mr. Goldsoi th favored the sale. erected . Councilmember Fletcher said she would like the Housing Corporation to Pg. 339 favor Coencilmember Brenner's suygest1on. 2/17/79 267 11/13/79 Vice Mayor Sher said he thought Councilmember Brenner's suggestion had merit; at the same time money in the Housing Fund, as Mr. Knox had pointed out, gave the Housing Corporation much leverage toward ultimately producing more housing. Vice Mayor Sher said that if Northern California was not in favor of Councilmember Brenner's suggestion it might consider approaching East Pelo Alto to see if they could find a place for the house, where housing was also much needed. Councilmember Eyerly supported Vice Mayor Sher's suggestion to sell the house at market rates and add that money to the Housing Corporation landbank program; he referred to the City Controller's October 1 report that showed that landbanking and rehabilitation funds were going to be hard-pressed without additional funds. Councilmember Renzel observed that in -lieu funds went toward paying 'piggyback' subsidies, and was money paid out of the funds. The present situation would generate an actual housing unit that could be available In perpetuity. Mayor Henderson said the motion would be divided for voting. FART OF MOTION FAILED: The part of the motion, that staff be directed to sell the subject house at market rate after the house was moved and in place, failed on the following vote: AYES: Eyerly, Fazzino, Levy, Sher NOES: Brenner, Fletcher, Henderson, Renzel ABSTAIN: Witherspoon AMENDMENT: Coc ncilrnember Renzel moved, seconded by Fletcher, that Council's decision as to whether to retain the subject house in the Below-Market•Rate (BMR) program or be sold at market rates with funds to go for the housing program, be deferred until the house has been moved and Coun',:1 knows what the market is. Councilmember Witherspoon ascertained that donation of the house, irrespective of the use to which the City-put_lt_::would-result in a tex deduction for Northern Cal i form a . AMENDMENT PASSED: The amendment passed on the following vote: AYES: Brenner, Eyerly, Fletcher, Henderson, Levy, Renzel, Sher, Witherspoon NOES: Fazzino, Sher Mitt MOTiON AS AMENDED PASSED: Themainmotion, that Council adopt the staff recommendations and the budget ordinance es follows, passed unanimously: RECESS: Council recessed from 9:35 to 9:55 p.m. RE Q EST OF COU 1CILMEMBER EYERLY Councilmember Eyerly referred to his memo of November 6, reviewing elements that led to existence of a fire hazard in the upper and lower foothills. A report from Jerry Lawrence, Foothills Park Supervisor, had stag the dangerous amounts of plant fuel in that area. Tha fire management plan had been ccapleted within Foothills Park through construction of fire lanes and ;planting on them fire -retardant plants; there remained, however, some planning to be done for areas outside the park. Councilmember Eyerly suggested that fire lanes be constructed there also, with funds for such construction to come perhaps through the Weed Abatement ordinance. 268 11/13/79 MOTION: Councilmember Eyerly moved, seconded by Fazzino, that Council direct staff to look into the feasibility of use of the Weed Abatement o-dinaree for fu.ther fire control in; the foothills through construction of fire lanes. Councilmember Fazzino recalled n discussion of about one and one-half years ago on the fire hazards of the subject area. Councilmember Eyerly said that discussion had related to planting fire retardant plants along roadsides; it had nit mentioned the Weed Atater:ent ordinance or use of fire Lanes. he said the buildup of plants that would fuel a fire on private property "...is pretty horrendous, Some day there'll probably be a fire, and I'd like to be ready for it and this Weed Abatement ordinance is one way to get to i e,`� A discussion ensued on the matter of "controlled burning," that would reduce the buildup of fire -fueling brush. The thought was expressed that perhaps the Forest Service could help on that idea. Mayor Henderson ascertained that the staff inquiry was not to be limited to the Weed Abatement ordinance, and that all helpful information could be set forth in the report to be made by staff. Councilmember Brenner added that the idea of constructing fire lanes might require private owners to conform to some planting schemes now now required. She thought the idea worth exploring, however. MOTION PASSED: The motion passed on a unanimous vote. RE EST OF MAYOR HENDERSON NOR T FERN xnt ri S V s FROM Mayor Henderson read his memo to Counci lmembers : "Northern California Savings' proposed relocation of its corporate headquarters to East Bayshore carries with it several other related proposals covered in the accompanying letter. Because these proposals are interrelated, Mr. Bulmore speaks of a master plan and the need for Council to discuss this plan prior to moves toward specific actions. I agree. "At the November 13 Council meeting, I hope that Counc i lmembers will be prepared to give guidance to Northern California Savings on acceptance of the plan for new corporate headquarters on East Bayshore, the parking lot exchange on Gilman Street, the sale of the fourplex at 627 Bryant to the Palo Alto Housing Corporation and the disposition o; the two single- family residences now located on the East Bayshore property. Of course, each s8 r be subject to 411 = regular procedures gent 4 __t master v�laR will be ..�.4i»�a__y --t4----- ---� such as ARS, Planning_ Co issio?�, and Council approvals. ARS, Planning re Councilmember Renzel emphasized her enthusiasm about the in -lieu exchange of the fourplex on Bryant, because it provided actual housing and that would be of more benefit than funds. Councilmember Renzel continued: a proposal to build 190,000 square feet in the Baylands, had been made, with 90,000 square feet to be built soon and, 100,000 square feet to be built later, in two buildings. The mitigation am:.oent was calculated on the 190,000 square foot figure. She said she would like the 190,000 square -foot figure to be stipulated as the maximum number of feet to be built, Mayor Henderson amplified that the Bryant Street house was included in mitigation and was not the entire mitigation, which amount was yet to be corked out. 269 11/13/79 Councilmember Renzel continued on the matter of the parking space; she recalled that when Northern California applied for a variance for its 300 Hamilton building one condition was to have been that the parking space remain in open space --since the variance was not granted that condition was now inoperable --she said she would want the parking space to remain in surface parking with its present landscaping, with the additional lot to be landscaped in like manner. She wanted the present nineteen -space dimensions to remain, or be increased, not diminished. City Attorney Abrams referred to paragraph four of page 4 of Northern California Saving's letter, regarding 50t per square foot for 190,000 square feet. He said that the 50t figure might have to be re-evaluated in the light of the fact that 100,000 square feet were to be built later, when the sue might increase. Vice Mayor Sher said that Northern Califoonia Savings' letter was very useful; it was helpful to have the entire package listed, He was grateful to Northern and thought mitigation amounts could be worked out when construction began at the new site. He added that the right process would have to be worked out to keep the parking lot in the correct assessment district. Councilmember Brenner said she would like that the house across from City Hall would remain in the housing stock, rather than be converted to office space. She remarked that the present parking lot for the savings and loan company had become cherished open space within the downtown district, and when she learned that the private space was to be closer to Downtown activity and the public space to be farther removed, she had thought it was not equivalent in value. Was it offered as being equal? She noted that employees were not to use the private parking lot and were to use the City lot. She had thought that when a builder supplied parking spaces the spaces were to be subtracted from the assessment to the district. When the parking spaces were not available to employees, was it a reasonable way to charge? Mr. Abrams said the municipal code did not address who may or may not use parking spaces supplied by a developer. the code did clearly intend that the spaces be available to the employees; it was upon the number of employees that parking needs were calculated. For that reason he thought the prohibition of parking to employees was a violation of the intent of the City's zoning code, but he did not know if it bore a direct relationship to the assessment district. Councilmember Brenner said it did directly relate, because the City gave credit for employee -used parking space and here that was not the case= She said that it would not be an issue if there were plenty of public r iMng Mr. Knox added that he understood that parking assessment procedures gave credit for spaces provided, with no differentiation or whether or not the space was to be used long- or short -term -ea parking space was a parking space, and so Northern California would receive credit for parking spaces provided. He said there was no incentive to provide parking, and it was expensive to do so, unless business was being hurt by the lack of parking. People building downtown often just wanted to buy into the assessment district and not provide their own parking -- Northern California appeared to want to provide customer parking. Councilmember Brenner said Mr. Knox's statement confirmed her opinion, which was that provision of a private parking space was not equivalent in value to an assessment district -provided parking space. She concluded saying that more complete plans had to be viewed to correct possible inequities. Corrected See Pg. 339 12/17/79 270 11/13/79 Councilmember Levy concurred in appreciation of the house, that provided immediate housing. He asked how many people Northern California was planning to employ in its new facility, noting that 27,000 square feet were occupied at present, and he urged that Northern California occupy the increased floor space at the minimum intensity possible, because housing was so difficult to obtain in Palo Alto. Mayor Henderson amplified that the housing offered on Bryant was for the rental program, not the below -market -rate program. Robert R.Bulmore, vice president, Northern California Savings, voiced appreciation for Council attention to his company's building plans. He projected a transparency of plans for the parking lot. William caner, City Manager, interjected that numbers of parking spaces and other specific details were not under the purview of Council that evening; concepts such as trading of lots, appropriateness of the trade itself, the foueplex in lieu of some of the mitigation payment, were more the kinds of matters Council should direct its attention to. Mayor Henderson told Mr, Bulmore that some of the questions voiced that evening regarding the parking lot, for example, were to alert Northern California about some of the natters that the City would be addressing -- Mr. Bulmore's proposed discussion on specifics would be premature at this time. Mr. Bulmore then responded to Councilmember Renzel's concern about maximum footage --Northern California would be building to a maximum of 191,200 square feet permitted on eleven cores because only 30 percent could be built upon, and up to thirty-five foot height --two stories. He spoke of the parking exchange, saying Northern California thought the exchange was of equal value, and he pointed out that the proposed location then lined up with a City parking lot across the street. The 50 -foot wide lot was fifty feet farther from Hamilton, He said the parking district would be discussed at anther time when legalities could be checked out. He said the totel number of parking spaces would be the present nineteen spaces, plus thirty-six more. He noted the growth of Pnrthern California , from the 13,000 savings accounts when it opened, to 24,000 at present. He said American Savings had about $8 billion, whereas Northern California had about $2 billion --it might be about five years before his company expanded to the reining 100,000 square feet. He had some difficulty estimating the number of employees needed --data processing would eliminate the need for many. Councilmember Levy noted there were 171 employees at present --when was completion of the 90,000 square feet anticipated, and when would the move take place? -- ----- - - -- - -- Mr. Bulmere replied that about 31 employees_wood reeeia at- ele present headquarters, and 171 would wove to the new quarters; some additional employees would be added there. Councilmember Brenner said she thought it would be helpful in assessing the jobs/housing imbalance if Northern California could at some time give Council a profile of where Northern California's present employees resided and how many miles they had to travel to get to work. Mr. Bulmore said his company could get those figures. Mayor Henderson said he perceived Council was in general in concordance with Northern California's plans; staff would pursue details of plans. No action was needed tonight. Councilmember Witherspoon left the meeting at 10:30 p.m. and did not return. 27] 11/13/79 REQUEST OF MAYOR HENDERSON RE CONTROL OF VICIOUS ANIMALS Mayor Henderson said he raised this matter following a discussion on the subject at Intergovernmental Council (IGC). The County served other cities in the county for animal control; Mayor Henderson said he would like to have Palo Alto's animal control laws equal to the county laws. MOTION: Mayor Henderson moved, seconded by Fazzino, that Council direct staff to review the Palo Alto Municipal Code and prepare an amending ordinance if necessary to make Palo Alto's regulatings controlling dangerous and/or vicious animals at least equal to the Coclty's ordinance. The motion passed on a unanimous vote, Councilmember Witherspoon absent. REUESTOF MAYOR HENDERSON THAT CATION ,A iW R PROJECT Mayor Henderson said the item concerned what would be required of construction in residential areas to meet Fire Zone I requirements -Spencer Associates, he said, did not now require anything specifically of Council, buts irrespective of that, he felt it would be good to know such fire zone restrictions. MOTION: Mayor Henderson moved, seconded by Renzel, that Council direct staff to report to Council on the general subject of residential construction in Fire Zone I areas, and on the specific situation at 227 High Street. The motion passed on a unanimous vote, Councilmember Witherspoon absent. RE'UEST OF VICE MAYOR SHER FOR c ►. I DING R OFG+ D G Vice Mayor Sher said the imminent expiration of a state law gave rise to his request. Autocratic or computerized checkout systems were being put into use, with an optcal laser reading a Universal Product Code (UPC) marker. With the use of UPS: individual items did not have to be priced. Vice Mayor Sher noted that the system made comparison shopping much more difficult. Persuasive arguments led to a state law that stores continue to item --price, but the law expired that year. Some cities and counties were contemplating passing their own item -pricing laws --San Francisco had passed such an ordinance for first reading November 5, 1979, on a unanimous vote. Vice Mayor Sher said he thought it was appropriate for the City of Palo Alto to intrnAisr.0 sec an ordinance to help citizens be better consumers MOTION: Vice "Mayor Sher moved, seconded by Brenner, that Council direct the City attorney to prepare a brief "report regarding to possibility of enacting an ordinance requiring item pricing of commodities in Palo Alto grocery stores grocery stores, the report to include a draft ordinance, and that the report be returned to Council no later than the first meeting in December. Councilmember Fazzino asked why the stag taw was expiring. Vice Mayor Sher said he thought the state law had been extended a time or two, and it had not been extended, perhaps because of the thought that it placed a burden on grocery stores. Vice Mayor Sher observed that the 'burden' was not new however. 272 11/13/79 Councilmember Renzel said she would support the motion to re/er to the City Attorney; she had read that UPC would speed checkouts and cut overhead costs and she did not know how much comparative shopping people actually did. Mr. Abrams said that California law currently required items pricing and the `w would expire this year; unit pricing, i.e., how much per.pounj. and the a ke, was within the scope of an educational program of the Department of Consumer Affiars, and state law required that department to educate consumers as to its application to products. A bill requesting extension of item pricing was now before the legislature. Councilmember Eyerly said he was opposed to mandatory regulations on merchandising because they raised ccsts of merchandise. UPC was devised to save the consumer money. Customers had the control of not shopping where UPC was being used. He would vote against the motion. Councilmember Levy said he would like to know the experience other communities had had with or without item pricing, and also he would like to know the results of hearing before the legislature on the matter. Councilmember Brenner said she supported the motion --she said there was often a disparity between shelf price and the actual at -the -register price. Automatic pricing was gibberish for the customer and the price of the item with UPC was not announced. Councilmember Fletcher said she supported the motion wholeheartedly. The benefits of UPC were to the stores, not to the consumers. She thought it better to have the ordinance --it could be repealed if the ordinance were found to be disadvantageous. She would support the motion. Councilmember Fazzino said he would like to have the matter reviewed. He liked the idea of item pricing and he did not think 'savings' would be passed on to consumers. He would prefer that the state extend the present ordinance. He would like to know what other cities were doing and what the potential cost burden might be on grocery stores to maintain item pricng. He would support the motion: Mayor Henderson said he too would like to hear more information. on _ the topic --he would support the motion. Mr. Abrams said he could return to Council with a draft ordinance --other requests for information would take more time; he reminded Council that four -fifths of the Council had to vote an emergency ordinance, in order to by-pass the thirty -day and two read;ngs requirements for an ordinance. Mayor Henderson noted that Mr. Zang. CitOtAn-airr, y --W _ h.en listing Council requests for information. Mr. Zar:er commented that he had listed seven parts to this present request to staff; that much data could not return to Council in time to match the return of a draft ordinance for adoption by January 1, 1980, he said. However, if the four -fifths vote were not obtainable perhaps there was not the hsste on returning the information. Councilmember Fazzino said he supposed grocery stores in Palo Alto could be notified by letter that an ordinance was soon to be forthcoming. Vice Mayor Sher said that if the draft ordinance returns by December10 and Council passed it for first reading grocery stores veuld not change their pricing systems. He would like Council to act next month. He said that because of the existing state la* grocery stores would have item pricing, so information on star s without unit pricing would be non-existent. He said an article -said that several stores in Seattle had installed computer pricing and dropped item pricing. The article said that there had been difficulty in passing permanent item -pricing legislation because there were objections by the supermarket lobby in Sacramento? who had succeeded in having Stich legislature dropped since 2 7 11/13/79 1975. He reviewed some of the refinements of the UPC system and concluded that `savings' were not likely to be passed along. He said that Council had passed ordinances on gas pricing practices and smoking, since need for such legislation had been shown. Councilmember Levy said he did not want to vote without more information and he said Palo Alto's choice of stores made it possible for consumers to shop where the pricing method suited them. He would vote against the motion. MOTION PASSED: The motion, that the City Attorney prepare a brief report regarding the possibility of enacting an ordinance requiring item pricing of commodities in Palo Alto grocery stores, the report to include a draft ordinance, and that the report be returned to Council no later than the first or second iieeting in December, passed on the following vote: AYES: Brenner, Fazzino, Fletcher, Henderson, Renzel, Sher NOES: Eyerly, Levy ABSENT: Witherspoon RE EST OF COUNCILMEMBER BRENNER Vice Mayor Sher said he would not participate in discussion of the matter since Stanford University was his employer. Councilrnember Brenner said there had been some misunderstanding regarding Corrected Peter Coutts and she felt that. the Policy and Procedures Committee would Pg. 339 not be able to deal effectively with giving full discussion of the 12/17/79 subject of annexation at this time. She said that approval of the concept of the Peter Coutts project by Council had been given unanimously on October 15. She said that Planning Commission and Council review of the project was not a county requirement, but Stanford had submitted it as a courtesy. There had been no intention of delaying the project, she said --1t was not going to be considered by the county until January, 1980. She said she supported a mix of housing and open space on the site, She said she now understood from staff that it would be difficult, if not i>e,ossible, to convene a quorum of the Policy and Procedures Committee in time to return the tatter to Council by the first week in December. Additional continuance, she said, would further misapprehensions among Council and staff regarding possible delay of the project. She stated that it was important to clarify that looking carefully at a, proposed change in the Comprehensive Plandidn.t --- have to slow down county consideration of the project. and discussion of the aspect of -annexation of theproposed � Comprehensive Plan amendment neither_ would nor had slowed the project. She said that Council's central focus ust be to move the project ahead but never to eliminate full discussion. !MOTION: Councilme*ber Brenner moved, seconded by Renzel, that the Peter Coutts referral to the Policy and Procedures Committee re possible annexation be removed from that committee and returned to Council, with it to be placed on the agenda for December 3. along with the proposed amendment to the Comprehensive Plan. Roy Abramm, City Attorney, said that as he interpreted the motions of the last meeting, staff was in somewhat of a procedural quagmire. He referred to the motions to reconsider and to continue, which had been wade jointly, he said, and had not been separated. He said the motions indicated to him that their intent was not to delay the project but for staff to return to Council with certain information they had thought Corrected Pg. 339 12/17/79 necessary. "That did not necessarily mean referral to committee, if the result of that (referral) was to delay the project." Mr. Abrams said he thought that the intent of the motion would allow Councilmember Brenner to move to return the item to the Council agenda on December 3, which was the date set on the original motion, date set, without it going to committee, so long as the information is without it going to committee, so long as the information is presented that week. The December 3 date was necessary because the motion to refer was tied to the four -weeks continuance motion --the date had seemed key to the motion. MOTION PASSED: The motion to return the Peter Coutts matter to Council and remove it from the Policy and Procedures Committee passed on the following vote: AYES: Brenner, Eyerly, Fazzino, Fletcher, Henderson, Levy, Renzel, NOT PARTICIPATING: Sher ABSENT: Witherspoon OCEDURAL RULES FOR COUNCIL MEETINGS Roy Abrams, City Attorney, said that he had wanted to analyze the procedural rules that Council had adopted for Itself and as contained in the municipal code. He said that seme interpretations of those rules through the necessities of some s'tuations had sometimes led to unacceptable results. He requested Council's authority to do the analysis. MOTION: Mayor Henderson :roved, seconded by Brenner, that the City attorney analyze the procedural rules for Council of the City of Palo Alto. The motion passed on a unanimous voice vote, Councilmember Witherspoon absent. HUMAN RELATIONS COMMISSION - CANDIDATES INTERVIEWS Counciimembers discussed dates and procedures for interviewing the eleven candidates for position of Human Relations Commissioner. It was decided that the eleven candidates would be interviewed at 7:30 p.m., November 26, in the Council meeting room, with each candidate to have fifteen minutes each, the sequence of appearance to be determined in advance. MAYOR HEN€DERSON RE LETTER Maw, Man4Pr�cr�n s!idd he d�.'>�i rct i cd A -. . .. ,v -_ .. : �.�.. .. :.:� ..a;v r wma.. rs:es ca � ��+.LTei i 7 {r�ii 3�iig.6.:}!" (71(+If� �a cik j ng the# Cour'c it b rs. have a- brea9kfast- meeting- NF 6 - hiw sometime -between November 15 and Decor 15. Senator Garcia said the_meetingwouid give him an opport.unf ty to apprise Council of what had happened in the previous -assembly session, and some notes on how the legislature could perhaps help the City.. Vice Mayor Sher said he would prefer to meet with the senator when the senator was- seeking information and Council bens' views, Mayor Henderson coneluded that a letter cold be written Senator Garcia demurring on the proffered breakfast meeting and expressing Vice Mayor _cha9°_ei _h?!tD_fnr *mating w1th_ ra,ncil__individu i Cou c11 - s could respond affix tively•if they so desired. COUNCIL$E$BER EYERLY REQUEST FOR OJECT Councitmember Eyerly said he would like more clarification on ttte earlier motion to remove the `Peter Coutts project matter fry committee. He had thought the Policy and Procedures C i ttee was to have received the 2 7 5 11/13/79 study made some five years back about the annexation of Stanford land, which the committee would then review and make recommendations. He said he did not favor a full study in view of the shortage of staff unless the aims were very clear. 1 f 1 Mayor Henderson said that Councilmember Fazzino had made the motion and also was chairman of the Policy and Procedures Committee, Councilmember Fazzino said there had been interest on the part of Council to review the study of some five years back regarding annexation of Stanford land. The Committee was to have reviewed the study and determine whether or not additional information was necessary and report back to Council. No new study was being requested. William Zaner, City Manager, agreed that that was his understanding of the assignment also. ORAL COMMUNICATIONS None ADJOURNMENT IN MEMORY OF FORMER COUNCILMEMBER ED WORTHINGTON Vice Mayor Sher said that a memorial service for Ed Worthington, former Councilmember, had been held the previous Saturday. Vice Mayor Sher said that Ed Worthington had been intelligent and able and had contributed a great deal to the City serving as a Councilmember from 1355-67. MOTION: Vice Mayor Sher moved, seconded by Fletcher. that Council adjourn in the memory of Ed Worthington. The motion passed on a unanimous voice vote, Councilmember Witherspoon absent. The meeting was adjourned at 11:25 p.m. AFFIRM: City Clerk APPROVE: Mayor 276 11/13/79