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HomeMy WebLinkAbout1980-05-12 City Council Summary Minutes1 CITY COUNCIL MINUTES ITEM Minutes )f April 14, 1980 Consent Calendar -- Action Items Regular Meeting May 12, 1980 PACE 621 Backlog Parking Citations 6 2 1 Compensation Plans For City Employees 6 2 1 Federally runded Housing Improvement Program (I1IP) 6 2 2 Appointment Of Certified Public Accountant --Audit 6 2 2 Council Approval Of Grant Funds For Residential Conservation Program NCPA/City of Palo Alto Agreement 6 2 2 Planning Commission Recommendation Re A ,Mec.anism For Sale Of Surplus School Sites 6 2 2 Ordinance Regarding Dufies And Meeting Dates Of Finance And Public Works And Policy And Procedure Committees 6 2 3 Arastra Land/Interim Equestrian Trail System 6 2 4 Assistant City Manager Resolution Amending Compensation Plan and Budget Amending Ordinance 6 2 8 Initiative Petition —Downtown Park Korth Park Dedication Ordinance 6 2 9 stint!ra Of Cerneid reti Of !TT Excavation 6 3 3 Continuance 0f , Consideration Of Smoking Regulations 6 3.3 ��s�u _ CoJ ii t--FTeter Concerning - Condominium Conversion 6 3 4 Request Of Mayor Henderson And Councilmember Fazzino Re Proposition 9 6 3 9 C 11 ber Eyerly Re Fuming Reouests For New City Services 6 3 9 Adjournment 6 4 0 • CITY OF PALO ALTO 6 2 O . S/12/80 Regular Meeting May 12, 1980 The City Council of the City of Palo Alto met on this date in the Council - chamber r 250 Hamilton Avenue, at 7:45 p.m., Mayor Henderson presiding. PRESENT: Brenner, Eyerly, Fazzino, Fletcher, Henderson, Levy, Renzel , Sher, Witherspoon (arrived 7:50 p.m.) ABSENT: t4one Mayor Henderson announced there would be a bried executive session at recess on litigation. MINUTES OF APRIL l4, 1980 MOTION: C-ouncilrrrember Fletcher moved, seconded by Fazzino, that. Council approve the minutes as read. The motion passed on a unanimous voice vote. ORAL COMMUNICATIONS None CONSENT CALENDAR Referral Items None Action Items BACKLOG PARKING CITATIONS ((CMR:250:0) Staff recommends that Council 1) approve the agreement providing for processing of existing parking citation backlog; 2) direct staff to report back with a recommendation for processing current citations along with a financial analysis giving a cost/revenue breakdown. AGREEMENT ADJUSTING PERCENTAGE DISTRIBUTION OF FINES AND FORFEITURES PENAL CODE SECTION 1463 COMPENSATION PLAN FOR CITY EMPLOYEES (CMR:252:0) Staff �y,..a _ ;..w.__s, _... r r,t,u�.ow!: th t , ►uc.:: cuca1'e- €he resolution for A rnOtnspeA44ns. plan for zltslifieyi employees and t -compensation plan for confidential employees, along with the resolution amending Section 1404 of the City's Merit System Rules and Regulations to incorporate the memorandum of understanding agreement. It is recommended that these resolutions be adopted so that the agreement provisions become effective April 19, 1980. Funding for compensation plan changes has been provided in the 1979-80 Annual ILsdget, and the 1 -81 preliminary annual budget. RESOLUTION 5792 entitled "RESOLUTION OF THE COUNCIL OF Wirff fi ALTO AMENDING SECTION 1404 OF THE MERIT SYSTEM RULES AND REGULATIONS," RESOLUTION 5793 entitled *RESOLUTION OF THE COUNCIL OF firaTrirrE0 ALTO ADOPTINS A COMPENSATION PLAN • FOR CLASSIFIED PERSONAL (SEIU) AND RESCINDING RESOLUTION 5665 AS AMENDED 8Y RESOLUTION 5702." 621 6/12/801 RESOLUTION 5794 entitled "RESOLUTION OF THE COUN IL OF TH' CITY OF PALO AL10 ADOPTING A COMPENSATION PLAN FOR CONFIDENTIAL PERSONNEL AND RESCINDING RESOLUTION 5666." FEDERALLY FUNDED HOUSIN (CMR:'44:0) Staff recommends that Council approve the final credit agreement from Crocker National Bank to leverage HIP Community Development Block Grant (CDBG) 1980-81 funds; and authorize the Mayor to enter into the credit agreement with Crocker National Bank, AGREEMENT --Crocker National Sank APPOINTMENT OF CERTIFIED _:7016/1° CONTRACT --AUDIT OF ACCOUNTS AND RECORDS Arthur Andersen & Company COUNCIL APPROVAL OF GRANT FUNDS RAM (CMR:239:0) a m o m to ragr n Staff recommends that Council authorize the Mayor to execute the Northern California Power Agency (NCPA) agreement with the City of Palo Alto for grant funding of $25,000 and approve the budget amendment to add $25,000 in revenues and $19,000 in expenditures to the Resource Conservation subprogram budget for Fiscal Year 1979.80. ORDINANCE 3200 entitled "ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO MENDING THE BUDGET FOR FISCAL YEAR 1979-80 TO PROVIDE FUNDS FOR THE RESIDENTIAL ENERGY CONSERVATION PROGRAM AND TO PROVIDE FOR THE RECEIPT OF GRANT FUNDS FROM THE NORTHERN CALIFORNIA POWER AGENCY." MOTION: Councilmmmember Fazzino moved, seconded by Fletcher, that Council approve the Consent Calendar as read; the motion passed on a unanimous voice vote. PLANNING COMMISSION RECOMMENDATION E SA1 EbF trIsr Mayor Henderson said the proposal recommended by the Commission was he wanted to include other points the topic. prepared by Commissioner Cobb and innovative and well thought out, but of view for Council's deliberations on MOTION: Mayor Henderson moved, seconded by Eyerly, that Council direct staff to include the recommendation of the Planning Commission and Commissioner Cobb's proposed mechanism, in the City's negotiation for school site purchases. Mayor Henderson said that staff would, of course, analyze the method and decide other or not to include it in their negotiations. Counciimm tuber Renzel said she did not understani the relevance of using Mr. Cobb's proposed mechanism in negotiations. It could be available, however, as a potential tool, if the utility tax measure did not pass. She preferred financing the property and keeping it in public ownership. 622 511280 Mayor Henderson said that he had meant only that the mechanism was to be available. Councilmember Renzel said she regarded Mr. Cobb's proposed mechanism as a financing method the City could use; she thought the City was negotiating a price with the school district between the City's price and an R-1 density price. Mayor Henderson agreed; staff would recommend the mechanism if it so chose, when staff returned to Council with its analysis. Councilmember Fazzino said he thought that if the motion passed Council would have made a policy decision in favor of the approach. He did not think the mechanism would work without very high density housing on one part of the parcel. He preferred that the staff analyze the proposal and bring it back to Council with comments and recommendations. He would vote against the motion. Councilmember Fletcher said she thought the ration should state clearly that the proposal was to be analyzed t fore it was used in negotiations, SUBSTITUTE MOTION: Councilmember Fletcher moved, seconded by Fazzino, that Mr. Cobb's proposed formula be referred to staff for analysis and returned to Council for a policy decision. Vice Mayor Sher said the proposal was innovative, but there were assumptions in it about higher density housing and neighborhood acceptance of higher densities that went beyond the mechanism; the proposal seemed to suggest that the City would become the owner of the property at fair market value price and then, the City would take time to work out a price and get a developer to build the housing, with the City using the proceeds to pay the purchase price for the land. What happened if the City did commit itself to buying sites, then found that the high densities were not acceptable? He would like to see staff's comments on the assumptions underlying the proposed mechanism. F1e thought the substitute motion did give staff the direction to make that analysis and resultant comments. Mayor Henderson said his motion had been made in its form so that staff did not have to make a study then report to Council --staff could use the mechanism if it chose to do so after it had been analyzed. Councilm ether Witherspoon noted that if the City held the property for a few years, as might be the case, the City would be liable for some expenses. She would like to have the staff report on that. Councilmember Levy said he thought the proposal called for the City to speculate in land, and he thought that idea should be carefully weighed by Council. SUBSTITUTE MOTION PASSED: The substitute motion, that Council direct staff to analyze Mr. Cobb's proposed formula and return to Council for a policy decision passed on a unanimous vote. ORDINANCE REGARDING DUTIES AND MD tY Aft MOTION: Chairman Fazzito introduced the following ordinance for first reading and, seconded by Fletcher, moved its adoption by Council: L I C WORKS ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING PALO ALTO MUNICIPAL CODE SECTIONS 2.04.240(a), 2.04.250, AHD 2.04.260 REGARDING THE DUTIES AND MEETING DATES OF THE FINANCE AND PUBLIC VOUS AND POLICY MO PROCEDURES COMMITTEES 623 5/12/80 Mayor Henderson noted that it was proposed that Policy and Procedures Committee handle outside contracts; and he thought that since such contracts were in amounts of $10;000 or more they should be handled by the Finance and Public Works Committee. AMENDMENT: Mayor Henderson moved, seconded by Witherspoon, that the Finance and Public Works Committee handle outside contracts. A discussion ensued as to the place of policy in expenditure, and the place of expenditure in policy. SUBSTITUTE AMENDMENT: Councii ber Fazzino moved, seconded by Fletcher, that the classification of `outside contracts` be eliminated and that assessment districts be handled by the Finance and Public Works Committee. Councilmember Brenner said that, for example, Council had to decide if it wanted to support various art functions, and that would become an outside contract and required a policy decision before it got a financial decision. Mayor Henderson said that the substitute amendment did not take into account the ordinance that now said that all outside contracts in amounts over $10,000 went to the Finance and Public Works Committee. That ordinance would have to be changed if the Policy and Procedures Committee wanted some outside contracts go to it. SUBSTITUTE AMENDMENT PASSED: The motion that "Outside Contracts" as a listing be eliminated, and "Assessment Districts" be placed in the Finance and Public Works Committee, passed on a unanimous vote. ORDINANCE AS AMENDED PASSED: The ordinance, as amended, passed on a unanimous vote. ARASTRA LAND INTERIM EM (CMR :243:0) Mayor Henderson read the staff recommendations: 1) establish a free public perimeter trail on the Arastra Property; 2) void all riding permits issued by Arastra Limited, 3) require boarders to use the perimeter riding trail and 4) approve the recommended boarding fee increase. John Nagle said he resided in Santa Clara. He urged Council to approve the perimeter trail -it would join the Portola Valley and Los Altos trails. Larry Faber, 3127 David Avenue. He said he thought the recommendation for the perimeter trail should be followed. He had thought, in relation to the recommendation that all riding permits be voided, that Council had said some months back that it did not intend to do that. He did not know how boarders, as required by the third recommendation, would get to the perimeter trail, He thought that, because there were not many owners of horses, they were being discriminated against. He thought there might be an effort to eliminate horses from the Arastra property, and he did not think Council had intended that. Regarding the fourth recommendation to approve the boarding fee increase, he held that the 40 percent increase was too much, and that fees from the most expensive boarding stables had been used as a base for comparison. He thought 10 or 15 percent would be a more reasonable increase. J. Couperus, 13680 Page Mill Road, Los Altos Hills, He said he did not think the staff recommendations suited Council's initial policy. He said he inferred that the recommendations were based on wish for financial gain rather than ecological conservation. He said it was not customary to require fencing on both sides of a bridle path; he thought Palo Alto 624 5/12/80 was keeping the horses out because it could not afford the fencing. He said he was permitted, through the vetting process, to use horse trails at Crystal Springs, and he could clso ride trails at Wunderlich. He asked that Arastra trails be made available for his and others' use, just as the Los Altos Hills trails were available to Palo Altans. Melissa Parsons, 225 Park Lane, Atherton, said she had boarded her horse at the. Arastra property for 14 years. Cost comparisons were misleading, she said; the stalls were not cleaned and food for horses was not provided at Arastra: Food for horses, at $11 a bale, cost about $60 a month. She egreed the caretaker, Mr. Bothwell, needed a cost -of -living increase. Counciimember Witherspoon said that this matter had been before Council a year ago, and now a plan had been presented. She noted that damage to trails would not take place in the dry season as it had in the wet season. She thought it would be a neighborly gesture on the part of Palo Alto to complete the perimeter trail that joined with trails from Portola Valley and Los Altos Hills. She thought it would be wise to keep the equestrians limited to about 150 Palo Altans for the coming six months, then assess what effect that had had on the property. She discussed the present and proposed trail system with Larry White, Director of Parks and Recreation; no horses were to be allowed on the one -mile long utility service road. Patrolling for Saturdays and Sundays and one random day a week came to about t90. More patrolling would be needed when the perimeter trail was opened. All the standards set forth in the environmental assessment had to be met for the perimeter trail. Ken Schreiber, Assistant Director of CoCommunity Planning and Environment, said four mitigating measures had to be met in relation to the trail;, though not in certain locations or certain routes. Proper trail servicing was one such measure on portions of the trail which held moisture, or during the rainy season. He said diversion of water, culverts or bridges over streams and trail fencing were the other raitieators. Some of these mitigations were required even in dry season. MOTION: Council ber Witherspoon moved, seconded by Sher, that Council direct staff to establish a perimeter trail, as recommended by staff and as modified by suggestions on the field trip some Cou:zcilmembers had taken on the property May 8, to give maximum privacy to the private residence. Councilor Renael said she was concerned about establishing the specific perimeter trail route until the flood plain for the creek had been outlined, and also that retained the scenic quality of the trail running alongside the creek. Wiliam lamer, City Manager, said staff would ascertain where the flood plain would occur; the present plan was to keep the trail some distance from the creek, Larry White said the proposed fee schedule had been based on a survey of other stable facilities; Arastra did not furnish a ring to ride in, and there were other differences, and so the fees were somewhat different. He listed some of the fees at other stables. CounciImenber Fletcher ascertained that equestrians would reach the perimeter path by way of existing routes that Mr. White described as "entrance road" and "center road." A discussion followed on maintenance needed to keep the roadways undamaged by gorses. The interior roads were now in use as is, though, to meet the environmental assessment, some work was needed before they could be used by other than those presently boarding horses at Arastra. Jackie Bressler, whose residence adjoins the Arastra property, said she 625. 5/12/30 i had asked Larry White to keep the perimeter trail away from her house, because it would have taken away the privacy. She said the perimeter trail was more like a utility trail --a safe way to take a 5 -minute ride to get a hamburger, without having to travel Arastradero road. She thought that since existing trails had been in use for about 30 years they could continue to be used --they were accessible through the meadow pate. She thought a six-month trial withoet_nny. changes having to be made for that period was the least expensive way for Palo Alto to try out the system and assess possible impact on the land. She asked that the trail not parallel the creek, because that spoiled her privacy. Vice Mayor Sher summed up the information given thus far, saying he had been an the field trip to the property and was conversant with the trails being discussed. He thought the question before Council was the differentiation between City and non -City residents, both of which groups had passes to the property issued by the previous owner. Palo Altans were now paying boarding fees, and were entitled to access, and that is why it had been recommended that the passes be voided. The proposal before Council was for an interim plan, and eventually there would be mixed uses, perhaps some park use. He would like for non -City people to be able to use the property, but that plan had to be worked out. He hoped that would be soon. Councilmember Brenner said she thought the difficulty of curtailing a temporary use was illustrated by the discussion so far. She thought interim lines `ended to become permanent. lines. She thought the City should survey the /and so, it would be known definitely where the perimeter fences should he placed, the boundaries of the City in relation to the creek, and the like. She thought a discussion of a bridle path should include discussion of bicycle and pedestrian trail for safety, because the traffic was heavy at peak times, Mr. White said staff could proceed with a survey without Council having to pass a motion. Mr. Zaner said that a survey of the area near the perimeter trail could be done easily, there would be considerable expense to surveying the entire Arastra property. Councilmember Brenner said she understood that there was some question as to whether or not the present fences were on the true property line. She said that a trail fenced on both sides would leave a no-man's-land, and she wanted to know the extent of that -.-hoer ash public property was being cut off from the rest of the land by the portion of the trail that related to the adjoining private property of the Bresslers, near the creek, AMENDMENT: Councilmember Brenner moved, seconded by Renzel, that as a condition of the main motion, there be a survey of the land related to the perimeter trail as it adjoined the private property of the Bresslers and the creek. The amendment passed on a unanimous vote. MAIN MOTION AS ENDED PASSED: The vain motion, that Council direct staff to establish a perimeter trail as recommended by staff and as modified by suggestions made by Councilmm e►rs who had taken the field trip on May 8, giving maxims privacy to the private residence, with the condition of the amendment related to making a survey, passed on a unanimous vote. Councilmember Witherspoon said that though it was late in the evening she thought Council should consider the matter of the permits, because it was horseback riding season. She said she would like to try having route C used for the next six months. A discussion ensued on how ouch would have to be charged for permits to amortize those costs. 626 5/1200 Corrected See Pg.681 6/9/80 MOTION: Councilmember Witherspoon moved, directed by Sher, that Council direct staff to void all existing riding permits issued by Arastra Limited, and set up a riding permit system as outlined in CMR:243:0, according to qualifying criteria. Permits would terminate when the rainy season began, and the permits would allow those with permits to use the service road trail free. The only construction would be about $2000 for mowing, and monitoring time estimated at about $7000, for a total cost for the six-month period of about $9000. Further, staff is authorized to issue 150 six-month permits at $45 each, to cover costs. Cooncilrnember Brenner said that the main motion dealt with the perimeter trail and making that portion of the land available to more people, and this proposed motion concerning permits was for a special group of people --she did not want to rove into a permanent plan. AMENDMENT: Cooncilmember Eyerly roved, seconded by Fazzino, that the fee for six-month horseback riding permits be changed to S60 so that the expense would be covered. The amendment passed on the following vote: AYES: Eyerly, Fazzino, Fletcher, Henderson, Levy, Renzel, Sher NOES: Witherspoon ABSTAIN: 8renner PART ONE OF MAIN MOTION PASSED: The motion that Council void all existing riding permits and sat up a riding permit system as outlined in CHR:243:0 passed on a unanimous vote. Vice Mayor Sher pointed out that Council was to monitor the proposed horseback riding permit procedure on the Arastra property for six months; if damage to the land was taking place Council might have to reverse its action. Ken Schreiber confirmed that ti,s environmental action was a mitigated negative declaration and the environmental action, then, was to include the finding of no significant environmental impact with the mitigation measures. Mayor Henderson then said that the motion should include the mitigation measures on page 9 of attachment C. MAIN MOTION PASSED: The second part of the rain motion, that permits gold terminate when the rainy season began, and those with permits would be allowed to use the service road trail free, with allowed construction to be $2000 for mowing, and about $?000 for monitoring, with staff authorized to issue 150 six-month permits at $60 each to cover costs, and the motion to include mitigation measures as given on attachment C, passed on the following vote: AYES: Eyerly, Fazzino, Fletcher, Henderson, Levy, Sher, Witherspoon NOES: Brenner, Renzel Mayor Henderson said Council could now discuss suitability of fees. Councilor Witherspoon said a 40 percent raise in one month for stabling fees was very high --sire suggested having the raise in two stages. MOTION: Councilmember Witherspoon moved, seconded by Sher, that Council direct staff to raise the stabling fees by 20 percent at the present time and 20 percent more in September. The motion passed on the following vote: AYES: Brenner, Eyerly„ Fazzino, Fletcher, Henderson, Renzel,. Sher, iii therspooe NOES: Levy 627 12 ASSISTANT CITY MANAGER ITSTETRITPERTArtlf4PENSATION PLAN MOTION: Mayor Henderson introduced the following resolution and ordinance and, seconded by Fletcher, moved their adoption by Council: RESOLUTION OF THE COUNCIL OF THE CITY OF PALO ALTO ADDING THE POSITION OF ASSISTANT CITY MANAGER. TO THE MANAGEMENT COMPENSATION PLAN ORDINANCE OF THE COUNCIL OF" THE CITY OF PALO ALTO AMENDING THE BUOGEI FOR THE FISCAL YEAR 1979-80 TO PROVIDE FUNDS FOR THE POSITION OF ASSISTANT CITY MANAGER Council,rerber Eyerly asked that City Manager Caner describe what the duties of the Assistant City Manager would be, so that it would be in the public record. Mr. Caner replied the Assistant City Manager would deal with day-to-day tasks related to Council agenda. Mr. Caner said that Council had asked for long-range financial planning information, more data or improved revenue forecasting, and work on long-range staffing problems related to recruitment and training; he thought the City Manager's efforts should go toward working an those objectives, and he did not now have time to give them much attention. Mayor Henderson ascertained from Mr. Caner that a "control point" as it related to salary, was a point in the salary scale at which salaries rose, or fell, based on performance evaluation --control point applied to all management personnel. Counci1m nber Levy asked why Mr. Caner was raising the matter three months before the beginning of the next fiscal year. Mr. Caner said he wanted to establish the position as soon as possible, and the position would be filled from within the present ;rganization for it offered a number of people with the capability of doing the job. Transition time for that would be needed: for posting of the job, interviewing, then wing someone from his/her present position. About sixty days' lead time were needed for that. Councilmember Levy said he preferred that the item be discussed in the Finance and Public Works Committee, with discussion of salaries and how the position fitted into the total operation of the City. MOTION TO REFER: Councilmen er Levy moved, seconded by Sher, that the proposed addition of Assistant City Manager to City staff be discussed in the Finance and Public Works Committee. Councilor Renzel ascertained that the salary for Assistant City Manager would be an additional salary, and that he would report directly to the City Manager, as did department heads. She observed that the logical progression from Assistant City Manager would be to City Manager. If that position did not come open the Assistant City Manager would be likely to look outside the City for promotion, and '4...1 just hate to lose our best blood. . . ." Mr. Zaner agreed that had happened and could happen again. Counci lmember Fletcher said she opposed the motion to refer to committee. She thought precedent for Assistant City Manager was familiar and the position had fallen vacant through passage of Proposition 13; there hads 528 5/12/80 at the time, been some agreement that at the discretion of the City Manager the post could be reinstated. Councilmember Eyerly agreed with Councilmember Fletcher and he thought the City Manager should have_ the help; the salary had been in effect before. Vice Mayor Sher said he thought the motion to refer WAS made not because the matter was complex but because there was some question about the wisdom of establishing the position in the middle of a budget year. He questioned adding the position just before the balloting on Proposition 9. He favored following the orderly budget process. He favored referring it to committee. Mayor Henderson ascertained that the budget amendment proposed by Mr. Zaner was in order to facilitate the transition process --the person would work part-time in the former office and part-time in the new office. Councilmember Fazzino said he supported the addition of an assistant city manager, but he did favor having the Finance and Public Works Committee examine the position itself and make recommendations. Mr. Zaner said that a resolution was needed establishing the position, if he were to begin interviewing, or he could not legally begin recruitient. Mayor Henderson said he would support the resolution, but he would hold off on a budget ordinance until it was discussed in the customary budget process. He would vote against referral. Councilmember Levy said he thought Mayor Henderson's :method would subvert the budget ;process because if Council authorized the position it would have also committed the funds. "1 think the creation of the position is integral to the budget process and it shouldn't be separated out." MOTION TO REFER PASSED: The motion that the proposed addition of the job of Assistant City Manager to City staff be discussed in the Finance and Public Works Committee passed on the following vote: AYES: Brenner, Fazzino, Levy, Sher, Witherspoon NOES: Eyerly, Fletcher, Henderson, Renzel RECESS TO EXECUTIVE SESSION: Council recess to Executive Session, for the purpose of discussing litigation, from 9:45 p.m. to 10:05 p.m. INITIATIVE PETITION-- RK DEDICATION ORDINANCE MrlirMATICK ORDTNAirr Mayor Henderson said that Council had heard a great deal of public testimony on this matter. At the present time it was Council policy to retain the ten houses on the site with immediate dedication of the parkland adjacent to Everett and Hawthorne. The petition that had been filed proposed that the Palo Alto Municipal Code be amended to reserve the entire block, for park, playground, conservation or recreation purposes. Mayor Henderson said ti..t that evening Council could approve the park dedication ordinance, or place the initiative on the ballot -- the normal date for the initiative to appear on the ballot would be the General Municipal Election in November, 1981 election, though it could be added as a special election at the November. 1980 general election. Mayor Henderson said that since the topic had been heard so many times, 629 5/12,80 he would request speakers to say only that they were for immediate approval of the ordinance, or for election. One point to be considered was funding; the Council could not seek and retrieve a utility users' tax for this purpose, also, Council had made commitments about school site properties which would require the proceeds of such a tax for several years, and, if any proceeds were to be allocated to park uses, Council had a longtime commitment to improvement of freer Park. Those existing funding circumstances raised the question of, if the immediate park dedication were favored, and funding would be delayed several years at least before park development could take place, would citizens want the houses removed immediately nr would they be willing to have the houses remain. Jim Baer, 213 Emerson5 said he resided at 152 Emerson as a renter and owned the home at 213 Emerson. He said he was an attorney for Blase, Valentine and Klein, and was on the board of directors of the Palo Alto Housing Corporation. He spoke on the issues, he said, of park vs., preservation of low -and moderate -income housing, and he thought the petition before Council with 2000 signatures made it clear that many wanted the land for park. He thought the question's effect was Citywide. He thought many people had signed the petition without knowing its significance. He thought the petition led to the playing of a numbers game, and that organization was taking the place of clear understanding of what was at stake. He recommended that Council not endorse the initiative by adopting the ordinance that evening, and instead place it on the ballot for consideration in either 1980 or 1981. Tony Badger, 381 Hawthorne, said that the petition had stapled to it all of the information;that was required by law. Mr. Baer could have had.a 'clear understanding' had he read it. He continued: two of the nine houses on the park site were boarded up and were vacant for the past six months. He reviewed the facts of the relocation of the family presently living at 426 Hawthorne, a house scheduled for demolition. He said only four of the tenants in the houses were low-income. The other houses rented at market rates. He said that tenants of the houses had been displaced ten years ago with the reason given that the site was to be developed for a pirk; and that had still not been done. He observed that three City -owned houses had been demolished last year to make way for a parking lot: which had most priority --parking lots or parks? Jean Diaz, Real Property Administrator, said that one of the three houses recently demolished had been a residence, the other two were the Peace Center and a thrift shop. Robert Fran, 1. 0i•ng, said he lived at 604 Everett. He said he thought Council had supported measures to maintain a good quality of life in Palo Alto. He thought residents in North Palo Alto had chosen -. that area for _ i t'i urban quality. To Reid, 151 Waver -ley, said he faorwred park dedication and he urged CnurPc41 th adopt the ordinance make .6h park which had . _ ----'� _ .�....�.o- -a...� - ordinance to make - LiT� park, _ had been promised twelve years ago, a reality. He favored developing the proposed park with funds from a utilities users' tax. Kent Mitchell , 550 Hamilton, said he was the attorney for the committee that circulated the petition. He said theCitycharter had provisions regarding initiatives. City law, not state law, covered initiatives, and, according to his reading of the charter it was not clear whether or not the initiative could be put on the November 1980 ballot as a special election -charter language did not have the enabling words permitting substitution of a special election for a municipal election. He advised Council to look back on circumstances surrounding establishment of other City parks, and to be sensitive to citizens now living on the proposed park area, whose tenancies had to be resolved. He cautioned_ against patting off settlement of the issue longer than the life of this 630 5/12/80 Councti1, because Section 8 of the :municipal charter allowed other Councils to "un-dedicate" a park He suggested those things be done within the next one and one-half years. Ellen Byrne, 457 Kingsley, spoke for the Mid -peninsula Citizens for Fair Housing. She said her organization urged the Council to place the proposed ordinance on the ballot at a Special Election consolidated with the November 4 general election. She thought Council should recognize the need for housing rather than park use, ",..so that plans to rehabilitate the housing can proceed." John Fredrich, 421 Everett, said he thought Council could and should dedicate the park and deal with the housing issue too, Vice Mayor Sher read the following memo he had submitted to Councilmembers that evening (.lay 12): "...the City Council has two principal options in responding to the initiative petition regarding Downtown Park North: we may adopt the proposed park dedication ordinance or we may place the matter on the ballot at either the November 3, 1981 General Municipal Election or at a consolidated with the November 4, 1980 general election. As you know, my original vies was houses for a 15 -year period, after which the entire block would be dedicated as a park. Under the present circumstances, howeve-, -3 now think that the option of immediately adopting the proposed Park Dedication ordinance is preferable to the option of placing the matter on the ballot. Among the advantages of the Council's adoption of the Park Dedication ordinance are: 1) such action will avoid a divisive election at which parks will be pitted against hoes;ng, and in which the neighbors and the Housing Corporation may well find themselves as aJversaries; 2) immediate adoption of the ordinance will settle the uncertainty surrounding the future of the houses, instead of leaving the matter in limbo for six months to a year and a half, during which time the houses will suffer further deterioration and vandalism; 3) adoption of the ordinance instead of placing the matter on the ballot (especially on the November 4, 1980 ballot) will avoid confusing the issue of the proposed Utility users' tax, which is likely to be on the November 4 ballot. Instead, adoption of the Park Dedication ordinance will give the proponents of the initiative the incentive to work for passage of the Utility Users' tax, which is proposed to be used for park development and maintenance, as well as school site acquisition.° Vice Mayor Sher said that if the Park Dedication ordinance were adopted citizens should realize that the state of City finances was such that the estimated cost of removing the houses of about $ .5 million could not be undertaken. He thought present tenants should be informed of abort Mw long the present housing would remain -so they could make other housing arrangements. MOTION. Vice Mayor Sher snored, seconded by Levy, that Council 1) adopt the Park Dedication ordinance proposed in the initiative petition; 2) direct staff to take action immediately to demolish those houses no longer considered safe or in a habitable condition; 3) direct staff to give tenants presently occupying houses that are not safe or habitable the option of moving into any vacant houses on the block that are considered safe and habitable; 4) direct staff, through the County Housing Authority, to continue to rent houses that are safe and habitable until such time as the City is in a position to ao forward with the development of the entire block as a park, but in no event for a period of more than five years, and also direct staff to take action before the end of the five- year period to r ove the tenants and demolish any house that becomes unsafe or uninhabitable; 5) direct staff not to renovate any of the houses, but to perform minor repairs and maintenance needed to keep the houses habitable, at a cost not to exceed the aunt of the rents received from the houses; and 6) direct staff to report to the Council regarding the lease status of the tenants and the impact of the above actions upon the tenants. 631 5/12/80 ORDINANCE NO. 3201 ENTITLED ORDINANCE OF THE CITY OF PALO ALTO ADOPTED BY INITIATIVE PROCESS ADDING SECTION 22.08.068 (DOWNTOWN PARK NORTH) TO CHAPTER 22.08 OF THE 410 ALTO MUNICIPAL CODE. Councilmeznber Fazzino said he strongly supported housing at the site though he shared with northside neighbors the thought that there was not enough parkland in that area. However he favored the direction of Council for housing now and more parkland later. He did not want to have credibility eroded through deploring lack of housing but at the same time destroying housing units, though he agreed uninhabitable housing should not be retained. Councilm rber Fletcher said she was opposed to rescinding previous Council decision to retain the homes for the next 15 years --where would the people go if the homes were demolished? There were fow units vacant in the area in the needed price range. She favored putting the ratter on the ballot. Councilmather Witherspoon said she thought the houses had become quite rundown, and she thought it was time to create a park in that area; she favored the motion. Counci1rn ber Levy said that only four units were in the low- and moderate - income housing ranger he thought occupants of the nine 'souses could find other housing within the five years. He thought the motion was a balanced proposal. Mayor Henderson noted that it was nearly 11 p.rn. He would rave when this item had been considered to bring the natter concerning condominium conversion forward. Councilmember Eyerly said he thought political astuteness required that elements underlying Council's decision had to be considered: housing people should not he pitted against park people, or the like. He thought the parkland should be dedicated immediately He suggested that a staged plan for developing the park could be started; for example, leveling and turfing could come first, to give residents use of the land. Vice Mayor Sher said that Council er Eyerly's suggestions could be put before Council when it was seen if the users' utility Lax passed. He would like to look at that consideration after November. AMENDMENT: Councilor Eyerly moved, secr.nded by Witherspoon, that Council amend point 4 of the motion to read "two years" instead of "five years.' Councilmmber Reese; said s ;e had originally supported retaining housing and dedicating the park later; she thought the petition showed people wanted the park dedicated now, and she did not think Council_ shoe:'d hang on technicalities. She thought that if an opportunity arose any or all of the houses could be moved for use as be1r.-market-rate housing. Vice Mayor Sher said he thought her idea was not inconsistent with his motion. Counci lmr ier Renee] said she preferred the five-year limit for a period in which the houses would be destroyed or removed. She thought that if th* proceeds from a utility users' tax became available it would be needed for site acquisitions. She we uld oppose the amendment. Councilmember Brener said she had favored having the hosing for 15 years and dedicating the parkland later; she did not want divisiveness for the residents, and the motion on the floor accepted conditions as they are. She supported the motion but not the amendment. 632.. 5/12/80 Mayor Henderson said that if Council backed down an its commitment to housing on that site it would be expected to back down in other sites, and he did not want to impart that idea. He said that those who signed the petition had not been told about the funding problems in developing the park, nor, probably, did they realize the impact a square -block park would have on their neighborhood on weekends. He observed that to get ten below -market -rate units, 100 housing units would have to be constructed, and those ten units existed now at the park site. He thought Council should determine, and hold to, a housing policy, though if the policy were changed by initiative he would support it. He would oppose the motion. AMENDMENT FAILED: The amendment, that Council amend point 4 of the motion to read "two years" instead of "five years," failed on the following vote: AYES: Eyerly, Witherspoon NOES: Brenner, Fazzino, Fletcher, Henderson, Levy, Renzel, Sher AMENDMENT: Councilmember Levy moved, seconded by Eyerly, that Council direct that when existing housing on the park site becomes vacant it should not be re -rented within the five-year period except to individuals who were vacating one of the other houses on the block. Councilmember Renzel said she thought it was best to demolish or move the houses when the City was ready to start developing the park, or in five years. AMENDMENT FAILED: The amendment failed on the following vote: AYES: Eyerly, Levy, Witherspoon NOES: Brenner, Fazzino, Fletcher, Henderson, Levy, Renzel, Sher MAIN MOTION PASSED: The main six -point motion and the ordinance passed on the following vote: AYES: Brenner, Eyerly, Levy, Renzel, Sher, Witherspoon NOES: Fazzino, Fletcher, Henderson CONTINUANCE OF CONSIDERATION PrffirnavATT MOTION: Councilmember Witherspoon moved, seconded by Fazzino, that Council bring forward for continuance the matter of excavation of the ITT prnporty: The ,Minn paceatt on a ,realms es vote. MOTION: Councilmember Witherspoon moved, seconded by Fazzino, that the matter of excavation of the 1U property be continued to the meeting of May 19.- The Fret ion passed on a unanimous voice vote. CONTINUANCE OF CONSIDERATION MOTION: Councilmember Fletcher moved, seconded by Renzel, that Council bring forward for continuance the matter of smoking regulations. The motion passed on a unanimous voice vote. MOTION: Councilmember Fletcher moved, seconded by Renzel, that Council continue the matter of smoking regulations to May 19. The motion passed on a unanimous voice vote. 633 5/12/80 REQUEST OF COUNCILMEMBER FLETCHER curicaRY i tOT OMINI 'bNnSIbN MOTION: Councilmember Renzel moved, seconded by Henderson, that the matter concerning condominium conversion be brought forward for consideration. The motion passed on a unanimous voice vote. Vice Mayor Sher said that since he was an employee of Stanford University, which owned the lard on which Oak Creek apartments stood, he would not participate in the ensuing discussion. ( He asked that his vote be recorded as being against Proposition 9 when that matter came up. ) He left the meeting at 11:05 p.m. Councilmember Witherspoon said she had been advised not to participate in the ensuing discussion. ( She asked that her vote against Proposition 9 be recorded..) She left the meeting at 11:05 p.m, Roy Abrams, City Attorney, said he lived at Oak Creek and so he would not participate; Don Maynor Senior Assistant City Attorney would work with Council on this matter. Councilmember Fletcher said that in 1974 the Council had passed an ordinance which "...severely restricted the conditions under which apartments could be converted to condominiums --that resulted in a gradual reduction of the rental housing stock in the City and a great concern that gradually the rental housing stock would be lost." She said that at issue that evening was a section of the ordinance permitting conversion of apartments if two-thirds of the tenants agreed to the conversion. The purpose of the ordinance had been to preserve rental housing stock, and in the minutes of September 30, 1974, an amendment, prior to second reading of the ordinance, had been proposed by then-Councilmember Henderson, that the words be added: "...and signify their intention to purchase their unit to community housing" and in the next paragraph "...such desire and intent shall be indicated." A vote had defeated inclusion of the words, since tae ordinance was for second reading, and it was regarded as too late to introduce a new thought. Councilmember Fletcher said she proposed now that the ordinance be changed to make clear that those tenants who vote in favor of conversion also indicate their intent to purchase. She said that the proposal to convert Oak Creek apartments to condominium units had brought the matter of the ordinance to the fore. At Oak Creek it was proposed that tenants be offered lifetime leases for then to agree to the conversion. She said she would like the discussion to center on the merits of the ordinance and what Council wanted the ordinance to accomplish. MOTION: Councilmember Fletcher moved, seconded by Renzel, that Council direct the City Attorney to prepare an amendment to the condominium conversion ordinance that required that two-thirds of the occupants affected clearly indicate their intention to purchase their units in order for the conversion to take place. Councilmember Renzel said she would like to hear from staff also about the implications of such an addition, Councilmember Fazzino asked Mr. Knox how many apartments there are in Palo Alto. Naphtali Knox, Director of Planning and Community Environment, said he recalled that in April 1978 there had been -7500 apartments and about 1000 condomi ni!mts . He thought about 800 condominiums were new. Included in the number of apartments were those that were subsidized, such as Lytton Gardens and Webster Wood. He thought that one conversion of a three unit building had taken place within the past three years. He did not recall any problems in connection with implementing the 1974 ordinance. Councilmember Levy asked if it was legally deffensibla to offer a lifetime lease since the apartment house itself might change ownership. 634 5/12/80 Don Maynor, Senior Assistant City Attorney, said that unless there was a provision in the leasehold that said that upon sale of the property the lease would terminate, the purchaser of the property took it subject to the outstanding leases. He noted that if the lease for the land upon which the Oak Creek apartments stood were only for a few years it would be physically impossible to give a lifetime lease --he was not familiar with the arrangement Oak Creek had with Stanford. Joe Lewis, 1618 Willow Road, said he had practised law in Palo Alto for 28 years. He represented the Oak Creek Tenants Action Committee; he was chairman of its executive committee. Mr. Lewis said that after the Cornish and Carey proposal for conversion some of the residents had circulated a proposal among the 750 units, and about 600 were contacted. About 400 renters said they were opposed to condominium conversion. Subsequently Cornish and Carey had undertaken 34 meetings to sound out tenants, and part way through the meetings, in answer to the considerable resistance to the conversion, had brought up the concept of a lifetime lease. Many owners had found that acceptable. particularly if they were long-time tenants of the apartments, because lesser increases in rent were made to those who renewed year after year. Mr. Lewis said that from his having lived there for 11 years his apartment was rented to hire for about 1200 less than if he were to become a new tenant. With those advantages in mind Mr. Lewis asked Cornish and Carey if the offer of the lifetime lease were going to be made to all tenants, or only to those tenants who consented to the condominium conversion. He had been told that all tenants would be offered the lifetime lease. Mr. Lewis said that the 38 -year term remaining on the master lease had to be negotiated between promoters of the conversion and Stanford. Mr, Lewis said Stanford had a policy of renting for only 51 years. Scott Carey had told Mr. Lewis that he would try to get a fee -equivalent from Stanford. The offer of the lifetime lease had de -fused some of the opposition. The organization he now represented had been formed, then, to provide all tenants and potential buyers with information and financial analyses to assist in decision -making, and to improve, if possible, the terms of the lifetime lease by providing the promoter with technical data on the Cost of Living Index. His organization was not for the purpose of negotiating terms or price with Cornish and Carey, and it was for the purpose of encouraging openness and disclosure. Mr. Lewis said that the ordinance as it was now written was in conflict with the goals on.'ensing as stated in the Comprehensive Plan. Bernard Buchholz, 1618 Willow Road, said he had worked in real estate development for 30 years in Chicago, with such projects as condominium conversion. He said that the offering of a lifetime lease to those who intended purchase of their units did not reflect the intent of the ordinance. In fact, he said, it subverted the intent. A lifetime lease, which was subject to an escalation clause tied to a cost -of -living rate, made cost! in excess of current market ;rentals, and his rcne was substantially higher than that of the precedinn speaker. The lifetime lease was not transferable, and the unit couid not be sublet, and terminated when the owner/tenant vacated. Most of the lifetime leases were to elderly, and so a substantial humber of rental units would have been removed from the market within a relatively short length of time through their death. He thought that to correct that- Council should adopt the amendment proposed by Councilmember Fletcher. Ellen Byrne, 457 Kingsley, said she spoke for Mid -peninsula Citizens for Fair Housing (MCFH). Her group did not favor the proposed condominium conversion. Experience in nearby communities showed that it was likely that the 700 Oak Creek units would be converted. Removal of rental units caused great hardship and reduced choices for renters. She asked that the consent -to -buy provision be removed from the ordinance. Councilmember Levy e$certained that MCFH wished to have the. two-thirds agreement to buy and two-thirds consent to convert be eliminated from the ordinance. 635 5/12/80 1 S Donald M. Logan, 1380 Oak Creek Drive, said he was an attorney. He favored the amendment to the ordinance. He said one kind of prove toward conversion would arise from availability of units; the other would be based upon the two-thirds provision, and that required a vote. He said that with the ordinance as written the data related to cost of units, number of units and the like, did not have to be given to voters for or against conversion before they voted. He thought the proposed amendment made that orderly procedure possible. Without the requirement for that data a loophole was created --the promise of a lifetime lease was made available only to those a,ho consented to conversion to condominiums. Councilmember Levy asked about truthfulness among those stating they would buy a condor ir,ium, Mr. Logan said that one could state he/or she was going to buy a unit, but not really intend to do so --he did not know of any penalty that could be brought to bear, and the lie would have its effect, nonetheless. Louis Fein, 1540 Oak Creek Drive, said he was on the executive committee of the Oak Creek Tenants Action Committee and has lived there for eight years. He said he thought the 1974 condominium conversion ordinance was flawed. He said he thought the amendment to the condominium conversion ordinance now before Council should be passed independent of considerations of the proposed Oak Creek conversion. t!e said "lifetime lease" was a phrase, not substantiated by specifics; the proposal to sell had also been "rather vague.' Mr. Fein referred to documents of July 18 and May 1, 1974, and April 17, 1978, written by City personnel, on the subject of conversions. Oak Creek apartments were, he said, currently assessed by the County at $16,452,906. The unofficial proposed condominium price for one of the smallest Oak Creek units had been S70,O00-'about S130 per square foot. At those prices the total price of all the units would be $89,514,490. He thought "...it a reasonable speculation, that the sponsors would oppose amending the condominium conversion ordinance, because mending it would put at risk, for the firm of Cornish and Carey and Oak Creek owners, a sum of $73 million." If the current ordinance is not amended and lifetime leases are accepted by tenants, condominiums would be created but would be occupied by 1 ifetime tenants. He said that with such a low vacancy rate as existed condominium: conversion should be discouraged, perhaps not allowed at all. He suggested Council could even consider a moratorium on condominium conversion, but his committee was asking not for a moratorium but for Council to amend the present ordinance. Condominium conversion brought increased taxes and also carrying costs, but no increased services for renters. The apartments were built for apartments, with common plumbing, walls, floors, and ceilings, and they were not built to be separately owned and privately used housing units. Scott T. Carey Cornish & Carey, 180 University Avenue, refuted Mr. Fein's statements on costs per square foot of Oak Creek. Mr. Carey said the 1974 ordinance had had a restrictive effect on condominium conversion —in seven years only three apartments had been converted. His firm had proceeded in good faith with its proposals on the base of the ordinance, and he thought to change it now, "-in midstream would be unfair." The question of whether or not the ordinance should be revised for the future, and not what happened in 1974, was the question before Council. He said he thought one of the flaws of the ordinance was that two-thirds of the tenants could disenfranchise the other third; his firm had said, in making the conversion proposal, was that there would be no evictions at Oak Creek. The tenants who wished to continue to rent would have the guarantee of the lifetime lease that would have rent control provisions. He reviewed current proposed and present legislation, and repeated that Cornish and Carey had said "no evictions." He said the two-thirds provision shifted control "...to a handful of tenants who will drive the prices down, and the result will be either the end i ng of -636 5/)2/80 Corrected See Pg.681 6/9/80 the project or dealing with tenants on a cost oasis to the disenfranchisement of the tnird of the tenants who wish to rent." Mr. Carey said Mr. Fein had suggested in a letter to other tenants that they hold out "for a larger piece of the pie." He suggested Council could monitor the proposed conversion, and only with conversion, he said, could prices be brought down to affordable amounts. Those prices had not yet been told to the present tenants, and Mr. Carey thought they would like the prices. He suggested Council could table the matter while it monitored the conversion; Council could bring the matter back whenever it wished. Dick Valsh, former dean of men and associate dean of the medical school at Stanford, said he resided at Oak Creek. He thought the lifetime tenancy offer was "more than fair." He said he had received no notice of the meeting tenants at Oak Creek had held. He hoped Council would table the matter and give Oak Creek residents more time to evaluate the proposal. He thought the realtor's offer so far had been fair. Dr. Samuel B. Ziegler, Professor Emeritus, University of San Francisco, said he had resided at Oak Creek for three years. He said he had started a petition asking tenants at Oak Creek if they favored conversion, and 46 percent of those signing had said they did not favor it. He said many residents were retired and had hoped to spend their last years at Oak Creek; he thought Council's duty was to assure rentals for people who could not afford to buy condominiums but had no place else to ao. Melton Worth, 1736 Oak Creek, observed the irrevocability of an offer to buy on the part of a tenant, and also he questioned how Mr. Carey could make an offer to tenants when he was not an owner --offers not in writing were not legally binding. Pe said he felt he did not have the bargaining power held by Mr. Gerson l;akar or Scott Carey, and he would like to have some provision its the ordinance (living him, perhaps as a member of group with other tenants, some bargaining power. Councilmember Reny -1 said she had seconded the drafting of an amendment so that, with a staff report on the implications of that, Council could better discuss the modification. She thought it would be good to discuss it independent of the Oak Creek ratter. Councilmember Eyerly said mach time and effort had been put into the proposed conversion. Ideally it offered an opportunity to tenants to become homeowners, but he did not know how it could be carried through without information on prices --he thought prices would come in time. SUBSTITUTE MOTION: Councilmember Eyerly moved, seconded by Fazzino, that the matter of amendino the ordinance on condominium conversion he continued for 90 days. Co'�nei1ne'ber Leey said he thought C u 'C l's policy on conaominium conversions and tenant safeguards were the two matters before Council. Councilmember Levy's ensuing elaborations on those two points were cut off on the tape of the Council meeting as the tape was renewed- Councilmember Brenner observed that it was easier to refinance the 700 units than to sell the building as a single unit. She thought an ingenious proposal would be needed to make a condominium conversion sound like a good deal. She said she would like a staff report on a "...barebones ordinance that will amend our present ordinance to allow condominium conversion when and only when our Palo Alto vacancy rate exceeds 3 percent." That provision, she said, would eliminate the matter of the two-thirds vote for conversion. Councilmember Fazzino said he would like to consider amending the ordinance without the impact of the proposed Oak Creek conversion. It was not appropriate for Council to weigh the merits of the Oak Creek proposal. The 1974 ordinance had been aimed at protecting existing tenants of 637 6/12/8 apartments. He thought that the ordinance had been effective --no major problems had emerged in relation to it. He was willing to have a proposed amendment drafted by staff. He supported the substitute motion for - continuance for 90 days. He would oppose a motion to change the ordinance at this time. Coun:ilmember Fletcher said she opposed the substitute motion. The reason the ordinance had not been a problem up to now was that condominium conversion was new, but she thought it would gradually become a problem and the total rental housing stock in Palo Alto would diminish. For example, the 759 units at Oak Creek were a considerable number, Units at the income bracket of tenants at Oak Creek were a significant part of the rental stock. She had heard that only about. 5 percent of the local population could afford to purchase housing, but jobs in the area were increasing in number every year. Mayor Henderson said he had been a member of the 1974 Council that had passed the condominium conversion ordinance. He recalled the intent of the 1974 ordinance, which had been construed as requiring agreement by two-thirds of apartment residents to convert. Current law might protect existing tenants, but in lower cost apartments, needed by younger people who might be moving around, conversion to condominiums would mean loss of moderate -income apartments. He said he would oppose the motion to continue, and ask that staff give plusses and minuses of the alternatives. William Zaner, City Manager, said he understood that the motion now before Council would continue the matter for 90 days; afeer that time Council would direct staff further, and staff lould do no analysis in the interim. Councilmember Renzel opposed the continuance. She thought that whether or not the ordinance had a two-thirds consent or two-thirds agreement to buy provision, there was a possibility that condominium conversion a:ou1d still take place. She thought it would be good if staff would address the question about possible mitigation measures that might be attached to subdivisions that would mitigate both the impact on current tenants and loss of rental housing. Corrected See Pg. 681 6/9/80 SUBSTITUTE MOTION FAILED: The substitute motion failed on the following vote; AYES: Eye, ly, Fazzino NOES: 8rsnner, Fletcher, Henderson, Levy, Renzel ABSENT: Sher, Witherspoon Counc1)member Fletcher -said that in her motion directing the City Attorney to prepare an amendment to the condominium conversion ordinance there should also be a ydraft of an amendment stating that conversion could take place only tha rental vacancy rate in Palo Alto ., j _....--.�.__ �,... - rental T "" T4.laRtiiv_� i ii Li -v 171- = Q LtJ l[ 1 L4' L"A(�C�il`J 3 percent, and their relation to goals as stated in the Comprehensive Plan, along with possible mitigating measures that [night be attached to subdivisions. A discussion ensued as to when staff could and should return with the draft amendments; Mayor Henderson said sometime in June would be suitable. MOTION PASSED: The motion, that Council direct the City Attorney to prepare a draft amendment to the condominium conversion ordinance that required two-thirds of the occupants affected to indicate clearly their intention to purchase their units in order for the conversion to take place, and a draft amendment stating that conversion could not take place unless Palo Alto's apartment vacancy rate exceeded 3 percent, or 638 5/12/80 two-thirds cf the occupants agreed to the conversion, along with ideas on possible mitigation measures that Oght be e ttached to subdivisions that would mitigate both the impact on current tenants and loss of rental housing, and the congruence of those amendments with the stated goals of the Comprehensive P1ao, to return to Council sometime in June, passed on the •`ollowing vote; AYES: Brenner, Fletcher, Henderson, Renzel NOES: Eyerly, Fazzino, Levy ABSENT: Sher, Witherspoon Councilmember Levy left the meeting at 12:45 a.m. and did not return. Rf iEST OF MAYOR HENDERSOM[ AND ITION 9. Councilmember Fazzino said he and Mayor Henderson were concerned about the possible devastating effect of Proposition 9 on both City governments and school districts here in California, and wanted the Palo Alto City Council to go an record as opposing it. He regretted the possible effect of passage of Preposition S could not be felt at the federal level. Corrected See Pg.681 6/9/80 MOTION: Councilmember Fazzino moved, seconded by Henderson, that Council go on record es opposing Proposition 9.. The rnotyon passed on a unanimous vote, Councilmembers Levy and Witherspoon and Vice Mayor Sher absent: (Couoci1members Witherspoon and Sher recorded their support of the motion earlier in the meeting.) COUNCILMEMBER EYERLY RE FUNDING REOUESiS Councilmember Eyerly said a cnmunication signed by City Manager Zaner and Community Services Director Carleen Bedweil, with the information that staff would solicit proposals from community organizations that wanted to get help in funding from the City. Councilmember Eyerly said he thought Council should talk about that --he didn't know where the money would cage from. Mr. Zaner said that the topic could be put on the agenda for discussion at a later time. Some groups had said that they would like to have access to City funds as other groups seemed to have and so they had asked how they could get on the budget. Mr. Zaner said he had suggested that these other groups submit proposals, as those now receiving funds had done. Mavor Henderson ,.es $_r$ - he _ had been one -of -those recommending that Colic 1 1 revise that exclusionary policy, he did not think some organizations should be funded and others ignored. Councilmember Fazzino said he did hot mind having the budget examined, but he was concerned about the amount of outreach that was done, -- - --- Councilmember Brenner said she thought it was important to make sure that not just "an inner circle of groups have funding help. She, too, was concerned about the amount of advertising to be done for outreach. Councilmember Fletcher said she thought that people thought the City, following passage of Proposition 13, had given the message that it would entertain no new proposals, and that was why the ads were going to be run. Councilmember Eyerly said he thought it would be best to have staff tell people who contacted them about s itting proposals, rather than through advertising. ORAL COMMUNICATIONS None ADJOURNMENT MOTION: Councilor ember Fazzino moved, seconded by Fletcher, that Council adjourn. The motion passed on a unanimous voice vote, Councilmembers Levy and Witherspoon and Vice Mayor Sher absent. Council adjourned at 12:52 a.m. AFFiR1 2 /' APPROVE: 64 0 5/12/80