HomeMy WebLinkAbout08181975CITY
COUNCIL
Minutes
Regular Meeting
August 18, 1975
CITY
of
MO
ALTO
ITEM PAGE
Minutes of July 17, 1975 and July 21, 1975 1 1 6
Oral Communications 1 1 6
Consent Calendar - Action Items
San Franciequito Creek Bicycle/Pedestrian Bridge at
Wa►vsrlayiwillow Place 1 1 7
Resolution re Little League 1 1 7
Resolution re American Youth Soccer Organization 1 1 8
Setting of City's Tax Rate for 1975-76 1 1 8
Parking District Asseermont Rates Projects 52-13, 52-14, 55-5
and 60.8 128
620-626 Loma Verde, Miscellaneous Division of Land (3 Lots),
Planning Commission Recommends Denial of Appeal. of John L.
Dougherty
129
Request of Mayor Norton to Accommodate Private Citizen (Ellis
Jacobs) Re Discontinuance of No -Fes "'resale Housing Inspection
By The Building Department 1 3 3
Reqwst of Councilman 3wvald Re Silva/Monroe Annexation 1 3 5
Bequest of Councilman Sher re Dumbarton Bridge 1 3 6
Oral Cesau icatiosss 1 3 9
bout 1 3 9
•
113
8/18/73
August 18, 1975
The City Council of the City of Palo Alto met on this date at 7:40 p.m.
in a regular meeting with Mayor Norton presiding.
Present: 8sahrs, Berveld, Carey (arrived 7:45 p.m.),
Clay, Comstock, Eyerly (arrived 7:45 p.m.),
Norton, Sher, Witherspoon
Absent: None
MINUTES (1y .JULY 11 , 19 7 5
MOTION: Vice Mayor Clay moved, seconded by Comstock, that the minutes
of July 17, 1975 be approved as submitted.
The motion passed on a unanimous vote.
MINUTES OP JULY 21 1975
wXrI0$a Councilman Ptrvald moved, seconded by Comstock, that the
minutes of July 21, 1975 be approved es submitted.
The motion 'Reseed on a unanimous vote.
Cider. COMNU ICA?IO
Mary Beath Washington, 936 Middlefield mod, eiatad her
concern about being evicted from the home in which sham
had lived for the past eleven years, and she requested,
that she be given time to have a meting with staff. Mrs.
Washington read the following et*temneat which had baeea
wade by Wi.liias Cane during Oral Connanicationa at the
meeting of August 11, 1275: "Nary Seth Wieakiatgtaa is
being evicted from a hone in which the Washiagtos family
hes lived for over eleven n years. Faxing those mars they
psis! epproaeinately $22,000 in rent. At one tine it was
given to them that they could re-1ocste tbs bone. because
the land was more valuable. The City of yalo Alto 05gvairsd
ownership of her home when it bought the Webster 8trOt
property. Aa elected officials of the city, you ere new
her lsndlocd; and you ere also her evictoree. We are netksag
a simple request - stop the evictio s and allow the imtigv-
ton /sally to live in peace and tranquillity. About thave;
years ago thie coadet*d house was to be brow bt up to city
stessierds, and rent sees authorised to Us withhold until the
project was underwey. Also, tbs Washington. were going
through a severe financial crisis. After paying cic.e to
$21,000 in rent yap to that tine, it seems reasonable that
the Weshingtous sited he allowed to pay the eiisptsted amount
over an extended period of tints. 11 the house is to be
redeemed, this family should have first choice, The hour is
very late for the Wasbingtoets. The Sheriff has locked dram
6/16/75 ' �F
out, and the city has authorized movers to box their
belong-ings for storage. This family is simply asking
for the same forbearance many of you showed Alpha Land
Company in regard to their financial interests. I
urge you, as members of a court of last resort, to
use your final authority in this matter to provide
the time needed for both sides to reach a humane and
equitable solution". Mrs. Washington concluded that
even if the family had to move out, it would like to
;now why it had to do that.
In response to Mrs. Washington's comments, Mayor Norton
said that Council had been aware of the problem for
about eighteen months. Aa he recalled, Mrs. Washington
was ordered out of her home by the court, and she owed
$1,300 in unpaid rent. About a month ago, Mrs. Washington
was asked to leave the premises. Mayor Norton explained
that Council was not a court of last resort. His.
Washington had been to court, and the court has ordered
her evicted from her home. Mayor Norton added that
the matter had been assigned to staff, and staff was
handling it in a manner approved by Council. Unless
some Council -member wanted to put the item on the agenda,
the subject was concluded.
CONSCONSgNT CALENDAR - ACTION ITEMS
Mayor Norton asked if Council were ready to vote on the Consent Calendar.
MOTION: Councilwoman Witherapoon moved, seconded by Comstock, that
the Consent Calendar item be approved.
The motion passed on a unanimous vote.
The item approved on the Consent Calendar was as follows:
ICYCIE PEDESTRIAN
;
Staff recommends that Council pass a motion approving the lour bid,
which action will permit the City of Menlo Park to award the contract
to John Thomas S Sou.
Vice Mayor Clay had agendised this item along v.th a request for a
resolution recognising American Youth Soccer Organitatiou at the meeting
of July 28, 1975. For reasons expressed at that meeting, Vice Mayor
Clay took the following action:
POTION: Vico Mayor Clay introduced the following resolution and wed,
seconded be Mock, its adoption:
RESOLUTION NO. 5131 entitled "ABSOLUTION OF
TES CII. OF DHF CITT 01 PALO ALTO EXPRESSING
APPRECIATION TO THE PALO ALTO LITTLE LSE FOR
ITS ournasumB TO 1 YOUR 01 PALO ALTO"
The reeo9.* tioet vas adopted on a unanimous vote, and Mayor Norton presented
* copy of the resolution to late Booker, President of the Palo Alto
Little Leegme.
RESOLUTION RE AMERICAN
!OUTH SOCCER ORGANIZATION
MOTION: Vice Mayor Clay introduced the following resolution and moved,
seconded by Berwald, its adoption:
RESOLUTION NO. 5130 entitled "RESOLUTION OF
THE COUNCIL OF THE CITY OF PALO ALTO EXPRESSING
APPRECIATION AND GRATITUDE TO THE AMERICAN
YOUTH SOCCER ORGANIZATION OF PALO ALTO FOR ITS
CONTRIBUTION TO THE YOUTH OF PALO ALTO"
The resolution was adopted on a unanimous vote, and Mayor Norton presented
a copy of the resolution to Dr. Nei:. Ingels who represented the AYSO.
SETTING OF CITY'S TAX
SATE FOR 1973776 : 4 33: 5)
George Sipel, City Manager, Stated that the staff recommendation was
for the tax rate to ruin the same and believed that was necessary
in order to meet the obligations of the city for the next year. He
mentioned the year --ending financial information which the City Controller
sent to Council and noted the modest growth in revenues over the past
year.
Councilman Beahra pointed out that staff's exhibit showed that in
the fiscal year 1973-Y4, there ways a 7Z increase in assessed valuation,
10% in the next year, and 12.2% in the year just ended. This totaled
29.41, and Councilman Baahrs wondered if anyone had computed the compound
effect of this.
)4r. Sipel responded negatively.
Councilman Beahra thought the state of affairs war a sad one, and
those who felt the city should underwrite every cause conceived by
man should take note.
Councilman Eyerly asked what tax rate would be needed to generally
keep the homeowners' property taxed at the seas level as last year.
Usk realised that the increased assess is from the county were not
the same for ell home ere, but Councilman Eyerly vas interested
in Council pursuing the possibility of lowering the rates so the cost
would be approximately the same as last year.
Mr. Sipel stated that this would require a reduction of semen or sight
cents from seventy-four cents. If 044 took out the increase in assessed
valuation that case about as a result of new construction or alterations
in construction., he mould coma up with a seven or eight carat figure.
If that mere done, Councilman Eyerly wanted to know bow much below
the budget the city mould be.
Hr. Sipel replied that the net effect would probably to m transfer
of from one hundred to one hundred -fifty thousand dollars to the Capital
Improvement Fund. Right nom, staff's estimate was that there mould
be about a five hundred thousand dollar amount to the Capital improvement
Fund free solos tax; and the net affect of a reduction In property
tae~ mould be to reduce that amount by two-thirds.
1 1 8
8/18/75
(1(
Councilman Sher noted that the staff report of August 14 indicated
that the difference between the budget estimate and the actual figure
was $176,000; in other words, the increased assessed valuations have
produced $106,000 more than staff estimated when the budget was put
together.
Mr. Sipel said this understanding was correct, but the total increase
was about double that figure.
Couecilman Sher said he understood about the total increase in taxes;
but as far as the increased assessed valuations were concerned, they
were higher by $176,000 than staff bad estimated when it put the budget
together.
Mr. Sipa stated that was correct.
Councilman Sher asked if that were about four cents on the tax rate.
11r. Sipe! responded Pffirmatively.
Councilman Sher's other question related to the August 8 report prepared
by City Controller Alfred Mitchell. On page two of that report, it
is pointed out that the unappropriated balance of the Capital Improvement
Special Revenue Fund stood at approximately four and one-half million
dollars on July 1, 1974; and it was approximately six million dollars
a year earlier. Councilman Sher asked if that were correct.
Mx. Mitchell responded affirmatively.
Councilman Sher felt this eugge.eted that up until the third quarter
report, there was no indication that the city was spending more than
the revenues that were being produced during the year; at,d he asked
haw it happened that the million and one --half difference showed up
in the last quarter.
1#r. Mitchell replied that the department did not really get to the
bottom line of the year and results until the last quarter sales tax
is received from Sacramento. There was a fifteen or sixteen million
dollar budget and a sinus balance of about $180,000. Percentage -wise,
perhaps that vas a lot of mossy; but in relation to the entire sum,
Per. Mitchell said it was oot a great deal. During the course of t to
budget reviews. staff pointed out that the prospect of having s General
Fund surplus available for Capital Iosprovasmnts could no ionise be
dept upon.
Councilmen Sher said there wan a difference in not having a surplus
and in going one and one-half million dollars over the expected figure.
Me, Mitchell thought Councilmen Sher was comparing the results of
fiscal year 1973-74 with 1974-75. In time third quarter report, staff
reverted the fund balance that existed at that time. Aso of that date,
all of the revenues sad all of the expenditures mere reported. The
unappropriated fund balance of all the funds wee approximately where
it stands right nom about four and one-half mill. .
Councilmen Carey understood that the estimated property tax r ue
of a little under tbT'ees million dollars was used to balance the current
fiscal year's beset. In other vafrde*, this budget the city is operating
under for the wing fiscal year assumes property tax revenue of slightly
ear bares million dollars.
11'7
1 1 9
41!15/75
Mr. Sipel responded affirmatively, and he added there was about a
six percent increase over 1974-75.
As Councilman Carey read the report, in order to make the assumption
a fact, a reduction in the tax rate four cents per $100 would to
that.
Mr. Sipel stated that if Council wanted to hold constant the amount
of property tax that was used to finance this year's budget, a reduction
of four cents would be appropriate.
Mayor Norton asked if the earlier recommendation to reduce the tax
rate to sixty-seven cents would have resulted in the city's spending
the same total mount next year as this year.
Clayton Brawn, Director of Budget and Staff Services, responded that
would produce approximately the sage amount of revenues the city received
in 1974-75 from the property tax rate; and that would be substantially
below the budget estimate that was used for the current fiscal year,
1975-76.
Councilman Beahrs asked if all of the city's litigation expenses had
been absorbed by the Capital Improvement Fund or by current revenues.
Mr. Sipel replied that some of the expenses had been paid out of the
Capital Improvement Fund, and sore of them had been paid out of utility
funds.
Councilman Beahrs asked if the land use litigation expenses had been
taken out of Capital Imprcvement Funds.
Mr. Sipel said that the Foothills litigation expenses had been paid
for primarily out of the Capital Improvement Fund, excepting tn)ae
experditures vhIch related to staff time.
Councilman Beahrs asked how the s►xpeasses would be covered and how
soon the damages would have to be paid if the city held for
damages in any of the suits.
Mr. Sipel said the money would come from the unappropriated reserve
in the Capital Improvement Fund which noir stands at about four and
one-half million dollars. Hs eddsd there are funds appropriated within
that fund which could be used.
Councilman Beahrs knew the city would appeal any such decisions to
the highest court possible, but it should be recognised that Palo
Pato night have to cover wish summa in the space of three years; and
no provision had been made in, any of the discussions for that contingency.
Councilmen Baehrs stated t leer the city could ill afford to buy such
things as Lytton Playa a46 Saott Street Park.
Mayor Norton felt constrained to say that he disagreed with Councilman
Baehr*.
Councilwoman Witherspoon commented that at s 6$2 tax rate, she figured
that the city's revenues would be about $2,917,000; and that would
be about $80,000 less than had been anticipated.
Mt. Brown said that 68; would approximate that which Councilwoman
Witherspoon just stated.
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8/18075 7 ? 0
Alan Henderson, 1935 Emerson Street, was concerned about the city's
preliminary financial results for 1974-75 and the proposed property
tax rate for 1975-76. The financial results for 1974-75 presented
by Mr. Mitchell in the August 8th report were a shock, and they were
very disturbing to Mr. Henderson. He noted that neither the last
previous quarterly budget report dated April 1st nor any discussion
during the budget bearings indicated the results now being presented.
If they had, Mr. Henderson said that he, for one, would have sought
actions to see that the budget for 1974-75 remained in balance. Either
the Controller failed to alert the Council that tb,e financial results
were not going to fall within the 1974-75 budget, or he vas not aware
of what was happening. Hight up to the end of the recently completed
budget hearings, the Finance and Public Works Committee was being
told that the projected small transfer of scales tax revenue to the
Capital Improvements Fund would tare place; and, in fact, the amount
available for transfer would be somewhat larger than anticipated.
Mr. Henderson asked what what would happen in a private corporation
if its fiscal officer told the Board of Directors all year long that
a email profit would be realised and than at the end of the year announce
a loss. No Board would permit its business to be run that way, and
the city and its tazpayere should not :allow the city's financial affairs
to be run that way. la Mr. Hendereon's opinion, there was insufficient
data in the August 8th staff report to determine what happened. The
only answer he had received was that something went wrong in the gas
utility in the fourth quarter which produced an unexpected loss.
It wee Ht. Hendereon's esuggeetion that Council look deeper than that.
Unfortunately, the reporting format changes every tide a financial_
report or budget document is received, The final adjusted budget
for revenues for 1974-75 was shown es $15,175,000. According to Mr.
Mitchell's August 8th report:, the actual revenues were $16,300,000 --
more than a million dollars above the budget, Mr. Henderson doubted
this was the case, but that is the way it appears to anyone reading
the report. If it is true, then the gas utility bad little over-all
effect. The expenditure budget for 1974-75 also read at $15,175,000
including the sales tax transfer to Capital Inprovemeate. Actual
expenditure* as indicated in the August 8th report were $16,346,000,
early one million two hundred thousand dollars over what vas show
as the budget; and that is the figure to be questioned, - not the gas
utility situation If Council had time, Mr. Henderson recommended
that it compare tihe formats for the final 1973-74 results with the
1974-75 third quarter report of April let and the August 8th final
report for 1974-75. For example, the same item appears on all three
reports - the unappropriated balance in the Capital Improvements and
Special &avenue Fund as of July 1, 1974. That below* ca is a settled,
known figure; but three different figures appear on the reports with
vssiatioae from 55,200,000 to $6,060,000. Mr. Henderson bred that
Commell or the community would demand a full and clear explenatigh
of what has happened, The city has an independent financial al officer;
and be should keep the Council informed about its fiscal affairs,
certainly alerting Council when expenditures are running 31,000,600
above the budget - or apnea; to be ruaning that high, according to
tke report. Speaking to the property ahx4 K. Hooderson remarked
that it say sears intpgrropriate to ;insider a tax reduction after seeing
Lot year' es results; however a budget bas beam approved for 1975-76
which resets is as operating surplua of over half a million dollars.
Therefor*, the budget provides that attune t of **leo tan revenue far
Capital Improvements, That aiorplue would have been over oms sil.Ucm
dollars if the mil bad approved the electric utility rate ilecTeagml
*Leh Kr. Henderson felt mars totally justified. The increase in
essese d valuations for 1975-76 will add 5176,000 more property tax
revile than has been budgezted, jai airs that a property tax rate
124
reduction from 74c to 70e will leave the 1975-76 budget dollars intact.
Mr. Henderson pointed out that the August 14th staff report tells
of an over-all 12.2% increase in assessed valuations for Palo Alto.
It fails to break down this increase between residential and business
properties. Only the residential properties are revised continuously
on the basis of sales of nearby property, and everyone knows that
the increase in total residential property assessments well exceed
12.2% this year. The current property tax rate of 74c was first set
in 1968-69, In the seven years that it has been in effect, the assessed
valuation in Palo Alto has increased 66%; and the property tax annual
revenue has increased 712 - that is 102 per year. Meanwhile, the
cost -of -living index has increased a little less than 402 since 1968-
69. Mr. Henderson reminded Council that for most owners of residential
property, the increase in assessed valuation since 1968-69 has been
well above that 662 figure. A four cent tax rate reduction would
result in a very small tax savings for Palo Alto property owners,
but it least it would hold the line on the present tax bill. Also,
it would set an enample for the big taxes - the School District and
the County. Somewhere, sometime, it was necessary to begin economizing
rather than automatically gouging the property owners for more money
every year.
William Burns, 4190 Maybe?' Way, representing the Santa Clara Valley
Coalition, said the Coalition represented over eighty organizations.
Some of the organizations in Palo Alto were the All Sainte' Episcopal
Church, the First Congregational Church, the Palo Alto Co-op, the
First Presbyterian Church, Action Ministry, the First Baptist Church,
Palo Alto Unitarian Church, and the Public Information Task Force.
Mr. Burns, said that the Valley Coalition has been trying to hold the
line on property taxes in the Santa Clara Valley. He commented that
he was chagrined to read the headlines in today's Palo Alto Times
which 5414 that the Palo Alto staff recommended a "hold the line tax
rate". Mr. Burns thought that probably most of the people in the room
realized that Valley Coalition was not talking about holding the line
on property taxes, but it was talking about a tax increase of one-
third of a million dollars if Council approves the 74c tax rate.
One of the problems in this form of taxation is that it involves this
kind of tax increase cover-up by having people indicate that the line
would be held ou the tax rate when assessments have done what they
have in the Valley, because those asseesments provide very substantial
tax increases. What was being talked about at thins meeting was a
12.2% property tax increase for the citizens of Palo Alto. Mr. Burns
thought it might be of Rome interest to the Council to know that so
far this year the City of Santa Clara has lowered its tax rate 20e,
Sunnyvale has lowered its tax rate 13e, and the San Jose City Council
has voted to reduce their rate 17+;.. This indicated that some of the
Councils in the Valley were responsive to the demands of the citizenry
that the property taxes not continue this mad escalation by simply
adopting rates which reau1t in taxes that are increased, Mr. Burns
pointed out that he paid his taxes in dollars and not in rates; therefore,
he was not at all iapreseed by a hold the line rate which results
in a 12.22 increase in dollars. Much has been said in Council Chambers
about the need for low/moderate income housing in Palo Alto; yet,
the bureaucrats in the city do not seem to feet that the tax rate
and the ever increasing property texas are part of the reason why
many senior citizens are having to sell their homes and leave Palo
Alto. They cannot afford to pay the rent that the city and the county
are charging for homes which these people thought they owned. These
people had the absurdly naive belief that if they bought a hoe and
paid for it, it vas .theirs; and they did not realise they were only
being rented their homes by the municipalities and the cooties end
the various taring districts that are able to confiscate stoney from
them because they happens to live in this Valley. Referring to the -
1 2 2
8/18/75
staff report dated August 14th, Mr. Burns noted that it pointed out
that there is a windfall, of $176,000 that has come upon the city since
the budget was drafted. The budget estimate originally was $2,998,000;
but as soon as the Assessor came up with some more goodies, the bureaucrats
suddenly realized that they needed more money. Mr. Burns wondered
if the peculiar financial report which suddenly came up in the fourth
quarter were somewhat influenced by the fact that this is tax rate
setting time, and perhaps the coincidence of the city's suddenly worsening
financial condition was related to the fact that now is the tine to
set the tax rate. Mr. Burns noted that this kind of a windfall is
completely over the budget that was adopted, it represents a substantial
increase, and there is no reason for it outside of the statement that
it was not a good year. It needed to be pointed out that it was not
a good year for a lot of people in this area. The idea that the city
should go an living fat and happy while many of the citizens are trying
to figure out how to pay for their groceries is absurd. Mr. Burns
believed that the people who decided where they could spend another
$176,000 could also figure out where they could cut enough expenses'
to remove the one-third of a million dollar tax increase. He was
sure that under the guidance of
really hold the line on the tax
Mr. Burns asked Mayor Norton if
City of Palo Alto.
Council, staff would find a way to
dollars rather than on the tax rate.
he supported a tax increase for the
Mayor Norton explained that citizens had an opportunity to speak to
Council; and then Council would take into account what had beer said,
deliberate, and reach a conclusion. However, there would not be a
debate. Mayor Norton stated he would not answer Mr. Burrs' question,
and he would not ask any other Councilmember to arrester it. These
were rules followed at Council meetings; and unless eon Bone made a
cation to charge them, they would be followed.
Councilman Beahre found it very interesting to hear the list of organizations
mentioned by Mr. Burns. Those organizations are generously inclined
and very humane in their interests, but Councilman Beahrs hoped that
the eta Clare Valley Coalition would somehcw, sometie support Council
when it is being urged to provide yet another service in the community.
He asked Mr. Burns if his organization had done anything in that respect.
Mr. Burns responded that if there were any issues in the city with
Which the Coalition could be helpful, it would be pleased to hear
from Council.
,John D. Snow, 105 Lowell Avenue, stated that prior to the election
of the preset Council, staff and the previous members of Council
bragged about the mount of money that was on band awl talked about
what a good tax rate there was. At this sating, it was being found
out that those statements were not really so. Mr. Snow commented
that this was an ;aftermath of over four years, and Council has inherited
a bad situation.
Councilmen Bervald stated that as Chairman of this yeer's Fierce
and Public Works Committee, he was very mindful of the work of the
previoes Committee and of the interest and serious feeling with which
Mr. Torso* addressed Council regarding the items under discussion.
Also, Councilmen Bsrwsld VAS aware that he and three of his colleagues
ea the Committee would be living with the results of the action taro
at this seating with respect to a) tea rate. Soma of the things
heard tonight bad to do with Council procedure, Council appointed
officers, and perhaps the depth with which the Finance smd Public Works
Committee, the City MQanager, tiles= W Budget Director, and the Controller
review the budget. Arvs ass a atryo . that Ls the
cowing year, the Lud t would be looked at very elaeeely ell through .
f 3
4/t$/7S
the year and not just during the traditional time for budget hearings.
He stated he was very mindful of the fact that it is very easy to
make statements about the budget and express desires about reducing
it and the tax rate, but Councilman Berwald's feeling had always been
that the people of Palo Alto have had a traditionally low tax rate
and an efficient government. The citizens have had some pressures
of late by various segments of the community for additional services.
Palo Alto always wants to be first in everything, to be the first
in testing the validity of the law, the best in providing care for
children, the best in providing care for the aged and disabled, have
the best parks, etc. Those things do not come cheap; and without
the municipal utilities, the city would nct have theca. Councilman
Berwald said he would hesitate to make any drastic changes in the
tax rate, and he felt the appropriate procedure would be to have the
matter of the tax rate referred to the Finance and Public Works Committee,
upon which Committee the Charter has placed responsibility of reviewing
for Council in advance some of the fiscal matters and then making
recommendations to it. Councilman Berwald thought that normally Council
would gat better results by having the Finance and Public Works'Comaaittee
review the tax rate and the over-all financial results of the previous
fiscal year. The Committee could then come back to Council and approach
the subject in a very rations way. No citizen had called Councilman
Berwald in thy: last several day to talk about the tax rate or the cost
of government, and he WAS rather bothered by that. He concluded that
the public was relying on Council to make the right kind of judgments.
MOTION: C4_°.:sciloan Berwald moved that the matter of the tax rate
be referred to the Finance and Public Works for review and a report
back to Council.
The motion failed for lack of a second.
LOTION: Councilman Berwald introduced the following ordinance and moved,
seconded by Beahrs, its adoption:
ORDINANCE NO. 2868 OF THE COUNCIL OF
THE CITY OF PALO ALTO €IX1n THE TAX
RATE FOR THE FISCAL YEAR AT 74
AMENDMENT: Council Buhr* :roved, seconded by Witherspoon, that
the tax rate for the. coming fiscal year be set at 70c.
Councilmen Eeahrs felt this action aright put the city in a tight situation,
but it was time for Palo alto to learn to live within reasonable resources.
Coencilmen Comstock cited that at the time of the Finance and
Public Works C'ommittee's review of the budget, which was exhausting
and exhaustive, the Committee members spent many evenings talking
snout individual components of die bifdget and also such things as
projected revenue* - sales tax, utilities, etc. One of the results
was that Cecil action wan generated in acme arenas, ouch as utility
rates. Mow Council had the staff's report on what the revenues are
likely to be fro the erlee tax, property taxen, and utilities; and
what that to turn will inply in transfers to the General Fund or vice
versa. One of the points which came up and Cooncilmen Comstock persoaelly
pursued at the Finance and Public Works Committee meetings was to
try to strike an analogy between the amount of money that was budgeted
for public gaiety today and what it vas teen years ago, and how closely
the revenues from the property tax source matched that budget. A graph
showed by staff indicated essentially that in 1963--65, the revenues realised
from property tames Isere quite cx.oes to matching expenditures being made
in the area of public safety (primarily police and fire protection).
124
8/18/73
Those services are heavily oriented toward the protection of property values
and toward personal safety. in many communities where there are no large
shopping centers and a city utility business, the property tax is the prim-
ary source of funds and public safety tends to be the primary municipal
activity. In Atherton, clearly the primary interest is on public safety
and to a lesser degree on other services; and their income source is almost
exclusively limited to property tax. Councilman Comstock noted that was
where Palo Alto was a little more than ten years ago, and that is not
where the city is today. The current budget for public safety is some-
thing in the order of six million dollars; and as can be seen in the staff
report, the city is proposing to collect somewhere in the order of three
million dollars from property tax revenues. Councilman Comstock explained
that this simply meant that Palo Alto had fallen behind the position it was
in a lumber of years ago, He said he was not arguing whether that was right
car wrong but was just making au observation. The queation was were the
money had come from in that intervening time period to pay the increasing
costs of public safety; and the answer was that it came from utility revenues,
sales tax revenues, etc. Itt any event, there is a short -fell this year of
approximately three million dollars in how the city was;matching its public
safety expenditures compared to some years ago. Councilman Comstock realized
he could say that instead of three million dollars short -fall in the area of
public safety, it could be in some other service area; but he was struck
by that, and he felt it came to a point Now, the city was, in its finaneisl
process, down to the last window in the house - so to speak. The budget
has already been passed. Council will do that again at the end of this
fiscal year and at the end of the following fiscal year, and present Council
and staff could belabor the last Council on whether it was successful or not
in holding the line on the budget. Councilman Comstock seriously doubted
that in their wildest momenta the Finance and Public Wohka Committee could
have done anything close to taking three million dopers out of the public
safety budget. They clearly could not havo done that, and Councilman. Comstock III
would not have supported that kind of reduction in expo ditures. To a point,
he said he had to agree with Councilman Beehre. Thera were extended Finance
and Public Works Committee taieetings, and during the preceding year there has
been pressure from various areas in the community for specific services which •
were dealt with in the budget. There wee no likelihood, in Councilman Comstock's
opinion, that that would not continue to be the case - whether the subject would
be the Veterans' building, the Senior Citizens' Center, or any one of a number
of such projects. There will continue to be citizens in the community wtto
feel their needs are not being met, and that will - to a greater or lesser
degree - reflect itself in the budget. Councilman Comstock commented that
be could shock or dismay everyone by saying that he tbo:egbt it vas important
that the property tax pay for almost all of the public safety expenditures.
The only way be could achieve that would be by suggesting that the property
tax rate be doubled, but be would not offer that art an amendment because
he thought it would divert a lot of time and orgy at this meeting to
unnecessary debate. But be did want to rest with Council and the community
that bought and that point. If Council proposed at this juncture to
reducc the amount of property tax revenue from what is being suggested
to approximately equate ,last year's, the city would be continuing
what Cou oilman Comstock called a sbort-fats in bow the public safety
saes were covered eia. property tex revenues. To members of the
audience mete cascaras! ;bout the property tax, Councilman Comstock
**A their interests could be very es/1 served if they would arrange
to attend every Cowell meeting and every Finance and Public Works
Committee Nestleg between mow and next Juoe 30th. A lot of decisions
would be made along the wary which would have a cumulative impact. and
this sold be particularly true when Cecil reviewed the budget nett
year. The budget has um been adopted; and if the property tax revenuee
were to be cut in half, that would not sake the eipeeditures disappear.
It would simply itacrease the div ereioa of money from either the Capital
Imptov nest rood unappropriated balance, or the sale tax, or the
rem from utilities. Coecilman Comstock said $ raductioa in trims
133
S/111!75
would make it easier for the individual property owner, but most of
the property owners in the comrmunity, also shop here and buy their utilities
here; therefore, residents are contributing to the city's revenues
through a variety of sources. He sympathized with and understood
those persons who wanted a reduction in property tax, but he did not
know if a reduction of four cents - or even twelve cents - would have
any kind of as effect on the Palo Alto Unified School District, the
Foothills Community College District, or anything else. Councilman
Comstock thought it should be understood that this process was a multi-
faceted one; and if citizens wanted to be successful in their aims,
they would have to be present a lot more than just at the meeting
when the property tax is being set. Re said there were Councilmembere
who had not been on Council before July 1 who are perhaps frustrated
with the budget the way it now stands; but there is not too much they
can do about it except begin to cancel programs here and there as
they come along and not spend the money: One such program was just
done at this meeting. A bridge will be built, and that money has
been spent. Another chance would present itself when the city wanted
to build another bridge on the other side of El Camino, and such items
come up all the time. Citizens can come to meetings any time and
request that such projects not be carried forward. Speaking to the
motion at hand, and with those thoughts in mind, Councilman Comstock
said he could not really agree with a 70e, 71a or 74c tax rate; but
given his bias about how much he thought property tax should cover
property related expenditures, he would be inclined to stay with the
staff proposal for maintaining a property tax rate that, in effect,
provides a 12% increase in property tax revenues. Council had been
under a great deal of pressure from the newspaper and the community
to negotiate a settlement with city employees, and the result was
not for a zero percent increase in aalariea.
Councilman: Carey stated that it made sense to hire to him to take the
so-called surplus out of what was estimated to be property tax revenues,
upon which the budget was based; and that would be a four cent reduction.
=1e thought ail of this discussion needed to be put into perspective.
The property tax related to the City of Palo Alto its seven percent
in terms of the total tax bill received this year. If there is a
ten percent reduction in the Palo Alto tax rate, or a seven cent reduction,
the over-all tax bill would be affected by less than one percent.
It is important, Councilman Carey added, to understand that even i
seven cent reduction - while it sounds big in the context of a 74a
rate - is not really that large. He believed that the problem with
property taxes was generally far sore complicated them could be discussed
at this meeting. Councilman Carey noted Mr. Henderson's earlier remarks
concerning the dramatic increase in property taxes, yet the cost -of -living
has gone up only half.. Couuciims.A Carey pointed oat that the reason
the tax rates have gone up is that there has been increases in valuation
by state law which the County Assessor is required to assess at fair
market; therefore, part of the problem lies with Sacramento and not
with the Cry.of Palo Alto.
Councilman Sher sensed that this was the might to get on the band
wagon of a tax decrease, sad the question was just one or how such
of a decrease should be decided upon. (He added this was not such
a bad band wagon to get on compared to same for which he had been a
part.) Last year at tax rete getting time, Councilman Sher resisted
e motion by Mr. Henderson to decrease the tae rate because such a
decrease had not been tam into account at the time the budget was
sat, The programa for spending had been set at a magnitude that would
not justify a decrease. 'last spring when the increased assessments
in Santa Clara County were announced, Councilman Sher was very concerned
about those increases; and he made a pledge to try to menage a decrease.
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8/18/75 �t
He agreed with Councilman Carey that Sacramento and the state laws
require the assessments to be tied to fair market value, but they
do not make any requirement about what the tax rate ought to be in
the various cities. Councilman Sher had made the pledge, and after
discussing the matter with the City Manager and the Director of the
Budget, he concluded that some email tax rate decrease might, be possible
'f care were exercised during the budget process in setting the amount
of expenditures for the coming year. That care was exercised during
the budget process, in Councilman Sher's opinion; and the night the
budget was adopted, a number of programs were deleted which had been
recommended by the Finance and Public Works Committee. He pointed
out that budget setting time is when the tax rate is really determined,
and the two items are not separate. Councilman Sher commented that
he did not second Councilman Bervald's motion because he vas not in
favor of having the Finance and Public Works Committee talk about
the tax rate as a separate item. It is early in the spring when the
budget is being fixed that the tax rate is being determined in order
to balance that budget. Speaking to the amount of the tax decrease,
Councilman Sher felt there should be at least a four cent reduction
since the budget was built on the assumption that the assessed valuation
would be a certain figure. As it turns out, the assessments were
enough higher so that Council was told there is a $176,000 windfall;
therefore, it was obvious that a four cent reduction should be voted
in order to eliminate that windfall. Councilman Sher thought he mtght
be inclined to go a few cents lower than that, but he did not think
there would be enough votes for that from what he had heard during
the discussion. In apite of the comments made about what percentage
of the total tax rate is involved, Councilman Sher felt it was important
to do as Mr. Henderson had suggested and approve some reduction in
the tax rate, There are the bigger tax agencies which have established
and will be establishing their tax rates, and Mr. Henderson had been
stating for a long time that it would be well for the city to show
that the principle of the increased valuations was understood by Council;
and that it requires a tax rate decrease to offset the increase in
assessed valuations. With regard to the tax rates set by the County
Board of Supervisors and the Unified School District, Councilman Sher
reported that last year the county tax rate was $2.626 per $100 assessed
valuation and the School District's was $5.4134. The city's assessment
of 740 appeared puny in comparison. There has been some indication
that the county and the School District will lower their tax rate
for the cowing year, and the least Council could do was to approve
a four cent reduction. For those reasons, Councilman Sher would support
the amseded motion.
Mayor Morton stated that Council recognised that Palo Alto taxpayers
were overburdened with taxes, but it was equally important to recognise
that they are not overburdened by Palo Alto city property taws.
Palo Alto taxpayers still get the best deal for the small amount of
real property taxis paid of anyone in the county. Mayor Morton pointed
out that the tax rate of 74e is the lowest of any comparable city
in the County of Santa Clara. The amount of the first proposal would
saw the average owner of a $50,000 hems $2.25 per ,ear. The motion
as anw led would save the average homeowner $3.00 per year. Mayor
Morton coosidered tile proposal, at best, to be symbolic; and at most,
it was a politically *otiveted fore of tokenism. Councilman Seaters
has, from time to time, alluded to tokenism; end Mayor Morton considered
this to be a good example. It ceded to be recognised that the indicators
show that the city will harve to increasingly rely on property taxes
as a stable fore of income to continue to fund its bigb level of services
and Capital Improvmm ent Projects. Mayor Morton said that a reduction
in tame of easy amt at this time, even though nominal and ever,
though politically popular, would be a step in the wrong direction.
Me stated - be would appose end a sic.
2 2 7
4/18/75
Councilman Eyerly felt Council should keep the faith with the taxpayers.
According to staff, a 67c tax rate would mean the taxpayers would
pay about the same as they did last year. He reminded Council that
if the rate were set at 67F, the city would be something 1i'.ce $125,000
below the budget for 1975-76 which is not a lot of money when it was
considered against the total budget. After all, a week ago 850 University
Avenue was sold for $91,000; and that money goes back into the General
Fund. Councilman Eyerly thought that curing the year there would
be other opportunities to increase the amount of money in the Capital
Fund; and if Council and staff were wise this year, perhaps the overhead
could be cut. If operating expenses cannot be cut by budget time,
consideration would have to be given to whether or not property taxes
would have to go up or in what way money would be raised. Councilman
Eyerly thought it was fair to hold the line on taxes this year; and
if next year there is a need for an increase, that should be announced
in advance of any action. He would oppose the amended motion; and
if it failed, he would move a 67c tax rate.
Councilman Beahrs agreed with Mt. Bum that something needed to be
done about the tax rate. It was Councilman Beahre' hope that by cutting
the assessed valuation increase by roughly 50% that the School Board,
the Board of Supervisors, etc. would accept the challenge to reduce
their tax rates.
The amendment setting the tax rate at 7Oc per $100 of assessed valuation
passed on the following vote:
AYES: Beahre, Carey, Clay, Sher,
Witherepoou
NOES: Beruald, Comstock, Eyerly, Norton
The ordinance as amended was adopted on the following vote:
AYES: Beahre, Ber`;Fa1d, Carey, Clay, Sher,
Witherspoon
NOES: Comstock, Eyerly, Norton
FARKtNG DISTRICT ASSESSMENT
MOT/OFT: Councilman Comstock introduced the following ordinances and
moved, seconded by Witherspoon, their adoption:
ORDINANCE PO 2869 entitled "AN ORDINANCE
FIYINO AD VALOREM ASSESS FOR FISCAL
YEAR 1975-76, UNIVERSITY AVENUE DISTRICT
OFFSTREET FAQ PROJECT NO. 52-13 AND
52.14"
ORDINANCE NO. 2870 entitled "Ali ORDINANCE
FIXING AD VALOREM ASSESSMENT.FOR FISCAL
YEAR 1975a-76, CALIFORNIA AVENUE DISTRICT
GFFSTREET PARKING PROJECT NO. 55-5"
ORDINANCE NO. 2871 entitled "AN ORDINANCE
FIXING AD VALOUR ASSESSMENT FOR FISCAL
MR 1975-76, CALIFORNIA AVENUE DISTRICT
OFFSTREIT PARKING PROJECT NO ♦ 60-8"
Couecilaca *yerly made sosee calmest* about the difference in c&aarges
enacted & West the assesamet district in the 4owntowo area es compared,,,,
to the district on California Avenue. Be understood that the downtown
128
8/18/75
area was charged for the care of the parking lot which included such
things as sweeping the lot, maintaining the shrubbery borders, etc.;
and these kinds of charges were not being made on California Avenue.
Also, Councilman Eyerly understood there were permits issued in the
California Avenue area for long term parking, with quite a difference
in the charge compared to similar parking in the downtown area. This
year, there had been no resurfacing or restriping of the lots in the
downtown area; but Councilman Eyerly understood that when that was
done, the downtown assessment district would be charged for it. Similar
charges would not be mods to the California area. These were some
of the differences which Councilman Eyerly would like staff to respond
to before the rates would be set for the following year. Also, he
asked for SOS* comments on the charges in the Civic Center garage,
since he questioned charging the downtown district for a portion of
the ezpeuses incurred from guard service, exhaust fans, elevator operation,
etc. Another item on Councilman Eyerly's mind was that the parking
lot behind the old Bank of America Building was caked by the city,
and a charge was made to the downtown asseesment district for the
use of that lot. Ile was not sure that the downtown area needed that
lot for parking, and it might be well for the Policy and Procedures
Committee to study this matter in conjunction with whatever was going
to happen to the Old Police/Fire Station, which adjoins the parking
lot.
Mr. Sipel remarked that the questions mentioned by Councilman Eyerly
had been gone over in some detail during the past few years by members
of staff, Downtown Palo Alto, Inc., and the Californian Avenue Association.
A?so, the matter was discussed at the Finance and Public Works Coua1ttee
sometime within the last two years. Mr. Sipel seid staff could put
together a report that would tell Council whet the status quo was
and staff's best judgment as to why the assessments were set up as
they were. Staff would be able to have such a report to Council within
sixty days, and then a decision could be made as to bow Council wanted
to proceed.
The ordinances were adopted on the following vote:
AYES: Baer*, Berwald, Clay, Comstock,
Norton, Sher, Witherspoon
NOES: Carey, Eyerly
MOTION: Councilman Eyerly moved, seconded by Comstock, that staff
prepare a report oa charges in the downtown assessment district and
the California Avenue district with a comparison of charges regarding
those assessment districts, with referral of the report to the Finance
and Public Worki Committee.
The motion passed on a unanimous vote.
. Jaime -0. Glanville, Zoning Adainietrator, stated that staff recommended
to mil that it uphold time Planing Commission's denial of Kr.
Do erty!e application.
Comet/man .hssehrs sited to know if a survey on lot divisions had
bean dews is the city so that tyre would be some comsistencyin practice.
De masker?; bar this particular lot towed to lots tint twat diwldad.
129
6/111/75
Mr. Glanville said the ordinance was change', a number of years ago,
at which time the Planning Director had the authority to approve a
two -Jot division - one lot behind the other - as long as both lots
were 6,000 square feet in area and the rear lot had access to the
street by way of an easement. That was changed to require the rear
lot to have ownership of its access to the street and to be 20% larger
than the lot on the street. Mr. Glanville commented that the trend
recently had been to not approve exceptions, and the last exception
he could remember occurred in 1974. Several exceptions had been denied
this year.
Mayor Norton recalled that the present ordinance required the rear
lot to have 7,200 squats feet, which would be an increase over the
6,000 square feet required for a front lot.
Mr. Glanville agreed with Mayor Norton's statement.
Mayor Norton asked what the areas would be if this division were granted.
Mr. Glanville responded that the rear lot would be 7,620 square feet.
Maayrr Norton understood then that this lot contained 7,620 square
feet; and normally, 7,200 square feet were required.
Ni. Glanville said that was correct.
Mayor Norton asked if the reason the application htd been denied was
because one of the lots would have insufficient front footage on Loma
Verde.
Mr. Glanville replied that all of the lots would be substandard in
width. Lot "A" would be 35 feet wide, and the others would be 50
feet wide.
Mayor Norton was curious to know what practical use the owner could
make of Lot "B", the back lot, if the division were not granted.
Mr. Glanville thought the back lot could be used for a vegetable garden
or an orchard.
Mrs. John B. Dougherty, 626 Loma Verde Avenue, said there were people
on both sides of her property, all the way down the block, who have
built on lase land than she owed. Just next to her property, there
were four homes on a wallet sized piece of laud. Mrs. Dougherty
commented that than only use to which the back lot was presently being
put use as an area for growing weeds, and it cost a lot of stoney to
keep the weeds cut down. She stated that if a house were put on that
let, the city would receive taxes from it; and there would be no hardship
created for anyone. Mrs. Dougherty pointed out there was an access
road available which was cringed by Our Lady of the Rosary Church.
John B. Dougherty, 626 Lose Verde Avenue, explained how his lots compared
to the size of lots on the same street which contained es many as
four residential hoses. He expressed the fact that he did not want
to have to pay any more taxes on a piece of land which could not be
developed.
Councilman Eysrly asked Mr. Glanville to give some details about the
lots right next to Mr. Dougherty' s property.
Mfr. Glanville responded that the lots were fifty feet wide, and they
had en access easement at the rear. }le added they were legally divided
during a time when that vas permitted. •
,;
130
0/11/73
Councilman Beahrs asked if the access roads to the properties on both
sides of the Dougherty property were the name as was available for
the Dougherty property.
Mr. Glanville replied that the Dougherty proposal was for access ownership
by the rear lot, which is required by the ordinance,
Councilman Beahrs asked i,f otherwise the lot areas were comparable.
Mr. Glanville said the Dougherty lots ware considerably larger.
Councilman Berwald asked what the square footages were for the lots
an both aides of the Dougherty lot.
Mr. Glanville guessed that they were each 6,000 square feet.
Councilman Berwald said that if you
27,000 square feet; obviously, each
square feet less the easement. The
feet less the easement.
end up with three lots out of
lot would be an average of 9,000
other lots would be 6,000 square
Mr. Glanville agreed that was correct.
Councilman Berwald saw the ultimate question as being whether the
division of the lots not being made denied to the applicant the same
privileges under the law as those who owned property right next door
and in the general neighborhood. Further, he thought it would be
difficult to make a case that the approval of this lot division would
cause anyone next to the property a lessening of the enjoyment of
his property rights.
Nr. Glanville responded that in hie cpinion, the lot division would
not lessen the degree of anyone's property rights.
Anne Steinberg, Chairwoman of the Planning Commission, co>aaser.ted that
the difference in this particular division is that odd -shaped lots
would be created. Another point that had not been brought out was
that the garage on Lot "A" was accoseible only from the access road
to Lot "B", end the Commission thought this would create potential
problems for future owners.
Councilman Berwald said that if this property were in the aiddle of
a neighborhood where every house bad one lot and all the lots were
sic to eight thousand square feet, assn perhaps he would be inclined
to disapprove the application. It seemed to him that this request
was not et all inconsistent with the land use patterns in the area.
Much had been said in Council about people not being able to enjoy
their property rights because of the high cost of ].sad, and there
vas a real lack of available housing. This solved to some extent
both of those problems, and Councilman Berwald stated that he would
support the subdivision.
MOTTOS: CeuacLLaan Comstock moved that Council uphold the recotea sndaticn
of the Planning Commission awl deny the appeal of John 3. Dougherty
for a miscellaneous division of land for property located et 620-626
Lome Verde Avenue. -
The motion failed for lack of a ascend.
Mayor Norton aid Mr. Dougherty that if the division of the lot were
approved if be, es the ower of the lend in question, would agree
that Lot "A" would have as sasemeat or other legal masa of access
over the driveway so the purchaser would be able to get to his property.
1 3 1,
$/1$/l$
Mr. Dougherty said he would agree to that.
Councilman Carey asked if the access road were fifteen feet in width.
Mr. Glanville responded that it was fifteen feet in width, but the
Fire Department had requested that if the division of the lot is approved
that twelve feet of it be paved strongly enough to support thirty
thousand pound fire trucks.
Councilman Carey felt that when you considered the need for more housing
in Palo Alto, it would not be a good idea to turn down a lot split
on the basis that the garage on Lot "A" could not get access because
the answer to that problem is simple. While the lot is odd shaped,
the only question involved was whether it would be so odd shaped that
a house could not be constructed on it. In this particular case,
there is 107 feet by 50 feet in the form of a rectangle; and Councilman
Carey felt the depth of 107 feet would be enough for the appropriate
placement of a house.
Councilman Sher, pursuing the matter of the garage, asked if it would
be possible to make it a legal condition of the subdivision that an
easement be provided to the garage on Lot "A".
Mr. Glanville responded that would certainly be possible. Another
alternative would be to make the access to the rear lot an easement
to cross Lot "A", and that :could solve the problems of the two foot
side yard for the existing house and access to the garage on Lot "A".
The special paving required for the fire trucks should also be made
a condition in accordance with the request from the Fire Department.
Councilman Sher asked Mx. Glanville to expand on his alternative idea
for access.
Mr. Glanville explained that instead of having Lot "B" own the fifteen
foot driveway to the street, the driveway could be an access over
Lot "A"
Councilman Sher understood that the driveway would become part of
Lot "A" with access to Lot "B". The easement would be in favor of
Lot "B", but it :could be owned by "A". Further, this would mean that
Lot "A" would not be substandard with regard to the two foot setback.
i(r. Glanville said this was correct, and another easement would not
than be needed for access to the garage.
Councilman Sher asked Mr. Glanville if he were aware of any adverse
impact on neighbors which would occur if the lot division were granted.
!!r. Glanville considered that such action would be an advantage to
the neighbors in that weeds and field mice would be gotten rid of.
MOTION: Councilman Berwald moved, seconded by Beahrs, that Council
uphold the appeal of John B. Dougherty for a Miscellaneous Division
of Land (3 late) for property located at 620-626 Loma Verde with the
conditions thst the drivxwey be owned by Lot A with the easement by
Lot 8 and that there be a twelve foot paved area over the fifteen
foot wide easement sufficient to support fire equipment up to 30,000
pounds and that the Utilities Department will underground lines on
the rear lot.
Councilmen Elyerly stoked if Mt. Dougherty could build a house on Lot
"Br' for rental and still be within the terms of the ordinance if? bra ,
lot were not not subdivided as proposed.
1 3-2
8/18/75
Mr. Glanville responded negatively.
The motion passed on the following vote:
AYES: IEeahrs, Berwald, Carey, Clay,
Eyerly, Norton, Sher
NOES: Comstock, Witherspoon
Councilman Berwald reported that he spoke to Mr. Dougherty sometime
ago and suggested that if the ownership of the hoses on the property
changed altogether, the houses could be considered as a cluster with
common access to the swimming pool. He said he was not interested
in making that a condition, but that might be someth'ig that would
add to the attractiveness of the let split; and perhaps Mr. Dougherty
would grant to consider that some time in the future.
REQUEST OF MAYOR HORT
QI
ACOBS) RE
IN
mayor Norton commented that whsle he wanted to indicate that he did not
necessarily agree with Mr. Jacobs, he thought it was appropriate that
Council hear his concerns.
E11ie;Jacobs,.445 Cambridge Avenue, said that prior to January, 1975, the
city provided insptat.i?n services similar to the ones his company provided,
although the city's services were somewhat more restricted in scope, at a
fee of thirty-five dollars. In January, 1475, Council changed that to a
free service and began advertising that fact in the Palo Alto Times. Since
that time, Mr. Jacobs had received no rails at all from people within Palo
Alta requesting his servicee. His feeling was that the city was invading
the private sector with a free service that was in competition with his
service. Mr. Elite requested that the city return the service to one
that carried a reasonable and proper charge that would at least cover
the cost to the city. he added that his business was in Palo Alto,
he paid taxes to the city, and the city was taking away some of his
clients.
Mayor Norton said that Mr. Jacobs was complaining, as a taxpayer,
on the one hand that tax money wan being spent to subsidize a city
program; and the other argument saes that the city was competing with
his bueineas, thereby taking away some of his income.
Councilman Seabee remarked that this whole subject had been debated
at some length, and he did not recall heating anything from Mr. Jacobs
beferz this time.
Councilman Sher asked haw many inspections had been provided during
the lest fiscal year.
City Manager George Sipel reported that in 1974 before advertising
and before the eervics was offered as a free one, sixty --one inspections
were done. Since the city began advertising the free service in January,
one hundred inspections were done.
Councilman Shy noted that the policy underlying the action the city
took wee to keep the houeine stock from deteriorating. There was
strong sentiment about mandatory primal. inspection, and the voluntary
program with the advertising taus put into effect. Councilman Sher
felt very gratified that oni hundred inspections had takes place during
the first half of tba year, and be really wondered if that massy would
have been dons if there were a fee involved. No commented that if
133
1/18/75
Council went back to a fee basis and the number of inspections went
down, mandatory presale inspection would have to be looked at again;
and that was a very unpopular issue.
Councilman Eyerly asked how much it cost the city to do an inspection.
It was his thought that perhaps outsiders should be hired to perform
this task rather than have city staff do it.
Chief Building Inspector Stan Nowicki estimated that ar, inspection
took slightly over an hour, and the paper work involved probably took
twenty to twenty-five minutes. Mr. Novicki's department had a dossier
on each piece of property in the city; and this means the inspector
is thoroughly familiar with a building when be goes out to check it
over. Such inspections are done when the inspectors are on their
normal routes, so it was not necessary to include travel time. Mr.
Novicki commented that some reassignments had been done, and he thought
the inspections could be handled with the staff that vas already on
hand.
Councilman Berwald remarked that the Finance and Public Works Committee
annually reviewed fees, and he hoped Council would be supportive of
having the Committee include this item in its discussions at the proper
time.
Vice Mayor Clay pointed out that Mr. Jacobs' firm performed a number
of services which the city did not do during one of its inspections,
such as advice on structural soundness, possible additions and improvements,
cost of construction, etc. It seemed to Councilman Clay that it someone
wanted zoning information, for instance, he would come to the city
for it even if the city and Mr. Jacobs were charging the same price
for the service. AREAS, on the other hand, offered expert advice
on matters that were beyond anything the city offered; therefore,
Councilman Clay did not see that there was that much of an overlap.
Mr. Jacobs responded that his company, AREAS, did cover some things
which the city did not, but he also performed nary of the same services
provided b3 the city. He noted that before January 1915, he had a
number of inspections in Palo alto; and now, he had none at /•'.l.
Mr. Novicki stated that the main difference he saw was that the city's
advertisement made citizens aware that information was available to
then. What the department was doing was correcting vioXetions in
the field before they became too severe, Also, an unsuspecting buyer
does not get a house containing a aotherein-1.aw apartment which *is
months later the city make* him remove. When a violation of the Code
or the Zoning Ordinance is uncovered, the Building Department is obligated
to follow through and see that it is corrected. Mr. Novicki could
understand Mr. Jacobs' position, beat he pointed out that Mr. Jacobs
would in no way be obligated to see that corrections were ede; acd
that was the t a In purpose of beginning the presale inspection.
Mayor Morton thought this was an important point. Inspection restate
pointed out by Mr. Jacobs could be either changed or not chapped,
as the owner so decided. When someone in Mr. Novicki's department
discovered a violation, that violation would be corrected.
Counciipen Comstock felt that the Finance and Public Work* Committee
would take - up this matter at the proper time in one of its =sittings.
It seemed to hies that no other action was required of Council. Mr.
Jacobs could appear before the Finance and Public Works Committee
and discuss his problem with the, and time Committee coed thee make
recoseendatio s to Council.
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Mr. Sipel noted that if that statement by Councilman Comstock indicated
the wishes of Council, it was necessary that Mr. Jacobs understand
the matter would not be taken up by the Finance and Public Works Committee
until next April or May.
Mayor Norton concluded that the consensus of Council was that the
matter was disposed of by being taken up next spring by the Finance
and Public Works Committee.
RZ ST OF CCUNCILM N BERWALD
as.eruti ,»
Councilman Berwald said that Council had copies of the June 18th memorandum
from staff which was the result of Council's unanimous motion of May
5th, his memorandum of August 14th which included the essence of that
motion, and the memorandum from Shannon Feisel dated August 15th.
Councilman Berval.d felt Council should reiterate its interest in accepting
this area under the conditions set forth in the various memorandums.
On September 3rd, LAFCO will hold a public hearing for the purpose
of deciding whether the area in question should he p=laced in Mountain
View or Palo Alto's sphere of influence. Should the decision be to
place the Silva/Monroe area within Palo Alto's sphere of influence,
Palo Alto would proceed, with the re.idents, to set about annexing
the area. The one very serious problem is the matter of fire protection:
Councilman Berwald pointed out that the fire protection for the area
wRsuld expire when the contract expires on August 31st. In the meantime,
at LAFCO's recommendation, the Berard of Supervisors has asked Mountain
View if it would continue to provide fire protection for September
1st through September 3rd. The City of Mountain View will decide
on the 25th of August whether or not it will provide this fine protection.
If it does, the matter is solved; if it does not, -Councilman Berwald
recommended that staff handle the situation administratively. Staff
had assured Councilman Berwald that through that procedure a satisfactory
arrangement could be made to provide tee necessary fire protection.
Apparently, fire protection after September 3rd is no problem. Mt.
Sipel, and Shannon Feisel on,his behalf, agreed that if LAFCO placed
the area in Palo Alto's sphere of influence the city would immediately
after September 3rd notify the neighborhood that Pei* Alto would
provide fire protection. There was a matter of funding arrangements
having to be made.
MOTION: Councilman Bervaid moved, seconded by Norton, that the City
Manager be authorized to act administratively to work with the City
of Mountain Visa and the Fremont Fire Protection District for fire
protection for the Si1va/Mvl:roe area for the time perioc# September
1 through September 3.
Mayor Norton counted that there was a somewhat delicate area here
of seeming to +ect inconsistently with the sphere of influence agreement
reached in 1969 with the City of Mountain View; however, he felt that
when roughly two-thirda of the voters in the area voted to not join
our neighboring city, than perhaps LAFCO will want to talus moth=er
look at the wetter. Pilo Alto should indicate its willingness to
have an open mind if LAPCO is inclined to change the sphere of influence.
The proposal. to assure that there would be no gap in the fire service
is only proper under the rircusstaacss,
Couacilmee 'Weald acknowledged the hel=p of M. Sipel, Shannon Faisal,
and the citizens of the Silva/Monroe area lord by Barbara Baick, who
bad been, inspiring in her efforts to bring about a satisfactory solution
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to this problem. He also thanked Mayor Norton who attended the LAFCO
meeting on August 6th, where Mayor Norton and Councilman Berwald spoke
to the issue with the aim in mind of doing nothing that would offend
Mountain View. When LAFCO asked why Palo Alto had not initiated the
annexation of the Silva/Monroe area, Councilman Berwald and Mayor
Norton responded that they in no way wanted to alienate Palo Alto's
neighbor to the south.
The motion passed on a unanimous vote.
Barbara Heick, 4380 Silva Court, thanked Council for backing up the hard
work which had been done by the citizens. Members of the audience from the
Silva/Monroe area really enjoyed being with a Council which listened
to what they had to say.
Councilman Sher referred to the statements reported in the newspapers
this past week that Governor Brown had made with respect to the Dumbarton
Bridge. The statements were somewhat surprising and distressing to
Councilman Sher because when he attended a meeting last spring along
with Councilmen Clay and Comstock, it was his understanding from a
representative of the Department of Transportation who attended the
meeting from Sacramento that the Governor was opposed to further accommodating
the single passenger automobile and favored putting money into mass
public transportation. s.t that meeting, the DOT representative suggested
that a compromise was being prepared which he hoped would appeal to
the communities in the West Bay as well as those in the East Bay.
Councilman Sher thought. there was some hope at that time that the
Governor would support Senator Gregorio'a bill which would not permit
funds to be spent for an entirely new Dumbarton Bridge, As of late
week, it was learned that the Governor now feels the bridge must go
forward; and he we ote letters to various East Bay Legislators to that
effect. In Councilman Sher's view, it was important that the City
of Palo Alto not let this action go by without comment; and it was
important, if Council agreed, to inform the Governor that Palo Alto
did not agree with his conclusion and would like him to reconsider
his decision to allow the construction of the bridge to proceed.
Governor Brown commented that it was perhaps too late to do anything
about the action taken by the Legislature, but Councilman Sher did
not agree with that. The Toll Bridge Authority is the agency that
will construct and operate the new bridge, and they are the ones who
hove been pushing for the construction of the bridge for many months.
The Toll Bridge Authority is an agency of the Department of Transportation,
which is a department within the Executive Branch of the State Government,
st the top of which is Governor Brown.
MOTION! Councilman Sher moved, seconded by Comstock: (1) that the
City Council authorise the Mayor to write the Governor requesting
him to reconsider his decision to allow construction of the new Dumbarton
Bride to proceed, urging him to support Senator Gregorio's bill is
regards to this matter, and advising the Governor that the City of
Palo Alta has never been given the opportunity to express approvel
or dioapprovel of the proposed University Avenue approach to the bridge,
es required by the enabling legislation, end that legal action has
been filed to *aware this right to Palo Alto; and f2) that the City
Council reaffirms its determination to take all feasible steps to
prevent Palo Alto's streets from being used as approach roads to the
now bridge, if built, and to ensure that the bridge will generate
the lest possible additionaltraffic in Palo Alto.
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! 1
Vice Mayor Clay said he attended the meeting in the spring to which
Councilman Sher had referred, and the DOT representative reported
he would cone back with a description of a proposed compromise which
would have three or more lanes in the center and two lanes at the
approach ends. His purpose in a return visit was to give the cities
an opportunity to express their opinions with regard to the approach
coeds, and Vice Mayor Clay assumed that meeting would still take place.
In other words, he did not think that the decision of the Governor
would change the originally stated position concerning the approach
roads. Vice Mayor Clay's own opinion was that the very design of
the bridge as the DOT propomad it had some inherent safety problems due
to the fact that there would be three or four lanes in the center
of the bridge and just two lanes at the approaches. The other part
of the proposal about which Vice Mayor Clay had reservation was that
the design was to include non -growth inducements, and those non -growth
inducement factors were going to affect went of Bayshore only. Vice
Mayor Clay could not see how a bridge could be designed which would
have non -inducement factors west of Bayahore and inducement factors
east of Bayahore on a bridge which begins and ends beyond those points.
Perhaps all of these aspects were taken into consideration when Governor
Brown decided to go ahead with the bridge. Vice Mayor Clay said he
would oppose the motion; and if it passes, he would like any correspondence
to indicate that the vote was not uuaoiwoua.
Councilmen Eyerly requested that the two parts of the motion be voted
upon separately:
Councilman Sher agreed to this suggestion.
Councilwoman Witherspoon wondered if it would rake very much difference
if this entire: subject were continued for one week. She thought a
stronger letter could be co.rposed. Some of the aspects could be gone
into more thoroughly such as the approach roada and nos: -growth inducements.
Also, the question could be asked whether anyone in Sacramento had
seriously considered spending the money on bringing a BART bridge
across tLa Bay, among, other alternatives.
Councilman Sher responded that he would not oppose that idea. With
regard to the BART idea, that question had been discussed at great
length; and the conclusion was that such a high rising span would
not support the weight of the equipment used by BART.
Alan Henderson, 1935 Berson Street, reported that he represented
tba city in attending numerous public hearings on the Dumbarton Bridge.
Those people who attended Governor Bruce's meeting lest week aststed
that the Governor pars ally still did not support the new bridge;
but be had counted the votaa, and there was no way to reverse the
plan in the Legislature. That being the case, he concluded it would
be better to go ahead with the bridge rather than let it drag on aeod
erd up costing even more than one hundred million dollars. Mt. Renders=
explained that this meant the original plan would go into effect,
not the one than wee presented in the spring at the special westing.
The original plea included the four lane bridge with all the approaches,
except that Palo Tito could still veto any approach going through
its jurisdiction. That exception, of course, did need restating.
Mr. Henderson stated that citisen groups would continue to fight the
new bridge; and they had a number of new steps they were planning
to take, Including legal onee. One proposal being drafted put forth
that if a husdred million dollars were going to be sit, thirty-five
aeillir,>ce el it should be spent on bringing the bridge up to standard'
(the *alternative plan) getting matching funds from the federal govesnmeat
tor meals transit and cones TART from Tremont to San Joss. The
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money available on a three to one basis from the federal government
would enable the state to spend its one hundred million and get both
the alternative, or improved, bridge and BART around to San Jose.
Meanwhile, Mr. Henderson hoped that Palo Alto would hold firm to its
stated position.
MOTION: Councilman Sher moved, seconded by Witherspoon, that this
matter be continued for one week.
The motion to continue failed on the following vote:
AYES: Comstock, Sher, Witherspoon
NOES: Beahrs, Berwald, Carey, Clay,
Eyerly, Norton
Fart (0) of the Sher motion failed on the following vote:
AYES: Carey, Comstock, Norton, Sher
NOES: Bea.hrs, Clay, Eyerly, Witherspoon
ABSTAIN: Berwald
Part (2) of the Sher motion passed on a unanimous vote:.
Mayor Norton asked if Councilman Sher wanted part 2) of his motion
conveyed to anyone.
Councilman Sher responded that he thought this part of his motion
was a very good policy statement to have on the books. Inevitably,
there would be further requests with etga*•d to the approach roads
from the Toll Bridge Authority and the Gayer -exec. Obviously, Council
has vetoed the Embatcadero approach; and the University Avenue approach
3s -in litigation, a'he passage of this motion indicates that Council
supports that challenge. Councilman Sher did not feel, however, that
it would be helpful to tell Governor Brown this without telling him
what had been in part (1) of his motion.
Councilman Carey said, in light of the vote on part (1) of the motion, that
perhaps a restatement of the motion sight make it possible to get
acme information to Sacramento.
MOTION: Councilman Carey moved, seconded by Sher, that the City Council
authorize the Mayor to write the Governor requesting him to reconsider
his decision to alloy construction of the new Dumbarton Bridge to
proceed, as initially conceived, I.e., a four lane road and advising
the Governor that the City of Palo Alto has never been given an opportunity
to empress approval or disapproval of the proposed University Avenue
approach to the sridgs, es required by the enabling legisietion, and
that legal action has been filed to ensure this right to Palo Alto.
The motion passed on the following vote:
AYES: Carey, Comstock, Morton, Sher,
Witherspoon
NOES: Mehra, Serwatd, Clay, Eyerly
Councilman Berwald end Vice Mayor Clay requested that any cOmmunication
include the fact that they voted "no" on this motion.
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8/18/75
ORAL COMMUNICATIONS,
Mary Beth Washington indicated that she would
to the City a check for $1,300 with regard to
Road, and she asked for a receipt. Mr. Sipel
with Mrs. Washington about this aspect of the
like to present
rent for 936 Middlefield
agreed to meet
matter.
Toss Pssseil, 3825 Louis Road, addressed Council in his capacity
as Vice President of the Northern Area of the Santa Clara Valley
Coalition. He asked that Council indicate its support of the
Board of Supervisors' recent action of asking the Assessor's
Office for a report on ways in which they might equalise the reiative
assess -scents in Santa Clara County between the industrial and
commercial property as compared to the residential property.
W. P'asseell requested that Council consider indicating its support
of that action by resolution. Secondly, Mr. Passel? asked Council
to request the Board of Supervisors to emulate the action taken
by the city at this meeting to keep the tax bill of people who
own property from rising at an unreasonable rate
ADJOURNMENT
ENT
vnimiciamsassomo
After an Executive Session, Council adjourned the meeting at 12:20
ATTEST: APPROVE:
. ' ,
r..t.,.la-ti_.
City Clerk (J Mayor
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