HomeMy WebLinkAbout09181974CITY
COLJNCIL
l
M1NUTES
ITEMS
Adjourned MSeeting of September 10, 1974
r
Regular
September 18, 1974
PAGE
257
CITY
Or'
PALO
ALTO
Meeting
Compensation for MSembers of Advisory Boards and Commissions and
Human Relations Commission Request re Compensation for Members of
Rental Housing Mediation Task Force 257
Condominium Conversion Study and Recommendations dated May 1,1974 260
Retirement of Mildred Dabney/Harold Gibeau/Earl Jackson 272
Retirement of Richard L. Reynolds/Ralph Schram 273
Condominium Conversion Study (continued fro page 271) 274
Request of Councilman Comstock re Prexoning for Annexation of
Barron Park 279
Request of Councilman Comstock for Council Support of
Proposition 17 (Stsnnisiaus ?dver Initiative) 281
Request of Councilman Comstock for Council Support of 582133 282
pecial Meeting of September 18, 1974 282
Minutes of August 26, 1974 283
Resolueions of Appreciation to Rental Housing Mediation Task
Force MSembers 283
Palo Alto Housing Corporation Proposal 283
Planning Commission Recommendation re County Open Space Program 284
Report by Chairman of American Revolution Bicentennial Committee
of Palo Alto 285
Request to Continue Item 10 re Eleanor Park to Sept. 30, 1974 285
Mitchell Park Library Addition: Award of Contract 285
Refuse Utility Rate Revisions 285
Employee Retirement Program: Proposed Araetdmeut 286
Golf Course Maintenance Building: Award of Contract 286
Annual Street Resurfacing Program - Report of Bids 286
Mutual Aid for Electric Emergencies 286
Executive Session - Southern Pacific Rate Increase - Litigation 287
Appointment of Nine Kulgein to PACIAB 287
256
9/18/74
September 18, 1974
Ad our-ned Meeting of September 10 1974
The City Council of the City of Palo Alto met on this date at 7:30 p.m.
in an adjourned meeting of September 10, 1974, with layor Sher presiding.
Present: Beahrs, Bervald, Clay, Comstock,
Henderson, Pearson, Rosenbaum,
Sher, Norton (arrived 8:00 p.m.)
$eaest to eve Up Item 14 on the
Agenda to be Considered with Item 13
MOTION: Mayor Sher moved, seconded by Comstock, that Item 14 on
the agenda concerning compensation fox meffiherh of the Rental Hcusiug
Mediation Task Force be moved up €or consideration with Item 13 concerning
compensation for members of Advisory Boards and Commissions.
The motion passed on a unanimous vote.
C m ensstion for ?Members of Advisgry.
Boards and Coepaissions (CMR.:505:4) and
Human Relations Commission ateruea� t
eesation for Members of the Rental
Hauasei g.l diation Task Force
3ayor Sher noted that the report from Mr. Walker indicated that the
Planning Commission and the Architectural Review Board favored the
continuance of the monthly expense allowance. The minutes of the
Human Relations Commission show that nb consensus was reached, but
there was a recommendation from,thy-}RC that there be an expense
allowance for members of the Rental Housing Mediation Task Force.
Councilman Rosenbaum noted that when this itet wes last before Council,
the issue was deferred; and the members of the Rental Board were
asked to submit vouchers indicating theiyr eXpensts, which would give
Council some guidelines as to whether $25.00 per month vas a reeeonabie
sum. He asked if this had been done,
Charles Walker, Assistant City Manager, responded that h* knew of
no vouchers that had been submitted.
MOTION: Councilwoman Pearson moved, seconded by Rosenbaum, that
the Planning Commission, the Hunan Relations Commission, the Architectural
Review Board, and the Rental Housing lediation Task Force receive
an expeese allowance of $25.00 per month for each *ember; and that
the totals of such an allowance be added to the budgets of each of
those bodies.
Mayor her asked if this action would make necessary a budget amendment
for this year.
Mr. Walker responded that he thought the budgets for each of the
groups currently receiving the allowance had provfeions for it; but
if the Rental Housing Mediation Task Force ambers were to receive
en allowance, that would require a budget amendment in the mount
of approximately $6,000.00.
1
2 5 7
9/18/74
i.e.i' 1 ,. e' jtos t,0 I/1
it�14 n+1:.i5 ?itl
0 ? (1 ,: 14110 A1iJ,f"gt ; !� �4i34 lit Bik / ; 'tj kP�
tt t.‘ :'; t,�tvtsMi �i' t 31}%1'! h ;lit% 'tioyy:1i h1'a¢ i}I1441�111'0,
.Its
t4,111i@, k>Ii�1111� t 144, i ..,441.? �1
PO4rf1,s;,, tit i#Q1t R114it
isitiYv! `t `(►i't ;ttk
go.; 14 :14 1e
r+1 v 1 4.e: I 1
1
Of:\iveli i rgoi 1fi-141 1 y� ,a{'#1k � lf! 1 1l.4i 1 �. it iii 1 '1 i=fl
6 . ''''110;,-41$1( ! •,ii ¢:i1 e.t-+?A%,:..E ?: 1:f 4 hi= Pont ;II U.111,41014
7+ i' .ys •i If;, i(. S !. it j.ji`1Ai I -. Cs i 1: { t i''.'i : . J r oi , titd:Sith
ts1 .`, i 1s I tz i ' :1:1;) <., •1 1 J '. 7Wn'i1 :t `i ,
k'toi 4 of Mvin,Jx.y
7x®bitf
�yq tai S ;IP' s's,ilt:At
si Oil,. iiir [i3 4161401 ih(tii3Ofr,1 th4t ttf*
otO th0 Ai.( SitfJ.:0r41 kovtow Itootti l*Y..Itet4 t1:*
O nthly 4A,1.1$;i+4* Ali2d4nt.o. ILO 00t1A04 01 00
$1041 lsli<<tr i t+}t 0q114itn446 W404 t tlil'AaiJ, huh'
;,1011 1oti Cif) 04t 00(0 tiP d4 uclp0P40
'4 Of ihK1 A00t41 P',401111* ��il±�ji 1e4k 1PC�i;:ski
s 1}v101 kh*t tit' t{ 1114 3ic4r WINO l# f 1•4f4fS C:0414+:11,
*41 stO t •.'sat' olt,otits i+i t Tia Atittlos i ftottrA ii0 t ;a
:11010 Iti,1d -44(11: t)•dt1V a*irirt.1404 1120tit`11 Vt.Kiig KidP
no* *0 wet,othor pot- mona, s.,00 4 €)iosio s#tlet
Ott h0 +1**ii a;ir4p8i ,
ottoot i it y Pl;an*sot , tttMp:,0.1+0ti they h1ti 1?Si*Oi 4=
t000t$ 11 i1 A t e tE'} i
,'a4 a ,?oo, I1 *4-t1' b]' #t“40f1h4Itsiis (hot
$40, !hit 40040 Nicl 1imm tomott**Ri.ti1 trig Atthttott:,4141
t Otinf el it loltq lo,1t0t ton hook !1ti0 re; attY0
ti! L'%,:kl pet iwtil t fits itoth P44,1 qif i 440 t't1lt
it i hrt oott4 he *44t(-1 to tho 64400=0 of 00 h +: i
014 4 t hot tr11t114 1, '40 t o itlotbdttV * t,4401 +eilk8ii400°0t,
0%.4t 9tc+ t :wic;0°it ON N ki:S$01 a tip( 9500 of ;lip
4idtt '40 4:D1•tok4„o W14 ptivitsiongi }ii 1►,i
4 11104$0‘44% 1-006 tiQ € It 4.forio t ss, t1 f V!t
Vice Mayor Henderson reported that he had talked with Mrs. Cottrell,
Chairwoman, HRC, and she indicated the Rental Housing Mediation Task
Force would prefer being reimbursed for actual expenses rather than
having a monthly allowance.
Nancy Mahoney, 314 Kipling Street, Chairperson of the Rental Hcusing
Mediation Task Force, said the feelings of the members of the Task
Force were that they had very fw expeiaaes, and those they -had could
be most properly handled through vouchers. :4. Mahoney had not had
an opportunity to talk to those me'mber's Who Wee new on the Task
Force, but the rest felt they did not really need $25.00 per month
expense allowance.
Councilman Rosenbaum asked if members of the Task Force had been
submitting 'expenses.
Ma, Mahoney replied that just one had been submitted for a long distance
telephone 'cell.. Some concern was felt for any future member on the
Task Force who might not have a car and could thereby incur considerable
travel erpenaes; but at this point, each member did have a car.
Elvia Garwood, 1650 Waverley, Liaison between Human Relations Commission
and the Rental Housing Mediation Task Force, said that cements made
by Ms. Mahoney were true of the present task force. • Some persons
who might want to serve en the Task Force in the future might find
it a hardship to pay for a sitter for their children, for instance.
Also, perhaps someone on a fixed ince:e would be esked to serve,
and lie. Garwood thought the $225.00 in those kinds of cases would
make a real difference.
`'ice Mayor Henderson said his initial feeling was that such an allowance
should go to Council Commissions, as such, and there were so many
other groups he did not know how far Council should go in providing
specific compensation. He had been told there was a coneiderat,le
variance in the time spent by the individual members of the TasIt
Force; and some may incur expenses beyond $25.00 per month and others
not that much. At this time, vice Mayor Henderson favored vouchers
for expenses incurred. He said Mr. Mitchell, City Controller, did
not think Council had provided for allowances in the budgets bf the
particular organizations; so that whatever was coming out of the
budget to cover the $25.00 monthly all riasrcae was reducing that group's
funds available. Vice Mayor Henderson had suggested to Mr. Mitchell
that perhaps funds could be used from the Council Travel Expense
Account, and the Controller had agreed that would be a good source
of funds for this year. Steps could be taken next year to add expense
allowances to the specific budgets.
Mr. Walker responded that money for such expenses had been provided
in the travel budget of the Planning Commission, and such expanses
were also considered part of the HUC budget. He thought it was eafe
to assume that the three boards now receiving an allowance had adequate
provisions within the budget.
Mayor Sher commented that the motion was lade as a result of a discussion
by the members of the Ht:pau Relations Cemmis`sion, and the feeling
was that the allowance was being wadi out of a general budgeted ambucnt.
He asked if there were a specific amount of money for the expense
allowance for the various cosmaissiontre and the tiers of the AR$
added to the money budgeted for the other purposes of those bodies,
or was there simply enough in the budgets to cover the allowances.
:plc'. Walker responded that there were specific allocations, et least
in this cases of the Pleasing Commission and the ARS. Me HRC's annual
allocation was increased for the current budget year, end one of
the £.wens discussed in considering the increase was the expense ails wence.-
for the commissioners. C:.
2 5 8
9/18/74
Councilwoman Pearson stated there had been some confusion in the
Hunan Relations Commission as to 'whether the money was being taken
out of an allocated budget. She said that if an amount had been
added to take care of the monthly expenses, then she did not need
to keep her motion on the floor.
Mayor Sher felt it was clear that the intent in the future would
be to separately consider expense all.awances When preparing 'the budget,
and the allowances should not be taken out of other hinds that would
go to the various boards.
•
Councilman Comstock was in favor rf Maititatning the present arrangement
of asking members of the Task Force to request reimbursement for
expenses. He asked that the motion be divided.
Councilman Behr€ spoke in favor of the buther arrangement.
Councilwomah Pearson wanted the members of aa11 fatsr bodies to actually
receive an expense allowance of $25.00 prr Month. She noted that
the persons' involved were giving hundreds of hours' of their time,
and the allolance was merely a token to meet state of the expenses
that they did incur but for which they were' not inclined to submit
vouchers. Some of the members of these bodies spant"a great deal
of time on the road, and it is expensive to drive a car. Shone calls
are expensive too; and if a member of a group thought he would not
be paid for them, then perhaps he would not be inclihed to rake them.
Councilwoman Pearson said there were els() Miscall aneoU4 expe.rises
that added up such as, postage,' filing materials, etc'. She thought
these kinds of expenses should be reimbursed,' axed $25.00 per month
would help 'to cover those costs. Councilwbarn Pearson felt the members
of the Human Relations Commission and the Rental housing Mediation
Task Force should be receiving the same amount of monejr as the Planning
CoMmision and the Architectural Review Board:
Mayor $her stated that the last time this had been discussed, he
spoke in favor of the reimbursement of expenses; and ha point:.'! bet
that the $25.00 allowance was in no way meant to COmpensate for the
number of hours spent by the various persons involved, but it was
designed to reinaburee expenses. He preferred that each person request
reimbursement for expenses "incurred; however, he thought It wee: tbo
late to do that for the Plan ihhg` Cos issiin and' the ARB siu.ce they
have had their allowance in affect for some moths. Mayor Sher a*id
he would vote against a fixed allowance for the H'RC ;ltd the Rental
Rousing Mediation Task Force. - Re -maim' thh' motion voti.ld be divided.
The motion for $25.(10 per month aallo►aaaece for members of the Planning
Commission passed on the following' vote
AYES: Bervald, Clay, Comstock
Henderson, Pearson, Sher,
Rosenbaum, Norton
NOES: Beahre
The motion for $25.00 per month allowance for members of the Architectural
Review Board paeeed on the following vote:
AYES: Berwald, Clay, Comstock,
Henderson, Pearson, Sher,
Rosenbaum, Norton
NOES: P,eahrs
2 5 9
9/18/74
The motion for $25.00 per month allowance for members of the Human
Relations Commission failed on the following vote:
AYES: Comstock, Henderson, Pearson,
Rosenbaum •
NOES: Beahrs, Berwald, Clay, Sher, Norton
The motion for $25.00 per month allowance for members of the Rental
Housing Mediation Task Force failed ou the following vote:
AYES: Pearson
NOES: Beahre, Berwalda Clay, Comstock,
Henderson, Norton, Rosenbaum, Sher
Condominium Conversion Study and
ecommendaations dated May 1 , 1974 (CMR:429:4)
Councilwoman Pearson, Chairwoman of the Policy and procedures Committee,
stated there was a report from the Planning Cos asion which shows
the proposal, the recommendations from staff and Committee, and remarks.
She pointed out that in order to go through this, the Council members
would need to refer to the recommendations in the Palo Alto Condominium
Conversion Study which was prepared by the Planning Department. Last June 13,
the Policy and Procedures Committee addressed the iiesue of control for
cendominium conversions, the conversion of apartment% as' rental units
to indiv=idual units which can be purchased. At the sate time, the
Committee discussed protection measures and criteria for buyers of
newly constructed condominiums. Councilwoman Pearson thanked the
staff for the two excellent reports, one from the Planning Department
and vne from the legal Department. The Policy and'Procedures Committee
left some of the £tea open for ti/e staff to consider further and
to make refinements and recommendations to the total Council, and
staff had done this. Councilwoman Pearson reported that since 1968,
tonne apartment projects containing 234 units had been converted to
condominiums. In addition, sixteen condominiums with 442 units have
been built. Each tine a conversion has occurred, the Council has
been faced with public outcry from the tenants who were affected. The
Council imposed a six month moratorium on conversions while staff
studied the problems and developed policy recommendations. She continued
that Palo Alto has approximately 9,000 rental uniti, and approximately
7,400 of those were apartment housing stock. The vacancy rate in
Palo Alto for the past several years has been below 2%; in other
words, it is a very tight rental market. Councilwoman Pearson said
the conversion rate has been about 32; but all the units are subject
to conversion, and predictably, at an accelerating rate, end even
more so once the present interest rates go down. Thirty-seven percent
of Palo Alto's renters have lived here five years or more, and sixty--
three percent have lived here less than five years. Palo Altos
level of transiency is considered stability in other cities. Fifty
percent of the buyers of the conversions came front' bu'te1de bf Palo
Alto, and fifty-one percent of the buyers of the new condominiums
came from outside of Palo Alto. Of the purchasers of condominiums,
eighteen percent owned their homes in Palo Alto. Therefore, references
to freeing single €emlly homes, relates to a relatively small number of
homes. Eighty --two percent of the tenants inconversions are displaced;
and with the city'a Lew vacancy factor, they are literally shoved
out of Palo Alto. Conversion displaces low/moderate income households.
Thirty-eight percent of those displaced were low/moderate income
households, and thirty-two percent had retired family heads. Councilwoman
Pearson continued that condominium owners represent a higher income group,
2 6 0
9/18/74
and conversion generally increases the assessed value and the tax
yield of a property. The individual unit assessments Collectively
exceed the previous single assessment as au apartment structure.
Purchasers of these condominiums free single family homes, and that
was the eighteen percent she had men[ibtiedn Councilwoman Pearson
thought this could be a false assumption because the houses would
be available to families; but the present raa1 estate market shows
there are almost no houses in Palo Alto rot Mae -than $30,000.00,
and the influx of young families will be' 'rare since they cannot afford
the expensive homes in this city. Councilwbman Pearson' referred
to page twenty-nine of the Condominium Co version Study, and she
said that one paragraph written by staff Wise -the crux, of the whole
condominium conversion protection of both -terra -nee and'buyere. She
read the following: "On the positive side,' it is ' recognized that
conversicn, even though it may increase the'mhnthly carrying cost
of a particular unit, provides au ownership opporturiit not otherwise
available. in Palo Alto_. However, potential occupant displacement
should be the over-riding human and governmental taidifn iii formulating
policy with regard to acceptable or allowable rates' bf converrsibn
to condominiums in the o)nmunity, Displacement cause cbnsiderable
hardship to tenants, may shift to other comMunitiea'the horde for
providing suitable rental housing, and may force Peso Altb resident8
of long standing out of this community." Caun'cllwQtnan Pearabn noted
that, indeed, it has done this. With regard to a'37 este of eonver'sion,
which Councilwoman Pearson considered the heart of ,the proposal,
a notion to accept that rate failed in committee on a twenta'two
vote. Therefore, the committee sent the matter back to Council to
ask for its position. The rate is not an arbitrary number, and it
is used by HUD. In fact', the real estate field considers 5% a fluid
market; and in the urban renewal areas, 3% is used, and they require
a one for one replacement. Any number below 3% would begin to cork
against the purpose of retaining rental. units. Councilwoman Pearson
suggested that she piacenpll of the recommendations on the flour,
and that Council address itself to each one of them sepsr'ately.
MOTION: Councilwoman Pearson roved, on behalf of the Policy and
Procedures Committee, recommendations to Council re the Condominium
Conversion Study and recommendations dated May 1., 1974:
a) Recommendation re rate of conversion to go to'
Council for further consideration;
b) Recommendation re price mix to be reserved and
considered pending further staff reporto on
percentage rates for low -moderate inCoMe housing
and a more concise definition' of 1cw derate
income;
c) Recommendation re supply of rental housing to be
approved as stated in May 1, 1974 report;
d) Recowlendatiou re buyer protection to be approved
as stated in May 1, 1974 report with en addition
of notification to the buyer of possible increase
in fees and taxes and that "fire wa11`° be changed
to read "fire separation";
e) Recommendation re tenant protection to be Approved
as stated in May 1, 1974 report with the foilow'.ng
additions and changes:
1) Change from notifying "within 5 days of
approval" to "as aeon as practical following application"
261
9/18/74
2) Request further staff study on obtaining
developer cooperation on 90 -day extension
after lease expiration;
3) Relocation assistance be reserved pending
reports from Finance and Public Works
Committee;
4) Encourage owners to stay eviction so that
tenants may complete school semester when
applicable.
Mayor Sher recommended that each of the items be considered separately.
The first one was the recommendation that Council give consideration
to the question of prohibitions on conversions if the vacancy rate
of the rental units is less than 3%.
AMENDMENT: N'T: Councilwoman Pearson moved, seconded by Henderson, that in
regard to a) of the committee's recommendations the Council go on record
as accepting the vacancy rate of 32 to be in existence before condominium
conversions are permitted, as recommended by staff.
Councilman Eeahrs asked that the Planning Director comment briefly on the
practical aspects of this question and whether or not it would be
easy to make the 3% determination. He also asked how many units of
the thousands that exist in Palo Alto as rental property would appropriately
qualify as being eligible for condominium conversion.
Marc Cohen, Planner, responded that in regard to determining the
vacancy rate, it would not be very difficult. Arrangements had been
made with the Post Office to acquire the tabulation cards for the
survey conducted annually in November. This would permit staff to
tabulate a City of Palo Alto apartment vacancy.rate as opposed to
a postal area apartment vacancy rate, which is what staff had previously.
FY. Cohen said that a second method of determining the vacancy rate
would be through the Utility Department records. The Utility Department
will soon he able to monitor the apartment vacancy rate with a high
degree of accuracy.
Councilman Beahrs asked Mr. Booth if the methods mentioned by Mr.
Cohen had any weaknesses fro a legal standpoint.
Robert Booth, City Attorney, responded that Palo Alto was uniquely
fortunate in being able to develop in a short period the high degree
of accuracy that the utilities system would be able to provide.
He thought the postal survey would be useful until the utilities
system is refined still further.
Naphtsli Roo:.:, Director of Planning, added that there would be an
April 1, 1975 census in Santa Clara County which would give an evaluation
of the two surveys mentioned.
W. Cohen said that 32 of the stock in Palo Alto had been converted
prior to the enactment of the moratorium in December, 1973. Staff
found that those units ganged from one bedroom to three bedroom unit
penthouses, and in price from $20,000.00 to over $100,000.00. The
projects have ranged in size from six units to over one hundred unite.
In examining the incentives built into the system to promote conversion,
staff forecasted continued conversion in Palo Alto. Possibly, depending
upon monetary conditions, there would be a very high rate of conversions
without any constraint.
2 6 2
9/18/74
Councilman Clay said it appeared that the utilities system survey
would provide the necessary information ,more readily at more -frequent
intervals.
Mr. Cohen agreed that this was correct.
Councilman Clay asked if staff recommended a different time interval
for determining the vacancy rate from the annual one.
Mr. Cohen believed it would be appropriate to tabulate the vacancy
rate twice a year because the rate can fluctuate temporarily. The
city would not want to be hasty in allcwiag conversion - a permanent
act - based on a possibly temporary effect. For this reason, staff
recommended that the rate be tabulated in November and April; airsca
at those times the vacancy rate is representative of the prevailing
rate in the city. A summer tabulation might indica.e a slightly higher
vacancy rate.
Councilman Clay asked if there would be any variance permitted in
the 3% figure.
4r. Cohen responded affirmatively. Be said that staff recognized
the inherent error that could creep into any vacancy survey; therefore,
in fairness to a developer, his proposal would not be denied based
on a ► inor surplus over the "vacancy surplus". He would be allowed
to convert up to 40% more than the indicated vacancy surplus.
Mayor Sher asked Mr. Cohen to elucidate.
Nr. Cohen explained that if the "vacancy surplus", that is the number
of vacant units .in excess of 3% of the stock, were ten, and a developer
came in with a fourteen unit development, he would be permitted to
convert fourteen units because that would be no more than 40% over
the surplus that existed. However, a developer could not come in
with a proposal to convert unless there were a vacancy surplus.
Mayor Sher noted that Mr. Cohen had spoken of at least two of the
modifications that staff proposed in its latest report dated September 4,
which was prepared after the committee considered this question. He
asked Councilwoman Peterson if it were her intent in making her motion
that these refinements be included.
Councilwoman Pearson said this was correct.
-Mayor Sher read the four refinements; 1) The vacancy rate should be
tabulated by the staff semi-annually in April and November utilizing
the best available information, 2) Since the rate will be calculated
semi-annually rather than annually, as previously suggested, the rate
will not be adjusted between surveys on the besis of construction of
new apartment units, which had originally been proposed, 3) To provide
flexibility, it is sug.e.eted a proposed conversion project be allowed to
exceed the vacancy surplus by up to 40X, and 4) To allocate the allowable
number of conversions in a ma i ter consistent with city objectives, it is
suggested that approval of a conversion project be based on a ficding
that the anticipated tenant relocation problem will not be unusually
severe bared on teat and/or project characteristics, That would
become "the" factor, and Mayor Sher felt that was reflected in the
staff's proposed ordinance which would be influential in deciding which
of two persona bidding for the conversion would be given the favorable
consideration. The above four refinements were incorporated into
Councilwoman Peaerson's motion.
263
9/18/74
Betty MCCroskey, 4158 Oak Hill Avenue, speaking for the Midpeninsula
Council for Fair !lousing, supported the regulatory program recommended
for conversions by the city staff. The MCFA felt it was essential
for Council to take positive action to insure that displacement of
long term and low/moderate income Palo Altans not occur. Me. McCroskey
stated that the 3% vacancy rate was minimal and should be subjected
to re-evaluation when conversions are again occurring. She pointed
ote` that if the average vacac,cy rate is 3%, it can be expected to
be lower for unite where the rent is lower. In order to maintain
a mix of age, income, and life style in Palo Alto, a range of housing
choices must continue to be available. Ms. } Cros'eey presented a
letter to Council members which included comments on the ether recommenda-
tions made by the Policy andProcedures Committee.
Gerald Ferrari, 170 State Street, Los Altos, believed there were
many laudable aspects in the proposed ordinance, particularly in
the field of consumer protection; however, he wished to speak to
those aspects with which he was not In agreement. According to the
study, the primary market for condominiums is from the City of Palo
Alto; and recommendation c) encourages the construction of rental
units. Further pressure or the housing stock should be avoided,
and new condominium units should not be over -burdened with unnecessarily
high standards. It. Ferrari noted that one section of the ordinance
required a particular kind of storage area for each condominium unit,
and he did not think this should be a :,matter of legislation. ee
also was in disag:.eement with that part of the ordinance which aald
that the consumption of gas and electricity in each dwelling unit
should be separately metered, and that a water shut-off valve should
be provided for each unit. further, }s `r. Ferrari did not feel it
was necessary to have domestic appliances shock mounted under tents
of the ordinance. he referred to that part of the ordinance dealing
with financial assistance to tenants for relocation expenses, and said
he had some trouble with the concept that a legislative body was
tellis ; an individual he would have to pay a fee, not to the city,
but to a third party. Mr. Ferrari thought the main, issue was that
the 3% limitation unduly favored one class of citizen over other
classes. In the study, the staff excluded 101 Alma from consideration,
and inclusion would have changed the results. Since conversion, sixty-five
sales had occurred at 101 Alma, and two-thirds of them were made to
existing tenants. This meant that the 82% dislocation figure was
not correct. Also, Council was trying to protect low income housing,
but it was affecting luxury apartments with the same statistic.
Mr. Ferrari felt that if the 3% limitation were adopted, the ordinance
was not a regulation, but a prohibition. He did not feel it would
be able to stand as a prohibition. Mr. Ferrari said there were many
Palo Alto people who want to continue to live here under ownership
of apartment units, and it was unfair of Council to prohibit them
from doing so.
Councilman Rosenbaum asked what Hr. Ferrari meant when he said he
did not think the prohibition would stand,
Mr. Ferrari respoaded there was a distinction between regulation
and prohibition. It vas his opinion that prohibits .n comes close
to being discriminatory and violates the owners' rigs t to free choice
of the form of property be would own.
Councilman Rosenbaum asked if Mr. Ferrari had any idea why there
were not apartment owners present to speak to this issue.
Mk. Ferrari responded that he could notmower that question; but
he was interested in the condominium movement, and that was why he
was present,
r
is
2 6 4
9/18/74
0ecar N. Ehrlich, 100 Ferne Avenue, spoke in favor of the proposed
ordinance and felt it was the only way to insure the existence of
low/moderate income housing in Palo Alto. Mr. Ehrlich thought individual
gas and electric meters would be a good idea; and he noted that the
ordinance did not require that $300.00 be given to each displaced
person for moving expenses, but that requests for payment up to that
amount could be made. In his opinion, the few apartment owners who
might object to the ordinance were those who felt they could get
a lot more money selling individual apartments ehan they could by
selling a single unit.
Dan Schwartz, 401 Webster Street, said the apartment owners were
not present because they were tired of being pushed around; and they
felt they just couldnot influence the Council. He said the City put
apartment owners through the wringer on licensing, and on rent control,
and now proposed this new ordinance. Nx. Schwartz agreed with Mr>
Ferrari that Council was favoring one class over another. He said
he wanted to buy a place to live in Palo Alto, but he would not be
able to afford to do that unless he moved into a condominium. 2Wr.
Schwartz did not feel he could continue to pay rent, and he did not
want to muse to 1Kountain View or Sunnyvale. He thought that Council
was forgetting about people who were in his situation. Mr. Schwartz
said the 3% vacancy factor goes against everything that is in the
report. The report admitted there were good aspects to condominiums,
but wanted to limit them after the 3% vacancy factor: was obtained.
He did not see how staff could make that statemEnt, because they
were really calling for a prohibition. Mr. Schwartz cc'mteoted that
there had not been 3%, and there probably would not be 33% as long
as the present Council votes the way it does. With the interest
rates, with down -zoning, and with low cost mandatory housing, there
would not be any new units in Palo Alto; and there would not be less
demand. lr. Schwarz asked Council to consider a few other people
than just the tenarta.
Councilman Berwald said this was a tough question for hire because
he felt that the city was trying on the one hand to protect the tenant,
but :,n the other hand was moving quite a ways into mandating the
type of marketing procedure used in the maintenance, ownership, and
management of properties. Councilman Berwald noted that staff had
listed eight negative impacts, all of which he thought were valid.
They list three positive impacts, and he suggested there may be more.
In regard to Item 1), it increases not only the supply and variety
of ownership housing available in the community, but it increases
market choice. A fourth positive impact was that in some cases,
conversions to condominiums would increase rental units by virtue
of those people Who move out of homes into a condominium and decide
to rent their hoens. A fifth positive impact that he would add would
be the upgrading of property amenities. A more stable population
would be a sixth positive impact. Seventh would be an increase in
community pride. The eighth one would be that when improvements
were needed over the number of years that a building is being amortized,
there is more insurance that those improvements ants will be made because
insured funds would be impounded for the purpose of maintenance.
Councilaaan, Berwald felt the report would have been a little more
objective if some of the elements he mentioned could have been added.
One thing that really bothered Councilman Berwald was the validity
of using the vacancy factor as the sole controlling factor of the
condominium conversions. Theme were a numbez of other considerations
that should come into this subject, and the 3% rate would probably
for *one tine prohibit conversions. This ignores individual reasons
why, in pone cases, even though there is no vacancy rate, certain
selected apartment complexes should be converted. Councilman Berwald
asked why the factor of 3% loomed as the major one in condominium
conversions.
265
9/11/74
Councilman Clay stated that he was in favor of some sort of regulation,
but he felt the 3% vacancy rate was a bit simplistic. He thought
that such things as location,with regard to the impact on schools,
the proximity to industry and other places of work, and the density
of apartments in a specific area were all matters that should be
taken into consideration. Also, larger units were less desirable
for conversion because of the original d=esign, and the impact on
the housing market was greater. Councilman Clay said the 32 factor
meant there could be a significant increase in the number of rental
units; but as long as they were occupied, there could be no further
conversion of apartments to condominiums, and this could lead to
an unbalanced community. With regard to the variance that had been
discussed, Councilman Clay said that as applicant whose apartments
had a 3.252 vacancy rate would receive a different response from
an applicant who claimed a 2.8% vacancy rate. To him, the 32 vacancy
rate just died not get at the problem that Council was trying to solve;
and he would not support the motion.
Councilman Rosenbaum asked the City Attorney if, with no moratorium,
the Council could decide to turn dowry a conversion subdivision.
Mr. Booth responded that once the moratorium expires, the Council
could not turn down a conversion subdivision if the application complied
with all the municipal ordinances.
Councilman Rosenbaum said that with regard to deciding which of two
or :ore applicants would be allowed to do a conversion, he understood
the city sae free to turn down a subdivision even .if there were a
3% vacancy. He asked of Mr. Booth would agree with that since the
ordinance states that it is the city's desire to preserve low/moderate
income housing and to not displace people.
sir. Booth replied that staff had built in some standards by which
Council, acting on Planning Commission recommendations, might deny
a conversion even when the vacancy rate is more than 3%,
Councilman Rosenbaum asked if It. Booth were saying that would be
defensible,
W. Booth responded affirmatively.
Councilman Roaenbaam stated that if any apartment unit were proposed
for converaiona Council could expect the tenants to appear to protest
being displace} and he thought Council would then turn down that
conversion. Ile asked It. Booth if he were saying that the city was
willing to go along with that viewpoint, and that it was legally
defensible.
Mr. Booth responded affirmatively. 1e said there were cases pending
on similar grounds in the appellate courts now, ` and there would be
some clarification within a year or so. At the present time, Ifr.
Booth felt there was enough flexibility within the Subdivision Map
Act itself that such a 'regulation would be defensible so long as
the requisite facts are established by the Planning Commission and
City Council in the action they take.
Councilman osenbaaum asked for a response to the idea of allowing
individual apartments in a complex to be converted. He explained
that if there were 4 vacant apartment, Council woul.i probably be
indifferent as to -whether it bec.me occupied by a renter or by someone
mho chose to buy it.
266
9/18/74
Mr. Booth said that no apartment could be sold without going through
the requirements of the Department of Real Estate in California and
the subdivision procedures that the city and the state have established.
Councilman Rosenbaum asked if such an approach would require new
state legislation.
Mr. Booth replied that it could be worked into the ordinance, but
the process would probably prove to be hard to administer.
Mr. Knox commented that if you were going to sell the air space for
that one unit, he thought there would be some problem in how you
work out dividing the interest in the remaining structure and the
grounds.
Councilman Rosenbaum said Council's basic motivation was that it did
not want to drive people out into the street, and hie question really
was whether this could be prevented from happening without necessarily
preventing the conversion of vacant units. He wondered about the
idea of allowing conversion provided the present tenants were permitted
to stay as long as they chose.
P'x. Booth said this approach had a lot of appeal, and it had been
considered by the staff. The Berkeley Rent Control Case provided
one court decision in California to the effect that eviction control
is strictly a matter for the state, and not subject to local regulations.
That case is before the Court of Appeals .and could conceivably be
reversed on that issue, or some of the others, such as rent control.
In that situation, such an approach would be defensible; but at this
time lir. Booms could not recommend it on the basis of the Alameda
County Rent Control Case.
Councilman Rosenbaum asked Mr. Booth if he were saying that Council..
could not legally prevent the owner of apartments who was selling
off the unit; from evicting the tenants.
:►ir. Booth responded this was his legal opinion.
Councilman Rosenbaum stated that given the circumstances, he was
willing to go along with this ordinance. It does offer protection
to the tenants; and he thought if other approaches to the sale of
units were going to be developed, the apartment owners would simply
have to come up with those that do not involve putting :people out
on the street.
Couaci.lan Beahrs stated that the 32 vacancy rate was rather arbitrary.
Ira earlier, somewhat equivalent actions, Council has provided for
review in hardship situations. He did not see that this was povided
for, ,,r even whether it could be. Councilman Beahrs said that if
the tenants in an apartment house were congenial, and decided they
wanted to buy their apartments, they would not be able to request
conversion to condominiums under this ordinance.
Councilman Comstock, responding to a comment by hr. Schwarz, recalled
that Council did not initiate the rent control issue. That was initiated
in the community, and Council had no choice but to place it on the
ballot. The main point is the 32 vacancy rate, end Councilman Comstock
said it was important to remember there was a housing shortage in
Palo Alto of every kind. It was not just a question of people who
want to rent property wanting more rental units, or of people who
vented to buy property for ownership advantages. Councilman Comstock
noted the high demand for housing in Palo Alto; and as a result,
there is not only a low vacancy rats in rental units, but also in
ownership units. As people come into the community and seek housing,
2 b 7
9/18/74
their individual financial situation wakes one or the other form
of housing attractive to them. Indeed, after people move into the
community, their financial circumstances may change; and they may
find another form of housing attractive to them. Because of the
high demand, housing conatructiop is going on in both areas. Individual
homes, apartments, and condominiums are all being built; and people
are moving into they►. One way that people in real estate find they
are able to meet a market demand that is hard to meet with the construc-
tion of individual homes, is to build new condominiums or to generate
condominiuzaa for sale neut of exissipg rental stock. Councilman Comstock
pointed out that none of this activity has abated the demand for.
housing. The city is interested in facilitating the construction
of rental housing in .lower income ranges, and some of that construction
is now going on. There had been a suggestion that the 3% rate should
be changed to somas other figure; but clearly, if the vacancy rate
were something like 10%, it would be an even more distant time before
the vaa,`cancy rate would fall toi that point. At that number or some
greater number, the pressures that are now present would probably
be relieved both in the demand for market housing and for rentals.
The need for legislation such as this which provides protection would
no longer exist. On the other hand, if you go to zero percent; you,
in effect, would createan impossible situation. As a matter of
practicality, one cannot get to a zero vacancy rate on a sustained
basis. The 3% figure comes from studies done by the city staff and
reviews by city com,itteeo; and it represents what appears to be,
at least to this point, a reasonable compromise between those two
points. Counc-loran Comstock did not feel the 3% figure strongly
militates in favor of tenants or owners. People who move into condominiums
move out of other houses in the community. They may rent their houses
or they may sell there; but ifa any event, unless they all move from
the community into condominiums, and all rent their houses, the supply
of rental housing is net maintained, but decreases. Councilman Comstock
said this wee an added complexity that Council could not deal with;
but it could deal with the situation where an existing piece of rental
stock is fazed with the likelihood of being changed to non -rental
stock. The task of Council is to either say that is not important
and so do nothing, or to attempt to grapple with it as best it can.
Councilman Comstock said a lot of work had been done on this problem;
and in his opinion, there was now a series of recommendations that
provides positive protection features. He stated his support for
the 3% vacancy rate, and he hoped most of his colleagues would.
At the sane time, he hoped Council would agree that this rate and
this ordinance when put into practice would improve knowledge and.
understanding of the issue; and Council would retain the ability
to co tinu.; to examine it and aake further judgments upon it if necessary.
Vice Meyer Henderson added that the 3% vacancy factor had some basis
for support; namely, the HUD regulations that had been based on some
experience factors. Ile had not heard any other suggestions that
could be applied across-the-board equitably for all property owners.
With regard to Councilman Berwald's comments on positive and negative
impacts of condominiums, Vice Mayor Henderson said he would add as
a negative impact the deterioration of condominiums because of inexperienced
management after conversions take place. He was concerned about
the third benefit regarding the increased turnover among single family
homes io Palo Alto, which results in a large school age population
in those units. Councilwoman Pearson had mentioned the prohibitive
cost of those houses which prevented young families from buying theca,
and Councilman 8ervaald said that many people may desire to retain
those as rental units. In Vice Mayor Henderson's opinion, the statistics
did aot seam to beam out the positive impact as listed in Humor 3. The
report states that 432 of the people moving into converted condominiums
were prior residents of Palo Alto. Fifty-one percent of these people
2:6,8
9/18`/74
were owners of prior places of residence. Therefore, only 222 of
the people moving into condominiums were former home owners in Palo
Alto; and of that 22%, there are no statistics on the size of the
home® being vacated. There appears to be a rather insignificant
potential increase in families with school children, and it appears
that the number of families that are going to be forced out of apart-
ments upon conversion may be larger than the number of families moving
into homes that are being offered for sale because the owners are
moving into condominiums. Because of these facts, Vice Mayor Henderson
could see no basis for benef i t number three.
Mayor Sher clarified that the Condominium Conversion Study had been
carried out by the Planning Depert c, not the Planning Commission,
which had been referred to a few times. to reference to some of
Mi. Ferrari's remarks, Mayor Sher said that it may be true that some
of the units at 101 Alma had been sold to previous tenants; but a
great percentage of the tenants cane to Council to protest the conversion
and ask that it be prevented. Council'had no power to prevent it
at the time; and many of the tenants bought simply because they did
not want to move out, and they knew it was costing them more to be
owners. Some of those people had to struggle to be .able to manage
to purchase a unit, and some of the other tenants simply were not
able to do so. Another citizen had suggested that the Council would
be cutting off cendoiiniums in Palo Alto, when this part of the proposal
had nothing to do with new condominiums. Mayor Sher pointed out
that every month Council saw applications for condominiums. That
see_mPd to be the kind of unit for which there is a market, and for
which the new developments are aimed. This relates to preserving
another kind of housing in the city, the rental units. Miayor Sher
felt that everyone recognized that the 3% figure was an experimental
one, and it would certainly be subject to review.
AMENDMENT: Councilman Bereald mowed, seconded by Ctay, that the
following wording be added to 21.33.010, the second paragraph of
(c): "Provided, however, that conversions from rentel apartments
to community houeiag shall be allowed, equal ie. number to the increase
in the gross number of apartment rental units in Palo Alto from the
effective date of this ordinance".
The amendment passed on the following vote:
AYES: !Mehra, Barvald, Clay, Sher,
Norton
NOES: Comstock, Hemder.e , Pearson,
,Rosenbaum - ` '
AMENDMENT: Councilmen Berwald moved, e&conded by Y.hrs, that the
following wordini be added after the above amendment: "Further,
that in any one apartment unit where two-thirds of the renters indicate
their desire to convert to community housing that notwithstanding the
previous provisions of this ordin4ace, the application permit may be
accepted and filed".
Vice Mayor Henderson expressed a concern about possible coercion
of renters. It seemed to him that the over of an apartment complex
could possibly put pressures on people to force this kind of a vote.
r
Councilwoman Pearson said she vas very uneasy about the amendment
that passed and also about this proposed amendment. With these Iwo
ants, she felt the 32 factor would become totally ineffective.
Steil would have to look at all three of these con.sideratiorxs and
decide tether or not to issue permits, r_nd ebe asked for response
from staff.
259
9/18/74
Mr. Cohen agreed with Vice Mayor Henderson that the latter proposed
amendment could mean that a landlord would select his tenants one
way or another in order to accomplish his objective of converting.
He said this particular provision is in the New York City ordinance
at the present time; however, rent control is also in effect to provide
some protection to the tenants. Staff's recommendation would be
to not allow this to happen in the absence of rent control or other
devices that could be used to protect tenants. Mt. Cohen stated support
of the amendment that had been passed.
Councilman Beahrs thought that Council was somewhat unduly concerned
about the fact that tenants are forever in opposition to the idea
of owning propeity.' He felt that more and mere people who could
possibly manage it would be investing in hauaing. If a group of
tenants wanted to make a satisfactory deal with its landlord, then
Councilman Beahrs could not see denying therm that right.
Councilman Comstock commented that Councils Bervald mentioned that
if the tenants by some majority vote indicated they were in favor
of this, then the matter would come before Council. He asked if
that were in fact the case. If the tenants indicated a desire for
conversion, and the property owner net all of the other requirements
of the ordinance, would the matter still cow before Council.
Mr. Booth responded affirmatively, saying that the approval of any
subdivision does have to come before Council for approval.
Councilman Comstock asked if such a matter cam to Council after
having met ell the requirements of this proposed ordinance and subdivision
laws, would the Council have any valid basis for denying an application.
Han. Booth said that was a little bit difficult to predict, but the
flexibility i,3 there so that when an adequate case is made to support
the denial the application can be turned down.
Councilman Comstock said it seemed to hire, that what was really happening
was an alternative sat of standards was being made. He really preferred
that the matter be dealt with as an amendment to the requirement
and day that if this proposed amendment were passed, the requirements
were being modified in that way. Councilman Comstock did not think
Council had much recourse in turning down one of the applications
unless the developer had done a poor job in meeting some of the requirements.
Councilman Berwali asked if Councilman Comstock were saying that
the proposed amendment really should not be part of the ordinance.
Councilman Comstock responded that Councilman Bervald had said in
his comments that applications would come before Council; and he
was saying that although that might be true procedurally, in fact,
it Council approves the emend ent, it sin smother option that can
be exercised when the vacancy rate is 3% or leans.
Councilman Berwald understood that Section 21.33.010 stated that
":unless there was a vacancy surplus...etc., no application for approval
of a tentative parcel map shall be filed". He said his amendment
would provide an exception to that. He said his intention was rot
that the landlord have a popularity vote, but that the a jority of
the people in that rental unit are seriously interested in owning
the property.
Councilman Ro+eenbaum asked Mr. Cohen if New York City permitted conversion
upon application of a majority of the tenants.
270
9/18/74
Mr. Cohen responded that in New York City, forty percent of the tenants
must approve of the conversion before it is allowed, pit. Cohen did
not think this particular provision would have been included in the
ordinance if there had not been rent control.
Councilman Clay asked if it were true that in New York City if forty
percent of the tenants who occupy a building petition for conversion,
then it would be permitted.
Mx. Cohen said his understanding of that ordinance was that once
a developer applies fora conversion, he must document the fact that
forty percent of the tenants are in favor of the conversion. The
landlord notifies the tenants of his desire to convert; therefore,
the tenants are not initiating a conversion, but are responding to
an application to convert.
Councilman Beahrs pointed out that rent control had been argued out
in Palo Alto, and the public turned it down. It was his recollection
that although rent control existed in New York, it was notorious
for its ineffectiveness.
Mr. Knox stated that the motion on the floor raises the possibility
of the owner in some way coercing tenants into saying they are in
favor of the conversion. One of the possible methods of coercion
is to raise the rent if a tenant did not cooperate, and another possible
method would be eviction, These are the things that were really
concerning the staff. Mr. Cohen had been explaining that Palo Alto
did not have rent control which would prevent using that avenue of
coercion.
The aav ndment passed on the following vote:
AYES: Beahrs, Berwaeld, Clay,
Norton, Rosenbaum
NOES: : Comstock, Henderson,
Pearson, Shen
Councilwoman Pearson said enough had been done now to ruder the
3% vacancy rate ineffective. Uhen you say that ten rental units
can bebuilt in Palo Alto, then someone can convert a ten unit rental
apartment to a condominium, you are forgetting that the ten rental
units that were built would be immediately occupied. The vacancy
factor of 32 would remain the sass, and the ten tenants in the building
to be converted will be forced out.' This is the sane group of people
that the city was trying to protect, and they are not getting any
protection et all. In the conversion of apartments to condominiums,
people really did feel coerced into purchasing because they had no
place else to go; and they paid more than.they felt they could afford.
At least rant control in New York, though it seemed odious to some
people, was protecting the citizens from just what was being done
here.
The main motion as mended to include the 3% vacancy rate passed
on the following vote:
AYES: Beaters, Berwaald, Comstock,
Henderson, Pearson, Sher,
Rosenbaum
NOES Clay, Norton
(Item continued to Page 274)
2 7 1
9/18/74
1
R
Request to Consider as Emergency
Ltems Agenda Items 2 through 6
Qf the September 18, 1974_ Agenda
MOTION: Councilman Comstock moved, seconded by Pearsoo, that Items
2, 3, 4, 5, and 6 concerning the retirement of certain city employees
be moved up from the September 18, 1974 agenda for consideration
at this time.
The motion passed on a unanimous vote.
Retirement of Mi.ldreed Dabnez (CMR:497:4)
Mr. Walker stated that Miss Dabney had been in the city's library
system for thirty-four years, the lest fifteen of which she spent
as Supervisor at the Main Library, The new downtown library was
opened in 1971, and Mr. Walker thought it had one of the most varied
programs of any of the branch libraries; and Miss Dabney is the head
of it. The downtown library meets the needs of a variety of people
from senior citizens to young people, and it has a large number of
community groups who meet there almost daily. The library reflects
Miss Dabney's warm, personable, and friendly manner; and she has
made a great number of personal contributions to the library including
bringing flowers from her home and homemade cookies. Many of the
patrons know her very well 4nd confide in her, and she will be very
much missed,
1 7TION: Councilwoman Pearson introduced the following resolution
and uo';r :ci, seconded by Comstock, ita adoption:
RESOLUTION NO. 5000 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
EXPRESSING APPRECIATION TO MILDRED DABNEY
1TPON HER RETIRE °T`°
The resolution was adopted on a unanimous vote.
Mayor Sher presented Miss Dabney with a plaque of appreciation and
a copy of the resolution.
ties t of Rarold Gibe4u ( iR:495:4)
MOTION: Mayor Sher introduced the following resolution and moved,
seconded by Eerwald, its adoption:
RESOLUTION NO. 5001 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
EXPRESSING APPRECIATION TO HAROLD GIBEAU
UPON HIS RETIREMENT"
The resolution was adopted on a unanimous vote.
tir>� t of Earl,.J8 on (CMR:494:4)
MOTION: Mayor Sher Lntroduced the following resolution and moved,
seconded by Comstock, its adoption:
RESOLUTION NO. 5002 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
EXPRESSING APPRECIATION TO EARL JACKSON
UPON HIS S RE7: IRO"
272
9/18/74
The resolution was adopted on a unanimous vote.
Retirement of Richard Le Reynolds (CMA:462:4)
Police Chief Zurcher stated that he was grateful for the opportunity
to publicly recognize Richard Reynolds who had given fifteen years
of service to our comunity. Mr. Reynolds had spent most of his time
in the department as a street police officer on foot, in patrol cars,
and on motorcycles, where the real :pork of the department is accomplished.
Throughout his career, }r. Reynolds had always maintained a healthy
attitude towards people; and his file is replete with letters of
commendation from citiren.s. Chief Zurcher recognized Mr. Reynolds'
wife, Mary Ana, and thanked her for sharing her husband on Saturdays,
Sundays and holidays.
MOTION: Councilman Beahrs introduced the following resolution and moved,
seconded by Comstock, its adoption:
RESOLUTION NO. 5003 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
EXPRESSING APPRECIATION TO RICHARD L.
REYNOLDS UPON HIS RETIREMENT"
The resolution was adopted on a unanimous vote,
Mayor Sher presented .s:. Reynolds with a plaque of appreciation and
a copy of the resolution.
$�Lires nt of Ralph Sc xagt (C R:496:4)
Allan Longacre, Director of Arcs, said that Mr. Schram was retiring
after twenty-three years ofservice as Director of the Palo .Alto
Community Theater. He said it was impo.+sible to estimate the number
of audience members, theater participants, students, or community
groups who had benefited from Ralph's talents, knowledge, and skills
as a theater director, a performing arts coordinator, and administrator.
Anyone aware of the arts in Palo Alto knows of Mr. Schram's contribution
to drama and the quality productions that have been presented during
his career, but he had grade very important contributions in other
areas of the arts. For instance, Mir. Schram played an important
keys role in the development of the Council for the Arts in Palo Alto;
and he served as a member of that organization for several years.
When the theater was under the Recreation Department, Mr. Schram
led in the development of the city's adult activities and visual
arts programing, arta festivals, and music and dance programs.
under the Arta Department, he continued in these areas by supervising
the expansion of the sic program to the level that it has achieved
today; and he has been instrumental in establishing the need to raise
dance to the level of iwportanca it deserves in our arts programs
3 Longacre stated that any recognition of Mr. Schram's contribution
would be incooplete without acknowledging the valuable contribution
made by his wife, Thelma. Mrs. Schram is the most constant and dedicated
volunteer iri any of Palo Alto's programs. In the last twenty-three
years, Mrs. Schram hers worked to benefit the theater in every possible
aspect. During retirement, the Schramm plan to travel, see theater
plays they have not -hand time to see during the past years, and shale
their experiences by writing. Mr. Schram plans to do some writing
in the theater arts subject. As au example of the esteem his friends
and the Community Players have for him, a plaque vill soon be amounted
at the entry of the Community Theater recognizing the contribution
over the past forty years that two directors have wade - Ralph Emerson
Wells and Ralph Leroy Schram.
2 7 3
9/18/74
Councilman Rosenbaum said that some years ago he had the opportunity
to observe the high standards and the pursuit of excellence that
Mt. Schram has always sought for the theater, when he and his wife
served in the background chorus for John Brown's Body. This was
quite an amateur group, but in the end produced something far beyond
what they thought they might be able to do; and he hoped the result
did not too badly frustrate 4r. Schram's desire for high quality
in all his productions. Councilman Rosenbaum said he always valued
that experience, and he added his personal thanks.
MOTION: Councilmen Rosenbaum introduced the following resolution
and moved, seconded by Beahrs, its adoption:
RESOLUTION NO. 5004 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
EXPRESSING APPRECIATION TO RALPH SCHRA4
UPON HIS RETIREMENT"
The resolution waa adopted oa a unanimous vote.
Councilman Cosscstoek added that he had the extra good fortune to be
a near neighbor of the Schramm so the he would have the benefit
of them whether they retired or not. He said they are not only delight-
ful theater peoples but they are delightful neighbors, too. Councilman
Comstock stated that Ralph Schram made better actors and people out
of all those persons who came under his influence,
.Mayor Sher presented Mr. Schram with a plaque of appreciation and
a copy of the resolution.
Condoninium Conversion Study. (continued from Page 271)
Councilwoman Pearson did not feel that b) under Item 17 required
any action. The Committee simply asked that consideration be deferred
regarding this recorreendation that would require that any conversions
or new condominiums have twenty to forty percent low/moderate income
housing.
Councilwoman Pearson stated that c) under Item 17 was a policy statement
that new rental units be encouraged. The committee approved the
policy, and staff noted there was no immediate action. She suggested
that this alight be forwarded to the Planning Commission to be considered
in the Comprehensive Plan atudy, and no action was required.
Councilwomen Pearson noted that d) under Item 17 was buyer protection
measures for conversions, new condominiums, and all condominiums. -
The committee recommended that Council adopt the ordinance, and they
approved all of the staff's recommendations except that they asked
the one hour fire vall be changed to "fire separation". The Policy
and Procedures Committee also added under h) that all condominiums
notify buyers of possible increases in taxes and association fees.
In conversions, for instance, people buy an apartment not realizing
that as soon as the tax assessor fiada out that it has become a unit
unto itself, he increases the assessed value; and the taxes go up.
They buyer is often not aware of that until his tax bill appears.
Another point is that the people who purchase condominiums do not
realize that there will be fees for the maintenance of the property
and sinking frad; for major repairs such as new roofs, et`. The
committee felt that the buyers should be notified in writing of these
possible expenses. Staff recommended that be omitted since the state
required that when a person files for condominium or conversion,
he has to file a paper with the state; and the state requires that
all of these things be stated. The committee felt the facts should
2 1 4
9/18/74
be stated in more clear terms. With regard to number 4), the hose
owner being allowed to terminate management selected by the developer
on three months' notice, the committee agreed with that; but when
staff looked the report over, they decided it should be three months
after the takeover. This was somewhat different, and Councilwoman
Pearson agreed with that. Concerning number 5), the committee recormended
that staff develop a prig for buyers which would include all the
things that you see in the report, plus the association fees and
taxes, Councilwoman Pearson hoped that it would ' be a requirement
that the primer be distributed to any potential buyers after it is
developed by the city. She felt strongly that there should be separate
gas and electric meters and the chock mounting of equipment. The
committee wanted these in both conversions and new condominiums,
and that is in the committee's recommendations. Councilwoman Pearson
was suggesting that Council not go along with staff on this one because
it seemed absolutely essential to her that there be separate gas
and electric meters The shock mounting of equipment was necessary
from the noise standpoint, because potential buyers are not always
aware of the noise possibilities; and she sngggeated that requirement
be kept.
Mayor Sher said he understood that the only one staff change that
Councilwoman Pearson would agree with was under 0, 4), which was
the tip within whiei the home owners would be allowed to terminate.
MOTION: Courtei1wotian Pearson moved, seconded by Comstock, that home
owners be allowed to terminate management selected by the deae'.oper,
three months after the takeover.
The motion passed on a unanimous vote.
Vice Mayor Henderson wanted to clarify that there still was the difference
between new condominiums and conversions in that the new ones reset
meet the Building Code, and conversions must meet the Housing Code.
Mayor ;.Mier asked if the questtou about what standards the conversions
would have to live up to had been addressed.
Mr. Cohen responded that the committee supported compliance with
the Mousing Code only with regard to conversions.
Vice Mayer Henderson said he wanted to point that out because it
was a sigoificauat difference.
MOTION: Vice Mayor Henderson moved, seconded by Pearson, that number
5) have the following added: "such pricers should include a complete
check -off list of requirements related to conversion and other information
that should be known by prospective buyers, and the primers should
be distributed to all prospective condosxtniue buyers by the developer".
Councilman Berweld said he could not see why a paragraph could not
be addel in the ordinance to say the: these requirements shall be
cleerly stated to prospective buyers and shall be given to them in
writing by the developer. He preferred that the city not get involved
in printing a primer.
Vice Mayor Henderson said he vented to go beyond just the legal require-
ments, and he thought there was a lot of information that people
needed to know about condominium*. In his opinion, the way to go
about this was by printing a booklet.
Councilman Berweld felt that if the booklet were to include something
not part of the law, then it should not be put out by the government.
-IPovern ent should not begin to casks comparisons of advantages and
disadvantages because it would not be objective.
e
275
9/18/74
Mayor Sher said he understood the primer idea to be something that
the staff would prepare, and it would discuss those things which
would give potential buyers of condominium units a basis on which
to make their decision. Mayor Sher asked Mr. Cohen about the cost
of the primers since the city would be printing them to make them
available to developers.
Mr. Cohen commented there were two main aspects. One of these was
things to be on the lookout for during the process of conversion
but prior to purchase, and the second would be guidelines to home
owners once they have bought a unit. Staff had originally had in
mind only the latter aspect. To provide full disclosure of facts
to a prospective buyer, staff recommended some other documents; and
these would include a property report in the case of a conversion,
a final building inspection as to how the project complies with the
development standards that have been proposed, and a preliminary
operating budget containing a sinking fund. Such documents would
be on file as public records in the city. The property report, as
well as the preliminary budget, would have to be given to any prospective
buyer prior to his entering into any sales contracts Ma. Cohen felt
that in these ways, staff had covered the matter of full disclosure
by the developer. He recommended that the primer focus on the problems
of management during the course of the operation of the project.
'ice Mayor Henderson stated that Mr. Cohen's ideas were fine, but
they did involve reading some rather elaborate legal -type documents.
He wanted to see a simple check -off list that would cover every item
of interest to the prospective buyer such as whether or not he had
been quoted the proper figure for taxes and maintenance, and other
such things that would go beyond legal requirements.
Mr. Cohen responded that the public report required by the state
contains this type of information, and he said it was a two page
document written in clear and simple. language. In his opinion, it
fulfilled the purpoaee Vice Mayor Henderson was concerned about.
Councilwomen Pearson said she was supporting this because she felt
the same way that Vice )ayor Henderson did, and the committee supported
it also. In reading the Alameda Report, one could see that those
who were going to purchase condominiums were ignorant of what was
going to happen. For instance, they did not realize that upon moving
into a conversion, they were going to experience noise problems that
they had never envisioned. Also, they did not realize they would
have to bear a big inc•ceaae in taxes. Councilwoman Pearson felt confident
that the city could do a really good job in putting out a booklet
that would be comprehensive about this matter.
Councilman Comstock said he understood the committee's recommendation
was not something that would necessarily be included in the ordinance.
Ultimately, it was something that Council would direct staff to prepare
in some form; and Councilman Comstock was prepared to have the matter
referred to staff.
Mayor Sher responded that, in effect, the committee recommendation
is that the matter be referred to staff.
The motion passed on the following vote:
AYES: Comstock., Beahrs, Henderson,
Pearson, Rosenbaum
NOES: Serwald, Clay, Morton, Sher
Mayor Sher poted that staff had suggested adding 1 d), a property
report by the developer, which the committee did not include; and
it wanted to postpone the question of the open space element in new
condominiums because it seeded study, but the committee had included
it. With regard to the fire wall, the committee recommended the
separation; and staff recommended omitting that because it was. already
required. Mayor Sher asked Mr. Cohen S.f he would like to make comments
on these or any other items.
Mr. Cohen responded there was nothing involved that was really critical.
The rationale for the staff changing its position was that in continuing
to think over the matter, they decided they would want to apply only
those standards relating to health and safety, hazardous conditions,
and obsolescence ;.o conversions, but not deal in the area of amenities.
Mr. Cohen commented that compliance with the provisions in conversions
is practical and reasonable except for the water shut-off valve for
every individual unit. He explained that in certain types of constriction,
that would be a very impractical requirement; and staff recommended
that a water shut-off valve be required only when practical to install
as determined by the building official. Hr. Cohen said his understanding
was that the open space standards were not to be included in this
ordinance, and they had recommended further study of this problem.
He thought the committee was willing to go along with a time extension
on this particular subject.
Councilwoman Pearson stated that the committee had agreed on the
open space problem, and it should say "needs study" under the co=mittee
recommendation. Councilwoman Pearson said that as far as conversions
were- concerned, it would be better to say "when practical" in regard
to separate gas and electric meters and separate water shut-off ealvee;
however, she still felt strongly about the shock mounting of equipment.
MOTION: Councilwoman Pearson moved, seconded by Rosenbaum, that Council
accept the staff recommendation to add "when practical" with regard
to gas and electrical meters and water shut-off valves.
Vice Mayor Henderson was concerned because if one unit were having
a problem, the entire building would have to be shut off to take
care of it.
Mr. Cohen commented that the matter became impractical if there were
no feeder pipes directly into the units because that was when the
subject became an expensive one.
Councilwoman Pearson agreed. She said that in the case of old buildings,
it could be impractical to have separate meters and shut-off valves;
but if it is at all possible, then it should be done.
The motion passed on the following vote:
AYES: gerwald, Henderson, Pearson,
Rosenbaum, Sher
NOES: beahrs, Clay, Comstock
(Norton out)
Councilman Clay asked if the storage space was supposed to be outside.
Mx. Cohan said the apace could be provided outside or inside the
unit; however, it must be over and above storage that is ordinarily
provided for the daily functioning of the wait.
2 7 7
9/18/74
Councilman Clay asked if something like a loft would be acceptable.
Mr. Cohen responded that it would be acceptable, but staff had been
envisioning this kind of space in an outdoor parking area, for example,
that could be locked so that it would not be accessible to people
who were not residents of the building.
Councilman Clay asked if storage space on the inside would qualify.
Mr. Cohen replied that the storage space could be inside the unit,
but it had to be in addition to the usual closets, cabinets, etc;
and this would be determined by the building official,
Mr. Knox added that staff was talking about a space that is 5' x 5' x 8'.
The idea was that staff did not want someone to be able to say there
was a 5' x 5' x 8' space in the matter bedroom which qualifies as
storage when, in fact? that might be a walk-in closet which is also
needed. The space was meant to be that kind that one finds in an
ownership unit either in a carport or a rear yard..
The amendment passed on a unanimous vote.
Councilwoman Pearson speaking with regard to tenant features, said the
committee had suggested that tenants be notified as soon as practical
following filing of application. Staff had recommended that the
words "prior to application" be used, and the committee agreed that
those words would be batter. With regard to developer cooperation
on 90 -day extensions after lease expiration, the committee asked staff
to consider that further. They had done this, and it was recommended
that the developer do cooperate. Councilwoman Pearson wanted to
include that as an advisory recommendation. The third recczmnendation
is to provide relocation assistance for incurred expenses up to $200,00;
but this was deferred, staff researched it, and they recommended
that the sum be up to $300.00. The state and the city had adopted
$300.00, and this would now be a requirement. Number 4) was to work
with the developer to stay the ev.ction date to allow the completion
of school semesters, and the committee approved of that. This was
also an advisory recommendation, and it would not be in the ordinance.
The fifth one WAS to offer the tenants first refusal for a minimum
of ninety days, and the committee approved that as a requirement
in the ordinance. The last one was that staff recommended that the
tenant be able to terminate his lease without a penalty, and Councilwoman
Pearson wanted that amendment included.
MOTION: Councilwoman Pearson moved, seconded by Henderson, that
the above recommendations re tenant features be approved.
Councilman geshre was concerned about how enforceable such a stipulation
as $300.00 might be for expenses incurred in moving. He thought
it was confiscatory to ?:ell a landlord that he had to pay for someone
else's move by, perhaps, the most expensive method that could be
found. Councilman Beahrs asked if this matter could be voted on
separately.
Mayor Sher cemented that the committee recommendation to defer consider-
ation was based on the fact that the problem was being discussed
in coomittee with regard to Fire Zone 1.
Mr. Cohere reported that he had determined there v&s no further staff
report pending on this matter, and the Finance and Public Works Committee
was deferring to the Policy and Procedures Committee. Properly,
this matter is now before the Council.
276
9/16/74
Mayor Sher asked what had happened in regard to relocation assistance
in 'connection with Fire Zone I.
Mr. Cohen said that staff proposed to the Finance and Public Works
Committee that certain provisions of the adopted relocation program
in Palo Alto applying to condemnation proceedings be applied to Code
enforcement matters. One level would be in Fire .Zone I where there
was Code enforcement, and a tenant had to be evicted because of it;
and another level would be when there was a subsequent rent increase
following rehabilitation of a unit in Fire Zone 1. Mr. Cohen's under
standing was that this was not resolved by the Finance and Public
Works Comciteee because the members thought it was a -matter that
should be properly before the Policy and Procedures Committee.
Mayor Sher pointed out then that the matter had never bean discussed
in committee. The Policy and Procedures Committee did not take '
it into consideration because the members thought the matter was
before another committee. He thought this matter needed to be discussed
in a committee.
Vice Mayor Henderson commented there was nothing in she Finance and
Public Works Committee on this subject, and it was not considered
when the mandatory aspects of Fire Zone I rehabilitation lost out,
Under voluntary rehabilitation, it never came up as a subject. One
day soon, Council would have before it the rehabilitation surrey
program. The committee did discuss at great length the $300.00 in
xlation to public displacement.
AMENDMENT: Councilwoman Pearson moved, seconded by Sher, that (e)
3) be referred to the Policy and Procedures Committee.
The amendment to refer that section passed on the following vote:
AYES: Seahra, Tier a1d, Clay, Norton,
Henderson, Pearson, Rosenbaum,
Steer
NOES: Comstock
The main motion concerning recommendations 1), 2), and 4) paesed on
a unanimous vote.
MOTION: Councilwoman Pearson introduced the following ordinance
and moved, seconded by Berwald, that it be approved as amended for
first reading:
ORDINANCE OF THE COUNCIL OF THE CITY OF
PALO ALTO ADDING DER 16.38 AND CHAPTER
21.33 TO THE PALO ALTO MUNICIPAL CODE
RELATING TO COMMUNITY HOUSING, INCLUDING
CONDOMINIUMS, COMMUNITY APARTMENTS, STOCK
COOPERATIVES, AND PLANNED DEVELOPMENTS
The ordinance, as amended, was approved for first reading on a unanimous
vote.
(Councilman Norton left and did not return.)
ittuat_ of Councilmen Comstock
Re Prezoaing for me ration
�►rron Park
2 7 9
9/18/74
Councilman Comstock said that since August 19 when he requested this
item be continued, a number of meetings had been held between city
staff and representatives of the Barron Park Association. He said
that at the time he first brought this matter up, it seemed to him
that the beat way to deal with prezoning and clear the air for further
consideration of annexation would be to have a Planning Commission
hearing on it. The meetings between staff and the Association had
developed the information that if the Council takes no action in
the nature of prezoning action, it would automatically transpire
that the annexation would occur with au R -1 zoning throughout. It
needed to be clear to the residents before voting for _annexation
how the Council felt about zoning in the area, end whether prezoning
was the way to go about it. Councilman Comstock felt the residents
needed an indication that Council is satisfied that the normal annexation
procedure which brings the area in es an'R-1 zone is also satisfactory
to the residents, and it seemed to hire that was clearly in the record.
His view was that the residents' greatest concern was the El Camino
strip, and whether or not Council is predisposed to zone that for
a fairly intense ese. If Council were predisposed in that direction,
then it owed the residents an answer to that question before they
voted on annexation. For these reasons, Councilman Comstock said he
wculd not propose a referral to the Planning Commission on this item;
but he wanted the record to indicate his understanding of the matter.
However, he did think it important that staff comment that this was
also their t nderstanding.
George Sipe?, City Manager, reported that staff members had a number
of meetings with the Barron Park Association; and generally speaking,
it was staff's concensus that the initiativ=e for further annexation
proceedings rests with the residents of the Barron Park area. It
was his understanding that they fully intend to proceed in the near
future with the lengthy process that needs to be undertaken. Mr.
Sipel said the initial step would he to present an informal petition
to the City Council, then LAcC0 approval is needed, and after that
the matter would go before the Planning Commission for conformance
with the Comprehensive Plan. Land use and zoning is the major issue.
Staff felt that issue could be better dealt with later on in the
process, and at this time no prezoning should be initiated. There
are other alternatives that should be considered in his opinion,
and in the opinion of the people in the area. Mr. Sipel concurred
with Councilman Comstock that at this point a referral would not be
appropriate. In due course, the matter will go to the Planning Commission;
and eventually, the question of zoning will have to be grappled with.
Richard Placone, speaking for the Barrou Park Association, agreed with what
Councilman C tock and Mr. Sipel had said. The Association had a
tentative schedule of proceeding for the whole matter of annexation;
and if it proceeded without interruption, there would be a settlement
of the question by the voters in the area sometime in the late spring
or early summer. Mr. Placone said the Association had agreed that
the prezoning study they originally talked about might not be necessary.
If the are& would come in under the ordinary R-1 zoning, they would
go along with that for nor. As the whole process progresses, questions
may be raised such as the zoning for El Camino. Mr. Placone stated that
at this time the Association would like to see staff move ahead with
other kinds of things such ma street improvements.
Mayor Sher said he would feel more comfortable if Mx. Placone agreed
that the correct word instead of "agreement" would be "understanding".
Mr. Placone said the word "agreement" had not been used in the strict
sense.
2 8 0
9/18/74
Councilman Comstock stated that prior to the annexation vote, there
was a need for the Planning Commission to formally review the area.
It was important that the policy position of the city be clear about
the zoning in the area in advance of any plebiscite among the residents
of the area.
It was agreed no action by Council was required at this time.
»Y nci .... IW7fs t of Cou lman Comstock for
Council Suvvort of Proposition 17
Councilman Comstock noted that he had sent a note to Council, Council
members had received a letter from Alice Smith, a resolution from
the City of Riverbank opposing the initiative, a letter from the
City of Modesto opposing the initiative, and a letter from Kermit L.
Smith, State Political Chairman, Friends of the River, with additional
informatics and a list of the various legislative personalities around
the state who had indicated their support. of Proposition 17. Councilman
Comstock explained that Proposition 17 was an initiative that has
qualified for the November ballot, and it is referred to as the River
Initiative. Basically, it directs itself to the proposed construction
of a dam on the Stanislaus River by the lnited States Corps of Army
Engineers. The dam was a substantial one which would create a large
lake, and it is believed it would c!:rtainly change the character
of the lower portions of the river considerably. Councilman Comstock
said the dam was an expensive project, and those who had signed the
petition were asking that the voters at large indicate whether or
not they approved of this project. Because this would ultimately affect
the water circulation_ in the Sacramento/San Joaquin Valley and the
water quality of the bay, Councilman Comstock felt Palo Alto had
some read interest in it. Council had always been concerned about
the flushing action in the bay, and the construction of every dam
in the tributaries of the bay reduces the water circulation in the
bay and the flushing action in the winter time. Councilman Comstock
felt it was consistent with the City Council's position in trying
to preserves the natural characteristics of the bay and water to take
a position in support of Proposition 17.
MOTION: Councilman Comstock moved, seconded by Berwald, that Council
authorize staff to prepare a resolution of support for Fropoaition
17, the Stanislaus River Initiative.
Councilwoman Pearson asked for some comment on the fact that it appeared
the Sierra Club supported the dam.
Vice Mayor Henderson said s petition had been circulated in Modesto
which was signed by aware people +moo purported to be Sierra Club members.
They are not, and the Sierra Club, both the overall organization
and the Modesto chapter, voted to support Proposition 17 against
the dare.
Vivian Blcmeakamp, 1023 Forest Avenue, pointed out that Council had
a letter, a fact sheet, and a resolution from the Modesto City Council
urging the Palo Alto City Council to take a position against Proposition
17. Mi. Slomenkaap explained there were two Sierra Clubs in that
area, and the Mother Lode Chapter had withdrawn its earlier objections
to the dam because they believe the an-rironnentai gains from the
project will outweigh the losses. Apparently, the national Sierra
Club did not get this message. The benefits of the dam, including
an estimated use for recreation by four million people, were not
widely known by than public. She urged that no action be taken by
the City Council, but that they study the matter carefully and take
action as individuals may.
1
2 8 1
9/18/74
1
Councilman Beahrs said he could not support Proposition 17 because
he believed that the vast majority of the people should be nerved
as compared to anew elitists, privileged people, who could afford
the expense of taking what is called the white water trip. It was
his understanding that the white water trip w;.uld not be completely
destroyed by the dam. Here was one cage where energy of a clean
nature could be produced, and he did not see how Council could oppose
the project. Councilman Beahrs felt that Councilmen Cometock's arguments
were somewhat speculative, and he thought it was of greater, importance
to pressure such places as San Franciaco to take care of their own
pollution of the bay.
Councilman Comstock stated that a much sailer dam had been originally
proposed to serve the purpose of flood control, but it geese; and
as is typical of Corps of Engineer dam projects when they get big,
they take the traditional approach which they call "other financial
beneficial uses". He said that much to his embarrassment, he had
supported the Laders i m which had been argued in inch the sane way.
Councilman Comstock thought it was a little hard to ca.il hydroelectric
power totally pollution free when you have to drown a number of river
valleys.
J' yor Sher said he found it difficult to
appropriate matter for the Council to be
that although he had strong views on the
The motion passed on the following vote:
AILS:
know whether this was an
considering. Pe stated
matter, he would abstain:
Berwald, Comstock, Henderson,
Pearson, Rosenbaum
NOES: Beahra, Clay
ABSTAIN: Sher
ABSENT: Norton
Rawest of Councilman Conatock
for Comci1 sup. of SB mmm
c .over->aployee Relations -T:14
Councilman Comstock reported that the bill had gone to committee;
and since it may not be the same when it comas out of committee,
he would like to withdraw this item.
Oral Communicating
None
Adjournment
The adjourned netting of September 10, 1974, adjourned at 11:12 p.m.,
September 18, 1974.
Vec4l Meetin4 of September 181 1974
The City Council of the City of Palo Alto set on this date at. 11:12
p.m., in a special meeting with Mayor Sher presiding.
2 8 2
9/18/74
Present: Beahre, Berwald, Clay, Comstock,
Henderson, Pearson, Rosenbaum,
Sher
Absent: Norton
tiirauteg of Auxuet 26 1974
Vice Mayor Henderson'referred to page 192, the tenth line from the
bottom, and asked that the word "rate" be corrected to "rating".
=ION: Councilwoman Pearson moved, seconded by Comstock, that the
minutes be approved as corrected.
The motion passed on a unanimous vote.
R Qolut% of Ap rectation to
§pnta1 Iiousing k ediatior, Task Force Members
MOTION: Councilwoman Pearson introduced the following resolutions
and moved, seconded by Comstock, their adoption:
RESOLUTION NO. 4996 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
COMNFNDING BRADLEY H. D »DEN AS A MEMBER
OF THE RENTAL HOUSING MEDIATION TASK FORCE
FOR HIS CONSCIENTIOUS AND OUTSTANDING
PUBLIC SERVICE"
RESOLUTION NO. 4997 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
CONYXNDING SHIRLEY PEPPERS AS A M ER
OF THE REN'.1AL HOUSING MEDIATION TASK FORCE
FOR HER CONSCIENTIOUS AND OUTSTANDING
PUBLIC SERVICE"
RESOLUTION NO. 4998 entitled "RESOLUTION
OF THE COUNCIL OF TUE CI'T'Y OF PALO ALTO
COMMENDING ELLEN B. TURBOW AS A MEMBER
OF THE RENTAL HOUSING MEDIATION TASK FORCE
FOR HER CONSCIENTIOUS AND OUTSTANDING
PUBLIC SERVICE"
RESOLUTION NO. 4999 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
SIP G DANIEL A. WILLIAMS AS A DER
OF TUE RENTAL HOUSING MEDIATION TASK FORCE
FOR HIS CONSCIENTI0. AND OUTSTANDING
PUBLIC SERVICE"
The resolutions were adopted on a unanimous vote.
oration Proposal
MOTION: Mayor Sher moved, seconded by Comstock, that Council set
a special meeting for Monday, September 30th (fifth Monday) and continue
Item 7 dealing with the Palo Alto Housing proposal to that meeting.
The motion passed on a unanimous vote.
2 8 3
9/11/74
Planning Commission Recommendation
Ie County Open Space Action Program (CMR:527:4)
Mr. Knox stated that subse,eent to consideration by the Planning
Commission, it was brought to staff's attention that the classification
of lands in Palo Alto shown on the two page map in the Open Space
Action Program described areas in the foothills as permanent open
space. That was subsequently defined as lands which are inherently
unsuitable for development. Mr. Knox said that definition, while
partially accurate, is incomplete when viewed in the context of the
open space element of Palo Alto's General Plan, and also in terms
of the open space zone which permits a considerable number of uses.
Staff recommended in its memorandum dated September 18, 1974, that
the following paragraph be included in the Council's action tonight
in forwarding the commission's action to the county: "As implicit
in the letter Palo Alto Mayor Kirke W. Comstock sent to you on December
5, 1973, a copy of which is attached, the definitions and designations
of lands contained in the Urban Development Open :,'pace map and plan
do not accord with Palo Alto's previously adopted revised urban develop-
ment definitions and policies, the Open Space Element of the Palo
Alto General Plan, and the Palo Alto Urban Development/ Open Space
Plan itself as embodied in our open space zoning ordinance, and wish
to take this opportunity to reiterate that information to you".
MOTION: Councilman Comstock moved, seconded by Pearson, that Council
forward tie. Planning Commission recommendation to the County with
the added paragraph as stated by Mr. Knox.
Vice Mayor Henderson said he had one objection, and that was the
provision for suitable areas for use of off -the -road recreational
vehicles and restrict their use in undesignated areas. He was not
willing to support the use of areas paid for by the public for use
by these recreational vehicles. Althoagh they were limited to certain
areas, those areas would become desecrated.
AMENDMENT: Vice Mayor Henderson moved, seconded by Beahrs, that
item #5, page 4, concerning recreational vehicles be deleted,.
Councilwoman Pearson stated that the problem was that the motorcycles
do go up in the foothills, and they go everywhere. The county was
trying to find a place where the vehicles could go so they would
not bother everyone else in the Skyline area. Presently, the motorcyclists
go wherever they want, and the land owners were getting so upset
that they were getting to the point where they would not allow the
county to have easements for trails for legitimate hiking, bicycling,
and horseback riding. The county recognized this and decided it
would he a gold idea to have a place where the vehicles could be,
used. They could then regulate them and prevent them from spoiling
the other areas. Councilwomen Pearson supported the county's stand.
Councilman Clay said there was a similar problem:. in Palo Alto because
young people who owned minibikes road them in the street, and he
thought it would be a good idea to designate a safe place where they
could ride such vehicles. He supported the county's view in this
matter
The amendment passed on the following vote:
AYES: Eeahrs, Berwald, Comstock,
Henderson, Rosenbaum
NOES: Clay, Pearson, Sher
The motion as amended parrs on .a unaniatous vote.
x84
9/18/74
Report by Chairman of
American Revolution Bicentennial
Committee of Palo Alto
MOTION: Councilman Comstock moved, seconded by Beahre, that Council
approve requests 1 through 6 as shown in Curt Weil's letter, dated
September 10, 1974; ;inch requests to be accomplished with cooperation
of the City Manager.
Councilwoman Pearson expressed concern as to how much money the city
would finally be putting into this matter.
Mt. -Weil stated that the Committee did not feel there would be any
further need for direct financial backing from the city.
The motion passed on a unanimous vote.
Request to Continue Item 10 re,
Eleanor lark to SeptemberoWn 1974
NOTION: Councilman Berwald moved, seconded by Beahrs, that Item
10 on the agenda be continued to September 30, 1974.
The motion passed on the following vote:
AYES: Be hrs, Berweld, Clay, Comstock,
Hendersou, Rosenbaum, :, Sher
NOES: Peaz sors
Mitchell. Park Library Addition:
Award of Contract (C R:518:4)
LOTION: Councii,man Berwald moved, seconded by Beahrs, that Item 11
on the agenda be continued to September 30, 1974.
SUBSTITUTE MOTION: Councilman Comstock moved, seconded by Henderson,
that Council find that this project is categorically exempt from
the requirements of the California Environmental Quality Act of 1970,
and that the Mayor be authorized to execute a construction contract
with Hodgson Construction Company.
he substitute motion passed on a unanimous vote.
Refuse Utility Rate Reviews (Cult:520:4)
MOTION: Councilman Berwald introduced the foll...owin4 resolution and
ordinance and moved, seconded by Pearson, their adoption:
RESOLUTION NO. 5005 entitled "RESOLUTION
OF THE COUNCIL OF THE CITY OF PALO ALTO
Al DING SCHEDULES R-1, R -L -FA, R-2, R-3,
AND R-4 OF THE CITY OF PALO ALTO UTILITIES
RATES AND CHARGES"
ORDINANCE NO. 2819 _ entitled "ORDINANCE
OF THE COUNCIL OF THE CITT OF PALO ALTO
AMENDING TUE BUDGET FOR FISCAL YEAR
1974-75 TO INCREASE THE ESTIMATED REVENUES
AND CONTRACT SERVICES APPROPRIATION AND TO
ESTABLISH A RESERVE F'RO I THE PREVIOUS
FISCAL YEAR FOR 1974-75 APPI0PRIATI( S IN
TIE REFUSE UTILITY"
2 8 5
9/18/74
The resolution and the ordinance were adopted on a unanimous vote.
E to rc Retirement Program:
Proposed Amendment
MOTION: Councilman Berwald loatroduced the following resolution and
moved, seconded by Pearson, i;. adoption:
RESOLUTION NO. 5006 entitled "RESOLUTION
OF THE COUNCIL OF IRE CITY OF PALO ALTO
OF INTENTION TO APPROVE AN AMFI4DMENT TO
CONTRACT BETWEEN THE BOARD OF ADMINISTRATION
OF THE PUBLIC EMPLOYEES' RETIREMINT SYSTEM
AND THE CITY OF PALO ALTO"
The resolution was adopted on a unanimous vote.
Goif Course Maintenance Builds :
Award of Contract (CMR:515:4)
MOTION: Vice Mayor Henderson moved, seconded by Comstock, that Council
find this project is categorically exempt from the requirements of
the California Environmental Quality Act of 1970, and that the Mayor
be authorized to execute a construction contract with Tuomi Builders,
Inc. in the amount of $19,500 for the Golf Course Maintenance building.
The notion passed on a unanimous vote.
Annual Street Resurfacia Program --
Report of Bids (CMR:514:4)
NOTION: Councilman Berwald moved, secord.ed by Henderson, that Council
find this project is categorically exempt"from the requirements of
the California Environmental Quality Act of 1970 and that the Mayor
be authorized to execute a contract with Cray and Lewis, Inc. in
the amount of $73,410.75.
The motion passed on a unanimous vote.
Mutual Aid for Electric
'ION: Vice Mayor Henderson moved, seconded by Pearson that the
Council authorize theMayor to execute the Mutual Aid Agreement between
the cities of Palo Alto and Santa Clara.
Mayor Sher asked if it were not true that under Paragraph 1 of the
contract, that each city has no obligation to furnish aid and may
recall aid if the personnel or equipment were needed by a particular
city.
Mr. Booth stated this was correct.
Councilmen Beahrs asked if it would not be good policy to state in
the agreement that the receiving city would be responsible for supervising
all work.
Mt. Booth responded this vas covered in part in Section 3) which
states that personnel who are furnished will work as far as possible
under their stns supervisors, but general directions relative to the
work shall be given by the appropriate officers or personae of the
city receiving such aid. '
2 8 6
9/18/74
The motion passed on a unanimous vote.
Oral Communications
None
Executive Session - Southern Pacific Rate Increase rat`-
ilienn 4\ 414_ Li( e- fk12.4A
Following Executive Session, read the following statement: L
"During Executive Session tonight, the Council authorized the City
Attorney to participate in proceedings before the Public Utilities
Commission concerning Southern Pacific Company's requested 111% fare
increase. These hearings will determine the validity of the costs
of service claimed by the company, and other issues involved in transpor-
tation of passengers, including the degree to which an otherwise
profitable regulated utility should be required to provide passenger
service at a price which includes financial support from other operations
of the company. The Council views with considerable alarm this proposed
fare increase, coupled as it is with no improvements in service or
equipment, and following several fare increases granted over the
last five years. Moreover, this proposed increase, coming at a time
when public transit on the peninsula is under serious and urgent
consideration, and which may well include Southern Pacific Company
as a part, is especially critical and deserving of a very stringent
study by the PUC3 its staff, and the public".
Appointment of Nina Kulpin to PACT
Mayor Sher slim announced that lit Executive Session the appointment
of Mrs. Nina Kulgein, 711 Gailen Ave., to PACDAP had been approved.
Ad1ournment
The special meting of September 18, 1974, was adjourned at 12:35 a.m.
ATTEST:
le
4: - /
City Clerk
r
v
287
9/18/74
AP PROVE :