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city of palo alto
June 26, 1972
The Council of the City of Palo Alto met on this date at 7:35 p.m. in
a regular meeting with Mayor Comstock presiding.
Present: Berwald (arrived 7:44 p.m.), Clark, Comstock, Henderson,
Norton (eirr.ved 11:30 p.m.), Pearson, Rosenbaum, Seman
Absent: None
C`ann^_ellation of Re ular Mew et
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dlmaw
MOTION: Mayor Comstock ;roved, seconded by Pearson, to cancel the regu-
lar meting of July 3, 1972.
The [motion carried unanimously on a voice vote.
Sister Cities - Palo Leyte P.I. and Oaxaca Mexico
Mayo- Comstock announced that it had been his great pleasure, together
with Councilman Clark, to meet a distinguished visitor, Mr.- Juan Tismo,
from Palo, Leyte. Mr. Tismo is a past president of the Giants Club is
Palo and was en route to a conference in the East. Mayor Comstock dis-
played a plaqu=e which Mr. Tismo had brought with him from the Palo Muni-
cipal Council; read the message of goodwill inside and noted the names
of the Council on the back. Also presented was a tape cassette con-
taining messages from the Palo Municipal Council and members of the
Giants Club.
Mayor Comstock announced that Wednesday, June 28th, the Mayor and 3
others from: the City of Oaxaca, Mexico will be arriving in Palo Alto
for a 4 -day stay. There will be a ecmmunity reception at the Palo
Alto Cultural Center Friday evening, June 30th, and Mayor Comstock
invited the public to attend and meet the Mayor of Palo Alto's Sister
City 1 Mexico. Councilman Seman, Council representative to Neighbors
-Abroad, stated they will meet the Mayor fzom Oaxaca at the airport on
Wednesday and outlined the -program during his stay. She noted that
on Thursday, June 29th, the Oaxaca Delegation will re'-eive punts from
Foothill, College for an observatory which will be built in Oaxaca.
Minutes of Jv.ne 12 1972
Mayor Comstock noted a memo dated 6/26/72 from the City Clerk regarding
a correction to be made at the bottom of page 157.
MOTION: Councilman Pearson moved, seconded by Henderson, that the
minutes of June 12, 1972 be corrected, bottom of page 157, in accor-
dante with the City Clerk's memo, deleting the AMENDMENT and inserting -
the following:
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6/26/72
"MOTION: Councilman Pearson introduced the following resolution
and moved, seconded by Henderson, itt: adoption with the following
amendment to add a new Section 3 ane the present Section 3 become
Section 4. _ ,e ney', Section 3 to read: 'The Council of the City
of Palo Alto does hereby endorse HR 8828 and SE 831 and urges enact-
ment of these or similar gun control -legislation at least as strong
as the aforementioned bills.' • .
Resolution No, 4609 entitled 'Resolution of the Council of the
City of Palo Alto C-ging Congress to Enac' Stringent Gun Control
Legislation Pending in the Senate and -House of Representatives"
The motion to correct the minutes as recorded above carried unanimously
or. a voice vote.
Councilman Semen requested that the following section be added on
page 149, third line from the bottom, after the words "Councilman
Semen eaid that..." add '=a mix of single family and multiple units,
im9rove ' traffic circulation, and a large' percentage of federally
subsidized units are positive guideline suggestions and that..."
MOTION: Mayor Comstock moved, seconded by Henderson, that the minutes
of June 12, 1972 be amended to include the added section requested by
Counck man Seman.
i1:e n:otion carried unanimously on a voice vote.
The .minutes of June 12, 1972 were approved unanimously as amended.
Public He_arir - 1972-73 Annual } ud ct
Mayor Comstock noted that the Council is in receipt of information
from three sources with respect to the proposed budget: the Prelimi-
nary Budget and reports from the City Manager's Office; Finance and
Public Works Committee minutes and report regarding their deliberations
on the budget; and a report from the Planning Commission. He stated
t.tiie Council would first hear these reports and then call upon the pub-
lic to speak. He` noted that Vice Mayor Norton, Chairman of the Finance
and Public Works Core;, tree, was unable to :se present at this time and
had regnesced Councilman Henderson to speak on behalf of the committee.
Councilman Henderson reported that the Finance and Public Works Com-
mittee h,,d met six tines to work on the final Budget and five tines,.
beginning January 11, to dibcuss the preliminary GIP. He briefly re-
viewed. these meetings, noting that this near much emphasis •was placed
on questions and comments concerning the format and figures in an
ctterrpt to understand the components of program budgeting. The out-
ro ,1, of this, restated, was the Committee consensus there is a need
for review by Council or Committee and staff leading to revision of
budget format and presentation so that Council meahers and members of
the public can underseand and make j►udgrrsencs about the need, quality,
cost and results of individual programs., He noted the Committee's -
rec_otntendation fkr approval of the 1972-73 Budget as described in their
letter of 6/15/72 and the additions covered in the City Manager's
letter of 6/22/72. On behalf of the Committee he acknowledged receipt
of a memo dated 6/8/72 from Councilman Henderson and a report from the
Chamber of Commerce dated 6/23/72. • On behalf of the CoOlttee he ex-
pressed thanks to the staff for the ttcrye and effort and response to
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6/26/72
questions and issues through a .umber of reports and appreciation to
the Chamber of Commerce, League of Women Voters, Downtown Pale. Altc,
Inc. and members of the public who participated in the Committee budge
hearings.
Mrs. Mary Gordon, Chairman of the Planning Commission, reported that
the Planning Commission has reviewed the nroposed 1972-77 CIP in accor-
dance with PAMC Section 19.04.040 and finds it in substantial conform-
ance with the General Plan. She read Agenda Item No. 6, noting that
(a), (h) and (d) had been adopted by the Finance and Public Works Com-
mittee. Item 6(c), discussion of this item is covered in the Commission
minutes of 6/14/72 and she noted that the Commission spoke primarily to
the need for planning end engineering for the Embarcadero Road underpass
to precede any actual widening plans. The Commission also asks that a
delegate from the Planning Commission be invited to attend the Finance
and Public Works Committee budget meetings in future years. Mayor Com-
stock advised Mrs. Gordon to consider herself or whomever the Commission
delegated as being invited to attend future Finance and Public Works
Committee budget greetings.
City Manager Sipel briefl.y reviewed the staff report dated 6/22/72
(Qtr:336:2) which relates to items that took place or arose subsequent
to the last Committee hearing: 1) covers the Planning Commission re-
view of the Capital. fe,provement Program; 2) provides for the demonstra-
tion grant at the Water Quality Control Plant; 3) is a contingent fund
provision for 1972-73 salary and benefit increases; 4) is in regard to
the bicycle routes and trails system; 5) relates to the Animal Shelter
and purchaseof a new incinerator which would meet all pollution control
regulations; and 6) relates to the change in the Public Transit Program
ea a result of the election to establish a County -wide system. He
noted that each of these items is somewhat new although Council has
had previous information. These items have been included in Exhibit B
of the ordinance before Council as well as all of the Finance and Public
Works Committee recommendations and all but one of the Planning Com-
mission recommendations.
Mayor Comstock announced that this is the time and place set for thi
public hearing on the budget for the fiscal. year 1972-73. He asked.;
that the record show the City Clerk has on file the affidavit of publi-
cation of notice of this hearing. H4 declared the hearing open and
gave a brief background of this year's budget. He asked if any resi-
dent of the City of Palo Alto wished to speak on the budget
Francis Small, Jr., 525 University Avenue, speaking al Chairman of the
Chamber of Commerce Task Force to Review the Municipal Budget, noted
that Council was in receipt of their report dated 6/23/72. He stated
that t::ey wish to encourage the City staff to create documentation
that permits the Finance and Public Works Committee and the City Council
to view its fiscal activities on a program basis so that everyone in the
cemmuni ty can understand what was spent is the past, what is being spent
in the current year and what is propoeed to be spent in a subsequent
year. He concluded by stating that the Chamber's Task Force would be
pleased to be invited to make whatever contribution they could toward
a more meaningful program budget document. Mayor Comstock expressed
appreciation on behalf of the Council to :fit. Small and his Task Force
for their report.
Gloria Brown, 176-'.► Fulton Street, referred to Item 1.h. TOPICS, and_
suggestedthat the money be spent on the Kingsley intersection and to
forget about the Seale Street closing.
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6/26/72
Crystal Garage, 1568 Channing avenue, speaking for Downtown Palo Alto,
Inc., referred to the $175,000 carry-over for Downtown Beautification
and stated this group seriously interested in receiving the reports
which will be soon foeehr:oming from staff. She asked when the suggested
schedule of surveys and concepts which were approved wi],l be ready so
their group can look at them. She added that the recommendations made
by staff chat the Downtown property owners show their intention in
good faith to duke some impronements have not been taken lightly.
The downtown mertl arts have gone ahead with a program and will speak
to it as soon as the Council committees are ready to hear from them.
Don Reese, 260 Sheridan Avenue, representing the Seni. r Coordinating
Council, referred to the financing far the Senior Citizens' staff posi-
tion. The Sr. Coordinating Council feels that this position is of the.
utmost importance to the ::hole community and they are asking and urging
the Council to include funds in the budget for a Coordinator on a full-
time basis. They ask that the position be budgeted at this time with
implementation to a full-time position in accordance with the City
' anaget's reorganization and request chat this be as soon as po:ssi'ol. .
No one else wishing to speak, Mayor Comstock declared the public hear-
ing closed.
VO IO : Cou 1c'f lr-an Henderson introduced the following ordinance and
owed, on behalf of the Fin,rince and Public Works Committee, its adop-
tion with the a°-endments set forth in Exhibit B:
Ordinance No. 2659 entitled "Ordinance of the Council of the City
of Palo Alto Adopting a Budget for fiscal Year 1972-73"
Mayor Co :stock noted that the amendments set forth in Exhibit B include
all the Committee ttee asaendments as described on the Agenda and the Planning
Commission recommendations, exeept for Item No, 6(c).
In answer to :Mayor Co tock'S request fox response to the question
about the TOPICS Program, Item :(h), Councilman Henderson explained
that this program has been changed to delete the Miranda intersection
portion and is still a federally funded program. The appropriation
has been reduced to $112,000 which includes Kingsley -Melville -Seale
intersections on Embarcadero. Mr. Sipel explained that under a TOPICS
designation. 71is of a certain total amount is refundable from the
federal government. In this case the allo°role charges are lees than
$112,000 so the resulting federa`, money is $57,000 and the money the
City would be seeking is money accrued to the City in 1970-71. If
approved, this project would be the City's submittal for 1970-71 and
if not approved the City would likely lose the funds for 1970-71.
Mayor Comstock announced they would hear comments from Council vem-
bers prior to of - additional amendments or changes.
Councilman Beahrs referred to the $200,000 approved earlier by the.
Council for a`Drug Abuse treatment program in Palo Alto. He stated
that he supports this program but wished to drag the Council's atten-
tion to the efforts of some people to Fuse" this generous program
which is provided at the expense of the Palo Alto taxpayer. He refer-
red to a paper, distributed at a Venceremos concert held on June 17th e
by a group sponsored by the Venceremos and called the Palo Alto Drug
Collective. He read portions which set forth their strategy to force
the government to give them funds and stating they had won $200,000
from the Palo Alto City for "our" center. He expressed his objections
to this specious, misleading propaganda and stated he hoped this Council
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and those associated with this program will be constantly on guaid
because the ccsrmaunity support is generally required if this type of
effort is to be sustained. The City has generous intentions but when
propaganda of this character is widely distributed he said he couldn't
see the City giving support much longer to activities of this character.
Councilman Rosenbaum referred to Exhibit 8 of the ordinance, page 4,
the sales tax transfer to the Capital Improvement Fund. He noted that
in the preliminary budget the transfer was $1.1 million which is now
reduced to $667,000. He commented that the City has been attempting
to transfer 50% of sales tax to the General Fund and this amount is
only 30% and he asked the reason for a change of this magnitude. Mr.
Sipel replied that this is probably the third year the City was done
something of t'tis type and the change results from the need to make
provision for salaries and fringe benefit increases that are the sub-
ject of negotiations at this time. He noted that at the end of the
year substantially more than 50% of sales tax was transferred to the
CI? as a result of receipt of revenues in excess of the fends esti-
mated and added that at this point he would not consider this a radi-
cal departure from policy, He said it is his belief there will be
funds that could bring the City up close to the 50% mark but pointed
out that unless the City is able to receive r)re revenues from some
other source, additional revenues found, or expenditures reduced in
some of the categories, they will fall short of the :,0X trap-`er.
Councilman, Pearson referred to the housing inspection programs shorn
under both the Building Inspection PeparL.c nt and the Fire Department.
She asked the difference between the two programs and why they were
not lumped together. Mr. Sipel replied that the housing inspection
program under the Building Department covers the costs being spent in
the activity that is currently under way with respect to horsing in-
spection. The program in the Fire Prevention budget is not currently
underway but is one foreseen as a possibility in 1972-73, using Fire
Deparutent people if the City gets into a more aggressive housing in-
spection program. The ultimate objective is to get all inspection-
units under one department. He noted that the Fire Prevention pro-
gram contains a number of activities beyond housing inspection itself.
Councilman Pearson replied that If Palo Alto is going to have a housing
inspection program it would be her hope it would cc_;me - f roes perhaps the
-Housing Committee's recommendation, taking into account the feelings
and attitude of.the people. She e pressed her concern regarding the
fact that some of the houses are truly deteriorating and in order to
bring them up to code it will cost a great deal of money which could
force -some people out of their homes.
Councilman Pearson referred to the amount of $142,000 in the CIP for
municipal bus puLc;zase and asked if the City is setting aside the money
for both the actual purchase of buses and the subsidy to Peninaula
Transit; will the City be reimbursed; and will the City, under the
Transit District, have any control over the buses on City streets with
respect to noise, etc. Hr. Sipel replied that it is not known at this
time when the Transit District will take over although it is being
forged and will be a legal entity in July. Staff is suggesting enough
money be kept for the subsidy for a six month period which is the
length of the contract with Peninsula Tranait Lines. It $ also _sug-
gest=ed that because of the uncertainty at this time of the demonstra-
tion grant application and the application for purchase of capital
equipment, the City ought to leave the bus purchase money in the budget
also. It is hoped the City will be reimbursed for the operating ex-
penses spent during the first si:.. months of this year. He stated that
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6/26/72
through the City's delegate on the Transit Commission, the City will
have an opportunity to discuss with the Transit District the standards
of bus transportation such as the type of vehicle and noise.
In response to questions from Councilman Berwald, Councilman Henderson
advised that the Housing Land Bank funds have been expended and it was
Committee consensus to retain the $500,000 level of commitment since
recovery of, funds is still approximately two years away. Regarding
the Downtown Beautification, Mr. Henderson replied that the $175,000
is appropriated and will he held pending a report from staff. There
is no specific commitment of electric utility funds for the street
lighting at this time. Regarding the amount in the contingency fund,
Mr. Mitchell advised there is $55,000 at the presei{t time.
Councilman Berwaid referred to the memorandum suboitted by Councilmen
Beahrs written by the Venceremos Dreg Collective group. He commented
that the Council is sufficiently knowledgeable to realize that the
funds appropriated for the Drug Center uere well appropriated and addend
that -if the general public gets the idea that this money was appropri-
ated for this Drug Collective group, the program could suffer. He
stated he hoped this would not affect approval of this item in the bud-
get and suggested Councilman Beahrs ask Council to have the City Attor-
ney look into this matter and if there is public misrepresentation it
should be followed up and stopped immediately.
Councilman Seman referred to page 31 of the budget which states th.it
emphasis will be placed or an affirmative action program, noting that
the Human Relations Commission had reported on such a program. She
suggested periodic reports he made to HRC, with the Commission then
making recommendations to Council. Mr. Sipel replied that staff is
very interested in this program and will be working closely with the
Human Relations Commission to develop it.
May Comstock announced that this would conclude questions on the
ore, _n:nce before Council.
MOTION: Mayor Comstock moved, seconded by Sexwald, to bring up out
of order for consideration at this time Agenda item -6(c) - The Plan-
ning Commission's recommendation that Planning and Engineering for the
Embarcadero Road Underpass Improvement be dome in 1972-71.
The motion carried unanimously on a voice vote.
A1.1ENDMENT: Councilman Henderson moved, seconded by Berwald, to amend
the 1972-73 Budget in accordance with the Planning Commission's recom-
mendation and add $30,000 to the Capital Improvement Program for plan-
ning and engineering for the Embarcadero Road Underpass Improvement to
be done in 1972--73,
Councilman Pearson spoke against the amendment, noting that planning
fcr the Embarcadero/E1 Camino.interaection is not in the budget and
therefore planning for the underpass should be held in abeyance. She
commented that widening Etmbarcadero from Alma to El Camino just adds
more lanes to the intersection without improving traffic; all the land
would be taken from the Pale Alto School District side, none from the
Town b Country side, and mature trees would be taken out. She referred
to the latest information on the Dumbarton Bridge and the proposals for
two off -ramps, one at Embarcadero Road and another at Marsh Road, and
ccncluded that with the need for a new cross -Peninsula expressway, Palo
Alto should hold in abeyance any iardprovements to Embarcadero.
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Councilman Beahrs stated he was in agreement with Councilman Pearson
and added that this town cannot afford the traffic congestion it cur-
rently suffers to encourage in any sense the facilitation of trans-
ferring traffic. He commented that until some of the neighboring com-
munities absorb a more; acceptable proportion of the region's traffic,
he could see no reason for Palo Alto to support more traffic than the
City can take.
Councilman Henderson noted that the Finance and Public Works Committee
had discussed both the Erbarcadero widening and the underpass but did
not fee, this was a dangerous traffic situation requiring immediate
action.
The amendment failed on a unanimous voice vote.
AMENDMENT: Councilman Henderson moved, seconded by Pearson, that the
1972-73 Annual Budget be amended under Senior Adult Services Program
(p. 141) to add $4,133 to the 1972-73 approp ;.ation to provide for a
full-time coordinator.
Councilman Henderson commented that there are two groups of people in
Palo Alto who have not -received proper attention through the years,
the youth and the senior citizens. He stated that establishment of
the Senior Adult Services coordinator position has been a significant
step in providing services to senior citizens and he urged support of
the amendment. He added that it is the prerogative of the City Manager
when to fill this position and by whom.
Councilman Seman quoted from the City Manager's remarks at a Finan e
and Public Works Committee meeting in discussing the budget generally,
...those things that have to he ;_ot,ked at are the objectives of the
Council, establishing priorities and looking at what the dollar will
buy...". She stated that it seemed to her this small expead.iture is
delivering an enormous amount of service to the community and including
funds in the budget for a full time position would demonstrate clearly
the Council's concern for senior citizens in the community.
Councilman Clark reviewed the establishment of this position and said
the original theory of the City was to providea facility where repre-
sentatives and volunteers would assist the senior citizens. He ex-
pressed the opinion that the City should move slowly in the direction
of social services that are perhaps provided by other agencies. He
referred to the Committee minutes and the City Manager's report which
indicate a major look is to be taken at Community Services. He stated
that at this particular time the program is not there to justify a full
time person and when that need :is appropriate a request can be made,
Councilman Beahrs agreed with Councilman Clark and stated that if and
when the program becomes successful there will be no difficulty get-
ting the vote of this Council for a full time position.
Councilmen Pearson spoke in favor of the amendment and the need to
budget it now so that in the future it will not be necessary to come
back and amend the budget. Putting it in the budget now says that the
Council feels the program represents a social function"that necds to
be met and may eventually require a full time person, she said.
In response to Mayer Comstock, Mr. Sipel commented that his recommen-
dation regarding this position speaks for itself. He noted that whenever
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a certain number of hours or people are added to a program it should
be stated quite specifically what the City will be getting and staff
tries to do this in suggesting new positions for the Council. Staff
has looked very carefully at this program and if it were made full time
there would be an increase in terms of information disseminated, referrals
and counseling from ten hours a week to sixteen hours a week. Also, if
a 40 -hour allocation is made more time would be devoted to stimulating
development of programs and services, particularly a more coordinated
efort to provide library services to the elderly and shut-ins. The
role of the senior coordinator would be to set this up with the service
actually delivered by the library department. These would be the major
changes staff contemplates if the position is made full time.
Councilman Beahrs spoke in support of Councilman Clark and commented
it was his feeling that when government takes too much interest in
activities of this character you find the community at large losing
interest in involvement in community problems which should really have
community support and attention. He added that when the need is clearly
demonstrated he would support an increase in the budget for this pro-
gram.
Mayor Comstock referred to a reception he had attended at the Downtown
Center 'with a large number of elderly persons present. He said several
senior citizens had made a point of expressing their appreciation of
the efforts the City had made in establishing the services program and
how it gave them the feeling that the City really cared about them.
The amendment carried on the following roll call vote.
Ayes: Comstoct., Henderson, Pearson, Rosenbaum, Seman
Noes: Beahrs, Berwald, Clark
AMENDMENT: Councilman Henderson moved, seconded by Pearson, to amend
the 1972-73 Annual Budget by modifying the TOPICS program, Item 1(h),
to eliminate the Seale closure.
The amendment failed on a majority voice vote.
Th ordinance as amended was adopted on a unanimous voice vote.
Mayor Comstock referred to the Finance and Public forks Comrri ttee
report in which there were listed some observations. }e asked Council-
man Henderson to comment.
Councilman Henderson referred to his memo dated 6/8/72 regarding the
budget and stated that in his :desire to see a complete review of the
format and presentation of the annual budget he would. like to read a
portion of his memo. He read the 2nd, 3rd, and 4th paragraphs en
pages 1 and 2 and the first.three paragraphs on page 3. He expressed
his willingness to work with the Controller and any others in redesign-
ing the budget format.
MOTION: Councilman Henderson moved, seconded by Se.man, that the Council
refer the subieets of s,i,.get_fo: t a:z4--ti,e schedule for budget prepara-
tion and review to the Finance and Public Works Committee and that
the Council direct the City Controller to conduct a study of the budget
format and report the results and recommendations to the Finance and
Public Works Committee.
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6/26/72
Councilman Clark said he wished to express Coe complete frustration he
had experienced in the last series of budget discussions. He stated
he was in favor of the motion and wished to participate in final approval
of th'e budget format which will be adopted. He commented than the
Finance and Public Works Committee had spent their entire time on for-
mat and never got down to the issues of whether a program was useful,
too expensive or not expensive enough - they spent all of their time
on the sort of repetitious business of allocations, etc. He commented
that the format obviously had to be changed but requested that the
Council not swing over to "an auditor's kind of budget" ent:rely. He
said it was his hope that out of this motion would come something that
will serve the needs of both the layman and the auditor, something that
will allow everyone to know that "this program serves this purpose
and this is how much it is costing us."
Councilman Berwald commented that several things are involved in the
proposed motion: the job of the City Controller, the job of the City
Manager, and 'what is a City budget?" He said a budget is not only to
help the Council see and vote policy -wise as to 'that the City expendi-
tures should be, it is a document to help operating heads of the City
to manage the City in an effective way. He spoke of the /many weeks of
Finance Co=ittee deliberations with recormendations coming now from
an individual councilman. He referred to Councilman Henderson's memo-
randum and said he was not sure that some of his suggestions might not
be taken as Council directive to the City Manager and City Controller
and it was his opinion this should not be. He said he would like to
have the n-otion go back to the Finance Committee an,1 then have it come
to Council from the Committee and suggested that both the City Manager
and City Controller have an opportunity to discuss this in a different
context than that discussed in Committee. He suggested Council might
be directing the Controller to do something only the Manager can do.
Councilman Henderson replied that the Committee authorized the Chair-
man, himself, Mr. Mitchell and Hr. Sipel to get together and write the
appropriate paragraph and added that it was the intent of the full Com-
mittee to have this review undertaken. He stated that such a study
clearly comes under the Office of the City Controller and added that he
obviously would include the City Manager. He noted that the word
"budgeting" is mentioned several times in the Code under Duties of the
City Controller and he quoted: (1) "He will formulate and recommend
to the Council policies and procedures on accounting, auditing, budgeting,
et;.", (2) "He shall review the proposed annual budgets of all offices
and departments of the City and consolidate them into the proposed an-
nual City budget for presentation to the Council by the City Manager.",
(3) "He shall interpret the intent of budget appropriations, and upon
request of any Coorcil--appointed officer shall advise as to the pro-
priety of any proposed charge." He noted there is anothes statement
in the Charter that says the Controller is responsible for the format
of the budget. Councilman Henderson again referred to his memo and
the examples set forth regarding his inability to determine the costs
of individual programs. He said he was speaking of simple concepts
which would enable one to compare direct costs of individual programs.
In response to Councilman Berwald, Mr. Sipel explained that the area
Councilman Henderson referred to was Section "c" on page 3 of the
Finance and Public Works Committee memorandum to the Council dated
6/13/72 and which related to observations. He commented that the bud -
net is delegated to the City Controller under the Charter but added
that he could not see how the City Manager could carry out his func-
ttons effectively &_i *`-`tit being involved in this process. He said he
would be very plea} ..a.patticipate in this assignment.
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6/26/72
City Controller Mitchell suggested that the assignment be a joint
assignment to the City Manager and the City Controller. He stated that
his department has regarded the budget format as defined in the ordi-
nance as meaning the financial schedules, titles and captions and he
has discharged his duties under Section 2.28 of the PAMC which sets
forth the fiscal procedures. He commented that as a result of working
under this Section for the past thirteen years he would like to have
the opportunity in 1972-73 of presenting the Finance and Public Works
Committee with an updated version since..=n his opinion, there are
some deficiencies in this Section and during the review of the budget
format tney should also look at some of the fundamentals as required
in the Code.
Councilman Beahrs noted that during the ten years he has been a Council-
man the budgets have varied with some having more successful presenta-
tions than others. He stated that this year's presentation was out-
standing as compared to some of the others. He said he would prefer
use of the terms: "concept" to that of "format" and noted that over the
vears there have been a lot of changes in accounting approaches, ter-
minology and thinking. He concluded by saying he would not want to
believe that in settling on a format the Council was intending to place
the management in a straight jacket and say "this is the idealized
account' .g approach from here on out._'
Councilman Pearson said that in her opinion one of the biggest pro-
blems for a layman is that he can't take the budget from year to year
and compare it, look at one department and say it has gone up or down-,
so much, it is effective or it isn't. She quoted from the Charter,
"the Controller shall have full charge of all accounting and billing
and recommend the form in which the budget is to be adopted." and in
the Code, °'he shall prescribe, subject eo approval of the Council,
the form in which the budget is to he presented." She stated that the
budget is one of most important things the City Council does every
year, the time when the public ehould come to the Council and express
their pleasure or displeasure with that policy, how the money is being
appropriated and what certain programs will cost. S:ae expressed dis-
appointment that so few member of -the community attended the meetings
at which the budget, is adopted. :The said she was hoping for a budget
that. can be rooked at from year to year AS to what is happening so the
Council can determine whether they want new polities, one thet citie
zens can look at in the same way and say they do or do not dike what
tree' Council is doing.
Councilman Henderson stated that he was including the sense of c'ncept
when he used the term "format" - how it appears and how it can be used.
He stated it was his belief it Is proper that the City Contrnlle: , as
.aCount#:.-appointed officer, should be given this assignment, that it
is his duty. He commented that the City Controller and City Manager would
obviously be working together.
Toe motion carried unanimously on a voice vote.
Mayor Comstock thanked the Chamber of Commerce, the League of Women
Voters, ;staff and Finance Committee merahers for all the work they have
done on the budget and for setting the stage for an ongoing, dynamic
process.
(The Council recessed from 9:43 to 10:00 p.m.)
•
184
6/26/72
Administrative Reor anization
Mayor Comstock asked Councilman Pearson, Chairman of the Policy and
Procedures Committee, to report.
Councilman Pearson referred to the Minutes of the meeting of June 15,
1972 and commented that the second item'consideree by the Committee
that evening (the Williamson Act) will be before Council on July 10th.
Tonight, the Committee wishes to make recommendations concerning the
ordinance proposed to t.ilect administrative changes and the Committee
had. made one amendment to the ordinance, proposing that it be changed
to read "Animal Services Divis,ian" instead of "Animal Services Depart-
ment." Following the meeting the Council had received a memorandum
dated June 21, 1972 from Councilman Henderson in which he reviewed
again the three organization charts. One, the existing or present
organization; two, the changes as proposed by the City 'tanage :; and
three, Councilman Henderson's proposed organization chart. Chairman
Pearson noted that at the Policy and Procedures Committee meeting
there had been some feeling on the part of both the staff and members
of the audience that they did not want to see "department" changed to
read "division". Chairman Pearson said tbe feeling was that such a
change would affect the 1 vel or type of personnel involved. She said
that the Committee recognized that qtr. Sipel was aware of thie naming
problem and had indicated that he exg:ected further changes to occur
in the next few years. The Committee had therefore unanimously sup-
ported Mr. Sipel's recommendations. After making this decision the
Committee had received the memorandum from Councilman Henderson.
Councilman Pearson expressed concern about the change in the Depart-
ment of Administrative Services to Department of the Budget and Staff
Services. She said she was concerned that what =say happen in the
future is that the Assistant to the City Manager :may find hia_elf in
the ponit10n of proposing the for for the Budget without the concur-
rence of the Controller; she felt that was unavoidable with the wording
as it presently is and she would hope that the difference could be made
more specific. She said that she would like to see the Controller and
the Manager determine what their separate deties.are and report back
to the Finance and Public Works Committee.
MOTION: Chairman Pearson introduced the following ordinance And .moved,
in behalf of the Policy and Procedures Committee, its approval for first
reading:
"Ordinance of the Council of the City of Palo Alto Amending
Certain Sections of Chapter 2.O8 (Offices and Departments) of
the PAMC to Reflect Administrative Changes Including the Amend-
ment to Change Section 2.08.22 to Read 'Animal Services Division'
Instead of 'Animal Services Department"
AMENDMENT: Councilman Pearson moved that the ordinance be amended to
delete that section which establishes the Department of Budget and
Staff Services and also Section 2.08.165 which establishes a subsec-
tion 3 of that Section and that the Code shall remain as it is at
present until the wording is clarified.
The amendment died for lack of a second.
Councilman Beahrs commented that he felt the Council was dealing in
a realm which is the responsibility of the City Manager. Mr. Sipel is
doing a good job and is entitled to an administrative setup which is to
i 8 5
6/26/72
his liking and to his needs. He said he -could envision City Manager
Sipel wishing to snake further chance within the next three or four
years and he thought the goa.'_ of -Council should be to maintain flexi,
bility.
Speaking to the subject of his memo of June 21st, Councilman Hender-
son said he had reviewed a letter in 1971 from Mr. Mitchell to the
City Council, dated October, 1971, regarding certain inconsistencies
in the Administrative Code, making particular references to the duties
of officers and the responsibilities of departments. Councilman Hen-
derson stated that he hat voted against the Committee recommendations
endorsing the proposed o_dinance and would like to ask staff to pre-
pare a new ordinance, which would incorporate the recommendations con-
tained in his memorandum of June 21, 1972.
Mayor Comstock said that he would like to suggest an alternative
cour;e of action. The ordinance before Council is the enabling legis-
lation for the City Manager to carry out his suggested changes. Re
said he would like to suggest that there be a referral of the comments
made by Councilman Henderson and Councilman Pearson to the Policy and
Procedures Committee so that they can go into these matters in detail.
Ne said he felt the ordinance accomplishes what the Council has already
approved in principal, but there are some questions which should be
resolved, and he would like to see the Council pass the ordinance to-
night with the understanding that the matter could stand some more re-
view before the Policy and Procedures Committee. He suggested that
Councilman Pearson prepare an item of New Business for a future Agenda
for referral to the Policy and Procedures Committee.
Councilman Clark stated that he could not agree with this. He felt
that the Council should pass the ordinance and make note of Mr. Sipei's
statement at the Policy and Procedures Committee that staff has this
entite matter under consideration and the administrative reorganization
will be redone within the next two years. He said he felt that the
comments and suggestions made by Councilman Henderson will not go un-
heeded and it should be left to Mr. Sipe1's good Judgment to bring the
matter back to the Council.
The ordinance, as amended by the Policy and Procedures Committee, was
approved for first reading on a majority vo1 a vote.
A Policy Plan for the.4a lands of
Santa Clara Count a anaucoan litiit ee
o ant
Sir
Santa Clara County
MOTION; Councilman, Clark moved, secc' ded by Comstock, that the Council
arprove the following recommendations of the Planning Commission:
a) That the City Council enthusiastically endoreez .for approval
by the Planning Policy Committee the goals and policies set
forth in A POLICY PLAN FOR 'THE gAY"LAt4DS OF SANTA CLARA COUNTY
as presented by the garlands Subcommittee of the Planning
Policy Committee of -Santa Clara County with revisions as re-
corded in the Planning Commission minutes of June 14, 1972;
That the Council adopts the goals and policies contained
therein where they are applicable to the City of Palo Alto,
recognizing that.C:(ey policy will be more restrictive than
those expressed in the Policy Plan on some points; :end
186
6/26/72
c) That ail areas of the Baylands of the City Of ra10 -.._to,_
included under the_applicaton of the Goals and Policies
.even though some are not included in the plsAning Policy
Baylands Study area.
AMENDMENT: Councilman Clark moved, seconded by Comstock, that the
motion be amended to add the following: "That the Baylands Study map
reproduced in front of the report he modified to include San Jose
Baylands area as well as others."
The amendment passed on a unanimous voice vote,
The motion to adopt the Planning Commission's zecommendat`ons a, b
and c, together with the above additional amendment, passed on a unani-
mous voice vote.
Site and Deli n Control s royal -
. oast ays. ore Roa
MOTION: : Councilman Beahrs moved, seconded by Rosenbaum, that the
Council uphold the recommendation of the Planning Commission and approve
the application of Carl Holvick Company for Site and Design control
approval at 2525 East Bayshore Road, subject to conditions recorded
in the June 14, 1972 Planning Commission minutes.
The motion passed on a unanimous voice vote.
Site and Desi n Control ti ,roval -
1 1 El Camino Real
MOTION: Councilman Beaters moved, seconded by Rosenbaum, that the
Council uphold the recommendation of the Planning Commission and
approve the application of Cloudburst. Car Wash for Site and Design
approval at 841 El Camino Ral,.subject to conditions recorded in the
June 14, 1972 Piannin.g. Commission minutes.
Councilman Berwald noted that this site is an abandoned gas station
and he said he would not participate in the discussion of this item,
nor would he vote upon it.
The motion passed on a unanimous voice. vote With Councilman Berwald
abstaining.
Countywide Human Relations Cot ission
Mayor Comstock acknowledged receipt of a communication from the Chair-
man of the Human Relations Commission plus an exei'pt from the minutes
of the HRC meeting of June 13, 1972.
MOTION: Mayor Comstock moved, seconded by Beahrs, that the Human
Relations Commission position be approved and forwarded to the Santa
Clara County board of Supervisors, accompanied by the comments con-
tained in the Human Relation Commission's letter to Council dated
June 22, 1972 'regarding County formation of a Human Relations Com-
mission.
See
Page
1 95
187
6/26/72
See Page
196
Councilman Borwald commented that he would like to see every city in
the Covtty have its own Human Relations Commission, but in the absence
---of that there is an opportunity to work through the Inter --City Council.
Mayor Comstock noted that this subject had been discussed at the last
ICC meeting and he said he had made a comraitrrcnt - to inform ICC of ," 1a
Alto's position on this subject.
The motion pawed on a unanimous voice vote.
Booklet on Tenant -Landlord Relations
Mayor Comstock congratulated the Manager, the community, the staff
and the Human Relations Commission for producing an outstanding book-
let on Tenant -Landlord Relations. He said thiEi was a first-class job.
A lication for Alcoho c !3evera e
'cense Quniry li �.
.s ni r�.-.7i =t *eft �l.a -
. iION: Councilman Pearsoa moved, seconded by Rosenbaum, to file
without action the application for an "Off Sale Beer and Wine" license
at the Old Country Delicatessen, 2313 Birch Street.
The motion passed on a unanimous voice vote.
A lication for Alcoholic Bevero
cense -- io icoat ?•ar et 3t, niversiti
venue C7- 7. 3 }
It was noted that based upon information provided by the Police Depart-
ment and the City Attorney's office the City has neither reason to file
nor grounds to sustain a protest f.,r this f'lc_oholic: beverage license
application.
MOTION: Councilman Pearson moved, seconded by Rosenbaum, to file with-
out action the application for an "Off Sale Bear and Wine" license at
the above named establishment.
The motion passed on a unanimous voice vote.
Contract to Develo an Estimated
4==.11=626..U16.25 o ':6i j
MOTION: Councilman Clark moved, seconded by Pearson, that the Mayor
be authorized to sign the contract with Stanford Research Institute,
to develop a program to estimate customer water, gas and electric
meter reading in alternate months, for $17,800.
Councilman Rosenbaum said this seemed rather a complex approach to
him nd .
�_:d he asked y simpler alternatives were not adopted. Why not
make reductions over a two month period and send out a bill every two
months, he asked.
1 8 8
6/26/72
Mr. Warren Deverel, Managing Director of Utilities] responded, stating
that this had been teseerched and -*.o bill every two months would seri-
ously affect the City's cash flow.
City Manager Sipel noted that since the City of Palo Alto owns five
utilities .nhe bills would be too high in staff's opinion}and two monthly
billings would cause problems with collection.
Councilman Rosenbaum said in his opinion this would be a one time de-
crease. He suggested sending out a bill with a stub every two months
similar to the way the County taxes are collected.
Mr. Deverel responded stating that two monthly billings would mean a
continuing deferral. He said other alternatives had been tried by
other municipalities and in most cases it was found that these methods
were not acceptable to the customers.
Councilman Rosenbaum responded that he did not think the customer
would ever i..no . 'pie said staff is suggesting an expenditure of $13,000
to go to -a -grew: deal of trouble to get accurate readings and he won-
dered how the custorer would ever know the difference.
Mr. Devote' said that staff is oporat{rig on the experience of other
utilities and it has been proven that this kind of billing would be
acceptable from a public relations standpoint.
1
Councilman Pearson raised questions regarding Page 2 of the staff re-
port and asked what would happen to the meter readers and equipment
and supplies which it is indicated will be saved by this new system.
She said she felt that the savings indicated were fictitious. Why not
have this contract reviewed by the Finance and Public Works Committee;
she suggested.
MOTION: Councilman Pearson moved, seconded by Rosenbaum, to refer to
the Finance. and Public Works Committee for review and recommendation
to Council, the contract with Stanford Research Institute for Consult-
ing Services - development of an Estimated Meter Reading Program.
The motion to reiet to -the Finance and Public Works Committee passed
on the following roll call vote:
Ayes: Beahrs, Henderson, Pearson, Rosenbaum, Semen
Noes: Berwald, Clark, Comstock
Report on Sanitation :service
r a m�rovemetts - ro#ect ho. -$3 (C :329:2)
� ir.rrrrrrr�irr.arr�wosesi.gi�s�ww ■ rr•rr'r.��
MOTION: Mayor Comstock moved, seconded by Beahrs, that the Mayor be
authorized to`execute a contract with Delano H. Large, Inc. in the
amount of $43,880 deleting hid item number 5 for Sanitation Service
Yard Improvements - Project No. 71-83.
City N,,inegetSipei responded to a question from Councilman Henderson
as to why only six bids out of seventeen contractors contacted were
received, stating that the bid process ie a two step process and it is
likely that contractors indicating an initial interest may have decided
later not to submit a bid.
The motion passed on a majority voice : vote.
1 8 9
6/26/72
En ineer's Contract for Redesi n
of oot s eti it es C!R. ' :2)
City Manager Slpel presented a brief review of the staff report.
Councilman Henderson raised questions concerning Page 2 of the agree-
ment for consultant services, particularly concerning -he hourly salary
cost of the employee plus 30Z, divided by a factor of 20-80.
Mr. Warren Deverel, Managing Director of Utilities, responded to
Councilman iienderson's questions regarding the formula for payment
and noted that there is a clause in the contract determining that the
total sum shall not exceed ;8,000.
Mayor Comstock confirmed his belief that the fates indicated in the
contract are current rates for consulting services of this kind.
MOTION: Councilman Berwald moved, seconded by Semen, that the agree-
ment for consultant services re evaluation of the Foothills utility
syetems be approved and the Mayor be authorized to execute this con-
tract between the City of Pale Alto and Brown and Caldwell, Consulting
Engineers, E4an Francisco.
The motion passed on a unanimous voice vote.
Modification to Existing
Truck Route Ordinance
MOTION: Mayor Comstock introduced the following ordinance and coved,
seconded by Berwald, its approval for first reading:
"Ordinance of the Council of the City of Palo Alto Amending Sec-
tion 10.48.090 (b) (2) of the PAHC to Include Contractors in the
City of Palo Alto Truck Route Regulation Provisions" (Second read-
ing 7/10/72)
Councilman Pearson made some counts cvn .eryning the use of Palo Alto's
streets by big trailer trucks. She said these trucks use residential
streets as a through route and added that Embarcadero is not a truck
route.
The ordinance was approved for first reading on a unanimous voice vote.
4=4.4
LController Re
ea_ End retries
See
Page
195
190
6/26/72
City Controller Alfred J. Mitchell reviewed his memorandum to Council
dated June 26, 1972.
MOTION: Councilman Berwald intrcduced the following ordinance and
moved, seconded by Beahrs, its adoption:
Ordinance No. 2660 entitled "Ordinance of the Council of the City
of Palo Alto Authorizing Closing of the 1971-72 Budget and Estab-
fishing of Reserves"
The ordinance was adopted on a unanimous voice vote.
MOTION: Councilman Pearson moved that monies accumulated in the elec-
tric utility and refuse utility funds for capital additions be trans-
ferred to the Capital IMprove;aent Fund retaining their identity.
The motion tailed for lack of a second.
MOTION: Mayor Comstock moved, seconded by Berwald, that monies accu-
mulated in the electric utility and refuse utility funds for capital
additions be transferred to the Capital Improvement Fund and that the
specific utility designation be dispensed with and amounts be filed
under unappropriated balances of the Capital Improvement Fund.
The motion passed on a unanimous voice vote.
Re ort of wit- Clerk on Election Results
Mayor Comstock acknowledged receipt of the report of the City Clerk
dated June 22nd, advising the results of the Consolidated Primary
Election, June 6, 1972.
MOTION: Mayor Comstock introduced the following resolution and moved,
seconded by Beahrs, its adoption:
Resolution No. 4618 entitled "Resolution of the Council of the
City of Paic Alto Declaring the Results of the Special Election
Held in the City of Palo Alto on June 6, 1972 Upcn Propositions
Amending the Charter of the City of Palo Alto"
The resolution was adopted on a unanimous voice vote.
vOT[ON: Councilman Berwald introduced the following resolution and
roved, seconded by Beahrs, its adoption:
Resolution No. 4619 entitled "Resolution of the Council of the
City of Palo Alto Declaring the Results of the Special Referendum
Election Held on June 6, 1972 in the City of Palo Alto"
The resolution was adopted on a unanimous voice vote.
FunJin Priorit- for E tton School
toProject Community Housing, Inc.)
Mayor Comstock recognized Councilman Rosenbaum who had placed this
item on the Agenda as New Busine.`s.
Councilman Rosenbaum referEed to his memo dated June 20, 1972 and said
he thought it would be appropriate for the Council to request that the
FHA give top priority to the Lytton School site housing project for
funding in Palo Alto, i.e. that the next 236 project to be funded in
Palo Alto be the Lytton School project.
MOTION: Councilman Rosenbaum moved, seconded by berweld, that the
Mayor be requested to writ to the FHA ei.ph zing . _
write - �_-i i.-�F......+i.ii.a..�QiV-Alto's-interest
in the Lytton School project and requesting that it be the next 236
project to be funded in Palo Alto.
City Manager Sipel advised Council that based on information he had
received the application for this project was submitted to HUD on Fri-
day, -June 23rd, 1972,
1 9 1
6/26/72
CoenciIuan Seman stated that in her opinion it would be presumptuous
to indicate to HUD a preference for senior citizens' housing over
family housing.
SUBSTITUTE MOTICn : Councilman Seman moved, seconded by Clark, that
the Mayor be requested to write FHA emphasizing Palo Alto's need for
housing for people with low --moderate incomes and requesting the highest
priority 236 funding for the Lytton School project and the Arastraderc
Park project.
Councilman Seman added that she would be much more' at ease with this
general statement requesting consideration of both projects. She said
she felt "squeamish" about naming one project over another.
Councilman Rosan'oaum spoke in opposition to the substitute motion.
He said that someone at HUD has to make a decision on which project is
to he funded first and because of the City's financial interest in the
Lytton School project he felt that the City should be requesting priority
funding for this project.
Mayor Comstock. recognized Mr. Joe Ehrlich, 4225 Park Boulevard.
Mr. Joe Ehrlich, 4225 Park Boulevard, spoke to the sense of Councilman
Rosenbaum's original motion. He said that as a private d --toper he
had also made a financial commitment and he did not like to see the
City in competition with the private sector in maneuvering for funds
from HUD. He also said that such a cotton would infer that the Council
Is in favor of senior citizens' housing and that multi -family housing
has second priority. Mr. Ehrlich said he would prefer a motion similar
to that proposed by Councilman Seman which would be more effective.
He would feel uncomfortable about the City backing something because
the City has money on the line.
Councilman Seman stated in her opinion every time the City approves a
236 project a letter should be sent to HUD. She said FHA has to take
the national priorities into consideration and it would be pres umptu-
our for Palo Alto to deal with national priorities.
Councilman Rosenbaum commented that sometimes too much credit is given
to government agencies and someone on the receiving end of the applica-
tion will have to make a -decision and win respond to pressure. He re-
butted Mr. Ehriich's comments about funding and asked why is it so
difficult for a non-profit developer to gt;t some funding.
Councilman Pearson pointed out that there are two sets of funds avail-
able; one for housing for the elderly and one for multi --family housing.
The substitute motion passed on a majority voice vote.
Resolution of Welcome to the Honorable
von o Oaxaca, exico
Mayor Comstock raised an item of New Business and said that tais_'es
t c Ci,y Lae -been proud -to receive the -Memorable Jorge Martinez Cracida,
Mayor of Oaxacan Mexico, sister city of Palo Alto.
MOTION: Councilman Seman introduced the following resolution and
moved, seconded by_ Comstock, its _adoption on an emergency basis:
1 9 2
6/26/72
Resolution No. 4620 entitled "Resolution of the Council of the City
of Palo Alto Welcoming to thf City of Palo Alto the Honorable Jorge
Martinez Graeidae Mayor cf Oaxaca, Mexico; Carlos Hamilton and
Jorge Gonzales, Past Presidents of the Committee of Sister Cities
of Oaxaca, and Senior Ba.11estero; President of the Oaxaca Rotary
Club"
The resolution was adopted on a unanimous voice vote.
Fire at Jordan School
Councilman Rosenbaum raised a further item of "ew Business concerning
the recent fire. at Jordan School and the damage caused to the pool.
He inquired re the status of repair to the pool and whether the pool
will be available for use this summer.
C. B. Walker, Acting Assistant City Manager, stated it was understood
from the School District that they hope to have complete assessment
of the damage by the end of this week and an estimate of the time it
will take to rehabilitate the damaged equipment .so that -the pool -can
once again be functional. It has been established that the filter is
all right, he said, but there may be some damage to the heater. The
pool will probably be opened before the end of the summer. Mr. Walker
stated that he would take steps to insure that the Council had a full
report on the damage and timing of repairs.
(Vice Mayor Norton took his seat at 11:30 p.m.)
Palo Alto Re resentative to
Advisory Commission to the Santa
ara ourt� Transit I istrict
Miayor Comstock referreyi to a letter dated June 14, 1972 from the Santa
Clara County Board of Supervisors seeking the name of Palo Alto's
representative to , the 25 member Advisory_ Commission to the Santa Clara
County Transit District. He noted .that included in this membership there
will be one Councilman appointed by each of the 15 cities from them
respective Councils. There be 7 public meishers appointed repre-
senting people who have,a special need for transit services, such as
minority persons, persons with limited means, elderly, handicapped,
and young, --3 by the San Jose City Council, 1 by the Santa Clara City
Council, 1 by the Suiiny'ale City-Couneii, and 2 by the Board of Super-
visors. Finally, 3 public members are to be appointed -by the Board of
Supervisors based on their special knowledge of • transit.
MOTION: Mayor Comstock coved, seconded by Clark, that Councilman
Richard Rosenbaum be named as Palo Alto's representative to the Advi-
sory Commission to the Santa Clara County Transit District and that .: :
Councilman Sylvia Seman be named as the alternate.
Councilman Pearson invade some comments objecting to the membership.dis-
tribution and said she felt Palo Alto should have one of the public
member appointments.
Councilman Rosenbaum noted that tL a formula for the 25 member Advisory
Commission was part of the legislation adopted at the request of a
Councilman from San Jose, to an effort to make sure that the San Jose
minority population would support the Transit District.
19 3
6/26/72
S2.e
Pag
19
The motion appointing Palo Alto's representative and alternate passed
on a unanimous voice vote.
Executive Session
The Council adjourned to Executive Session to discuss personnel matters
from 11:35 to 12:20 p.m.
Adjournment
The meeting was adjourned at 12:20 p.m.
ATTEST:
City Clerk 6
APPROVED:
Mayor