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HomeMy WebLinkAbout2003-08-04 City Council (13)City Manager’s Report TO:HONORABLE CITY COUNCIL FROM:CITY MANAGER DEPARTMENT: PLANNING AND COMMUNITY ENVIRONMENT DATE: SUBJECT: AUGUST 4, 2003 CMR: 390:03 AUTHORIZATION TO CONTRACT FOR ENVIRONMENTAL IMPACT REPORT FOR STANFORD RESEARCH PARK AND MAYFIELD DEVELOPMENT AGREEMENT RECOMMENDATION Staff recommends that the City Council direct the City Manager to take all actions necessary to prepare the Environmental Impact Report (EIR) for the Mayfield Development Agreement including the Stanford Research Park (SRP) and abutting sites along E1 Camino Real (ECR) in an expedited manner, including but not limited to entering into professional service or consulting contracts without formal or informal bidding, as authorized by the Municipal Code, thereby modifying the standard procedures for entering into these services or contracts which ordinarily require City Council review and approval. BACKGROUND The final EIR approved in September 1997 for the City of Palo Alto 1998-2010 Comprehensive Plan (Plan) estimated that approximately 800,000 square feet of new floor area would be added to the SRP in the twelve-year timeframe of the Plan. This additional square footage was not the maximum allowed in the SRP under the existing Comprehensive Plan Industrial Land Use Designation or Limited Manufacturing zoning, but was a reasonable expectation given the economic conditions, which existed when the Plan and its environmental review were being prepared. CMR:390:03 Page 1 of 4 As a result of the strong economic conditions in the later 1990’s, most of this anticipated square footage was added to the SRP by the middle of 2001, only three and a half years into the 12-year Plan. As a result, on January 14, 2002, the City Council advised Stanford University and Stanford Management Company that further development in the SRP could not be considered by the City until a new environmental analysis was completed that would evaluate potential impacts from the additional square footage that could be located in the SRP under existing Plan and zoning designations. Among the potential impacts would be additional traffic and associated noise and air quality changes. In the last year and a half, no project has been approved in the SRP that would add vehicle trips in the area. The City Council and Stanford University are currently working on an agreement regarding the use of the vacant six-acre site at the northwest corner of Page Mill Road and E1 Camino Real, commonly referred to as the Mayfield site. The elements of that proposed agreement were outlined in CMR: 333:03 dated June 23, 2003. DISCUSSION The City of Palo Alto and Stanford have begun meeting on a weekly basis to further define the elements of a Mayfield development agreement. Four working groups have been assembled from City and Stanford staff to address the following issues: field design; environmental review; traffic mitigation; and lease agreements. A Development Agreement between the City and Stanford cannot be finalized until the environmental analysis for the agreement and environmental review for the SRP have been completed. The soccer fields and accompanying site improvements cannot be built until a Development Agreement is finalized. Both the City and Stanford want the fields and other improvements built as soon as possible so that they will be available to the public and pressure on existing fields can be reduced. A consultant must be selected and a contract signed before work on the EIR can begin. All contracts over $65,000 normally receive City Council review and approval. Three to four months is frequently needed to advertise for and select a consultant and then prepare a contract for City Council review and action. This process usually includes three to four weeks for City staff to prepare a Request for Proposal (RFP); four weeks for consultants to respond to the RFP; two weeks for staff to review the responses and schedule interviews for selected respondents; three weeks to draft a final scope of work and contract; and three weeks for internal review of that contract prior to it being reviewed by City Council. Adhering to this procedure and timeline would result in a consultant being selected by October or November 2003 and the EIR being completed in September or October 2004. Construction projects cannot begin after October due to the probability of inclement weather. The design team estimates that it will take about three months to build the fields. Starting construction in October 2004 would mean that the project could not be CMR:390:03 Page 2 of 4 completed prior to the rainy season, which typically begins in November. Therefore, construction of the soccer fields could not begin until spring 2005. This does not meet the shared goal of having these fields available as soon as is practical. Staff requests that the City Council expedite the consultant selection process and allow the City Manager to enter into professional service or consulting contracts without formal or informal bidding as required by the Municipal Code and without review and approval by the City Council. This expedited process would be similar to that which was used in selecting the consultants for the Charleston-Arastradero Corridor Plan. An expedited schedule could result in a consultant contract being finalized by late August 2003, and final City Council action on an EIR possibly by June 2004. Construction of the fields could then begin in 2004. A public scoping meeting is scheduled in September 2003 so members of the public and interested parties can comment on the draft scope of the EIR prior to the consultants starting the analysis. RESOURCE IMPACT Stanford University has agreed to pay for half of the total cost of the EIR, up to $200,000. The City of Palo Alto will pay the costs initially and then be reimbursed by Stanford. The total amount to be paid by Stanford is not yet known because the City has not formally contacted consultants or finalized a scope of work. That contact will occur and the total amount determined after the City Council authorizes an expedited process. A Budget Amendment Ordinance (BAO) will be prepared and brought to the City Council for review and approval in September to enable the City to pay the consultant costs prior to reimbursement by Stanford. In addition, the City of Palo Alto is providing the transportation analysis through the Citywide Study and Traffic Model currently underway.The cost of the Citywide Transportation Plan is estimated at $175,000. POLICY IMPLICATIONS The proposed Development Agreement for the Mayfield site is consistent with Comprehensive Plan Goals and City Council Top 5 Priorities as presented in CMR:333:03, dated June 23, 2003. The timing of the environmental review for the Agreement does not change or affect that policy consistency. Conducting environmental review of potential development in the Stanford Research Park is consistent with City Council direction given on January 14, 2002. TIMELINE If the City Council authorizes the City Manager to expedite this consultant selection process and EIR preparation, the EIR, Development Agreement and design of the fields CMR:390:03 Page 3 of 4 should be completed in June 2004 based on the draft schedule with field construction commencing shortly thereafter: If the City Council does not authorize the City Manager to expedite this process, the EIR and Development Agreement cannot be completed before October 2004 and the field construction would commence at the earliest in spring 2005. COURTESY COPIES Gordon Earl, Stanford Larry Horton, Stanford Bill Phillips, Stanford Jean Snider, Stanford Ethan Bing, Stanford Sanford Skaggs, Bingham McCutchen Julie Jones, Bingham McCutchen PREPARED BY: Lisa Grdte Chief Planning Official DEPARTMENT HEAD REVIEW: EMSLIE Director of Planning and Community Environment CITY MANAGER APPROVAL: Assistant City Manager CMR:390:03 Page 4 of 4