HomeMy WebLinkAboutStaff Report 2308-194913.Direction to Staff to Develop a Proposal to Lease the Cubberley site from the Palo Alto
Unified School District for 55 years or Provide Alternative Direction to Transfer
Ownership or Control to the City; CEQA status – not a project. Public Comments
Presentation
City Council
Staff Report
From: City Manager
Report Type: ACTION ITEMS
Lead Department: Community Services
Meeting Date: October 16, 2023
Report #:2308-1949
TITLE
Direction to Staff to Develop a Proposal to Lease the Cubberley site from the Palo Alto Unified
School District for 55 years or Provide Alternative Direction to Transfer Ownership or Control to
the City; CEQA status – not a project.
RECOMMENDATION
Staff recommends that Council approve development of a proposal for a 55-year ground lease
for improvement and community use of the Cubberley campus to be submitted to Palo Alto
Unified School District (PAUSD), in conjunction with the Cubberley Ad Hoc Committee. Upon
finalization of a proposal, staff will agendize an open Council session to review proposal specifics
and next steps. Alternatively, Council may direct staff to develop a proposal based on a different
structure.
EXECUTIVE SUMMARY
On March 13, 2023, the PAUSD Board of Education provided a letter to the Palo Alto City Council
inviting the City to submit one or more proposals to transfer a portion of PAUSD-owned land at
Cubberley to the City (Attachment A). The Council discussed the invitation at a Study Session on
May 15, 2023. A closed session discussion was scheduled for August 2023; however, the Council
chose to schedule an open discussion in lieu of the closed session.
Staff have reviewed the methods by which the City could acquire land from PAUSD at Cubberley
and recommends the Council direct staff to develop a proposal for a 55-year ground lease of the
Cubberley site to expedite improvement of the site for community use and benefit. Staff would
engage with the Cubberley Ad Hoc Committee to develop a proposal and then return to the
Council for further direction and next steps. While there are other means by which the City could
acquire land at Cubberley, e.g., land trade or purchase, a ground lease appears to provide the
greatest benefit to the City because it allows the City to proceed quickly to assume primary
responsibility to improve areas of the Cubberley site without first negotiating new ownership
boundaries and land purchase. A ground lease is the most expedient way to begin the public
planning process for improvements of greatest interest to the community. Additionally, a ground
lease would not require the City to relinquish ownership of other properties within the City that
provide community value.
BACKGROUND
In March 2023, the PAUSD Board of Education provided a letter (Attachment A) to the Palo Alto
City Council inviting the City to submit one or more proposals to transfer a portion of PAUSD-
owned land at Cubberley to the City. The letter states the Board of Education is “…open to a deal
that transfers ownership or development control over at least 7 additional acres to the City…” so
the School District can retain 20 acres for development of a future school. However, the letter
also states that they would be open to a proposal that transfers more than 7 acres to the City
and expressed flexibility around the exact location of the City’s acquired acreage. The School
District would like to reserve their acreage for a future school site as they determine necessary.
Following receipt of the March 2023 letter, the City Council held a Study Session on May 15, 2023
to provide feedback to staff and discuss next steps. The study session staff report1 and
presentation2 provide detailed history and background information on the Cubberley site. A full
history of the Cubberley site and summary of previous master planning efforts can be found in
Attachment B. Staff suggested the following questions be discussed:
1. What is the process the City Council would like to use for discussions and communications
with the School District?
2. What would the City Council like to include in a proposal to the School District?
3. Would the City Council like to designate a committee to work with staff on proposal
development?
Much of the discussion was focused on the order in which a plan for Cubberley should be
developed. For example, should a development plan drive how much land the City should
acquire, or should the land transaction precede land planning efforts? There was some discussion
on Cubberley finances, which was presented by staff with the caveat that the financials were
preliminary since Cubberley expenses are included in several department budgets and cost
centers and are difficult to track. Following the study session, staff refined the budget numbers,
and a summary is included in the Fiscal/Resource Impact section of this report. One outcome of
the Study Session was the assignment of an Ad Hoc to work with staff on proposal development
consisting of Mayor Kou, and Councilmembers Lythcott-Haims and Burt.
A Closed Session of the City Council was scheduled for August 21, 2023; however, the Council
unanimously passed a motion to not go into Closed Session and directed staff to bring the item
1 City Council, May 15, 2023, Agenda Item # 2, SR#2304-1339,
https://cityofpaloalto.primegov.com/Portal/viewer?id=1610&type=2
2 City Council, May 15, 2023, Agenda Item #2, https://cityofpaloalto.primegov.com/Portal/viewer?id=1635&type=2
back to Council in an open session. Council members said that an open session should be
sequenced first to allow for greater transparency. Since the Closed Session can only include
discussions on price and terms of payment, the Council first wanted to review the different real
estate methods to acquire land and discuss how much land to acquire before going into a Closed
Session.
ANALYSIS
Of the 35-acre Cubberley site, currently the City owns eight acres and PAUSD owns 27 acres. The
City leases a portion of the 27 acres including the athletic fields, gyms, pavilion, theater, and
several smaller rooms. The City currently pays PAUSD $2.5 million per year to lease the Cubberley
space and allocates $1.8 million per year for facility capital improvements. In addition, the City’s
budgeted costs to operate Cubberley in FY 2024 is $2.6 million, which includes costs incurred by
Community Services, Public Works, and Real Estate for day-to-day operations, customer service,
upkeep, and tenant/renter relations.
Land transfer options
There are several methods by which the City could acquire land from PAUSD at Cubberley –
purchase, land trade, or ground lease.
Purchase – A direct purchase would transfer ownership of a portion of the Cubberley property
from PAUSD to the City, also known as fee title acquisition. A land acquisition would give the City
full control of the acquired property and allow the City to use the property in any manner
consistent with federal, state, and local laws and ordinances. A purchase agreement would
require a formal land appraisal, a public discussion and Council decision on the amount of land
to purchase, and the portion of the Cubberley property to acquire (within the Cubberley site). A
funding source would need to be identified.
Benefits: City has full control of the acquired property indefinitely.
Reduced costs associated with leasing PAUSD facilities.
Constraints: Aging utilities infrastructure would be difficult to replace if the City only
has control of a portion of the property.
The public process to determine the amount and location of land to
acquire within the Cubberley site could be lengthy and would likely occur
before the actual purchase took place.
Securing a funding source could result in delays to site planning and
improvement.
Land trade – A land trade, or swap, would transfer ownership of a portion of the Cubberley
property from PAUSD to the City in exchange for an equivalent property owned by the City.
Ownership of the traded property would then be transferred from the City to PAUSD. A land
trade would require a lengthy public discussion and a Council and Board of Education decision
on the amount of acreage at Cubberley that would be acquired. Both parties would need to
agree on the city-owned land to be traded. Additionally, the parties would need to agree on
whether an even swap would be based on acreage or the appraised value of the properties. A
land swap was how the City previously acquired approximately 8 acres at Cubberley.
If the property to be traded is dedicated parkland, it must be undedicated prior to ownership
transfer to PAUSD. Article VIII of the City Charter requires that any land dedicated for the use of
park, playground, recreation, or conservation purposes cannot be sold or otherwise disposed of
without a majority vote of the electorate. The Council could decide to put a measure on an
upcoming ballot, such as the General Election in November 2024.
Benefits: City has full control of the acquired property indefinitely.
Reduced costs associated with leasing PAUSD facilities.
A one-to-one land exchange would have no direct land acquisition costs.
Constraints: Aging utilities infrastructure would be difficult to replace if the City only
has control of a portion of the property.
The public process to determine the amount and location of land to
acquire within the Cubberley site and the land to trade could be lengthy
and would likely occur before the actual land swap could go forward.
Time and expense to place an item on a general or a special election ballot
if the traded land is dedicated parkland.
Loss of dedicated parkland if the traded land is parkland.
Ground lease – A ground lease is typically a long-term lease agreement of unimproved land or
previously developed property where the tenant constructs new improvements. Lease terms
customarily run from 30 to 100 years or longer. The tenant typically holds ownership of
improvements during the ground lease term and is obligated to pay all expenses attributable to
the property. Commercial ground lease pricing commonly runs 5-10% of the value of the
land. Long-term ground leases are a very common means to enable capital investment in a
property while the property owner retains title to the property. As examples, this approach has
been used for the Avenidas building, as well as Stanford Shopping Center, Stanford Research
Park, and Google development in Mountain View. Under this arrangement, as the end of the
term approaches, the parties engage in negotiations over extension of the lease, additional
investments, or return of some or all of the property to the owner.
Benefits: City controls land and can develop the land it leases without the purchase
costs.
The public process to plan the future of the site can begin as soon as a
lease is executed.
Replacement or upgrades to utility infrastructure can be considered for the
entire site.
Constraints: City would need to relinquish a portion or all of the leased land when
PAUSD determines it has a need for an additional school or other purpose
in the future.
Key Cubberley Site Considerations
While the PAUSD letter suggests interest in releasing more of the site, the determination of which
portion(s) of the site to pursue in advance of another master planning effort would be very
challenging. This is due to several factors:
•Existing buildings are served by an interconnected system of utilities (power, water, sewer,
storm drainage), much of which is deteriorated beyond its intended lifespan. Improvement
of major systems should include all buildings intended for near-term use; alternatively,
investment in selected buildings would require significant coordination to ensure no negative
effect on buildings retained by PAUSD.
•All building uses are dependent on parking and access through the site, which are primarily
located on PAUSD property. This makes redevelopment of a City portion likely dependent on
continued availability and use of PAUSD property.
•In order to redevelop a new community center at Cubberley, a significant planning effort is
required to determine which existing buildings should be replaced, as well as address parking,
access, and sequencing. Such planning would need to be undertaken before an informed
decision could be made on where to draw new boundaries between City and PAUSD-
controlled properties.
•There are significant unknowns affecting the City’s timing and ability to plan and implement
improvement of the site, including decision-making, financing, and transitioning current uses.
Given this, the City assuming primary responsibility for financial risks associated with such
unknowns would relieve PAUSD from participating in these costs.
These considerations lead to the conclusion that the best strategic path forward is for the City to
pursue a long-term ground lease to gain primary responsibility for management of the property.
Staff recommended proposal
Staff recommends the City propose a ground lease for the maximum acreage PAUSD is willing to
lease for a term of 55 years, while supporting PAUSD use of areas it determines it needs in the
near term through a lease-back arrangement. This ground lease amount may be less than
PAUSD’s 27 acres due to an approximately 1-acre area that provides access to the Greendell
school site and any area with buildings that are considered part of the Greendell school campus,
as well as other PAUSD needs over the next few years such as for campus renovations at other
schools. Attachment C provides a visual depiction of responsibilities for managing the buildings,
fields, and open areas at Cubberley under the current lease and with a long-term ground lease.
It is assumed that PAUSD will want to lease-back buildings and parking lot areas it currently
occupies for educational purposes, though these uses may be relatively short term.
A ground lease allows the City to proceed quickly to assume primary responsibility to improve
areas of the Cubberley site without first negotiating new ownership boundaries and land
purchase, while also enabling PAUSD to retain its stated interest in retaining ownership. A ground
lease is the most expedient way to begin the public planning process for improvements of
greatest interest to the community. Additionally, a ground lease would not require the City to
relinquish ownership of other properties within the City that provide community value.
A ground lease would not preclude a subsequent land trade; a land trade could be pursued after
a ground lease is agreed upon or independently. A ground lease could include terms to define
how a land trade would affect the lease, such as simply reducing the amount of land leased.
Conversely, a land trade alone would not be sufficient to enable the City to proceed with site
planning independent of PAUSD, given the key site considerations noted above.
FISCAL/RESOURCE IMPACT
Staff recommends that should the City Council wish to proceed with the long-term ground lease
approach, staff will work with the Cubberley Ad Hoc to develop a proposal and return to Council
in an open session for review and discussion. A closed session could be scheduled as an
intermediate or subsequent step to discuss the price and terms of payment. Alternatively,
Council could choose to discuss proposed financial terms in open session. It should be noted that
compensation to PAUSD for lease payments will not be available for investment in facilities nor
programming at the site.
To provide a context for this discussion, staff has prepared the following summary of Cubberley
financial considerations.
Cubberley Financials
The table below contains information about the City funds budgeted for Cubberley in the current
FY 2024 Fiscal Year.
FY 2024 Adopted Budget
$ in Thousands
General
Fund -
Ops
Cubberley
Infrastructure
Fund - Ops
Cubberley
Infrastructure
Fund - Capital Total
Revenue
Transfer from General Fund $1,864 $1,864
PAUSD Reimbursement $1,553 $1,553
Rental Income (short & long-term tenants)$2,722 $2,722
Revenue Total $2,722 $- $3,417 $6,139
Expense
Salaries & Benefits $1,427 $260 $47 $1,734
Contract Services $40 $4,866 $4,906
Other Expense $38 $39 $77
Utilities (& allocated charges)$788 $788
Expense Subtotal $2,293 $299 $4,913 $7,505
Cubberley Lease $3,489 $3,489
Transfer to Cubberley Infrastructure Fund $1,864 $1,864
Expense Total $7,646 $299 $4,913 $12,858
The following chart tracks expenses for the Lease (which includes the Covenant Not to Develop
until 2015), Cubberley Infrastructure Operations and Maintenance, Capital Improvement
Projects, and Programming from 2004 to 2023 with grand totals for each year. This summary
does not include revenue nor recognize the amount that PAUSD pays back to the City for
maintenance3 or capital improvements; it is instead a summary of the City’s costs.
Facility Assessment
A Facility Condition Assessment was conducted for Cubberley Community Center in October 2022
by an independent firm to assess the current general physical condition of the developed portion
of Cubberley. The area assessed encompasses 18.5 acres and consists of 22 buildings and over
500 parking spaces. The Facility Condition Assessment Report has not been finalized, but the
3 In the current lease agreement that commenced on July 1, 2020, PAUSD is responsible for
maintenance and repair costs for buildings not leased to the City. Maintenance costs of common
areas (parking lots and walkways) are shared between the City and PAUSD.
draft findings describe Cubberley Community Center as being in poor condition, with over $45
million of maintenance work recommended over the next 10 years. The report compares the 10-
year maintenance cost for each individual building to the building’s estimated replacement cost
to develop what is called the Facility Condition Index. This analysis concludes that all but three of
the Cubberley buildings have reached the end of their useful or serviceable lives.
The resource impact involved with next steps is dependent on Council direction and the
subsequent response by the School District. Cost and terms of payment could vary greatly
depending on the method proposed to acquire land (purchase, land swap or ground lease). Staff
expect that existing staffing will support this effort; however, timing is uncertain.
STAKEHOLDER ENGAGEMENT
Development of a long-term ground lease proposal and establishing an agreement with PAUSD
should be considered foundational steps to reinitiating community engagement on opportunities
to improve Cubberley for continued community use.
ENVIRONMENTAL REVIEW
Development The recommended action is not defined as a Project by the California
Environmental Quality Act (CEQA).
ATTACHMENTS
Attachment A: Invitation for Cubberley Development Proposals
Attachment B: History of Cubberley and Site Map
Attachment C: Cubberley Property Responsibilities – Current and Proposed Ground Lease
APPROVED BY:
Kristen O'Kane, Community Services Director
BOARD OF EDUCATION
25 Churchill Avenue
Palo Alto, CA 94306
(650)329-3983
www.pausd.org
1
5
5
2
March 10, 2023
Palo Alto City Council
250 Hamilton Ave
Palo Alto, CA 94301
Re: Invitation for Cubberley Development Proposals
Dear Colleagues,
What’s happening with Cubberley?
Within the shared canon of our two governmental bodies, few questions evoke the
same wearied engagement as this one. It’s a perennial topic at City/School Liaison
Committee meetings (where it is given a light touch) and during election-season
candidate forums (where the response is a touch heavy-handed). It has been the
subject of meetings, workshops, listening sessions, town halls, and a master plan, all
while the site has remained relatively unchanged since the school was closed on
February 6, 1979. As the crumbling infrastructure belies the rich panoply of community-
oriented programs that now inhabit the site, there is general agreement that Cubberley’s
current use is unsustainable without significant capital improvements.
We, the PAUSD Board of Education, shoulder some of the responsibility for the
restrained pace of Cubberley’s redevelopment plan. But our caution is well-founded. As
fiduciaries of the school district and trustees of students present and future, we have a
fundamental duty to ensure we do not prejudice their interests by repeating the
mistakes of our past selves—when we gave up land during a period of declining
enrollment only to find ourselves in financial dire straits once the need for a new
campus inevitably arose years later.
Indeed, we found ourselves with a student-driven need for the site just this past year.
Two of our elementary schools, Palo Verde and Hoover, are undergoing sitewide
redevelopment. Accordingly, we designated a temporary school campus on the
Cubberley site that will be in use through 2025 to serve those students for the duration
of the construction.
Nevertheless, we understand and fully support the City’s desire to move forward on
development of a portion of the site to realize the vision of a fully-fledged Cubberley
Community Center. The polished incarnation of this community gem will surely benefit
our joint stakeholders and serve as a resource for the District’s students and families.
Attachment A
BOARD OF EDUCATION
25 Churchill Avenue
Palo Alto, CA 94306
(650)329-3983
www.pausd.org
1
5
5
2
Our enthusiasm to support the City’s endeavor is caveated by two constraints: (1) we
have a desire to retain ownership over roughly 20 of the 35 acres for future school use,
the exact nature of which cannot be determined until the need for such a school arises;
and (2) we cannot ask the voters to pass a school bond to fund a community center
development, as such a bond may only be used to fund school construction as
specifically enumerated in Education Code section 15100.
Within those constraints lies a viable path forward. We are open to a deal that transfers
ownership or development control over at least 7 additional acres to the City, leaving
the City with a total of 15 or more acres to freely develop without the constraints placed
upon us. (For reference, the current indoor space at Cubberley amounts to roughly 1.5
acres.) While our preference is to retain 20 acres for future school development, we will
not automatically foreclose a deal that might include a transfer of more than 7 acres.
Furthermore, nothing in such a deal would preclude the City from continuing to lease
the remaining acreage from the District until such a time as the need arises for a new
school. Moreover, we are flexible about the exact location of the City’s acreage based
on the needs of the City’s planned development, subject only to a few limited
considerations for the future school site like street access and neighborhood proximity.
We are also open to the form of the deal—whether it’s a land swap, ground lease, or
some other vehicle for land transfer.
As your neighbor and partner, we therefore formally invite you to submit one or more
land transfer proposals for our consideration within the parameters discussed above.
We acknowledge that your process for community feedback and Council consensus
may take time, but we eagerly await the next step in Cubberley’s future.
Proposals can be submitted directly to Superintendent Don Austin for placement by the
Board’s Agenda Setting Committee on the Board’s agenda.
Respectfully,
Shounak Dharap
Board Trustee
On behalf of the Palo Alto Unified School District Board of Education*
*Duly authorized under Board Bylaw 9010 to communicate this letter on behalf of the
Board.
ATTACHMENT B
CUBBERLEY HISTORY AND PLANNING EFFORTS
History of Cubberley
The 35-acre Cubberley site, located at 4000 Middlefield Road in Palo Alto, opened as a public
high school in 1956 in the Palo Alto Unified School District (PAUSD or School District). Due to
budget constraints resulting from the passage of Proposition 13 in 1978 coupled with declining
enrollment, PAUSD closed many of its schools, including Ellen Fletcher Middle School (formerly
Terman Middle School) and in 1979, Cubberley High School. During the 1980s, the City of Palo
Alto (City) purchased or leased portions of the closed school sites for community uses. In 1981,
the City entered into a Lease to Purchase Agreement with PAUSD to lease the Terman Site (both
the school and park) for 20 years with the right to acquire the Terman Site in the year 2000.
During that time, the City operated it as the Terman Community Center. The City also purchased
Ventura Elementary in 1981, now the Ventura Community Center site.
In 1989, the City and PAUSD entered into a lease agreement in which the City would provide
annual revenue to PAUSD in exchange for: 1) a lease of the entire 35-acre Cubberley site; 2) a
Covenant Not to Develop five other neighborhood school sites; and 3) an agreement that PAUSD
provide space for extended day care at each of the eleven remaining elementary school sites.
The initial lease term was 15 years beginning in 1990, and the lease amount was $2.7 million per
year. The Covenant Not to Develop required the City to pay PAUSD an additional $970k per year
to not sell or develop the school sites that had been closed. By the early 2000s PAUSD had a need
to establish a third middle school and identified Terman School as the best location to open the
middle school. As a result, the City exchanged its right to acquire the Terman School site for fee
title of an equivalent area of Cubberley. The City retained Terman Park, and it is currently
dedicated parkland. Following this transaction, the Cubberley lease was reduced to 27 acres in
consideration of the 8 acres now owned by the City. The lease of 27 acres of Cubberley to the
City was extended two more times, and in 2015 the Lease was amended by replacing the
Covenant Not to Develop with a Cubberley Property Infrastructure Fund of the same amount for
long neglected and ongoing maintenance1,2. At the time of the lease’s expiration in 2019, the
annual lease amount was $5.1M and the Covenant Not to Develop was $1.86M. Although that
lease expired, the City continues to transfer $1.86 million into the Infrastructure Fund for repairs
and maintenance of buildings, facilities, and outdoor spaces.
1 City Council, February 24, 2014, Agenda Item #10, SR#4506,
https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports-
cmrs/year-archive/2014/id-4506-cubberley.pdf
2 City Council, February 24, 2014, Meeting Minutes,
https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/agendas-minutes/city-council-
agendas-minutes/00-archive/2014/02-24-14-ccm-final.pdf
On July 1, 2020, in response to the City’s financial constraints due to the COVID-19 pandemic, a
new 54-month lease (expires December 2024) began that reduced the amount of building space
leased by the City at Cubberley. The leased premises consists of approximately 52,000 square
feet of building space including the theater, pavilion, Gyms A and B, and some additional rooms;
and about 16 acres of outdoor recreation area (athletic fields and track). The new lease amount
is $2.5 million per year (for approximately 17 acres). The School District occupies or has tenants
in rooms and buildings no longer leased by the City. Costs to maintain and repair common areas
(walkways and parking lots) are shared between the City and PAUSD.
Current Uses
There are currently 23 tenants and 24 artists who lease space at Cubberley from the City, and
dozens of individual groups who rent the theater, pavilion, classrooms, and athletic fields from
the City. Combined, these groups provide the community with programs that support health and
wellness, childcare, education, and visual and performing arts. The School District uses their
spaces for educational purposes, staff offices and has leases with some tenants that were
previously leasing space from the City. The parking lot in the southeast corner of the property
houses several portable trailers which function as a temporary site for Hoover Elementary School
during reconstruction of the school. Hoover Elementary School will be at Cubberley for two years
beginning in the 2023-2024 academic year (unless construction timeframes shift). A site map of
Cubberley property lines and uses is on the following page.
Master Plans
There have been several master planning efforts over the years to provide a roadmap and
framework for redevelopment of the Cubberley site. In 1991, A Cubberley Conceptual Master
Plan was completed with community input. In 2013, a Cubberley Community Advisory
Committee, consisting of four subcommittees – School Needs, Community Needs, Facilities and
Finance – issued their report after working together for nine months and developing
recommendations for the future of the Cubberley site. In 2016, the City Manager and PAUSD
Superintendent signed the Cubberley Compact to demonstrate a commitment to working
together to develop a vision for Cubberley. A Cubberley community co-design process began in
2018. The year-long effort resulted in publication of a Cubberley Concept Plan3 in November
2019 developed with input from over 400 community participants.
Since the completion of the 2019 Cubberley Concept Plan there has been limited movement on
advancing a plan for Cubberley due to several reasons. These include a shift in priorities during
the COVID-19 pandemic and the understanding that PAUSD would not be able to support the
Concept Plan due to limitations in funding projects that are not strictly for education purposes.
3 Cubberley Concept Plan, 2019, https://www.pausd.org/about-us/committees-task-
forces/archivedcommittees/cubberley-master-plan
Cubberley Current Land Ownership and Facility Uses
City leases the following from PAUSD: Fields, gyms, G5, G8, Pavilion, theatre, S Building, FOPAL
(near track).
Atachment C
Current Cubberley Property Responsibilites
City-owned and operated
City lease from PAUSD
PAUSD-owned and operated
PAUSD portables for Hoover Elementary School
Common areas
Note: Shaded areas are for illustra�ve purposes only, and do not represent actual property lines.
Atachment C
Proposed Cubberley Property Responsibili�es Under Long-Term Ground Lease
City-owned and operated
City long-term ground lease from PAUSD
PAUSD leases back from City
PAUSD portables for Hoover Elementary School
Note: Shaded areas are for illustra�ve purposes only, and do not represent actual property lines.
From:Ken Horowitz
To:Clerk, City; Council, City
Subject:Menlo Park Community Campus City of Menlo Park
Date:Monday, October 16, 2023 9:27:11 AM
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________________________________
Please share with tonight’s meeting
I will be attending the agenda discussion on Cubberley
Thank you
Ken Horowitz
https://menlopark.gov/Government/Departments/Community-Development/Projects/Under-construction/Menlo-
Park-Community-Campus
Sent from my iPad
From:Bryan Chan
To:Council, City
Cc:kou.pacc@gmail.com; Kou, Lydia; Burt, Patrick; Lauing, Ed; greg@gregtanaka.org; Tanaka, Greg; Stone, Greer;
Lythcott-Haims, Julie
Subject:New Master Plan for Cubberley
Date:Sunday, October 15, 2023 8:49:45 PM
Attachments:Cubberley Project - 2023.pdf
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Hello,
I would like to encourage the City to engage the School District so that this property can be
developed together using a unified plan such that we can avoid complex land swaps or other
costly arrangements that would only lead to additional delays and a fragmented development.
Instead, we need to come together on a cohesive plan that inspires all parties to work towards
a common goal.
Please find attached a proposal for the Cubberley complex.
Thank you.
Cubberley Project
A new perspective
Creating a new plan with purpose
Inspire everyone to create something special at the Cubberley site for both
the School district and City.
Plan for the future needs of the school district and school age families
Provide state-of-the-art facilities for both the School district and City
Unlock new programming to address unmet needs for both the School district
and City
If City and School District can work together on a unified plan, we can avoid
land swaps or other costly transactions which may further delay development
What are the needs of the School
district and City?
School district
Afterschool activities are suboptimal
Need flexibility for uncertain plans
Need a potential site for new school
Continue to monetize property by generating rental income from programming
Access to new facilities and programming may be a benefit offered to School district
employees and teachers
City
Aging infrastructure limits programming and services
Community center in high demand
Aging athletic facilities around the city are limited and do not meet the needs of
residents
What can we do at Cubberley to address
these issues?
Needs of the School district and those of the City are not mutually exclusive
New plan will be centered around the School district’s needs, yet also provide
for the community
A new concept is necessary to optimize the Cubberley site
Focus on dual use facilities that will benefit both the School district and City
Increasing utilization of the property will unlock enormous benefit for both the
School district and community
Need a new concept that is cohesive
Flexible “quad” concept with four main buildings surround an outdoor
courtyard with amphitheater
Academic building
Community center
Two additional buildings for dual use facilities
Plan is flexible and various configurations are possible
Concept: Academic building
Designed to meet the needs of afterschool academic programming
Flexibility allows a site for a future school such as a high school
Provide afterschool academic support and onsite tutoring
Can be staffed by existing pool of substitute teachers
Open floor plan
Direct access to athletic facilities
Secure access between the school facility and other buildings on site
Dedicated gym/basketball courts for a potential future school
Can be used for school administration or other programming before a school is
needed
Concept: Community center
Designed to support much of the existing programming on site today
Includes a dedicated Music & Arts Center
Enables afterschool program to include music, dance and performance art lessons
Provide affordable programing to residents
Provide a progressive pathway to excellence in the Arts
Direct access to dual-use athletic facilities
Concept: Dual use programs to provide
state-of-the-art programming (Aquatics)
Indoor aquatic center
Olympic sized pool for competitive swimming for school and community
Indoor water park with 2-3 stories waterslides and lazy river
Wading pool for toddlers, babies, new swimmers with interactive water features
Will be an amazing site for birthday parties and events
Indoor facilities allows for year round usage from morning till night
Addresses a significant unmet need
Did you know that there are currently 700+ kids in swimming in clubs in Palo Alto? Yet, there
is not a single competitive facility designed to support this demand?
Rinconada pool is aging and under utilized due to its outdoor location (too hot in the summer
and too cold in the winter). JLS and Fletcher pools also under utilized.
High demand for swimming lessons from novice to advanced swimmers is unmet in the City
Concept: Dual use programs to provide
state-of-the-art programming (Tennis)
Tennis center
State-of-the-art facility for existing students and future school
11 lighted courts, separated in banks to enhance programming
Provide affordable high-level tennis programming from novice to national level
players which is not current available
Provide a facility to support recreational and tournament level players
Address a significant unmet need
Did you know that the City of Palo Alto is currently host to one of the most popular monthly
USTA junior tournaments in Northern California at Cubberley? Hundreds of kids apply each
month to participate, but due to the limitations of Cubberley, only 60 can be selected each
month.
City of Mountain View and Sunnyvale have award winning facilities that provide extensive
services and host popular events such as Arthur Ashe Day inspiring the next generation
Concept: Dual use programs to provide
state-of-the-art programming (Gym)
Double gymnasium
Supports recreational and competitive basketball programming
Supports recreational and competitive volleyball programming
Weight training facility
Secure separation between the two gyms in the event a future school is
needed on site
Benefits of dual use facilities at
Cubberley
Provides onsite, high quality afterschool activities
Seamless integration between athletic programming and academics
Students can study in the café or lounge or have onsite tutoring while waiting for
their swimming or tennis clinic
Safe environment for kids to study after their music or sports lessons
Tennis Center and Indoor Aquatic Center will become new landmark facilities
that Palo Alto will be known for and offer a new level of programming that is
unmatched
Support the highest level of coaching
Students at the school and community members will benefit from top level coaches
for swimming and tennis
Why should the school district work and
the City work together?
New Cubberley complex will also serve as a state-of-the-art afterschool
campus for PAUSD students
Offer cohesive and coordinated programming in the Arts, Athletics, and
Academics
Existing afterschool activities are limited in space, quality and instruction
A modern central campus can support higher quality programming
Provides a “one-stop” shop for afterschool and/or summer programming
Working together allows for a cohesive final product
Benefits of a new afterschool facility
High quality afterschool programming compliments existing high quality
academic instruction at PAUSD
Afterschool site is run as a cohesive program for kids enrolled
Kids can sign up for one or more programs (arts, athletics, academics)
Curriculums for each program should meet highest standards
On site tutoring for kids available before and after their programs
Relives burden of afterschool programming from individual schools
Existing afterschool coaches are generally low-level instructors
Afterschool facility solves issues related to shortened school schedules and minimum
days
Including transportation to and from schools allows parents to stay at work and simplify
schedules, especially with kids in different schools
Afterschool enrichment activities
High quality athletics
Tennis
Swimming
Volleyball
Basketball
High quality arts
Music lessons (e.g., piano, violin, youth orchestra)
Dance lessons (e.g., ballet, modern)
Martial Arts
Art classes
Academics
Afterschool language programming (e.g., Mandarin)
Onsite tutoring
Debate/Speech programs
Mathematics
New facility will enhance afterschool
programming
A state-of-the-art facility will augment and bolster afterschool and
extracurricular activities for the school district
Address significant demand for quality afterschool activities from K-12
Too few spots for too many students, signups filled within 1 minute of registration opening
Existing afterschool activities are of questionable value
Existing programs such as tennis are an afterthought, contracted out to low-end instructors
No systematic path for child to advance
Provide a real facility to train in
For example, the tennis courts at JLS is an uneven blacktop, overgrown with weeds.
Greene tennis courts are also just blacktops recycled from old basketball courts.
Dedicated facility allows for high quality level athletic programming
Tennis, swimming, volleyball, basketball
New afterschool facility enables high
quality programming
Provide high quality afterschool activities
Attract and support top-level instructors
Existing afterschool coaches are generally low-level instructors
Low teacher to student ratio
For example, JLS afterschool tennis currently has 1 low-level coach for 24 students!
Meanwhile, outside tennis programs in Mountain View or Sunnyvale have 1 experienced
coach for 8 students.
Step-by-step curriculum that allows for advancement
Kids start at the recreational level and motivated students will have a step-by-step pathway
to advanced to higher levels
Existing programs are designed for the lowest level with no systematic curriculum
Cubberley complex layout to be based
on programming and exiting boundaries
Layout based on existing property boundaries
Programming to generally correspond with property boundaries
Community center related services to be sited within the City boundary
School resides on the School district’s property
Dual use facilities reside on the School district’s property
Layout is flexible and modular
Buildout can be performed in stages following the master plan yielding a cohesive
final product
No need for land swaps between City and School District!
Site Overview
Property boundaries
City
School district
Program distribution
City
School district
Program connectors
Program connectors
•Tennis center (1)
•Amphitheater (2)
•Aquatic center
•Park/Pedestrian paths (3)
Master Plan
Main Buildings
•Academic Building
•Community center
•Indoor aquatic center
•Tennis center
•Modular design allows
for flexibility and
interchangeable
layouts for the complex
Cubberley Project
Architectural Renderings of the campus, community center, academic
building, and gym
\ \ N\\\\X\\\
•Basement level: classrooms, offices, dining hall
•First floor: classrooms, library, main hall
•Second floor: classrooms, mezzanine
Sample cross section of the academic building
•Basement level: dedicated gym/basketball court for the school
•First floor: basketball court, lockers, tennis proshop
•Second floor: bleachers, gym, cafe
Sample cross section of the sports complex
From:Friends of Cubberley
To:Council, City
Subject:Cubberley
Date:Sunday, October 15, 2023 6:05:52 PM
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________________________________
Hello City Council,
I am unable to attend tomorrow night’s meeting because I’ll be rehearsing with my orchestra.
As the chairperson of Friends of Cubberley, I wanted to share my thoughts with you all.
Cubberley is a disgrace to our lovely and special city. After years YEARS of delays for many different reasons,
there is an opportunity now to take a step in the right direction.
Please do the right thing and support Palo Alto in moving forward with Cubberley’s redevelopment.
Deborah Simon
Chair, Friends of Cubberley
From:herb
To:Council, City; Clerk, City
Subject:October 16, 2023 Council Meeting Item #13: Cubberley
Date:Sunday, October 15, 2023 3:03:01 PM
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OCTOBER 16, 2023 CITY COUNCIL MEETING, AGENDA ITEM #13
PROPOSALS TO TRANSFER CUBBERLEY TO CITY OF PALO ALTO
I urge you to reject the staff's alternate proposals foracquiring Cubberley and instead to direct staff to place on afuture agenda an item with a broader agenda item descriptionthat does not constrain the Council from making recommendationsto staff about Cubberley.
The only choices in the agenda item description are to acquireCubberley when there are many other alternatives that wouldpermit the City and the School District to both approve amutually agreeable solution that would serve the needs of boththe City and the School District.
For example, state law permits the School District to use itsbonds to build housing for both teachers and classified staffon its property, which would be a better solution for theCity's need for affordable housing than the City subsidizingprivate developers who claim they need excessively largeprojects that are justified by providing housing for teachersand other school employees.
Perhaps a majority of the Council can set an example forwhoever prepares agenda item desciptions for City Councilmeetings that nobody should prevent the Council from exercisingits decision-making authority by arbitrarily preventing theCouncil from making decisions that are different from thosedesired by whoever prepared the agenda.
Herb Borock
CUBBERLEY-
DIRECTION ON A
PROPOSAL TO PAUSD
OCTOBER 16, 2023 www.cityofpaloalto.org
2
STAFF RECOMMENDATION
Direct staff to develop a
proposal to lease the Cubberley
site from the Palo Alto Unified
School District for 55 years.
City’s 8 acres
3
INVITATION FOR PROPOSALS
Direction on responding to March PAUSD Letter titled,
“Invitation for Cubberley Development Proposals”
PAUSD Key Components within the Letter:
PAUSD has a need to retain 20 acres for future school
use (total acreage needed is negotiable)
PAUSD is open to:
o Transfer of at least 7 acres to the City
o The exact location at Cubberley
o Form of the deal (ground lease, land swap, etc.)
4
LAND TRANSFER OPTIONS
PURCHASE LAND TRADE GROUND LEASE
BENEFITS
City has full control
Lease costs reduced
City has full control
Lease costs reduced
No acquisition costs
City can develop land without
purchase costs
Planning can begin after lease
executed
Utility infrastructure
CONSTRAINTS
Utility infrastructure constraints
Lengthy public process
No funding source
Utility infrastructure constraints
Lengthiest public process
Time and costs to undedicate / loss
of parkland
Relinquish land when PAUSD need
arises
5
INTERCONNECTED SYSTEM
6
INTERCONNECTED SYSTEM
7
CURRENT TO GROUND LEASE
8
STAFF RECOMMENDATION
Ground Lease
55-year term
Full site less access area for Greendell
Lease back buildings to PAUSD
Considerations
Interconnected utility systems can be improved for the full site
Provides maximum area to plan for a new community space
Relieves PAUSD of obligations to manage and maintain Cubberley
9
Lease
$2.5M per year for lease term 2020-2024
$5.1M per year for prior lease in 2019, plus $700k for childcare sites
Cubberley Infrastructure Fund
$1.8M transferred from General Fund to Cubberley Infrastructure Fund to be used
for investment in the Cubberley facilities for long neglected and ongoing
maintenance (2015-present).
Formerly was the "Covenant not to Develop" (1990-2014)
CUBBERLEY TODAY
10
EXPENSES
11
STAFF RECOMMENDED MOTION
Direct staff to develop a proposal for a 55-year ground lease of the
portion of the Cubberley site owned by the Palo Alto Unified School
District, work with the Cubberley Ad Hoc to develop the proposal, and
return to Council in an Open Session.
CITY OF
PALO
ALTO