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Home My WebLink About2024-12-18 Retail Committee Agenda PacketRETAIL COMMITTEE Regular Meeting Wednesday, December 18, 2024 Community Meeting Room & Hybrid 9:00 AM Retail Committee meetings will be held as “hybrid” meetings with the option to attend by teleconference/video conference or in person. Information on how the public may observe and participate in the meeting is located at the end of the agenda. The meeting will be broadcast on Cable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamed to Midpen Media Center https://midpenmedia.org. VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/85845544145) Meeting ID: 858 4554 4145 Phone: 1(669)900‐6833 PUBLIC COMMENTS General Public Comment for items not on the agenda will be accepted in person for up to three minutes or an amount of time determined by the Chair. General public comment will be heard for 30 minutes. Additional public comments, if any, will be heard at the end of the agenda. public comments for agendized items will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. Requests to speak will be taken until 5 minutes after the staff’s presentation or as determined by the Chair. Written public comments can be submitted in advance to city.council@CityofPaloAlto.org and will be provided to the Council and available for inspection on the City’s website. Please clearly indicate which agenda item you are referencing in your subject line. PowerPoints, videos, or other media to be presented during public comment are accepted only by email to city.clerk@CityofPaloAlto.org at least 24 hours prior to the meeting. Once received, the Clerk will have them shared at public comment for the specified item. To uphold strong cybersecurity management practices, USB’s or other physical electronic storage devices are not accepted. Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other types of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting. CALL TO ORDER PUBLIC COMMENT Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on number of speakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda. ACTION ITEMS 1.Recommendations to Council and Staff Following the Committee’s November Study Session Addressing Retail Vacancies in the University Avenue Downtown, Including: (1) Enhanced Cleanliness Efforts; (2) Revisions to the Parklet Program; and (3) Increasing Temporary Uses Late Packet Report FUTURE MEETINGS AND AGENDAS Members of the public may not speak to the item(s) ADJOURNMENT PUBLIC COMMENT INSTRUCTIONS Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone. 1. Written public comments may be submitted by email to city.council@cityofpaloalto.org. 2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item. 3. Spoken public comments for agendized items using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully. You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below. You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak. When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak. When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments. 4. Spoken public comments for agendized items using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted. CLICK HERE TO JOIN Meeting ID: 858‐4554‐4145 Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing ada@cityofpaloalto.org. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. California Government Code §84308, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments. 1 Regular Meeting December 18, 2024 Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas. RETAIL COMMITTEERegular MeetingWednesday, December 18, 2024Community Meeting Room & Hybrid9:00 AMRetail Committee meetings will be held as “hybrid” meetings with the option to attend byteleconference/video conference or in person. Information on how the public may observe andparticipate in the meeting is located at the end of the agenda. The meeting will be broadcast onCable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamedto Midpen Media Center https://midpenmedia.org.VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/85845544145)Meeting ID: 858 4554 4145 Phone: 1(669)900‐6833PUBLIC COMMENTSGeneral Public Comment for items not on the agenda will be accepted in person for up to threeminutes or an amount of time determined by the Chair. General public comment will be heardfor 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.public comments for agendized items will be accepted both in person and via Zoom for up tothree minutes or an amount of time determined by the Chair. Requests to speak will be takenuntil 5 minutes after the staff’s presentation or as determined by the Chair. Written publiccomments can be submitted in advance to city.council@CityofPaloAlto.org and will be providedto the Council and available for inspection on the City’s website. Please clearly indicate whichagenda item you are referencing in your subject line.PowerPoints, videos, or other media to be presented during public comment are accepted onlyby email to city.clerk@CityofPaloAlto.org at least 24 hours prior to the meeting. Once received,the Clerk will have them shared at public comment for the specified item. To uphold strongcybersecurity management practices, USB’s or other physical electronic storage devices are notaccepted.Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks,posts, poles or similar/other types of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting. CALL TO ORDER PUBLIC COMMENT Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on number of speakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda. ACTION ITEMS 1.Recommendations to Council and Staff Following the Committee’s November Study Session Addressing Retail Vacancies in the University Avenue Downtown, Including: (1) Enhanced Cleanliness Efforts; (2) Revisions to the Parklet Program; and (3) Increasing Temporary Uses Late Packet Report FUTURE MEETINGS AND AGENDAS Members of the public may not speak to the item(s) ADJOURNMENT PUBLIC COMMENT INSTRUCTIONS Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone. 1. Written public comments may be submitted by email to city.council@cityofpaloalto.org. 2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item. 3. Spoken public comments for agendized items using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully. You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below. You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak. When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak. When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments. 4. Spoken public comments for agendized items using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted. CLICK HERE TO JOIN Meeting ID: 858‐4554‐4145 Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing ada@cityofpaloalto.org. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. California Government Code §84308, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments. 2 Regular Meeting December 18, 2024 Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas. RETAIL COMMITTEERegular MeetingWednesday, December 18, 2024Community Meeting Room & Hybrid9:00 AMRetail Committee meetings will be held as “hybrid” meetings with the option to attend byteleconference/video conference or in person. Information on how the public may observe andparticipate in the meeting is located at the end of the agenda. The meeting will be broadcast onCable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamedto Midpen Media Center https://midpenmedia.org.VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/85845544145)Meeting ID: 858 4554 4145 Phone: 1(669)900‐6833PUBLIC COMMENTSGeneral Public Comment for items not on the agenda will be accepted in person for up to threeminutes or an amount of time determined by the Chair. General public comment will be heardfor 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.public comments for agendized items will be accepted both in person and via Zoom for up tothree minutes or an amount of time determined by the Chair. Requests to speak will be takenuntil 5 minutes after the staff’s presentation or as determined by the Chair. Written publiccomments can be submitted in advance to city.council@CityofPaloAlto.org and will be providedto the Council and available for inspection on the City’s website. Please clearly indicate whichagenda item you are referencing in your subject line.PowerPoints, videos, or other media to be presented during public comment are accepted onlyby email to city.clerk@CityofPaloAlto.org at least 24 hours prior to the meeting. Once received,the Clerk will have them shared at public comment for the specified item. To uphold strongcybersecurity management practices, USB’s or other physical electronic storage devices are notaccepted.Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks,posts, poles or similar/other types of handle objects are strictly prohibited; (2) the items do notcreate a facility, fire, or safety hazard; and (3) persons with such items remain seated whendisplaying them and must not raise the items above shoulder level, obstruct the view orpassage of other attendees, or otherwise disturb the business of the meeting.CALL TO ORDERPUBLIC COMMENT Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on number ofspeakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of theagenda.ACTION ITEMS1.Recommendations to Council and Staff Following the Committee’s November StudySession Addressing Retail Vacancies in the University Avenue Downtown, Including: (1)Enhanced Cleanliness Efforts; (2) Revisions to the Parklet Program; and (3) IncreasingTemporary Uses Late Packet ReportFUTURE MEETINGS AND AGENDASMembers of the public may not speak to the item(s) ADJOURNMENT PUBLIC COMMENT INSTRUCTIONS Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone. 1. Written public comments may be submitted by email to city.council@cityofpaloalto.org. 2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item. 3. Spoken public comments for agendized items using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully. You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below. You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak. When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak. When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments. 4. Spoken public comments for agendized items using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted. CLICK HERE TO JOIN Meeting ID: 858‐4554‐4145 Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing ada@cityofpaloalto.org. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. California Government Code §84308, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments. 3 Regular Meeting December 18, 2024 Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas. RETAIL COMMITTEERegular MeetingWednesday, December 18, 2024Community Meeting Room & Hybrid9:00 AMRetail Committee meetings will be held as “hybrid” meetings with the option to attend byteleconference/video conference or in person. Information on how the public may observe andparticipate in the meeting is located at the end of the agenda. The meeting will be broadcast onCable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamedto Midpen Media Center https://midpenmedia.org.VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/85845544145)Meeting ID: 858 4554 4145 Phone: 1(669)900‐6833PUBLIC COMMENTSGeneral Public Comment for items not on the agenda will be accepted in person for up to threeminutes or an amount of time determined by the Chair. General public comment will be heardfor 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.public comments for agendized items will be accepted both in person and via Zoom for up tothree minutes or an amount of time determined by the Chair. Requests to speak will be takenuntil 5 minutes after the staff’s presentation or as determined by the Chair. Written publiccomments can be submitted in advance to city.council@CityofPaloAlto.org and will be providedto the Council and available for inspection on the City’s website. Please clearly indicate whichagenda item you are referencing in your subject line.PowerPoints, videos, or other media to be presented during public comment are accepted onlyby email to city.clerk@CityofPaloAlto.org at least 24 hours prior to the meeting. Once received,the Clerk will have them shared at public comment for the specified item. To uphold strongcybersecurity management practices, USB’s or other physical electronic storage devices are notaccepted.Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks,posts, poles or similar/other types of handle objects are strictly prohibited; (2) the items do notcreate a facility, fire, or safety hazard; and (3) persons with such items remain seated whendisplaying them and must not raise the items above shoulder level, obstruct the view orpassage of other attendees, or otherwise disturb the business of the meeting.CALL TO ORDERPUBLIC COMMENT Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on number ofspeakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of theagenda.ACTION ITEMS1.Recommendations to Council and Staff Following the Committee’s November StudySession Addressing Retail Vacancies in the University Avenue Downtown, Including: (1)Enhanced Cleanliness Efforts; (2) Revisions to the Parklet Program; and (3) IncreasingTemporary Uses Late Packet ReportFUTURE MEETINGS AND AGENDASMembers of the public may not speak to the item(s)ADJOURNMENTPUBLIC COMMENT INSTRUCTIONSMembers of the Public may provide public comments to teleconference meetings via email,teleconference, or by phone.1. Written public comments may be submitted by email to city.council@cityofpaloalto.org.2. For in person public comments please complete a speaker request card located on thetable at the entrance to the Council Chambers and deliver it to the Clerk prior todiscussion of the item.3. Spoken public comments for agendized items using a computer or smart phone willbe accepted through the teleconference meeting. To address the Council, click on the linkbelow to access a Zoom‐based meeting. Please read the following instructions carefully.You may download the Zoom client or connect to the meeting in‐ browser. If usingyour browser, make sure you are using a current, up‐to‐date browser: Chrome 30 ,Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled inolder browsers including Internet Explorer. Or download the Zoom application ontoyour smart phone from the Apple App Store or Google Play Store and enter in theMeeting ID below.You may be asked to enter an email address and name. We request that youidentify yourself by name as this will be visible online and will be used to notify youthat it is your turn to speak.When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk willactivate and unmute speakers in turn. Speakers will be notified shortly before theyare called to speak.When called, please limit your remarks to the time limit allotted. A timer will beshown on the computer to help keep track of your comments.4. Spoken public comments for agendized items using a phone use the telephone numberlisted below. When you wish to speak on an agenda item hit *9 on your phone so weknow that you wish to speak. You will be asked to provide your first and last name beforeaddressing the Council. You will be advised how long you have to speak. When calledplease limit your remarks to the agenda item and time limit allotted.CLICK HERE TO JOIN Meeting ID: 858‐4554‐4145 Phone: 1‐669‐900‐6833Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its publicprograms, services and meetings in a manner that is readily accessible to all. Persons withdisabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing ada@cityofpaloalto.org. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. California Government Code §84308, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments. 4 Regular Meeting December 18, 2024 Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas. Retail Committee Staff Report Report Type: ACTION ITEMS Lead Department: City Manager Meeting Date: December 18, 2024 Report #:2412-3858 TITLE Recommendations to Council and Staff Following the Committee’s November Study Session Addressing Retail Vacancies in the University Avenue Downtown, Including: (1) Enhanced Cleanliness Efforts; (2) Revisions to the Parklet Program; and (3) Increasing Temporary Uses This report will be a late packet report published on December 12, 2024. Item 1 Item 1 Staff Report Item 1: Staff Report Pg. 1 Packet Pg. 5 of 11 Retail Committee Staff Report From: City Manager Report Type: ACTION ITEMS Lead Department: City Manager Meeting Date: December 18, 2024 Report #:2411-3839 TITLE Recommendations to Council and Staff Following the Committee’s November Study Session Addressing Retail Vacancies in the University Avenue Downtown, Including: (1) Enhanced Cleanliness Efforts; (2) Revisions to the Parklet Program; and (3) Increasing Temporary Uses RECOMMENDATION Based on feedback from the Council and stakeholders during the November Study Session, staff recommends the Ad Hoc Retail Committee provide feedback on: a)efforts to enhance cleanliness in the downtowns b) potential revisions to the ongoing parklet program c)potential opportunities to better facilitate temporary uses BACKGROUND The Ad Hoc Retail Committee has met regularly since its creation in December 2023. It became a Brown-Act body in March 2024 and has met monthly, with the exception of June and July. Discussions about retail vacancies have arisen in multiple Committee meetings, and staff identified a focused study session on this topic could help advance any recommendations from the Committee to the full Council. During the October Ad Hoc Retail Committee meeting, the committee and staff discussed how to facilitate a study session in November to address retail vacancies in the University Avenue downtown. The discussion included potential areas for consideration, such as the entitlement (planning) and development process, uncertainty around plans and parking, trends in brick-and- mortar retail, a potential vacancy tax, interim activation of vacant storefronts, and the business improvement district. Potential structures, formats, and participant outreach for the study session were also discussed. After receiving direction at the October meeting, staff convened a study session to address retail vacancies along University Avenue in Downtown Palo Alto on November 20, 2024. This Item 1 Item 1 Late Packet Report Item 1: Staff Report Pg. 2 Packet Pg. 6 of 11 session focused on the City’s permitting process, the retail landscape, opportunities for greater partnership with the private sector, and the activation of vacant storefronts. During the November Study Session, the Ad Hoc Retail Committee held a panel discussion with stakeholders to address retail vacancies along University Avenue in downtown Palo Alto. The panel was facilitated by Aaron Aknin from the Good City Company and included: •Brad Ehikian, Partner at Premier Properties; •Matt Sweeney, Executive Director at The Econic Company; •Steve Levy, Palo Alto resident and Director & Senior Economist for Center for Continuing Study of the California Economy; •John Shenk, with Thoits Bros., Inc.; •Charlie Weidanz, CEO of the Chamber of Commerce; and •Faith Bell, owner of Bell's Books. There was also robust public engagement featuring perspectives from additional stakeholders, including Elizabeth Wong, Roxy Rapp, Georgie Gleim, and Whitney Denson. This report follows up on three key areas that emerged as particularly significant during the study session: enhanced cleanliness efforts, revisions to the parklet program, and the expansion of temporary uses. ANALYSIS This section provides context for the discussion about enhanced cleanliness efforts, potential revisions to the ongoing parklet program, and potential opportunities to better facilitate temporary uses. Enhanced Cleanliness Efforts Enhanced cleanliness efforts for the University Avenue commercial core emerged as an important need in early 2024. Public Works began initial efforts to provide a greater level of service in March 2024 and has since scaled efforts. Unfortunately, both the mechanism for much of this enhanced cleaning (overtime of existing staff) and the funding source are not resourced for long-term continuity. The following information provides an update on the base level of services previously provided by Public Works, including costs, services, and delivery (in- house or contractual) as well as the enhanced services that Public Works has provided since March 2024. Whether and how to continue the enhanced cleaning efforts will need to be discussed as part of the FY 2026 Operating Budget development, if not sooner. Item 1 Item 1 Late Packet Report Item 1: Staff Report Pg. 3 Packet Pg. 7 of 11 Base Service Levels and Costs: Cleaning activities and costs for the University Ave and California Ave downtowns are part of the City’s operating budget. Public Works manages the cleaning activities, which includes services delivered both through in-house staff and contracted vendors. Cleaning services performed include: street sweeping, pressure washing, litter removal, emptying of garbage containers, cleaning garbage can surfaces, lids, and liners, surface cleaning of news racks and furniture, biohazard debris clean-up, and graffiti, poster, and sticker removal. The total amount spent on cleaning services at the base level is approximately $94,000 per month: $56,000 for contractors and $38,000 for in-house staff. This is broken down by service and delivery below: •$30,000 is the monthly cost for contracted street sweeping, which takes place three times a week in the University Avenue and California Avenue downtowns1 and once per week in garages. $17,000 is the monthly cost for the 80 in-house staff hours per week sweeping in parking lots not covered by contracts and manual blowing to supplement the contracted sweeping. •$11,000 is the cost per month for pressure washing, which takes place monthly on University Avenue and monthly for part of the year (May through October) on California Avenue There is no in-house support for pressure washing •$15,000 per month is the cost for surface cleaning and litter removal through the Downtown Streets Team, which includes 104 hours of labor week on these cleaning activities There is an additional $17,000 per month spent on in-house staff for these activities. There is an additional 20 hours of in-house staff time per week spent on graffiti, poster, flyer and sticker removal at a cost of approximately $4,000 a month. Enhanced Service Levels and Marginal Costs: Public Works has been able to leverage overtime and reassign staff to enhance services and accomplish a greater level of downtown cleanliness since March 2024. These enhanced service levels include additional litter removal, surface cleanings, and additional manual leaf-blowing. The City has also worked with its pressure washing contractor to add an additional cleaning per month, doubling the cleanings per month from one to two. The total amount spent on these is 1 The Car-Free portion of California Avenue is swept once a week; the rest of the California Avenue commercial core is swept three times a week. Item 1 Item 1 Late Packet Report Item 1: Staff Report Pg. 4 Packet Pg. 8 of 11 an additional $28,500 per month broken down by service and task, the majority of which is overtime labor hours of in-house staff. •$25,000 in marginal costs for in-house staff to provide enhanced litter removal and surface cleaning of trash cans, news racks, furniture, and biohazard debris clean-up •$1,000 in marginal costs for in-house staff for additional blowing •$2,500 in marginal costs for the contractor to provide an additional pressure washing of University Avenue Staff is closely monitoring the funding and sustainability of these efforts and may bring forth recommended budget adjustments for FY 2025 if appropriate and needed. Ongoing conversations with downtown stakeholders about their desire to maintain enhanced cleaning services will inform potential options and the policy discussion to follow about what levels of service the City can provide at what cost. Potential Revisions to Ongoing Parklet Program Balancing the competing interests of restaurants and retailers as part of the ongoing parklet program was a recurring topic at the November study session. The Ad Hoc Retail Committee heard from brokers, property owners, and retailers on the importance of ‘certainty’ when it comes to the frontage of their properties and stores. In previous parklet discussions, restauranteurs have described how parklets have been an effective means of attracting and retaining customers. As part of the ongoing parklet program2, parklets are allowed to extend beyond their store’s frontage without a letter of consent from the neighboring store so long as they do not have a roof. Constructing a roofed parklet beyond a stores’ frontage requires a letter of consent from the neighboring business. This represented an approach that attempted to minimize visibility impacts on neighboring retailers. At the November study session, stakeholders and partners from the private sector voiced their perspective that this approach did not do enough to minimize adverse impacts on retailers. Retail stakeholders said they were concerned about the visibility impacts of parklets extending into their frontage, regardless of whether there was a roof or not. Brokers and property owners cited the prospective uncertainty about a parklet, even unroofed, extending into a frontage as a barrier for siting tenants in vacant storefronts. They noted that ‘visibility’ and certainty of that visibility is a key issue for many prospective tenants that they talk to. Retail vibrancy in the City’s commercial cores is an important part of the City’s economic development strategy and of the City Council’s priority of Economic Development and 2 Ongoing Parklet Program: https://www.cityofpaloalto.org/Departments/Public-Works/Engineering- Services/Ongoing-Parklet-Program Item 1 Item 1 Late Packet Report Item 1: Staff Report Pg. 5 Packet Pg. 9 of 11 Transition. In response to the issues raised by retailers and other stakeholders during the November Study session, staff proposes revising the ongoing parklet program to better balance the competing needs of restaurants and retailers. Revising what space parklets can use is a policy decision last decided by Council, and staff seeks feedback from the Retail Committee on the potential for revision. If revisions are pursued, certain key dimensions of the future policy discussion could include: •Should parklet extension in front of adjacent frontages be more limited, such only with adjacent owners’ consent? •If so, should existing parklets be allowed to remain until permit renewal, or other date? •How should this affect the development of outdoor dining guidelines for the car-free street portions of Ramona Street and Cal. Ave? Potential Opportunities to Better Facilitate Short-Term Activations Encouraging short-term activations of vacant tenant spaces or opportunities for startup companies to engage patrons to demonstrate or receive feedback on a product or service was another topic that emerged at the November study session. Currently, the City has limited regulatory tools available currently to facilitate such activations. A Temporary Use Permit (TUP), can typically be issued for certain uses or activities, but the duration is limited to 45 days. Processing these applications also takes two or more weeks depending on what is proposed and costs about $1,800 to process. These constraints preclude this process from being the most effective means to advance a pop-up store or similar temporary startup space, but it is a mechanism that is currently available. Establishing regulations that better facilitate short-term activation requires consideration of several components including: Duration: Defining a maximum time period and potential allowances for extension is an important part of any program to encourage temporary uses that don’t otherwise comply with existing zoning requirements. Application Requirements and Fee Level: This needs to scale with the extent of the activation and the need for tenant improvements, while balancing the desire for applicants to move quickly with low fees. Building and Safety Codes: The state building code does not distinguish between temporary and long-term uses or occupancies. Pop-ups must adhere to building codes, including fire safety, occupancy limits, plumbing and emergency exit requirements. Electrical work or other trade work, even temporary installations, require a permit. The change in occupancy from how the tenant space Item 1 Item 1 Late Packet Report Item 1: Staff Report Pg. 6 Packet Pg. 10 of 11 was designed to how it is intended to be used on a temporary basis will influence the permitting requirements, application processing time and costs, which all escalate based on complexity. Establishing temporary food uses raises other regulatory requirements from the County Health Department. Signs and Aesthetics: Through a TUP application, a temporary sign can be placed on a site, however, for longer duration uses, changes to the City’s local regulations would be required. Signage and other aesthetic considerations, such as product placement in the public right-of-way are key considerations to draw attention to a temporary use. Evaluating how these requirements apply, or differ, from those for long-term uses requires careful consideration to avoid adverse impacts on the commercial environment. Implementing a pop-up / startup program will require some time but could be initiated more quickly through a pilot program. This would require an interim ordinance and policy direction on some of the issues above. During this time, staff can continue to evaluate implications related to the building code and other technical requirements. The intent would be to create a program that facilitated the ease and transition of temporary uses in vacant storefronts and at a low cost. This effort is not currently programed into the Planning and Development Services department workplan and if directed by Council, will require reprioritization of other policy work when discussed early next year as part of the Council annual prioritization process. FISCAL/RESOURCE IMPACT The discussion of the items in this report does not require additional funding. Any additional costs arising from feedback and discussion with the Retail Committee will be further refined and brought forward for consideration by the City Council, either as discrete items or as part of the development of the FY 2026 Operating Budget. STAKEHOLDER ENGAGEMENT Staff conducted outreach to business in the downtown commercial core along with specific outreach to parklet operators and outreach to retailers and participants in the November Study Session panel. This Retail Committee meeting was also promoted through the City’s monthly ‘Business Connect’ newsletter. ENVIRONMENTAL REVIEW The discussion does not qualify as a project under CEQA. ATTACHMENTS None. APPROVED BY: Ed Shikada, City Manager Item 1 Item 1 Late Packet Report Item 1: Staff Report Pg. 7 Packet Pg. 11 of 11