HomeMy WebLinkAbout0367.094, (C .~ "
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July 7, 1994
TilE HOnORABLE CITY COUNCI L
Palo Alto, California
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APPROVAL OF MREEHBNl' WITS KEYSER IOJ\STON ASSOCIArEB INC. FOR
CONSULTING SERVIO~S ~O PERFORM MIDTOWN Kl\R~ET ANALYSIS ~ BUDGET
lIKlrnllKENT .. I)RDIUANCE APPROVAL FOR $25,000 TO PERFORM TilE 6XODlI
Members of the Council:
REPORT II! IDUru:
This report and the attachments recommend city Council-approval of
a budget amendment ordinance in the aro.ount of $25,000 lind a
consultant services agreement with Keyser Marston Associates Inc.
tor the preparation of the market analysis for the Midtown Shopping
Center. Tho project is catGgoric~lly exempt from the California
Environmental Quality Act (CEQA) under section 15306 of the CEQA
Guidolines.
BACKGRQUNP
The purpose of the market analysis is to provido City aS9istance in
l"esolving the serious economic issues facing Midto'Wn Shopping
centeX'. 'l'he analysis would allow the City to idontify eXisting
tenants and rent structures, property owner desires, market
dem09raphics of the surrounding neighborhood, and potential new
retail uses. In addition, a sa~ple community survey is proposed to
identify surrounding residents' shopping needs.
On March 28, 1994 1 in response to a recommendation by Counoil
Members Ron Andersoll, Mick1 Schneider and Lanie Wheeler, and VicQ:
M,ayor Joe Simitian, the City Council directed staff to initiate a
consultant selection process for such a market analysis and return
to council with a selected consultant and budqet amendment tor the
study.
Subsequently, a Request for. proposal (RFP) was sent to seven firms.
Three consultants responded to the RFP. Tho other four firms
declined to hid hecause of perceived inadequate hudqet for the
project and other work commitments. A consultant selection
advisory co~ittee was formed to review the proposals and make a
recommendation for consultant selection. The committee consisted of
the following individuals:
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1. Tom TrUa$ll, ~roporty Owner
2. To~ Foye, property Qwner
3. Suaanne Shields, Midtown Merchants' Association
4. David Greane, Midtown Residents' AS8o~iation
5. Lindley Miller, Terrllnomics (Retan Land Usa Consultants)
6. Susan Frank, Palo Alto Chatllber of C01l:\N,arce
7. Jack Bariteau, Keenan Lend lnvestruent
8~ Michael costa, Bliek.mQn _Turkus
9. Geo~ge Zimmerman, Assistant Planning Official
10. Carol Janssn, Manaqer, Economic Resources Planning
Tho consultant selection advisory committee reviewed three
proposals and invited all three consult.ants for oral presentations.
After the oral presentation8 on June 7, 1994, the. conl1ultant
selection ~dvi8ory cOl'lmittee reconvened and recommended the firm ot
Kayser Marston Assooiates to prep~re t.he study. The selaction
cOZlUllitteo's recoll'llnendation was based on Keyser Marston Associates' B
extensive eKperience in real estate economics, in general, and
neighborhood retail center markets, in particular. Keyser Marston
Assooiates Inc.'s bid was for $25,000.
Once the contract is exeouted, statf estimates that the study will
require three months for completion.
Staff recommends that the city Council approve the attached Budqet
Mendment Ordinance in the amount of $25,000 and approve and
authorize the Mayor to execute the attached agreement for
consultant services with Keyset' Marston Associat.es Inc. for
preparation of the Midtown Market Analysis.
Respectfully 8ubmitt~d,
Co~y~
CAROL L. JANSEN
M.n~,~ .~E nO~iC Resources Planning
F~
C"ty Manager-
Attaohments: Budget Amendment Ordinance '-',
Agreement for Professional Consulting Services
Excerpt of City council Minutes of March 28, 1994
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OROI NANCE NO. ______ _
ORDINANCE OF TIIB COUNCIL OF THE CITY OF PALO ALTO
AHENDlh'O THE BUDGET FOR TIlE FISC1>.L YEAR 1994-95
TO p~OVrpE AN ADDITIONAL APPROPRIATION FOR
~ MIDTOWN SKOPPING CENTER MARKET ANALYSIS
WHEFt&AS, p\.l~suant. to the provisions of Section l2 of Article
1 II of the chartor of the City of Palo Al to, the Council on June
10, 1994 did adopt. budget for fiscal yeu 1994-95; and
'l'lHRRE".AS. the CitY'9 Midtown shopp;i.ng Center· is experiencing
SoriOu$ economic issues; and
Wli8R,EAS. then~ is a need to perform a market analysis for the
Nidto'o:m area Which will identify residents' shopping needs, the
.'t't.lu"ket demographic:'>; of the surrounding neig})borhood. current retail
ten~nts and rent structures, and potential new retail uses; and
"'"HRREAS. the City Council directed staff to initiate a
consultant selection process and a consultant has be~n selected.
fWW. THEREfORE. the Counci 1 of the City of Palo Alto does
ORD)t&'n: l'S follows:
. ..st;crl.Q1L . .l. Th.: sum of TWenty Five Thousand Dolhrs (S.2!),OOO)
fa horeby appropriated to Contr~ct Services in the City l-!anager' S
Department. and the Budget Stabilization Reserve is corx9spondingly
reduced.
~Qli---.l. Th i s
Stabll!-zfttion Reserve from
24, 1994.
transaction
$10,)99.024
will reduce
to $10,374,024
the Budget
as of June
s'1';crX.ruL..J.. As specified in Section 2.28 .(JBO Ca.) of the Palo
Alto Municipal Code. a two-thirds vote of the City Council is
required to adopt this oroin~nce.
~1L-t. The Council of the City
that tho onactroent of this ordinance is
California Dwirorunental Quality Act and,
tal impact assessment is necessary.
of Palo Al to hereby finds
not a project under the
thereforE!. no enviroTUl1en-
SECTIOJI...2·
MUnicipal Code.
adoption.
As provided in Section 2.04.375 of the Palo Alto
this ordinance shall become effective upon
nrrROOOCEO AND PASSED:
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NOES :
ABST£In'IONS:
ABSENT:
A'I'I'&S1' : HPROV£D:
~yor
,APPROVEI> M TO FORM:
APPROVED:
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A (! R II II lULIU:
POR
PROFESSIONAL ENGDmBRI1IG COIISULTAH'l' SIIRVXCBS
B&'rWBEN TIm CITY OF PALO ALTO AIID IIBYSBR
MARBTOII ASSOCIATES, INC.
THIS AGRBBMRNT is made and entered into this ___ day of
, 199_, by and between the CITY OF' PAl.o /UII"O, a
munic1=pa=i-=c"o"rp=oration of California, hereinafter refer .... ed to as
'CITY,' and KBYSER MARSTON ASSOCIATES, INC. (Taxpayer
Identification No. 942363741), a california corporatioll, ,.,ith
offices at: SS Pacific Avenue Mall, San Francisco, CA, 94111 1
hereinafter ret erred to as ·C.'OUSULTANT-;
11..1...:.1: II II S S..JLL1l'
WHEREAS, CITY deDiree certain professional consultant
services hereinafter described; and
WHRRRAS, CtTY desires to eng~ge CONSULTANT to provide
these sel:vices by reason ot its qualifications and experience for
performing such services, and CONSULTANT haa offen~d to provide the
required services on the terms and in the manner set forth herein;
NOW, THBREPORB, in consideration of their mutual
covenants, the parties hereto agree as follows:
s.g~_-=-PEPINITIOllil
1.1 On:
The term IICity' flhall mean the City of .ralo Alto.
california _
1.2 o.TI. Mp.NAGEJ',
The term DCity Manager' shall mean the duly appointed
City 11anager of the City of palo klto, California, 0'-his or hor
designated representative.
1 . 3 CITY CLEat
The term ·City Clerk" shall mean the dul}' appointed City
Clerk of the City of Palo Alto~ California. or his or her
deSignated representative.
1.4 RrSK IMNAQ[R
The terril -Risk Manager ll shall mean the duly appointed
Risk l-1anager of the City of palo Alto, California. or his or hel:
designated repre8entative~
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1.5 PROJECT
The term ·project n shall mean the services described in
Exhibit A entitled ·Scope Of Services and Time Schedule,· attachod
hereto and made a pare hereof by this reference.
SECTION 2 PRQJBCT COORnI!llITIQl!
2.1 an
The City Manager shall be representative Of CITY for all
purposes under this Agreement. carol Jansen is designated as the
Project Manager for the City ~wnager, and she shall supervise the
progress and execution of this Agreement. and shall be assisted by
Rachna nhir, the project Assistant.
2.2 J:.Qll~
CONSULTA...'IT shall assign a single Pr.oject Director to Ilave
overall responsibility for the progress and execution of this
Agreement for CONSULTANT. Timothy C. Kelly hereby is designated as
the Project Director for CONSULTAWr. Debbie Kem shall he aSt:"igned
as Project Coordinator for CONSULTANT and ahall represent.
CONSULTANT during the day-to-day work on the Project. Should
circlwwtances or conditions subsequent to execution of this
Agreement require a substitute Project Director-Ot' Project
Coordinatoz; for any reason the Project Director or Project
Coordinator designee shall be subj ect to the prior written approval
of the Project Managet·.
1l.ll.cr!Q1LL.:..~QU.. OF PROJECT
The scope of the Project to be executed by CONSUl.I'I'AN1'
under the phases of the Basic Services described in Section 4,1 of
this A9reement~ and the time schedule for the Project~ are
described J.n Exhibit A.
SUCtION 4 -DUTIES OF CONSULTANt
4.1 ~IC SERVIC8S
unless otherwise indicated, CONSULTAN'i' shall perform ~ach
task and accomplish each objective summarized and more particula:t.'ly
described in Exhibit A, CONSUrJTANT's Basic Services .shall be
turnjshed as desc:t.'ibed in Exhibit A,
4.2 GBNEm, PlJ'l'IBS OF CONSl!Iil1l.IIT
4.'-.1 CONSULTANT represents that it has thf!'
expertis;e and professional qualifications to furnish the selvices
described und~r this Agreement. CONSULTANT further declares that
one or more members or employees of its firm and that of its
subconsultants, if any, are licensed by the State of California to
perform their services and that these services will be perfooned by
them or under their supervision, CONSULTANT shall furnish to CITY
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for approval, prior to execution of this Agreement, a list of all
firms or corporations to be employed as subconsultants.
-i. 2.2 CONSULTANT stateD that it is aware of the
requirements of the federal Americans with Diaabilities Act of
1990, and the Government Code and the Health and Safety Code of the
State of California, relating to access to public buildings and
acconmodations for disabled perSOJls, and relating to facilities for
disabled persons. CONSULTANT shall comply with such provisions in
carrying out;. the terms of this Agreement.
4.2.3 COIlStlLTANT shall furnish CITY with every
reasonable opportunity for CITY to ascertain that the services of
CONSULTANT are being perfol*nled in accordance with the requirements
and intentions of this Agreement.
~Q1L~DlITIES OF CllX
5.1 CI1~ ahall provide full information regarding its
requiremellts for the Project.
5.2 CITY ahall examine docll.ll1ents submitted by CONSULTANT
and shall render decisions pertaining thereto promptly. to avoid
unt'easonable delny in the pl'ogrsss of CONSULTANT's work.
S.3 CITY shall furnish all such info~~tion as are in
CITY's files or are at ito disposal, as listed in Bxhibit A.
:>.4 CITY ahall furnish all services listed in Bxhibit A,
providing sufficient notice is given by CONSULTANT.
5.5 The services, information, surveys and reports
required by pa'.cagraphs 5.1 and 5.3 through 5.4 inClusive shall be
furnished at. CITY' 6 expense, and CONSULTA."IT shall be entitled to
l'ely upon the accuracy thereof.
5.6 CITY shall furnish information required by CONSUL
TANT as expeditiouBly as possible.
SECTION 6 • 2!\'il1ENT
Payment shall be made by CITY only for services rendered
and within thirty (30) days of submission in triplicate of monthly
progress payment requests. Each invoice shall be itemized as to
the type ot: payment described in this section.
6 • 1 CQNStJI.TAN1." S FBES
In consideration for the full performance of the Basic
Services and reimbursable expenses described in Section 4..1 of this
Agreement, CITY agl.'ees to pay CONSULTA~'"T a fee not to exceed 'l'wenty
Five Thousand Dollars ($25,000.00).
The amount of CONSULTANT's
calculated as set forth in Exhibit D,
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compensation shall be
entitled "Pee Schedule,"
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attached hereto and made a part hereof by this refe:r:encc, on a time
and materials baaia, up to the maximum amount set forth in this
paragraph 6" 1.
6 .1.1 SUQ.-;QIUUll.t.rult.a. Fees for s\lbconsultants,
hit"ed directly by CONSULTANT, ahall be approved by CI'rY in advance
of incurring such feeB.
6.1.2 for Extra Work or Changes. Payment for
"xtra work 0): changes in tI,e work not initiated by CCNSULTANT and
authorhed in writing by the project Manager shall be made within
thirty {)Ql days of submission by CONSULTANT of a statement in
triplicate of itemized costa covering such work. Prior to
c~~ncin9 8uch extra work or changes. CONSULTANT and CITY shall
agree upon an estimated not~to-ex~eed COBt for 6uch extr.a work. In
no ovent shall CONS~hTANT be paid for design work or change order
prepa~ation which is necessary because of CONSULTANT's errors or
Qveroignts ~
£ ~ 1.3 ,C.alc\!lat iM_Qf __ RU'J!ct Personnel Bxnenl!e...
1)j r.ect peroc)ltnol expense of employees engaged on the proj ect by
CONSUlJTJl.'fi' ahall inc-hIde only the work of architects. engineers,
designers, job captains, draftspeY-GOnD, specification writers and
typiBts, in COli9ultation. research and design, in producing
dtawing~, s,Pecificat i0l18 and other documents pertaining to the
Project: I and in services during conotruction at the site. Included
in the cOf.lt of dlr..H~t personnel e:kpellfJe of these employees are
salaries and ma:ndatory and r.:ustorrv.u.'y benefits such as statutory
employee benefito, insurance, sick leave, holidays and vacations,
pensions and similar benefits.
6"2~
G .. 2:.1 £Q.L.J.ii\81c S.ervices. Payments for the
BaBic Setvices shall be c\ade in progress payments in proportion: to
services perfo~d in accordance with Exhibit 8.
Final payment shall be IMde by CIT"{ after CONSUL"fANT has
submitted all required prOducts and repor.t8 and received approval
thereon [,,"om CITY"
6.2.2 Payment Upon Suspension or Aband6nm,:mt of
project'. If the Project ia suspended for more than thrE:e (3}
months or abandoned in whole or in part, CONSULTANT shall be paid
its cOinpensation lor Bervices performed prior to receipt of written
notice from CITY of such suspension or abandonment, together with
additional and reimbursable expenses th~n que. If the project is
resumed after being suspended for more than ninety (90) days, any
~hange in CONSULTANT's compensation shall be subject to renegotia~
tion and, if necessary, approval by the Palo Alto City Council (the
·City Council-). If this Agreement is suspended or terminated for
fault of CONSULTJUlT, CITY shall be obligated to compensate
CONSULTANT only for that portion of CONSUIJTANT's services which are
of benefit to CITY, as such determination may be made by the City
Manager in the reasonable eXflrcise of his or her discretion.
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SECTION L:-J1&Q9R~SS AIl\Lc.QMl!LR'J'IQIl
7.1 ~~GRB&MBNT: TIMB lS_ OF THE_ESSSNCB
The t-erm of this Agreenlent ahall cOh'rnenl:e upon i'.:a
execution by CITY ~ Following receipt of a Uot$..ce to Pl"oceed,
CONSULTANT shall corrmence 'Work in accor<!ance with the time Bchedule
set forth in Ilxhil>it A. The parti~s hereto 8gree that time io of
the essence of this Agreement. 'n~is Agreement ahall terminate upon
complotion of tile servic •• under Bxhibit A to the eati.faction of
the Project Manager.
7. 2 TIM1LM-~!&nQN OF B~S:1l J1IASJ!
CONSULTANT agl-ees to perform the services within the time
limite set forth in Hxhibit A provided, howaver , that any change in
the scope of sendee's or othel.' changes due to eXT/'S operating
requir~nt6, or in cOlUlection with other contractoro' or
consultants' operations, may re~lire a revised time table.
CI"rY ag1:.'ees to flxerciB€! ~ue dIligence in performing its
tas)!:a to implement CONSUL'I'AN'l"s time table provided \mder Hxhibit
A.
Between each phase of ~ork there may exist a rQview and
approval period by CITY. CITY eMll .xerciae due diligence to
complett=l these tasKs; however, it ia xecocnlized tbat the
interrelated exchange of in(o:rma;tlon among" Cr1'Y's various
departffients makes it impossible to Bet a specific time schedule.
Uonnally, CITY' 8 estimated period of, revio\<l' and approval 'Will be
furnished to CONSULTANT at the time of submission o( each phase of
the work.
7.4 2lITIlliSIOl! OF,-'llMlLM-..mMl'LETIOli
In the event the services called for under this Agreement
are Jlot completed by CONSULTANT within the time specified, CITY
shall have the option to extend th~ t1rr,e of completion. This
paragraph does not precludo the recovery of d~ge8 for delay of
either party.
S 8CTION 8 -CflA.llil.E<L-l tLli~
CITY may order major changes in scope or character of
work, either decreasing or increasing the amount of CONSULTANT's
services. In the event that such changes are ordered, CONSULTAN'l'
shall be entitled to full compensation for all work perfo:t::med prior
to receipt of notice of change. Incr~a8ed c~~pen9ation for major
changes shall be determined in accordance with Section 6 of the
Agreementl but in no event shall CITY ba liable for payment unless
the am('mnt of such extra compensation shall th"st have been agreed
to in writing by CITY.
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In the,event that major changes are ordered pureuaflt to
this section, the 8chedule for progress and completion undel'
Section 7 of thin Agreement, ~nd compeneation under Section 6 of
this Agreement, shall be MjuBted by negotiation between CONSU1,TAlrr
and CITY, subject to appToval if necessary by the City Council.
SECTION 9 -TBJllilljilTIDt/ OR SUSPENSION OF I\llRllJliilllIT
9.1 CANCELLATION BY CONSULTANT
CONSULTANT may terminate this Agroem~nt or suspend work
on the Project by providing thirty (30) days' written notice
thereof to CITY. but only in the e\rent of. substantial failure of
performance by CITY or in the event CITY abandon. or indefinitely
postpones the Project.
9.2 9ANCBLLATION~<dD:
Without limitat ion to such rights Ot-remedies aD CI'ty
shall otherwise have by law, CIT¥ may terminate this Agreement or
suspend work on the Pl."oject with or without cause. by prOViding
fifteen (15) days' 'Written notice thereof to CONStfUfAlIT. or
invnediately after Bubmission to CITY by CONSULTANT of any completed
item of service specified in Section 4 of this .~gl·eement.
CONSULTANT agrees to cease all work under tilis Agre.ement upon
receipt of said wt-itten notice.
9.3 COMPllNStlTION OF _CQJiSJlLTlIliT HI TJjE BI!&l!L~
TERMINATION QI'. THrS J\GRE!!MlltIT
In the event of termination of this 1\greemont or
suspension of work on the P~ojcct by either CITY or CONSULTANT as
provided herein. CONSULTANT shall receive compensation as follows:
9.3.1 POl.' approved items of service under
Section 4 of this Agreement, compensation shall be in the amount
outlined under Section 6 of this Agreement for the items of service
fully performed by CONSULTAIrr.
9.3.2 For items of service on which a Notice to
Proceed has been issued by CITY, but which have not been fully
completed and approved, CONSULTANT 911al1" be compensated for the
service in an amount which bears the same ratio to the tota.l fee
otherwise payable for the performance of the service as the service
actually rendered bears to the total service necessary for the full
performance of the itern of service.
9.3.3 In no event shall the total compensation
paid in th~ iromediately preceding paragraphs exct:!ed the payment
specified ~n Section 6 for the respective items of service to be
furnished by CONSULTANT.
9.3.4 Notwithstanding anything in the preceding
paragraphs, upon termination for fault of CONSULTANT, CITY shall be
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obligated to pay for only that portion of the service which
incorporated in the Project.
S.4 IlJlI.ll1S. OF CITY J\ND C<JNSUlll:AtIT
Upon te~ination of this Agreement or suspension of work
on the Project by either CITY' or CONSULTANT as provided herein, all
duties Of CITY and CONSULTANT, as sot forth in Sections 4 and 5
hereinabove, shall ter,minate.
SB~ION 1Q . CONSULTANT'S ACCOUNTING RECORDS
Records of the following expenses pertaining to the
Project shall be kept by CONSULTANT in accordance with gener~11y
recognized accounting principles and shall be made available t.o
CITY at mutually convec:tent times during the tenn of this Agl"eement
and for three (3) years following the termination of this
Agreement:
Direct personnel expenses, including consultant expenses.
(See Section 6 of this Ag.l'eem.ent.)
FECTION 11 • OHlIRRSHIP _Q1'JlQCUM1ltrfS
11.1 OWNERSHIP OF ORIGINAY DOCUMRNtS
Subject to the provisions of Paragraph 11.2 below, the
original repo-rt. drawings, I\'\aps, plans, designs, r.ecords of survey,
work data, speCifications, and any other documents prepared by
CONSULTANT in the performance of this Agreement, although instnl
menta of professional service, are and shall be the pl."operty of
CI~~ whether the Project for which they are made is executed or
not.
11 . 2 TRANS FSRJ'.!L.CID::
Upon tennination under Section 9 of this Agreement and
upon CI'l'Y' B payment of th,e, amount required to be paid under same
seetlon, the origfnals and all reports, drawings, calculations.
specifications and any s.tmilar documents shall become the property
of ,elTY, and CONSUI,TANT shali transfer them to CITY, upon request,
without additional compensation. CITY shall have the right to
utilize any completed or uncompleted reports, drawings, estimal:elJ,
specifications, and any other documents pt"epared hereund~r by
CONSULTANT.
~::::,,1..,2 __ o INTBREST OF CONSULTANT; CONSUJ.,TAlIT
INDEPENDENT OF CITY
In accepting this Agreement, CONSULTANT covenants that it
presently haa no interest, and sha.11 not acquire any inte:t.'ost,
direct or indirect, financial or otherwise, which would conflict in
any manner or degree with the perfonnance of the setvices here"
under. CONSULTANT further covenants that, in the pel."fo:tmance of
this Agreement, no subcontractor or person having such an interest
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ahall be employed. C~NSULTANT
will have any financial interest
or employee of CITY.
certifies that no one who h~s or
under this Agreement i8 an officer
It is expressly agreed that in the perfo~~nce of the
prot"cssional services required under this Agreement CONSULTANT, and
any of .its Bubconsultantll or employees, shall at all times be
considered independent contractors and not agents or employees of
CITY.
SECTION 13 • OUTSIDE CQNal1l.'l'lllITli
CONSULTANT shall be responsible for employing all outside
consultant a (aubCollBultanto) necessary to aid CONSULTANT in the
perfotmancc of the sorvices listed in Section 4 of this Agreement;
provided, however, that all such subconsultante shall receive prior
approval of CITY in writing and shall ren~in acceptable to CITY
during the term of tllis Agreement.
CONSULTANT agrees to protect, indemnify, defend and hold
hanml~8s CITY J its Council meIT~~rs, officers. agentB and employees
frem any and all demands. claims, or liability of any nature,
including death or injury to any peraon. pr.operty damage or any
Qthet' 1000, caused by or arising out of CONSULTANT' 0 , its
offi.cers', agents', subcontractors' at' employees' negligent acts.
errors, or OI1Iissiona, or willful misconduct, or COnd\lct for which
tne law may impose strict liability on CONSULTANT in t.he
performance of or failure to perform its obligatiens undet' this
Agreement.
HECTIQN 15 ~ IN$URJ\NCB
15.1 lffSURANCR COVERAGE
CONSULTANT, at its sole cost. and expense, shall obtain
and maintain, in full force and effect throughout the entire tem
(,If thio Agreement I the insurance coverage described in Exhibit C to
this ltgrcement. attached hereto and made a part hereof by this
reference, insuring not only CONSULTANT and its subcontractors; if
any. but alDo, with the exception of work.ers' compen-sation,
employer's liability and professional liability insurance, naming
as additional insureds CITY. its Council members, officers, agents
and employeeB~ and each of them, concerning this Agreement and the
Project.
All insurance coverage required hereunder shall be
provided through carriers with a Bast rating of A:X or higher that
are admitted to do business in the State of California, Any and
all subcontractors of CONSUUr1\N']' under this Agreement shall obtain
and maintain, in full force and effect throughout the tel~ ot this
Agreement. identical insurance cov"erage, with CITY named as
additional insured under such policies as required above.
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Certificates of ouch insurance, preferably on the forms
provided by CITY, .hall be filed with CITY concurrently with the
execution,of this Agreement. The certificates shall be Bubje~t to
the approval of the Risk !otauager and shall contain an endorsement
stating that the insurance J.a primary coverage and wiJ..l not be
c8oce11ed or altered by the ineurer except after filing with the
City Clerk thirty (30) days' prior 'Written tlotice of such
cancI;J11ation or alteratiQn, and that the City of Palo Alto is lIan\ed
R6 an additional insured except in policies of workers'
CO!T'j>ensation, .mployer'e liability, and professional liability
insur~nce. Current certificates of o~ch insurance shall be kept on
fUe at all times during ~h. term of this Agreement with the City
Clork.
The procuring of sucn required policy or policies of
inaunmcc shall not be conotrued to limit CONS[JVfANT' a liabilit.y
hereunder nor to fulfill the iLidellU1ificittion prOVision and
requirerr,enta of this Agreement under Section 14 hereo(.
Uotwithstanding Baid pollc}' or policies of insurance, CON'rRAC'I'OR
shall be obligated for the full 8.nd total amoutlt of any druM.ge.
injury. or loOp calJse<i by the Dervicc_B perfonned under this
J\gl'eernent, including after the Agreement has tcnn1nated or exph.-ed.
CONSULTANT, by executing this Agreement, certlfieH that
it is aware of tho prOVisions of the ~~bor Code of the State of
califol."nib. Which requin! every employer to be illsured against
liability for workers' cOflq>enaation or to undertake self-insurance
in accordance wlth the provisions Of that ~ode. and certifies that
it will comply with ouch provisions before commencing the
perfonmance of the voxk under this Agreemont,
CONSULTANT agrees. to permit CITY to audit j at any
reasonable time during the term of this Agreement anct for three (3)
years thereafter, CONSUr.lTAt-rY" 8 't'ecords pertaining to matters
covered by this Agreement.. CONSULTANT further agreea to maintain
such recol."da for al;. hnst three {3) years after the termination of
this Agreement.
The terms, covenants. and conditions of this Agreement
shall apply to, and shall bind, the heirs, successors, executors,
adnlinistrators. assigns, dnd subcontractors, as the case may be, of
both parties.
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SECTION 19 • NOIlASIUQl!AltllJ.:rx
19.1 PERSONAL SIl~ OF CONSlfLTAllr
Both parties hereto recognize that this J\greeml'nt :l.,s for
the peraonal services of CO~SULTANT and cannot be transferred.
assigned or sUbcontracted hy CONSULTANT without the p:r-lor 'Written
consent of CITY.
19,2 SllllVIC1W OF S'JBCONSULTAm:..lIIDLl1l§~& &MP!.OY8Bi>
CONSULTANT shall be reBponsible for err.ploying or engagin9
all persons necessary to perform. the services of CONSULTAI'IT
hereunder. No subconF.lultant of C"ONSULTAN'r will be recognized by
CI'I'Y as such; rather, all subconsultanta are deemed to be employee.'3
of C()NSULTANT, and it agrees to be reBpon8~ble for their
performance. CONSULTANT shall give its personal attention to the
fulfillment of the provisions of thin .Agreement by all of ito
employees and sub~cQn8ultantB. if any j and shall keep the w-ork
under its conti-ol. If any employee or 91Jbconsultant of CONSlll/fM'1'
fails or refuses to carry out the provisions of this A9reement or
appears to be incompotent or to act in II disorderly or !.(t'_pl:opet:
manner, he or she shall be dischal."ged irrrnediately fl.-om the \:iork
under this Agreement on demand of CITY.
It is mutually understood and agreed by and between the
parties hereto that CONSU1~TANT 1s 'skilled in the professional
calling necessary to perform the work agreed to be done hereunder
and that CITY relies upon the skill of CONSULTANT to do and perform
the work in the most skillful manner I and CONSULTAIfi' agrees to thus
perform the work.. The acceptance of CONSULTANT' 8 worK by CITY doen
not operate as a release of CONSULTANT from the obligation.
SECTION .21 • WAIVER$.
'rhe waiver by either party of any brea.ch or violation of
any tem, covenant, or condition of thil3 Agreement or ,of any
provisions of any ordinance ,or law shall not be deemed to be R
waiver of any such term, covenant, condition, ordinance, or law or
of any subsequent breach or violation of the Bame or of any other
term l covenanL condition, ordinance or 1a"'. The Rubsequent
acceptance by either party of any tee or other money which may
become due hereunder shall not be deemed to be a waiver of' any
preceding breach or violation by the other party of any term,
covenant, or condition of this Agreement or of allY applicable law
or ordinance.
No payment, partial payrr'.ent r acceptance~ or partial
acceptance by CITY shall operate as a waiver on the part of CITY of
any of its rights under this Agreement.
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SECTION 23 QQSTS AND ATTORNEYS' ~
The prevailing party in any action brought to enforce the
terms of this Agreo"ment or arising out of this Agreemont may
recover its reasonable costs and attr')rneya' fees expended in
connection with such an action from the other party.
SECTION 24 • NQNPISCRIMlNA'rION; PBNALTY
24 • 1 DUTY OF CONIOllli'TI\!IT
No discrimination shall be made in thE! employment, of
pe:rsons uilder this Agreement because of the age, race, color.
national origin, ancestry, religion. disability, sexual preference
or sex of such person., If the value of this Agreement is, or may
be. Pive Thousand Dollars ($5,000) or more, CONSULTANT agrees to
meet all requirements of the Palo Alto Municipal Code pertaining to
nondiscrimination in employment. including completing the
"Compliance Report ~ ·NOl'ldlsc):imination Pl."ovisions of City of Palo
Alto Contracts" on the form furnished by CITY~ attached hereto as
Exhibit D and made a part hereof by this reference.
CONSULTANT ugrees that each agreement for services fr~~
independent providers shall contain a p:tovision Bubst..;Ultially as
follows:
"Provider shall provide CONSULTANT with a
certificate stating that he Cor she) is
currently in compliance with all Federal and
State of ·california laws covering
notldiacr,iminatioll in employmenti that he (or
she) will pursue an affirn\.t":ltive course of
action as required by the Affi~tive Action
Guidelines of the City of Palo Alto; and th.t
he (or she) will not discriminate in the
employment of any person under this contract
because· of t,he age~ race, color~ national
origin, ancestry, religion, disability~ sexual
preference or sex of such person.~
24.2 PEIIALTY FOR' D:tSCRUIINl\Ilill!
If CONSULTAN'l' is found in violation of the
nondiscrimination provisions of the State of California Fail'
Employme.nt Practices Act or similar provisions of federal law or
execut.ive order ill the performance of this Agreement, it shall
thereby be ,,found in material breach of this Agreement. Thereupon~
CITY shall h~ve the power to cancel or suspend this Agreement, in
whole or in part, or to deduct from the amount payable to
CONSULTANT the sum of TwentY·Five Dollars ($25) for each person for
each calendar day during which such person ,,'as discrirrtinate(l
against, as damages for said breach of contract, or both. Only a
finding of the State of California Fair Broployment Practices
Commission or the equivalent federal agency or officer shall
constitute evidence of a v.iolation of contract undel." this section.
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If CONSULTANT i8 found in violation of the
nondiscrimination provisions of this Agreement or the applicable
affirmative action guidelines pertaining to this Agreement,
CONSULTANT shall be found in material breach of this Agreement,
Thereupon, CITY shall have the power to cancel or suspend this
Agree(nent, in whole or in part, or to deduct from the amount
payable to CONSULTANT the sum of Two Hundred Fifty Dollars ($250)
fOI-each calendar day during which CONSULTANT is found to have been
in such noncompliance as damages for breach of contract, or both.
SECTION 25 . AAIlITRATlQN
Upon agreement of tha parties any controversy or claim
a~ising out of or relating to this Agreement may be settled by
arbitration in 8.ccordance with the 'Rules of the American
Arbitration Association, and judgment upon the award rendered by
the Arbitrators may be entered in any court having jurisdiction
thereof.
SECTION 26 -NQTICES
All r.atices hereunder shall be given in writing and
mailed, p03tage prepaid, by ce:rtified mail, addressed as follOWS:
To CITY: Office of the City Clerk
Post Office Box 10250
Palo Alto, CA 94303
To CONSULTANTr Attention of the Project Director
at the address of CONSULTANT recited above
All provisions of this Agreement are expressly made
conditions.
BBCl'ION 28 AGREEMENT CONTAINS ALL UNDERSTANDINGSj
This document represents the entire and integrated·
agreement between CITY and CONSULTANT and supersedes all. prior
negotiations, representations I and agreements, either written or:
orl'll.
This docwnent may be amended only by written instrument,
signed by both CITY and CONSULTANT,
SRCI'IQN 29 -GOyERNING LAW
'This Agreement shall be governed by the laws of the State
of California.
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IN WITNESS IilIIlRIlOF, the parties hereto have executed this
Agreement the day and year first above written.
CITY OP PALO ALTO
Mayor
API'ROVlll> AS TO PORM, INC.
Seniol:' Asst. City lIttorn----ey--By: -==r 1t~~RR $OClA'I'lIS'
ItS: __ ~r17. LbJ
APPROVlID,
. R"i 'fiX !1anager
AttacnrnSrJtBI
eXHIBIT A:
llXHIBIT D:
EXHIBIT C:
BlUllBIT D:
"-'----
SCOPE OP SBRVICBS & TIME SCHBDULE
PBIl SCHEDULE
INSURANCB
NONDISCRIMWATION COMPI.IANCE FORM
;,'
CER'I'IPlCA'I'1! O~ AC1<NOIll.lWGHKNT
(Clvil Code § 1189)
STA'I'll OF
COUNTY OF
-;;="",;:::::i=~On:;;.-j~v~~to¥~/~. ~.~/~~~!'1 t-/ _ I before me. C;;,,'L 4 .-'J ~~---(...< C t
-: I a yotary pubUcrn and fot £laid County, Personifly
appeared __ It.I-f-t. __ f-d-r< ,.t;-Evc<e •
pe>;~'mal.l.y_IsJwwn"-~-o-i1Ie tor proved to me on the baeis of
eatisfal>tol"}, evidence) to be the person 16) whose Ilame (s) is/flR''
"ub~bed to the within instrument, and aC~ledged to me that
he she:¥they executed' the same t.n, hisl (ller/their authorized
ca ty(J.es). and that by his.<h,e}:fthoir'-sfgnatur,,;o) on th"
lnetrurrumt the person(JJJ j or the entity upon behalf of which the
person!Jt) acted, execut.ed the InatnIl1.ent,
WITlIIl"",.Y. hand a IldZ' ff cial
C.-{A / /, "-'---r---..ti~----7
seal.
CERrIPlCATH OF AC~OKLBDGHENT
(Civil Code § 1189)
STATE OF _____ _
COUNTY OF _____ . _____ _
On I before me,
, a notary public in and for said County, pel:eonally appeared
personalry-known to me (or pi"oved to me -~the ~SISOf
satisfactory evidenceJ to be the person (s' whose name (s) isfara
subscribed to the wit.hin instrument, and acknowledged t.o me that
be/she/they executed the 8m,e in his/ her/their authorized
capacity (ies) • and that by bis/her/tbeir signature Is) on the
instrument. the personCs), or the entity upon behalf Of which the
person (a) acted, executed the instnlment.
\nTNBS~ my hand and official seal.
_._--------------
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EXHIBIT A
SCOPB Of SERVICES AND TIMB SCHEDULE
Under this Agreement, the Consultant shall perform the following
services I
1. A Market Analysis study and written repol:t addressing the
following issuesl
a~ An' analysis of the demographics wit-hin th.e Midtown
naiqhborhood area in Palo Alto that indicates population,
aqe, income levels, etc.; such analysis shall cover
standard radii for neighborhood commercial centers. An
aerial shall be included showing the existing center, the
neighborhood as defined by the study; proximity to other
neighborhood centers, such as Charleston, Edgewood, and
Alma Plaza.
The Market Analysis shall have a Center-wide focus with
IImicro-analysis" of the North-east corner of Colorado and
Middlefield Roads l including a proforma of all vacant
properties~
h. A cornpal'ative analysis 'of retail sales trends and rent
levels for the MidtowlI, Erlgewaod, Alma Plaz.a, And
Charleston centers over the last 5-10 years (depending
upon data availability); such comparison shall include a
breakdown of. retail and office/service commercial within
each center and a grocery store performance analysis tor
Midtown', neighborhood shopping centers in Palo Alto, and
~arkets within the city and area as a whole. The rent
level anaJ.ysis shall provide generalized information that
would assist in understanding the comparative rent
affordability among the City's neighborhood retail
shopping area.
c. Identification of all existing tenants in the MidtOWn
center; present square footage by ~se; length of 128se;
and present rents. Short ter.m and long term expectations
of existing tenants shall be explored; ie. desire to,
remain in Midtown, relocate, e~pand, etc.
d. Identification of all property owners in the Midtown
center; existing square footage of leased and vacant
space; and property owners' desires for the short and
long term; ie. sale or lease, investment strategy j desire
to redevelop. etc. If. map of property ownership, building
square footage and <\vailable vacant space for sale or
lease shall be provided. A professional assessmf'!nt of the
suitability of existing vacant structures for t'etail and
office commercial reuse shall be included.
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e. An evaluation of supportable squal:e footage within the
Midtown canter shall be assessed, including the need for
and appropriateness of various anchor tenants, retail
satellite shops, and office/service commercial needs. An
inventory of existing tenants with matchup to
neighborhood center JQarkat demands shall be provided,
along with the identification of market Uqapsll by use and
square footago. Market demand analysis shall include a
s2!l711ple survey of surrounding residents to determine
neighborhood shopping needs. Appropriate anchor ten.onts
for Midtown may be identified by use (such as 9~ocery
store,. pharmacy, etc.; and by approximate size; key to
such identification should bC! an assessment of the
product line quality supportable by Midtown neighborhood
domographics and income l~vols.
The an&lysis shall contain options that allow for
expansion of the existing Safeway facility, either on
site or off-site.
£. An analysis of sllpportable rent structures for anchor and
gatell! te tenants shall be provided, including a
projection of present day property values based on market
rents by use. Estimated propert}' valuf'~s in <jeneral under
a IIredeveiopment ll scenario of the Hidtown nei'lhborhood
center (that portion between Moreno Avenue and San Carlos
Avenue) shall be included.
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Existing traffic volumes on Colorado and Middlefield Road
shall bo inCluded in the study, and any planned roadway
or signalization improvements should be identified.
Also 1 tho study shall provide estimated parking needs for
both redevelopment and existing buildin9 reuse scenarios,
and a comparative .analysis of parking needs vis-a-vis
ordinance requironents shall be included in the ~tudy.
Parking space allocation of the City owned lot located
behind the Borgmann's building shall be evalUated based
on rl!:use of existing bUildings for higher demand parking
usos.
Finally, tho study shall provide professionally baSEd
conclusions and recoJMlendations. or. the long term
viabilit)' of the Hidtown neighborhood commercial center,
and what futUl.-e actions need to be taken to achieve a
healthy retail/service climate in that location.
The consultant shall state his oplnlon regarding
public infrastructure needs of the Midtown Shopping
Conter in order to foster an economically viable
neighborhood conmercial center. Specific indications
of the City's role in any redevelopment scenario shall
be addr~ssed including a professional assessment of the
costs and trade-ofts of development ag~ncy formation.
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The consultant shall r~Ylow all raaterial prepared
the COUlpreheniiive Plan .\ction CO%Ofllitteo' s Workshop as
other relovant ~aterial prepared by CPAC, Midtown
Merchants' A~soaiatiQl"I, and city St-.aff~
during
Wlll ...
3. ~he consultant shall &tten~ 6 meetinq with the
propetty ownors in ~idtown, to be convened by SuSanne
Shiolds, Presid&nt, Midtown Morchants J J\ssociation, prior
to the initiation of the Study. In addition, the
consult.nt shall 81$0 .... t with residents ~t a gathering
taolHtated by D.vid Greene, representative of the
Kidtoli" Re$ldento' "" "odati or, . The latter .hall be held
. aftf):):' tho consultant has dnv-elopea plans for data
9~thQrin9 but bo:tor'S the: cOll\munlty survey has been
executed, so that the rosidents' concerno have baan taken
into accouht. Both rseotingfl Ray not exceed two hours
each.
4. The consult~nt eh~ll ~~ke a presentation of the final study
and report to the City Council.
COJGllenco'Cc.nt of sElt'vices .July 11,. 1994
under aqreoJllcnt
D~aft :t'epox't to City staff for COThment Septe:mber 9, 11)94
Staff COMBnts du'e. to consultant
Final l'eport (not to Include
public H~.rin9) due to City
.
Soptember 2J, 1994
October 10, 1994
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COMPANJES AfFORDfNG COVERAGE ,,,,~;;:~=5.,.~_r_;_~_~_~_' _~~_~_5_' ___ C_A __ 9.:.,4_1_0_4 ~ A
B
' I',r f"I .... co ::::::.. !\MERIC.>,!! MOTORIST WSlJRAJ/CE CO",-, __ _
"·'VJ,ltfO , ..:"""':::::::.._-':.E:!.V"1\N"",S-,1:""O~_n:!SUR.AN""C"S-"C",O"._. _______ -,, I
55 pacific Avenue Hall ..... "cr'> •• '. L
lyser: Marston Associates l rnc r, ~.~JN'f. C ...... ,., ~ I'
j .n Francisco CA 94111 ~N« 0 ,;,; ,t-; --I
1·15) 398-3050 r ~"" E I
3CM637909··07.
""
BJ101S89
I I 61,000,000 I PROF. LIABILITY
F3125/93 f3125/94 rER CLAIM/AGG
i ;i;moM or OPOU roO~'~M~""'=~~""'~·O_±:;;:M="'~'='~""=~""'=''''''I~n~.-rC~i't~y.-\o~fr-,:;aro -1U"fO;-l.t s 0 f flee r s • em? loy e e s and age.nt.<;
Ire Ilatlled as additional insured, but only as to work perfot1l1ed undel:' this contract. Said co
:-"/erage. as to the City of Palo Alto etc. shall be primarycoverage vithout offset a8.a1~st City'
! (sting coverage acd any,other insurance C3Tried by the City being excess iGsura~ce only.
~,l'lm~T.~Wt:D,~ ,~£.U:\;,;~;;iX:6;;.:~ t~¥~2if~;:::eZ:,;~E/~~;j~::; ~.P:tP~"ll93·~~:~;;>~:;: ~JT'~">?,Ji'.i~~~:k:A:iCBt.sh:k:f~?::2~~'dr££iW:t~~!iQKJ:X,:~
: r"i OF PAlO AI,TO
: :;K MANAGER
• ,0. BOX' 10250
, ',0 AI.TO. CA 94303
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':~, SHOllLD ANY OF TIiE ABOve OESCI<J ElED ~s SE CAACeu..eO Be-ORE THE
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! Frllncisco~
~_5) 761-1965
.'
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~y$e(' Mo'rston ".'5sociates:, Inc
3 9acitlc Avenoe Hall
~n Francisco
H5} 396-3050
PROFeSSIONA.\
I.Il\lllLITr
CA 94111
EJI0210S
A ENTS ARZ N~~ED AS ADDITIONAL
T IS CONTRACT.SAID COVER~GE AS
..... x'rv OF PALO ALTO
RISK MAN~GER
.0. BOX 10250
.a.LO ALTO, CA, 9430)
(.C"'~SN@..E
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Sllcuo...o 10Ki 01' TIlE A80\lE DEs.:;>.!5 EO POUc,es <IE ClI\...::.ru.e:o BEI'ORE TIlE
fXPIAATlON CArE flje;E<JI'. THe ~\JI.'«l CCMPAHY ....,u. V.QVtYOR TO
MAIl. .---1..QOAYSYI'MlVlNOr.C::: TO -w.e Crnl1I'!C),TE HOlDEIl W-~EO TO THE
FAIlUM TO ,.wl SVCH NOT'lCe: SK.l.LL IMFOSE 00 Oel,;GAnON OR
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PART II -SUPPlEMENTAl FORMS SECTION 00410 (RFPI
C£RTfFfCA nON OF NONDfSCRfMfNA TION
~pn!f1catIQo of Ncnd!scrlmlnatjQn; A$ suppliers ot goods or so/vices to the Citv of
Palo Alto. the firm and individuals listed below certilies that they do not
discriminate In employment wHh regards tQ age, f8C0 4 colot. religion, nationar
otlgtn. ancestry, di$abilitv# or sexual preference; thal.they are In comptianca with
all Federal. Stale and local directives ami executive orders regarding
nondiscrimination In employmenl: and thai they agr •• to damonstrate positively
and aggressiYely the principle of equal opp",wnlty In employment.
The Proposer agrees specillcal:y:
1,0 To estBblishorobsth've employment policies which afl1rmalillely prornote
opportunities for minority pefsons at all Job lovefs.
2.0 To communicate 1hls polic\' to all p(Hsons c;oncemed. including ell
employees, outside recwitrng sClvicas. ospflcially thosa serving minority
communitfes. and to th-a minority communities 8t largo.
3.0
4.0
Firm:
To take 8i1irmative aclion steps to hiro minority employees within the
organization.
To be knowledgeablo of the local. slate, and fedetallaws end rogulalions
concernIng affirmativB action policies and provide opportunities lor
employees.
Keyser Ma.::st0n Assoc11'lltes~ tnr-.
Signaturel __ ~rt:M1t.£t~"tltt~'t!.~::;:!~~~+d2't!!
Date Hay
Please Incl~de any addilional information ayailable. ,egalding equal opportunity
employment programs now In eflact wllhln your company.
Copy of Affirmative Acti<)n Plan attached
-----------...... = ... ""«t~~O!"""="":;.;;;.~a"'M"'.;;';;oy,,· 1'----------
END OF SECTION
erry of PALO ALTO: Ncn·disc/im;llation 141941 SEClI(')N 004'tOIRFQH
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EXCERPT FROM MARCH 2B. 1994 CITY COUNCIL MINUTES
UNFINI~HED BUSINE~
7. 7:15 p.m. -Council Members Andersen, Schnoider, and Whcelet"
and Vice Mayor Simitian re Hidtown Shopping Area (contin\lcd
from 3/21/94)
.MOTION: Council Member Andersen moved, second€d b~' Wheeler I to
direct staff to move forward \11th a market analysis for the Midtown
Shopping center at a cost not to exceed $25,000, and that tho
market analysis should begin as soon as possible in ordor to be
avallable to the Comprehensive Plan Advisory COlMaittee {CPAC) and
public at large.
Gouncil Member Andersen said the Midtown area had approxim~tely
40,000 squarE'. feet of vacant area at the present thaG, and it had
lo~t three major anchors which had impacted the foot ~.ratfic and
the small, independent businesses. The community 'Was cOlrlmitted to
small, independent shops. He supported :market-base solutioTl3 but
did not believe it was appropriate for the Council to wait for
something to happen in the area. The analysis 'lr!ould assess the
area for many potential independent merchants. The demographics
were good, and the community deserved a strong, independently
operated shopping are~. Because of the timing of the Comprehen
sive: Plan Advisory cornmi ttee (CPAC) specia 1 study I it would be
helpful for CPAC to have the information beforehand whiCh \-I'ould
allow response by the communit.y to the information.
Susanne Shields, President, Midtown Merchants Association, said a
survey that she Undertook over of merchants and property owners the
03/28/94
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pr.ov!ous month and a half iridicated that 23 mercnants were in favor
of a broader-based survey that would include a look at some of the
physical changes in both pr:!.vate and public property rather than a
market analysis. That did not mean peoplE! were not interested in
having the market analysis done, but merchants felt a strong
pres sura to have some changes made in the area. There were
8 property owners out of 18 who indicated they felt the physical
aspects of Midtown needed to be looked at in addition to the market
input~ There were 6 property owners who had no input, 2 that had
no stand, and 2 who were in favor of a market analysis if it
included parking. The market analysis might address some of the
cost of property, but she believ~d the demographics were available.
Director of Planning and community Environment Ken Schreiber
indicated there probably would not be infrastructure changes
accomplished or initiated in Midtown for 19 to 24 months and that
the CPAC would not look at parking or infrastructure changes until
.at least November 1994. It was an untenable situation for the
me:z."chants. There were too many vacancies, and vacancies 'Would
continue. The merchants who had good businesses felt their
energies were not being appropriately rewarded. There needed to be
some indication in the development co:rnruunity that the city was
making a short-term as well as a long-term commitment. Merchants
and prQperty owners needed reassurance. There had not been a set
of expectations on the part of property owners, merchants, and the
community on what the City should be doing in I'lidtown for a long
time.
David Greene, 3144 David Avenue, representing a core group of the
Midtown Residents' Association, a new neighborhood community group
that had begun three weeks prior, read the core group's mission
statement (letter on file in the City Clerk's Office).
Dan Rasky, 831 Bruce Drive, supported the comments of Mr. Greene
regarding the market analysis and the views and de:'>ire,s of the
residents of the area into the appropriate solution. A good lonq
term solution for the aree and the City was needed. The long-term
solution would mean arriving at appropriate economic and cultural
growth. It was'not an area for low cost, high volume retailers but
tor specialty shops that the surrounding community and environment
would support.
Veronique Rasky, 911 Bruce Drive, urged the council to take the
residents' input into account in' the ~arket analysis and to add an
item that vould ask people how their ,shopping needs would be best
served. '
Debbie Mytels, 2824 LCluis Road, had chaired several community
meetings in the Midtown during the last month and people had
expressed a concern about wanting .,to be heard. A suggestion was
made that there be survey of residents' needs and concerns as well.
There was a lot of positive responses from citizens about the value
of the local merchants, e.9., the merchants hired their kids. The
residents were concerned that a single focus survey that only dealt
with economic qU~5tions would not address the other externalities
such as the community pl"aCeSS or values that were involved in
stores. The community wanted to have a fuller look at the other
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thirl9s that would COJQO out of the CPl\C processl i. e. I as community
design and interest, changes in traffic patterns, and mixed used
things that. :might tip the econo:r.lic equatioJl~ The city could put
together a unified study that would follow the CPAC process.
Sylvia Gardner, 824 Moreno Avenue, was part of the core 9r6uP of
Midto~n residents who were concerned about stores closing in the
area and the change in the neighborhood. 'l.'he pt'oposed market
analysis had not taken the neighborhood's needs into consideration.
The neighborhood was being considered as only confiumers , not what
kind of life the people in the area wanted to have for their
fam11ies~ The neiqhborhood wanted to be given an opportunity to
provide input into the process and felt it would be useful to
postpone the, analysis until after the CPAC meetin9. An expensive
stUdy should not be undertaken without the community's involvement.
LianG Enkelis j 764 Sutter Avenue, spo%e on behalf of the core group
of the newly formed Midtown Residents' Association and herself
(letter on file in the City Clerk's Office).
Ron Wolf J 745 San Carlos court, member of the core group, said one
resource in the MidtOWn area was the Home Federal Bank that
provided a wood stove and library which was the reason he banked
there. He also shopped at the Co-op but doubted that a market
analysis would show that those kinds of businesses were the right
kinds of businesses to be there, He believed Midtown could be
v18ble wIth those kinds of businesses which was the vision that the
}":esidents vanted to bring to the area. The resident.s could add a
lot of creativity to the proce5s and make ~fidtown a unique area.
Herb Boroc)c, ~731 Byron Street, attended the three public meetings
t.hat 'were heIdi and there ""as no agreetumt on forming any kind of
or-glu,ization; instead volunteers were asked to get together and
.cO'Jl!9 back with .n proposal for other people to talk about~ The
original meeting was scheduled for March 22, 1994 , to hear from the
group. The agenda item put the group in a situation to come before
the, Council and speak.. He looked forward to the core group
returnin<J to the larger group with a proposal for a residents
organization and the area it covered. He was concerned about the
proposal before the Council because some of it had alreadY been
done. Traffic studies and the Citywide Land Use af~d Transportation
study had been done in the Midtown, and a traffic study would have
to do <more than look at the intersecting !"treets at Colorado and
Hiddlefield Road. A vision was needed for the Midtown area.
Retail units had been forced out by high rents and replaced with
compotinq retail units.. There 'was one proposal for Midtown which
was to expand the commercial, but he believed the retail should be
consolidated on the east side of ~Hddleficld Road and the rest of
the area put into housing. It would create a true retail area that
was the same size as Edgewood, Charleston, or Alma Plaza and would
not be intersected by any streets. He showed the plan he disagreed
with.
10m Trudell, Midtown property owner, said at a meeting held several
wee~s prior, the property owners wanted to move forward with the
study. A study was overdue, and nothing would be gained by a
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de~ay. He owned a sinilar'store in San Jose which was empty for
two yeara and then it was divided into five bU$inesues. The Palo
Alto store had been out of business since mid-1992, and a marketing
st~dy ~ould help ~.rkct the building. The two big buildings that
vera pro9~ntly vacant was Hidtown Market and the Bergman building.
'l'h~ dem09r.aphics had changed in Midtown, and the residents needed
to allow a chan~e to happen that .... ould be Rlanaged b~· the city.
Council He~t nos.nb~un said a marketing analysis would typically
be. done. 'by .a private property owner on h Ls o .... n behalf, and he asked
~hat would prevent Kr~ Trudell and some of the other property
own<Elrs tro:a. moving forward ""'ith an analysis without any inter-ven'"
tion fro~ t.he City.
Hr. T~udoll said the property owners h~d not been organized as a
qroup to date, but ho undorstood the needs of th~ co~unity as a
whole needed to be considered rathor than just the property owners ..
If it 8ffect~d the con~unity as a whole, then the City should have
a Bay and fund the 6tudy. A Darkcting study cOllld address the
noads of the pl"operty owners, but the cOIi\Aunity had to have a say
in the feasibility of c~rtain kinds ot projects.
Tom Foy, O\lflOr, Midto,;m Realt,Y, 41.23 Brian/ooo, said situations had
changed .in the ~,rea. >'lot a :r.:ecting in July ),993, the City staff
ask'2d .... hat could be done to help ono anr,ther. There were several
Midto1<W'n meetings but the qr-oup was not able to reinvent the 'Wheel
very \0'611, so the idea of a -marketing survey came forward. M!tny
peoplo _felt they would accept the direction the l>urvey determined.
Ho thought it would be a win-win situation for the neighborhood and
that MidtOlJn would not b& any different from what it was right now.
It ~'ould help the tw'O units that had the JE'LOSt space available.
Council Membel' Ros~nbt".lur... ilsked what would be done with the narket
nnalysis.
Manaqer of Ecol'iol'llic ResoUl'ces Planning Carol Jansen said a major
outcom$ o,f the ll:Iarket anl!l}'sis wO\lld be to provide a tool for the
prop,erty owners to USQ in 'DZlrk.eting their property for some other
t.ype of use. There \o'ould be other ancillary outcomes, Le'l the
tenant and eo.rununity surveys 'Would d~termina what kind of use could
be activelY used in Midtovn. If Midto~n were a vacant piece of"
property under s1n91e ~wnershlp and the property owner wanted to
build a neighbo~hood/ccmmQrcial center, the first thing to be done
would be a market un~lysis. Because of the fractured ownership in
Midtown, it ~aG more difficult for one property owner to do a
narket analysis that went beyond the boundttries of his/her
individual property.
council Member Rosenbaum said the narket analysis would mainly
benefit the prop(!rty owners, and he asked why the city had not
approached the property owners to sec.ure partial funding and
support for "the stud~'.
M ..... Jansen "said it \las not uncommon in other communities to conduct
a study to help neighborhood or commercial centnrs that had same of
the ~evere economic stress indicators which had been exhibited in
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Midtown. The Citr~dad done'.compal'o1oble studieS.; e.g., the GtUCI1 and
Gruen analysis tha.t looked at other nei9hbOr-hood/cornrnercial centers
and El Camino Real from a retail perspective, but did not include
the "idtown Shopping Ceoter. The Midtown Shopping Center to d.te
had exhibited the highest economic stress in ter~9 of vacancies.
There was a number of issues with Hidtown that did not apply to
sema of the other neighborhoodfcoJnMlercil'll cerlters~
council Member Rosenbaum said Hr. So rock indicated the data being
asked for was already available. He reterred to paragraph 5 of the
attachment to the memorandulll dated M'cu:ch 17 # 1994, that indfcated
"lin evaluation of supportable squore foot within the Hidtolfn center
ahould be assessed" and the conoluding paragraph "Finrllily. the
study shou~d provide professionally based conclusions ••. II He aSK,ed
'Whether it was an art or a science: and I;tIho:thor e.veryone ·that was
hired to do the I'QBrket Dna lysis ""ould reach the s81'1!e conclusion on
the subjective matters.
Ms. Jansen said there was 8 great deal of COJll'lona l1ty about
perfor.min9 market analyses. It .... as prh~arily a scientific endellv~
or. There were real factors that 'Were used traditionally about the
supportable kind of neighborhood/coPl'lE.'rcilil uses that could exist
in an areB with the kind of deno9raphics that ~ight be exhibited
"rithin the areD.. There 'Was .eo. retail spRcia lness that can:c fro:;, the
people who performed tha~ kind of study that could be a valuable
addition to the scientific da.ta fron the study. SilO believ.ed three
good firms that perfol"lTled market analyses woul.d substantially cone
llP with the same kind of analysis issues on Midtown.
council Kember Rosenbaum said it I;tI<1S hot unknown (or cH:l~s. to hire
consultants for the purpose of developing support tor 8 precon
ceived position of a city. There were core~ents fro~ ~e~b6rs of the
public that indicated they felt it nlght not bo in tl,oir best
interests as residents of the neighborhood.
Ms. Jansen said market analyses ...... er(\ frequently P(!t-fol-r;.ed by. the
private sector to promote a particular scena~io. Tho City WhS not
in the business of promoting a particular scenario on the Hidtowh
Shopping Center and 'Was lookin9 at it w.or~ f.rom alt ac:adel:lic
perspective. The city wanted to find oq.t what kind of .{;ivo:stP::lant
needed to be made and the tenants that had real viability in the
area. It was unrelated to a particular· physical developl'I!(mt
scenario. The value of the study was that it did not havo
preconceived notions, and ther:e 'Were probably ~any difforent
solutions to Midtown.
council Member Rosenbaum. clarifi(>;d the :t"esidents could bo assured
the study would be an unbiased market analysis.
Ms~ Jansen said yes.
council Hember Andersen said the motion lhllited the expenditure {or
the study to $2-5,000. He anticipated the City would request the
property owners to provide additional funding if they wanted the
study to go beyond the original concept. There had been sone
additional requests as a L"esult of the intel"action that had taken
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place over the last. several months. He was able to sUCJCJest the
$25,000 because sorne of the information was already available l and
the .data would be brought together with other information avail
able. He emphasi.ed that it was information and did not have a
preconceived agenda. The neighborhood .feared that there 'Would be
a 45,OOO-squara-foot safeway in the area, but he asstJretl the
community that that· would not occur. 'Ilhere would not be a chlmqe
in the neighborhood without a tremendous ~mO\lnt of public response.
If \:he information 'Were availablo for the Comprehensive Plan
Advisory committee (CPAC) process, the City would be able to look
at the area from a professional direction J in the context of the
CPAC objsctive,s, and the direction that community wanted to take.
He pointed out there ~as a separate issue with regard to the neigh
borhood community spirit and the desire to make certain that
physical changes took place. He agreed that physical impr.ovements
were needed in the area, and part of those changes would be the
responsibility of the city but that was a separate issuo. Tllo
study would be a source of infol"l"I1ation that would be helpful to the
community as well as to potential tenants.
Council Member Schneider was gratified to see how many people cared
about the businesses in their neighborhoods. She did not ~/al\t to
see furthe,~ deterioration in the area due to a delay. Thfl
cleteriot'ation needed to stop, and business needed to ",.ove forward.
The m8,rket study was only a small piece of the finflll picture. The
CPAC study would help, and further input ·from the residents W.1.S
critical. Sh~ suggested that residents get involved in the design
of the study and that it move forward as rapidly as possible.
Council Member Wheeler reassured the neighbors and the represen~
tative!J of the merchants that the Council had a common goal to "Work
toward a healthy Midtown neighborhood shopping cant.er. Sho
believed the marketing study WaS one piece of a nurnb~r of discus
sions that would get the City to that end.
MOTION PASSED 8-0, Huber absent.
ORAL. CQMMUNICATI9N§
Mayo~ Kniss read a proclamation honoring the Garden Club.
Harry Merker I 501 Forest Avenue, spoke regflircUng lIropresentation."
F.(lrnund Power, .2254 oartmouth Street, spoke regar.ding "Who runs this
town?" (letter on file in the city Clerk's Offica) ~
APPROVAl. OF MINUTES OF FEBRUARY 14 AND 2~, 1994
HOTION: council Member NcCown moved, seconded by Wheeler, to
approve the Minutes of February 14, 1994, as corrected.
MOTXON PASSED 7-(1-1, Schneider "abstaining I II Huber absent.
MOTION: council Member Wheeler moved, seconded by McCown, to
approve the Minutes of February 22, 1994, as submitted.
03/2B/94 72-324
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