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CC 06-01-93 CITY OF CUPERTINO, STATE OF CALIFORNIA CC-859C 10300 TORRE AVENUE, CUPERTINO, CA 95014 TELEPHONE: (408) 252-4505 MINUTES OF THE ADJOURNED REGULAR CITY COUNCIL MEETING, HELD JUNE 1, 1993, COUNCIL CHAMBER, CITY HALL, 10300 TORRE AVENUE, CUPERTINO, CALIFORNIA The meeting was called to order by Mayor Szabo at 6:45 p.m. ROLL CALL Counc. Present: Dean, Goldman, Koppel, Sorensen, Mayor Szabo Staff Present: City Manager Brown City Clerk Cornelius Director of Community Development Cowan City Planner Wordell Planner II Bjurman Associate Planner Jung City Attorney Kilian ORAL COMMUNICATIONS - None. PUBLIC HEARING Application Nos. 3-GPA-90 and 50-EA-90, Consideration of City of Cupertino Proposed General Plan Amendment and Draft Environmental Impact Report; Location: Citywide. (a) Resolution No. 8884: "A Resolution of the City Council of the City of Cupertino Certifying that the Environmental Impact Report (State Clearinghouse Number 91033064) for the Comprehensive General Plan Amendment 3-GPA-90 is Complete and in Compliance with the California Environmental Quality Act." (b) Resolution No. 8885: "A Resolution of the City Council of the City of Cupertino Adopting a Comprehensive Amendment of the Land Use, Housing, Transportation, Environmental Resources, Public Health and Safety, Implementation Elements of the City of Cupertino General Plan." (c) Resolution No. 8886: "A Resolution of the City Council of the City of Cupertino Adopting the General Plan Implementation Program, Appendices D (Housing Mitigation), E (Slope Density), F (Tier 2), of the City of Cupertino General Plan." MINUTES OF THE JUNE 1, 1993, ADJOURNED REGULAR CITY COUNCIL MEETING (CC-859C) Director of Community Development Cowan stated that this was the first City Council public hearing regarding the general plan. Three resolutions are being presented. Council could, this evening, adopt the General Plan Amendment. Mr. Cowan stated that the City is still working with the State on some technical issues regarding the housing element. If, in the future, that element needed to be changed, a minor amendment could be adopted. Mr. Cowan will review the second tier proposal and the distribution of 265,000 square feet. The process to be followed will be staff presentation, public input, and Council discussion. Mr. Cowan reviewed the revised General Plan, Appendix F, pertaining to Tier II. Items 4 and 7 were revised and 8 eliminated. He then reviewed the reallocation of space and alternative per page 2 of the June 1 staff report. Symantec and Measurex have both requested additional square footage. It was pointed out that in regard to mixed use, vertical mixed use will not be required or emphasized. Three distinct uses could be side by side. The specific plan would require Council approval. Mr. Cowan stated that the "jackpot" building previously approved for Tandem needs to be resolved. The new Planning Commission does not want this exemption for Tandem. In regard to Policy 2.43, the idea was to cluster the lots. The City Attorney stated this was in order to provide environmental protection to the hillsides. Discussion followed regarding the library and the general plan. Page ER-19 clarifies the regional nature of the Diocese property. Mr. Jung reviewed "clean up" details on the map showing maximum building heights. Discussion followed regarding development agreements and land use decisions. The City Attorney pointed out that just because something is not in the general plan does not mean it could not be in a development agreement. There was further discussion regarding charging fees to offset loss of sales tax revenue and the inclusion of a sales office within the City. The construction of a hotel was also mentioned as a source of revenue. The Mayor then opened the meeting to the public. Mayor Szabo announced that those speaking as individuals would be allowed a maximum of three minutes, whereas, persons representing organizations and companies will be allowed a maximum of ten minutes. Mike Bruner, 1144 Derbyshire Drive, representing Sobrato Development and the Diocese, felt there are too many flaws in the EIR. He submitted a copy of a letter he had sent to the State Department of Housing regarding Cupertino's housing element. He is protecting the rights of Sobrato Development and of the Diocese. 2 MINUTES OF THE JUNE 1, 1993, ADJOURNED REGULAR CITY COUNCIL MEETING (CC-859C) Rev. Michael J. Mitchell, 10110 North DeAnza Boulevard, representing the Roman Catholic Bishop of San Jose, addressed Council regarding the joint Planning Commission/City Council meeting. He stated that every other group had received a compromise, but not the church. He felt this was discriminatory and expressed the belief that it will lead to a confrontation the church did not seek. The City speedily worked out solutions with the companies. He believes that a compromise can be done and it could be part of the public process. The church is not getting a solution. He believes that if negotiations were started, a compromise would be reached shortly. The Mayor emphasized it would have to be a public process. Rev. Mitchell suggested that representatives of the Diocese meet with staff. The City Attorney pointed out that it would probably be a violation of the Brown Act to meet behind closed doors. Rev. Mitchell stated he was not asking to meet behind closed doors. The City Attorney stated his belief that the City Council would like to see something more specific that could be examined in the public process. Rev. Mitchell said he did not understand why the church is being singled out. The City Attorney informed him that they were being treated the same as others in the hillsides. Tom O'Donnell, 10 Almaden Boulevard, San Jose, representing Kaiser Cement, stated that Kaiser and the Diocese property are separate issues. He expressed agreement with Rev. Mitchell's statement that the City has drawn a line regarding where the hillsides start. Kaiser owns 3600-3700 acres; some acres are hilly, some are not. Some are industrial; some are not. Cupertino's EIR treats everything west of a line as hillsides. It is myopic on the City's part. Someday, people may decide there should be some other uses on some of all that property. He referred to CEQA Guidelines, Cal Code Regs. 15146 and specificity v. broad brush. He also stated that possible future uses of the property are not addressed. Cupertino's EIR does not focus; it lacks an adequate table of contents, an index and a brief summary. He is calling these things to the City's attention. City Attorney Kilian stated that Mr. O'Donnell's letter had been sent to the City too late for formal comments. Would the Council want an oral or written response? Mr. Kilian stated he felt staff would prefer to respond later or at the next meeting if there is one. John Hailey, Tandem Computers, presented an overview of jobs created and money spent in R & D. The state of California needs jobs and Tandem would like to provide some. The company pays a use tax and utility taxes. Studies show that a sales office would pay less than 1/4 of what Tandem is paying in use tax. In regard to reallocated square footage, 3 MINUTES OF THE JUNE 1, 1993, ADJOURNED REGULAR CITY COUNCIL MEETING (CC-859C) HP, Apple and Tandem does regard the 150,000 sq. ft. important as it is in Tier I. In regard to transportation, peak hour trips are important. Tandem is not a high traffic generator relative to square footage. Big companies will bear the burden of mitigation via TDM programs. Tandem would like the flexibility to use the use permit approved for the "jackpot" building. They may not do it, but is important to have available. Tandem will consider the community. In regard to height limitations, Route 280 intersecting with Wolfe Road, shows single, solid lines on the map; but this is not the way it is. Mr. Hailey expressed the belief that the 60-75 ft. zone should be brought down to Wolfe. Steven Haze, 22681 San Juan Road, commended all involved in the general plan endeavor. In regard to the Economic Development section, he stated the economic phase omits DeAnza College, which is a major employer and should be taken into consideration. He reviewed the DeAnza College Master Plan and expressed approval of the city's design charette concept for the "Heart of the City". Cecil Mahon, 22045 Regnart Road, presented a letter to Council and stated he had always wanted to divide his property amongst his children. It is now necessary for him to sell the property to take care of his health problems. He felt the proposed hillside policy was discriminatory as it reduces the number of his lots. He is the only one affected in Regnart Canyon. He stated this was a hardship case and read from a 1978 letter from the Director of Community Development. He was informed that at this time, four dwelling units would be allowed. Nadine Grant, 10463 Heney Creek, representing OAKS, encouraged the adoption of the general plan as it would steer future development away from hillsides and not to any particular area. Julian Rice, 10221 Phar Lap Drive, addressed Council regarding Tier II. He stated that people who are involved in R & D are loyal employees, but are individuals and do not herd into groups. There should be severe penalties for violations after six months. Otherwise, the rules will not hold up. Residents voted for slow growth, and he assumes the Council will abide by that. Nancy Burnett, 729 Stendhal Lane, representing CURB, introduced Dick Carey, who addressed Council regarding the tier system. He urged Council to examine the Traffic Demand Management programs and financial impacts of the traffic. In regard to building heights, he stated some of CURB's questions have not been answered regarding the 60 ft. height limitations. CURB would like assurance that residents will be involved in what is proposed to be built around them. He also expressed concern about "urban core" comments. Sue Mirch-Kretschmann asked how development and trips would impact neighborhoods. She felt more housing needed to be provided because of the jobs that are being added. She asked if the State had waived Cupertino's "fair share" of housing. She felt the plan 4 MINUTES OF THE JUNE 1, 1993, ADJOURNED REGULAR CITY COUNCIL MEETING (CC-859C) does not address the impact of additional employees and housing. She felt the City should have something in writing from HCD releasing Cupertino from housing requirements. Nancy Burnett said that the height of the "jackpot" building to be allowed would depend on how far back it is from Stevens Creek Boulevard, but she felt it would still be too tall. She asked if the EIR should address the worst case scenario. When new "fair share" numbers on housing are available or if the state rejects the housing element, the City will not cut back on office building, but will add housing. She expressed concern about the impact of growth on the people. She felt consideration to "adverse effects on human beings" should be addressed in the EIR. She urged Council to reduce the proposed number of square feet to be available. Mayor Szabo stated that it possible to adopt the General Plan Amendment this evening. However, he does believe that the school district wished to address Council on the plan at their meeting on June 1. RECESS: 9:00-9:15 P.M. City Attorney Kilian addressed Mr. O'Donnell regarding CEQA guidelines section for secondary impacts. The Kaiser property is not within the City of Cupertino. Policies say Cupertino is not interested in extending its urban service area to that land at this time. Therefore, there is less detail as the City cannot predict development outside of its limits. The property is in the County and the responsibility may be with the County. Because the property is in the county, in the City Attorney's view, the EIR need not be as detailed regarding secondary impacts. Mr. Jung pointed out that the County General Plan of 1992 is incorporated by reference. The City Attorney stated that if the City Council needed more information, this would be the time to ask for it. By consensus, Council agreed the meeting would not last past 11:30 p.m. Mark Kroll, City Center Associates, expressed concern regarding taking space from the three major companies and the City Center. He urged Council to go back to the original proposal. This is important and is a planning tool for them. He also stated that others developing should have the same requirements as the Apple R & D campus. He stated it looks like major companies are being punished. A major part of the solution to California's problems is jobs. In regard to a hotel when this economy can support one and an equity capital loan is possible, City Center will build one. Nobody believes jobs will be available. People are not investing in California. We need responsible and reasonable growth. Donna Ghoul, 10220 Bonny Drive, said she had chosen to live in Cupertino because it is a nice, small town. She addressed Council regarding school issues such as larger classes, 5 MINUTES OF THE JUNE 1, 1993, ADJOURNED REGULAR CITY COUNCIL MEETING (CC-859C) programs being cut, students being unable to walk to school because of traffic, use of portable classrooms, and economic issues (parents have been asked to donate for purchase of books for the classrooms). Her concern was that with increase in building, there will be more children in school. She expressed opposition to the magnitude of growth the Council is contemplating. Barbara West, 10670 Cordova Road, thanked Council for its commitment and time. Roger Oser, 101 Lincoln Center Drive, Foster City, representing Lincoln Properties and Symantec, addressed Council regarding a proposal to allocate square footage to medium sized companies. He endorsed making 150,000 sq. ft. available to medium sized companies as per the Planning Commission recommendation. Ann Anger, Monta Vista, addressed Council regarding traffic. She stated the main traffic feeds into 280 and 85. Heavy traffic is not going into residential areas. There being no other members of the public wishing to address them, Council closed the public hearing. It was moved by Counc. Goldman, seconded by Counc. Koppel and passed with Mayor Szabo dissenting, to amend the first sentence of Item No. 5, Tier II, to read as follows: Calculate the number of trips saved by subtracting the current trip rate from the base line rate measured after enactment of the General Plan to determine number of new square footage of building. It was moved by Counc. Koppel, seconded by Counc. Goldman and passed with Counc. Dean and Mayor Szabo dissenting, to approve 2,000,000 sq. ft. for the second tier allocation. City Attorney Kilian pointed out that these are straw votes and Council will take a final vote on the entire general plan. It was moved by Counc. Sorensen, seconded by Counc. Koppel and passed with Counc. Dean and Mayor Szabo dissenting, to approve the reallocation of 265,000 sq. ft. as follows: 91,000 sq. ft. for Crossroads and Town Center with the TDM as stringent as Apple R & D; 20,000 sq. ft. for Measurex; 150,000 sq. ft. to be allocated to the three "major companies" using the same ratio as for the second tier. It was moved by Counc. Koppel, seconded by Counc. Sorensen and passed with Counc. Dean and Counc. Goldman dissenting, to support the project called "jackpot" and agree that this is an exception in the general plan. It was moved by Counc. Goldman, seconded by Counc. Sorensen and passed with Counc. Dean dissenting, that the height limits in the general plan apply to sites except for the 6 MINUTES OF THE JUNE 1, 1993, ADJOURNED REGULAR CITY COUNCIL MEETING (CC-859C) existing use permit or any extensions granted by City Council for Tandem's "jackpot" building (13-U-88). Mayor Szabo moved that development agreements contain the requirement for a fee that corresponds to the average sales tax from offices. This could be offset by a hotel tax. The motion died for lack of second. It was moved by Counc. Koppel, seconded by Counc. Sorensen and passed unanimously to add a "bullet" to Policy 2-22, pertaining to finances, as the option of a sales office. It was moved by Counc. Koppel, seconded by Counc. Sorensen and passed unanimously to extend the 60-75 ft. height limitation along I-280 to include the sliver of Tandem property along Wolfe and Pruneridge. It was moved by Counc. Koppel, seconded by Counc. Goldman and passed unanimously to adopt Resolution No. 8884 and direct the filing of a Notice of Determination with the County of Santa Clara. It was moved by Counc. Koppel, seconded by Counc. Goldman and passed with Counc. Dean and Mayor Szabo dissenting, to adopt Resolution No. 8885. It was moved by Counc. Goldman, seconded by Counc. Koppel and passed with Counc. Dean and Mayor Szabo dissenting, to adopt Resolution No. 8886. At 10:55 p.m., City Attorney Kilian announced that a Closed Session will be held regarding litigation, City of Cupertino v. Norman. Council reconvened at 11:00 p.m. It was moved by Counc. Sorensen, seconded by Counc. Goldman and passed unanimously to authorize the City Attorney to pursue settlement along the lines of the letter received from the Pacific Legal Foundation. At 11:05 p.m., the meeting was adjourned to 6:00 p.m., June 2, 1993. ______________________________ City Clerk 7