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CC 08-01-2017CUPERTINO APROVED MINUTES CUPERTINO CITY COUNCIL Tuesday, August 1, 2017 SPECIAL CITY COUNCIL MEETING At 5:00 p.m. Mayor Savita Vaidhyanathan called the Special City Council meeting to order in the Cupertino Community Hall Council Chambers, 10350 Torre A venue. Present: Mayor Savita Vaidhyanathan, Vice Mayor Darcy Paul, and Councilmembers Barry Chang, Steven Scharf, and Rod Sinks. Council went into closed session and reconvened in open session at 6:45 p.m. in the Cupertino Community Hall Council Chambers, 10350 Torre Avenue for the Regular Meeting. CLOSED SESSION 1. Subject: Conference with Legal Counsel-Existing Litigation pursuant to Paragraph (1) of subdivision (d) of Government Code Section 54956.9. Name of case: Emmy Glumac v . City of Cupertino, Santa Clara County Superior Court Case No. 17CV309611 Mayor Vaidhyanathan announced that Council gave direction to staff. 2. Subject: Conference with Legal Counsel-Existing Litigation pursuant to Paragraph (1) of subdivision (d) of Government Code Section 54956.9. Name of case: City of Saratoga; City of Cupertino; Town of Los Gatos v. California Department of Transportation, et al., Santa Clara County Superior Court Case No. 115CV281214 Mayor Vaidhyanathan announced that Council gave direction to staff. 3. Subject: Conference with Legal Counsel -Anticipated Litigation Initiation of litigation pursuant to subdivision (c) of Government Code Section 54956.9 (one potential case) Mayor Vaidhyanathan announced that Council gave direction to staff. City Council Minutes August 1, 2017 4. Subject: Conference with Real Property Negotiators pursuant to Government Code Section 54956.8. Properties: 10849 Sycamore Drive, Cupertino, California; APN 342-57-028. Agency Negotiators: David Brandt, Jaqui Guzman. Negotiating Parties: Carol Atwood. Under Negotiation: Price and terms of payment Mayor Vaidhyanathan announced that Council gave direction to staff. REGULAR CITY COUNCIL MEETING ROLLCALL At 6:54 p.m. Mayor Savita Vaidhyanathan called the Regular City Council meeting to order in the Cupertino Community Hall Council Chambers, 10350 Torre Avenue and led the Pledge of Allegiance. Present: Mayor Savita Vaidhyanathan, Vice Mayor Darcy Paul, and Councilmembers Barry Chang, Steven Scharf, and Rod Sinks. CEREMONIAL MATTERS AND PRESENTATIONS 1. Subject: 2017 Accomplishments of Community Enlightenment (ACE) Award Recommended Action: Present ACE Award from Library Commission to 2017 Recipients - Cupertino Poet Laureate Steering Committee Mayor Vaidhyanathan and representatives from the Cupertino Library Commission presented the ACE Award to the Cupertino Poet Laureate Steering Committee. Council received the presentation. POSTPONEMENTS -None ORAL COMMUNICATIONS Phyllis Dickstein talked about points made at the recent retail-oriented workshop and how they might relate to Valko as a retail center. Suzanne Becket talked about acquiring property at the Oaks to enlarge Memorial Park. Rod Diridon, Sr. talked about transportation and land use planning. 2 City Council Minutes August 1, 2017 Vivian Wong talked about the City's Below Market Rate (BMR) Program. Caryl Gorska talked about a blog written by a former Cupertino Mayor and Commissioner about Better Cupertino. Liang Chao talked about State Senate Bills, development projects, and school over-crowding. Art Cohen talked about upcoming films and festivals at the Bluelight Cinema. Rick Chollmon talked about violation of his 4th Amendment rights. Pete Heller talked about the recent community education series especially the retail-oriented session. Danessa Techmanski talked about traffic concerns for all development in Cupertino. Muni Madhdhipatla talked about retail in Cupertino. CONSENT CALENDAR Sinks moved and Scharf seconded to approve the items on the Consent Calendar as presented. Ayes: Vaidhyanathan, Paul, Chang, Scharf and Sinks . Noes: None. Abstain: None. Absent: None. 2. 3. 4. 5. Subject: Approve the July 5 City Council minutes Recommended Action: Approve the July 5 City Council minutes Written communications for this item included an amended page. Subject: Accept Accounts Payable for the period ending April 14, 2017 Recommended Action: Adopt Resolution No. 17-065 accepting Accounts Payable for the period ending April 14, 2017 Subject: Accept Accounts Payable for the period ending April 21, 2017 Recommended Action: Adopt Resolution No. 17-066 accepting Accounts Payable for the period ending April 21, 2017 Subject: Accept Accounts Payable for the period ending April 28, 2017 3 I City Council Minutes August 1, 2017 Recommended Action: Adopt Resolution No. 17-067 accepting Accounts Payable for the period ending April 28, 2017 6. Subject: Accept Accounts Payable for the period ending May 5, 2017 Recommended Action: Adopt Resolution No. 17-068 accepting Accounts Payable for the period ending May 5, 2017 7. Subject: Accept Accounts Payable for the period ending May 12, 2017 Recommended Action: Adopt Resolution No. 17-069 accepting Accounts Payable for the period ending May 12, 2017 8. Subject: Treasurer's Investment Report for Quarter Ending June 2017 Recommended Action: Accept the report 9. Subject: Adopt the draft resolution to add the City Manager as an alternate signor on the Authorization for Transfer of Funds form for the Local Agency Investment Fund in case there is a City Officer vacancy Recommended Action: Adopt Resolution No. 17-070 adding the City Manager as an alternate signor on the Authorization for Transfer of Funds form for the Local Agency Investment Fund in case there is a City Officer vacancy 10. Subject: 2017/18 Reconstruction of Curbs, Gutters and Sidewalks Project, Project No. 2017- 112 Recommended Action: Authorize the City Manager to award and execute a contract with JJR Construction, Inc., in the amount of $2,648,138 and approve a construction contingency of $250,000, for a total of $2,898,138 11. Subject: 2017 Pavement Maintenance Project Phase 3, City Project No. 2017-111 Recommended Action: Authorize the City Manager to award a contract to O'Grady Paving, Inc., in the amount of $2,250,943.75; and approve a construction contingency of $249,056 .2 5 for a total of $2,500,000 12. Subject: Award of the Storm Drain Improvements -Foothill Boulevard and Cupertino Road Project 13. Recommended Action: Authorize the City Manager to award a contract to Con-Quest Contractors Inc., in the amount of $1,089,715 and approve a construction contingency of $200,000, for a total of $1,289,715 Subject: Award and authorize the City Manager to execute a contract for the Fiber Network Extension to the Service Center Project (Project No. 2017-04) 4 City Council Minutes August 1, 2017 Recommended Action: 1. Award and authorize the City Manager to execute a construction contract for the Fiber Network Extension to the Service Center Project with Aegis ITS, Inc. in the amount of$264,764.33; and 2. Authorize a construction contingency budget of $26,500.00, approximately 10% of the contract amount, to address unforeseen conditions during construction, for a total of $291,264.33 SECOND READING OF ORDINANCES 14. Subject: Second reading of an ordinance amending the Municipal Code to regulate the placement of storage containers and temporary fencing, size of signage notice boards for development, size of Accessory Dwelling Units, and including amendments to various other chapters of Title 19 -Zoning of the Municipal Code, including but not limited to, Chapter 19.08 (Definitions), Chapter 19.28 (Single-Family Residential (R-1) Zones), Chapter 19.36, Multiple Family Residential (R-3) Zones, Chapter 19.40 (Residential Hillside (RHS) Zones), Chapter 19.60 (General Commercial (CG) Zones), Chapter 19.64, Permitted, Conditional and Excluded Uses In Office And Industrial Zones and 19.116 (Conversions of Apartment Projects to Common Interest Developments) for compliance with State Law, readability, clarifications, and internal consistency. (Application No. MCA-2017-03; Applicant: City of Cupertino; Location: City-wide) Recommended Action: Conduct the second reading and enact Ordinance No. 17-2165: "An Ordinance of the City Council of the City of Cupertino amending Chapter 9.22, Property Maintenance, Chapter 19.12, Administration, Chapter 19.112, Accessory Dwelling Units In R-1, RHS, A and A-1 Zones, and minor amendments in Chapter 19.08, Definitions, Chapter 19.24, Agricultural (A) and Agricultural-Residential (A-1) Zones, Chapter_l.9.28, Single-Family Residential (R-1) Zones, Chapter_l9.36, Multiple-Family Residential (R-3) Zones, Chapter 19.40, Residential Hillside (RHS) Zones, Chapter 19.60, General Commercial (CG) Zones, Chapter 19.64, Permitted, Conditional and Excluded Uses In Office And Industrial Zones And 19.116, Conversions Of Apartment Projects To Common Interest Developments" Principal Planner Piu Ghosh reviewed the staff report. City Clerk Grace Schmidt read the title of the ordinance. Sinks moved and Chang seconded to read Ordinance No. 17-2165 by title only and that the City Clerk's reading would constitute the second reading thereof. Ayes: Vaidhyanathan, Paul, Chang, Scharf, and Sinks. Noes: None. Abstain: None. Absent: None. 5 City Council Minutes August 1, 2017 Sinks moved and Chang seconded to enact Ordinance No. 17-2165. Ayes: Vaidhyanathan, Paul, Chang, Scharf, and Sinks. Noes: None. Abstain: None. Absent: None. PUBLIC HEARINGS 15. Subject: 2017-18 Community Development Block Grant (CDBG) Annual Action Plan Recommended Action: Conduct the Public Hearing and Adopt Resolution No. 17-071 approving the 2017-18 CDBG Annual Action Plan Written communications for this item included a staff presentation. Senior Housing Planner Kerri Heusler reviewed the staff report. Mayor Vaidhyanathan opened the public hearing. Seeing no speakers, Mayor Vaidhyanathan closed the public hearing. Chang moved and Paul seconded to adopt Resolution No. 17-071 approving the 2017-18 CDBG Annual Action Plan. The motion carried unanimously. 16. Subject: Consider whether to authorize the formal submission of General Plan Amendment applications for the three proposals received in the 2017 Second Cycle including: 16A -Hotel at Cupertino Village site; 16B -Hotel at Good Year Tire store site; and 16C -Mixed-use development at the Oaks Shopping Center. Recommended Action: Staff recommends that the City Council adopt Resolution No. 17- 072 (Attachment A) after determining if the application(s) is/are authorized to move forward to apply for a General Plan Amendment(s) Written communications for item 16(a-c) included emails to Council and staff presentations. Principal Planner Pui Ghosh reviewed the staff report regarding the process and criteria for evaluation of all three projects. 16a. Subject: A proposal to demolish two commercial buildings and construct a new full- service boutique hotel with 185 rooms and conference space and restaurant at the Cupertino Village that requires City Council authorization for formal submission of General Plan Amendment applications. (Application No.(s): GPAAuth-2017-03; Applicant: Michael Strahs (Kimco Realty); Location: 10765 N . Wolfe Road; APN(s): 316-45- 017) 6 City Council Minutes August 1, 2017 Associate Planner Erick Serrano reviewed the staff report. Applicant Michael Strahs reviewed the project. 16b. Subject: A proposal to demolish a 8,323 s.f. auto service station and construct a new 156- room, five-story hotel, with conference space and restaurant at the Good Year Tire site that requires City Council authorization for formal submission of General Plan Amendment applications. (Application No.(s): GPAAuth-2017-01; Applicant: Claudio Bono (De Anza Properties); Location: 10931 N. De Anza Boulevard; APN(s): 326-10-061 Associate Planner Gian Martire reviewed the staff report. Applicant Claudio Bono reviewed the project. 16c. Subject: A proposal to demolish an existing -71,254 sq.ft. commercial shopping center and construct one of the two alternative mixed-use developments at the Oaks Shopping Center site that requires City Council authorization for formal submission of one of the alternatives for formal submission of General Plan Amendment applications. (Application No.(s): GPAAuth-2017-02; Applicant: KT Urban (Mark Tersini); Location: 21267 Stevens Creek Boulevard; APN: 326-27-039, -040 and -041) Senior Planner Catarina Kidd reviewed the staff report. Applicant Mark Te·rsini reviewed the project. Laura Worthington Forbes with__Kimley- Horn and Associates, Inc. and Beverly Bryant with KT Urban also talked about the project. Following the staff reports for the three projects, Mayor Vaidhyanathan opened the public hearing and the following individuals spoke: Tai Lam Karl Baumheckel Nicolas Nagle Michelangelo N alarro Irvin Webster Eswari Sure Peter Hirsch Abdullah Ibrahim Philip Chau Sus an Chau 7 City Council Minutes Patrick Bumb on behalf of Jack Nyblom and KT Urban Jan Stokley on behalf of Housing Choices Enzo Pace Barbara Jones Stephen Jacobs Jon Willey (distributed written comments) Keith Warner Scott Hughes Don Tran on behalf of Silicon Valley Leadership Group Marcus Plutowski Ignatius Ding (distributed written comments) Maria Flur Florie Bridge Housing Cathy Wang Luke Lang Yu Wen Su Liana Crabtree Lloyd Ngo Lawrence Shapiro Ruby Elbogen on behalf of Cupertino Hotel Khyati U Sarah McDermott on behalf of Unite Here Local 19 Ruth Silver Taube on behalf of Santa Clara County Wage Theft Coalition Muni Madhdhipatla Kelly Lambert Kevin McClelland on behalf of Cupertino Chamber of Commerce Jan Kucera (distributed written comments) Pete Heller Dennis Martin Esin Demirlieglu Jennifer Griffin Peggy Griffin (distributed written comments) Rattehalli Sudesh Christina Armstrong Liat Zavodivker Kim-Mai Cutler Martin Wort David Fung Francisco Melli-Huber Joan Chin 8 August 1, 2017 City Council Lisa Warren Qin Pan Randy Shinghai Liang Chao YonghuiMou Dolly Sandoval Jay Cena Dan Bryant Kent Vincent Michael Zhang Minutes Council recessed from 11:13 to 11 :27 p.m. Staff answered questions from Council. August 1, 2017 Council took a straw vote indicating unanimous support to authorize 16a (Cupertino Village and 16b (Goodyear Tire site). Staff and the applicant for 16c (Oaks Shopping Center) answered questions from Council. Council took a straw vote for 16c indicating no majority vote (1-4) to authorize. (Vaidhyanathan, Paul, Scharf, Sinks no and Chang yes). Sinks moved to adopt Resolution No. 17-072 authorizing the following applications to move forward to apply for a General Plan Amendment(s): Cupertino Village and Good Year Tire, and not authorizing the following application to move forward to apply for a General Plan Amendment(s): Oaks Shopping Center. Paul added a friendly amendment to have staff go back and draft resolutions to reflect the straw votes for each project. Sinks didn't accept the friendly amendment and the motion died for lack of a second. Chang moved and Scharf seconded to close the Public Hearing for item 16(a-c) and adopt a modified Resolution No. 17-072 authorizing 16a (Cupertino Village) and 16b (Goodyear Tire) to move forward to apply for a General Plan Amendment(s) and continued 16c (Oaks Shopping Center) to the August 15 City Council meeting. The motion carri ed unanimously. ORDINANCES AND ACTION ITEMS 9 City Council Minutes August 1, 2017 17. Subject: Hearing to approve assessment of fees on private parcels for the annual weed abatement program Recommended Action: Conduct hearing and adopt Resolution No. 17-073 providing for lien assessments and collection resulting from the abatement of public nuisances and potential fire hazards (weeds on private parcels) Written communications for this item included an amended assessment report. City Clerk Grace Schmidt reviewed the staff report. Vaidhyanathan moved and Chang seconded to adopt Resolution No. 17-073 providing for lien assessments and collection resulting from the abatement of public nuisances and potential fire hazards (weeds on private parcels). The motion carried unanimously. REPORTS BY COUNCIL AND STAFF 18. Subject: Report on Committee assignments and general comments Recommended Action: Report on Committee assignments and general comments Council members highlighted the activities of their committees and various community events. ADJOURNMENT At 1:15 a.m. on Wednesday, August 2, 2017, Mayor Vaidhyanathan adjourned the meeting. Grace Schmidt, City Clerk 10