02-06-2018 Searchable packetCITY OF CUPERTINO
AGENDA
CITY COUNCIL
6:45 PM
10350 Torre Avenue, Council Chamber
Tuesday, February 6, 2018
PLEDGE OF ALLEGIANCE
ROLL CALL
STUDY SESSION
1.Subject: Provide update regarding status of Bicycle Boulevard Project
Implementation
Recommended Action: Receive update regarding status of Bicycle Boulevard Project
Implementation
Staff Report
A - Neighborhood Workshop Map
2.Subject: Study Session regarding short-term rental compliance
Recommended Action: Provide direction on regulation and enforcement of
short-term rentals in Cupertino.
Staff Report
A - STR Reports
B - STR Complaints
CEREMONIAL MATTERS AND PRESENTATIONS
3.Subject: Commendations for 2018 Cupertino Spelling Bee Winners
Recommended Action: Present certificates to the 2018 Cupertino Spelling Bee
Winners
4.Subject: Present awards for the 2017 Young, Emerging, and Distinguished Artists
Recommended Action: Present awards for the 2017 Young, Emerging, and
Distinguished Artists
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February 6, 2018City Council AGENDA
5.Subject: Present proclamation recognizing David Stillman, Transportation
Manager, for his efforts in earning a Gold Level Bicycle Friendly Community
(BFC) award for the City of Cupertino by the League of American Bicyclists
Recommended Action: Present proclamation recognizing David Stillman,
Transportation Manager, for his efforts in earning a Gold Level Bicycle Friendly
Community (BFC) award for the City of Cupertino by the League of American
Bicyclists
POSTPONEMENTS
ORAL COMMUNICATIONS
This portion of the meeting is reserved for persons wishing to address the council on
any matter not on the agenda. Speakers are limited to three (3) minutes. In most cases,
State law will prohibit the council from making any decisions with respect to a matter
not listed on the agenda.
CONSENT CALENDAR
Unless there are separate discussions and/or actions requested by council, staff or a
member of the public, it is requested that items under the Consent Calendar be acted
on simultaneously.
6.Subject: Approve the January 16 City Council minutes
Recommended Action: Approve the January 16 City Council minutes
A - Draft Minutes
7.Subject: Approve the January 22 City Council minutes (Commission Interviews)
Recommended Action: Approve the January 22 City Council minutes (Commission
Interviews)
A - Draft Minutes
8.Subject: Accept Accounts Payable for the period ending November 22, 2017
Recommended Action: Adopt Resolution No. 18-009 accepting Accounts Payable for
the period ending November 22, 2017
A - Draft Resolution
B - AP Report
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February 6, 2018City Council AGENDA
9.Subject: Treasurer's Investment Report for Quarter Ending December, 2017
Recommended Action: Accept the Treasurer's Investment Report for Quarter Ending
December, 2017
Staff Report
A - Investment Portfolio
B - Wells Fargo Value Comparison Report
C - Supplemental Analysis
10.Subject: Application for Alcohol Beverage License for Haidilao Restaurant Group,
Inc. (dba Haidilao Hot Pot), 19409 Stevens Creek Boulevard, Suite 100
Recommended Action: Recommend approval to the California Department of
Alcoholic Beverage Control of the application for Haidilao Restaurant Group, Inc.
(dba Haidilao Hot Pot), 19409 Stevens Creek Boulevard, Suite 100
Staff Report
A - Application
SECOND READING OF ORDINANCES
PUBLIC HEARINGS
ORDINANCES AND ACTION ITEMS
11.Subject: Ordinance to amend regulations in Title 2, Administration and Personnel
of the Municipal Code Chapter 2.80, to allow up to six (6) members for the Fine
Arts Commission.
Recommended Action: That the City Council conduct the first reading of Ordinance
No. 18-2171: "An Ordinance of the City Council of the City of Cupertino amending
regulations in Title 2, Administration and Personnel of the Municipal Code Chapter
2.80, to allow up to six (6) members for the Fine Arts Commission."
Staff Report
A - Draft Ordinance
12.Subject: Legislative Advocacy Policy and 2018 Legislative Platform
Recommended Action: Adopt Resolution No. 18-010 establishing a Policy for
Legislative Advocacy and adopt the City’s proposed 2018 Legislative Platform
Staff Report
A - Draft Resolution
B - Proposed 2018 Legislative Platform
REPORTS BY COUNCIL AND STAFF
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February 6, 2018City Council AGENDA
13.Subject: Report on Committee assignments and general comments
Recommended Action: Report on Committee assignments and general comments
ADJOURNMENT
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February 6, 2018City Council AGENDA
The City of Cupertino has adopted the provisions of Code of Civil Procedure §1094.6;
litigation challenging a final decision of the City Council must be brought within 90
days after a decision is announced unless a shorter time is required by State or Federal
law.
Prior to seeking judicial review of any adjudicatory (quasi-judicial) decision, interested
persons must file a petition for reconsideration within ten calendar days of the date the
City Clerk mails notice of the City’s decision. Reconsideration petitions must comply
with the requirements of Cupertino Municipal Code §2.08.096. Contact the City
Clerk’s office for more information or go to http://www.cupertino.org/index.aspx?
page=125 for a reconsideration petition form.
In compliance with the Americans with Disabilities Act (ADA), anyone who is planning
to attend the next City Council meeting who is visually or hearing impaired or has any
disability that needs special assistance should call the City Clerk's Office at
408-777-3223, 48 hours in advance of the Council meeting to arrange for assistance.
Upon request, in advance, by a person with a disability, City Council meeting agendas
and writings distributed for the meeting that are public records will be made available
in the appropriate alternative format. Also upon request, in advance, an assistive
listening device can be made available for use during the meeting.
Any writings or documents provided to a majority of the Cupertino City Council after
publication of the packet will be made available for public inspection in the City
Clerk’s Office located at City Hall, 10300 Torre Avenue, during normal business hours
and in Council packet archives linked from the agenda/minutes page on the Cupertino
web site.
IMPORTANT NOTICE: Please be advised that pursuant to Cupertino Municipal
Code 2.08.100 written communications sent to the Cupertino City Council,
Commissioners or City staff concerning a matter on the agenda are included as
supplemental material to the agendized item. These written communications are
accessible to the public through the City’s website and kept in packet archives. You are
hereby admonished not to include any personal or private information in written
communications to the City that you do not wish to make public; doing so shall
constitute a waiver of any privacy rights you may have on the information provided to
the City.
Members of the public are entitled to address the City Council concerning any item
that is described in the notice or agenda for this meeting, before or during
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February 6, 2018City Council AGENDA
consideration of that item. If you wish to address the Council on any issue that is on
this agenda, please complete a speaker request card located in front of the Council,
and deliver it to the Clerk prior to discussion of the item. When you are called, proceed
to the podium and the Mayor will recognize you. If you wish to address the City
Council on any other item not on the agenda, you may do so by during the public
comment portion of the meeting following the same procedure described above. Please
limit your comments to three (3) minutes or less.
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:117-3404 Name:
Status:Type:Study Session Agenda Ready
File created:In control:12/6/2017 City Council
On agenda:Final action:2/6/2018
Title:Subject: Provide update regarding status of Bicycle Boulevard Project Implementation
Sponsors:
Indexes:
Code sections:
Attachments:Staff Report
A - Neighborhood Workshop Map
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Provide update regarding status of Bicycle Boulevard Project Implementation
Receive update regarding status of Bicycle Boulevard Project Implementation
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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PUBLIC WORKS DEPARTMENT
CITY HALL
10 10300 TORRE AVENUE • CUPERTINO, CA 95014-3255
TELEPHONE: (408) 777-3354 www.cupertino.org
CITY COUNCIL STAFF REPORT
Meeting: February 6, 2018
Subject
Provide update regarding status of Bicycle Boulevard Project Implementation
Recommended Actions
Receive update regarding status of Bicycle Boulevard Project Implementation
Background
The Cupertino 2016 Bicycle Transportation Plan, adopted by the City Council in June,
2016, identified a network of proposed bicycle boulevards throughout the city. Bicycle
Boulevards are Class III bike routes, generally on low-volume, low-speed, residential
streets that are improved with physical features to further calm vehicle traffic, and
wayfinding signage and striping to provide an easily navigable network, consequently
encouraging bicycling by enhancing safety and comfort for bicyclists. Funding for the
design and construction of the first phase of bicycle boulevards in the amount of
$1,417,000 was approved by City Council in June, 2017 for inclusion in the FY2017/18
Capital Improvement Program.
Discussion
Toole Design Group, an engineering and planning design firm, was retained by staff to
develop preliminary design concepts for the first phase of bicycle boulevard
improvements. The bicycle boulevards were each assigned to one of seven
neighborhood groups, roughly based on geographic location, in order to facilitate
public outreach efforts. These neighborhood groups are:
Neighborhood #1: N. Portal Ave, Merritt Dr
Neighborhood #2: Calle de Barcellona, Finch Ave, Tilson Ave, Wunderlich Dr,
Barnhart Ave
Neighborhood #3: Torre Ave, Pacifica Dr, Farallone Dr, Suisun Dr, Clifford Dr, E.
Estates Dr, Vicksburg Dr, Cold Harbor Ave, Wintergreen Dr, S. Portal Ave
Neighborhood #4: Orange Ave, Mann Dr
Neighborhood #5: Meteor Dr, Castine Ave, Greenleaf Dr, Beardon Dr
Neighborhood #6: Linda Vista Dr, Hyannisport Dr, Santa Teresa Dr, Terrace Dr,
Fort Baker Dr
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Neighborhood #7: Rodrigues Ave, Terry Way, Shelly Dr, Westacres Dr, Kim St,
Bollinger Rd, De Foe Dr
The recommended roadway improvements varied by street, and were selected based
primarily upon the geometrics of the street, existing traffic control devices, route
alignment, and measured traffic volumes and speeds. These measures included one or
more of the following: (1) removal of on-street parking and installation of bike lanes; (2)
traffic circles; (3) truck aprons; (4) bulb -outs; (5) elimination and/or relocation of stop
signs, (6) speed tables, and (7) spot improvements to curblines and/or concrete work at
various intersections.
After conducting an initial citywide open house in May 2017, Transportation Division
staff held focused public workshops for each of the seven neighborhoods between
September and December 2017 to present the proposed improvements to the residents
and receive feedback. In order to encourage resident participation, the workshops were
held in locations proximate to the specific neighborhoods. Notification efforts included
postcard mailings to residents located along the affected streets, NextDoor postings,
emails to the Cupertino Block Leaders within the specific neighborhoods, e -notifications
to subscribers of the City’s “Bicycle Transportation Plan” webpage , and notifications to
nearby public schools.
Attendance at the workshops varied from a minimum of two, to a maximum of 31
residents, with neighborhoods #1, 4 and 6 being the most engaged. Reaction to the
proposed measures was expectedly varied, but a few consistent themes emerged. These
included:
On-street parking should not be removed along residential frontages.
Traffic circles are not desirable.
Speed tables are generally the preferred improvement, and
Improvements should not result in traffic shift to adjacent residential streets.
With this feedback from the neighborhoods in mind, staff is moving forward in
developing final recommended improvements. Staff will likely hold one additional
neighborhood meeting at a few of the more engaged neighborhoods before proceeding
with constructing improvements at those locations.
Sustainability Impact
Buildout of the city’s bicycle boulevard network, and implementation of the 2016
Bicycle Transportation Plan in general, is intended to encourage bicycling, reduce
vehicle trips and emissions, and enhance safety. Consequently, the project has a
positive impact on sustainability.
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Fiscal Impact
As stated previously, funding for the design and construction of the first phase of
bicycle boulevards in the amount of $1,417,000 was approved by City Council in June,
2017 for inclusion in the FY2017/18 Capital Improvement Program. These funds will be
sufficient to complete the improvements.
_____________________________________
Prepared by: David Stillman, Transportation Manager
Reviewed by: Timm Borden, Director of Public Works
Approved for Submission by: David Brandt, City Manager
Attachments:
A - Neighborhood Workshop Map
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:117-3428 Name:
Status:Type:Study Session Agenda Ready
File created:In control:12/12/2017 City Council
On agenda:Final action:2/6/2018
Title:Subject: Study Session regarding short-term rental compliance
Sponsors:
Indexes:
Code sections:
Attachments:Staff Report
A - STR Reports
B - STR Complaints
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Study Session regarding short-term rental compliance
Provide direction on regulation and enforcement of short-term rentals in Cupertino.
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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OFFICE OF THE CITY MANAGER
CITY HALL
10 10300 TORRE AVENUE • CUPERTINO, CA 95014-3255
TELEPHONE: (408) 777-3212 www.cupertino.org
TELEPHONE: (408) 777-7603 www.cupertino.org
CITY COUNCIL STAFF REPORT
Meeting: February 5, 2018
Subject
Study Session regarding short-term rental compliance.
Recommended Action
Provide direction on regulation and enforcement of short-term rentals in Cupertino.
Background
Short-term rentals made popular by websites like Airbnb and Homeaway allow
operators to rent out a room of an entire residence to a visitor for a period of less than 30
days. These website based businesses market the availability of such rentals and in some
cases act as collection agents. Many visitors prefer renting local homes because they are
less expensive than hotels. These rentals also provide opportunities for homeowners to
generate income.
Currently, the City does not have a program to regulate short-term rentals, however, the
City’s municipal code does allow for limited home occupations. Specifically, the code
excludes boarding and/or rooming homes for more than two guests (Section 19.120.050
of Chapter 19.20, Home Occupations). Those who are interested in running a short-term
rental business in Cupertino must comply with the following:
1. The property owner or property leaseholder must be the primary resident at the
property and be onsite during the lease period.
2. The number of transient guests must be limited to two (2) or fewer.
3. All transient rentals must be an incidental use.
4. All building alterations must comply with R1 regulations and building code
requirements including occupancy regulations.
In addition, the resident of the property must obtain a Business License Certification, a
Transient Occupancy Tax (TOT) Certification, and remit TOT to the City on a monthly
basis. Short-term rentals fall under the definition of “hotel” under Cupertino’s TOT
regulations (Section 3.12.020 of Chapter 3.12, Transient Occupancy Tax). Proprietors or
“operators” of these short-term rentals are required to register and obtain a Transient
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Occupancy Registration Certificate from the City within 30 days of commencing business
as well as collect TOT from renters. People or “transients” occupying these short -term
rentals are subject to a 12% TOT on the rent charged during the first 30 days of occupancy.
Discussion
Given Council’s interest in short-term rental sites operating in the City, staff contacted
vendors that assist municipalities with short-term rental compliance. Based on their
queries, in early December, about 300 short-term rentals in Cupertino were being
advertised online (see Attachment A). The information listed in ads indicate that many
operators are currently out of compliance with the Cit y’s home occupation regulations.
For example, over half of the listings advertised in Cupertino offer the entire residence,
which is prohibited under our code. More importantly, to date no short-term rental
operator has remitted the 12% TOT owed to the City. The median nightly rate for short-
term rentals in the City was $96, with a range of $33-$365 per night. Unfortunately, we
cannot estimate the uncollected TOT as short-term rental services do not provide
occupancy information.
The City may impose penalties for noncompliance, however, the City has not pro-actively
enforced these regulations and it is unclear if operators are aware of existing
requirements. The City’s code enforcement staff’s workload is generally complaint-
based. Since 2016, the City has received six complaints involving short-term rental,
mostly reporting a potential code violation (Attachment B). When these issues arise, staff
is diligent about investigating and addressing any code violations.
To go a step further and pro-actively enforcing the City’s home occupancy and TOT
regulations would require significant staff effort to identify, notify, and cite violators.
Short-term rental services do not provide basic information like an operator’s full name,
exact address, or occupancy rates for their listings needed to identify and cite violators.
Given that over half of current operators appear to be in violation of our home occupancy
code and all are in violation of our TOT code, the City would need to invest significantly
in enforcement resources. The City could reduce costs by outsourcing some duties, such
as identifying and notifying hosts and processing voluntary compliance. However, the
City’s code enforcement staff would need to be involved if any operators refuse to comply
and citations need to be issued and followed up on.
Other cities have generally regulated short-term rentals to capture revenue, preserve
tranquil residential neighborhoods, and/or preserve the stock of long -term rentals. In
communities with a robust tourist industry, cities have created short -term rental
compliance programs to capture TOT revenue. Some communities ban or limit short-
term rentals to address neighbor complaints about noise, traffic, parking, garbage or
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other public nuisances. Given the housing crisis, some cities chose to limit short -term
rentals to prevent crowding out long-term rentals. All approaches require investments in
technology, services, and staffing to monitor and enforce the program. It is unclear if the
cost of enforcement has been fully offset by the increase in TOT revenue.
Keeping this in mind, there are two paths that Council could consider: enforcing the
existing code or establishing a new regulatory program for short-term rentals.
Enforcing Existing Code
If Council’s goal is to limit short-term rentals to reduce adverse impacts and/or increase
the stock of long-term rentals, a next step would be to pro-actively enforce the existing
code. This would require the Council to allocate additional staff time and resources to
identify and notify operators about requirements and request compliance. Given that
over half of the listings offer the entire residence, which is prohibited, shutting down
these operators will likely require a significant investment in resources with no offsetting
revenue. Council may want to consider increasing penalties for noncompliance to aide
enforcement efforts.
Establishing a Regulatory Program for Short-Term Rentals
If Council’s goal is to maximize TOT while minimizing neighborhood impacts, the
Council could establishing a regulatory program for short-term rentals that provides
some additional flexibility to current operators. This could allow current operators to
more easily come into compliance and begin remitting TOT to the City. It would also
provide them with clear guidelines to avoid negative neighborhood impacts like parking
availability or excessive garbage at rental sites. Staff would research best practices in
developing a regulatory program based on Council’s strategic objectives, perform
stakeholder outreach, develop a funding and staffing strategy for the program, and draft
changes to the City’s Municipal Code for Council consideration.
Both options will require significant staff time and resources. While few neighboring
cities have tackled this issue, several California cities have established programs that can
serve as models or provide lessons learned. There are also several vendors that can assist
with monitoring and compliance, including the City’s revenue consultant HDL.
Sustainability Impact
No impact.
Fiscal Impact
No additional funding is requested at this time. Staff will propose additional allocation
of resources based on Council’s preference for a specific program. To the extent that the
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City is successful in achieving voluntary TOT compliance from short-term rental
operators, general fund revenues could increase. However, it is possible that costs related
to monitoring and enforcement services will be higher than revenue gains from TOT.
Prepared by: Jaqui Guzmán, Deputy City Manager
Approved for Submission by: David Brandt, City Manager
Attachments:
A – Sample STR Reports
B – STR Complaints
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Host Compliance
Within or near the boarders of Cupertino, we have identified 336 listings and 292 short-term
rental units.
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STR Helper (an HDL partner)
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Short-Term Rental Complaints in Cupertino 2016-Present
Case Complaint Description TIMEFRAME METHOD TO GAIN COMPLIANCE STAFF HOURS DISPOSITION
1
Received complaint of an Airbnb
operating outside of home occupation
regulations and possible building code
violations.
7/6/17 - PRESENT VERBAL/EMAIL/VOLUNTARY 11 OPEN
2
Received complaint of several varied
persons coming and going at the
property. Complainant provided
advertisement.
5/5/17 - 8/21/17 VERBAL/EMAIL/VOLUNTARY 5 CLOSED/
NO VIOLATION FOUND
3 Received complaint of possible non-
compliant Airbnb 1/26/17 - 5/25/17 VERBAL/EMAIL/VOLUNTARY 2 CLOSED
4 Received complaint of possible Airbnb
operating at residence.6/15/16 - 7/15/16 SITE OBSERVATION/RESEARCH 0.75 CLOSED/
NO VIOLATION FOUND
5 Complaint of Airbnb operating outside
of City Regulations.4/18/16 - 6/23/16 VERBAL/EMAIL/VOLUNTARY 1.5 CLOSED
6
Owner is renting out multiple rooms
on AirBnb effectively operating a hotel
in this residential area. This is causing
lots of traffic in this small court and
creating parking constraints causing a
lack of parking for residents.
1/9/18 - PRESENT NOTICE OF VIOLATION/CITATION 4 OPEN
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:118-3532 Name:
Status:Type:Ceremonial Matters &
Presentations
Agenda Ready
File created:In control:1/12/2018 City Council
On agenda:Final action:2/6/2018
Title:Subject: Commendations for 2018 Cupertino Spelling Bee Winners
Sponsors:
Indexes:
Code sections:
Attachments:
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Commendations for 2018 Cupertino Spelling Bee Winners
Present certificates to the 2018 Cupertino Spelling Bee Winners
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:117-3395 Name:
Status:Type:Ceremonial Matters &
Presentations
Agenda Ready
File created:In control:12/5/2017 City Council
On agenda:Final action:2/6/2018
Title:Subject: Present awards for the 2017 Young, Emerging, and Distinguished Artists
Sponsors:
Indexes:
Code sections:
Attachments:
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Present awards for the 2017 Young, Emerging, and Distinguished Artists
Present awards for the 2017 Young, Emerging, and Distinguished Artists
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:118-3540 Name:
Status:Type:Ceremonial Matters &
Presentations
Agenda Ready
File created:In control:1/16/2018 City Council
On agenda:Final action:2/6/2018
Title:Subject: Present proclamation recognizing David Stillman, Transportation Manager, for his efforts in
earning a Gold Level Bicycle Friendly Community (BFC) award for the City of Cupertino by the
League of American Bicyclists
Sponsors:
Indexes:
Code sections:
Attachments:
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Present proclamation recognizing David Stillman, Transportation Manager, for his
efforts in earning a Gold Level Bicycle Friendly Community (BFC) award for the City of
Cupertino by the League of American Bicyclists
Present proclamation recognizing David Stillman, Transportation Manager, for his efforts in
earning a Gold Level Bicycle Friendly Community (BFC) award for the City of Cupertino by
the League of American Bicyclists
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:117-3297 Name:
Status:Type:Consent Calendar Agenda Ready
File created:In control:11/13/2017 City Council
On agenda:Final action:2/6/2018
Title:Subject: Approve the January 16 City Council minutes
Sponsors:
Indexes:
Code sections:
Attachments:A - Draft Minutes
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Approve the January 16 City Council minutes
Approve the January 16 City Council minutes
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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DRAFT MINUTES
CUPERTINO CITY COUNCIL
Tuesday, January 16, 2018
SPECIAL CITY COUNCIL MEETING
At 5:45 p.m. Mayor Darcy Paul called the Special City Council meeting to order in the City Hall
Conference Room A, 10300 Torre Avenue.
Present: Mayor Darcy Paul, Vice Mayor Rod Sinks, and Councilmembers Barry Chang, Steven
Scharf, and Savita Vaidhyanathan. Absent: None.
Council went into closed session and reconvened in open session at 6:48 p.m. in the Cupertino
Community Hall Council Chambers, 10350 Torre Avenue for the Regular Meeting.
CLOSED SESSION
1. Subject: Subject: Conference with Legal Counsel - Anticipated Litigation: Significant
Exposure to litigation pursuant to paragraph (2) of subdivision (d) of Government Code
Section 54956.9 - Two Cases
Mayor Paul announced that staff updates were given and Council gave direction.
2. Subject: Conference with Real Property Negotiators (Government Code Section 54956.8);
Property: Cupertino Municipal Water System; Agency Negotiator: Timm Borden;
Negotiating Parties: City of Cupertino and San Jose Water Company; Under Negotiation:
Terms for City Leased Asset
Mayor Paul announced that staff updates were given and Council gave direction.
ADJOURNMENT
REGULAR CITY COUNCIL MEETING
PLEDGE OF ALLEGIANCE
At 6:48 p.m. Mayor Darcy Paul called the Regular City Council meeting to order in the
Cupertino Community Hall Council Chambers, 10350 Torre Avenue and led the Pledge of
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Allegiance.
ROLL CALL
Present: Mayor Darcy Paul, Vice Mayor Rod Sinks, and Councilmembers Barry Chang, Steven
Scharf, and Savita Vaidhyanathan. Absent: None.
CEREMONIAL MATTERS AND PRESENTATIONS
1. Subject: Presentation of Certificates of Recognition for Science Fair and Talent
Search winners
Recommended Action: Present Certificates of Recognition for Science Fair and
Talent Search winners
Forrest Williams, Santa Clara Valley Science and Engineering Fair Association
(SCVSEFA) Board Member, introduced the Cupertino Science Fair winners.
Mayor Paul presented the certificates of recognition for the Science Fair and Talent
Search winners.
2. Subject: Proclamation recognizing the Age-Friendly Cupertino Task Force for their
efforts in achieving designation for The City of Cupertino as an “Age-Friendly City" by
the World Health Organization (WHO)
Recommended Action: Present proclamation recognizing the Age-Friendly Cupertino
Task Force for their efforts in achieving designation for The City of Cupertino as an
"Age-Friendly City" by the World Health Organization (WHO)
Mayor Paul presented the proclamation to Richard Adler, Cupertino Age-Friendly City
Task Force Chair and Diana Miller, Seniors' Agenda Project Director with the
Department of Aging and Adult Services for Santa Clara County recognizing the Age-
Friendly Cupertino Task Force for their efforts in achieving designation for The City of
Cupertino as an "Age-Friendly City" by the World Health Organization (WHO).
3. Subject: Proclamation recognizing Roger Lee, Assistant Director of Public Works,
for receiving the 2017 Jerry D. Scott Outstanding Superintendent of the Year
Award from the Maintenance Superintendents Association
Recommended Action: Present proclamation recognizing Roger Lee, Assistant
Director of Public Works, for receiving the 2017 Jerry D. Scott Outstanding
Superintendent of the Year Award from the Maintenance Superintendents Association.
Director of Public Works Timm Borden introduced the Maintenance Superintendents
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Association (MSA) San Francisco Bay Area Chapter President and Service Center
Superintendent Carl Valdez who presented Roger Lee with the 2017 Jerry D. Scott
Outstanding Superintendent of the Year Award from the MSA.
Mayor Paul presented the proclamation recognizing Roger Lee, Assistant Director of
Public Works, for receiving the 2017 Jerry D. Scott Outstanding Superintendent of the
Year Award from the Maintenance Superintendents Association.
POSTPONEMENTS
4. Subject: Item No. 15 to consider a revised request for General Plan amendment
authorization to demolish the existing ~71,254 sq.ft. Oaks Shopping Center and
construct a mixed-use development (Westport Cupertino) at the site. (Application
No.(s): GPAAuth-2017-02; Applicant: KT Urban (Mark Tersini); Location: 21267
Stevens Creek Boulevard; APN: 326-27-039, -040 and -041). Continued from December
5, 2017. The applicant has withdrawn the application and the public hearing
is cancelled .
ORAL COMMUNICATIONS
Phyllis Dickstein talked about the consultants for Vallco and the Environmental Impact Report
(EIR) for the Vallco Shopping District Specific Plan and The Hills at Vallco project.
Danessa Techmanski (Cupertino Resident), on behalf of the Cupertino De Anza Lions Club,
talked about the 22nd Annual Crab Feed and Silent Auction on February 3 in Santa Clara.
CONSENT CALENDAR
Vaidhyanathan moved and Chang seconded to approve the items on the Consent Calendar as
presented. Ayes: Paul, Sinks, Chang, Scharf, and Vaidhyanathan. Noes: None. Abstain: None.
Absent: None.
5. Subject: Approve the December 19 City Council minutes
Recommended Action: Approve the December 19 City Council minutes
6. Subject: Accept Account Payable for the period ending October 27, 2017
Recommended Action: Adopt Resolution No. 18-001 accepting Accounts Payable for
the period ending October 27, 2017
7. Subject: Accept Accounts Payable for the period ending November 11, 2017
Recommended Action: Adopt Resolution No. 18-002 accepting Accounts Payable for
26
the period ending November 11, 2017
8. Subject: Accept Accounts Payable for the period ending December 8, 2017
Recommended Action: Adopt Resolution No. 18-003 accepting Accounts Payable for
the period ending December 8, 2017
9. Subject: Accept Accounts Payable for the period ending December 15, 2017
Recommended Action: Adopt Resolution No. 18-004 accepting Accounts Payable for
the period ending December 15, 2017
10. Subject: Accept Accounts Payable for the period ending December 22, 2017
Recommended Action: Adopt Resolution No. 18-005 accepting Accounts Payable
for the period ending December 22, 2017
11. Subject: Accept Accounts Payable for the period ending December 29, 2017
Recommended Action: Adopt Resolution No. 18-006 accepting Accounts Payable
for the period ending December 29, 2017
12. Subject: Adopt a resolution increasing the employer's contribution for medical and
hospitalization insurance consistent with the Meyers-Geddes State Employees
Medical and Hospital Care Act for the Unrepresented (Management and
Confidential), Cupertino Employees' Association (Employees Association),
Operating Engineers, Local Union No. 3 (Operating Engineers), Appointed (City
Attorney), Elected Official groups and retired annuitants.
Recommended Action: Adopt Resolution No. 18-007 increasing the employer's
contribution for medical and hospitalization insurance for employees under the
Unrepresented, Cupertino Employees' Association, Operating Engineers, Local
Union No. 3, Appointed, Elected Officials, and retired annuitant groups.
13. Subject: 2017/18 Comprehensive Facility Condition and Use Assessments
Recommended Action: Authorize the City Manager to negotiate and execute t he
2017/18 Comprehensive Facility Condition and Use Assessments agreement with
The KPA Group for an amount of $198,720 and approve a contingency of $1,280
for a total of $ $200,000
SECOND READING OF ORDINANCES
14. Subject: Second Reading for an ordinance to amend regulations in Title 19,
Zoning of the Municipal Code with regard to Accessory Dwelling Units, including
Chapter 19.08, Definitions, and Chapter 19.112, Accessory Dwelling Units in R-1,
RHS, A and A-1 zones (Application No(s).: MCA-2017-05; Applicant(s): City of
27
Cupertino; Location: Citywide)
Recommended Action: That the City Council conduct the second reading and enact
Ordinance No. 17-2170: “An Ordinance of the City Council of the City of Cupertino
amending Chapter 19.08, Definitions and Chapter 19.112, Accessory Dwelling
Units in R-1, RHS, A and A-1 Zones (Residential Zoning Districts) to conform to new
state laws”
Principal Planner Piu Ghosh reviewed the staff report.
Rhoda Fry spoke on this item.
Staff answered questions from Council.
Deputy City Clerk Kirsten Squarcia read the title of the ordinance.
Sinks moved and Chang seconded to read Ordinance No. 17-2170 by title only and that
the City Clerk’s reading would constitute the second reading thereof. Ayes: Paul, Sinks,
Chang, Scharf, and Vaidhyanathan. Noes: None. Abstain: None. Absent: None.
Sinks moved and Chang seconded to enact Ordinance No. 17-2170. Ayes: Paul, Sinks,
Chang, Scharf, and Vaidhyanathan. Noes: None. Abstain: None. Absent: None.
PUBLIC HEARINGS
15. Subject: Consider a revised request for General Plan amendment authorization to
demolish the existing ~71,254 sq.ft. Oaks Shopping Center and construct a mixed-use
development (Westport Cupertino) at the site. (Application No. (s): GPAAuth-2017-02;
Applicant: KT Urban (Mark Tersini); Location: 21267 Stevens Creek Boulevard; APN:
326-27-039, -040 and -041). Continued from December 5, 2017. The applicant has
withdrawn the application and the public hearing is cancelled.
Recommended Action: The applicant has withdrawn the application and the
public hearing is cancelled.
Under Postponements, this item was not heard because the applicant withdrew the
application and the public hearing was cancelled.
ORDINANCES AND ACTION ITEMS
16. Subject: Order the abatement of a public nuisance (weeds) pursuant to provisions of
Ordinance No. 724 and Resolution No. 17-110
Recommended Action: Note objections and adopt Resolution No. 18-008 ordering
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abatement of a public nuisance (weeds) pursuant to provisions of Ordinance No.
724 and Resolution No. 17-110
The following people spoke on this item:
Amit Butala and Gloria Chiang, on behalf of the Cupertino Knolls HOA
Hua Dong
Jason Gu
Paulina
Santa Clara County Weed Abatement Manager Moe Kumre answered questions from
Council.
Paul moved and Sinks seconded to adopt Resolution No. 18-008 ordering abatement of
a public nuisance (weeds) pursuant to provisions of Ordinance No. 724 and
Resolution No. 17-110. The motion carried with Scharf voting no.
17. Subject: Council Committee appointments
Recommended Action: Approve Council Committee appointments
Sinks moved and Chang seconded to approve Council Committee appointments with
the following additions: Councilmember Scharf appointed as alternate for the
Comprehensive County Expressway Planning Study Policy Advisory Board; directed
staff to add to list the Cities Association of Santa Clara County Select Committee on
South Bay Arrivals with Councilmember Vaidhyanathan appointed as primary; and
direct staff add to list Ad Hoc Committee on South Flow Arrivals with Councilmember
Vaidhyanathan appointed as primary and Councilmember Steven Scharf as alternate.
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
Councilmembers highlighted the activities of their committees and various community
events.
Mayor Paul noted that the State of the City was being held on Wednesday, January 31 at
the Quinlan Community Center with the daytime luncheon beginning at 11:30 a.m. and
also an evening event beginning at 6:30 pm.
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ADJOURNMENT
At 8:36 p.m., Mayor Paul adjourned the meeting.
________________________________
Kirsten Squarcia, Deputy City Clerk
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:118-3546 Name:
Status:Type:Consent Calendar Agenda Ready
File created:In control:1/17/2018 City Council
On agenda:Final action:2/6/2018
Title:Subject: Approve the January 22 City Council minutes (Commission Interviews)
Sponsors:
Indexes:
Code sections:
Attachments:A - Draft Minutes
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Approve the January 22 City Council minutes (Commission Interviews)
Approve the January 22 City Council minutes (Commission Interviews)
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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DRAFT MINUTES
CUPERTINO CITY COUNCIL
Monday, January 22, 2018
SPECIAL CITY COUNCIL MEETING
ROLL CALL
At 5:08 p.m. Mayor Darcy Paul called the Special City Council meeting to order in the City Hall
Conference Room A, 10300 Torre Avenue.
Present: Mayor Darcy Paul, Vice Mayor Rod Sinks, and Councilmembers Barry Chang and
Steven Scharf. Absent: Savita Vaidhyanathan.
ORAL COMMUNICATIONS – None
COMMISSIONS INTERVIEWS
1. Subject: Interview applicants for commissions with terms expiring: Fine Arts,
Housing, Parks and Recreation, Public Safety, and Sustainability Commissions
Recommended Action: Conduct interviews and make appointments to the Fine Arts,
Housing, Parks and Recreation, Public Safety, and Sustainability Commissions
Interviewed applicants for Parks and Recreation and re-appointed Neesha Tambe to a
full term ending 1/30/22 and appointed Alicia Schober as first alternate and Parth
Barwhad as second alternate.
Interviewed applicants for Public Safety Commission and re-appointed Hymanand
Nellore and appointed Yvonne Chao to full terms ending 1/30/22 and appointed
Alberto Boleda as alternate.
Interviewed applicants for Sustainability Commission and re-appointed Gary Latshaw
and Angela Chen to full terms ending 1/30/22 and appointed Geetha Sunder as
alternate.
Interviewed applicants for Fine Arts Commission and appointed Sue Levine to a full
32
City Council MINUTES January 22, 2018
term ending 1/30/22 and appointed Diana Matley as first alternate and Ran Wu as
second alternate.
Interviewed applicants for Housing Commission and appointed Poonam Goyal to a
full term (Financial Representative) ending 1/30/22 and appointed Stephanie Xu as
alternate.
Directed staff to: agendize to February 6 an amendment to the ordinance governing
the Fine Arts Commission (FAC) extending membership from 5 to 6 members; and
agendize an item appointing first alternate Diana Matley as the 6th FAC member; and
to further amend the ordinance in November 2018 reducing the membership back to 5
members, to be effective when one FAC term expires (January 2019).
ADJOURNMENT
At 9:19 p.m., Mayor Paul adjourned the meeting.
________________________________
Kirsten Squarcia, Deputy City Clerk
33
CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:118-3545 Name:
Status:Type:Consent Calendar Agenda Ready
File created:In control:1/17/2018 City Council
On agenda:Final action:2/6/2018
Title:Subject: Accept Accounts Payable for the period ending November 22, 2017
Sponsors:
Indexes:
Code sections:
Attachments:A - Draft Resolution
B - AP Report
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Accept Accounts Payable for the period ending November 22, 2017
Adopt Resolution No. 18-009 accepting Accounts Payable for the period ending November 22,
2017
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CUPERTINO ALLOWING CERTAIN CLAIMS AND DEMANDS PAYABLE IN
THE AMOUNTS AND FROM THE FUNDS AS HEREINAFTER DESCRIBED
FOR GENERAL AND MISCELLANEOUS EXPENDITURES FOR THE PERIOD
ENDING
November 22, 2017
WHEREAS, the Director of Administrative Services or her designated
representative has certified to accuracy of the following claims and demands and
to the availability of funds for payment hereof; and
WHEREAS, the said claims and demands have been audited as required
by law.
NOW, THEREFORE, BE IT RESOLVED, that the City Council hereby
allows the following claims and demands in the amounts and from the funds as
hereinafter set forth in the attached Payment Register.
CERTIFIED: _____________________________
Zach Korach, Finance Manager
PASSED AND ADOPTED at a regular meeting of the City Council of the
City of Cupertino this 6th day of February, 2018, by the following vote:
Vote Members of the City Council
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST: APPROVED:
_________________________ ________________________
Grace Schmidt, City Clerk Darcy Paul, Mayor
City of Cupertino
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:118-3556 Name:
Status:Type:Consent Calendar Agenda Ready
File created:In control:1/24/2018 City Council
On agenda:Final action:2/6/2018
Title:Subject: Treasurer's Investment Report for Quarter Ending December, 2017
Sponsors:
Indexes:
Code sections:
Attachments:Staff Report
A - Investment Portfolio
B - Wells Fargo Value Comparison Report
C - Supplemental Analysis
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Treasurer's Investment Report for Quarter Ending December, 2017
Accept the Treasurer's Investment Report for Quarter Ending December, 2017
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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ADMINISTRATIVE SERVICES DEPARTMENT
CITY HALL
10 10300 TORRE AVENUE • CUPERTINO, CA 95014-3255
TELEPHONE: (408) 777-3220 www.cupertino.org
CITY COUNCIL STAFF REPORT
Meeting: February 6, 2018
Subject
Treasurer’s Investment Report for Quarter Ending December 2017
Recommended Action
Accept the Treasurer’s Investment Report for Quarter Ending December 2017
Discussion and Fiscal Impact
The attached slides and investment portfolio listing comprise the Treasurer’s Investment
Report. Together they show the composition of the portfolio; total portfolio yield in
comparison to the Local Agency Investment Fund (LAIF), the 1-year Treasury, and the 2-
year Treasury; diversification within the government agency securities; and portfolio
compliance with the City’s Investment Policy.
For quarter ending December 31, 2017, the market value of the City’s portfolio total $130.6
million which is $0.2 million lower than last quarter. The portfolio’s average yield was
1.06% which is a decrease from its 1.07% yield of the previous quarter ending September
30, 2017. The average length to maturity decreased from 0.97 to 0.81 years. The LAIF
yield increased to 1.24% from last quarter’s yield of 1.07%.
LAIF’s balance was $30.6 million which is in compliance with the City Investment Policy
and state code. LAIF’s same- or next-day liquidity insures that the City is able to pay its
obligations for the next six months and also provides strong liquidity in the short,
intermediate, and long-term horizons. Market values on individual securities in the
investment portfolio are provided by Wells Fargo Bank Institutional Trust Services using
valuations from Interactive Data Pricing and Reference Data, Inc.
_____________________________________
Prepared by: Zach Korach, Deputy City Treasurer
Reviewed by: Kristina Alfaro, City Treasurer
Approved by: David Brandt, City Manager
Attachments: A – Investment Portfolio
B – Wells Fargo Value Comparison Report
C – Supplemental Portfolio Analysis
47
City of Cupertino
Investment Portfolio
December 31, 2017
ACTIVITY DATE COUPON ADJUSTED MATURITY MARKET UNREALIZED
PURCHASE MATURITY DESCRIPTION RATE YTM COST VALUE VALUE PROFIT/LOSS
SECURITIES MATURED
04/18/17 10/26/17 Agency notes - FNMA 0.88%0.90%1,000,048 1,000,000 999,890 (158)
12/31/14 12/18/17 Agency notes - FFCB 1.13%1.14%1,000,004 1,000,000 999,740 (264)
07/23/14 09/30/17 US Treasury Note 0.63%1.08%3,003,406 3,000,000 3,000,000 (3,406)
CITY PORTFOLIO
CASH
12/31/17 Wells Fargo - Workers Comp Checking 26,861 26,861 26,861
12/31/17 Wells Fargo - Regular Checking 9,674,134 9,674,134 9,674,134
9,700,995 9,700,995 9,700,995
LAIF
12/31/17 LAIF - State Pool 1.24%1.24%30,585,476 30,585,476 30,585,476
MONEY MARKET FUNDS
12/31/17 Wells Fargo Advantage 100% Treasury 0.31%0.31%11,849,238 11,849,238 11,849,238
11,849,238 11,849,238 11,849,238
GOVERNMENT AGENCY NOTES
09/30/14 01/12/18 Agency notes - FHLMC 0.75%1.26%999,836 1,000,000 999,840 4
09/30/14 03/07/18 Agency notes - FHLMC 0.88%1.32%999,216 1,000,000 999,140 (76)
03/30/15 03/12/18 Agency notes - FFCB 1.13%0.95%2,000,668 2,000,000 1,999,500 (1,168)
03/28/16 03/28/18 Agency notes - FHLB 1.09%1.09%2,000,000 2,000,000 1,998,540 (1,460)
04/02/15 04/02/18 Agency notes - FFCB 1.00%0.98%3,000,149 3,000,000 2,996,880 (3,269)
05/11/15 05/11/18 Agency notes - FFCB 1.03%1.08%1,999,634 2,000,000 1,996,760 (2,874)
04/18/17 05/21/18 Agency notes - FNMA 0.88%1.09%999,175 1,000,000 997,380 (1,795)
07/23/14 06/08/18 Agency notes - FHLB 1.25%1.39%2,998,213 3,000,000 2,995,770 (2,443)
05/07/15 08/07/18 Agency notes - FHLB 1.05%1.13%1,999,038 2,000,000 1,992,320 (6,718)
09/12/16 09/06/18 Agency notes - FFCB 0.93%0.82%3,002,239 3,000,000 2,983,770 (18,469)
01/26/17 10/26/18 Agency notes - FHLB 1.20%1.20%3,000,000 3,000,000 2,984,460 (15,540)
02/01/17 02/01/19 Agency notes - FFCB 1.30%1.30%3,000,000 3,000,000 2,983,980 (16,020)
05/07/15 02/27/19 Agency notes - FNMA 1.68%1.30%1,004,271 1,000,000 998,470 (5,801)
06/22/16 03/22/19 Agency notes - FHLMC 1.25%1.25%3,000,000 3,000,000 2,979,030 (20,970)
11/23/16 05/24/19 Agency notes - FHLMC 1.30%1.30%3,000,000 3,000,000 2,976,240 (23,760)
10/16/15 09/13/19 Agency notes - FHLB 2.00%1.21%2,026,092 2,000,000 2,002,600 (23,492)
06/22/17 10/11/19 Agency notes - FHLB 2.00%1.43%2,019,941 2,000,000 2,001,240 (18,701)
11/23/16 11/18/19 Agency notes - FFCB 1.10%1.36%1,990,395 2,000,000 1,968,220 (22,175)
03/30/16 12/30/19 Agency notes - FHLMC 1.50%1.50%3,000,000 3,000,000 2,972,610 (27,390)
06/30/16 12/30/19 Agency notes - FHLMC 1.02%1.02%3,000,000 3,000,000 2,944,560 (55,440)
06/22/17 05/16/20 Agency notes - FHLB 1.50%1.58%1,996,381 2,000,000 1,975,460 (20,921)
05/31/16 05/26/20 Agency notes - FHLMC 1.35%1.35%2,000,000 2,000,000 1,969,200 (30,800)
05/26/16 05/26/20 Agency notes - FNMA 1.38%1.38%2,000,000 2,000,000 1,971,640 (28,360)
06/30/16 06/30/20 Agency notes - FHLMC 1.50%1.50%2,000,000 2,000,000 1,974,880 (25,120)
05/25/16 11/25/20 Agency notes - FNMA 1.50%1.50%3,000,000 3,000,000 2,953,860 (46,140)
01/19/17 12/10/21 Agency notes - FHLB 2.63%1.90%3,081,345 3,000,000 3,052,590 (28,755)
59,116,592 59,000,000 58,668,940 (447,652)
48
City of Cupertino
Investment Portfolio
December 31, 2017
ACTIVITY DATE COUPON ADJUSTED MATURITY MARKET UNREALIZED
PURCHASE MATURITY DESCRIPTION RATE YTM COST VALUE VALUE PROFIT/LOSS
US TREASURY SECURITIES
03/24/17 12/31/17 US Treasury Note 0.75%0.95%3,000,000 3,000,000 3,000,000 -
03/18/16 02/28/18 US Treasury Note 0.75%0.98%1,999,275 2,000,000 1,998,120 (1,155)
09/12/16 08/31/18 US Treasury Note 0.75%0.71%2,000,528 2,000,000 1,987,820 (12,708)
11/23/16 10/31/18 US Treasury Note 0.75%1.04%2,992,828 3,000,000 2,975,280 (17,548)
03/31/17 03/31/19 US Treasury Note 1.25%1.25%1,000,000 1,000,000 992,620 (7,380)
03/31/17 07/31/19 US Treasury Note 0.88%1.32%2,979,048 3,000,000 2,954,760 (24,288)
09/12/16 08/15/19 US Treasury Note 0.75%0.84%1,997,226 2,000,000 1,964,620 (32,606)
03/30/17 09/30/19 US Treasury Note 1.00%1.42%1,985,603 2,000,000 1,970,540 (15,063)
05/07/15 04/30/20 US Treasury Note 1.38%1.54%1,992,548 2,000,000 1,975,240 (17,308)
19,947,056 20,000,000 19,819,000 (128,056)
Total Managed Portfolio 131,199,357 131,135,709 130,623,649 (575,708)
Average Yield 1.06%
Average Length to Maturity (in years) 0.81
Duration (calculated by USBank)1.16
TRUST PORTFOLIO
Institutional MM Account Wells Fargo Bank Secured 0.59%0.59%48,585 48,585 48,585
BOND RESERVE PORTFOLIO
Bond Lease Pymt Acct Goldman Sachs Financial Sq Money Mkt 0.10%0.10%498,443 498,443 498,443
Bond Reserve Acct Goldman Sachs Financial Sq Money Mkt 0.10%0.10%1,604,802 1,604,802 1,604,802
Total Bond Reserve Portfolio 2,103,245 2,103,245 2,103,245
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Treasurer’s Investment Report
Quarter Ending December 2017
City Council Meeting
February 6, 2018
53
o Total portfolio decreased
from last quarter by $0.2
million, from $130.8 to
$130.6 million
o Average maturity increased
from .97 years to .81
o Average yield decreased
from 1.07% to 1.06%
o Duration decreased from
1.32 to 1.16
Portfolio Composition
LAIF
23.3%
Cash
7.4%
Money
Market
9.03%
Agency
Notes
45.1%
US
Treasuries
15.2%
54
Yield Comparison
0.00%
0.20%
0.40%
0.60%
0.80%
1.00%
1.20%
1.40%
1.60%
1.80%
2.00%Average Yield2Y Treasury
Cupertino
LAIF
1Y Treasury
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Debt issued by federal credit agencies
and fully backed by U.S. government
guarantee but not its full faith and
credit
High credit rating -second only to
Treasury bonds
Maturity periods from 1 month to 15
years
Agencies that can issue:
•FHLMC -Federal Home Loan Mortgage
Association (Freddie Mac)
•FHLB -Federal Home Loan Bank
•FNMA -Federal National Mortgage
Association (Fannie Mae)
•FFCB -Federal Farm Credit Bureau
Agency Diversification
FHLB
32.3%
FHLMC
30.4%
FNMA
11.8%
FFCB
25.4%
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Policy Compliance
City of Cupertino
December 31, 2017
Category Standard Comment
Treasury Issues No limit Complies
US Agencies No limit Complies
Medium Term Corporate Bonds 30% with A rating Complies
LAIF $50 million Complies
Money Market Funds 20%Complies
Maximum Maturities Up to 5 years Complies
Per Issuer Max 10% (except for Treasuries and Agencies)Complies
Bankers Acceptances 180 days & 40%Complies
Commercial Paper 270 days & 25%Complies
Negotiable Certificates of Deposit 30%Complies
Repurchase Agreements 365 days Complies
Reverse Repurchase Agreements Prohibited Complies
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Cash Flow –Coverage
The LAIF investment is $30.6 million and yielding 52 basis points lower than the
1-year Treasury bill. The City is able to pay its obligations for the next 6 months
and overall liquidity is strong.
See Policy Compliance for LAIF
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
40,000,000
45,000,000 6-Month Liquidity
58
CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:118-3544 Name:
Status:Type:Consent Calendar Agenda Ready
File created:In control:1/17/2018 City Council
On agenda:Final action:2/6/2018
Title:Subject: Application for Alcohol Beverage License for Haidilao Restaurant Group, Inc. (dba Haidilao
Hot Pot), 19409 Stevens Creek Boulevard, Suite 100
Sponsors:
Indexes:
Code sections:
Attachments:Staff Report
A - Application
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Application for Alcohol Beverage License for Haidilao Restaurant Group, Inc. (dba
Haidilao Hot Pot), 19409 Stevens Creek Boulevard, Suite 100
Recommend approval to the California Department of Alcoholic Beverage Control of the
application for Haidilao Restaurant Group, Inc. (dba Haidilao Hot Pot), 19409 Stevens Creek
Boulevard, Suite 100
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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CITY COUNCIL STAFF REPORT
Meeting: February 6, 2018
Subject
Application for Alcoholic Beverage License for Haidilao Restaurant Group, Inc. (dba Haidilao
Hot Pot), 19409 Stevens Creek Boulevard, Suite 100.
Recommended Action
Recommend approval to the California Department of Alcoholic Beverage Control of the
Application for Alcoholic Beverage License for Haidilao Restaurant Group, Inc. (dba Haidilao
Hot Pot), 19409 Stevens Creek Boulevard, Suite 100.
Description
Name of Business: Haidilao Hot Pot
Location: 19409 Stevens Creek Boulevard, Suite 100
Type of Business: Restaurant
Type of License: 47 – On-Sale General – Eating Place (Restaurant)
Reason for Application: Original Fees, Annual Fee
Discussion
There are no zoning or use permit restrictions which would prohibit the sale of alcohol as
proposed. Additionally, the business has not proposed a separate bar facility or extended
operating hours. Therefore, staff has no objection to the issuance of this license. License Type 47
authorizes the sale of beer, wine and distilled spirits for consumption on the licenses premises
and authorizes the sale of beer and wine for consumption off the licenses premises. This
business is located in Main Street Cupertino.
Sustainability Impact
None
Fiscal Impact
None
_____________________________________
Prepared by: Jeffrey Tsumura, Assistant Planner
Reviewed by: Benjamin Fu, Assistant Director of Community Development; Aarti Shrivastava,
Assistant City Manager - Community Development and Strategic Planning
Approved for Submission by: David Brandt, City Manager
Attachment: A - Application
COMMUNITY DEVELOPMENT DEPARTMENT
CITY HALL
10300 TORRE AVENUE • CUPERTINO, CA 95014-3255
TELEPHONE: (408) 777-3308 www.cupertino.org
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:118-3561 Name:
Status:Type:Ordinances and Action Items Agenda Ready
File created:In control:1/24/2018 City Council
On agenda:Final action:2/6/2018
Title:Subject: Ordinance to amend regulations in Title 2, Administration and Personnel of the Municipal
Code Chapter 2.80, to allow up to six (6) members for the Fine Arts Commission.
Sponsors:
Indexes:
Code sections:
Attachments:Staff Report
A - Draft Ordinance
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject:Ordinance to amend regulations in Title 2, Administration and Personnel of the
Municipal Code Chapter 2.80, to allow up to six (6) members for the Fine Arts Commission.
That the City Council conduct the first reading of Ordinance No. 18-2171: "An Ordinance of
the City Council of the City of Cupertino amending regulations in Title 2, Administration and
Personnel of the Municipal Code Chapter 2.80, to allow up to six (6) members for the Fine
Arts Commission."
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:117-3367 Name:
Status:Type:Ordinances and Action Items Agenda Ready
File created:In control:11/30/2017 City Council
On agenda:Final action:2/6/2018
Title:Subject: Legislative Advocacy Policy and 2018 Legislative Platform
Sponsors:
Indexes:
Code sections:
Attachments:Staff Report
A - Draft Resolution
B - Proposed 2018 Legislative Platform
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Legislative Advocacy Policy and 2018 Legislative Platform
Adopt Resolution No. 18-010 establishing a Policy for Legislative Advocacy and adopt the
City’s proposed 2018 Legislative Platform
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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OFFICE OF THE CITY MANAGER
CITY HALL
10 10300 TORRE AVENUE • CUPERTINO, CA 95014-3255
TELEPHONE: (408) 777-3212 www.cupertino.org
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CITY COUNCIL STAFF REPORT
Meeting: February 5, 2018
Subject
Legislative Advocacy Policy and 2018 Legislative Platform.
Recommended Action
Adopt draft resolution establishing a Policy for Legislative Advocacy and adopt the
City’s proposed 2018 Legislative Platform.
Background
Each year, the Council takes positions on numerous federal and state bills with local
impacts. To facilitate the legislative advocacy process, the Council established the
Legislative Advocacy Committee (LAC), comprised of two Council Members, to make
recommendations on advocacy issues. Currently, the LAC meets on an ad hoc basis to
make a recommendation for Council to take a position when an issue arises.
Unfortunately, the Mayor, Councilmembers, and staff are often unable to respond to
legislative action alerts sent by various city associations in a timely manner given
legislative positions are currently considered by the full Council on a case by case basis.
Discussion
Many cities adopt a legislative platform on an annual basis that clearly outlines official
City positions on legislative issues at the start of a legislative session. Establishing a
Legislative Advocacy Policy and annual Legislative Agenda provides a streamlined
process for responding to legislative proposals with local impacts and focuses limited
advocacy resources.
Staff is proposing a similar approach for Cupertino, guided by a Legislative Advocacy
Policy (Attachment A). The policy establishes guidelines and processes regarding
legislative advocacy. Under the proposed policy, the City Manager would annually
present a draft Legislative Platform for Council consideration. The Platform would be
developed and maintained using the goals and objectives of the City Council, a review of
legislative priorities from the League of California Cities and other professional local
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government associations, input from City Council and staff, research of current law and
pending legislation, as well as discussions with local legislative staff.
The Council-approved Legislative Platform would inform official City advocacy
positions on pending legislative issues during the year. Federal and state bills consistent
with the Cities legislative priorities would be supported by the City. Those policies or
proposals in conflict with this agenda would be opposed. Items not addressed in the
City’s Legislative Platform would require Council approval prior to any legislative
advocacy efforts.
Under the new process, staff would consult with the LAC regarding legislative issues
consistent with the City’s Legislative Platform as they arise. The LAC would then
authorize staff to prepare position letters for the Mayor’s signature, take other advocacy
measures, or prepare an item for Council consideration.
This streamlined process would allow the City to quickly respond t o action alerts
regarding pending legislative issues.
Prepared by: Jaqui Guzmán, Deputy City Manager
Approved for Submission by: David Brandt, City Manager
Attachments:
A – Draft Resolution
B – Proposed 2018 Legislative Platform
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Resolution No. 18-
RESOLUTION NO. 18-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO
ESTABLISHING A POLICY FOR LEGISLATIVE ADVOCACY
WHEREAS, the City Council has an interest in weighing in on state, federal, and regional
legislative issues that impact the City and its residents; and
WHEREAS, the Council established the Legislative Advocacy Committee to make
recommendations on legislative advocacy issues that could impact the City; and
WHEREAS, the City Council annually takes action on numerous legislative proposals brought
forward throughout the year; and
WHEREAS, the Mayor, Councilmembers, and staff are often unable to respond to legislative
action alerts sent by various city associations in a timely manner given legislative positions are
currently considered by the full Council on a case by case basis; and
WHEREAS, establishing a Legislative Advocacy Policy and Annual Legislative Platform would
provide a streamlined process for responding to legislative proposals that may impact the City
and focus the City's limited advocacy resources;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Cupertino adopts
and approves the Policy on Legislative Advocacy attached and incorporated herein by this
reference, as the official legislative advocacy policy of the City of Cupertino.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Cupertino this
6th day of February, 2018, by the following vote:
Vote Members of the City Council
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST: APROVED:
_____________________________ ___________________________________
Grace Schmidt, City Clerk Darcy Paul, Mayor
City of Cupertino
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Resolution No. 18-
LEGISLATIVE ADVOCACY POLICY
I. PURPOSE
The purpose of this policy is to establish guidelines regarding City resources and support for
legislative priorities approved by the City Council.
II. BACKGROUND
A Legislative Platform identifies the City’s broad advocacy positions on issues and legislation
with local impacts. Advocacy positions are short-term in nature, typically related to pending
legislation and current issues, and guide Council and staff on intergovernmental matters
directly related to service delivery, or otherwise contribute to the City’s operational success
and/or health and well-being of its residents.
III. OBJECTIVE
The primary objective of establishing an annual Legislative Platform is for the City Council to
adopt official City positions on clearly stated legislative issues at the start of a legislative
session. By doing this, the legislative approval process is streamlined by receiving clear
direction at the beginning of the legislative session from the City Council on pertinent
legislative issues.
IV. POLICY STATEMENT
1. Each year the City Manager shall present for Council’s consideration a draft
Legislative Platform. Once approved by the City Council, this “platform” informs
official City advocacy positions on pending legislative issues.
2. The Legislative Platform is utilized by staff throughout the year to determine, in
consultation with the Legislative Action Committee, City positions on legislation
and intergovernmental issues and minimizes the need for staff to request further
direction from Council on legislation and issues as they arise.
3. During the year, staff monitors and researches pending legislation to identify bills
that could significantly impact Cupertino. With authorization from the Legislative
Action Committee, City staff shall prepare position letters consistent with the
Council-approved Legislative Platform for the Mayor’s signature.
4. Items not addressed in the City’s Legislative Platform will require Council approval
prior to any legislative advocacy efforts.
5. Legislative priorities should focus on issues directly relevant to or impacting the
provision of municipal services. Generally, the City will not address matters that are
not pertinent to the City’s local government services, such as international issues.
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Resolution No. 18-
V. Implementation
The City Manager shall monitor the provisions of this policy. Disagreements in interpretation of
the City’s Legislative Platform shall be resolved by the City Council.
City departments are encouraged to monitor and be knowledgeable of any legislative issues
related to their discipline. However, any requests for the City to take positions on a legislative
matter must be directed to the City Manager’s Office. City departments may not take positions
on legislative issues without City Manager’s Office review and approval from the Legislative
Action Committee.
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2018 Legislative Platform
The 2017 Legislative Platform is comprised of guiding principles that provide a framework for
the City of Cupertino’s regional, state, and federal legislative priorities. Going forward, adopted
annually, the City’s Legislative Platform will serve as a reference guide for legislative positions
and objectives that provide direction for the City Council and staff throughout the year. The
Legislative Platform is the foundation of a focused advocacy strategy.
Guiding Principles
I. Fiscal Responsibility
The City of Cupertino has a fiduciary responsibility to its residents to ensure assets and resources
are properly safeguarded and deployed in a fair, prudent, and efficient manner. As such, the City
supports the protection of existing federal, state, and local funding sources and the authorities
that provide revenues to the City. Likewise, the City has an interest in the solvency of public
entities that provide resources to the City. The City opposes any new mandates that are unfunded
or inadequately funded.
II. Local Control
The City supports local decision-making authority and opposes preemption of local control.
Cities are voluntarily created by the residents of a community to provide local self-government
and to make decisions at a local level to best meet the needs of the community. Each community
has unique needs and characteristics that are best met by policies set by its local governing body.
Efforts to remove the ability to set policy at the local level should be opposed, while promoting
legislation that allows flexibility in the City's effort to cost-effectively meet local priorities.
III. Sustainability
The City of Cupertino is a leader in embracing sustainability efforts in response to current and
anticipated environmental challenges. The City continuously looks for innovative strategies to
reduce its carbon footprint guided by our Climate Action Plan (CAP). As such, the City supports
environmentally friendly legislation and urban sustainability consistent with our CAP goals.
IV. Infrastructure and Mobility
The City seeks to maintain existing infrastructure and enhance sustainable, alternative mobility
options for our residents and businesses to thrive. The City can accomplish this by supporting
legislation that increases funding for transportation, infrastructure, operations, and maintenance
in Cupertino.
V. Healthy and Safe Community
One of the City’s primary goals is to provide a healthy and safe environment for our residents.
The City supports legislation that protects and enhances services to the City’s most vulnerable
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populations, such as the economically disadvantaged, elderly, and disabled. In addition, the City
supports federal and state assistance for local law enforcement, disaster preparedness, and
emergency planning as well as any measures that would help contribute to local public safety.
City of Cupertino - 2018 Federal Legislative Priorities
LOCAL CONTROL
1. Oppose preemption of local authority.
2. Oppose new program mandates that are unfunded or
underfunded.
INFRASTRUCTURE
1. Support adoption of a long-term federal transportation
authorization that provides a stable and reliable funding stream
for transportation including: Fixing America's Surface
Transportation Act, or "FAST Act" with focus on maintenance
and preservation, and funding for roads, bridges, and transit.
2. Support legislation that generates funding to support all modes
of transportation, including transit, bicycles, and pedestrians.
COMMUNITY
DEVELOPMENT BLOCK
GRANT (CDBG)
1. Support the preservation of funding for the CDBG program.
LAND USE
1. Oppose legislation and regulatory efforts that would diminish
or eliminate the authority of cities to zone and plan for the
development of telecommunications infrastructure, including
the siting of cellular communications towers or transmission
sites.
SUSTAINABILITY
1. Support legislation that assists regional and local governments
in development and implementing energy efficiency, renewable
energy and conservation strategies and ensure that local
governments can continue, and not be preempted in, their
efforts to achieve economic improvements through increased
energy efficiency, renewable energy and conservation plans that
seek to decrease carbon emissions.
2. Advocate for funding for projects for potable water and reuse
projects, nonpoint source pollution control, and watershed
management. Accelerate authorization for indirect and direct
potable reuse projects. Support legislation to generate additional
revenues for water infrastructure improvements and provides
for the funding of programs mandated for compliance and to
address drought resilience.
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City of Cupertino - 2018 State Legislative Priorities
LOCAL CONTROL
1. Support legislation that enhances local control and allows cities to
address the needs of local constituents within a framework of regional
cooperation.
2. Oppose preemption of local authority whether by state or federal
legislation or ballot propositions.
3. Support legislation that streamlines and simplifies the job of running a
city and oppose efforts that erode the City’s authority to control its own
affairs.
4. Oppose new program mandates that are unfunded or underfunded.
HOUSING
1. Support investments in affordable housing that addresses the housing
shortage in the Bay Area.
LAND USE
1. Oppose legislation and regulatory efforts that would diminish or
eliminate the authority of cities to zone and plan for the development of
telecommunications infrastructure, including the siting of cellular
communications towers or transmission sites.
2. Support legislation that strengthens the concept of local control/local
home rule for local decision making on land use and zoning matters.
3. Oppose legislation that erodes the ability of cities to condition and deny
projects that inadequately mitigate impacts to the community.
4. Support local ability to regulate use of public rights-of-ways.
INFRASTRUCTURE
1. Support investments in the maintenance and rehabilitation of aging
infrastructure and allow for system capacity expansion to support
smart growth principles.
2. Support legislation that generates funding to support all modes of
transportation, including transit, bicycles, and pedestrians.
3. Support legislation that generates transportation funding for pavement
maintenance and rehabilitation of local streets and roads.
4. Support cap and trade funds derived from transportation fuels be used
for transportation purposes.
SUSTAINABILITY
1. Support legislation and policies that emphasize sustainable
development, improve environmental standards and the regulatory
process, provide incentives and financial support for preservation of
natural resources, reduction of greenhouse gas emissions, promote
sustainable energy policies, and are consistent with the City’s Climate
Action Plan.
2. Support legislation that expands, promotes and/or incentivizes water
conservation practices and programs, including the expanded use of
local water resources like recycled water, gray water, and rain water
harvesting.
3. Support legislation that encourages companies to assume responsibility
for the costs of collecting, processing, recycling, or disposing of
products at end-of-life that would otherwise become a burden on local
government.
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CITY OF CUPERTINO
Legislation Details (With Text)
File #: Version:117-3308 Name:
Status:Type:Reports by Council and Staff Agenda Ready
File created:In control:11/13/2017 City Council
On agenda:Final action:2/6/2018
Title:Subject: Report on Committee assignments and general comments
Sponsors:
Indexes:
Code sections:
Attachments:
Action ByDate Action ResultVer.
City Council2/6/2018 1
Subject: Report on Committee assignments and general comments
Report on Committee assignments and general comments
CITY OF CUPERTINO Printed on 1/31/2018Page 1 of 1
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