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03 minutes CUPERJINO DRAFT MINUTES CUPERTINO CITY COUNCIL Regular Adjourned Meeting and Special Meeting. Monday, January 30,2006 ROLL CALL Present: Mayor Richard Lowenthal, Vice-Mayor Kris Wang, and Council members Patrick Kwok, Orrin Mahoney, and Dolly Sandoval. Absent: none. PLEDGE OF ALLEGIANCE At 5:05 p.m. Mayor Richard Lowenthal called the meeting to order in the Council Chamber, 10350 Torre A venue, Cupertino, California, and led the Pledge of Allegiance. WRITTEN COMMUNICATIONS The Deputy City Clerk noted the following written communications: · An email to the City Council dated January 28 ITom Stephanie Schaaf, Vice-Chair of the Sustainable Land Use Committee of the Sierra Club, Lorna Prieta Chapter, supporting the Vallco condominium project, item number 4. · Petition and letter to the City Council dated January 30, ITom Concerned Cupertino Residents supporting the Vallco condominium project, item number 4. · Email dated January 30 ITom Brooke Ezzat regarding item number 4. ORAL COMMUNICATIONS - None NEW BUSINESS I. Review the Valley Transportation Plan 2030, and consider Y. cent sales tax scenarios. (No documentation in packet). Government Affairs Manager Jim Lawson and Chief Construction Officer Jack Collins, both with the Valley Transportation Authority (VTA), made a PowerPoint presentation regarding the potential quarter cent sales tax. They highlighted the history, the 3-1 January 30,2006 Cupertino City Council Page 2 expenditure plan development, current activities, and new projects. Kim Conig with the VT A Financial Services Department was also there to answer any questions. Mr. Collins noted that the VT A Board of Directors is deferring making any decision on this item until its March 2 meeting. Council concurred to add this item to its February 27 agenda. Council also directed staff to do an analysis of what VT A projects would benefit Cupertino, and how the tax increase would impact Cupertino residents. STUDY SESSION 2. Discussion about the General Plan policy on Economic Development. Community Development Director Steve Piasecki said that Cupertino needs active, viable, successful retail to serve the residents, and that the City should use land use tools where appropriate, particularly residential, to encourage retail. He noted that 50% of Cupertino's revenue comes from business-to-business sales tax. Mayor Lowenthal suggested that the Economic Development team make a proposal on a sales tax target, and that the Legislative Committee bring a resolution to Council regarding business-to-business sales tax. 3. Discussion about the city's Fiscal Strategic Plan. Administrative Services Director Carol Atwood reviewed the Fiscal Strategies Plan Issues Paper, which highlighted: I) Defining the problem - the current funding gap; 2) Promoting organizational efficiency; 3) Decreasing expenses and areas of risk exposure; 4) Stabilizing revenue sourceš. She asked Council to appoint an Economic Development subcommittee task force to work with staff on a long-term Fiscal Strategic Plan to bring back during the budget review. She noted that the existing Economic Development Committee would focus on enhancing the current fiscal environment, while the subcommittee would look at ways to operate a long-term viable corporation. Council concurred to appoint Kris Wang and Orrin Mahoney to the subcommittee. Council also directed staff to bring the Fiscal Strategic Plan to Council at a regular meeting, targeting the first meeting in April, and to add a standing agenda item regarding the subcommittee's progress. RECESS Council recessed ITom 6:40 to 7:30 p.m. 3-02. January 30,2006 Cupertino City Council Page 3 PUBLIC HEARING (SPECIAL MEETING) - 7:30 p.m. 4. Consider Application Nos. U-2005-16, ASA-2005-11, Z-2005-05, TR-2005-04, DA- 2005-01 (EA-2005-10), Mike Rohde, (Vallco Fashion Park condominium development), 10123 N. Wolfe Road, APN 316-20-064 and 316-20-057: A. Mitigated Negative Declaration B. Use Permit and Architectural and Site Approval to construct a 137-unit, two and three-story condominium development C. Re-Zoning of a 5.19-acre parcel ITom Planned Development (Regional Shopping) to Planned Development (Regional Shopping/Residential) First reading of Ordinance No. 1975: "An Ordinance of the City Council of the City of Cupertino Rezoning of a 5.19-Acre Parcel From Planned Development (Regional Shopping) to Planned Development (Regional Shopping/Residential) at 10123 N. Wolfe Road." D. Tree Removal for an attached condominium development E. Modification to a Development Agreement (l-DA-90) to encompass the development proposed in U-2005-16, ASA-2005-11, Z-2005-05 and TR-2005-04 First reading of Ordinance No. 1976: "An Ordinance of the City Council of the City of Cupertino Modifying a Development Agreement (I-DA-90) to Encompass the Development Proposed in U-2005-16, ASA-2005-11, Z-2005-05 and TR-2005- 04 for a 137 Unit, Two- and Three- Story Residential Condominium Development at 10123 N. Wolfe Road." Steye Piasecki reviewed the staff report yia a PowerPoint presentation. Applicant Mike Rohde said that the Vallco owners are working to reinvent the shopping center as other centers have done. Some of these approaches include: Have people live on campus; bring residents closer the shopping; create walkability; and create a "downtown." He said that the revitalized shopping center would bring in sales revenue to the City, as well as provide low-income housing and job growth. In response to questions ITom Council he said the owners have no intention of making an opening on the wall into the neighborhood; the owners do intend to keep Farmer's Market but relocate it to the hotel site, the Penny's north parking lot, or the Sears south parking lot; and that the daycare center wiIl be moved out of the mall and wiIl be available to anyone, including residents. 3-3 January 30, 2006 Cupertino City Council Page 4 Architect Kirk Ellis made a PowerPoint presentation on the design of the condominium development. He discussed the food court; furniture; exterior design concepts; bringing storerronts out toward Vallco Parkway; Vallco becoming a downtown nighttime activity; subterranean parking; setbacks; day care center; open space; and maintaining existing trees. Mayor Lowenthal opened the public hearing at 8:55 p.m. The following individuals spoke in favor of the condominium development: Richard Tygerson Hamid Abtahi Richard Ho, property manager Ed Hirshfield Patrick Keating, storeowner in Vallco James Chen, president of Alexanders Steakhouse Margaret Limberatos (through an interpreter) Calvin Kuo Evan Tang Barry Chang Jack Yang Christopher Schumb Beverly Bryant, Homebuilders Association. Housing of Northern CA Their comments included: · Unfair to characterize the developers as greedy when there are easier projects elsewhere · Vallco needs to come back because Cupertino needs a place for professionals to live · Mostly professionals, rather than children, wiIllive there · New business is welcome, and the movie theater is a great idea · The development wiIl protect the neighborhood against other development that might really hurt Cupertino · Parking won't be an issue · There is no indication that the owners are financially insolvent · The owners are wiIling to work with the tenants · Vallco has always been a good neighbor, and is separated rrom the neighborhood by trees and sound walls · Cupertino needs Vallco and the existing stores also need Vallco for their success · The condominiums are a great opportunity to make Vallco successful, and would be a good place to buy a first home · In the peak time of Vall co, not many people used the parking lot because it was too far away · Trust that Council wiIl make the right decision · The Vallco area is not geared toward families, but toward those who want to live in a commercial and social center 3-Y January 30,2006 Cupertino City Council Page 5 · The owners don't want to cut through the wall, but make a condition of approval to forever forbid and reserve the condo owner rights to have any sort of right or way through the wall · The Vallco development is a good example of retail and mixed use and the current owners want to make Vallco a beautiful, innovative center The following individuals spoke against the condominium development: Helam Luk Dale Jenkins Rudy Griffin Sherry Ren Sean Huang Fran Jenkins Manisha Puranik Lucetta Tuttle Julie Bay Edith Pedersen Lloyd Martin Stuart Chessen Howard Trudeau Sue Trudeau Nancy Tressel Lynn Salazar Ruby Elbogen Janice Ishii Linda Cheung Shilpa Joshi Raj Rayasekharan Connie Zhang Sridhav Boinapally Martin Yu Marcia Alicea Al Di Francesco Rajeev Joshi Jennifer Griffin Cathy Helgersen Sharon Hampe Rahul Vadodkar Nelson D'Souza Narayan Laksham Bei Shen Sywe Shuyi Chen Suchen Chang Vanessa Schindler Shawn Yang Kent Kernahan Leslie Shich Michael Pyle Vipin Samar Barbara Rogers Vimal Solanki Anand Cheriyathmadam Steven Scharf Vinita Joshi Alok Gupta Henry Schogar David Wang Shankar Iyer Vidula Aiyer Matt Kernahan Their comments included: · Keep the area as a parking lot and Vallco as a commercial site · Concern about privacy issues and that the sound wall would come down · The Rosebowl project should be completed first · See how successful Vallco is first, and analyze the growth impact · Concern over school crowding, traffic congestion, stress on sewer, noise and pollution rrom highway and parking garage · The developers need to show a financial and business plan first · There are too many condo projects in that area, and people don't want Vallco to become a downtown Silicon Valley · The project shows lack of planning and is a bad location for condos 3-:)' January 30, 2006 Cupertino City Council Page 6 . Suggested using the space for offices instead since they wouldn't impact the schools . The neighborhood would be negatively impacted Linda (no last name given) said that she was not in favor or against the development but wanted low-income housing in Cupertino. Vallco owner Emily Chen said that she heard many things rrom the speakers, and asked for understanding rrom Council and the public. She reviewed the history of Vallco and the owners it had in the past. She noted that she has made a huge investment into Vallco, and definitely wants it to succeed. She asked Council and the community to give their trust and support. Mayor Lowenthal closed the public hearing. Sandoval/Kwok moyed and seconded to continue this item to Tuesday, January 31 st at 4:00 p.m. The motion carried with Wang and Mahoney voting no. ADJOURNMENT At 11:55 p.m., the meeting was adjourned to Tuesday, January 31, for a Council goal-setting session. The meeting wiIl begin at I :00 p.m. in the Council Chambers at the Community Hall, 10350 Torre Avenue, Cupertino. Grace Schmidt, Deputy City Clerk For more information: Staff reports, backup materials, and items distributed at the meeting are available for review at the City Clerk's Office, 777-3223, and also on the Internet at www.cupertino.org.Click on Agendas & Minutes/ City Council/ Packets. Most Council meetings are shown live on Cable Channel 26, and are available at your convenience rrom our web site. Visit www.cupertino.org and click on Watch Meetings. Videotapes are available at the Cupertino Library, or may be purchased rrom the Cupertino City Channel,777-2364. 3 -10 · CUPERJINO DRAFT MINUTES CUPERTINO CITY COUNCIL Regular Adjourned Meeting Tuesday, January 31, 2006 PLEDGE OF ALLEGIANCE At I :08 p.m. Mayor Richard Lowenthal called the meeting to order in the Council Chamber, 10350 Torre A venue, Cupertino, California, and led the Pledge of Allegiance. ROLL CALL Present: Mayor Richard Lowenthal, Vice-Mayor Kris Wang, and Council members Patrick Kwok, Orrin Mahoney, and Dolly Sandoval. Absent: none. ORAL COMMUNICATIONS - None GOAL SETTING WORK SESSION I. Council discussion: Goals and Interests The Council members each explained why they chose to run for the City Council. Council member Kwok said he served on the Planning Commission and ran for Council because he wanted to make a difference and to help make Cupertino a better place to live. For the remainder of his term, he specifically hoped to see the revitalization of Vall co, to build community, and to orient the city's development actiyity toward "smart growth." Council member Mahoney said he was yery interested in increasing the city's financial vitality, and hoped to reinvigorate retail, including Valko. He said he would like the city to be more proactive about land use planning, and he was enthusiastic about the Stevens Creek Corridor. Council member Wang said that she felt there was a big distance between the Council and the residents, and she ran for office to find a way to welcome newcomers and to lessen the gap between the residents and local government. Also, she wanted to maintain the suburban feel of the community, and she felt it was vèry important to educate the community about the General Plan and the city's financial situation. 3-Î January 31,2006 Cupertino City Council Page 2 Council member Sandoval said her interests included environmentalism, economic development, public safety and emergency preparedness, traffic and transportation, housing and smart growth, and a park for residents on the east side of town. Mayor Richard Lowenthal said his measure of success was to have more things for people to do in the City of Cupertino, so his focus is on walkability, a pedestrian/retail environment, trails and parks. He said that Valko revitalization was also one of his main goals. Lowenthal said he would like the city to become more progressive, for example in solar power, and to see if there are ways to improve customer service in the planning process. Council members and staff discussed ways that the City Council could better communicate their priorities so that the Planning Commission could be most efficient in identifying issues and making recommendations. They also talked about holding more joint meetings, addressing the inconsistencies that are currently in the Heart of the City specific plan, and having more of the planning staff attend the study sessions. 2. Staff presentation: Organization and Work Program Public Works Director Ralph Qualls reviewed a PowerPoint presentation that explained the various roles in city government, which include policy makers, management employees, and professionals. He iIlustrated this with an example of school site 'playfield maintenance by the city. In that example, the City Council would approve the concept for the city to maintain school grounds in exchange for use by intramural athletics; approve the budget; and consider recommendations rrom management staff about how to implement the program. Next, the management staff would negotiate with the school district, authorize hiring of staff, acquire equipment and resources, and supervise the implementation. Finally, the professional staff would assemble resources and carry out assignments, and provide feedback to management during implementation for any necessary adjustments. City Manager David Knapp reviewed a PowerPoint presentation that highlighted the city's organization chart and what functions each of those departments provided. 3. Council Work Program for 2006 and beyond The City Manager reviewed charts that iIlustrated the proposed 2006 City Council Work Program. Council members made the following comments: . · The Work Program should have less emphasis on specific planning projects and more emphasis on a broader overview of sites to be developed or redeveloped · Staff to report back on which programs are subsidized and which aren't, and see if there are ways to boost revenues (such as at the Sports Center) · Are there city park funds held by the County of Santa Clara which could be used toward acquiring land around Stevens Creek · Consider whether developer park fees should be spent to payoff debt on previous park acquisitions or to acquire new land 3-8' Cupertino City Council Page 3 January 31, 2006 RECESS · Consider increase below-market-rate in-lieu fees Investigate grants which may be ayailable rrom the Air Quality Board for the Mary A venue pedestrian footbridge Consider adding additional CERT (Cupertino Emergency Response Training) classes if additional volunteer instructors or financial resources can be identified Consider reinstating the Leadership Cupertino courses and explore funding methods Delete item SA, "provide housing opportunities for Cupertino workers" Before the budget is adopted, Council needs to discuss how much financial support they are wiIling to invest in item 9, "supporting community organizations" Put coffee back in the budget for employees and community meetings Look for ways to streamline processes and improve customer service in the Building and Planning divisions Review the Heart ofthe City Specific Plan this year · · · · · · · · The Council recessed rrom 3:45 p.m. to 4:02 p.m. PUBLIC HEARING (continued rrom January 30,2006) 4. Consider Application Nos. U-200S-16, ASA-200S-II, Z-200S-0S, TR-200S-04, DA- 2005-01 (EA-200S-10), Mike Rohde, (Valko Fashion Park condominium development), 10123 N. Wolfe Road, APN 316-20-064 and 316-20-057: A. Mitigated Negative Declaration B. Use Permit and Architectural and Site Approval to construct a l37-unit, two and three-story condominium development C. Re-Zoning of a S.19-acre parcel rrom Planned Development (Regional Shopping) to Planned Development (Regional ShoppinglResidential) First reading of Ordinance No. 1975: "An Ordinance of the City Council of the City of Cupertino Rezoning of a S.19-Acre Parcel From Planned Development (Regional Shopping) to Planned Development (Regional Shopping/Residential) at 10123 N. Wolfe Road." D. Tree Removal for an attached condominium development 3-1 January 31,2006 Cupertino City Council Page 4 E. Modification to a Development Agreement (l-DA-90) to encompass the development proposed in U-200S-16, ASA-200S-ll, Z-200S-0S and TR-200S-04 First reading of Ordinance No. 1976: "An Ordinance of the City Council of the City of Cupertino Modifying a Development Agreement (I-DA-90) to Encompass the Development Proposed in U-200S-16, ASA-200S-II, Z-200S-0S and TR-200S- 04 for a 137 Unit, Two- and Three- Story Residential Condominium Development at 10123 N. Wolfe Road." Community Development Director Steve Piasecki gave an update on information that the City Council had requested the previous evening. This information included options for improving privacy, increasing landscaping, and meeting the needs of the Fire Department. He noted that Fire Department staff reviewed the plan and stated that access is adequate to serve their needs, and they do not have to have access through the wall. Stephen Rowley, Superintendent of Schools of the Fremont Union High School District (FUHSD), said that they concur with the sampling methodology used to estimate student generation. He said in some cases the district would actually come out ahead because the property tax proceeds are higher than the cost per student. He showed a chart comparing projected student populations at all of the schools as well as a chart titled "Current and Proposed Enrollment." He explained the difference between optimum capacity and maximum capacity, and discussed how open enrollment is triggered to allow students to change schools when more capacity becomes available. He said that the school board feels strongly that no position be taken either in favor or against a development, but he said that the anticipated students rrom this project wiIl not be a big impact in the high school. City Attorney Charles Kilian reviewed excerpts rrom State Government Code 6S99S(a), 6S99S(e), 6S99S(i) and 6S996(b) and explained that these laws prohibit the city rrom denying a project based on the impacts on or the inadequacies of schools. He also read a draft condition for the Council to consider if they wished to prohibit any openings in the dividing wall between Valko and the existing neighborhood: "The applicant shall record a covenant running with the land in a form which is acceptable to the city attorney and which burdens both the residential project and the remainder of Valko Park prohibiting the owners, their successors in interest and any associated homeowners associations or lessee holders rrom causing removal of any portion of the wall located along the westerly boundary of the Vallco properties intended to provide pedestrian, bicycle, or vehicular access to the adjacent neighborhood. This covenant can only be released or modified by action of the Cupertino City Council after receipt by the City Council of written consent to such release or modification by a majority of the property owners owning property between the wall and Portal Avenue." Applicant Emily Chen said the language was acceptable. 3-fo January 31, 2006 Cupertino City Council Page 5 Rick Houseman, Chief Business Official for the Cupertino Union School District (CUSD), said that the number of students expected to be generated rrom this project would not create any difficulty for the school district. At 4:48 p.m. the Council recessed and relocated the meeting into Conference Room 100, 10300 Torre Avenue, Cupertino. The meeting reconvened at 4:53 p.m. Wang said that the estimated increase in sales tax for the Valko project did not include the negative financial impact for the residential units, which must be supported by the City. She was not in favor of converting any commercial space to housing uses. Sandoval said her preference for this project would be to haye the parking in a different place, relocate some units, have fewer units facing the garage, create walkability and pedestrian and bike thoroughfares, with pedestrian gates in the wall that close at 9 p.m., and that the units that are removed rrom the plan should be the 3-bedroom units instead of the 2-bedroom units. Mahoney/Kwok moved and seconded to approve the Negative Declaration. The motion carried with Wang voting no. Mahoney/Kwok moved and seconded to approve the Use Permit and the Architectural and Site Approval with the following conditions. The motion carried with Wang and Sandoval voting no. · The applicant shall record a covenant running with the land in a form which is acceptable to the city attorney and which burdens both the residential project and the remainder of Vall co Park prohibiting the owners, their successors in interest and any associated homeowners associations or lessee holders rrom causing removal of any portion of the wall located along the westerly boundary of the Valko properties intended to provide pedestrian, bicycle, or vehicular access to the adjacent neighborhood. This covenant can only be released or modified by action of the Cupertino City Council after receipt by the City Council of written consent to such release or modification by a majority of the property owners owning property between the wall and Portal Avenue. · Prior to occupancy, the applicant shall install public art on the project site. The public art shall be valued at a minimum of one-quarter percent (1/4%) of the total project budget, not to exceed $100,000. Prior to installation of the public art, the applicant shall develop and submit a public art plan for the project to be reviewed and approved by the Fine Arts Commission. · The applicant shall agree to spend up to $100,000 to acquire the rights to construct a shopping center sign on the north side of Interstate 280 and to construct the sign. · The applicant shall add a 3rd row of trees, where possible to the satisfaction of the Director of Community Development Department, encompassing the existing tree 7-11 January 31,2006 Cupertino City Council Page 6 row and two rows of 48-inch box redwood trees within the existing landscape planter along the west side of the property · Occupancy of the condominiums wiIl not be granted until the theater is open. · Modify Condition No. 4f (U-200S-16 & ASA-200S-11) to read: A maximum footprint of 3,600 square feet is permitted for the day care center, up to a total square footage of 4,000 square feet. · An additional 10-foot wide landscape area along the southern perimeter of the site shall be incorporated into the landscape plan. · The applicant shall demonstrate that with the wall extension, the visibility rrom the 2nd floor windows wiIl not extend to any of the windows on the first floor and yards of the adjacent homes. In the event that it does, the applicant wiIl be required to provide supplemental screening of the condominium building(s) or increase the height of the wall. · Modify Condition 4d to read: Modify the roadway entrance (Perimeter Road) so that there is a less severe turning radius (articulated corner treatment by the day care center) into the project site and more trees along Perimeter Road can be retained. · Modify Condition 4a to read: Modify plans to provide a minimum 20-foot side yard setback along the east property line adjacent to the Interstate 280 Wolfe Road off- ramp. · Transit Eco passes shall be provided by the Homeowners Association. Mahoney/Sandoval moved and seconded to approve the tree remoyal plan. The motion carried with Wang voting no. The City Clerk read the title of ordinance 1975. Mahoney/Wang moved and seconded to read the ordinance by title only, and that the City Clerk's reading would constitute the first reading thereof. Ayes: Kwok, Lowenthal, and Mahoney. Noes: Sandoval and Wang. The City Clerk read the title of the ordinance 1976. Mahoney/Kwok moved and seconded to read the ordinance by title only, and that the City Clerk's reading would constitute the first reading thereof. Ayes: Kwok, Lowenthal, and Mahoney. Noes: Sandoval and Wang. The City Attorney asked that a development agreement be submitted at the second reading of the ordinances. J-/~ January 31, 2006 Cupertino City Council Page 7 ADJOURNMENT At 6: 17 p.m. the meeting was adjourned. Kimberly Smith, City Clerk For more information: Staff reports, backup materials, and items distributed at the meeting are available for review at the City Clerk's Office, 777-3223, and also on the Internet at www.cupertino.org.Click on Agendas & Minutes/ City Council! Packets. Most Council meetings are shown live on Cable Channel 26, and are available at your convenience rrom our web site. Visit www.cupertino.org and click on Watch Meetings. Videotapes are available at the Cupertino Library, or may be purchased rrom the Cupertino City Channel,777-2364. 3-/3 CUPERJINO DRAFT MINUTES CUPERTINO CITY COUNCIL Regular Adjourned Meeting Monday, February 13, 2006 ROLL CALL At 7:30 p.m. Mayor Richard Lowenthal called the meeting to order in Conference Room A, 10300 Torre A venue, Cupertino, California. Present: Mayor Richard Lowenthal, Vice-Mayor Kris Wang, and Council members Patrick Kwok, Orrin Mahoney, and Dolly Sandoval. Absent: none. ORAL COMMUNICATIONS - None COMMISSION INTERVIEWS I. Interview applicants for unscheduled vacancies on the following Commissions: . Public Safety . Planning City Council interviewed Kevin Wang, Anthony Suen, Fari Aberg, L.T. Guttadauro, and Om Talajia for the vacancy on the Public Safety Commission, and appointed Fari Aberg to a term ending January 30,2008. City Council interviewed L.T. Guttadauro, Marolyn Chow, Cary Chien, Fred Schualbach, Shishir Mukherjee, Michael Mansch, Rod Brown, and Margaret Goodrich for the vacancy on the Planning Commission, and appointed Cary Chien to a term ending January 30, 2009. ADJOURNMENT At 10:05 p.m., the City Council adjourned to Tuesday, February 27 at 5:00 p.m. for a regular adjourned City Council meeting, Council Chamber, 10350 Torre Ave. Grace Schmidt, Deputy City Clerk 3-/Y