MINUTES

SUNNYVALE CITY COUNCIL

AUGUST 10, 2004

7:30 P.M.

The City Council of the City of Sunnyvale adjourned from a 4:00 p.m. Closed Session regarding Personnel Matters: Evaluation – City Attorney Pursuant to Government Code 54957, a 5:00 p.m. Closed Session regarding Personnel Matters: SEA Labor Negotiations Pursuant to Government Code 54957.6, a 6:00 p.m. Closed Session regarding Town Center Mall Negotiations Pursuant to Government Code 54956.8, and met in regular session in the City Council Chambers, 456 West Olive Avenue, Sunnyvale, California at 7:30 p.m., with Mayor Howe presiding.

SALUTE TO THE FLAG

Mayor Howe led the salute to the flag.

ROLL CALL

PRESENT:

Mayor Howe

Vice Mayor Dean Chu

Councilmember Fred Fowler

Councilmember Julia Miller

Councilmember Ron Swegles

Councilmember Melinda Hamilton

Councilmember Otto Lee

Staff Present:

Amy Chan, City Manager

Valerie J. Armento, City Attorney

Chuck Schwabe, Deputy City Manager

Robert Paternoster, Community Development Director

Mary Bradley, Director of Finance

Marilyn Crane, Manager of Information Technology Services

Trudi Ryan, Planning Officer

Captain Mark Stivers, Public Safety

Therese Balbo, Finance Manager

Ryan Kuchenig, Project Planner

Fred Bell, Principal Planner

Jack Witthaus, Transportation and Traffic Manager

Susan Ramos, City Clerk

Donna Biles, Deputy City Clerk

SCHEDULED PRESENTATION

Captain Mark Stivers presented Public Safety Service Awards and Recognition for life-saving efforts of the Public Safety Department officers. The recipients were Public Safety Officers William Whitaker and Jim Davis, Lieutenant Phil Carr and Battalion Chief Tim Johnson.

PUBLIC ANNOUNCEMENTS

Mayor Howe announced that Sunnyvale Public Safety Director Erwin Bakin, announced his retirement from the City effective August 8. Robert Bradshaw, Interim Public Safety Director, will continue in that role until the vacancy is filled.

Vice Mayor Chu announced the Council met in Closed Session regarding:

July 27, on a continued meeting after the regular Council meeting, the Council met regarding Personnel Matters: SEA Labor Negotiations Pursuant to Government Code 54957.6, and Town Center Mall Negotiations Pursuant to Government Code 54956.8. Direction was given and no action was taken.
August 3, Personnel Matters: SEA Labor Negotiations pursuant to Government Code 54957.6. Direction was given and no action was taken.
August 10, Personnel Matters: Evaluation – City Attorney Pursuant to Government Code 54957. No direction was given and no action was taken.
August 10, Personnel Matters: SEA Labor Negotiations Pursuant to Government Code 54957.6. Direction was given and no action was taken.
August 10, Town Center Mall Negotiations Pursuant to Government Code 54956.8. Direction was given and no action was taken.

Bob Deunger, President of the Lions Club, announced the first Annual Wine Tasting and Family Barbecue on Saturday, August 28, from 1:00 p.m. to 6:00 p.m. at the Santa Clara Elks Lodge, 1680 Martin Avenue, Santa Clara.

Nancy Tivol, a member of the public, announced that Sunnyvale Community Services has published a cookbook which she presented to Councilmember Lee.

CONSENT CALENDAR

Councilmember Hamilton requested item 1.H be removed from the Consent Calendar and considered separately. Harriet Rowe, a member of the public, requested item 1.I be removed from the Consent Calendar and considered separately. Vice Mayor Chu moved, and Councilmember Swegles seconded, approval of the Consent Calendar with the exception of items 1.H and 1.I. The motion carried unanimously.

1.A

Approval of Draft Minutes (Regular Meeting of July 27, 2004)

1.B.

Approval of Information/Action Items - Council Directions to Staff

Fiscal Items

1.C.	RTC 04-282	Lists of Claims and Bills Approved for Payment by the City Manager (Nos. 207 and 208) Staff Recommendation: Review the attached lists of bills.
1.D.	RTC 04-276	Authorization for NOVA to Accept Second Year Funding From the California Employment Development Department in the Amount of $72,086 to Extend Disability Navigator Position at the CONNECT! Job Seeker Center Through June 30, 2005 Staff Recommendation: Approve acceptance of second year funding from the California Employment Development Department to fund a Disability Program Navigator to serve individuals with disabilities.
1.E.	RTC 04-275	Agreement Between City of Sunnyvale and Sunnyvale Community Services for Support in the Delivery of Recreation Services Staff Recommendation: Approve the five year Agreement, depicted by Attachment A, for the administration of a portion of interest from the Swirsky Youth Opportunity Trust Fund and the administration of the City's Recreation Fee Waiver Program dated June 1, 2004, and authorize the City Manager to enter into said Agreement.
1.F.	RTC 04-283	City of Sunnyvale Investment Reports 2^nd Quarter 2004 Staff Recommendation: Receive and file the investment report.
1.G.	RTC 04-277	Authorization for the City Manager to Execute a Cooperative Funding Agreement for the Frances Street Transit Corridor Project and Budget Modification No. 2 Staff Recommendation: Authorize the City Manager to execute the Cooperative Funding Agreement for the Frances Street Transit Corridor Project, and approve Budget Modification No. 2 to accept the grant funding, appropriate it to the Frances Street Transit Corridor Project and reduce the City matching funds to $151,700.

Contracts

1.H.

RTC 04-278

Award of Contract for a Citywide Upgrade of Computer Operating Systems and Office Applications (No. F0306-85)

Marilyn Crane, Manager of Information Technology Services, responded to questions from the Council regarding investigation of other technology from a cost perspective.

Mayor Howe opened the Public Hearing at 7:52 p.m. and, there being no public comments, closed the Public Hearing.

Councilmember Hamilton moved, and Mayor Howe seconded, to award a contract, in substantially the same form as the attached blanket purchase order, to Software Spectrum, Inc., for the purchase of software licenses to upgrade approximately 650 desktop and laptop computers to the most current version of Microsoft Windows and office suite. The motion carried unanimously.

Other Items

1.I.

ORDINANCE NO. 2756-04

Adoption of an Ordinance Amending Section 16.08.110 of the Sunnyvale Municipal Code Related to Hours of Construction - Time and Noise Limitations

Mayor Howe opened the Public Hearing at 7:53 p.m.

Harriet Rowe, a member of the public, requested clarification on the length of time construction may take place. Mayor Howe responded.

Mayor Howe closed the Public Hearing at 7:55 p.m.

Councilmember Miller moved, and Mayor Howe seconded to adopt an ordinance amending Section 16.08.110 of the Sunnyvale Municipal Code related to hours of construction – time and noise limitations. The motion carried unanimously.

ORDINANCE NO. 2756-04 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SUNNYVALE AMENDING SECTION 16.08.110 OF THE SUNNYVALE MUNICIPAL CODE RELATED TO HOURS OF CONSTRUCTION – TIME AND NOISE LIMITATIONS

1.J.

RESOLUTION NO. 133-04

RTC 04-274

Federal Surface Transportation Program Funds for Local Streets and Roads Rehabilitation Projects - Authorization to Submit Grant Application and Resolution of Support

Staff Recommendation: Authorize staff to apply for Federal Surface Transportation Program Funds for Local Streets and Roads Rehabilitation Projects for the allocated amount of $1,185,184. This funding requires an 11.5% local match; and Alternative 2) Approve the attached Resolution of Support for Federal Surface Transportation Program Funds for Local Streets and Roads Rehabilitation Projects.

RESOLUTION NO. 133-04 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUNNYVALE AUTHORIZING THE FILING OF AN APPLICATION FOR FEDERAL SURFACE TRANSPORTATION PROGRAM FUNDING FOR PAVEMENT REHABILITATION OF SUNNYVALE’S MAJOR STREETS AND COMMITTING THE NECESSARY NON-FEDERAL MATCH FOR THE PROJECTS AND STATING THE ASSURANCE OF THE CITY OF SUNNYVALE TO COMPLETE THE PROJECTS

1.K.

RTC 04-279

Transportation for Livable Communities Grant Program - Authorization to Submit Grant Applications

Staff Recommendation: Authorize staff to apply for Transportation for Livable Communities Funds for various downtown transportation and land use enhancement projects. This funding requires a local match of either 11.5% or 20%, depending upon the project category.

1.L.

ORDINANCE

NO. 2760-04

Adoption of an Ordinance Awarding a Nonexclusive Franchise to Kulwant Lasher and Baljit Singh Doing Business as USA Express Cab

ORDINANCE NO. 2760-04 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SUNNYVALE AWARDING NONEXCLUSIVE FRANCHISE TO KULWANT LASHER AND BALJIT SINGH DOING BUSINESS AS USA EXPRESS CAB

CITIZENS TO BE HEARD

There were no comments.

PUBLIC HEARINGS/GENERAL BUSINESS

RESOLUTION NO. 134-04

ORDINANCE NO. 2761-04

RTC 04-284

A General Plan Amendment, Introduction of an Ordinance to Rezone From C-2/PD to R-3/ECR, Special Development Permit to Allow the Re-configuration of an 88-room Hotel Into 58 Condominium Ownership Units, and Tentative Map Located at 635 E. El Camino Real

Trudi Ryan, Planning Officer, presented the staff report.

Staff responded to questions posed by the Council relating to why staff was recommending the land use be changed to residential, future El Camino proposed re-zoning, loss of Transient Occupancy Taxes (TOT), requirements for a clubhouse, if the building is up to code to be considered a green building, the size of the proposed units, and distribution of the Below Market Rate (BMR) units.

Mayor Howe opened the Public Hearing at 8:15 p.m.

Deborah Ungo-McCormick, Applicant, requested approval of the application and introduced the project team.

Sam Hardage, CEO of Hardage Hotels, gave an overview of the history and condition of the building and conversion plans. He responded to questions from the Council related to price ranges and access to the units.

Tony Sarboraria, Architect, Dahlin Group Architecture, made a Powerpoint presentation on the Woodfin Suite Hotel conversion to residential and responded to questions from the Council regarding meeting space and a playground area.

Mark Rousseau, Vice President of Woodfin Suite Hotels, distributed a handout to the Council and reviewed the fiscal impact issues.

Nathan Brown, of the Ryness Company, addressed concerns related to access to the units, price range, unit sizes, clubhouse maintenance, and storage areas.

Harriet Rowe, a member of the public, advocated for the development to include a clubhouse and extra storage space for the small units.

Mayor Howe closed the Public Hearing at 8:58 p.m.

Councilmember Hamilton moved, and Councilmember Swegles seconded, to adopt the Negative Declaration, approve the Resolution to amend the General Plan from Commercial General Business to Medium-Density Residential, introduce an Ordinance to Rezone 635 E. El Camino Real from C-2/PD to R-3/ECR, deny the special development permit, and have the applicant redesign the development to include a clubhouse and lockable storage units.

Councilmember Hamilton amended her motion to adopt the negative declaration and not rezone the property. Councilmember Swegles withdrew his second. Mayor Howe seconded the motion.

Councilmember Hamilton restated her motion to approve Alternative 3, to adopt the Negative Declaration, do not approve the Resolution to amend the General Plan from Commercial General Business to Medium-Density Residential, do not introduce an Ordinance to Rezone 635 E. El Camino Real from C-2/PD to R-3/ECR, and deny the Special Development Permit and Tentative Map, and allow the applicant to present an amended design at a future meeting that would include a clubhouse and lockable storage. Mayor Howe withdrew his second and Councilmember Swegles seconded the motion.

Councilmember Fowler moved, and Councilmember Swegles seconded, a substitute motion to approve Alternative 2, to adopt the Negative Declaration, approve the Resolution to amend the General Plan from Commercial General Business to Medium Density Residential, introduce an Ordinance to rezone 635 E. El Camino Real from C-2/PD to R-3/ECR, and approve the Special Development Permit and Tentative Map with modified conditions to include a clubhouse and lockable storage and bring back the redesign to the Planning Commission for review and approval.

Vice Mayor Chu offered a friendly amendment to provide lockable storage for the 11 units without attic spaces. The amendment was accepted.

Councilmember Miller offered a friendly amendment to have the re-design of the project, including the replacement of wood burning fireplaces, brought back to the Council for approval. The amendment was not accepted.

At the request of the Mayor, the Deputy City Clerk read the title of the ordinance.

ORDINANCE NO. 2761-04 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SUNNYVALE AMENDING THE PRECISE ZONING PLAN, ZONING DISTRICTS MAP, TO REZONE CERTAIN PROPERTY LOCATED AT 635 E. EL CAMINO REAL FROM C-2/ECR (HIGHWAY BUSINESS/PLANNED DEVELOPMENT) TO R-3/PD (MEDIUM DENSITY RESIDENTIAL/EL CAMINO REAL PRECISE PLAN) ZONING DISTRICT

The motion carried with Mayor Howe and Councilmembers Hamilton and Miller dissenting.

RESOLUTION NO. 134-04 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUNNYVALE ADOPTING AN AMENDMENT TO THE 1972 GENERAL PLAN OF THE CITY OF SUNNYVALE TO CHANGE DESIGNATION FROM “COMMERCIAL GENERAL BUSINESS” TO “MEDIUM DENSITY RESIDENTIAL” FOR PROPERTY LOCATED AT 635 EAST EL CAMINO REAL

ORDINANCE NO. 2762-04

RTC 04-280

Introduction of an Ordinance to Rezone From R-2 to R-2/PD, Special Development Permit to Allow the Development of 10 New Town Homes, and Tentative Map Located at 127 N. Sunnyvale Avenue

Ryan Kuchenig, Project Planner, assisted by Trudi Ryan, Planning Officer, presented the staff report.

Staff responded to questions from Council regarding removal of trees, setbacks, lot size, and storage space.

Vice Mayor Chu opened the Public Hearing at 9:35 p.m.

Glen Cahoon, Designer, described the project setbacks and landscaping plans. He responded to questions from the Council related to the design, setback requirements, sales price, the rezone from a church, and soil samples.

Vice Mayor Chu closed the Public Hearing at 9:49 p.m.

Councilmember Lee moved, Mayor Howe seconded, to approve Alternative 1, to adopt the negative declaration and introduce an Ordinance to rezone the site from R-2 to R-2/PD and approve the special development permit and tentative map with attached conditions.

At the request of the Mayor, the Deputy City Clerk read the title of the ordinance.

ORDINANCE NO. 2762-04 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SUNNYVALE AMENDING THE PRECISE ZONING PLAN, ZONING DISTRICTS MAP, TO REZONE CERTAIN PROPERTY LOCATED AT 127 NO. SUNNYVALE AVENUE FROM R-2 (LOW MEDIUM DENISTY RESIDENTIAL) TO R-2/PD (LOW MEDIUM DENSITY RESIDENTIAL/PLANNED DEVELOPMENT) ZONING DISTRICT

The motion carried with Councilmember Fowler dissenting.

ORDINANCE NO. 2763-04

RTC 04-285

Tasman/Fair Oaks Area Pedestrian and Bicycle Circulation Plan, and Consideration of an Introduction of an Ordinance to Rezone From R-4/PD to C-2/PD of Certain Parcels from High Density Residential to Commercial Located Within Futures Areas 7 and 8 Near Tasman Drive and Fair Oaks Avenue

Fred Bell, Principal Planner, assisted by Trudi Ryan, Planning Officer, and Jack Witthaus, Transportation and Traffic Manager, presented the staff report.

Staff responded to questions posed by the Council regarding sidewalks, pedestrian access improvement, and the future park site.

Mayor Howe opened the Public Hearing at 10:02 p.m.

John Varney, owner of 1160 Fair Oaks Avenue, expressed concerns regarding the retail capacity feasibility and having the full use of the property under a C-2 zoning. He further stated that if the Pedestrian and Bicycle Circulation Plan is subsidized by the retail companies, it lessens the likelihood of retail stores operating on that site.

Thom Mayer, a member of the public, requested that this property not subsidize the Pedestrian and Bicycle Circulation Plan and expressed concern over the lack of bike lanes on Fair Oaks and sidewalks on Weddell.

Mayor Howe closed the Public Hearing at 10:15 p.m.

Councilmember Fowler moved, and Councilmember Swegles seconded, to approve Alternative 1, to adopt the negative declaration, adopt the Tasman/Fair Oaks Area Pedestrian and Bicycle Circulation Plan, introduce an Ordinance to rezone properties located at 1156 North Fair Oaks Avenue and 1160 Fair Oaks Avenue from R-4/PD to C-2/PD.

Councilmember Swegles offered a friendly amendment to study the feasibility of putting sidewalks on Weddell. The amendment was accepted.

At the request of the Mayor, the Deputy City Clerk read the title of the ordinance.

ORDINANCE NO. 2763-04 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SUNNYVALE AMENDING THE PRECISE ZONING PLAN, ZONING DISTRICTS MAP, TO REZONE CERTAIN PROPERTY LOCATED AT 1156 AND 1160 NORTH FAIR OAKS AVENUE FROM R-4/PD (HIGH DENSITY RESIDENTIAL/PLANNED DEVELOPMENT) TO C-2/PD (HIGHWAY BUSINESS/PLANNED DEVELOPMENT) ZONING DISTRICT

The motion carried unanimously.

RTC 04-270

Business License Process Improvement Project

Therese Balbo, Finance Manager, assisted by Mary Bradley, Director of Finance, presented the staff report.

Staff responded to questions from the Council regarding fees included in the budget, taxation on businesses outside of Sunnyvale, response from the business members, and if the tax and costs are rising with inflation.

Mayor Howe opened the Public Hearing at 10:34 p.m.

Arley Marley, Chair of the Board of the Sunnyvale Chamber of Commerce, expressed concerns related to advance notification to businesses on increased fees and targeting businesses for cost recovery.

Mayor Howe closed the Public Hearing at 10:47 p.m.

Councilmember Miller moved, Councilmember Fowler seconded to approve Alternative 3, to increase the processing fees for new businesses to $54 and for renewals to $23 to recover full cost of services and go to a two-year renewal cycle for business licenses. This would result in an $11.00 savings for licensees. The motion carried with Vice Mayor Chu and Councilmember Lee dissenting.

RTC 04-286

Legislative Position on Land Use and Housing Element Certification

Trudi Ryan, Planning Officer, presented the staff report.

Mayor Howe opened the Public Hearing at 11:00 p.m. and, there being no public comments, closed the Public Hearing.

Councilmember Miller moved, and Vice Mayor Chu seconded, to approve Alternative 1, to take no action at this time. The motion carried unanimously.

rtc 04-288

Committee Report of the Downtown Roundtable on Concerns Related to Proposed Construction Activity to Redevelop the Town Center Mall

Councilmember Hamilton presented the staff report.

Mayor Howe opened the Public Hearing at 11:10 p.m.

Harriet Rowe, a member of the public, requested clarification if this was only for construction. Councilmember Hamilton responded that the comments on the Plan will be discussed at next week’s meeting.

Mayor Howe closed the Public Hearing at 11:12 p.m.

Councilmember Fowler moved, and Councilmember Lee seconded, to accept the report as presented. The motion carried unanimously.

NON-AGENDA ITEMS & COMMENTS

COUNCIL

Councilmember Miller expressed concern over the Evidence Yard not being covered and requested that staff provide information to the Council regarding who is in charge.

Mayor Howe offered to sponsor, and Council Member Miller co-sponsored, a study issue for a proposed memorial in Washington Park or the Downtown Plaza to honor the military and Sunnyvale police officers who have died in the line of duty.

STAFF

There were no comments.

ADJOURNMENT

Mayor Howe declared the meeting adjourned at 11:18 p.m.

Respectfully submitted,

Susan Ramos, City Clerk