August 24, 2004

 

SUBJECT: Funding for Tree Lights on Murphy Avenue – Information Report

 

REPORT IN BRIEF

 

In accordance with direction from City Council on July 27, 2004, staff is currently working with downtown businesses and property owners to identify funding to pay the costs of power and maintenance of the tree lights on Murphy Avenue. This progress report meets Council’s request for a report by August 24, 2004.

 

BACKGROUND

 

At the Council Meeting of July 27, the City Council directed staff to work with the businesses and property owners of the 100 block of South Murphy Avenue to develop a way to keep the tree lights lit on Murphy. The City no longer has funds budgeted for this purpose.  The City has agreed to keep the lights on while staff works with the businesses and property owners to develop a plan and identify funding to pay for the power and maintenance of the lights.

 

EXISTING POLICY

 

Community Design Sub-Element

Policy 2.5A.3 Support measures which enhance the identity of special districts and residential neighborhoods to create more variety in the physical environment.

Policy 2.5A.3e. Encourage new landmarks and features to distinguish districts and neighborhoods.

Policy 2.5A.3f. Strengthen the downtown as the visual as well as functional focus of Sunnyvale.

 

Socio-Economic Sub-Element

Policy 5.1C.3 Maintain an attractive business community.

 

DISCUSSION

 

Over past few years, the City of Sunnyvale has maintained lights on trees on Murphy Avenue. This has been important because they contribute to an ambiance along the street that makes it inviting to the general public and therefore, is a benefit to the businesses and to the community. As part of the budget discussions for FY 2003-04, the City Council decided they could no longer continue paying for the lights given the budget difficulties of the City beyond June 30, 2004. The FY 2003-04 budget transmittal letter recommended future replacement beyond this time be funded by the businesses in the downtown area through a Business Improvement District. The City is continuing to keep the lights on for a few weeks to allow the downtown property owners and businesses to come up with a plan to pay for the power and the maintenance of the lights. 

 

Representatives of the Sunnyvale Downtown Association, Sunnyvale Chamber of Commerce and Murphy Avenue property owners met on August 6 and discussed options to pay for the power and maintenance of the lights in the trees on Murphy Avenue. The group felt that the lights were important to create the atmosphere that we want to have on Murphy.

 

The cost to maintain the lights is approximately $2,000 per year for the next two years for a total of $4,000. The consensus of the group was that the property owners would be contacted and asked to pay for the two-year cost of $4,000. A group of property owners are taking the lead and contacting other property owners along Murphy Avenue about payment to support the lighting on Murphy Avenue. They are aware that it will be the responsibility of the property owners to provide the funding for power and maintenance of the lights. The funds will be provided to the City of Sunnyvale and special account established for the purpose of paying power and maintenance only. This action is scheduled for September 14, depending on the success of the property owners to raise the necessary funding. If the property and business owners are not able to raise the funding, the lights will be turned off.

 

FISCAL IMPACT

There is no fiscal impact to this report.

 

PUBLIC CONTACT

Public contact was made through posting of the Council agenda in public places, on the City’s web page, and the publication of the general business/public hearing items in the San Jose Mercury News.

 

RECOMMENDATION

There is no action required at this time.

 

Prepared by:

Karen L. Davis

Economic Development Manager

 

 

Reviewed by:

Robert Paternoster

Director, Community Development

 

Approved by:

Amy Chan

City Manager