PRESENT:

Mayor Otto Lee

Vice Mayor Anthony Spitaleri

Councilmember John Howe

Councilmember Dean J. Chu

Councilmember Ron Swegles

Councilmember Melinda Hamilton

Councilmember Christopher Moylan

STAFF PRESENT:

Amy Chan, City Manager

Robert Walker, Assistant City Manager

Kathryn Berry, Senior Assistant City Attorney/Acting City Attorney

Robert Paternoster, Director of Community Development

Mary Bradley, Director of Finance

Annabel Yurutucu, Housing Officer

Curtis Black, Superintendent of Parks

Michael Chan, City Property Administrator

Katherine Bradshaw Chappelear, City Clerk

1. A.

Approval of Draft Minutes of Regular Meeting of December 12, 2006

1. B.

Approval of Information/Action Items - Council Directions to Staff

1. C.

RTC 06-408

List of Claims and Bills Approved for Payment by the City Manager - List No. 329

Staff Recommendation: Council reviews the attached list of bills.

1. D.

RTC 06-413

FY2005/2006 Budgetary Year-End Financial Report and Comprehensive Annual Financial Report

Mary Bradley, Director of Finance, was present to answer questions from Council. 

Councilmember Hamilton asked for an explanation as to why the City’s actual expenditures for housing projects was less than one-half of the budgeted amount.  This is of concern due to the need for affordable housing in the City.  Director Bradley stated most projects last longer than one year and subsequently many projects are carried forward.

Mayor Lee opened and closed Public Comments.  No comments were made.

MOTION: Councilmember Hamilton moved and Councilmember Chu seconded to approve staff recommendation: Council receives and files the budgetary Year-End Financial Report, the audited Comprehensive Annual Financial Report, and the Management Letter issued by the independent auditors.

Councilmember Chu stated staff anticipated the City would use two-million dollars of its budget reserves this year; however, the City Manager and Finance staff were able to limit the amount needed to less than $500,000.  Councilmember Chu acknowledged the efforts and hard work of the City Manager and the Finance Department to achieve this reduction.

VOTE: 7-0

1. E.

RTC 06-401

Approval of Lease of Space at 420 South Pastoria Avenue for Department of Employment Development from the State of California

Staff Recommendation: Council approves the lease of office space from the State of California at 420 S. Pastoria Avenue, and authorizes the City Manager or her designee to execute the lease agreements.

1. F.

RESOLUTION

RTC 06-411

Adoption of Public Safety Officers Association (PSOA) Memorandum of Understanding 2006-2010 and Amendment to Salary Resolution

Staff Recommendation: Council adopts the Memorandum of Understanding with the Public Safety Officers Association and adopts all related Salary Resolution amendments as proposed.

1. G.

RESOLUTION

RTC 06-414

Amendments to the Classification Plan and Salary Resolution to Include the Newly-Established Classification of Program Coordinator

Staff Recommendation: Council adopts a resolution to amend the City’s Classification Plan and Salary Resolution to include the newly-established classification of Program Coordinator.

1. H.

RTC 06-405

Award of Contracts for Software and Hardware to Upgrade the Public Safety Computer-Aided Dispatch and Records Management System (F0611-45)

Staff Recommendation: Council awards a contract, in substantially the same form as the attached draft purchase orders and in a total amount not to exceed $260,154, to Tiburon, Inc., for IBM hardware and an upgrade to Version 7.5 of the Department of Public Safety CAD/RMS Systems.

1. I.

RTC 06-403

Award of Request for Proposals No. F0608-16 for Banking Services

Councilmember Howe disclosed a financial interest in one of the bidders for this item and recused himself due to a potential conflict of interest.  Councilmember Howe left the dais.

Councilmember Chu disclosed that he worked for one of the bidders (Union Bank of Caliifornia) approximately fifteen years ago.  He stated due to the length of time that has passed since working for this bank, and that he has no financial connections to the bank, he will vote on this item.

Councilmember Swegles disclosed a financial interest in Union Bank and recused himself from this item due to a potential conflict of interest.  Councilmember Swegles left the dais.

Mayor Lee opened and closed Public Comments.  No comments were made.

MOTION: Councilmember Hamilton moved and Vice Mayor Spitaleri seconded to approve staff recommendation: Council awards a five-year contract for banking services to Union Bank of California in substantially the same format as the attached draft, and delegates authority to the City Manager to exercise an option to extend the contract for an additional two-year period if it is in the City's best interest to do so.

VOTE: 5-0 (Councilmembers Swegles and Howe recused)

1. J.

RTC 06-390

Approval of Final Map (Tract No. 9847, Crossman Place) - a Thirty Unit Condominium Project on the West Side of North Fair Oaks Avenue by Crossman Place Limited Partnership

Staff Recommendation: Council approves the final map for Tract No. 9847 and directs staff to forward the final map for recordation upon developer's execution of the subdivision agreement, submittal of improvement securities, payment of development fees and other documents deemed necessary by the Director of Public Works.

1. K.

RTC 06-382

Adoption of a Work Plan for Update of the Safety and Seismic Safety Sub-Element of the Public Safety Element ( Study Issue)

Staff Recommendation:  Council adopts the Work Plan for Update of the Safety and Seismic Safety Sub-Element as proposed.

2.

RTC 06-407

2006-0757 - Fukui Construction [Applicant] Bautista Justin S. Trustee & Et Al [Owner]: Application for related proposals on an 21,431 square foot site located on 102 Cumulus Avenue (near Sunnyvale-Saratoga Road) in an R-0 (Low Density Residential) Zoning District.(Negative Declaration) Rezone from R-0 (Low Density Residential) Zoning District to R-0/PD (Low Density Residential/Planned Development) Zoning District, Special Development Permit to allow three single family homes,                   Parcel Map to subdivide two lots into three lots.(Continued from November 28, 2006)

Robert Paternoster, Director of Community Development, stated the applicant requested this item be continued to the Council Meeting of February 27, 2007.

Public Hearing opened 7:14 p.m.

Public Hearing closed 7:15 p.m.

MOTION: Councilmember Swegles moved and Councilmember Howe seconded to approve staff recommendation: Council continues this item to the Council Meeting of Feb. 27, 2007.

VOTE: 7-0

3.

RTC 06-412

Study Issue: Updating the Precise Plan for El Camino Real

Robert Paternoster, Director of Community Development, stated the Chamber of Commerce requested that this item be continued so that they may have input.  Staff is recommending that this item be continued to the Council Meeting of January 23, 2007.

Public Hearing opened 7:17 p.m.

Steve Pavlina stated his concerns over the possible loss of private property along El Camino Real.  He would like to have a clearer explanation of some items within the staff report.

Councilmember Howe stated that during the recent study session on this item, there was not any discussion to take private property (eminent domain) on El Camino Real.  He stated the discussion was about how to deal separately with each property.

Mr. Pavlina stated by the time a Zone Overlay is approved and translated out into the field, different Councilmembers and Planning Commissioners with varying visions will be in place.  He wished to express his concerns to City Council as he has seen major development of El Camino Real over the years.

Arthur Schwartz stated he will not be able to attend the January 23, 2007 Council Meeting; therefore, he wished to offer his comments.  He stated the Precise Plan should include a clear access for bicyclist on El Camino (with a good bicycle lane); the removal of parking along El Camino, and the sidewalks should be clear of any obstructions (including bus shelters, which should be moved off the sidewalk).

Public Hearing closed 7:22 p.m.

MOTION: Councilmember Howe moved and Councilmember Chu seconded to approve the staff recommendation: Council continues this item to the Council Meeting of January 23, 2007.

VOTE: 7-0

4.

RTC 06-404

Consider Priority Funding Needs for Human Services for CDBG funding during FY 2007-08 and 2008-09.

Annabel Yurutucu, Housing Officer, presented the staff report.

Councilmember Hamilton verified that after school programs for “at risk youth” were discussed by the Housing and Human Services Commission during consultations with internal staff from local agencies and the Sunnyvale School District when the consolidated plan was being developed.  She verified that a transportation service for seniors is currently not a service being offered in Sunnyvale.

Councilmember Chu stated the Santa Clara Valley Transportation Authority (VTA) has a Para-transit service throughout the county, which is outsourced to an organization named “Outreach”.  Councilmember Chu stated those interested in receiving services through “Outreach” should apply through VTA to understand the program.

Councilmember Howe asked how the City is participating in mental health services.  Officer Yurutucu stated there are some agencies that the City currently supports that provide mental health services, but the concern of the commission was for additional support in this area.  Mental health issues were mentioned indirectly in the Consolidated Plan and staff plans to take inventory of the agencies now being used and potentially have one of those agencies apply for CDBG funding.  Officer Yurutucu stated the application would need to stand on its own merit.

Amy Chan, City Manager, stated the City works with several agencies to provide in-kind mental health services to students and their families at the Columbia Neighborhood Center. 

Public Hearing opened 7:32 p.m.

Public Hearing closed 7:33 p.m.

MOTION: Councilmember Swegles moved and Councilmember Howe seconded to approve staff recommendation: Alternative No. 1: Council confirms the priority human service needs presented in the Consolidated Plan adopted on May 10, 2005, and identifies the following gaps in existing services to low-income residents of Sunnyvale: 

1. After school programs for “at-risk youth”;
2. Transportation services for seniors, and
3. Mental health services for households.

VOTE: 7-0

5.

RTC 06-369

Revision of Cherry Chase and Vargas Schools Sports Fields Master Plans to Accommodate New Classrooms and Related Facilities

Curtis Black, Superintendent of Parks, presented the staff report.

Councilmember Swegles verified the School District attempted to provide extensive outreach by working through the Parent/Teacher Association (PTA) and that was an internal project, rather than a project of their lessees.  Councilmember Swegles confirmed the School District received support for the project and did not receive any concerns about loss of park space.

Councilmember Chu stated concern that this issue is coming forward now since the building has already been constructed at Cherry Chase.

Councilmember Moylan asked why this issue is coming before Council, when it has already been built.  Superintendent Black stated that staff spoke with school board staff more than a year ago, but did not keep track that work at Cherry Chase had been initiated.  He stated staff should have had a Master Plan Report to Council last April or May (prior to start of construction).  Construction was completed quickly while staff was working with the School District on Vargas Elementary School.  The Cherry Chase School building is complete (with the exception of the landscaping) and children are using the classrooms.

Councilmember Moylan asked for an explanation as to the difference between this situation and Challenger School, both in the same district.  He stated Council halted construction on the Challenger School project when Council did not approve a change; however, it appears that Council has no jurisdiction over Cherry Chase Elementary School.  Superintendent Black stated the School District initiated contacts with staff in advance of the Cherry Chase project, but unfortunately staff lost sight of the project and it subsequently did not come before Council prior to completion.  However, with the Challenger School project, staff was not contacted in advance by the School District and therefore; staff was not able to bring the project to Council before the start of construction. 

Councilmember Howe asked Acting City Attorney, Kathryn Berry, to provide Council with a brief written decision on whether the Council has to approve changes such as these before they are initiated by the School District, and to also include the Council’s rights around this issue.  He requested this report be returned to the Council within one to two weeks.

Public Hearing opened 7:44 p.m.

Public Hearing closed 7:45 p.m.

MOTION: Vice Mayor Spitaleri moved and Councilmember Howe seconded to approve staff recommendation: Alternative Nos. 1 and 2:

1)     Council approves the Proposed Master Plan for Cherry Chase Elementary School sports field to include the new classrooms per Attachment A; and

2)     Approves the Proposed Master Plan for Vargas Elementary School sports field to include the new classrooms and facilities per Attachment B.

VOTE: 7-0

6.

RTC 06-409

Real Estate Options Regarding City-owned Property on Charles and Mathilda Avenues – Downtown Block 15

Michael Chan, City Property Administrator, presented the staff report.

Public Hearing opened 7:45 p.m.

Arthur Schwartz asked Council to consider using these parcels (or any other properties) for moderate cost housing and to utilize the services of Habitat for Humanity. 

Public Hearing closed 7:47 p.m.

MOTION: Councilmember Howe moved and Councilmember Swegles seconded to approve staff recommendations: Alternative Nos. 4 and 5: Council directs staff to hold onto all City-owned parcels until the Town Center Mall redevelops, then assemble and sell all the properties together, and rescinds the Council Motion for RTC 06-200

with modification to Alternative No. 4: directing staff to come back to Council one year after the mall is occupied and bring this item back to Council for reconsideration of how to handle these properties. Council to consider at that time whether to sell them all together, separately or not at all.

Councilmember Hamilton offered a friendly amendment that an affordable housing option be considered at the time this item comes back to Council.  Friendly amendment accepted.

VOTE: 7-0

COUNCIL:

Councilmember Swegles and Mayor Lee wished Happy Holidays and a Joyous New Year to all.

STAFF:

City Manager Chan announced that on January 6, 2007 a workshop entitled, Everything about Green, will be held from 9 a.m. to noon at the Community Center, exact room to be determined.  Information will be on KSUN and the City’s website, through neighborhood associations and additional sources.

• Tentative Council Meeting Agenda Calendar

• Draft Minutes of the Bicycle and Pedestrian Advisory Committee Meeting of November 16, 2006

• RTC 06-410 Opportunity to Appeal Decisions of the Planning Commission of December 11, 2006 and the Administrative Hearing of December 13, 2006

• RTC 06-402 Board and Commission Resignation – Information Only

• RTC 06-387 Information Only: Advisory Committee on Accessibility (Status Report)

• RTC 06-398 Information Only: Update on Senior Lunch Program

• Study Session Summary - National League of Cities Congress Information and Fourth Quarter Intergovernmental Relations Update – November 28, 2006

• RTC 06-406 SMaRT Station Materials Recovery Facility Equipment Replacement Project – Information Only