Santa Clara County
Update on development agreement negotiations with Stanford University; County has suspended negotiations due to problems with Stanford’s commitments to PAUSD
Pursuant to Board of Supervisors direction at the October 16, 2018 (Item No. 9) meeting at which the Board directed the Administration to enter into a negotiation process with Stanford University on a possible development agreement relating to its 2018 General Use Permit (GUP), the Administration provided its first monthly report on the status of the negotiations at the November 15, 2018 (Item No. 4) Housing, Land Use, Environment, and Transportation Committee (HLUET) meeting.
This sixth monthly report provides an update to the information that was provided to HLUET on November 15, 2018 (Item No. 4), January 17, 2019 (Item No. 4), February 21, 2019 (Item No. 4), March 15, 2019 (Item No. 6), and April 18, 2019 (Item No. 5). The Administration and County Counsel convened a negotiation preparatory meeting with the Board’s appointed Ad Hoc Committee on November 5, 2018. At that meeting, the Ad Hoc Committee considered a proposal by Stanford University with respect to a proposed process and schedule for the negotiations.
County staff and Counsel are finalizing the Stanford GUP Conditions of Approval (COAs) that, along with the environmental mitigation measures, provide for the regulatory baseline by which community benefits may be determined. The COAs will be available on May 23, 2019 along with the balance of the Planning Commission packet for the first Planning Commission hearing on the Stanford GUP scheduled for May 30, 2019. Meanwhile, Stanford University announced on March 11, 2019 that it was engaging the Palo Alto Unified School District (PAUSD) in direct talks to discuss community benefits that could be provided to PAUSD as part of a development agreement for the proposed GUP.
As part of an oral presentation at the April HLUET meeting, it was announced that the County Team had suspended the development agreement (DA) negotiations with Stanford University as a result of the third-party agreement reached between Stanford and the PAUSD. The County has encouraged Stanford to finalize the agreement with PAUSD and leaves open the option for future DA negotiations if the agreement between Stanford and PAUSD is separate and not contingent upon a development agreement between the County and Stanford.
The Administration has scheduled the first Planning Commission hearing for the Stanford GUP application on May 30, 2019 at 6pm in the Palo Alto City Council Chambers. There are two additional Planning Commission hearings scheduled in June. At this time, the Administration is forecasting that the Board of Supervisors would consider the Stanford General Use Permit in the fall of 2019.
Where: Santa Clara County Housing, Land Use, Environment, and Transportation Committee
When: May 16, 2019, 10:00AM
Link to item: http://sccgov.iqm2.com/Citizens/Detail_LegiFile.aspx?Frame=SplitView&MeetingID=11323&MediaPosition=&ID=96412&CssClass=
Link to agenda: http://sccgov.iqm2.com/Citizens/Detail_Meeting.aspx?ID=11323
City of San Jose
Update & direction on a potential downtown or citywide Parks Financing District
This report will provide the Neighborhood Services and Education Committee with an update on City Council Priority #5: Downtown and/or Citywide Operations Financing District. Updates in this report include, but are not limited to:
- Parks, Trails, Community Centers and Facilities: A 2016 report found that services and facilities provided by the Department of Parks, Recreation and Neighborhood Services (PRNS) had an annual economic impact of over $218 million for our residents, in addition to increased tax revenues of over $12 million from over $1 billion in enhanced property value. PRNS’s 1,500 employees manages 197 neighborhood parks, 9 regional parks, 284 playgrounds, 17 community gardens, 11 dog parks, 3 golf courses, Happy Holly Park & Zoo, Lake Cunningham Actions Sports Park, the upcoming Arcadia Ballpark, and a Family Camp at Yosemite.
- Programs and Services: Across hundreds of parks and community facilities, the Department delivers programs and services across dozens of lines of business that meaningfully contribute to the community’s safety, social connectivity and fabric, physical and emotional health and wellness, environment and beauty, and economic vitality. Programs and services include park stewardship and interpretation services, gang prevention and intervention services, community building programs, early childhood education, aquatics programming, etc.
- Budget Pressure and Service Innovation: The Department offers the community a diverse array of programs, at many locations throughout the City. More programs and locations, however, can mean more challenges. In the lead up to and aftermath of the Great Recession, the Department faced a number of challenges and capitalized on available opportunities. To address such major challenges, the Department has focused over the past decade on innovation in programs and service delivery models that make it more resilient, efficient, and responsive.
- Ballot Measure Exploration: The Department’s resilience, innovation, and efficiency, as well as its challenges, have been recognized in the City Council’s prioritization of the search for sustainable funding for the Department. The policy priority is to study and make recommendations to the City Council for a long term financing district for parks operations and maintenance, looking citywide and at downtown as options. The Department is exploring long term sustainable funding solutions to provide ongoing funding for operations, maintenance, capital repairs, and new capital projects. A sustainable funding solution will help fill the financial gap needed to not only address the infrastructure backlog, but also deliver the desired level of programs and services in the future.
Where: City of San José Neighborhood Services and Education Committee
When: Thursday, May 16, 2019, 9:00
Link to item: https://sanjose.legistar.com/LegislationDetail.aspx?ID=3920942&GUID=0471008A-3E73-48FB-867A-735399F56B6A
Link to agenda: http://sanjose.granicus.com/AgendaViewer.php?view_id=51&event_id=3498
County report on Reid-Hillview Airport closure
The City will receive a report from the County on the potential closure of Reid-Hillview Airport.
Reid-Hillview Airport is a general aviation airport purchased by Santa Clara County in 1961, and is located near the Evergreen district of San Jose on 180 acres. Reid-Hillview is used heavily for flight training.
On December 4, the County Board of Supervisors adopted a motion by a 3 to 2 vote to take 11 steps toward potential closure of Reid-Hillview.
The staff memo outlines 4 main considerations the City should look at regarding closing Reid-Hillview: 1. Emergency management, as the airport plays a role in emergency and disaster response; 2. The airport’s role as a reliever airport for Mineta Airport; 3. The exploration of alternative land uses for the airport, and 4. The possibility of airborne lead levels in the area being a concern.
Where: San Jose City Council
When: May 21, 2019, 1:30PM
Link to item: https://sanjose.legistar.com/LegislationDetail.aspx?ID=3939573&GUID=BA36F998-4F21-44B1-8305-8ABD4149B8EC
Link to agenda: https://sanjose.legistar.com/DepartmentDetail.aspx?ID=21676&GUID=ACCCCFF5-F14A-4E1A-8540-9065F45A8A90
Rejecting salary increase for the Mayor
The Mayor requests that council reject the Salary Setting Commission’s decision to award a salary increase for the Mayor and instead, reduce that increase to an annual rate that does not exceed the 3 percent increase approved for most City employees, for the duration of his term.
On May 1, 2019, the Rules and Open Government Committee discussed alternatives to the Mayor’s request and subsequently deferred the item to allow the City Attorney to consult outside tax counsel on the ability of an individual to waive a future cost of living increase. According to the City Attorney’s report, an elected official could waive all or a portion of the salary increase, including cost of living increases. The waiver must (1) be in writing; (2) be irrevocable; (3) be specific as to what amounts of salary are being waived, and for what time period; (4) provides that it is a full waiver of any future claim for the waived salary amounts; and (5) is signed by the elected official before the salary subject to the waiver is earned.
Where: Joint Meeting for the Rules and Open Government Committee and Committee of the Whole
When: Wednesday, May 15, 2019, 2pm
Link to item: https://sanjose.legistar.com/LegislationDetail.aspx?ID=3942036&GUID=E42752D5-C532-456B-AA53-830CD7161EFE&Options=&Search=
Link to agenda: https://sanjose.legistar.com/MeetingDetail.aspx?ID=684804&GUID=C6969576-4CFB-4898-87B1-29C96EF73F94&Options=info&Search=
Approving $4.5M funding from Google for City work on mega-campus
In FY 2019-2020, Google will reimburse the city $4,473,580 for services related to their Diridon Station Area development, specifically the “update of the Diridon Station Area Plan, review of the potential Google mixed-use development project, negotiation of the Development Agreement, and support staff and consultant activities.”
Last fiscal year, the City received $1.33 million from Google and also committed $415,000 of its own funds towards the project.
Where: San Jose City Council
When: May 21, 2019, 1:30PM
Link to item: https://sanjose.legistar.com/LegislationDetail.aspx?ID=3941436&GUID=183726B8-249A-429E-8626-9CED1F57A218
Link to agenda: https://sanjose.legistar.com/DepartmentDetail.aspx?ID=21676&GUID=ACCCCFF5-F14A-4E1A-8540-9065F45A8A90
Changing Markham Plaza Apartment, 100% ELI housing, to 50% ELI – 50% VLI
Markham Plaza I Apartments (formerly Tully Gardens) was built and occupied in 2002 and was one of the first developments dedicated to serving only extremely-low income households.
Council will vote on changing the 152 apartments from 100% ELI units to 76 ELI units (up to 30% of AMI) and 76 VLI units (at up to 35% of AMI). In addition, the City will authorize an increase to rents and income up to 60% AMI (low income) for new tenants in the event of foreclosure or expiration of subsidy contracts. This will happen if the City has determined that the increase is needed for feasibility of the development. According to the staff memo, these actions will enable the Developer, CORE Affordable Housing, to refinance the existing debt and rehabilitate the development to preserve the units
A one-person household living at Markham Plaza I Apartments earns less than $2,329 per month (before taxes) and pays $699 to rent an efficiency apartment. The most recent rent roll for Markham Plaza I Apartments indicates that 46 of the 152 tenant households are rent-burdened paying greater than 50% of their incomes in rent, with average incomes of $18,000 per year. Some tenants earn less than $10,000, the lowest annual income reported is $1,800 per year.
Where: San Jose City Council
When: May 21, 2019, 1:30PM
Link to item: https://sanjose.legistar.com/LegislationDetail.aspx?ID=3939569&GUID=656D51C0-925A-43DE-B690-A604971360E7
Link to agenda: https://sanjose.legistar.com/DepartmentDetail.aspx?ID=21676&GUID=ACCCCFF5-F14A-4E1A-8540-9065F45A8A90
Awarding $4.3M sewer contract to Bay Pacific Pipelines, no PLA
The City will award a $4.3M construction contract to Bay Pacific Pipelines, for the 7202 -Westmont Ave. and Harriet Ave. Sanitary Sewer Improvement Project.
The scope of work for the project includes the installation of approximately 4,800 linear feet of new 15-inch diameter and 1,500 linear feet of 18-inch diameter polyvinyl chloride (PVC) and high-density polyethylene (HDPE) pipes as well as the construction or restoration of 29 manholes.
According to the staff memo, “the PLA is not applicable to this project as this project was advertised prior to the execution of the PLA in early April 2019.”
Construction is scheduled to begin in August 2019 with substantial completion in May 2020.
Where: San Jose City Council
When: May 21, 2019, 1:30PM
Link to item: https://sanjose.legistar.com/LegislationDetail.aspx?ID=3939570&GUID=A334A93D-75A2-4DD2-946D-D9463CB65CD6
Link to agenda: https://sanjose.legistar.com/DepartmentDetail.aspx?ID=21676&GUID=ACCCCFF5-F14A-4E1A-8540-9065F45A8A90
City of Mountain View
Modifying Below-Market-Rate Housing Program requirements including in-lieu fees, tenant eligibility, and exemptions
In late 2017 City Council supported a two-step, or phased, process to modify the Below-Market-Rate (BMR) Affordable Housing Program and directed the first phase to be implemented immediately. Phase 1 was completed in February 2018 and went into effect April 2018. It included increasing the BMR affordable housing requirement for rental units from 10 percent to 15 percent; updating the BMR Rental In-Lieu Fee with a per-square-foot fee equivalent to the 15 percent requirement, and adding language to the BMR Program to allow developers to request an alternative mitigation.
After the completion of Phase 1 modifications, staff retained Economic and Planning Systems (EPS) to facilitate the development of Phase 2 modifications based on Council direction. Phase 2 involves an overall update of the BMR Program, such as increasing the BMR ownership requirement to 15 percent, incorporating Council’s direction regarding the Moderate Income category, and modifying the in-lieu fee methodology. In this report, Staff seeks input and direction from the City Council regarding Phase 2 modifications:
• Question No. 1: Does Council support a higher BMR requirement for rowhouse/townhouse projects, up to 25 percent?
• Question No. 2: Does Council support the recommended BMR on-site requirements for rental and for-sale projects, including BMR units in perpetuity?
• Question No. 3: Does Council support the recommendations regarding alternative mitigations, including in-lieu fees?
• Question No. 4: Does Council seek to facilitate the delivery of BMR units on-site by setting the fee level equivalent to the value of on-site units (calculated at $96 per net habitable square foot for rental projects and $54.50 per net habitable square foot for for-sale projects)?
• Question No. 5: Does Council agree with the exemption provision for Phase 2 modifications noted above?
• Question No. 6: Does Council support the two-tiered approach outlined above for ongoing tenant eligibility?
• Question No. 7: Does Council have input on other components of Phase 2 modifications?
Input and direction from Council will be used to develop final BMR Phase 2 modifications and Ordinance amendments for public hearing. Next steps for Phase 2 modifications are as follows:
• May 30, 2019—EPC Public Hearing
• June 18, 2019—Council First Reading
• June 25, 2019—Council Second Reading
• August 24, 2019—Effective Date (if Council seeks a 60-day period after second reading
Where: Mountain View City Council
When: Tuesday, May 14, 2019, 6:30pm
Link to item: http://mountainview.legistar.com/gateway.aspx?M=F&ID=9fce57d3-a705-4152-ba5b-d60143b14b76.pdf
Link to agenda: https://mountainview.legistar.com/View.ashx?M=A&ID=655811&GUID=5FCBB02B-B5FF-48D4-B31A-F504AC3A06B1
Explore contracting options for City waste management after 2021
Recology Mountain View provides garbage and recycling collection services to all residential and commercial customers. After collection, Recology hauls Mountain View garbage and recycling to the Sunnyvale Materials Recovery and Transfer (SMaRT®) Station owned by Sunnyvale and operated by Bay Counties. Under a Memorandum of Understanding (MOU) between the cities of Mountain View, Palo Alto, and Sunnyvale, the City pays Sunnyvale a fee for recycling and garbage processing services; these agreements expire in 2021.
Adoption of the recommended resolution signifies Mountain View’s interest in a future MOU and designates City staff time to take part in discussions to define a collective vision of the facilities and services the SMaRT Station should provide in the future. A report will be provided to Council in early fall 2019 analyzing contracting options in detail, including maintaining the status quo, issuing an RFP for waste management services, or a hybrid of the two.
Where: Mountain View City Council
When: Tuesday, May 14, 2019, 6:30pm
Link to item: http://mountainview.legistar.com/gateway.aspx?M=F&ID=139f56b8-a926-426b-bd40-03cf7dd5899e.pdf
Link to agenda: https://mountainview.legistar.com/View.ashx?M=A&ID=655811&GUID=5FCBB02B-B5FF-48D4-B31A-F504AC3A06B1
Increase inbound trip cap for North Bayshore gateways to allow more development; authorize $158k contract with Fehr and Peers for monitoring
The City started monitoring North Bayshore gateways in February 2014 as part of the North Bayshore Precise Plan. The City adopted an updated North Bayshore Precise Plan in December 2017. Per this plan, the District Vehicle Trip Cap is established as the maximum allowed number of trips at the three North Bayshore gateways during the a.m. and p.m. peak hour periods: 8,290 trips (a.m.) and 8,030 trips (p.m.). If monitoring shows that the trip cap is reached at any of the three gateway locations for two consecutive data reporting periods, the City will not grant any new building permits for net new square footage in the North Bayshore Precise Plan area until the number of peak-hour vehicle trips is reduced below the trip cap, with some exceptions. However, the policy does allow new development to propose strategies that could result in compliance with the trip cap. The City Council shall review the annual monitoring report and may adjust the trip cap to reflect any new capacity at the gateways.
The Precise Plan expects a substantial amount of new housing will be built, which will result in a significant amount of “trip internalization” in North Bayshore and, therefore, help reduce the number of inbound trips to the district. Since it will take some time before new residential units are built in North Bayshore, staff recommends that future gateway trip cap monitoring use the higher 2014 inbound trip cap instead of the 2017 trip cap number. Then, as new residential units are built and more outbound trips occur, the City can adjust the trip cap periodically based on the number of inbound and outbound trips and its effect on gateway capacity.
The trip cap report notes that all of the North Bayshore gateways are in compliance with the North Bayshore Precise Plan trip cap, and authorization for Fiscal Year 2019-20 monitoring is requested. Staff recommends Council authorize the City Manager to enter into a contract with Fehr and Peers for an amount not to exceed $158,500 for North Bayshore District Transportation Monitoring for Fiscal Year 2019-20.
Where: Mountain View City Council
When: Tuesday, May 14, 2019, 6:30pm
Link to item: http://mountainview.legistar.com/gateway.aspx?M=F&ID=7ee2484a-bd7b-49ff-b00a-ffa8ab37fb11.pdf
Link to agenda: https://mountainview.legistar.com/View.ashx?M=A&ID=655811&GUID=5FCBB02B-B5FF-48D4-B31A-F504AC3A06B1
San Jose-Evergreen Community College District
Extending ENA with Republic Urban Properties to 6/30/19
Staff recommend that the Board approve the extension of the Exclusive Negotiating Agreement between the District and Republic Urban Properties, LLC. from April 30, 2019, to June 30, 2019.
Where: San Jose-Evergreen Community College District
When: Tuesday, May 14, 2019, 5pm
Link to item: http://go.boarddocs.com/ca/sjeccd/Board.nsf/goto?open&id=BBYRXX703179
Link to agenda: http://go.boarddocs.com/ca/sjeccd/Board.nsf/goto?open&id=BB9N4B5E13D8
East Side Union High School District
Authorizing feasibility study & polling for staff housing project with $40M bond for March 2020 ballot
Staff recommend that the Board authorize the Administration to complete a feasibility analysis and study for a staff housing project at 830 N. Capitol Avenue, San Jose, CA 95133, and that DS&C complete polling on a potential general obligation bond for the March 2020 Presidential Primary. Results of both the feasibility study and polling will be brought back to the Board in September/October of 2019.
The Administration’s plan aims to meet the following five key objectives: 1) District shall retain ownership of its land (i.e., the land is not sold); 2) The General Fund is protected; 3) Housing is developed for the benefit of ESUHSD employees; 4) Simplify the funding model; and, 4) The District does not become a property management entity.
DS&C is the consultant for developing a conceptual financing framework for the development of affordable staff housing on a portion of the Education Center property that meets each of the five key objectives.
The financial model recommended to fund the teacher-staff housing involves placing on the March, Presidential Election ballot, teacher-staff housing general obligation bonds in the amount of approximately $40,000,000. This type of financing protects the general fund from debt service, but actually provides net revenue to the general fund to supplement the general fund, support additional educational projects, and/or provide for future down payment support for district employees for home ownership.
Where: East Side Union High School District
When: Thursday, May 16, 2019, 4:30pm
Link to item: http://go.boarddocs.com/ca/esuhsd/Board.nsf/goto?open&id=BBWMHK257B8C
Link to agenda: http://go.boarddocs.com/ca/esuhsd/Board.nsf/goto?open&id=B35BK4276669
Alum Rock Union Elementary School District
Approving layoff notices for 31 FTE
Staff recommend the Board approve layoff notices for 31.1 FTE positions effective at end of 2018-19 school year.
The positions are the following:
- Assistant principals: 3
- Chief Special Services Officer: 1
- Special Education Coordinator: 1
- Instructional Coaches (Teachers): 25.1
- Teacher, Physical Education: 1
Where: Alum Rock Union Elementary School District
When: Thursday, May 9, 2019, 5:30pm
Link to agenda: https://www.arusd.org/cms/lib/CA01001158/Centricity/Domain/11/May.9.2019.Regular.Meeting.Board.Book.pdf
Franklin- McKinley School District
Issuing a notice of concern to Rocketship Education for teacher credentialing violations
Staff recommend that the Board approve the issuance of Notice of Concern to Rocketship Education regarding audit findings for Fiscal Year 2017-2018 which found a credentialing violation for teachers at Rocketship Spark—a school authorized by the District.
Rocketship Education’s Fiscal Year 2017-2018 audit findings, performed by auditors Clifton Larson Allen, found that “[f]our teachers who provided classroom instruction were not credentialed for the entire period they were providing instruction,” and identified the following cause: “[i]nternal controls for tracking teacher credentials were insufficient to ensure compliance.”
This credentialing requirement led to the disallowance of instructional time associated with the non-credentialed teachers. As a result of the disallowance of instructional time, Rocketship Spark failed to meet its instructional minutes for the 2017-2018 school year. This violation led to a penalty of approximately $402,090 (including $238,295 for Rocketship Spark) that will be withheld from the Charter School’s apportionment in a future school year.
Where: Franklin-McKinley School District
When: Tuesday, May 14, 2019, 8pm
Link to item: http://go.boarddocs.com/ca/fmsd/Board.nsf/goto?open&id=BBYVZQ83332D
Link to agenda: http://go.boarddocs.com/ca/fmsd/Board.nsf/goto?open&id=BB2NCM56D1C8
VTA
Community Meeting for Joint Development at Blossom Hill Station
VTA will be hosting a community outreach meeting to gather feedback and input regarding the possible joint development near Blossom Hill Light Rail Station. The Blossom Hill Station is a 7.59-acre property is located along Blossom Hill Road at Canoas Creek and serves as a Park & Ride lot for Light Rail and Bus passengers.
The parking lot has the potential for mixed use/mixed income transit residential and commercial development. Transit-oriented developments (TOD) enhance VTA’s transit operations through increases in ridership and infrastructure improvements. TOD allows people to live and work near public transportation which helps clear the air, ease traffic and get you moving more efficiently and reliably.
VTA’s Joint Development Program works with municipal and private partners to encourage the development of housing, retail, and employment centers in places that will help increase transit ridership and contribute to a vibrant community. Among VTA’s Joint Development requirements is that 20% of housing on a particular site must be affordable.
The VTA Board of Directors selected a developer partner for the Blossom Hill Station, Green Republic Blossom Hill LLC, at the March 2019 board meeting. Green Republic Blossom Hill is a joint venture between Republic Urban, Swenson, and EAH Housing. VTA staff will work with the developer to define the project and seek necessary approvals from the City of San Jose.
Where: VTA
When: May 15, 2019,7:00 p.m. Del Robles Elementary School, Multi-Purpose Room, 5345 Avenida Almendros San Jose, 95123
Link to agenda: http://www.vta.org/real-estate/joint-development-portfolio/blossom-hill-station-joint-development
Direction on ENA with Republic Metropolitan for Santa Clara Caltrain Station Joint Development
The committee will consider providing direction to staff on whether to continue Exclusive Negotiations with Republic Metropolitan, LLC, for a Transit-Oriented Development (TOD) project on VTA-owned land at the Santa Clara Caltrain Station Park and Ride Lot, based on either: (a) the site plan and development program as proposed by Republic Metropolitan; or (b) the site plan and development program for a denser, phased mixed-use development identified by staff.
Where: VTA Administration and Finance Committee
When: Thursday, May 16, 2019 12:00 PM VTA Conference Room B-106 3331 North First Street San Jose, CA
Link to agenda: http://vtaorgcontent.s3-us-west-1.amazonaws.com/Site_Content/af_051619_packet.pdf
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