MINUTES OF THE CITY COUNCIL

MINUTES OF THE CITY COUNCIL

SAN JOSÉ, CALIFORNIA TUESDAY, NOVEMBER 7, 2000

The Council of the City of San José was scheduled to convene in Closed Session at 9:30 a. m. in Room 600 at City Hall. The items scheduled for consideration pertained to the Redevelopment Agency; therefore, the City Council convened in Regular Session at 1:35 p.m. in Council Chambers, City Hall.

Present: Council Members: Chavez, Dando, Diquisto, Fiscalini, LeZotte, Powers, Shirakawa Jr., Woody; Gonzales

Absent: Council Members: Diaz (excused)

Vacant: District 4

INVOCATION

Associate Pastor Dale Weatherspoon, Almaden Hills United Methodist Church, delivered the invocation. (District 10)

PLEDGE OF ALLEGIANCE

Mayor Gonzales led in the Pledge of Allegiance.

ORDERS OF THE DAY

Upon motion by Vice Mayor Fiscalini, seconded by Council Member Powers and unanimously carried, the Orders of the Day and the Amended Agenda were approved. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

CEREMONIAL ITEMS

5a Presentation of plaque to William Farr for 2 years 5 months service on the Library Commission. (Mayor)

Documents Filed: None.

Discussion/Action: The plaque for William Farr will be mailed, as the Commissioner was unable to attend the Council Meeting.

5b Presentation of a commendation to Thom Chivers, Gwendolyn Lum, and Diane Johnson from the Code Enforcement Division for their excellent planning and organization of

Documents Filed: None.

Discussion/Action: Council Member Powers acknowledged the commitment and hard work of the Code Enforcement Division employees, and Mayor Gonzales presented the commendation to the honorees.

CONSENT CALENDAR

Upon motion by Vice Mayor Fiscalini, seconded by Council Member Powers and unanimously carried, the Consent Calendar was approved and the below listed actions were taken as indicated. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

Minutes for Approval

6a(1) Regular Meeting of September 26, 2000

Documents Filed: Minutes of the regular meeting of September 26, 2000.

Discussion/Action: The Minutes were approved. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

Ordinances for Final Adoption

6b(1) ORD. NO. 26219 – Amends Chapter 9.10 of Title 9 of the San José Municipal Code to establish the Construction and Demolition Diversion Deposit Program.

Documents Filed: Proof of publication of the title of Ordinance No. 26219 executed on October 31, 2000, submitted by the City Clerk.

Discussion/Action: William J. Garbett spoke against the proposed action. Ordinance No. 26219 was adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

6b(2) ORD. NO. 26221 – Rezones certain real property situated on both sides of Santa Teresa Boulevard, southerly of Tulare Hill and northerly of Bailey Avenue to A(PD) Planned Development Zoning District, to allow approximately 6.6 million square feet of Campus Industrial uses on approximately 689 gross acres.

PDCSH 99-06-053

Documents Filed: Proof of publication of the title of Ordinance No. 26221 executed on October 31, 2000, submitted by the City Clerk.

Discussion/Action: William J. Garbett spoke against the proposed action. Ordinance No. 26221 was adopted. Vote: 8-0-1-1-1. Absent: Diaz. Disqualified: Dando. Vacant:
District 4.

6b(3) ORD. NO. 26222 – Approves the development agreement between the City of San José and Coyote Valley Research Park LLC relative to the development of property in North Coyote Valley.

PDCSH 99-06-053

Documents Filed: Proof of publication of the title of Ordinance No. 26222 executed on October 31, 2000, submitted by the City Clerk.

Discussion/Action: William J. Garbett spoke against the proposed action. Ordinance No. 26222 was adopted. Vote: 8-0-1-1-1. Absent: Diaz. Disqualified: Dando. Vacant: District 4.

6b(4) ORD. NO. 26223 – Provides for the establishment of the North Coyote Valley Fire and Flood Control Incentive Zone to allow the deferral of certain fees and taxes imposed for construction within the North Coyote Valley Fire and Flood Control Incentive Zone.

Documents Filed: Proof of publication of the title of Ordinance No. 26223 executed on October 31, 2000, submitted by the City Clerk.

Discussion/Action: William J. Garbett spoke against the proposed action. Ordinance No. 26223 was adopted. Vote: 8-0-1-1-1. Absent: Diaz. Disqualified: Dando. Vacant: District 4.

Public Hearings Set by Council

6c(1) Adoption of a resolution initiating proceedings and setting a date for Council consideration of the reorganization of territory designated as Buena Vista No. 1 which involves the annexation to the City of San José of 38.0 acres of land, bounded by West San Carlos Avenue, Scott Street, Chiechi Avenue, Meridian Avenue, and both sides of Buena Vista Avenue, and the detachment of the same from the Sunol Sanitary District, Burbank Sanitary District, County Lighting District, and Central Fire District. CEQA: Resolution No. 65459.

(Planning, Building and Code Enforcement)

[Deferred from 8/3/99 – Item 6c(1) et al., and 10/31/00 – Item 6c(1)]

Documents Filed: None.

Discussion/Action: This item was deferred to November 14, 2000.

Plans and Specifications

6d(1) TRACT NO. 9257 - North side of Fleming Avenue, opposite of Mahoney Avenue - Santa Clara Development (Developer) - 6 single family detached residential units. Approval of a parkland agreement and adoption of resolutions approving the plans, final map, and contract for Tract No. 9257. CEQA: ND. District 5. (Public Works)

Documents Filed: Memorandum from Deputy Director of Public Works, Rajeev Batra, dated October 31, 2000, recommending Council approve the parkland agreement and adopt said resolutions for Tract No. 9257.

Discussion/Action: The parkland agreement with Santa Clara Development was approved and execution of the agreement authorized; Resolution No. 69990, entitled: “A Resolution of the Council of the City of San José Fixing Official Curb Grades and Position of Curbs, and Adopting Plans For Tract No. 9257”; Resolution No. 69991, entitled: “A Resolution of the Council of the City of San José Approving and Accepting Final Map of Tract No. 9257”, and Resolution No. 69992, entitled: “A Resolution of the Council of the City of San José Approving and Authorizing the Execution of Contract and Approving Bonds for the Improvement of Tract No. 9257”, were adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

Contracts/Agreements

6e(1) Approval of award of open purchase orders for supplies, materials, equipment, and services for FY 2000-2001 #17, and authorization for the Director of General Services to execute the purchase orders. (General Services)

Documents Filed: Memorandum from Director of General Services, Steve S. Yoshino, dated October 18, 2000, recommending Council approve award of said open purchase orders list, and authorize the Director of General Services to execute the purchase orders.

Discussion/Action: The award of open purchase orders List No. 17 for Fiscal Year 2000-2001 was approved and execution of the purchase orders authorized. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

6e(2) Adoption of a resolution authorizing the Director of General Services to execute an amendment to the agreement with Master Cleaning System, Inc. for park restroom maintenance, extending the contract on a month-to-month basis through January 15, 2001, at a monthly cost of $20,000, increasing the maximum compensation by $50,000, from $207,943.46 to a total agreement amount not to exceed $257,943.46. (General Services)

Documents Filed: Memorandum from Director of General Services, Steve S. Yoshino, dated October 18, 2000, recommending Council adopt said resolution.

Discussion/Action: Resolution No. 69993, entitled: “A Resolution of the Council of the City of San José Authorizing the Director of General Services to Execute an Amendment to the Agreement With Master Cleaning, Inc. to Extend the Term and Increase Compensation”, was adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

6e(3) Report on bids and award the purchase of two (2) 11,000-pound trucks with dump type bodies and attached cranes for the Department of Streets and Traffic to the low bidder, Melrose Ford, at a total cost of $90,847.66, including tax, and authorization for the Director of General Services to execute the purchase order for the:

(a) Immediate purchase of two (2) units.

(b) Subsequent purchase of additional units at the same bid price, for one (1) year, without further Council action other than the appropriation of necessary funds.

(General Services)

Documents Filed: Memorandum from Director of General Services, Steve S. Yoshino, dated October 18, 2000, recommending Council accept the bid report and award said purchase to the low bidder, and authorize the Director of General Services to execute said purchase order.

Discussion/Action: The report on bids was accepted and award of purchase to Melrose Ford, the low bidder, was approved and execution of the purchase order authorized. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

6e(4) Report on bids and award the purchase of two (2) 15,000-pound trucks with maintenance type bodies and aerial workbaskets for the Department of Streets and Traffic to the lowest responsive bidder, Pacific Utility, at a total cost of $156,376.54, including tax, and authorization for the Director of General Services to execute the purchase order for the:

(a) Immediate purchase of two (2) units; and

(b) Subsequent purchase of additional units at the same bid price, for one (1) year, without further Council action other than the appropriation of necessary funds.

(General Services)

Documents Filed: Memorandum from Director of General Services, Steve S. Yoshino, dated October 18, 2000, recommending Council accept the bid report and award said purchase to the lowest responsive bidder, and authorize the Director of General Services to execute said purchase order.

Discussion/Action: The report on bids was accepted and award of purchase to Pacific Utility, the lowest responsive bidder, was approved and execution of the purchase order authorized. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

6e(5) Adoption of a resolution authorizing the City Manager to execute an agreement with Printrak International, Inc. for hardware and software maintenance on twelve (12) Livescan devices installed in twelve (12) remote locations throughout the County of Santa Clara, for the period March 16, 2000 to September 30, 2001, and at a total cost, including tax, of $279,165. (Police)

Documents Filed: Memorandum from Chief of Police William M. Lansdowne, dated October 24, 2000, recommending Council adopt said resolution.

Discussion/Action: Resolution No. 69994, entitled: “A Resolution of the Council of the City of San José Authorizing the City Manager to Execute An Agreement With Printrak International, Inc.”, was adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

6e(6) Report on bids and award of contract for the Windmill Springs Park Play Area Renovation to the low bidder, Playgrounds Unlimited, for the base bid and Add Alternate Nos. 1 and 2 in the amount of $149,276, and approval of a contingency in the amount of $15,000. CEQA: Exempt. (Public Works)

Documents Filed: Memorandum from Deputy Director of Public Works, Gordon Siebert, dated October 18, 2000, recommending Council accept the bid report and award said contract to the low bidder, and approve said contingency.

Discussion/Action: The report on bids was accepted and award of contract to Playgrounds Unlimited, the low bidder, and the contingency were approved and execution of the contract authorized. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

6e(7) Report on bids and award of contract for the Mise Park Tot Lot Renovation Project to the low bidder, Playgrounds Unlimited, for the base bid and Add Alternate No. 1 in the amount of $107,247.17, and approval of a contingency in the amount of $10,000. CEQA: Exempt. (Public Works)

6e(8) (a) Approval of Contract Change Order (CCO) No. 2 for the 1999-00 Street Resurfacing – Measure A/B Funded Project with O’Grady Paving Inc., in an amount not to exceed $100,000. CEQA: Exempt.

(Public Works)

(b) Adoption of appropriation ordinance amendments in the General Fund to provide $110,000 for the Spring Street Repairs Project.

(City Manager’s Office)

(Rules Committee referral 11/1/00)

Documents Filed: (1) Memorandum from Deputy Director of Public Works, Rajeev Batra, dated October 31, 2000, noting the reason for addendum and recommending Council approve said change order. (2) Memorandum from Budget Director, Larry D. Lisenbee, dated October 27, 2000, recommending Council adopt said appropriation ordinance amendments in the General Fund.

Discussion/Action: Contract Change Order No. 2 with O’Grady Paving, Inc., was approved and its execution authorized; and Ordinance No. 26226, entitled: “An Ordinance of the City of San José Amending Ordinance No. 26141 Which Appropriates Moneys in the General Fund in the Amount of $110,000 for the Spring Street Repairs Project; and Providing That This Ordinance Shall Become Effective Immediately Upon Adoption”, was adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

END OF CONSENT CALENDAR

COMMISSION, COMMITTEE, AND STANDING REPORTS

7b Report of the Rules Committee – October 25, 2000

Documents Filed: Rules Committee Report of October 25, 2000.

(1) Review November 7, 2000 Draft Agenda

The Committee approved the November 7, 2000 City Council Agenda with two additions.

(2) Add New Items to October 31, 2000 Amended Agenda

The Committee recommended three additions to the October 31, 2000 City Council Agenda.

(3) Meeting Schedules

None Presented.

(4) The Public Record. Attachment: Memorandum from City Clerk, Patricia L. O’Hearn, dated October 19, 2000, listing the items transmitted to the Administration for the Public Record for the period October 11-17, 2000.

The Committee noted and filed the Public Record for the period October 11-17, 2000.

(5) Council Referrals for Assignment to Appropriate Committee, Administration, or Council Appointee

(a) Status report on request to add a retiree to the Federated Retirement Board

Director of Employee Relations, Alex Gurza informed the Committee that the issue of adding a retiree representative to the Federated Retirement Board is subject to the meet-and-confer process with the unions that participate in the Federated Retirement Plan; when the discussions have achieved closure, Mr. Gurza will report to Council via Closed Session disclosure. In response to Chair Fiscalini’s concern that the issue be resolved prior to year-end 2000, Mr. Gurza responded in the affirmative.

(6) Oral Communications

None Presented.

(7) Adjournment

The meeting was adjourned at 2:10 p.m.

Discussion/Action: Upon motion by Vice Mayor Fiscalini, seconded by Council Member Powers and unanimously carried the Rules Committee Report and actions of October 25, 2000 were accepted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

7c Report of the Finance and Technology Committee – October 25, 2000

(1) Audited Financial Statements

(2) Monthly Financial Statement for September 2000

(3) Capital Cost Report for September 2000

(4) Cash Flow Projection

(5) Unfunded Projects Appropriation Report as of September 30, 2000

(6) Report on Parking Garage at 4^th and San Fernando Street

(7) Report on Hayes Mansion Phase III

(8) Parks Project Delivery

(9) Oral Petitions

(10) Adjournment

Documents Filed: None.

Discussion/Action: This meeting was cancelled.

7e Report of the Transportation and Environment Committee – October 26, 2000

Documents Filed: Transportation and Environment Committee Report of October 26, 2000.

(1) Consent Calendar

(a) Clean Bay Strategy Status Report. Attachment: Memorandum from Assistant City Manager, Debra J. Figone, dated October 13, 2000, attaching the staff report and the front cover of the Clean Bay Strategy South Bay Watershed Activities – status report.

The Committee accepted the status report on Consent Calendar Item 1(a).

(2) City Council Policy on Use of San José/Santa Clara Water Pollution Control Plant Lands. Attachment: Memorandum from Director of Environmental Services, Carl W. Mosher, dated October 12, 2000, recommending adoption of Council Policy on Use of San José/Santa Clara Water Pollution Control Plant Lands.

The Committee recommended adoption of the Policy and forwarded it to Council for consideration under General Government at the November 7, 2000 Meeting.

Discussion/Action: See Item 9a for Council action taken.

(3) Status Report on Streamflow Augmentation Pilot. Attachment: Memorandum from Director of Environmental Services, Carl W. Mosher, dated October 12, 2000, recommending Council (a) accept the status report on and adopt the goals specified for the Streamflow Augmentation Program; and (b) direct the Administration to provide Council with semi-annual status reports on the Pilot, continue to work with key regulatory agencies and stakeholders to evaluate potential expansion of the program, and continue to conduct monitoring and data collection necessary to move forward as appropriate site(s) are identified.

The Committee recommended acceptance of the report and adoption of the goals of the Streamflow Augmentation Program, with the addition under Section B, that Staff conduct a community meeting and work with the Technical Advisory Committee.

(4) Report on Modification to Edenvale Area Development Policy. Attachment: Memorandum from Director of Public Works Ralph A. Qualls, Jr., and Director of Planning, Building and Code Enforcement James R. Derryberry, dated October 12, 2000, recommending acceptance of the report on the proposed modification to the Edenvale Area Development Policy.

The Committee recommended acceptance of the report.

Discussion/Action: See Item 9b for Council action taken.

(5) Approval of Staff Report on Employee Parking at City-Owned Property on North San Pedro Street between West Mission and Asbury Streets. Attachment: Memorandum from Deputy Director of Public Works, Rajeev Batra, dated October 12, 2000, submitting a status report on the lease agreement for joint use of property vacated to accommodate the Route 87 project.

The Committee recommended approval of the Staff Report.

(6) Oral petitions

None Presented.

(7) Adjournment

The meeting was adjourned at 3:17 p.m.

Discussion/Action: Upon motion by Council Member Powers, seconded by Council Member LeZotte and unanimously carried, the Transportation and Environment Committee Report and actions of October 26, 2000 were accepted with Item 7e(2) acted upon at Item 9a and Council action on Item 7e(4) taken at Item 9b. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

7f Report of the Education, Neighborhoods, Youth, and Seniors Committee - October 16, 2000

(1) Strong Neighborhood Initiative Update

(2) Youth Commission Monthly Reports for June/August and September 2000

(3) Fire Recruitment Annual Report

(4) Annual Report on Library Usage

(5) Update on Joint Library Operational Planning and Construction

(6) Parks Project Delivery Update

(7) Report on San José Public Library Foundation Donations for FY 1999/00

(8) Oral Petitions

(9) Adjournment

Documents Filed: None.

Discussion/Action: The City Council heard this item on October 31, 2000.

GENERAL GOVERNMENT

9a Adoption of the City Council Policy on Use of San José/Santa Clara Water Pollution Control Plant Lands. CEQA: Resolution No. 68577. (Environmental Services) [Transportation and Environment Committee referral 10/26/00 – Item 7e(2)]

Documents Filed: (1) Memorandum from Assistant to the City Manager, Deanna J. Santana, dated October 26, 2000, attaching a copy of the staff report that was presented at the October 26, 2000 Transportation and Environment Committee. (2) Supplemental report from San José/Santa Clara Water Pollution Control Plant, Treatment Plant Advisory Committee Chairperson, Bob Livengood, dated October 13, 2000, recommending approval of said Council Policy.

Discussion/Action: Director of Environmental Services Carl W. Mosher reviewed the plant lands use policy statement, which was presented to and approved by the Transportation and Environment Committee, and identified the factors which were the basis for the development of the policies contained in the Council Policy. He stated the purpose of the Policy is intended as guidance to evaluate and determine acceptable alternate uses of Plant Lands and takes into account the demographics, regulatory requirements, unique natural setting, adjacent developments, consistency with City plans and policies, environmental review, and dual uses of buffer lands. He reviewed the objectives of the Policy and recommended Council approve the Policy as submitted by Staff and recommended by the Transportation and Environment Committee. Referencing Item #5 of the Analysis contained in the October 12, 2000 staff report on page 2, Vice Mayor Fiscalini queried Staff on the use of the word “ensure”, and suggested its replacement with a more general phrase. Upon motion by Council Member Powers, seconded by Council Member Chavez and unanimously carried, City Council Policy on the Use of San José/Santa Clara Water Pollution Control Plant Lands was adopted with direction to Staff to replace the word “ensure” in Item #5 of the Analysis on Page 2 with a more general term. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

9b Acceptance of the report on proposed modification to the Edenvale Area Development Policy.

[Transportation and Environment Committee referral 10/26/00 – Item 7e(4)]

Documents Filed: None.

Discussion/Action: This item was dropped.

9c Report on the City’s efforts to assist fire victims and recommendations to address this issue in the long-term. (Fire/Housing)

Documents Filed: None.

Discussion/Action: This item was deferred to November 14, 2000.

9d Approval of the Community Development Block Grant Fourth Quarter Monitoring Report for the 1999-2000 Program Year.

(Parks, Recreation and Neighborhood Services)

Documents Filed: Memorandum from Director of Parks, Recreation and Neighborhood Services, Mark Linder, dated October 18, 2000, recommending Council accept the fourth quarter report and extend the funding terms for said projects.

Discussion/Action: Upon motion by Council Member Shirakawa, Jr., seconded by Council Member Powers and unanimously carried, the CDBG report was approved. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

9e (1) Approval of the Rehabilitation Grant agreements with Walnut Grove property owners to provide the City the right-of-entry and construction to the Walnut Grove site; and,

(2) Report on bids and award of contract for the Walnut Grove Area Site Improvements Project to the lowest bidder, Grade Tech Inc., in the amount of $844,600, including a 10% contingency fund in the amount of $76,000, and $11,000 for Project Permit and Testing Fees. CEQA: ND.

(Planning, Building and Code Enforcement)

Documents Filed: Memorandum from Director of Planning, Building and Code Enforcement, James R. Derryberry, dated October 18, 2000, recommending Council approve the bid report and said agreements and award said contract to the lowest bidder, including said contingency.

Discussion/Action: Upon motion by Council Member Shirakawa, Jr., seconded by Vice Mayor Fiscalini and unanimously carried, the grant agreements with Walnut Grove property owners were approved and execution of the agreements authorized; the report on bids was accepted and award of contract to Grade Tech Inc., the lowest bidder, and the 10% contingency, were approved and execution of the contract authorized. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

9f Adoption of a resolution:

(1) Accepting the 2000-2001 Weed Abatement Report (County of Santa Clara’s 2000-2001 Hazardous Vegetation Commencement Report) compiled by the Office of the Santa Clara County Fire Marshal.

(2) Declaring that those certain noxious or hazardous seasonal and recurrent weeds, growing or likely to be growing, and refuse, situated or likely to be situated, on those properties identified in the Report are a public nuisance.

(3) Directing the Office of the Santa Clara County Fire Marshal to mail notices of a public hearing on December 12, 2000 at 1:30 p.m. before the City Council on the Report to property owners of affected real properties pursuant to Chapter 9.12 of Title 9 of the San José Municipal Code and the Weed Abatement Agreement with the County of Santa Clara.

(Planning, Building and Code Enforcement)

Documents Filed: Memorandum from Director of Planning, Building and Code Enforcement, James R. Derryberry, dated October 18, 2000, recommending Council adopt said resolution.

Discussion/Action: Upon motion by Vice Mayor Fiscalini, seconded by Council Member Powers and unanimously carried, Resolution No. 69995, entitled: “A Resolution of the Council of the City of San José Accepting and Confirming the Hazardous Vegetation Commencement Report for the Year 2000-2001 Compiled by the Office of the Santa Clara County Fire Marshal, Declaring Certain Noxious or Dangerous Seasonal and Recurrent Weeds Are Growing or Are Likely to Grow Upon Certain Public and Private Properties or That Refuse is Situated or Likely to be Situated Upon Certain Properties Within the City of San José; Declaring Such Seasonal and/or Recurrent Weeds and Refuse a Public Nuisance; Directing That Notice of This Resolution and a Public Hearing on the Report on December 12, 2000 at 1:30 p.m. Be Given Pursuant to Chapter 9.12 of the San José Municipal Code”, was adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

9g Public Hearing and adoption of a resolution to implement the 2000-02 Federal Local Law Enforcement Block Grant Program and adoption of related appropriation ordinance and funding sources resolution amendments in the Local Law Enforcement Block Grant Fund and General Fund for the use of $1,128,904 in Block Grant funds and $125,434 in City matching funds.

(Police/City Manager’s Office)

Documents Filed: Memorandum from Chief of Police William M. Lansdowne, and Budget Director Larry D. Lisenbee, dated October 18, 2000, recommending Council approve the implementation of the 2000-2002 Federal Local Law Enforcement Block Grant Program, adopt said resolution, and approve amendments to the appropriation ordinance and funding sources resolution in the Local Law Enforcement Block Grant Fund and in the General Fund.

Discussion/Action: Mayor Gonzales opened the public hearing on the actions related to the implementation of the 2000-2002 Federal Local Law Enforcement Block Grant Program. There was no discussion from the Floor. Upon motion by Council Member Powers, seconded by Council Member Shirakawa, Jr., and unanimously carried, the public hearing was closed and Resolution No. 69996, entitled: “A Resolution of the Council of the City of San José Approving Implementation of the 2000-2002 Local Law Enforcement Block Grant Program and Authorizing the City Manager to Execute All Documents Associated With the Program”; Ordinance No. 26227, entitled: “A Ordinance of the City of San José Amending Ordinance No. 26141 to Appropriate Moneys in the Local Law Enforcement Block Grant Fund and General Fund in the Total Amount of $1,254,338 to Implement the 2000-2002 Federal Local Law Enforcement Block Grant Program; and Providing That This Ordinance Shall Become Effective Immediately Upon Adoption”; and Resolution No. 69997, entitled: “A Resolution of the Council of the City of San José Amending Resolution No. 69683 Setting Forth the Estimated Sources of Funds for the Fiscal Year 2000-2001 to Adjust Revenues in the Local Law Enforcement Block Grant Fund and the General Fund”, were adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

9h Report on bids and award of contract for the construction of the Median Island Landscape Improvements - Phase 2 for Cottle, Meridian, Yerba Buena, and Branham to the low bidder, Terra-Cal Construction, Inc. in the amount of $611,307, and approval of a $61,000 contingency. CEQA: Exempt. (Public Works)

Discussion/Action: Upon motion by Council Member Powers, seconded by Vice Mayor Fiscalini and unanimously carried, the report on bids was accepted and award of contract to Terra-Cal Construction, Inc., the low bidder, and the contingency, were approved with direction to Staff to provide Council with a list of improvement projects scheduled in Phase I. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

9i Acceptance of the follow-up report for the 2002 Recycle Plus Program, which forecasts that existing garbage rates can be maintained until FY 2005-06 with the service enhancements contained in the proposals previously approved by Council, and report on labor peace issues related to the Request for Proposals. (Environmental Services)

(Deferred from 10/31/00 – Item 9d)

Documents Filed: None.

Discussion/Action: This item was deferred to November 14, 2000.

9j Adoption of a resolution:

(1) Approving business terms for loans aggregating up to $1,000,000 to Neighborhood Housing Services Silicon Valley to assist in the acquisition, rehabilitation, and resale of properties in connection with the Mayfair Neighborhood Acquisition/Rehabilitation Pilot Program.

(2) Approving business terms for converting up to $1,000,000 of the loan to NHSSV to finance second mortgages for qualified moderate-income households.

(3) Authorizing the Director of Housing to negotiate and execute a contract with NHSSV for acquisition and loan financing services, for a contract amount not to exceed $100,000.

(4) Authorizing the Director of Housing to approve loans resulting in a combined loan to value ratio of up to 120% of after rehabilitation value.

(5) Authorizing as an exception to current policy, incomes of up to 120% of area median income, by household size, as qualifying for home-purchase assistance in conjunction with the Pilot Program.

(6) Finding that the use of 20% Housing Funds to capitalize the Mayfair Acquisition Rehabilitation Pilot Program and to underwrite expenses by NHSSV to administer the program are a benefit to redevelopment project areas in San Jose.

(7) Authorizing the Director of Housing to negotiate and execute all necessary documents on behalf of the City.

(Housing)

(Deferred from 10/24/00 – Item 9d and 10/31/00 – Item 9i)

Documents Filed: None.

Discussion/Action: This item was deferred to November 14, 2000.

9k (1) Approval of the consultant’s final report entitled “City of San José, California, Tow Company Rate Study” dated May 24, 2000.

(2) Direction to staff to prepare the analysis for a Request for Proposal (RFP) which would include:

(a) Revision of two (2) zones.

(b) Revised rate structure including a proportionate model based on a fixed return to the City and the City’s revenue requirements.

(c) An updated survey of comparable cities’ rates and services provided.

(Planning, Building and Code Enforcement)

(Deferred from 10/24/00 – Item 9f and 10/31/00 – Item 9k)

Documents Filed: None.

Discussion/Action: This item was deferred to November 14, 2000.

9l Adoption of a resolution authorizing the City Manager to negotiate and execute a first amendment to lease with RNM First Street Center, LP for 10,211 square feet of additional office space to accommodate Airport Department staff for the period November 15, 2000 to January 31, 2006, with rental payments and operating expenses for this additional space not exceeding $483,680.63 during Fiscal Year 2000-2001, ongoing rentals and charges contingent upon appropriation of funds each year and all lease payments and charges to be made solely from Airport funds. (Airport)

(Rules Committee referral 11/1/00)

Documents Filed: Memorandum from Director of Aviation, Ralph G. Tonseth, dated October 31, 2000, noting the reason for addendum and recommending Council adopt said resolution.

Discussion/Action: Upon motion by Vice Mayor Fiscalini, seconded by Council Member Powers and unanimously carried, Resolution No. 69998, entitled: “A Resolution of the Council of the City of San José Authorizing the City Manager to Negotiate and Execute a First Amendment to the Lease With RNM First Street Center, LP for an Additional 10,211 Square Feet of Office Space to Accommodate Airport Department Staff for the Period November 15, 2000 Through January 31, 2006”, was adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

9m Report on Requests for Quotes and award of contract for a Customer Service System for the Customer (Service) Call Center to the most advantageous quote and adoption of a resolution authorizing the City Manager to negotiate and execute the agreement. (City Manager’s Office)

(Rules Committee referral 11/1/00)

Documents Filed: None.

Discussion/Action: This item was deferred to November 14, 2000.

9n Adoption of a resolution approving business terms for a construction loan of up to $4,435,000 and a permanent loan of up to $4,790,000 to Craig Gardens, L. P., or its affiliate for the development of a 90-unit housing project affordable to very low- and extremely low-income seniors on a 1.47 acre site located on the northeast corner of Bascom Avenue and Elden Drive. (Housing)

(Rules Committee referral 11/1/00)

Documents Filed: Memorandum from Director of Housing, Alex Sanchez, dated October 31, 2000, noting the reason for addendum and recommending Council adopt said resolution.

Discussion/Action: Upon motion by Council Member Diaz, seconded by Vice Mayor Fiscalini and unanimously carried, Resolution No. 69999, entitled: “A Resolution of the Council of the City of San José Approving Business Terms for a Construction Loan of $4,435,000 and Permanent Loan of $4,790,000 to Craig Gardens L.P. for the Development of a 90-Unit Rental Housing Project Affordable to Very Low-Income and Extremely Low Persons and Families, and Authorizing the Director of Housing to Negotiate and Execute All Necessary Documents Evidencing Such Loan on Behalf of the City”, was adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

9o Adoption of a resolution to:

(1) Convert a conditional grant of $1,389,000 to a City loan and increasing the total City loan from $8,148,000 to $8,400,000 to Willow Glen Housing Partners, L.P., or its designated partnership, for the development of a 133-unit housing project with 132 units affordable to very low-income seniors and one unrestricted unit on a 1.8-acre site located at 461 Willow Glen Way, at the intersection of Northern Road, and on a 1.3-acre site located at 1701 and 1717 Almaden road at the intersection of Willow Glen Way.

(2) Approve business terms for a construction loan of up to $8,400,000 and a permanent loan of up to $9,072,000 for the project.

(Housing)

Documents Filed: Memorandum from Director of Housing, Alex Sanchez, dated October 31, 2000, noting the reason for addendum and recommending Council adopt said resolution.

Discussion/Action: Upon motion by Vice Mayor Fiscalini, seconded by Council Member Powers and unanimously carried, Resolution No. 70000, entitled: “A Resolution of the Council of the City of San José (i) Converting a Conditional Grant to a Loan; and (ii) Increasing the Total City Loan From $8,148,000 to $8,400,000; and (iii) Approving Business Terms for a Construction Permanent Loan to Willow Glen Housing Partners, L.P. for the Development of the Willow Glen Senior Apartments”, was adopted. Vote: 9-0-1-0-1. Absent: Diaz. Vacant: District 4.

FISCAL AFFAIRS

10a (1) PUBLIC HEARING on the proposed formation of Community Facilities District No. 5 (North Coyote Valley).

(2) Adoption of a Resolution of Formation for CFD No. 5, authorizing the levy of a Special Tax therein, preliminarily establishing an appropriations limit, and submitting the levy of the Special Tax and the appropriations limit to the qualified electors.

(3) Adoption of a resolution calling a special election of property owners in the proposed CFD No. 5.

CEQA: Resolution No. 69957. (Public Works)

Documents Filed: None.

Discussion/Action: Mayor Gonzales opened the public hearing on the proposed formation of Community Facilities District No. 5 in North Coyote Valley. There was no discussion from the Floor, and no public testimony was presented. Consistent with a previous position on North Coyote Valley projects, Council Member Dando entered disqualification from discussion and decision on the subject Community Facilities District. Upon motion by Vice Mayor Fiscalini, seconded by Council Member Powers and carried, the public hearing was continued to December 12, 2000. Vote: 8-0-1-1-1. Absent: Diaz. Disqualified: Dando. Vacant: District 4.

ADJOURNMENT

The Council of the City of San José adjourned at 2:05 p.m.

RON GONZALES, MAYOR

ATTEST:

PATRICIA L. O’HEARN, CITY CLERK