CSJ Council Agenda Joint Meeting Minute, May 28, 2002

MINUTES OF THE CITY COUNCIL

SAN JOSE, CALIFORNIA TUESDAY, MAY 28, 2002

The Council of the City of San José convened in regular session at 9:30 a.m. in City Council Chambers at City Hall.

Present: Council Members - Campos, Chavez, Cortese, Diquisto, Reed, Shirakawa, Jr., Williams, Yeager; Gonzales.

Absent: Council Members - Dando, LeZotte (both excused).

Upon motion unanimously adopted, Council recessed at 9:35 a.m. to a Closed Session in Room 600: (A) To confer with Real Property designated representatives pursuant to Government Code Section 54956.8: (1) Property: APN 015-31-063 (Eastside Zanker Road, North of SR 237 – Approximately 119 acres), Designated Representatives: Darrell Dearborn for the City of San José and Ken Abreu for Calpine C*Power, Under Negotiation: Lease, sale and/or use agreements of all or part of parcel; and (B) To confer with Legal Counsel pursuant to Government Code Section 54956.9; under Subsection (a) to discuss existing litigation in the cases of (1) In re Ciraulo; and (2) City of Milpitas v. City of San José; and (C) To discuss anticipated litigation pursuant to Subsection (b) of Government Code Section 54956.9, in two matters regarding the initiation of litigation.

By unanimous consent, Council reconvened from the Closed Session and recessed at 10:45 a.m. and reconvened at 1:35 p.m. in the Council Chambers.

Present: Council Members - Campos, Chavez, Cortese, Diquisto, Reed, Shirakawa, Jr., Williams, Yeager; Gonzales.

Absent: Council Members - Dando, LeZotte (both excused).

Invocation (District 5)

Fifth graders Aubrea Borillo and Joshyua Ayeras from San Antonio Elementary read their award winning poems from the Authors Fair and delivered the invocation.

Pledge of Allegiance

Mayor Gonzales led in the Pledge of Allegiance.

Orders of the Day

Noting the passing of Darrell Von Haas, Mayor Gonzales introduced his widow, mother and sister in attendance and announced the adjournment will be in his memory. Upon motion by Council Member Chavez, seconded by Council Member Reed, and unanimously carried, the Orders of the Day were approved. Vote: 9-0-2-0. Absent: Dando, LeZotte.

CEREMONIAL ITEMS

1.1 Presentation of an award to the City of San José by the Housing Trust of Santa Clara County. (Mayor)

Documents filed: None.

Discussion/Action: Joining Mayor Gonzales at the podium was President and CEO of Silicon Valley Manufacturing Group Carl Guardino who presented the award to the Mayor and City Council and Acting Executive Director of Housing Trust of Santa Clara County Poncho J. Guevara presented an update.

1.2 Presentation of a commendation to Greg Fatovic, Vice President of Programs and General Manager of San José site, in behalf of Pratt and Whitney for its exemplary Health and Safety Program and winning the California-Osha Voluntary Protection Star award, the highest level of safety recognition by a governmental entity. (Williams)

Documents filed: None.

Discussion/Action: Council Members Williams and Cortese joined Mayor Gonzales at the podium to present the commendation and recognized Pratt and Whitney for being 4^th in the State for safety.

1.3 Presentation of a commendation to RW French for their hard work and dedication to the community for their project at the First Congregational Church. (Yeager)

Documents filed: None.

Discussion/Action: Council Member Yeager joined the Mayor at the podium to present the commendation to Senior Minister at First Congregational Church, Reverend Nathan Miller, Moderator Julie Horst, Board of Trustees and RW French Coordinator Jon Shoonmaker, President of RW French, Ronald French and General Manager of RW French Mike Rabah.

1.4 Presentation of a commendation to the Lincoln High School Mock Trial Team for their unprecedented success this year in winning back-to-back state championships and placing fourth out of forty-four teams in the national competition. (Yeager)

(Rules Committee referral 5/22/02)

Documents filed: None.

Discussion/Action: Council Member Yeager who introduced team coaches Kris Morella and Jim Towery who introduced students of the Mock Trial team joined the Mayor at the podium.

1.5 Presentation of a commendation to City of San José Police Officers for their participation in the 20^th annual Palm Sunday Senior Citizen Breakfast. (Campos)

(Orders of the Day)

Documents filed: None.

Discussion/Action: Joining Mayor Gonzales at the podium was Council Member Campos and Police Chief Lansdowne who introduced Officer Delgado and Officer Calderon who hosted seniors off duty at the 20^th Annual Palm Sunday Senior Citizen Breakfast in addition to 32 off duty Officers who also participated.

CONSENT CALENDAR

2.1 Approval of City Council Minutes for:

(a) Regular meeting of November 13, 2001

(b) Regular meeting of November 20, 2001

(d) Regular meeting of November 27, 2001

(e) Joint Council/Redevelopment Agency Board meeting of November 27, 2001

Documents filed: Minutes of regular meetings of November 13, 20 and 27; 2001, General Plan meeting of November 20, 2001 and Joint Council/Redevelopment Agency Board meeting of November 27, 2001.

Discussion/Action: The minutes of said meetings were approved. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.2 (a) Final adoption of Ordinance No. 26633 amending Section 3.36.920 of Chapter 3.36 of Title 3 of the San José Municipal Code to limit time in which a person may apply for disability retirement from the Police and Fire Department Retirement Plan after separation from City service.

Documents filed: Proof of publication of title of Ordinance No. 26633, executed on May 21, 2002, submitted by the City Clerk.

Discussion/Action: Ordinance No. 26633 was adopted. Vote: 9-0-2-0. Absent: Dando, LeZotte.

(b) Final adoption of Ordinance No. 26634 amending Sections 15.16.1380, 15.16.1390, and 15.16.1500 of Chapter 15.16 of Title 15 of the San José Municipal Code and adds a new Section 15.16.1395 to revise provisions related to categorization of premises and determination of charges for use of the Storm Sewer System and to correct a clerical error.

Documents filed: Proof of publication of title of Ordinance No. 26634, executed on May 24, 2002, submitted by the City Clerk.

Discussion/Action: Ordinance No. 26634 was adopted. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.3 Approval of an ordinance amending Part 9.5 of Chapter 3.36 of Title 3 of the San José Municipal Code (Police and Fire Department Retirement Plan) to allow deferred vested persons who separated prior to July 5, 1992 to enroll in the Plan's medical and dental insurance plans. (Board of Administration for the Police & Fire Department Retirement Plan)

Documents filed: Memorandum from the Secretary of the Board of Administration for the Police and Fire Department Retirement Plan, Edward F. Overton, dated May 8, 2002, recommending approval of said ordinance.

Discussion/Action: Ordinance No. 26641, entitled: “An Ordinance of the City of San Jose Amending Parts 14 and 15 of Chapter 3.36 of Title 3 of The San Jose Municipal Code to Provide Medical and Dental Benefits for Certain Persons Who Separated From City Service Prior to July 5, 1992, and are Receiving Benefits from The Medical Benefits Account in the Police and Fire Department Retirement Plan”, was passed for publication. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.4 Approval of an ordinance amending Section 3.28.1980 of Chapter 3.28 of Title 3 of the San José Municipal Code (Federated City Employees’ Retirement System) to permit surviving spouses to continue medical coverage for children under a guardianship arrangement. (Board of Administration for the Federated City Employees’ Retirement System)

Discussion/Action: Ordinance No. 26642, entitled: “An Ordinance of the City of San Jose Amending Chapter 3.28 of Title 3 of the San Jose Municipal Code (Federated Retirement Plan) by Amending Sections 3.28.1970 and 3.28.1980 to Permit Family Medical Insurance Coverage for Surviving Spouses who have been Appointed Guardians of Minor Children”, was passed for publication. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.5 Approval of an ordinance amending Part 9.5 of Chapter 3.36 of Title 3 of the San José Municipal Code (Police and Fire Department Retirement Plan) to provide an option for post retirement spousal benefits. (Board of Administration for the Police & Fire Department Retirement Plan)

Documents filed: Memorandum from the Secretary of the Board of Administration for the Police and Fire Department Retirement Plan, Edward F. Overton, dated May 15, 2002, recommending approval of said ordinance.

Discussion/Action: Ordinance No. 26643, entitled: “An Ordinance of the City of San Jose Amending Part 9.5 of Chapter 3.36 of Title 3 of the San Jose Municipal Code to Provide an Election for an Optional Settlement for Surviving Spouses Married after Retirement”, was passed for publication. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.6 Adoption of appropriation ordinance and funding sources resolution amendments in the Services for Redevelopment Capital Projects Fund (City-side Redevelopment Fund) The Center for Performing Arts Improvements Project and the Bike Barn Demolition and Parking Lot Project, with a net impact to the fund of $212,000. Council District 3. (City Manager’s Office)

Documents filed: Memorandum from Budget Director Larry D. Lisenbee, dated May 8, 2002, recommending approval of said appropriation ordinance and related revenue resolution amendments.

Discussion/Action: Ordinance No. 26644, entitled: “An Ordinance of the City of San Jose Amending Ordinance No. 26415 to Appropriate Moneys in the Services for Redevelopment Capital Projects Fund in the Amount of $212,000 for Performing Arts Improvements Project: and Providing that this Ordinance Shall Become Effective Immediately upon Adoption”; and Resolution No. 70983, entitled: “A Resolution of the Council of The City of San Jose Amending Resolution No. 70438 Setting Forth the Estimated Sources of Funds for the Fiscal Year 2001-2002 to Adjust Revenues in the Services for Redevelopment Capital Projects Fund”, were passed for publication. Vote
9-0-2-0. Absent: Dando, LeZotte.

2.7 (a) Preliminary approval of the report as filed by the Willow Glen Business Improvement District Advisory Board, or as modified by Council; and adoption of a resolution of intention to levy the annual assessment for 2002-2003, and set June 11, 2002 at 1:30 p.m. as the date and time for the public hearing on the levy of the proposed assessments. Council District 6. (Economic Development)

(b) Preliminary approval of the report as filed by the Japantown Business Improvement District Advisory Board, or as modified by Council; and adoption of a resolution of intention to levy the annual assessment for 2002-03, and set June 11, 2002 at 1:30 p.m. as the date and time for the public hearing on the levy of the proposed assessments. Council District 3. SNI: 13^th Street. (Economic Development)

(c) Preliminary approval of the report as filed by the Downtown Business Improvement District Advisory Board, or as modified by Council; and adoption of a resolution of intention to levy the annual assessment for 2002-03, and set June 11, 2002 at 1:30 p.m. as the date and time for the public hearing on the levy of the proposed assessments. Council District 3. SNI: St. James Square, University, Josefa, Auzerais, and Burbank/Del Monte. (Economic Development)

Documents filed: Memoranda from the Director of Economic Development, Paul Krutko, dated May 8, 2002, recommending the preliminary Council approval of said reports for the Willow Glen Business Improvement District, the Japantown Business Improvement District, and the Downtown Business Improvement District, and establish said resolutions of intention to levy the annual assessment for 2002-03 and set the time and place for the public hearing on the levy of the proposed assessments.

Discussion/Action: The reports filed by the Willow Glen Business Improvement District Advisory Board, the Japantown Business Improvement District Advisory Board, and the Downtown Business Improvement District Advisory Board were tentatively approved; Resolution No. 70984, entitled: “A Resolution of the Council of The City of San Jose Declaring Its Intent to Levy the Assessment for Fiscal Year 2002-2003 in the Willow Glen Business Improvement District Pursuant to the Parking and Business Improvement Area Law of 1989; and Setting a Date and Time for the Public Hearing”; Resolution No. 70985, entitled: “A Resolution of the Council of The City of San Jose Declaring Its Intent to Levy Assessments for Fiscal Year 2002-2003 in the Japantown Business Improvement District Pursuant to the Parking and Business Improvement Area Law of 1989; and Setting the Date and Time for the Public Hearing”; and Resolution No. 70986, entitled: “A Resolution of the Council of The City of San Jose Declaring Its Intent to Levy Assessments for Fiscal Year 2002-2003 in the Downtown Business Improvement District Pursuant to the Parking and Business Improvement Area Law of 1989; and Setting a Date and Time for the Public Hearing”, were adopted, and June 11, 2002 at 1:30 p. m. was set as the date and time for the public hearing on the levy of the proposed assessments for the three Business Improvement Districts. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.8 Report on bids and award of contract for the construction project entitled “San José/Santa Clara Water Pollution Control Plant (WPCP), FY 2000/2001 Capital Improvement Program: Computer Control Room Modifications” to the low bidder, Rusciano Construction, Incorporated, in the amount of $186,269, and approval of a budget contingency in the amount of $28,000. CEQA: Exempt, PP02-04-077. (Environmental Services)

Documents filed: (1) Memorandum from Director of Environmental Services, Carl W. Mosher, dated May 8, 2002, recommending the award of said contract, with related contingency, to the low bidder, Rusciano Construction, Incorporated. (2) Letter from the Treatment Plant Advisory Committee dated May 9, 2002, stating concurrence with the Staff recommendation.

Discussion/Action: The award of said contract, with related contingency, to the low bidder, Rusciano Construction, Incorporated, was approved and its execution authorized. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.9 Adoption of a resolution setting a public hearing on June 18, 2002 at 1:30 p.m. for the approval of the report of the Directors of Finance and Transportation on the cost of sidewalk repairs. (Finance/Transportation)

Documents filed: Memorandum from Director of Finance Scott P. Johnson and Director of Transportation Wayne K. Tanda, dated May 16, 2002, recommending adoption of said resolution.

Discussion/Action: Resolution No. 70987, entitled: “A Resolution of the Council of The City of San Jose to set a Public Hearing on June 18, 2002 for Public Protest and for Approval of a Report on the Cost of Sidewalk Repairs”, was adopted. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.10 Approval of award of open purchase orders for supplies, materials, equipment, and services for FY 2001-2002 #35, and authorization for the Director of General Services to execute the purchase orders. (General Services)

Documents filed: Memorandum from Jose Obregon, Director of General Services, dated May 8, 2002, recommending approval of said open purchase orders.

Discussion/Action: The award of open purchase orders List 35 was approved and the Director of General Services was authorized to execute to the purchase orders. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.11 Adoption of a resolution accepting donations from the San José Public Library Foundation in an amount not to exceed $125,000, for the period July 1, 2002 to June 30, 2003. (Library)

Documents filed: Memorandum from City Librarian Jane Light, dated May 8, 2002, recommending adoption of said resolution.

Discussion/Action: Resolution No. 70988, entitled: “A Resolution of the Council of The City of San Jose Authorizing Acceptance of Donations from The San Jose Public Library Foundation in an Amount Not to Exceed $125,000 for the Period of July 1, 2002 Through June 30, 2003”, was adopted. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.12 Adoption of an appropriation ordinance amendment in the Park Trust Fund for the Winfield Park Project in conjunction with the Guadalupe River South Trail, with a net impact to the fund of $380,000. (Parks, Recreation and Neighborhood Services/City Manager’s Office)

Documents filed: Memorandum from Acting Director of Parks, Recreation and Neighborhood Services, Albert Balagso, and Budget Director Larry D. Lisenbee, dated May 15, 2002, recommending approval of said appropriation ordinance and related revenue resolution amendments.

Discussion/Action: Ordinance No. 26645, entitled: “An Ordinance of the City of San Jose Amending Ordinance No. 26415 to Appropriate Moneys in the Park Trust Fund in the Amount of $380,000, for the Winfield Park Project; and Providing that this Ordinance Shall Become Effective Immediately Upon Adoption”, was passed for publication. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.13 Adoption of a resolution initiating proceedings and setting June 18, 2002 at 1:30 p.m. as the date for Council consideration of the reorganization of territory designated as Sunol No. 64 which involves the annexation to the City of San José of 0.3 acre of land, located on the west side of Page Street, approximately 260 feet north of Chiechi Avenue and generally bounded by the City of San José Annexation #237 – Sunol No. 6-A and the unincorporated site subject to failed annexation – Buena Vista No. 1, and the detachment of the same from the appropriate special districts including: Sunol Sanitary, Co., County Lighting Service, Central Fire Protection, and the County Library Service Area. CEQA: Exempt, PP# Sunol No. 64. Council District 6. SNI: Burbank. (Planning, Building and Code Enforcement)

Documents filed: Memorandum from Director of Planning, Building and Code Enforcement Stephen M. Haase, dated May 8, 2002, recommending adoption of said resolution.

Discussion/Action: William Garbett spoke in opposition to the proposal. Resolution No. 70989, entitled: “A Resolution of the Council of The City of San Jose Initiating Reorganization Proceedings for the Annexation and Detachment of Certain Uninhabited Territory Designated as Sunol No. 64 and Described Herein, and Setting the Date and Place for Consideration of such reorganization”, was adopted. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.14 Adoption of amendments to the annual appropriation ordinance in the State Drug Forfeiture Fund in Fiscal Year 2001-2002 as follows:

(a) Increase the Non-Personal/Equipment appropriation for the Police Department in the amount of $56,700;

(b) Decrease the Unrestricted Ending Fund Balance in the amount of $56,700.

(Police/City Manager’s Office)

Documents filed: Memorandum from Chief of Police, William M. Lansdowne, and Memorandum from Budget Director Larry D. Lisenbee, dated May 8, 2002, recommending approval of said appropriation ordinance amendment.

Discussion/Action: Ordinance No. 26646, entitled: “An Ordinance of the Council of The City of San Jose Amending Ordinance No. 26415 to Appropriate Moneys in the State Drug Forfeiture Fund in the Amount of $56,700, for Non-Personal/Equipment; and Providing that this Ordinance Shall Become Effective Immediately Upon Adoption”, was adopted. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.15 Approval of appropriation actions in the Supplemental Law Enforcement Services Fund for Fiscal Year 2001-02:

(a) Establish an appropriation in City-wide Expenses to the Police Department in the amount of $4,730,922 for Computer-Aided Dispatch System Replacement;

(b) Decrease the Reserve for Computer Aided Dispatch System Replacement by the amount of $4,730,922.

(Police/City Manager’s Office)

Discussion/Action: Ordinance No. 26647, entitled: “An Ordinance of the City of San Jose Amending Ordinance No. 26415 to Appropriate Moneys in the Supplemental Law Enforcement Services Fund in the Amount of $4,730,922, for Police Computer Aided Dispatch System; and Providing that this Ordinance Shall Become Effective Immediately Upon Adoption”, was adopted. Vote 9-0-2-0. Absent: Dando, LeZotte.

2.16 (a) Approval of master agreements for appraisal services with Carneghi-Bautovich & Partners, Inc., Diaz, Diaz and Boyd, Inc., Hulberg and Associates, Inc., The Reitman Group, Smith & Associates, Inc. and Jonathon R. Strong; each agreement in an amount not to exceed $250,000.

(b) Approval of master agreements for appraisal review services with Thomas W. Ryland and Henry Spoto, Jr.; each agreement in an amount not to exceed $250,000.

(c) Authorization to the Director of Public Works to assign specific appraisal and appraisal review projects to the above-mentioned appraisers up to the amount specified in each individual master agreement.

(Public Works)

Documents filed: None.

Discussion/Action: This item was deferred to June 18, 2002.

2.17 Approval of the first amendment to the master agreement with Tom Richman & Associates, Inc. for landscape architectural consultant services for Various Parks and Recreation Projects to assign the obligations of Tom Richman & Associates, Inc. to Catalyst, and to extend the term from June 30, 2002 to June 30, 2003, at no cost to the City. (Public Works)

Documents filed: Memorandum from Director of Public Works, Katy Allen, dated
May 8, 2002, recommending approval of the first amendment to said agreement with Tom Richman & Associates, Inc.

Discussion/Action: The first amendment to said agreement with Tom Richman & Associates, Inc., was approved and its execution authorized. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.18 Report on bids and award of contract for the Street Lights Mayfair 2002 Project to the low bidder, Giacolone Electrical Services Inc., in the amount of $166,000, and approval of a contingency in the amount of $16,000. CEQA: Exempt, PP01-02-023. Council District 5. SNI: Plata Arroyo/Mayfair West. (Public Works)

Documents filed: Memorandum from Director of Public Works, Katy Allen, dated
May 8, 2002, recommending the award of said contract, with related contingency, to the low bidder, Giacolone Electrical Services Inc.

Discussion/Action: The award of said contract, with related contingency, to the low bidder, Giacolone Electrical Services Inc., was approved and its execution authorized. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.19 Report on bids, waiver of minor irregularity in the low bid, and award of contract for the construction of the Julian Street Median Island Improvements (at Pellier Park) to the low bidder, Bamer Construction Company, Inc., in the amount of $124,200, and approval of a contingency in the amount of $12,000. CEQA: Exempt, PP01-11-204. Council District 3. (Public Works)

Documents filed: Memorandum from Director of Public Works, Katy Allen, dated
May 8, 2002, recommending Council approve the waiver of a minor irregularity in the low bid and award of said contract to the low bidder, Bamer Construction Company, Inc.

Discussion/Action: The waiver of the minor irregularity in the low bid and said contract award of said contract to the low bidder Bamer Construction Company, Inc., was approved and its execution authorized. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.20 Adoption of appropriation ordinance and funding sources resolution amendments to the General Fund for costs related to environmental management for City-owned closed landfills:

(a) Increase the revenue estimate in the General Fund for Other Revenue by $50,000; and

(b) Increase the Methane Monitoring and Control Appropriation by $50,000.

(Public Works/City Manager's Office)

Documents filed: Memorandum from Director of Public Works Katy Allen and Budget Director Larry D. Lisenbee, dated May 8, 2002, recommending approval of said appropriation ordinance and related revenue resolution amendments.

Discussion/Action: William J. Garbett spoke in opposition to the proposal. Ordinance No. 26648, entitled: “An Ordinance of the City of San José Amending Ordinance No. 26415 to Appropriate Moneys in the General Fund in the Amount of $50,000 for Methane Monitoring and Control; and Providing That This Ordinance Shall Become Effective Immediately Upon Adoption”; and Resolution No. 70990, entitled, “A Resolution of the City of San José Amending Resolution No. 70438 Setting Forth the Estimated Sources of Funds for the Fiscal Year 2001-2002 to Adjust Revenues in the General Fund”, were adopted. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.21 Approval of rejection of all proposals for a technology equipment management system. (General Services/Information Technology)

(Deferred from 5/21/02 – Item 2.8)

Documents filed: Memorandum from Director of General Services, Jose Obregon, and Wandzia Grycz, Chief Information Officer, Information Technology Department, dated May 1, 2002, recommending Council approval of the rejection of all said proposals.

Discussion/Action: The rejection of all proposals for a technology equipment manage-ment system was approved. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.22 Approval of two lease agreements with Cornerstone Properties, LLC, for office space at 4 North Second Street for a combined monthly rent of $58,444.20 during the first year of the leases, with annual increases of approximately three percent to a maximum rate of $63,639.24 per month during the fourth and final year of the leases. (Public Works)

(Deferred from 5/21/02 – Item 2.11)

Documents filed: (1) Memorandum from Director of Public Works Katy Allen, dated May 14, 2002, recommending approval of said lease agreements with Cornerstone Properties, LLC. (2) Supplemental memorandum from Director of Public Works Katy Allen, dated May 24, 2002, providing additional information concerning the two proposed leases.

Discussion/Action: William J. Garbett spoke in opposition to the proposal. The two proposed lease agreements with Cornerstone Properties, LLC, were approved and their execution authorized. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.23 Adoption of a resolution authorizing the City Manager to enter into a grant agreement for $1,270,000 with the State Resources Agency to fund the design and construction of the Guadalupe River South Trail in Reach 12, and a spur trail from Guadalupe River South Trail to the intersection of Chynoweth Avenue and Winfield Boulevard. (Parks, Recreation and Neighborhood Services)

(Rules Committee referral 5/22/02)

Documents filed: Memorandum from Acting Director of Parks, Recreation and Neighborhood Services, Albert Balagso, dated May 24, 2002, recommending adoption of said resolution.

Discussion/Action: Resolution No. 70991, entitled: “A Resolution of the Council of the City of San José Authorizing the City Manager to Accept a Grant from the State Resources Agency for Construction of the Guadalupe River South Trail in an Amount Not to Exceed $1,270,000, and to Execute All Related Documents” was adopted. Vote: 9-0-2-0. Absent: Dando, LeZotte.

2.24 Adoption of a resolution determining that public use and necessity require the acquisition of:

(a) A right of way and sewer easement and a waterline easement on a portion of property located on Santa Teresa Boulevard in an area bounded by Fisher Creek to the north, Bailey Avenue to the south, Union Pacific Railroad track to the east, and Santa Teresa Boulevard to the west, owned by Coyote Valley Research Park, LLC, a Delaware Limited Liability Company, together with temporary 12 month construction easements on portions of the subject property adjoining the future access road/sanitary sewer and waterline easements, and directing the City Attorney to file an eminent domain action to acquire these interests. CEQA: Final Staff Assessment issued by the California Energy Commission. Council District 2. (Public Works)

(b) A right of way and sewer easement on a portion of property located south of Blanchard Road, approximately 1,800 feet east of Santa Teresa Boulevard, owned by WL Properties, a California General Partnership, together with a temporary 12 month construction easement on an adjacent portion of the subject property adjacent to the proposed easement, and directing the City Attorney to file an eminent domain action to acquire these interests. CEQA: Final Staff Assessment issued by the California Energy Commission. Council District 2. (Public Works)

(Rules Committee referral 5/22/02)

Documents filed: (1) Memorandum from Director of Public Works Katy Allen, dated
May 16, 2002, recommending adoption of said resolution. (2) Supplemental memoran-dum from Director of Public Works Katy Allen, dated May 24, 2002, providing Council with the latest appraisal information related to the proposed acquisition. (3) Correspondence from Matteoni, Saxe & O’Laughlin Lawyers, dated May 24, 2002, objecting, on behalf of their client, Coyote Valley Research Park, LLC (CVRP), to the proposed eminent domain actions affecting its lands for the proposed Calpine Metcalf Energy Center (MEC) (4) Correspondence form Coyote Valley Research Park, LLC, dated May 20, 2002, opposing the proposed condemnation of property owned by CVRP.

Discussion/Action: The following speakers addressed the Council: Ken Abreu and Joan Gallo, Calpine; Norm Matteoni, CVRP; Loyd Williams, Plumbers & Fitters Union #393; and William Garbett. City Attorney Richard Doyle clarified that the City is concerned only with the existing plan and not with anything which CVRP may plan to change in the future. He stated the Fire Marshall has requested the public right-of-way as a temporary access for emergency vehicles and when the planned public roadway is ultimately built, there will be sufficient public usage to warrant this public right-of-way. Council Member Williams moved approval of the Staff recommendation with the condition that there be a month’s delay for the teams to negotiate and close on this item. Council Member Chavez seconded the motion. Council Member Williams stated he is opposed to the use of eminent domain since it detracts from free market concepts. He stated allowing a month for continued negotiations may enable both parties to arrive at an agreement and avoid the need for the City to exercise eminent domain. Should the parties not reach agreement in the allowed time, before eminent domain is utilized, he wants Staff to ensure that there exists a clear and compelling public purpose, that a clear project and roadway are defined, an adequate amount of acreage to implement the project is identified, that there be a fair and independent appraisal, that the proposed improvements will be constructed consistent with City standards in the North Coyote Master Plan requirements, and the acquisition will not jeopardize CVRP’s entitlement of use or marketability of the property. He stated his intent is that CVRP be kept financially whole.

Responding to Council Member Reed’s request for clarification on the projected use of the road, Jim Foley, Public Works Development Services, explained that Calpine plans for ingress and egress of the road are for a designation as a gated type maintenance road to which the Fire and Police Departments will have the keys; that Calpine’s primary access for delivery of ammonia, construction and other items will be off the Blanchard access on Monterey Road, currently a signalized intersection which has been upgraded significantly by Calpine. Therefore, he stated Calpine’s primary access will be from that location, however, another means of ingress and egress for emergency use only is required by the Fire Marshall and that is the emergency access roadway that is in question here today.

City Attorney Richard Doyle stated that the majority of Council Member Williams’ comments are already included in the resolution by the necessity to make Findings of Overriding Considerations. On a call for the question, Council approved the recommended action with direction that Staff negotiate to close on the item by June 25, 2002 without eminent domain; if parties are unable to come to an agreement in that period of time, Staff is recommended (and consistent with Resolutions 70992 and 70993) to insure that: (1) a clear and compelling public purpose can be shown; (2) a clear project is defined; (3) an adequate amount of acreage to implement the project be defined; (4) a fair and independent appraisal take place; (5) assurance can be provided that the proposed improvements will ultimately be constructed consistent with City standards for public roads and North Coyote Valley Master Development plan requirements; and (6) acquisition will not jeopardize CVR’s entitlements or the use or marketability of the property; and Resolution No. 70992, entitled: “Resolution of Necessity of the Council of the City of San José Making Certain Findings and Determinations Relating to the Exercise of the Power of Eminent Domain Pursuant to Article 2, Chapter 4, Title 7 of Part 3 of the California Code of Civil Procedure for the Following Project: Metcalf Energy Center; Authorizing and Empowering the City Attorney to Bring an Action in Eminent Domain to Acquire Certain Property for Said Project and to Apply for an Order of Possession Before Judgment and to Prosecute Said Action to Final Judgment; and Authorizing and Empowering the Deposit of Money in the State Treasury Condemnation Fund for Possession of said Property from the Funds Lawfully Available Therefore”, and Resolution No. 70993, entitled: “Resolution of Necessity of the Council of the City of San José Making Certain Findings and Determinations Relating to the Exercise of the Power of Eminent Domain Pursuant to Article 2, Chapter 4, Title 7 of Part 3 of the California Code of Civil Procedure for the Following Project: Metcalf Energy Center; Authorizing and Empowering the City Attorney to Bring an Action in Eminent Domain to Acquire Certain Property for said Project and to Apply for an Order of Possession Before Judgment and to Prosecute Said Action to Final Judgment; and Authorizing and Empowering the Deposit of Money in the State Treasury Condemnation Fund for Possession of Said Property from the Funds Lawfully Available Therefore”, were adopted. Vote: 9-0-2-0. Absent: Dando, LeZotte.

END OF CONSENT CALENDAR

STRATEGIC SUPPORT SERVICES

3.2 Report of the Rules in Lieu Committee – May 15, 2002

Documents filed: Rules-In-Lieu Committee report of May 15, 2002.

(a) Redevelopment Agency items reported out at Redevelopment Agency meeting

(b) City Council

(1) Review May 28, 2002 Draft Agenda

The Committee recommended approval of the May 28, 2002 City Council Agenda.

(b) City Council

(2) Add New Items to May 21, 2002 Amended Agenda

The Committee recommended seven additions to the May 21, 2002 City Council Agenda.

(1) Amendments to Council Committee Agendas

(a) Finance and Infrastructure Committee

None filed.

(b) Economic Development and Environment Committee. Attachment: Draft agenda for the June 3, 2002 Economic Development and Environment Committee.

The Committee recommended adding to the June 3, 2002 Economic and Development and Environment Committee Item (h), entitled “Third Quarter Redevelopment Housing Report (Redevelopment Agency)”.

None filed.

(d) Meeting Schedules

(1) Approve changes to the proposed FY 2002-2003 Budget Calendar. Attachment: Memorandum from Assistant to the City Manager Deanna Santana, dated May 9, 2002, recommending changes to the proposed FY 2002-2003 Budget Calendar.

The Committee recommended approval with the following changes to the proposed FY 2002-2003 Budget Calendar:

a. Cancel the May 15 morning study session.

b. Cancel the May 17 morning study session.

c. Hold a morning study session on May 24, from 8:30 a.m. to 12:00 noon in the Council Chambers.

d. Hold an afternoon study session, if needed, on May 24, from 1:30-3:30 p.m. in the Council Chambers.

(e) The Public Record - There was no Public Record filed.

(f) Boards, Commissions and Committees

(1) Deferred Compensation Advisory Committee

This item was reported at the May 21, 2002 Council meeting.

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

(1) Request Fire Department to provide stroke education and training to firefighters and paramedics

The Committee referred to Council Member Dando’s request to the Administration with direction to return to Rules Committee on May 29, 2002 with a report on the workload assessment to provide Stroke Awareness Training.

(h) Administrative Reviews and Approval - There were none.

(i) Oral communications - There were none.

(j) Adjournment - The meeting was adjourned at 1:15 P.M.

Discussion/Action: Upon motion by Vice Mayor Shirakawa, Jr., seconded by Council Member Chavez, and unanimously carried, the Rules-in-Lieu Committee report and actions of May 15, 2002, were accepted. Vote: 9-0-2-0. Absent: Dando, LeZotte.

4.2 Acceptance of the report updating the City Council on Best Practices for Construction Impact Mitigation and directing staff to prepare policies and guidelines for implementation of Construction Impact Mitigation Plans for extraordinary projects. (City Manager’s Office/Redevelopment Agency)

Documents filed: Memorandum from City Manager Del D. Borgsdorf and Redevelop-ment Agency Executive Director Susan F. Shick, dated May 28, 2002, recommending Council accept said report and direct Staff to prepare said policies and guidelines.

Discussion/Action: Council Member Cortese stated this item is a response to his referral submitted during the Council Priority session last year, which called for an ordinance whereas the proposal calls for Staff to return to Council with a policy. He expressed concerns about whether policy guidelines are sufficient to successfully implement construction impact mitigation requirements, and stated an ordinance may be more effective in giving notice of the City’s requirements. Public Works Director Allen stated Council could adopt the program in either fashion, either by way of a policy which would through the permitting process, address mitigation issues, or adopt an ordinance, and Staff could provide as alternatives, both policies and guidelines and a draft ordinance. Council Member Cortese stated he would like to see this come back with alternatives in the form of a draft ordinance, and commented on the definition of the program as applicable to extraordinary projects and questioned how the Council will have input on projects not termed extraordinary. He questioned how determinations of “extraordinary” would be applied to projects, and which projects would come to City Council via the Director’s Hearing or the Planning Commission. Public Works Director Allen stated that City-funded projects would require City Council action, whereas private projects within a specific mitigation area would be permitted under the policies that would be adopted in the report which Staff will bring back to the Council. She stated those projects would not necessarily come back to the Council, but the policies and procedures would come to Council and it would be Staff’s responsibility to incorporate those policies and procedures into the permits that are issued. She noted that in the report coming back to Council in the next 90 days, Staff can identify those types of projects and devise a strategy on what kinds of mitigations need to occur. He clarified that the original referral did not intend a result that would require the City of San José as a jurisdiction to pay any direct rent or operating subsidies, but as originally contemplated, would require agencies and their contractors to include the option of cash compensation that would be justified in a case where the project was causing significant economic hardship or even destruction of a business, and asked whether there is a legal obligation on the part of those entities to consider such an option. He stated if there is severe impact that can be predicted in advance, the agency and contractors could factor that into the mitigation plans they present the City for review and suggested leaving that option open.

Council Member Chavez suggested that before this issue comes back to Council, Staff should evaluate the way the program works now compared to he overall strategy of rebuilding the downtown and avoiding blight, which are the Council’s goals for the downtown. She suggested blight avoidance could be facilitated by construction mitigation zones based on triggers such as best practices and the magnitude of construction activity, considering the fragility of the core, and the number of multiple projects within a certain range. She stated she would like this issue to come back to Council with specificity around how to handle areas that are of high impactions, based on those two triggers, but not excluding other appropriate triggers. She moved approval of the Staff recommendation to move forward on the Construction Impact Mitigation Plans for extraordinary projects, with Staff to come back to Council with options for policies and ordinances with an examination of construction mitigation zones and with an evaluation of the current program, and including the option of using monetary compensation or rent abatements on extraordinary projects which may cause economic hardships to businesses. Council Member Cortese seconded the motion. Council Member Cortese stated the referral as originally contemplated would include options for agencies which submit plans to consider mitigation plans of monetary compensation or rent abatements on extraordinary projects. He suggested the City not preclude the option of cash compensation that would probably be rightfully be justified in a case where the project itself was causing economic hardship or even destruction to a business, and requested that option be included in the motion. Council Member Chavez agreed to the amendment to the motion.

Council Member Reed concurred with the issue of mitigating impacts to current businesses when severe hardships are created by new construction projects. Council Member Cortese stressed his concerns that Council Members may want to review specific mitigations requirements in conjunction with public input on extraordinary projects on extraordinary projects. Mayor Gonzales stated he agrees with the comments made concerning disruptions to business during major construction projects, and noted the importance of such projects to facilitate new business through improved transporta-tion and other amenities, stressing both sides of the equation. He spoke in favor of effectively managing such projects in stages to limit the impact to one section of an area at a time. On a call for the question, the motion carried unanimously, and the Report was accepted with direction to staff to move forward with the Construction Impact Mitigation Plan, to come back to Council with options for policies and ordinances, with an examination of construction mitigation zones and evaluate the way the current program is working and to examine monetary compensation options. Vote: 9-0-2-0. Absent: Dando, LeZotte.

4.3 PUBLIC HEARING and adoption of a resolution designating the Arthur Monroe Free House, located at 66 South 14^th Street as a landmark of special historic, architectural, cultural, aesthetic, or engineering interest or value of a historic nature. Director of Planning, Building, and Code Enforcement recommends approval. CEQA: Exempt. Council District 3. SNI: University. (Planning, Building, and Code Enforcement)

Documents filed: (1) Memorandum from the Historic Landmarks Commission, dated May 8, 2002, recommending adoption of said resolution designating the Arthur Monroe Free House as Historic Landmark No. HL02-145. (2) Proof of publication of Notice of Public Hearing, executed on April 19, 2002, submitted by the City Clerk. (3) Affidavits of Mailing and Routings, dated June 6, 2002, submitted by the City Clerk.

Discussion/Action: The public hearing was opened and John Olsen, Vice President, Preservation Action Council of San José, addressed the City Council in support of the proposal. Upon motion by Council Member Chavez, seconded by Vice Mayor Shirakawa, Jr., and unanimously carried, the public hearing was closed and Resolution No. 70994, entitled: “A Resolution of the Council of the City of San Jose Designating, Pursuant to the Provisions of Chapter 13.48 of Title 13 of the San Jose Municipal Code, the Arthur Monroe Free House, Located at 66 South 14^th Street, as a Landmark of Special Historical, Architectural, Cultural, Aesthetic, or Engineering Interest or Value of a Historic Nature”, was adopted. Vote 9-0-2-0. Absent: Dando, LeZotte.

4.4 Report on bids and award of contract for the Redmond Avenue Sanitary Sewer I&I Reduction Project to the low bidder, Insituform Technologies Inc., in the amount of $685,515, and approval of a contingency in the amount of $69,000. CEQA: Exempt, PP01-08-137. Council District 10. (Public Works)

Documents filed: Memorandum from Director of Public Works Katy Allen, dated May 8, 2002, recommending award of said contract, with related contingency, to the Low Bidder, Insituform Technologies, Inc.

Discussion/Action: Upon motion by Council Member Cortese, seconded by Council Member Chavez, the award of said contract, with related contingency, to the low bidder, Insituform Technologies, Inc., was approved and its execution authorized. Vote: 9-0-2-0. Absent: Dando, LeZotte.

4.5 Final adoption of Ordinance No. 26619 – Amends and restates Chapter 17.72 of Title 17 of the San José Municipal Code, Property Blight, in order to reorganize the Chapter, to make clarifying changes, to specify landscaping requirements for single family and multi-family dwellings and park strips, and to specify storage requirements for certain items in residential zones, and amending Section 20.30.430 of Chapter 20.30 of Title 20 to provide a cross reference to the provisions of Chapter 17.72 of Title 17 and to move certain provisions from Section 20.30.430 regarding the parking and storage of motor vehicles on the front setback of lots located in residential districts to an uncodified section of this ordinance. (Planning, Building, and Code Enforcement)

Documents filed: None.

Discussion/Action: This Item was deferred to June 11, 2002 to be heard in the evening.

RECREATION & CULTURAL SERVICES

5.2 Acceptance of Staff’s Quarterly Status Report on the Parks and Recreation and Branch Library Bond Projects. (City Manager’s Office)

Documents filed: Memorandum from City Manager Del D. Borgsdorf, dated May 16, 2002, recommending acceptance of the Quarterly Status Report on the Parks and Recreation and Branch Library Bond Projects.

Discussion/Action: Deputy City Manager for Capital Projects, Terry Roberts, made the presentation on the Status Report on Parks and Recreation and Branch Library Bond Projects. Using overhead slides, he referenced the Project Schedules and Details on the City’s Website, recapped the Projects in 10-year Bond funding with an estimated cost of $439 million, Bond Project Activities consisting of community and SNI meetings, projects underway and in design phase, construction contract awards, projects under construction by June 2002 and by June 2003, projects completed and those scheduled for completion by June 2004. He highlighted charts on Bond Project Starts and Finishes, Program Schedule Status, Update of Park, Library and Community Center Projects’ status. In summation, he reported details of the CIP Action Team, Staff Oversight Committee, Quarterly reports to the City Council, Parks and Recreation Commission and Library Commission Reports, and the City Auditor’s Review, and acknowledged the work of Staff in the Departments of Parks, Recreation and Neighborhood Services, Public Works and the Library. Council Member Chavez commented on the issue of resetting schedules that have to be extended, and suggested improved monitoring, especially where inter-jurisdictional permits are involved. Reference the Berryessa Swim Center, Council Member Reed stated the community is interested in doubling the project and funding would amount to $5 million, and regarding discussions during the budget process pertaining to the LeFevre House on the Parks list, stated he hopes the cost will be smaller, possibly through a redesign. Upon motion by Council Member Diquisto, seconded by Council Member Williams, and unanimously carried, the Status Report for quarter ending March 31, 2002, was approved. Vote: 9-0-2-0. Absent: Dando, LeZotte.

5.3 Report on bids and award of contract for the Hathaway and Hillview Parks Play Area and Restroom Renovation Project to the low bidder Jensen Corporation Landscape Contractors, to include the base bid and Add Alternate Nos. 1, 2, and 3, in the amount of $694,994. CEQA: Exempt, PP03-03-048 and PP03-03-047. Council Districts 1 and 5. SNI: Hillview Park-East Valley /680 Community. (Public Works)

Documents filed: Memoranda from Director of Public Works Katy Allen, dated May 8 and 23, 2002, recommending award of said contract to the low bidder, Jansen Corporation Landscape Contractors.

Discussion/Action: Upon motion by Council Member Campos, seconded by Council Member Chavez, and unanimously carried, the award of said contract to the low bidder, Jansen Corporation Landscape Contractors, was approved and its execution authorized. Vote: 9-0-2-0. Absent: Dando, LeZotte.

TRANSPORTATION SERVICES

6.1 Approval of a recommendation to perform slurry sealing on residential streets for FY 2002-2003. (Transportation)

Documents filed: Memorandum from Director, Department of Transportation, Wayne Tanda, dated May 21, 2002, recommending approval of the use of slurry seal as the preventive maintenance seal treatment for the City’s residential streets for the 2002-03 maintenance season.

Discussion/Action: Council Member Diquisto moved approval of the Staff recom-mendation. Council Member Cortese seconded the motion. Responding to inquiries from Council Member Yeager regarding use of light-colored aggregate, Transportation Deputy Director Jim Ortbal clarified that the light-colored aggregate will be used on lighter streets only and a darker aggregate will be used on larger streets. Vice Mayor Shirakawa, Jr., stated his district, as are Council Members Yeager’s and Chavez’s districts, years behind in reconstruction, and therefore he would prefer use of chip seal which would be more cost effective and provide more miles of paving, and stated he would not support the motion because of the need to address the backlog as soon as possible. Responding to questions from Council Member Campos, Deputy Director Ortbal stated switching to slurry seal would not impact the number of miles done or the 10-year recovery plan schedule, however, he noted there is an overall shortage of funds to be able to do street resurfacing. In reply to questions from Vice Mayor Shirakawa, Jr., on the cost of switching to slurry seal, Deputy Director Ortbal clarified that recent bid specifications for chip seal identified efforts to remove loose rocks for effectively and the result was that bid prices came in higher and very close to the slurry seal cost estimates, and the number of miles covered would be comparable. He stated the major cost difference emerges in approximately eight years when the slurry seal has to be resurfaced whereas chip seal lasts ten years. Council Member Chavez questioned whether the chip seal program has been tested with the improvements specified in the latest bid specifications. Deputy Director Ortbal stated that product has not been tested. Council Member Chavez stated she opposes the use of slurry seal because of the impact on the Cool Community context of the darker colored slurry seal and because the improved chip seal which would last longer has not been tested in the communities. Deputy Director Ortbal clarified that while the slurry seal is darker initially it lightens over time and a lighter aggregate is available for use in the slurry seal; and responding to Council Member Campos, he stated slurry seal would not fall under the Cool Community context for approximately two years. On a call for the question, the motion failed with Council Members Campos, Chavez, Reed and Shirakawa, Jr., dissenting. Council Member Chavez moved approval of the new improved chip seal product. Council Member Campos seconded the motion. On a call for the question, the motion carried, the Staff recommendation for Council approval to use Slurry Seal for City street maintenance was not approved, and Staff was directed to use the new refinements to the chip seal treatment process as described in the Staff report to perform chip sealing on residential streets for FY 2002-2003. Vote: 6-3-2-0. Noes: Cortese, Diquisto; Gonzales. Absent: Dando, LeZotte.

6.2 (a) Adoption of resolutions by the City Council and Redevelopment Agency Board approving recommendations to the VTA and BART Board of Directors on the alignment and station locations for proposed BART service in the City of San José.

(b) Prepare a construction impact mitigation plan by December 2002, working in coordination with the affected community, and to include a study of alternative construction methods for the Downtown stations, ranging from “underground excavation” to “cut and cover”.

(Transportation/Redevelopment Agency)

(This Item was renumbered to 10.1).

Documents filed: See Item 10.1 for documents filed.

Discussion/Action: See Item 10.1 for City Council discussion and action.

6.3 Approval of staff’s report on the implementation date of the Horace Mann and South University Residential Parking Permit Program. (Transportation)

(Deferred from 5/28/02 – Item 6.1)

Documents filed: None.

Discussion/Action: This Item was deferred to June 4, 2002.

ENVIRONMENTAL & UTILITY SERVICES

7.1 Acceptance of the status report on the transition of the Recycle Plus! Program. (Environmental Services)

(Deferred from 5/21/02 – Item 7.1)

Documents filed: Memorandum from Director of Environmental Services, Carl W. Mosher, dated May 24, 2002, recommending Council accept the Status Report on the transition of the Recycle Plus! Program.

Discussion/Action: Director of Environmental Services Carl W. Mosher made a presentation on the next to last status report related to the Recycle Plus! transition to begin on July 1, 2002, and highlighted the major event dates leading up to commencement of the new program. He explained the preparations each of the three contractors have made, stated GreenTeam’s Municipal Recovery Facility (MURF), will be completed and begin delivery of recycled carts to customers on June 1. He stated Norcal’s headquarters is under construction and cart deliveries will begin June 24, and California Waste Solution’s (CWS) facility will not come on line until August. He stated Norcal has stepped up contingency plans related to the processing of the recycled materials and will use the CWS processing facility as a transfer station. He stated they will transfer the materials from the garbage collection and recycled truck to vehicles which will transport the recycling material to Pier 96 in San Francisco, and use of this alternate site during July and August will not impact customers. He stated Norcal and CWS are working with the labor unions related to the employees that will be impacted during that period of time that the processing facility will not be utilized. He stated Green Waste recovery is providing yard trimming services throughout the city, and is finalizing routes and will begin delivery of yard trimming carts to those who selected those carts on June 24th. He stated collection day changes for about 25% of the city, or about 50,000 customers, and Staff has worked with the haulers to minimize those changes, maps of the changes have been provided to the council offices, and on the last step date of June 25^th, amendments to the hauler contracts will come to Council along with the rate resolution for the multi-family program and the new carts for the yard trimming subscription.

Larry Daugherty, President of Teamsters Local 350, stated the union has been unable to reach CWS for negotiations until today concerning the approximately 80 workers who are being displaced by the change in contractors and whom are not being offered jobs. he stated there are maintenance and driving jobs at CWS that union members are performing for the current contractors, yet CWS will not commit to hire those workers for that work. He stated despite conversations with CWS and Norcal, it is still not known what will happen to those workers in the transition, and he urged Council to assist in resolving those issues to ensure a smooth transition on July 1, 2002. Director Mosher stated Mr. Daugherty is referring to what would happen to the worker if the facility is not open on July 1, 2002, that a meeting is scheduled, and Staff will work with Norcal and the Teamsters union to make certain every employee is treated equitably with relation to those offered jobs. Mayor Gonzales stated that given the fact that it was known that in going to these new providers there would not be as many jobs, and that the Council had made it clear that staff should ensure that worker retention should be high on the list of Norcal and the subcontractors, he stated he was disappointed to hear it has taken this long for the companies to contact the labor group which is representing the employee organization, and he invited the Norcal representative to respond.

Elihu Harris on behalf of California Waste Solutions, stated they had conducted several meetings with the teamsters and Norcal and another is scheduled for next week to discuss the issues of labor and benefits for the new employees, and discussion of what will happen to those employees after July 1^st and provisions will be made for them. Mayor Gonzales thanked him and commented that the Council is understandably concerned about the transition going smoothly. Council Member Williams moved approval of the staff report. Council Member Diquisto seconded the motion. Council Member Reed encouraged California Waste Solutions to spend the necessary time with the teamsters, given the short time frame to get the issue resolved. Council Member Chavez requested both Norcal and CWS keep the Council apprised of their meetings and the outcomes of their progress and expressed concerned about the issue of labor peace and reiterated that the time is short to reach resolution. Mayor Gonzales suggested the haulers process the information Council Member Chavez requested through City Staff to the Council. On a call for the question, the motion carried unanimously and the status report on the transition of the Recycle Plus! Program was accepted. Vote: 9-0-2-0. Absent: Dando, LeZotte.

JOINT COUNCIL/REDEVELOPMENT AGENCY

The Redevelopment Agency Board convened at 3:45 p.m. to consider Item 10. 1 in a Joint Session.

10.1 (a) Adoption of resolutions by the City Council and Redevelopment Agency Board approving recommendations to the VTA and BART Board of Directors on the alignment and station locations for proposed BART service in the City of San José.

(Transportation/Redevelopment Agency) (This Item was renumbered from 6.2).

Documents filed: (1) Memorandum from Mayor Gonzales and Council Member Chavez, dated May 28, 2002, recommending Council approve the Staff recommendation, including the proposed construction mitigation language contained on page 8 of the Staff report. (2) Memorandum from City Manager Del D. Borgsdorf and Redevelopment Executive Director Susan F. Shick, dated May 22, 2002, recommending City Council and Agency Board approve recommendations to the VTA and BART Board of Directors on the alignment and station locations for proposed BART service in the City of San José. (3) Correspondence from five residents commenting on the proposed recommendations to the VTA and BART Board. (4) Hard copies of overhead presentation by City and Redevelopment Agency Staff.

Discussion/Action: Utilizing overhead slides, the Staff presentation was given by Deputy Director of Transportation Hans Larsen and by Transportation Director Wayne Tanda, Mr. Larsen recalled that in November of 2000, voters of Santa Clara County approved local funding in the area of $2 billion to extend BART to Santa Clara County and the City of San José, and since that time tremendous progress has been made with the VTA as the lead agency, working with BART, local jurisdictions and the public to move the project forward. He stated the Staff report and recommendations define specific alignment and station locations and provide background to the progress to date. He stated that combined with the local transit investment, BART provides an excellent connectivity to the rest of the Bay Area regions, will provide a very competitive travel choice within this corridor and encourage Smart Growth development in the urban centers, and helping to revitalize the Downtown Area. He outlined the status of the project, detailed major schedule milestones, i.e, completion of the Environmental Impact Report (EIR) by October 2003, construction beginning in 2006 and completion in 2012. He stated a major investment study was adopted and preliminary design is in the process of being refined, and the discussion today focuses on the specific alignment and station locations and, within the next six months, will be on developing plans for the station areas and reviewing specific environmental impact mitigation. He noted the project has been directed thus far with extensive direction from the public through an Advisory Board that Mayor Gonzales and Council Member Chavez sit on, community work groups and public meetings, and on May 15, 2002, a Technical Advisory Committee meets which combines the technical staff from BART and VTA, other cities and consultants and, within the City of San José, a Project Development Team which involve the Departments of Transportation and Planning, Building & Code Enforcement working together in developing specific issues in San José.

He stated the report addresses the alignment and station location, tunnel section within the Downtown Area and BART below ground, and the Staff recommendations refine the City’s preferences. He discussed various options pertaining the Capitol-Montague area, where Staff is recommending below-grade alignment of BART, and locating the station immediately south of Berryessa Road as a value engineering perspective to deliver the best service at the most beneficial cost, and provide a central location for future development. He stated further work here will require coordination with the Flea Market and the design of the station provides an opportunity for integration with the Creek Trails, Penitencia and Coyote Creek. He stated a significant issue relates to access to the BART system, primarily from the Route 101 Freeway Corridor, where a large portion of the ridership cine from people driving to the BART system and create a very high parking demand from traffic Northbound on 101 coming off at the Alum Rock Station, requiring a parking garage with approximately 2500 spaces. He stated an idea put forth by the community is to split access to the station by providing a new interchange which is in the City’s General Plan at Route 101, Taylor and Maybury Streets; to provide approximately 1500 spaces at Alum Rock and 1900 spaces at Berryessa. He stated Staff is recommending further study of this issue, and within the Taylor/Maybury complex, Staff is reviewing options that would consider a full or partial interchange at that location. Relative to the location and alignment of the station in the Alum Rock area, he stated five alternatives have been studied, with the primary goal of providing convenient transit between the BART and transit lines on Santa Clara street, to foster good transit development and provide good access to Route 101. He stated two options meet those goals, one runs at a diagonal from Route 101 to Santa Clara Street and in the other option, BART runs over Route 101, to 28^th Street and loops down to tie into Santa Clara Street, and Staff is recommending further study of both those options. He stated the loop option has a lesser cost but has greater impact due to tunneling underneath the residential community; whereas the more expensive option has a better alignment for BART but at a higher cost. Of the five alternatives, he stated Staff recommends focusing on those two alternatives.

Regarding BART alignments in the downtown, he stated Staff recommends the Santa Clara alignment through the downtown as the option which best meets the land use objectives that envision Santa Clara Street as the main street of the downtown. He stated the alignment would have a lesser cost, primarily due to less utility impacts in the Santa Clara Corridor. Relative to the number of stations in the downtown, he stated there is a choice of either three stations or two and Staff recommend the three-station alignment on Santa Clara Street, the first located at Civic Plaza with easy access to San José State University, the second station at Market Street, spanning from the Transit Mall to San Pedro Square and the third at Diridon. He stated the objective of the alignment at Diridon Station, would be to provide good interface with connections to the Diridon Station as well as to support land development in the immediate facility and access to the Arena. He noted this issue is undergoing a detailed study as part of Diridon Strategy Plan, and Staff recommends more time to find the best solution. At this point, he stated Staff recommends against locating BART on Santa Clara Street because of the higher costs and significant construction impact in front of the Arena.

Relative to the Airport area, he stated Staff recommends access to the Airport from BART via the Automatic People Mover (APM) system, as the favored option because it features better integration with all transit services, and at the Santa Clara Station, pull together those services into a single multimodal terminal and provide convenient access to multiple destinations within the airport complex. Hediscussed the issue of mitigating construction impacts, which has come up in community meetings, stated the most significant impacts will occur at the station location, and recommended the project team prepare a Construction Impact Mitigation Plan for completion of BART by December 2002, working with the community, including a range of construction methods, and balancing costs versus time and disruption to the community; to be reviewed by City Council and other involved entities. In summation, he stated action on the BART alignment and station locations goes before the BART Policy Advisory Board May 29, 2002, to the Valley Transportation Authority and BART Board of Directors on June 28, 2002, followed by planning and preliminary design work on Station Area Planning Studies through the summer and by December 2002, completion of technical studies on the environmental impacts and mitigation plans, followed by public hearings on the Draft Environmental Impact Report (EIR) in February 2003, with action on the Final Environmental Impact Report possible by the Fall of 2003.

Mayor Gonzales thanked the Staff team working on this project, and hHe stated that BART will play a tremendous role in the future economic development of the downtown as well as San José and Silicon Valley, and his memorandum co-authored with Council Member Chavez supports the focus of the Staff report as the best option, that the approach on the EIR has been to narrow the options and reduce the cost of the EIR but also to have options available at the end of the EIR process in order not to waste time should one recommendation be unworkable. He stated their memorandum outlines concerns on how BART is constructed because of the uniqueness in the tunneling technique