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PC 04-14-09 CITY OF CUPERTINO 10300 Torre Avenue Cupertino, CA 95014 CITY OF CUPERTINO PLANNING COMMISSION APPROVED 11~IlNUTES 6:45 P.M. APRIL 1 2009 TUESDAY CUPERTINO COMMUNITY HALL The regular Planning Commission meeting of Apr71 14, 2009, was called to order at 6:45 p.m. in the Cupertino Community Hall, 10350 Torre .Avenue, Cupertino, California, by Chairperson Lisa Giefer. SALUTE TO THE FLAG ROLL CALL Commissioners present: Chairperson: Lisa Giefer Vice Chairperson: Paul Brophy Commissioner: Winnie Lee Commissioner: Marty Miller Commissioner absent: Commissioner: David Kaneda Staff present: Community Development Director: Aarti Shrivastava City Planner: Gary Chao Senior Plarmer: Vera Gil Planning Imtern: George Schroeder City Attorney: Carol Korade APPROVAL OF MINUTES: Minutes of the March 24, 2009 Planning Commission meeting: Motion: Motion by Com. Brophy, second by Com. Miller, to approve the March 24, 2009 Planning Commission meeting minutes as presented. (Vote: 3-0-1; Com. Kaneda absent) WRITTEN COMMUNICATIONS: Chair Giei:er noted receipt of items regarding Item No. 1. POSTPONEMENTS/REMOVAL FROM CALENDAR: None ORAL COMMUNICATIONS: None CONSENT CALENDAR: None PUBLIC HEARING: 1. U-2009-02, Use Permit and Architectural and Site Approval for ASA-2009-02 the construction of a new automated car wash tunnel, Muthana Ibrahim anew trash enclo:;ure, enhancements to the parking lot, (Atam Sandhu) and new landscaping features at an existing gas station. 1699 So. DeAnza Blvd. Planning Commission decision final unless appealed. Cupertino Planning Commission 2 April 14, 2009 George Schroeder, Planning Intern, presented ithe staff report: • Reviewed the application for a use permit an~i azchitectural and site approval for construction of a new 846 foot automated caz wash tunnel at an existing gas station, a new trash enclosure, landscaping enhancements to the site and sidewalk and driveway improvements at the intersection along Prospect road, as outlined ire the staff report. • He reviewed the proposed site plan. The applicant is proposing to eliminate the safety hazards caused by the two driveways nearest the intersection by closing the self-driveway on DeAnza and modifying the east right driveway on Prospect to ingress-only. The proposed location of the car wash is ideal for queuing and will not create any traffic hazards. Vehicles will enter the car wash from DeAnza Boulevazd and will exit onto Prospect Road. The applicant proposes to improve the landscaping along Pr~~spect Road, providing a landscape pazkway and attached sidewalk consistent with the Sunnyvale-Saratoga Conceptual Zoning Plan. The applicant is also proposing to extend existing :planters on site and plant several trees as well as new shrubs and groundcover; and to add decorative trellises with vines to all sides of the tunnel to reduce building mass. He reviewed the parking requirements; the project proposes six pazking spaces. • A noise study recommended a 9 foot high sound wall and a noise reducing drying fan be implemented in order to comply with the Cupertino noise ordinance. Staff requests that the Planning Commission add a condition for the Planning Department to approve the final design of the sound wall prior to the issuance of building permits. • Staff recommends the Planning Commission ~ipprove the use permit and architectural and site review in accordance with the conditions in th~~ model resolution. Applicant, 2960 Camino Diablo, Walnut Creek: • Said they worked hard with the Planning Dept. to reach the current layout of the site plan and a design of this project and agree with conditions set forth. No questions were asked of the applicant. Chair Giefer opened the public heazing. Ting Kao, Cupertino resident: • Resides directly behind the current Keiko Sushi restaurant and said the main concern was potential noise problems in the evening. Asked that the Planning Commission and City Council consider limiting the hours of operation of the caz wash so they would not be exposed to loud music from caz radios and they could leave their house windows open at night without negative noise impacts. • Said that based on the guidelines, there should be a concrete wall sepazating the residential azea from the business azea, to mitigate the noise problem; and the wall does not exist. • Opposed to the application. Philip La Barbera, Owner of Liquor Store nett to Service Station: • Expressed concern about potential traffic jams,. He said he had no objections to the operation of the car wash if the traffic jams were addressed and minimized. Upi Rekhi, Owner of Liquor Store next to lot: • Said he was concerned about the driveway being blocked as the Fire Department needed access. He suggested that the Fire Department be consulted before approval of application, as there was a previous incident where access wa:; blocked dur7ng an incident. Cupertino Planning Commission .S April 14, 2009 Pat Kennedy, Cupertino resident: • Opposed to the application because of noise i rom the car wash, which is about 100 yards from his home. He questioned the need for anoth~:r car wash in Cupertino since there were four in Cupertino and two at Westgate. Patricia Wandry, Prospect Road: • Questioned the need for another caz wash in (:upertino. • Concerned about traffic congestion; and the effect it will have on the entrance and exit to the Coach House Center which already gets congested. People use the azea in the back of the gas station as a way to get into the center; the only other option is entering by the restaurant in the back or from Sazatoga/Sunnyvale Road. • Concerned about safety for the customers of the smog business. Previously it had two bays, with room for the customers to sit inside on chairs; recently they have only one bay and customers aze sitting on folding chairs in the pazking lot, where the new ingress-only entrance is, and where the other cazs aze going to be exiting. Chair Giefer closed the public heazing, and summazized issues for staff review. • The hours of operation for the caz wash. • Review of the proposal by the Fire Department to determine if they have full access. George Schroeder: • Responded that the applicant proposed to have the caz wash opened from 8 a.m. to 8 p.m., 7 days a week. • Convenience store hours aze 7 a.m. to 11 p.m.., 7 days a week; service bay is open 9 a.m. to 6 p.m. Monday through Saturday. • The Fire Deparhnent has reviewed the plan for full access and don't anticipate any problems. Gary Chao, City Planner: • Said the Prospect driveway is not being touched; it currently exists as a two-way in/out driveway and will be maintained as a two-way in/out. The one previously discussed is the one closest to the intersection, and will be reduced to an in-only because of traffic issues or hazards related to the current situation. With the enh~uicements to that driveway and also the enclosure of driveway along DeAnza, closest to the ir.~tersection, Public Works feels that it will be an enhancement to the overall circulation at lean: azound the peripheral of the project site. • Said that Public Works is concerned that the; cars do not get backed up into the street and is comfortable with the proposed layout along the northerly property line where five cars could queue up. • There was a brief discussion about noise impacts, Gary Chao said that the sound wall is primazily to protect the office complex next to it, because of its close proximity to the car wash. Applicant: • Said the source of noise from the car wash i~; toward the exit, not the entrance, where there is nothing to make noise. The sound study determined that the sound decibel would be below the city ordinance at 55 north of the entrance which is why they don't need a wall at the north property line to protect the shopping center. ]Prospect is noisy enough that a wall is not needed to reduce the decibel on the street. Cupertino Planning Commission 4 April 14, 2009 Com Brophy: • Said that the issues of the public concern have been addressed by the applicant; staff has done a good job of identifying them and resolving them with the various departments. • Supports the ordinance as drafted. Com. Lee: • Concurred with Com. Brophy's comments. Com. Miller: • Said he concurred with Com. Brophy's comments. There is adequate alternatives should this become an issue later on resulting in complaints. There are some choices to be made to improve the situation. Chair Giefer: • Concurred with the suggestion about hours of operation, No. 3 on use permit; that the facility should not operate between 11 p.m. and 7 a.~n. She suggested that the hours of operation for the car wash be specifically stated, since many people are concerned there may be an increase in noise from the site. Gary Chao: • Staff suggested that the Planning Commission add a condition that requires that the fmal design of the sound wall be reviewed prior to the issuance of the building permit. • Suggested that the hours of operation for the service bay be limited from 9 a.m. to 6 p.m., and the convenience store limited to 6 a.m. to I 1 l~.m. Hours of the car wash are 8 a.m. to 8 p.m. Motion: Motion by Com. Brophy, second by Com. Lee, to approve Application U-2009-02, ASA-2009-02 as drafted by staff vvith following modifications: No. 3, hours of operation; hours be listed as drafted in staff report rather than language currently used, and language be added that the 9 foot sound wall design be reviewed by staff, and approved prior to the issuance of the building permit. (Vote: 3-0-1, Com. Kaneda absent) Motion: Motion by Com. Miller, second by Com. Brophy, to revise the agenda order and discuss Item 3. (Vote: 3-0-1; Com. Kaneda absent) 3. ASA-2009-03 Appeal of a Design Review Committee decision approving an Barre Barnes architectural and site review for a new 5,202 square foot, two-story (Pasricha new residence in the Oak Valley Planned Development. Planning residence) Commission decision finch unless appealed. 10450 Serra St. Appellant: Leigh and Tim Stevens George Schroeder presented the staff report: • Reviewed the appeal of the DRC's decision of Architectural and Site Approval of a new 5,202 square foot, two-story, single-family residence, located at 10450 Serra Street, as outlined in the staff report. • Leigh and Tim Stevens, the appellants reside south of the project site and feel that the project will change the neighborhood character; the current location has potential safety and welfare concerns; and that the current location of the ]louse will potentially decrease property values. • The applicants feel that rotating the house will help alleviate the concerns. They are not Cupertino Planning Commission April 14, 2009 requesting changes to the design or size of the house. The applicant is not required to rotate the house since the current situation is within the prescribed setbacks and other developmental regulations. The applicant's home is within the required development parameters set forth by the Oak Valley Planned Residential District :end is consistent with the mass and bulk of other homes in the area. Staff is not aware of any health, safety or welfare concerns with the current site of the house; the city geologist reviewed the project and his recommendations were added to the conditions of the original DRC approval. The applicant still has to submit detailed soil reports and structural calculations during the building permit phase. Staff is not aware of any factors associated with the property values as far as decreasing them. • The Planning Commission may consider thc; options; uphold the appeal, uphold the appeal with modifications, or deny the appeal and uphold the DRC's decision. • He explained that the application was sent to the DRC because it is in the Oak Valley Planned Development District, and the use permit that applies to that site states that all new houses have to go through the DRC. • Explained that the homeowners association no longer exists, and as stated in the CC&Rs, the procedure after the homes are built is that it defaults to the city as the authority for reviewing any new proposals or any modifications. T}iat is why it is being reviewed by the DRC and before the Planning Commission. Tim Stevens, Appellant, presented rationale foir his opposition to the application. • Said they appealed the DRC decision because of threat to health and safety, and property values; the major issue being that the pro~~osed project will change the character of the neighborhood. Homes in Oak Valley have been master planned to have a certain consistency; one that complements the size, shape, harmoTiy and balance of the underlying properties. The current house is not centrally placed on the lot; it is pushed over to one side, with setbacks of 35 feet on one side and 96 on the other side. 'The house is squared to the cul de sac as opposed to shaped around the cul de sac. They feel t:he project does not conform to the R1 ordinance for this respect. • Said he felt the solution was to move the house to angle it to complement the curve of the cul de sac. They are not requesting that the house be redesigned, are not objecting to the overall design of the house or the size of the house; but feel that the orientation and placing of the house where they have placed it is going to create a big gap and will be inconsistent with how all the other houses in the development are situated. • He said they have tried to resolve the matter with the homeowner; the first contact with the homeowner of the project was just a few days; before the DRC, with a notice that they approve or concur with the designs. He reviewed tl~e subsequent discussions and meetings with the applicant, real estate agent and builder. They were informed that no changes could be made and no accommodation without having to ch2~nge the overall design and overall project. They suggested moving it over and angling it which would be sufficient for them to support the project. There were follow up meetings with the real estate agent, but they were informed that the applicants did not want to make any chan€;es. • Said that the property owners are trying to sell the property. • Said they were in agreement with all the other issues except the angle of the house on the property. If the house is moved a few feet: and angled, that would be enough for them to support the project. In doing so, it would alleviate the perceptive mass and scale of the house; it is one of the largest homes in all of the Oak Valley development. P. J. Pasricha, applicant: • Said throughout the 14 month process period, they have been good citizens, and followed every rule and directive given to them, went through multiple iterations at considerable cost to them, not only to comply with city law, but also so their house would conform to the shape Cupertino Planning Commission fi April 14, 2009 and feel of the neighborhood as instructed by the city. All the neighbors with the exception of the Stevens have signed approval of the plans. The desire of the Stevens is to have an unobstructed view from the side of the house; clearly stated by Mrs. Stevens when she appeared in front of the Planning Commission before. He said he felt the Stevens have dealt with the issue in a hostile manner, threatening them with lawsuits. The city has to decide whether the city designed review system will be allowed to be hijacked by a single person with clearly very selfish motivations. • He said he felt they were victims in the process because they were faced with difficult monetary consequences because of the delay. He said they put the house up for sale because of the possibility of losing hundreds of thousands of dollars on the loan if the project was not completed by the end of this year. • He clarified that the setbacks were not 35 feet and 96, but 50 feet and 35 feet; and said it was not the biggest house on the street; and was designed in accordance with city law. Com. Miller: • Asked the applicant if there was further cost amd delay involved to re-orient the house. Mr. Pasricha: • Said the reasons he would not want to do that was that they don't feel that the orientation of the house is incongruous with the neighborhood; it would compromise the design of their back yard; and according to their builder and the ;ketch that the Stevens made, the site is not valid and is not safe as part of it is close to the canyon. He said he did not want to spend more time going back with design review. Gary Chao: • Said that the area has been built out and the original design guidelines were followed with some exceptions. The guidelines were meairt to give staff and property owners guidance; he recently walked the site to make sure that the proposal isn't repetitive product and it adds to the diversity which is the intent of that document. Chair Giefer: • Said that on Page 3-4 of staff s report, there :is a site plan of the house and a shaded gray area to the left with a label that says "private opc;n space easement". Who put that easement on, and is it actually private property. What is the definition of that and how can that property be used? Gary Chao: • In the Oak Valley CC&Rs, when the area ways subdivided and entitled, there were open space easements that were required and are not public spaces. In this case they would be part of the back yard of a private property, but it is intended to keep open, and be unobstructed from structures to keep that visual openness to it, to preserve the rural feeling of the area. It is part of private property but it is easement, so it is more intended for view to be openness; the property cannot encroach into that area. • Said the shaded area shown is easily confused with the cone of vision for privacy protection; there is some overlap of the cross hatching; staff can clarify where the easement actually lies which runs parallel to the rear property line. Chair Giefer: • Said she would like another site plan to refe~~ to be clear where the easement is to make sure they are not building into that envelope. Cupertino Planning Commission April 14, 2009 Gary Chao: • Said that the pie-shaped darker shade of the area, is the cone of vision for privacy protection; it happens to be in the same area, it is not the open space easement. The open space easement is like the rear yard setback that runs along the back. If the applicant decides to rotate the house, it is not going to encroach it to that open space easement referred to. Com. Miller: • Said the appellant argued that the current orientation was inconsistent with the R1 ordinance, and Com. Miller said it was the first time he heard that orientation was something addressed by the Rl ordinance. Gary Chao: • Clarified that the property is zoned Planned Development Residential; unfortunately the R1 ordinance is not applicable in this case. x',11 the fmdings that the appellant raised aren't applicable. • In terms of orientation, it is correct that to the extent that the setbacks control the minimum distances that the proposed house had to be away from the property lines, those are the extent of the orientation discussed. Within the b~~undary of the buildable envelope, usually the appellant can maximize that or optimize that to whatever extent they may be maximize the functionality of their yard. • He reiterated that the house meets all the Planned Development requirements. Chair Giefer opened the public hearing. Anne Walker, Cupertino residentlreal estate agent: • Said she was the real estate agent representin€; the applicant in the purchase of the lot at 10450 Serra Street a year ago. She attested to their outstanding character and their diligent efforts to follow the zoning ordinance for building on their lot. They communicated with 40 different neighbors in the interest of maintaining good relationships with the neighbors and all neighbors except Tim and Leigh Stevens have been positive and supportive. The Stevens are the only opponents of the project. She said thc;y tried to address the Stevens' objections and on March 25'~ the Stevens said they would support the home so long as the home was moved to a position they suggested. She said she felt the reason the Stevens wanted the house moved to a more centered location was that they wanted. it further away from their house, as they have lived next door to a vacant lot for the past 7 years and simply wanted the neighbors' house further away from them. • Asked that the Planning Commission suppon: the DRC's approval of the home and deny the appeal. The City of Cupertino benefited from the sale of the lot in 2005 when it sold for $1.2 million in the style and location that the Pasric;ha's designed. Chair Giefer closed the public hearing. Com. Miller: • Said he felt from the discussions, there was r,~o justification or legal basis for an appeal. It is clear that the applicant has met every city requirement and has followed everything. He voiced concern that the process took so long; one of their goals is to be as accommodating as possible, and help people through this process as painless and expeditiously as possible. • Said he would support denial of the appeal. Cupertino Planning Commission f? April 14, 2009 Com. Lee: • Said she noted in the DRC meeting that she felt it would not be practical to rotate the house as proposed by appellant because it would likely make the entrance into the garage awkward. • Said she would uphold the DRC decision and deny the appeal. Com. Brophy: • Said one issue to address is the notification I?rocess on site approvals. In this case one of the concerns the appellant made to the DRC and tonight, was that they were not cognizant of what was being proposed until quite late, even though from the applicant's perspective, the project had been in the hopper for over a year at the time. Regardless of the outcome of this case, he suggested that when applications come in, th~~ notification go out at an earlier stage before the story pole stage. • Said he supported denial of the appeal. Chair Giefer: • Said she felt the project met the requirements, the code, and all regulations regarding the planned development at Oak Valley. • Said she supported the denial of the appeal. Motion: Motion by Com. Miller, second try Com. Brophy, to deny the appeal and to uphold the DRC decision of approval on Application ASA-2009-03. (Vote: 3-0-1; Com. Kaneda absent) The agenda was moved back to Item 2. Chair Gie:fer declared a short recess. 2. GPA-2008-O1 (EA-2009-OS), (A) General Plan Amendment for 2007-2014 Housing GPA-2009-O1 (EA-2009-03) Element update and; (B) General Plan Amendment City of Cupertino, Citywide to increase the office allocation. Tentative City Council Location. Date: 11~1'ay S, 2009. Paul Penninger, Bay Area Economics (BAE), Consultant on General Plan Housing Element: • Explained the housing element is part of the (.ieneral Plan that deals with residential land uses; it is one of the 7 required elements of the General Plan and as it is adopted, it needs to be made consistent with the other parts of the General Plan, such as land use element, circulation element, etc. It provides a look at where h~~using is in Cupertino, where it could be in the future and to set down programs and policies to guide your residential development over time. • Said they were also guided by the Regional Housing Needs Allocation (RHNA) process, which is the process whereby the Regional Council of Governments ascertains how much housing each jurisdiction in the Bay Area ne-eds to build, over the particular planning period being considered. When looking at the hou~cing element update, they are also looking at the goal for planning and looking at the available sites both designated in the General Plan as residential land use sites and have the appropriate zoning. Along with that, they will recommend some key land use and policy changes to make sure that they do have all of the programs, policies, land use designations and zoning in place to accommodate their RHNA planning goals and other city planning goals for housing over the planning period. • Provided an update on the process, which included a very lengthy public outreach process and update process, somewhat more extensive than might be the case in other communities. Meetings were conducted with various Commissions and stakeholders and four focus group meetings, which are on the Cupertino wel~site. Recently the Housing Commission was presented with an administrative draft containing all the fundamental elements of the Housing Element update that need to be provided to the State Department of Housing and Community Cupertino Planning Commission c1 April 14, 2009 Development for certification. The Hou:;ing Commission has reviewed the draft and forwarded it to the Commission tonight for their consideration. After your review, the Planning Commission will decide whether or not to forward it to the City Council; the City Council will have the option of forwarding yin approved draft of the Housing Element to the State Department of Housing and Community Development (HCD). The HCD will assign a reviewer and it will come back to the Commission again and they will have the option to comment and forward it to City Council for final adoption. It is a careful and extensive process, because this becomes part of the lard use constitution; it is the framework by which all land use planning decisions are made. It i s a good process to go through to make sure you get a document the community can believe in.. • He explained the benefit of having certificration from the HCD; it can be viewed as an opportunity to take a fresh look at residential land uses and decide if there is enough housing and the right type of housing to meet the cormunity needs. It is also a way to make the city competitive for different types of state funding; there are certain bond programs that are only available to communities that have certified housing elements. Under the law, if you don't have a certified housing element past a certain period, you expose yourself to the risk of lawsuits. By having a certified housing elemc;nt, you make yourselves competitive for funding and you avoid any potential risk of lawsuit going forward. • He reviewed the RHNA as outlined in the star report. Page 2/3 of staff report, Item 2. • Consultant is looking for direction from the Planning Commission on what direction staff and the consultant should take; should they look at the maximum number of sites as suggested over the course of this update process; to identify <<ll of the potential sites in the city that could take residential land uses and provide recommend;rtions for those. That is the maximum envelope; or look at a more scaled back number of sites that are particularly appropriate for residential uses and very likely to develop as housing over a shorter time frame. • Said he would recommend the latter route; working over the course of the next week or two, paring down the list of sites, to focus on just those sites that are most appropriate for residential land uses that are likely to meet the: minimum density standards of 20 DUA and that are likely to meet community support over the; planning period. • Said there was a benefit of having an extensive inventory; it is a full list of potential residential opportunity sites to continue to work on; but in terms of what is forwarded to City Council and what gets presented to HCD, he recommended forwarding a narrower list of sites, and asking for more indepth work on a specific set of sites; and in particular those areas of the city; the Heart of the City, South Vallco, perhaps some; others that have the highest redevelopment and development potential over the next planning period. • Reviewed Table F1, available sites inventor!, which includes the 370 already appropriately designated in zone sites at 20 DUA, plus an additional number that have commercial, industrial, other types of zoning in place that would need to get changed. The land use changes that would need to happen to accommodate the full 1500 involved some rezoning on 3 or 4 opportunity sites in the Bubb Road and IVlonta Vista area, increased residential densities in the Heart of the City and City Center districts, and zoning changes to permit residential development on designated parcels in the Homestead Road, North and South Vallco Park, South DeAnza Boulevard and other non-designated areas. • Consideration may be given to shifting around some of the residential allocations; there is an overall residential allocation that the city has in mind and presently that is about 2,800 total residential units across the city divided by district. The City Council has at its discretion the ability to move around those allocations frorr~ district to district. You may want to decide to memorialize that shifting around of residenti~il units between districts as part of this housing element; it is not something you necessarily need to show to HCD; what matters to HCD is that you have parcels of land that have the right land use designation, the right zoning and the right infrastructure in place to accommodate a housing proposal. We wanted to put this policy Cupertino Planning Commission 10 April 14, 2009 change in front of you in case you wanted to consider that as part of memorializing that as part of this housing element update. Two other l:ey policy changes, one of the benefits of having the housing element updates occur on a regular basis is that your last housing element with the exception of the sites inventory is up-to-date .and has a comprehensive set of policies regarding most of the issues that housing practitioners and HCD in particular look at. • There are two other areas beyond the residential development sites that require attention; one is that under State law there needs to be at least one zone in the city that can accommodate an emergency shelter for homeless persons or families by right. Presently there is a rotating shelter allowed in the BQ zone and that responsibility is shared for the rotating emergency shelter with neighboring jurisdictions. The State law requires that the city identify at least one zone in the city that can accommodate an emergency shelter for homeless individuals and families by right. That is one significant c:hange and is something that would need to be incorporated into the city's update in order to secure certification. • A proposed optional change is to propose closer coordination with the local school districts, specifically that a new committee is formed of key staff from the city and the two school districts that serve the community of Cupertino; that the committee meet on a regular basis to review city planning initiatives, specific development proposals and also school capital facilities and operating plans. • One of the goals is to ensure that as the city considers new residential development, and also as the school is planning for its future needs, that they work together and carefully consider where the housing goes in relation to where the new school facilities are being built; which schools are already very impacted, which schools may be able to accommodate future development; so the policy makers both at the school district level and the city level have that in mind when they are consider7ng planning i~iitiatives and proposals. It is a good best practice idea going forward to help the city consider what is arguably one of its most important resources, its schools and high quality of public education offered. This is not required by HCD, it is optional, and something they feel is a good idea for the city, and which came out of the community process to date. • The direction they are seeking from the Commission is whether to focus on the least number of sites needed to meet HCDs requirements or on a more expanded inventory of sites. What are the city's key areas and sites for new h~~using development; looking at all the different areas in the city, we think that probably given current development trends and land use characteristics, that the Heart of the City and North and South Vallco are probably the areas that have the most capacity in terms of land to accommodate new growth. He said he would not necessarily concentrate efforts on rezonirrg industrial parcels of land in other parts of the city, particularly those that are unlikely to redevelop in the short term. • He asked if the Planning Commission wanted to coordinate with the local school districts. Going forward, this process will likely change; they are in the midst of some legal changes statewide where SB375 was recently passed that will change how housing element updates take place, hopefully for the better. It is an opportunity to look at jobs housing balance, to look at the community's stability and quality of life and how through this document you can bring together the joint needs of keeping your economy healthy and making sure you have enough and the right type of housing to meet the community needs. The item is partially informational and partially action item; the Planning Commission can elect to forward to the City Council on May 5th and show them an edited draft, or have the consultant return on April 28~', taking into account the feedback received tonight and see another iteration of the draft. Com. Miller: • Said they were also being asked tonight to consider an increase in the number of square feet of office space in the General Plan, approximately .5 million square feet. Asked that in all the Cupertino Planning Commission 11 April 14, 2009 • calculations done, did they consider the increase in square footage of office space, or how it would change the equation. Paul Penninger: • Said that HCD requires ajobs/housing balance analysis. Currently Cupertino would be considered a very jobs-rich community which is a positive thing given the overall state of the economy. It has strong high tech businesses in the city that are doing relatively well; however, are out of balance given the number of residential units, vis a vis its employment characteristics. An additional 500,000 sq. ft. of office if it were to be approved, would impact the jobs housing balance in the way of providing more jobs and growing that dispazity. Com. Miller: • If we don't address it now, the next time we come around to the housing element, we are going to be forced to address it. If we don't pla~~ for it, we are going to be in a more difficult situation the next time azound. Paul Penninger: • Asked the Planning Commission to at least identify sites or ask the consultant and staff to identify sites to accommodate 364 units under new zoning; it could be increased depending on what their policy goals were. Com. Miller: • When redoing the General Plan in 2005, much time was spent on the numbers and office space allocations available were lowered in order to make sure that they were in balance. They are now being told that because the method of calculation has changed, there is more office development than housing development. Paul Penninger: • Said that Cupertino had more jobs than before. The framework in the General Plan is useful in the sense that it looks at where over the long term from a general goal perspective, new housing should occur, where new office and retail should occur. What is different this time azound in the housing element, is they have to look parcel by parcel, and when you get to that level, the analysis changes a little; it doesn't necessazily add up to the same number of units. Com. Miller: • Said that many of the comments made were very good and to the point. He said that in looking at the inventory of sites proposed, there were some that did not seem practical, such as the site behind Macy's in the South Vallco aze.a, which was voted down by referendum and the likelihood of it being developed was very low in the short term. The site identified in South Vallco in the Main Street azea where Toll Brothers had proposed about 484 units, was also voted down by referendum. Some of those units were supposed to be senior housing. • The remaining 300 looks like it is identified for two sites that have industrial buildings on it that Apple recently purchased and plan to continue to use in an industrial manner. He said he was not sure there were realistic sites there. If considering the 500,000 squaze feet they are being asked to put back in the General Plan, most of it will go into North Vallco. If serious about building more housing or more affordalble housing and we are serious about balance, it is not building more housing in town. • Said if they weren't building more office space, he did not see the need to build more housing, but since they are building more office space, there aze two major corporations in town who will be building more office space; that brings along with it the need for the housing to follow. Cupertino Planning Commission 12 April 14, 2009 • One of the comments made was to focus on sites with the highest development potential which is North Vallco. It may make sense to tie the housing requirement to the business development requirement because that is what is going to drive the need for more housing. North Vallco has a number of desirable characteristics and a number of undesirable characteristics. If we focus on the desirable ones, it is faz away from residential development in general, and lends itself to more intensity. Not all of North Vallco is in the Cupertino School District, so the impact on the schools of having some housing development there is considerably less than putting it anywhere else in town. • The next point is if we are just talking about housing in general, that is one issue; if we aze talking about trying to address some of the affordable housing, 20 DUA is ludicrously low; it makes no sense whatsoever; it is the same requirement that San Benito County has. San Benito County has less population than Cupertino and maybe ten times the land mass and they have the same requirement as here. Here lan~j costs $3 million per acre, there it cost $250,000 per acre. If we are serious about building affordable housing, we either need to get someone to donate some land or we need to increase the dlensity or some combination of the factors. Paul Penninger: • Said the densities are referred to as the Mullc;n densities and are based on metropolitan areas; Cupertino is part of the San Jose Metropolitan area and the 20 DUA applies to all of Santa Claza County; the standard in San Mateo County is 30 DUA. The comment is well taken, the development economics aze such that 20 DUA is actually difficult for sponsors of affordable housing and other types of housing to make it work without a lot of subsidy. Com. Miller: • He said, if serious about it, they should be ir.~creasing the densities; they should be at least as high as some of the other higher density; So. Vallco is 35 DUA and the Rose Bowl may be even higher. Paul Penninger: • The maximum allowed under the General Pla~l was 35 DUA. Com. Miller: • If density is increased, there is a concern that more houses are going to bring more kids to the schools; I would also want to limit the size of any units that aze proposed to minimize the impact on the schools. Your comment about: working the schools is appropriate. I also think that in the last reiteration that the school was planning of their development plans; Cupertino High School which is the one that might be affected by any housing in that area that does go in is actually slated for an increase in capacity. Paul Penninger: • Expressed caution in the policy document about specifying whether or not particulaz sites can accommodate certain units of particular bedroom sizes; there is a fair housing consideration regarding large families. In general, on aproject-by-project basis, it makes sense to look at what the distribution of bedrooms and the types of housing being proposed. He said they could consider eliminating the square footage and not mentioning bedrooms. Com. Miller: • Said it was difficult to meet everyone's objective in the city, but balance is important; location makes a lot of sense and tying the development to areas where new development is likely to happen in the next two to four years make; the most sense, and increasing the density is something that if serious about doing any of this housing, needs to go along with it. Cupertino Planning Commission 13 April 14, 2009 Com. Brophy: • Question regarding the need for zoning by right for permanent emergency shelters; if there is a zone in which emergency shelters aze an approved use, does that prevent the city from requiring a special use permit within that zone? Tessa Munakeo, BAE: • Said the law requires they have one zone th~~t allows by right a permanent emergency shelter without any other additional discretionary petrnits. Paul Penninger: • Said that there were requirements in terms of insurance, liability, etc. on behalf of the operator of a permanent emergency shelter. They would provide further details. He said there would be a standard of reasonableness; if you have reasonable requirements that a typical project sponsor of an emergency shelter or more like-ly a transitional housing development for people who are transitioning from homelessness, that they will used to working with to make their project work. • If there are extraordinary standazds built int~~ the housing element particulaz that aze clearly meant to dissuade a viable sponsor from locating in the community, HCD will identify those and likely ask for them to be addressed. Vera Gil, Senior Planner: • Said it would be highly unlikely for a project sponsor to try to locate a lazge capacity emergency shelter in a city like Cupertino, si~ice last homeless census showed there were only 11 unsheltered homeless people within the city limits. Paul Penninger: • Said he agreed. Many non-profit developer; and service providers aze looking at temporazy and permanent supportive housing for individuals and families experiencing homelessness, rather than building new shelters, particulazly high capacity shelters in suburban jurisdictions, remote from services. Com. Brophy: • Asked if sites zoned for residential but also for other uses, aze acceptable from the HCD calculation purposes? Paul Penninger: • As long as the General Plan land use designation and the zoning are consistent and the infrastructure is appropriate. • You can have zoning that would allow office, retail or housing; it just needs to be a viable site for housing, if that were to be the development proposal in front of you. • Said his recommendation given the current round of HCD comments on other housing elements they worked on in other communities, would be for a short list of high quality sites that aze suitable for residential development and could accommodate particularly affordable housing, rather than an extensive inventory of sites that may or may not have problems. Com. Brophy: • Said that in Cupertino, it is not that the sites aze unsuitable for residential, but that the economics make it difficult to work. Wouldn't it make more sense to have a lazger list of possible sites rather than a small list. Cupertino Planning Commission 14 April 14, 2009 Paul Penninger: • Said the issue is that some of the uses on the 45 sites that are on the list are currently in operation; they are commercial and/or other uses that may or may not redevelop over the next planning period. They are underutilized land on these parts in the form of parking lots or just land not utilized, but there may be a viable economic use there already. In providing the owner of the land with the option of doing residential development in the next period, that is one way to go; but from HCD's perspective it isn't likely that it is going to redevelop. Is it what would be considered an under-utilized site from a strictly economic perspective right now? That is the analysis that has to be done. Paul Brophy: • Said it seems a lot of the sites described are one story tilt-up buildings from the 70s; while they are perfectly useful as an office building in a physical sense, economically a great number of them could potentially be converted to residential use. Paul Penninger: • Said there may be opportunities to do better duality mixed use development with higher design standards and more appropriate retail on some of these sites that are higher quality commercial and flexible types of commercial uses. Are the owners of those properties realistically going to look at turning those over in the next planning period. Are there viable development alternatives; are they in the right places in tlce city that are likely to receive support from the community? Com. Brophy: • Said that Bandley Avenue has one-story tilt-ups that would potentially be a source where the owners might wish to convert property fi•om residential development if they could get permission; R&D buildings, looking at tearing down and replacing. Com. Lee: • No questions or comments. Chair Giefer: • Thinking about the longer list which suggests that if there is incompatibility between current zoning and the General Plan, she recalled years ago trying to put in place a more flexible planned development overlay on many commercial properties to make it easier for someone to come forward, and give the property owner greater flexibility in terms of the type of project the property owner may chose to redevelop o~~ build. • Said in reviewing the list, she was looking trt the compatibility between zoning and General Plan; if we move forward on that and make a recommendation to rezone, what are the legal implications with regard to suggesting manipulating zoning for a specific purpose so we are in compliance with our housing element; would we need to be conscious and aware throughout that process? Carol Korade, City Attorney: • Said that they had to be aware of spot zoning., which is the legal conclusion where you identify particular parcels that have a particular motivation. A general overlay in order to provide flexibility, would not be presumed to violate 'the legal standard for spot zoning. Caution has to be exercised in looking at a particular parcel and giving it a particular zoning characteristic that the owners could claim violates the legal'. standard of inverse condemnation, which means that you are wanting to take a residential parcel, and zoning it for open space because you Cupertino Planning Commission 15 April 14, 2009 • wanted some free recreation area, that would be a typical example of what would be found as spot zoning. She said her initial review does not reveal any type of legal standard or problem. Chair Giefer: • As Com. Brophy suggested, Bandley Avenue may have some potential; the present buildings have struggled in terms of having tenants. .Another azea is the Edge property along Stevens Creek; there was a fire on some properties across from tazget; hopefully they will be redeveloped; not certain of zoning. • Perhaps what we might do is either suggest looking at some additional areas or removing some azeas that are on the proposed map. • Com. Miller brought up a good point with regards to looking at adding additional commercial squazes to the General Plan which we understand why it is highly desirable to do that and we do want to service our commercial headquarter companies here, but it does have an impact on the amount of housing that we need to approve. We need to reconcile that as part of this and see what implication that will have on this plan. I do agree with that. Does that make sense for us to look at the lengthy plan and either eliminate sites we know that aze not going to be coming forth for redevelopment before 2014, or potentially add items to the list and then direct staff to look at the high potential sites. Vera Gil: • Said the Planning Commission can add site:; for the City Council's consideration and make recommendations to remove sites, and staffwould take the list to the Council. Chair Giefer: • Asked if there were any other azeas that should be considered. Com. Miller: • North Vallco from the west side of Wolfe Road to the east side of Tantau, on the east and west; and highway 280 on the south, and Honnestead on the north. Suggest they look at the HP campus; it is highly populated with buildings;, most of the HP campus is not in the Cupertino School District, and it has to be considered a potential site for housing. HP has come in and asked for an increase in square footage, which is an indication they may seriously be thinking about adding commercial or office space. Com. Brophy: • Said it was an important issue, but he was not sure in the context of having to do a housing element, that it would move them forward. • Important to have continued informal discus;~ions with HP and Apple about their plans; start placing units on property that is controlled by two industrial corporations, • Said since they have no ability to force there to do that; if they are informed there may be some interest in it, to disassociate that issue from the housing element would seem to be the preferred way to go. Com. Miller: • Said he struggled with the intent to build more office space in that azea which will trigger a requirement on the city to produce more housing units somewhere else. If that is the azea that is going to cause the need for more housing u~lits, from a logical standpoint it seems like that is the azea to designate. Whether the housing units end up there or not is the sepazate issue, but tying the housing units to the construction of :additional office squaze footage is good logic. Cupertino Planning Commission 16 April 14, 2009 Chair Giefer: • Asked staff if they felt the HP campus or new Apple campus would be built in the next five years before the current plan expires. Aarti Shrivastava: • Said both Apple and HP have expressed an interest in coming in within the plan period; staff will follow up with them regarding any sites the Planning Commission would want to send to Council once known. They do know about d1e Vallco Parkway site, Apple, and they are fine with the recommendation from staff that they have the residential overlay on that. Presently the zoning isn't there; the General Plan allocation is there so it would have to be zoned to allow residential in addition to the office. Com. Miller: • It is a good site for housing; however, the problem is that they have already been through a referendum where the residents have voted against putting further housing there. Said he would like North Vallco from the standpoint there is not neazly as strong an azgument from a residential standpoint to oppose housing, and there are also some sites that are not on either the HP campus or the proposed new Apple campus that also could be very desirable for housing there and some of them are not in the Cuperti~lo School District either. • Apple purchased the Morley Bros. housing project with a unit count between 120 and 140 units in the middle of their site which is cun•ently zoned and approved for a housing project. The reason for building new housing is that ]dousing does not drive office space; office space drives housing; if someone is going to build more housing, he liked the idea of tying the housing to the office space. Chair Giefer: • Asked Com. Miller if he was suggesting that when they approve an office space project, they insist on building housing or that they come with housing as part of their overall project; or was he talking about in the zoning. Com. Miller: • Presently they are talking about zoning an~i locations in town; and from a smart growth standpoint, all the smart growth principlc;s talk about putting the two together, neaz infrastructure, near avenues of transportation. What is nice about that area is it is at the edge of the city; it doesn't impact the housing areas in town; it is close to transportation; and has a lot of the attributes that make it a good pla~~e for housing, if we aze going to build further housing in town. If HP and Apple never decide to do that office space there, that is the only trigger that generates the need for housing in the first place. Com. Brophy: • Said that Com. Miller has discussed very iir~portant points; but tonight's agenda is to move forwazd the housing element to the State by June 30"', and it is not the appropriate time and place to open up the issue of what to do with North Vallco and how that relates to the intentions of HP and Apple. • He said it was an important issue and hoped they could work with them to let them accomplish what they need to do as important businesses., but to open that up in trying to finish a housing element, would be counter-productive. Com. Miller: • Said the purpose was to identify the sites, not to require the housing be built, and he suggested that it is a viable site and there are also locations in that general area that are not either in the Cupertino Planning Commission 17 April 14, 2009 lands that HP and Apple would develop on, that are potential sites as well. There aze a significant number of locations here, whether we talk about them on the HP campus or Apple campus, or outside that, where additional housing could very easily be accommodated. Chair Giefer: • Said she heard that it needs to be probable that the units would be moved on within this plan period. Paul Penninger: • Said "feasible" was more accurate; they could look if there are specific sites in the North Vallco azea, particulaz parcels, addresses that bear further examination, as part of their analysis and he felt it was a viable way to go. Some ;sites may need to be subtracted, such as the ones that have been on referendums. He said they were willing to add some sites in the North Vallco area to make it a more balanced planning document. Chair Giefer: • Said she was comfortable looking at North Vallco, not HP and the Apple lands because she did not feel they are realistic in terms of development. If there aze other parcels that might be developed that aze not part of the toxic mitigation in the area, that is fine. Com. Miller: • There aze other lands, but I would also sugge~:t that it is hard to see, if we zoned an area for 35 units per acre on HP property, we aze not forcing HP to do anything with that. It is hazd to see how they would object to increasing the value: of their property with a residential zoning of 35 units per acre. I cannot imagine them comi~ig down and screaming no, we don't want that; because we aze not taking anything away from them, we are adding to what they already have. That said, all the lands on the east side of Tantau are the ones that Apple hasn't already purchased, aze potential sites that are not on Apple's or HP's asset list. Then there aze also some lands on the west side of Wolfe that aze similazly so designated; one may be included in this list; that is where the 22 comes from. We haven't considered the ones on the east side of Tantau at all at this point. Chair Giefer: • Said she felt it would be futile to anticipate that HP or Apple would move forward on housing within this plan period. Com. Miller: • Said they do not know who is going to move i orwazd with what in what location; all they have is an indication they have asked for more density, more square feet of office space, which is a reasonable indication they are going to move forward in the near future. Aarti Shrivastava: • Said that if the Commission wanted to take action on another list of sites they want us to look at, we aze happy to do that; and then we can provide the follow up once we provide the pros and cons, and leave it up to the Council to decide which one of these sites they would like to go with. We are willing to forwazd the Planning Commission recommendations but we would like a motion on the list of sites so we are cle~u• which ones we need to review. We can, if we are not cleaz, bring back some of the sites, such as Bandley, just to make sure we have the right sites. Cupertino Planning Commission ] 8 April 14, 2009 Paul Penninger: • Explained the review process at HCD. When they look at the list of sites, they look at sites according to whether they are vacant or under-utilized. For the vacant sites they decide does the vacant site have the right infrastructure in environmental characteristics and planning controls in place to provide feasibility for residential development in the next period. For the proposed under-utilized sites they require some analysis of whether or not the existing commercial or other use actually constitutes an under-utilization of the sites; so they will look at improvement to land value ratios; that is whether or not the improvement to build structure on the site is worth less than the appraised value of the underlying land. If looking at sites that currently have a structure and particularly where there is an occupied structure, and we are attempting to show evidence that it is under-utilized, we need to have some objective criteria. • Said his only concern in this discussion would be if they are looking at office uses in particular that are fully occupied that have employees vrorking in them and that are viable, particularly in the current economic climate. It is a hard analytical hoop to show economically that they are under-utilized at least today, based on objective criteria. From a review perspective there will be more raised eyebrow when looking at sites we are showing as evidence of your ability to accommodate the RHNA in the next period if there are under-utilized sites with the existing viable commercial uses, where we are simply proposing changing the zoning. • Asked if the Commission wanted to comment on the sites identified in the Bubb Road and Monta Vista areas and in the North DeAnza areas. Are there concerns and issues that the consultant should be aware of. Com. Miller: • The Monta Vista site; the school system is most seriously impacted in the Monta Vista district, therefore any site designated in the Montag Vista school district is going to be next to impossible to do anything with. Paul Penninger: • Said he inquired in particular about this neighborhood because there isn't any parcel that stands out as a vacant parcel and are clearly severely under-utilized that has the right zoning land use designations and infrastructure in place. Some of the parcels may be a stretch to prove that they are acceptable as residential development over the next planning period. Com. Miller: • Said the other area of town which has a relatively high number, 396 units along Stevens Creek, might get argument that it conflicts with -the Heart of the City Plan. There is a lot of opposition. Paul Penninger: • Said it was consistent with the Heart of the City Plan. Com. Miller: • Reiterated that the site behind Macys could be- removed from the list. • Said Valley Green properties currently has existing office buildings on them. Com. Lee: • Said she had no questions or additions; and agreed with Com. Miller regarding looking at more sites for the North Vallco area. Cupertino Planning Commission 19 April 14, 2009 Com. Brophy: • Bandley Drive is similaz to Bubb Road, exc;ept it also has the advantage that it is adjoining existing multi-family development, and in most parts it is not adjoining single family. The structures aze sufficient; they aze the one stogy tilt-up from 30 to 35 years ago which might be logical. Vera Gil: • Clarified that Sites 21, 22 and 23 were the shopping center, which because of the age of the center and the property owner has approached the city, have the potential to redevelop as a mixed use project in the future. • Said that Villa Serra Apartments is still on the list at a lower density with a lower unit yield because there are still some open spaces and'. they aze considered under-utilized. They could propose constructing new units in certain azeas. Chair Giefer: • Commented on some of the Bubb Road addresses. A number of the tilt-up older buildings on Bubb Road aze currently leased by Apple. 'When Apple does move into their new facilities, some of those buildings may become vacant <<nd potentially available for redevelopment. • Said they should look at those and try to come up with some perspective in terms of how likely that will happen. There are tremendous school implications in that azea to be considered. Measurex has pulled permits to redevelop the commercial site in the area; when it came to us before as housing, it did require rezoning as v~ell. • Relative to the corner of Monta Vista, she recalled that when Measurex proposed housing, one of the adjacent parcels had a toxic well on it; there were some issues relating to the mitigation of the contaminants on that site and the effect of that specific parking lot. There may be some problematic environmental issues. Gary Chao: • Said that Measurex has submitted a request ~n~hich will go to the Planning Commission soon, to extend their use permit to prolong the approval pending current economic situation. Com. Miller: • Said that a proposal on the Measurex site came up for 100+ housing units and it brought out a tremendous amount of residential opposition and the City Council ultimately voted it down; these sites aze right across the street, or in orie case, on the same side. The likelihood that in the near future that somebody is going to come in and try that again is next to zero. Gary Chao: • Sites 29, 30 and 31 are the sites in between offices along DeAnza and apartments in the back adjacent to the Oak Park Village and the storage facility. Given its proximity to multi-family uses sandwiched in between, there should be :;ome potential in those azeas. Aarti Shrivastava: • Said they aze zoned for 4 to 10 DUA; if adjacent housing is zoned too much higher, the proposal was to rezone it about that much to increase it from 4 to 10 to 10 to 20. That is the specific action that would be taken. They currently have office structures on them. Paul Penninger: • They do currently, but the zoning would accommodate residential development at a lower density. Cupertino Planning Commission 20 April 14, 2009 • Said it would be a city initiated rezoning within a particulaz period of time after the housing element is adopted, about a yeaz. In some cases it is just a clazification because you already have the General Plan land use designations that provide residential land uses; it is just bringing it together making it consistent. Chair Giefer opened the public heazing. Jennifer Griffin, Rancho Rinconada resident: • She expressed her opposition to more housin3;, especially at the eastern end of Cupertino. She pointed out that there were no grocery stores, gas stations, car washes or other amenities in the eastern end of the city; and that traffic problems already existed, as well as overcrowding in the schools. Office allocation: Said the city spent a lot of money on the North Vallco Master Plan project and meeting after meeting said n~o housing in North Vallco. Several corporations wish to increase the office allocation which i:s fine. North Vallco is traditionally a strong tech park; we need to make sure we protect the tech pazks in Cupertino; we don't want housing on them. • She said she did not know what the plan was if they increased the office allocation; but if it means pulling in extra housing units, and piling them up on HP, HP is going to decide that they aze going to move their corporate headquarters across the street to Sunnyvale and sell that land for housing. • She expressed concern about what was being done with the General Plan amendments and increasing the office allocation. She said that in her opinion, Cupertino was high tech and housing was secondary. Requests for office allocation need to be managed in a sensitive practical manner. If the plan is to carve up the ci1.y, there needs to be another year of public input. She said they do not want more housing at their end of the city down Stevens Creek Boulevazd. Susie Blackman, CEO, Cupertino Chamber of Commerce: • She thanked the city and consultants for the opportunity for the Chamber to participate in the process. She attended the focus group meetings, and there were also reps from Apple and HP at most of those meetings; and they also spoke privately with the consultant and other groups. Not only did they represent Apple and HP in those discussions, but we had a rep from each of those companies on the Chamber Board o F Directors. It gave a broader vision for the Chamber's interaction. • Said she felt the discussions were vague o~i where the building was going to take place. Tonight reviewing that and heazing some of the comments, once you start putting addresses in places into the process, it changes some of thc; discussion and it changes the way people begin to look at it. • Staff has done a good job of working with the consultant in identifying the needs that we have and encouraging that broad based input from the community. The Chamber supports that the process must move forwazd. • Said she was not certain if the boazd would have any additions or changes, but Apple and HP would probably have some concerns about housing being built either on their property or in close proximity. She said they would like to support the list in whatever additions or changes the Commission recommends and that it move forward to the Council so that the next stage can take place. • Regazding the office allocation, that was a eery big deal that came up during the housing discussion for our businesses in town and she was pleased to see that there was an opportunity for the 500,000 squaze feet to be put back into the plan; and it relieves a lot of people that there was that opportunity. Cupertino Planning Commission 21 April 14, 2009 • It is clear that comes with a price which is additional housing. The consultant stated that there is an opportunity for the Planning Commission to identify the minimum number of houses needed to meet the standard report for 07 to 14, as well as going up to as many as 1500 housing units. It might be a way of looking a.t it to say that we look beyond the minimum, but we don't quite go to the maximum 1500 square feet, so we have a broader range of places to choose from. It also sounds like the Commission had some additional ideas on where those places might be. • Said the Chamber supports the recommendation to move forward with the additional office square footage. It is an important concept for the two largest companies in the community who have invested a great deal and plan to stay in the community; it gives them a certain amount of assurance which is an important concept as well. Dennis Whitaker, Cupertino resident: • Said he was not anti-development or anti-housing; the problem is that the State keeps pushing down on the city with their demands, and the}~ have little control of what they can ask for. • He questioned the purpose of a General Plan; three years were spent reviewing it, followed by six months of meetings and another six months of committee meetings; and then faced with a housing requirement; and being informed that the General Plan is supposed to stay for ten years and now twenty years. What good i ~ the General Plan if the State keeps throwing different angles on the city. The city and residents have to get control of themselves. He suggested that the city charter a bus to go and speak to ABAG. • Said that the Cupertino population of 28,000 in 1985 has increased to 55,000; where is more water, more electricity, and more school sites? People move to Cupertino because of the schools. • The high school population has grown; a study was paid by the city 2003/04 and at that time the population of the high school was 8,400 and they said in 2007/08 the population would go down. In 2007, the population exceeded 11,000 and it is well above 10,000 now. More housing, greater impact on schools. Element~iry school district, they get paid by adding more students; if they add more students; we have parcel tax now, they are going to have to come up with another parcel tax to allow to rebu~? the sites and build on them and then another parcel tax to staff and administrate those scho~~ls. • Jobs/housing balances will change over and over again; can we guarantee HP and Apple will stay here. When you are planning for the future, can you lock that in concrete; I can't. So when you plan for things, plan for everything, not just that. Plan for retail, we need it desperately. Tom JFIuganin, Cupertino resident: • Referred to a slide presentation to indicate potential areas for housing, including the HP site; the Currier building is for lease and was not identified in the survey; quasi-public sites such as the hall and the DeOro building; available locations across from Villa Serra; the former skate park office could be used for housing but is not marked as such. Granny units are also affordable housing possibilities. • The schools are overcrowded; Cupertino is a_jobs rich area but the surrounding community of San Jose has a lot of housing, but is jobs poor. • Office allocation; It would be reasonable if we are going to add the office allocation to find a way to also add the housing at the same time. There is also a correction; on Table 4, Point 2, we are missing the Morley Bros. developmem:; it is 130 units and it should be there because it is still on the books as being zoned residential.. I don't know what Apple is going to do with it, but it is still zoned residential. Cupertino Planning Commission 22 April 14, 2009 Keith Murphy, Cupertino resident: • Said he felt the Vallco RDA had some conflicts of interest about goals and although the State of California and ABAG require certain kinds of low income housing and things to be built, the city itself also has issues that if it wants to free up incremental tax dollars in the RDA, at some point they have to provide some low income housing. They must provide that before they get their shaze of the taxes. I am intere;;ted how the city is going to be doing that and if that somehow plays into where the sites are g~~ing to be chosen; where the low income housing is going to go. • Relative to the Chamber's CEO statement that businesses have been polled about them wanting to support the current housing element update, he questioned whether they would be willing to take on some of the responsibility of which Apple and HP want to push on smaller businesses and property owners in the community; and aze they willing to take that on for what they think will be a fair trade from Apple and HP for the development they will bring to our community; especially if they don't want to have a lot of the housing allocation put in North Vallco. Chair Giefer closed the public hearing. Vera Gil: • Clarified that there are 2,000 units left in the current General Plan available sites; out of that they are being asked to provide 1175, which is a small reduction from what is currently in the General Plan as far as number of sites. Paul Penninger: • Said he felt they were parallel but sepazate processes. In the General Plan update, the overall capacity as a community was identified for absorbing new residential development and presently there is a balance of about 2800 situ;. • It is a different exercise than what is being clone which is looking parcel by pazcel; what is being done fits within the overall context of your General Plan in terms of the maximum number of units that your community can absorb over time; and one of the ways that will come out is when you see the environmental analysis that our subconsultant is going to complete where they evaluate what the real impact wound be if this proposed residential development on water, sewer, other infrastructure and environmental issues. They are separate but related. • A certain number of sites have to be rezoned to accommodate 364 additional residential units with viable proposals. Most of the approved units have been for above and above-moderate incomes; hence you have already approved a great many housing units for above and above- moderate income households. They need to be; sites that are zoned at a minimum of 20 DUA. Chair Giefer: • Asked if they need to look at their housing manual and look at the ratio in high density housing. If zoned at 20 DUA, will they still get the yields in categories where they aze attempting to get that; or do they need to incre;~se the ratio very low, low income and moderate income yields out of the housing manual. Vera Gil: • Said she was referring to the inclusionary housing program and she may be talking two different things. In this case all we need to do is get them at 20 units per acre for them to be considered meeting the requirement and providing low and very low income housing; whether it will realistically occur or not. In the case of the housing mitigation program, we require 15% of all new development and rental is targeted for low and very low; and ownership is targeted to medium and moderate. Cupertino Planning Commission 23 April 14, 2009 Paul Penninger: • The way that HCD considers inclusionary }lousing ordinances analytically is as a potential government constraint on development. \'Ve are obliged under the review standards to consider all of these government regulations as a potential constraint on development. Attempting to meet your RHNA goals for low and very low income housing production through the inclusionary ordinance is not what I would recommend as your consultant. The other thing to say is that we are focusing a l.ot on sites and on densities; that is because you have a lot of other programs already in place to support affordable housing development. You have a staff person, you have a housing planner who works with project sponsors to make sure that the city is supportive of viable developments which meets the community's needs. You are doing financial and regulatory support already for viable affordable housing development; so you have those programs in place. • Said there were some developments discu;~sed such as Habitat for Humanity, and some particularly for people with special needs in very low income brackets that have been supported by the city in recent years. The missing part of the equation is land; which is the reason for the focus on programs and policies;. Com. Miller: • Said the only way to get a serious effort in teams of truly affordable housing is to work with an affordable housing developer and rezone Borne of the property to a high enough density and work with some land owner on an arrangerr~ent that can make it happen. It is not going to happen through the BMR program at 15%. Paul Penninger: • There has been the suggestion in certain communities across the state that in order to meet the legal requirements, they would increase the dumber of inclusionary units required up to 67% or 70%, which will clearly not be satisfactory. There was another issue about accessory dwelling units; the city does have an accessory dwelling unit ordinance and does count a certain number of the ADUs toward the RHNA goals in every period. We are looking at that; they are somewhat difficult to quantify and it is not always clear that they are accommodating low and very low income households but we do our best to count those up and include them in your targets. Chair Giefer: • Said they must determine the direction they want to take; does the Commission want to give direction to go out and do some more legwork; or is it comfortable making recommendations to pass onto Council at this point. Com. Lee: • Suggested that staff look at North Vallco area to see if there is more numbers there. Com. Brophy: • Said he preferred to send it to City Council. He said he felt it was an imaginary exercise done because the State requires it, and people should not be confused in thinking it relates to affordable housing or fair share of housing. [f the issues are important to the city they should be part of the Planning Commission's work plan. They should work to get housing element passed, send it onto City Council and get it approved by the State without having any adverse effect on the city. Cupertino Planning Commission 24 April 14, 2009 Com. Miller: • Said he was opposed to sending it onto the City Council without Planning Commission recommendations. The two issues at hand are the RHNA requirements and the increase in density in housing. He said as stated earlier, he was not necessarily in favor of more housing, but was in favor of balance, and they were not in control, but forced to go through the exercise. The additional allocation of square footage is going to put more pressure on the Commission; possibly not in this planning period, but in the next; and preparing for it is better than just closing our eyes to it and letting someone; else deal with it, because the same Planning Commission and City Council won't be arou~id at that point in time. • Said they want to accommodate their corpor;ite citizens and help them to be successful and to grow. He said he supported increasing the square footage in order to allow them to build what they think they need. However, as speakers said, the extra squares come with the responsibility and it is not sufficient to say vre want the extra squares but the housing is your problem to put somewhere else on somebody else's shoulders in Cupertino. The correct response is to say they can have the extra squares, but let' work with you to make your projects what they are. In return, the city has the additional requirement because of your request for extra squares; and that is an accountability to share some of the responsibility. • Said he supported extra squares, but felt in return it is appropriate to zone some of that area in North Vallco where those extra squares could go for housing to meet their goals and objectives. That is the main reason for pushing North Vallco, and if they choose not to develop because the economic environment i:~ not conducive to that at this point in time, there is no need to go ahead and do the housing; either. It is only when they actually do the development that it triggers the housing; and whether or not they do it, it is still under their control because it is their land. There are also some lands that are peripheral to the HP and Apple lands that there is no reason shouldn't be zoned for more housing; and that includes every property on the east side of Tantau frorr~ Highway 280 on up to Homestead. • Said he felt they provided further guidance iii terms of what other sites to consider and those not to consider; staff can call some of the property owners involved in the discussions and bring something back to the Commission. Chair Giefer: • Said the majority wanted some more legwork to be done on the list, either by adding or diminishing addresses from the list and determining which are most likely to come in for redevelopment. She said the 138 units of the Morley Brothers project that have not been rezoned should be included in the calculations. Paul Penninger: • Said they would look into it; they understood the use permit had expired and didn't count it toward the current period accomplishments. They had also heard there was another viable proposal for office space on the same site, acid they need to fmd out what is occurring there and whether or not it is a viable residential site. Chair Giefer: • Said that the fact remains that they did rezone it and will not likely reverse the zoning. • Said there are at least two Commissioners who felt there needs to be greater exploration in the North Vallco area, and she was not opposed to evaluating sites that are not HP or Apple owned. • She said that it is good if they can get a greab~r yield than what is currently on the map. She agreed that if they are adding more squares of commercial, they also need to figure out how to incorporate supporting that in housing. She said she did not want to diminish the success of their corporations that are some of the largest employers in the area. She did not support tying Cupertino Planning Commission 25 April 14, 2009 it to their redevelopment as they move forward. • Said her concern about North Vallco is they completed the North Vallco study area where the community said they don't want housing there; that has to be part of the evaluation of the site, since it is equal to the referendum done on th.e Vallco edge property where there was housing as well. It is not a fertile site when it relates to housing. Chair Giefer: • Said additionally in that area she heard that Cupertino Village is holding back on their redevelopment of some of the intensification ~~f that, so perhaps they are also looking for other possibilities, which might merit additional review. • Said she did not object to the properties ~~n the east side of Tantau; one site is being redeveloped. There may be potential properties on Bandley; it merits looking into. They also expressed some concerns with regard to some of the areas that were identified with potential problems. Paul Penninger: • To the extent that the North Vallco plan is already in place, that guides development in that area, and they are proposing something diffemnt, it is part of the housing element update. He asked what the procedural issues related to that were. Carol Korade, City Attorney: • Said that Cupertino is a general law city and gill documents have to be consistent, so staff will have to take a hard look at all the different master plans, specific plans, general plans, etc. and ultimately down to the zoning. Paul Penninger: • That is what we have done for all the other sitc;s on this list; that is what we will have to do for the North Vallco site. • In the current matrix there is the current zoning, current land use designation, and recommendations for malting those consistent. If there is an overlay or a specific plan in place, it is referenced. To the extent that there is any other plan in place on site that has not been identified, they will look at those, analyze them and asked the Commission to make appropriate changes. Com. Miller: • Relative to North Vallco, he clarified that three public hearings were held as well as three or four committee hearings; and while some members of the committee expressed a concern about housing there, the topic was never fully vetted because time ran out. There was never a full discussion on that and there was never a vote or anything of that nature taken in terms of housing; it was not addressed. Paul Penninger: • Said that as part of their work, they would look at the General Plan land use designations, zoning, and see what needs to be changed, to make any sites they are analyzing suitable for residential development. Aarti Shrivastava: • Staff is recommending that you separate those two only because HCD has its own timeline and there may be additional discussion the commu~iity, the Planning Commission and the Council might want to have in this office allocation. To meet the timelines staff felt it was appropriate. Cupertino Planning Commission 26 April 14, 2009 Chair Giefer: • Is there a desire to move forward on (B) this evening. We got public testimony supporting it, recognizing the adjacent issue with housing: do we want to move forward on the B section which is the General Plan amendment for office allocation. Com. Miller: • Said he was willing to move forward provided that there is language stating that it comes with the responsibility for additional housing. Com. Brophy: • Said he agreed, but wanted to see the specifi~~ language as the letters from HP and Apple are asking for the additional space for their own use. He clarified that the additional space is for the use of the corporate campuses and not to be used as third party lease space. • Said he was not opposed to language stating that in the future, the city recognizes an obligation to deal with the housing challenges faced, and there is hope and expectation that when the proposals come for the city utilizing this addfitional square footage, thought be given by the applicants about the housing challenges the city faces. He said he was not looking to throwing down the gauntlet to them. Com. Lee: • Said she agreed. Chair Giefer: • Page 3 of the staff report states specifically that if the Planning Commission recommends adding back the residual of 483,000 square feet of office, it will not affect the city's RHNA requirements for this planning period. ABACI is looking to reverse the projections modeling system, so their system has changed. She said she was not sure they need to include the language suggested by Com. Miller, because it specifically states that it will not have an affect on it; is that because it is already in the General Plan? Aarti Shrivastava: • The office allocation may or may not count at that time. For this planning period, we have the numbers from HCD, but if the Planning Commission feels like a balance is important, they can forward a recommendation to Council. Com. Miller: • Said he felt they were just postponing the prol?lem and he was not in favor of doing that; the issue is present today and to say you can have the office square footage but you are not required to do any housing along with it, is the wrong way to go. It is setting up for future failure; the right thing to do is address it now while it is before them. Chair Giefer: • Said she was not comfortable including any language that says if squares are added and their corporate sites take advantage of it, they must build housing. Com. Miller: • Clarified he was stating that whether they (the ~~ompanies that make use of the square footage that will go into the General Plan) build it or fi~id some other location where it gets built, they have a responsibility to consider wind to be part of the solution. Cupertino Planning Commission 27 April 14, 2009 Chair Giefer: • Summarized two suggestions of what might )'~e included in (B) if they choose to move forward on that. One is to specify that it is specifically for corporate headquarters use by companies that have headquarters in Cupertino, although, HP is technically not headquartered there. The other is that for those taking advantage of it, they have to help solve the problem by specifically finding a place for the residents. Gary Chao: • Said the Council will ultimately make the decision if the allocation will be specifically earmarked for HP or Apple or if it is just a general increase in the allocation. The Commission can make recommendations to them in terms of where they think the pot should go. Aarti Shrivastava: • Said there was a pool available and that may lie a place where the Council can allocate it later and Planning Commission as projects come forth. Motion: Motion by Com. Brophy, second b;y Chair Giefer, to add the additional square footage of 483,053, limiting the adlditional square footage to major corporate campuses. (Vote: 3-0-1; Com. Miller No; Com. Kaneda absent) Com. Brophy: • Said that while he was concerned about the housing issue, he was not willing to add that as a condition at this time. • Said he would support it if they needed 480 in addition to the 150; but was not in favor of adding more for the reasons that Com. Miller pointed out, by allowing the additional office space just for the sake of building it if it is not part of the specific campuses that provide substantial financial benefits to the city. The agenda was moved back to Item 2A. (A) General Plan Amendment for 2007-2014 Housing Element update. Motion: Motion by Com. Brophy, second by~ Com. Miller, to continue Item 2A General Plan Amendment for 2007-2014 Housing Element update, to the April 28, 2009 Planning Commission meeting. (Vote: 4-0-1; Com. Kaneda absent) OLD BUSINESS: None NEW BUSINESS• None REPORT OF THE PLANNING COMMISSION: Environmental Review Committee: No meeting;. Housing Commission: No report. Mavor's Monthly Meeting With Commissioners: Com. Lee summarized reports given at the meeting: • Dog park discussion. Cupertino Planning Commission 213 April 14, 2009 • Fine Arts Commission: building at Tantau across from HP behind Kaiser; lighting in front of sculptures; needs to be LEED • Bike and Pedestrian Committee: Ribbon cutting ceremony for Mary Ave. pedestrian footbridge Apri130; May 16, 17 -Bike to Work Day; Revising Bike transportation plan; • Public Safety: April 22 - Walk, Bike and Carpool Day; working with Teen Commission contacted all schools to coordinate event • Feeder streets issue: speeding • Library: No. 1 in US for circulation; Art wall display in reading room; late fee for videos is reduced; National Library Week; End of Oct. 5 yr celebration of Library opening • Parks and Rec: Future use of Simms property and Stocklmeir property • TIC: Working with Environmental Coordinator on video about solar panels. Economic Development Committee: No meeting;. REPORT OF THE DIItECTOR OF COMMUrdITY DEVELOPMENT: Aarti Shrivastava: • Said she was pleased to be working with the City of Cupertino again in her new position as Community Development Director. • She provided updates on Heart of the City, Modification to Use Permit on Town Center Lane; Matrix permit process. MISC: Com. Lee requested that Item 2B be reopened so ghat she could change her vote on the item. City Attorney Carol Korade explained that the item would have to be reopened, and a motion made for reconsideration, followed by a revote. She advised that the application would have to be reopened in a public hearing, since the public has left the meeting and the matter has been closed. She said that under Roberts Rules and Parliamentary Procedure the request would have to have the support and a motion with an affirmative vote in order to reopen the item before discussion of the item. Motion: Motion by Com. Miller, second by Com. Lee, to reopen Item 2B. (Motion died for lack of 3 affirmative votes to reopen Item 2B) The city attorney clarified that because there were not three affirmative votes, the item is not reopened. She explained that there was a final action, and no reconsideration opportunity exists; the item is closed and the action is considered final. Adiournment: The meeting was adjourned to the next regular Planning Commission meeting scheduled for Apri128, 2009 at 6:45 p.m. Respectfully Submitted: ~ Elizabeth s, Recording ecretary Approved as presented: April 28, 2009