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PC 07-19-99MINUTES CUPERTINO CITY COUNCIL - REGULAR ADJOURNED MEETING CUPERTINO REDEVELOPMENT AGENCY ~ SPECIAL MEETING CUPERTINO PLANNING COMMISSION ~ SPECIAL MEETING Monday, July 19, 1999 PLEDGE OF ALLEGIANCE At 6:00 p.m. Mayor Dean called the meeting to order in the Council Chambers, 10300 Torre Avenue, Cupertino, California, and led the Pledge of Allegiance. ROLL CALL City Council members present: Mayor Wally Dean, Vice-Mayor John Statton, and Council members Don Bumett, Michael Chang, and Sandra James. Council members absent none. Redevelopment Agency members present: Chairperson Wally Dean, Vice-Chairperson John Statton, and members Don Burnett, Michael Chang, and Sandra James. Agency members absent none. Planning Commission members present: Chairperson David Doyle, Vice-Chairperson Andrea Harris, and Commissioners Charles Corr, Patrick Kwok, and Jerry Stevens. Staff present: City Manager Don Brown, City Attomey Charles Kilian, Administrative Services Director Carol Atwood, Community Development Director Bob Cowan, Parks and Recreation Director Steve Dowling, Public Works Director Bert Viskovich, and City Clerk Kimberly Smith. PROPOSED CUPERTINO VALLCO REDEVELOPMENT Joint meeting of the City Council, Redevelopment Agency, and Planning Commission to consider a redevelopment project at Vallco Fashion Park: (a) Overview of redevelopment process and briefing concerning proposed Cupertino Vallco Redevelopment Project The City Manager gave an overview of the project to redevelop Vallco Mall, which has fallen on hard times. In 1987 the city first formed a Redevelopment Agency for Rancho Rinconada and the Vallco Mall, but those projects were never undertaken. Tonight the Redevelopment Agency (consisting of the same membership as the City Council) will implement the Vallco project. Ms. Martha Packard, representing the redevelopment consultant Keyser Marston Associates, Inc. She said that the redevelopment process will take about eight months and there will be a series of actions, documents, legal notices, an environmental impact report, open discussions with taxing agencies, etc. The first step tonight will be the designation of the survey area. Then the Planning Commission will adopt the preliminary plan. The Redevelopment Agency will Page 2 (b) Cupertino City Council July 19, 1999 receive and approve the preliminary plan, and designate the project area and base year. Although the redevelopment project must be in place by July 2000, they anticipate it will be completed by February. The Redevelopment Agency will receive the preliminary report, draft EIR, and draft plan in October. This is an open and public process, and the public is invited to comment. Introduction of representatives of the JG Cupertino LLC, Vallco Fashion Park property owner. Mr. Tim Kelly, Keyser Marston Associates, Inc., gave a brief slide presentation and distributed copies of the information. The briefing covered the history of the center, discussed the overall economic decline of the center, including obsolescence, decline in market conditions, declining sales, high vacancy levels, low lease rates, complications in ownership pattems, and the shopping center's position in the market. Mr. Jim Abilene represented the Richard E. Jacobs group, which is the developer and owner of Vallco. He said the Jacobs Group is headed by Richard Jones, and is the largest privately-owned shopping center company in the country, with 280 people on staff. It is also active in the hotel industry, and owns 47 million square feet of commercial space. The company has been so successful because they continue to adapt to changes in the market and retail landscape. Mr. Abilene said they will keep upgrading the merchandising mix at Vallco, and renovating the Macy's store was one of the first steps. Next will be the addition of another fashion department store, and the Jacobs Group hopes to conclude negotiations with Dillard's soon. Also planned is a new entertainment anchor, such as a multiplex theater, as well as improved food offerings and a new food court. (c) Receipt of advice concerning the conflict disclosure requirements of the California Community Redevelopment Law Ms. Nicki Murphy represented Murphy & McNay, legal counsel. She pointed out the conflict disclosure requirements of California community redevelopment law, which were included in the backup materials. ADJOURNMENT Planning Commission and Redevelopment Agency meetings adjourned. The Council meeting continued with regular business. mith City Clerk