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CC 06-03-2025 APPROVED MINUTES CUPERTINO CITY COUNCIL Tuesday, June 3, 2025 At 6:56 p.m., Mayor Liang Chao called the Regular City Council Meeting to order and led the Pledge of Allegiance in the Cupertino Community Hall Council Chamber, 10350 Torre Avenue and via Teleconference. ROLL CALL Present: Mayor Liang Chao, Vice Mayor Kitty Moore, and Councilmembers J.R. Fruen, Sheila Mohan, and R “Ray” Wang. Absent: None. CLOSED SESSION REPORT City Attorney Floy Andrews reported on the special meeting closed session held at 5:00 p.m. City Attorney Andrews reported that the Council voted to approve a settlement agreement and severance agreement with former City Manager Pamela Wu and a copy of the agreement would be available at City Hall in the next few days. The vote on the settlement was 4-1, with the Vice Mayor voting against. CEREMONIAL ITEMS 1. Subject: Proclamation recognizing June as LGBTQ+ Pride Month Recommended Action: Present proclamation recognizing June as LGBTQ+ Pride Month Crystal Haney, Community Outreach Specialist, and Danny Castillo, Associate Management Analyst, from the Santa Clara County Office of LGBTQ Affairs, provided comments and received the proclamation. Mayor Chao presented the proclamation recognizing June as LGBTQ+ Pride Month. PRESENTATIONS 2. Subject: Santa Clara County FireSafe Council (SCCFSC) presentation on SCCFSC's history, programs, technologies, and Firewise USA Recommended Action: Receive the presentation from Santa Clara County FireSafe City Council Minutes June 3, 2025 Page 2 Council Written communications for this item included a presentation. Seth Schalet, Chief Executive Officer with the Santa Clara County FireSafe Council, gave a presentation. Council received the presentation from Santa Clara County FireSafe Council. POSTPONEMENTS AND ORDERS OF THE DAY MOTION: Chao moved and Wang seconded to postpone Item 9 regarding 10480 Finch Avenue to a date to be determined. The motion passed with the following vote: Ayes: Chao, Moore, Fruen, and Mohan. Noes: Wang. Abstain: None. Absent: None. ORAL COMMUNICATIONS Written communications for this item included emails to the Council. The following members of the public spoke: Harry Neil discussed the Stevens Creek Corridor Vision study. Jennifer Griffin discussed the Stevens Creek Corridor Vision study, infrastructure and transit concerns, and SB 330 projects. Jonah Zeng discussed the Stevens Creek Corridor Vision Study. Lisa Warren discussed the postponement of Item 9 regarding 10480 Finch Avenue. Michael Wang discussed the Stevens Creek Corridor Vision Study. Betsy Megas discussed the Stevens Creek Corridor Vision Study. Jennifer Shearin discussed Brown Act requirements for councilmembers participating from teleconferencing locations. Nori discussed an all-inclusive Magical Bridge Playground at Memorial Park. Planning Commissioner Seema Lindskog (representing self) discussed Brown Act requirements for councilmembers, including public comment and open meeting provisions. City Council Minutes June 3, 2025 Page 3 Planning Commissioner San R (representing self) discussed unity and collaboration and various issues, including housing, retail, and public safety. CONSENT CALENDAR (Items 3-5) Mayor Chao opened the public comment period and, seeing no one, closed the public comment period. MOTION: Chao moved and Wang seconded to approve the items on the Consent Calendar, including the desk item amendment for Item 4. The motion passed with the following vote: Ayes: Chao, Moore, Fruen, Mohan, and Wang. Noes: None. Abstain: None. Absent: None. 3. Subject: Approval of May 15, 2025 City Council meeting minutes Recommended Action: Approve the May 15, 2025 City Council meeting minutes 4. Subject: Approval of May 20, 2025 City Council meeting minutes Recommended Action: Approve the May 20, 2025 City Council meeting minutes Written communications for this item included desk item Attachment A – Amended Draft Minutes. 5. Subject: Second reading of an Ordinance amending Municipal Code Section 2.04.010 pertaining to Removal of Closed Session Start Time and Clarification that Meetings Rescheduled Due to Holidays or Elections Retain Regular Meeting Status Recommended Action: Conduct second reading and enact Ordinance No. 25-2271: "An Ordinance of the City Council of the City of Cupertino amending Title 2, Administration and Personnel, of the City of Cupertino Municipal Code amending Section 2.04.010, pertaining to closed session and regular meetings, by title only, and waive the first reading." PUBLIC HEARINGS 6. Subject: Approval of renewal of the 1992 Storm Drain Fee (with no increase) and renewal of the 2019 Clean Water and Storm Protection Fee with a 2.38% increase. Recommended Action: Adopt: 1. Resolution No. 25-036 (Attachment B) approving the renewal and collection of the 2019 Clean Water and Storm Protection Fee with a 2.38% increase in rates for FY 2025- 26. 2. Resolution No. 25-037 (Attachment A) approving the renewal and collection of the 1992 Storm Drain Fee with no increase in rates for Fiscal Year (FY) 2025-26. Written communications for this item included a staff presentation. City Council Minutes June 3, 2025 Page 4 Environmental Programs and Sustainability Manager Ursula Syrova gave a presentation. Councilmembers asked questions and made comments. Mayor Chao opened the public hearing and, seeing no one, closed the public hearing. MOTION: Wang moved and Mohan seconded to approve to: 1. Resolution No. 25-036 approving the renewal and collection of the 2019 Clean water and Storm Protection Fee with a 2.38% increase in rates for FY 2025- 26. 2. Resolution No. 25-037 approving the renewal and collection of the 1992 Storm Drain Fee with no increase in rates for Fiscal Year (FY) 2025-26. The motion passed with the following vote: Ayes: Chao, Moore, Fruen, Mohan, and Wang. Noes: None. Abstain: None. Absent: None. 7. Subject: Amend Chapter 16.74 of the Municipal Code to adopt CAL FIRE's recommendations for Fire Severity Hazard Zones in the Local Responsibility Area and Chapter 16.40 of the Municipal Code to update a reference to the updated map. Recommended Action: Introduce and conduct the first reading of Ordinance No. 25-2272“An Ordinance of the City Council of the City of Cupertino amending Chapter 16.74 of the Municipal Code to adopt Fire Severity Hazard Zones in the Local Responsibility Area and Chapter 16.40 to update a reference to the updated map”. Written communications for this item included a staff presentation. Assistant Community Development Director Luke Connolly gave a presentation. Councilmembers asked questions and made comments. Santa Clara County Fire Department Assistant Chief Hector Estrada answered questions. Mayor Chao opened the public comment period and the following members of the public spoke. Ken Naylor Ching Chai Mayor Chao closed the public comment period. MOTION: Moore moved and Wang seconded to approve to introduce and conduct the City Council Minutes June 3, 2025 Page 5 first reading of Ordinance No. 25-2272: “An Ordinance of the City Council of the City of Cupertino amending Chapter 16.74 of the Municipal Code to adopt Fire Severity Hazard Zones in the Local Responsibility Area and Chapter 16.40 to update a reference to the updated map.” The motion passed with the following vote: Ayes: Chao, Moore, Fruen, Mohan, and Wang. Noes: None. Abstain: None. Absent: None. At 8:56 p.m., Mayor Chao recessed the meeting. The meeting reconvened at 9:05 p.m. with all Councilmembers present. 8. Subject: Consideration of Recommended Operating and Capital Improvement Program Budgets for Fiscal Year (FY) 2025-26, Adoption of the Operating and Capital Improvement Program Budgets for FY 2025-26, Establishment of the Appropriation Limit, and related actions; Direction on past and current City Work Program and FY 2024-25 Special Projects Recommended Action: 1. Adopt Resolution No. 25-038 establishing an Operating Budget of $131,838,401 for FY 2025-26, which includes the following changes to the FY 2025-26 Proposed Budget, published on May 1, 2025: a. Approve the operating budget of $131,772,435, outlined in the FY 2025-26 Proposed Budget. b. Approve a reduction in revenues of $1,500,000 for transfers in to Fund 580 ($500,000) and Fund 610 ($1,000,000) from the General Fund. c. Approve a reduction in expenditures of ($63,733) due to the elimination of the proposed part-time Economic Development Analyst. d. Approve additional appropriations of $146,710 for a proposed Administrative Assistant position in the City Clerk’s division to assist with all current and future hybrid Commissions and Committees meetings. e. Approve a reduction in expenditures of ($17,011) due to the elimination of the proposed Assistant Director of Administrative Services f. Approve any other recommended changes as directed by City Council 2. Adopt Resolution No. 25-039 establishing a Capital Improvement Program Budget of $4,225,000 for FY 2025-26. 3. Adopt Resolution No. 25-040 amending the Unrepresented Employees’ Compensation Program a. Senior Business Systems Analyst Position Description; and b. Code Enforcement Supervisor Position Description 4. Adopt Resolution No. 25-041 amending the Cupertino Employees’ Association (CEA) Memorandum of Understanding a. Assistant Housing Coordinator Position Description City Council Minutes June 3, 2025 Page 6 5. Adopt Resolution No. 25-042 establishing an Appropriation Limit of $141,134,546 for FY 2025-26 6. Provide direction on any remaining past and current City Work Program currently budget and FY 2024-25 Special Projects 7. Approve Resolution 25-043 and Budget modification number 2425-393 to reduce expenditures by $326,266, in the General Fund to defund three special projects and two City Work Programs Written communications for this item included a staff presentation, desk item report and supplemental report with staff answers to councilmember questions, Attachments AG – Description of Carryovers and Adjustments as of March 31, 2025, AH - All Special Projects from FY25 Q3, AI – CWP Status Updates from FY25 Q3 AJ – Maintenance and Equipment Purchase Special Projects from FY25 Q3, and AK – Special Projects as Defined in City Council Special Projects Policy, and emails to Council. Director of Administrative Services Kristina Alfaro and Acting Budget Manager Toni Oasay-Anderson gave a presentation. Councilmembers asked questions and made comments. Mayor Chao opened the public comment period and the following members of the public spoke. Jean Bedord Planning Commissioner San R (representing self) Planning Commissioner Seema Lindskog (representing self) Mayor Chao closed the public comment period. MOTION: Chao moved and Wang seconded to approve the staff recommended action as amended: 1. Adopt Resolution No. 25-038 establishing an Operating Budget of $131,838,401 for FY 2025-26, which includes the following changes to the FY 2025-26 Proposed Budget, published on May 1, 2025: a. Approve the operating budget of $131,772,435, outlined in the FY 2025-26 Proposed Budget. b. Approve a reduction in revenues of $1,500,000 for transfers in to Fund 580 ($500,000) and Fund 610 ($1,000,000) from the General Fund. c. Approve a reduction in expenditures of ($63,733) due to the elimination City Council Minutes June 3, 2025 Page 7 of the proposed part-time Economic Development Analyst. d. Approve additional appropriations of $146,710 for a proposed Administrative Assistant position in the City Clerk’s division to assist with all current and future hybrid Commissions and Committees meetings. e. Approve a reduction in expenditures of ($17,011) due to the elimination of the proposed Assistant Director of Administrative Services f. Approve any other recommended changes as directed by City Council g. Approve an additional $3,000 grant funding for the multicultural festival held by the Asian American Parent Association (AAPA). 2. Adopt Resolution No. 25-039 establishing a Capital Improvement Program Budget of $4,225,000 for FY 2025-26. 3. Adopt Resolution No. 25-040 amending the Unrepresented Employees’ Compensation Program a. Senior Business Systems Analyst Position Description; and b. Code Enforcement Supervisor Position Description 4. Adopt Resolution No. 25-041 amending the Cupertino Employees’ Association (CEA) Memorandum of Understanding a. Assistant Housing Coordinator Position Description 5. Adopt Resolution No. 25-042 establishing an Appropriation Limit of $141,134,546 for FY 2025-26 The motion as amended passed with the following vote: Ayes: Chao, Moore, Fruen, Mohan, and Wang. Noes: None. Abstain: None. Absent: None. Director of Administrative Services Kristina Alfaro and Acting Budget Manager Toni Oasay-Anderson continued the presentation. MOTION: Chao moved and Moore seconded to extend the meeting until 11:30 p.m. to complete the discussion of all special projects. The motion passed with the following vote: Ayes: Chao, Moore, Fruen, Mohan, and Wang. Noes: None. Abstain: None. Absent: None. MOTION: Moore moved and Fruen seconded as amended to: 6. Provide direction on any remaining past and current City Work Program currently budgeted and FY 2024-25 Special Projects • Retain $10,000 grant funding for the Block Leader Program 7. Approve as amended Resolution 25-043 and Budget modification #2425-393 to reduce expenditures by $247,100 in the General Fund to defund two special projects (PR & Strategic Comm Strategy and Econ Dev Strategy Outreach) and one City Work Program (The Rise) The motion as amended passed with the following vote: Ayes: Chao, Moore, Fruen, City Council Minutes June 3, 2025 Page 8 Mohan, and Wang. Noes: None. Abstain: None. Absent: None. ADJOURNMENT At 11:28 p.m., Mayor Chao adjourned the Regular City Council Meeting per rule. There was no Council discussion on the remaining agenda items. ACTION CALENDAR 9. Subject: Consider the potential purchase of and appoint a negotiator for 10480 Finch Avenue, owned by the Cupertino Unified School District, adjacent to Sedgwick Elementary School Recommended Action: Appoint the Interim City Attorney and Acting City Manager to negotiate with the Superintendent of the Cupertino Unified School District or her designee regarding the possible purchase of 10480 Finch Avenue, Cupertino, CA 95014, Assessor’s Parcel Number 375-40-067, from Cupertino Unified School District on terms established by the City Council Written communications for this item included a staff presentation and emails to the Council. As noted under Postponements and Orders of the Day, this item was continued to a date uncertain. ITEMS REMOVED FROM THE CONSENT CALENDAR – None CITY MANAGER REPORT 10. Subject: City Manager Report Acting City Manager Tina Kapoor reported on recent highlights and upcoming events as provided in the published agenda. ORAL COMMUNICATIONS - CONTINUED – None COUNCILMEMBER REPORTS 11. Subject: Councilmember Reports Councilmembers reported on their various committees and events as provided in the published agenda. FUTURE AGENDA ITEMS City Council Minutes June 3, 2025 Page 9 This item was not heard. 12. Subject: Upcoming Draft Agenda Items Report A tentative council meeting agenda calendar was provided in the published agenda. Minutes prepared by: ____ Kirsten Squarcia, City Clerk