02-Ca Dolphin Swim School
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32517 Carmel Way, Union City, CA 94587
(510) 441-8662 phone (510) 355-1007 fax
www.CA-Dolphins.com
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Tuesday, Apnl04,2006
Cupertino City Council
10300 Torre Ave
Cupertino, CA 95014-3255
EXHIBIT
RE: Close Session (Item #2) - Lease of the Pool at Cupertino Sports Center
Dear Cupertino City Council,
We have a win-win proposal regarding the lease and upgrade ofthe pool at Cupertino Sports
Center. we requeat that you take It into consideration in your upooming close session.
We believe there are three major wins to the city of Cupertino from this project: (1) the city will be
able to attract a world class, Olympic Silver madatiat swimmer, to provide her outstanding
swimming expertise and bilingual Instructions to Cupertino's citizens as well as to many youths
from the local communilies; (2) the city will be able to use a significant amount of the funding (up
to $1301<) from the private sector tenant to upgrade the pool house, a city's public property; (3)
this project is Simply a profitable Iong-tl!l1Tllmprovement for the city from a real estate investment
point of view.
As the newtanant and a startup swim school, we are ve¡y excited about the opportunity. we have
been working ve¡y well with your staffs: Therese Smith, Don McCarthy and Ter¡y Greene on the
project. Here, I'd like to thank all of them for their hard works. Nonetheless, this project has recent
come across a few serious challenges and we are ve¡y concemed that this project might be
aborted In a Iose-fose manner, which Is why I'm speaking up here tonight, to ask your special
attention and considerations to turn this project around, driving It to a win-win outcome for us all.
In brief, our project's major challenge comes from the rapidly growing estimated costs of the
construction partly due to the regulation compliances, discovered during the design/review phase.
Based on our best knowledge, we believe It Is best for both of us to downsize the original project
scope and focus on what must be done. Therefore, we propose that we upgrade the pool house
only for the AOA compliance and that we keep using the existing pool enctosure for the new lease
term. That way, you will stili have all the above three major benefits for your citizens, while we
can complete the project and move on with the already approved and combined funding from
both the city and the tenant.
Please carefully consider and grant this Win-win proposal from us. Thank you very much!
Sincerely yours,
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Joseph He
President, Co-founder
Califomia Dolphin SWim School
Xiaohong Wang
Head Coach, Co-founder
Califomia Dolphin Swim School