Economic Development Advisory Commission
Meeting Minutes
Wednesday, November 1, 2006

Commissioners Present:
Connie Barton Barba (Chair)
Chris Bianchini
Mark Green
Tory Hartmann (Secretary)
Mark Lockenmeyer
Scot Marsters (Vice Chair)
Robert Stafford
Geoffrey Stern

Commissioners Absent:
Harold Schuette

Staff Present:
Brian Moura, Assistant City Manager/Acting Economic Development Manager

1. Call to Order
The meeting was called to order at 4:00 p.m. by EDAC Chair, Connie Barton Barba.

2. Approval of the Minutes – September 5, 2006 EDAC Meeting
EDAC Commission members discussed the draft minutes of the October 4, 2006 meeting. They noted that the minutes did not include the comments of Bill Lee, Vice President of Economic Research Associates (ERA) regarding the proposed Palo Alto Medical Project at 301 Industrial Road.

It was suggested that the October 4, 2006 EDAC minutes be amended to add Mr. Lee’s comments as follows: “Mr. Lee was also asked if PAMF were to be voted on today, what his vote would be. After a long pause, Mr. Lee answered that he would have to “swallow hard” and that his vote would probably be “No.””

Motion: Mark Green moved and Scot Marsters seconded that the minutes be approved with the amendment noted above.
Action: The motion to approve the minutes of the previous meeting as amended was approved by a unanimous vote of the Commission.

3. Discussion of Items from Recent Joint EDAC Study Session with the City Council
EDAC members who attended the recent Joint City Council/EDAC meeting held on Monday, October 30, 2006 thought it was successful.

During this joint meeting there was a suggestion of a liaison to EDAC from the City Council who would attend some EDAC meetings. It was felt by EDAC members that this is unnecessary, but it would be good to have regular input from the City Council, perhaps in the form of having a Council Member attend an EDAC meeting once or twice a year.

EDAC also discussed the concept of a Commission “Work Plan” that set out goals for EDAC each year. There was a consensus that this was an idea the Commission would like to pursue.

There was discussion of EDAC members taking a more active role in setting the Commission’s agenda. Scot Marsters feels that we should have 15 minutes at the end of each meeting for agenda suggestions and items for the next meeting. Brian Moura said this is done in some of the other Council Commissions and Committees and will be added to future EDAC agendas.

There was a discussion of EDAC’s role. It was felt that anything to do with economic development should fall in EDAC’s scope. The potential redevelopment of Wheeler Plaza discussed by Bill Lee of ERA was cited as an example of a topic that EDAC would like to take up at a future meeting.

Geoffrey Stern thought that EDAC was going to be asked to review the economic development aspects of the Palo Alto Medical Foundation (PAMF) proposed development at the former Eimac site at 301 Industrial Road. EDAC members felt that it was clear from the joint meeting with the City Council that Vice Mayor Tom Davids felt that the development agreement between the City and PAMF was too far along and the council did not want EDAC’s opinion at this late date. They noted that City Attorney Bob Lanzone had interjected at the EDAC/City Council Study Session that there were still many hearings and hurdles left and PAMF was not through the process.

Brian Moura discussed the review process for the PAMF proposal. He said that if the Final EIR as issued in late December as expected, three public meetings (Traffic & Transportation Commission in mid January, Planning Commission and then City Council) were planned to review and consider if the Final EIR was complete. Once that process is complete, then a second round of hearings on the merits of the project would be scheduled in the Spring and Summer of 2007. The original plan for that phase included public hearings and review by the Traffic & Transportation Commission, the Economic Development Advisory Commission (EDAC), the Planning Commission and the City Council. While the work on the development agreement between PAMF and the City is far along as the Vice Mayor said, EDAC might still be asked to look at the economic aspects of PAMF, which are broader than just the Development Agreement itself.

4. Briefing on City Strategic Goals and Objectives
The City’s strategic goals were created at a retreat in August attended by the City Council and City Department Heads. They are reviewed by the City Council once a month as an agenda item. EDAC members felt that they should be taking a look at the items that relate to the city’s economy as well as being informed about New Projects as they come up and examine how they fit in with the City’s Economic Development Plan.

5. Staff Updates
Brian Moura provided EDAC with an update on economic development projects and items of interest.

• Market Study – The Market Study prepared by ERA will be presented to the City Council at their meeting on November 13, 2006. EDAC’s comments and recommendations on the Market Study will be forwarded to the City Council as part of the Council Staff Report on this item.

• Economic Development Plan - There is to be a city-wide meeting that would be hosted by EDAC to get citizen input on the Strategic Plan and a date for this meeting has been set in December. A lively discussion ensued doubting whether the public will come out for such a meeting in December. The consulting firm hired for this project (RSG) would be publicizing the meeting including putting ads in local newspapers and perhaps a city-wide mailing. EDAC commissioners feel that this is still not good enough and that there isn’t enough time to develop a plan to get more than the usual 20 people who come out for meetings of this sort. EDAC would like to see more people come out for this meeting and ways to reach them should be strategized and developed. EDAC feels strongly that the meeting should be held in February instead. Brian Moura said he would take our concerns to the City Manager.

• Holly and Industrial Parcel Owned by City – The City has owned a surplus parcel at Holy Street and Industrial Road for some time. At one point, it was marketed as a potential restaurant site and drew initial interest from companies such as Marie Callendar’s and Outback. Last year, the City hired a broker to market the site. A firm offer has now been received and at the October 23, 2006 City Council Meeting, the City Council authorized the City Manager to enter into a Letter of Intent to enable the potential lessee of the parcel to develop plans for the parcel. The likely development would involve an 8,000 square foot retail building that would include a small restaurant and a few more uses. The City would receive over $130,000 in lease payments from the proposal in the first year less a one-time commission payment to the broker.

• 767 Industrial Road – EDAC members asked about the status of 767 Industrial Road. The site has been purchased and there is talk of a proposal to rezone the property and put residential above commercial. EDAC member Scot Marsters said we should look at the fiscal impact on the city’s tax base by allowing residential use into an industrial zone. It was also noted that such a proposal conflicts with the recommendations in the Market Study which suggests that this area be rezoned for mid and large footprint retail, given the land’s proximity and visibility with Highway 101.

• 1000 El Camino Real (former Salvatore’s Site) – The project has been revised so that it now will involve Condos above commercial. Approval for the change has been given by the Planning Commission and City Council. Some work has started at the site, but will stop for the winter soon.

• San Carlos Marketplace Proposed Development (former Bruener’s Site) – A draft Environmental Impact Report will soon be released for this proposal. It is anticipated that it will be heard by the Planning Commission early in 2007. The project will likely involve demolition of the former Bruener’s store and Warehouse, the construction of three or four retail stores in that area and a 12,000 square foot retail building to serve this development and Best Buy with three or four retail stores that might include food, coffee shop, bank and services.

• Railroad Right of Way Development – Brian Moura indicated that the City Staff had just received an update on this proposal by SamTrans and their selected developer. Staff expects the project development plans to be submitted to the City in late November.

• Silicon Valley Prospector Project – This is project that involves many of the Silicon Valley cities including San Carlos. It will feature a map based system to search for commercial properties available for sale and lease. The first commercial realtor is loading listings into the web site now with a launch anticipated in early 2007.

• Wireless Silicon Valley – San Carlos is participating in this project to bring City-wide and Region-wide Wireless Broadband Network service to all residents and businesses in both San Mateo County and Santa Clara counties as well as parts of two other counties. The project is making progress and more news about this will be announced in mid November.

6. Public Comment
Kathy Lynch, San Carlos agreed that December is a bad time to stage an event involving the public.

7. Adjourn
The meeting was adjourned at 5:30 p.m. The next regular monthly meeting of EDAC will be held on Wednesday, December 5, 2006.