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HomeMy WebLinkAboutSPCC Minutes 1989-03-07SRCC MINUTES (Special 3/7/89 Page 1 IN THE COUNCIL CHAMBERS OF THE CITY OF SAN RAFAEL, TUESDAY, MARCH 7, 1989, AT 7:30 PM. Special Meeting: Present: Lawrence E. Mulryan, Mayor San Rafael City Council Albert J. Boro, Councilmember Dorothy L. Breiner, Councilmember Gary R. Frugoli, Councilmember Joan Thayer, Councilmember Absent: None Also Present: Pamela J. Nicolai, City Manager; Gary T. Ragghianti, City Attorney; Jeanne M. Leoncini, City Clerk RE: PUBLIC HEARING - FOR PRIORITY PROJECTS DETERMINATION (Pl) - File 115 Mayor Mulryan opened the meeting, stating that this is the first time the Council has seen the staff's and Planning Commission's recommendations on the Priority Projects, and a complete evaluation of their meetings. He noted that whatever projects are approved, it is merely a selection of the projects to go forward on a priority basis, and each will have to go through the usual planning process for final approval. Planning Director Pendoley stated he would explain the policies and the process which the staff used to arrive at their recommendations. He also stated that he would define the planning terms used in the process. Mr. Pendoley suggested that the Council may wish to use the same method as the Planning Commission in the hearing, considering first the Lucas Valley/ Smith Ranch Road/101 and the Freitas/101 intersections and after hearing comments, to then hear comments on the Bellam/101/I-580 interchange. Mr. Pendoley stated that this Priority Projects Procedure (PPP) is a result of a number of policies in the General Plan 2000. He noted that the General Plan indicated a Level of Service (LOS) D mid -point for the three inter- changes, explaining that LOS is a traffic engineering concept used to measure capacity and flow of traffic at an intersection, and that traffic should be able to get through an intersection with one or, at the very most, two changes of the stop light. He stated these policies from the General Plan require the development be planned with transportation improve- ments, and the PPP is the method of doing that. Mr. Pendoley stated that affordable housing, high tax generating uses, and needed neighborhood serving uses are identified in the General Plan as criteria for priority projects. He added that the PPP was supported by a variety of technical studies and, in particular, traffic models devel- oped to establish the remaining moves at the intersections. Mr. Pendoley then described Critical Moves (CM's) with the aid of graphics, and assisted by John Rumsey, Traffic Engineer. They illustrated how a CM affects traffic by allowing a turning move which backs up traffic in one or more directions. Mr. Rumsey pointed out that for the Bellam inter- section, which is more complex than the two northern intersections, there are two CM's, which have been referred to as CM -1 and CM -3 for identifi- cation purposes. Mr. Pendoley then explained the term "diversion reserve". He stated the data for the diversion trips was based on data which was developed in the mid -80's by measuring traffic at Bellam during the time that there was congestion on (Highway) 101 due to the CalTrans work being performed. He stated drivers were getting off the highway and using side streets to get around the heavy traffic. Mr. Pendoley stated that since traffic conditions have been improved at both Bellam and Freitas it was felt that the diversion trips are no longer necessary and they are now being considered for future use in these computations. Mr. Pendoley noted that staff's recommendation to the Planning Commission was to approve the Lucas Ridge Estates. However, the Planning Commission came up with a tie vote so no recommendation was made to the Council by them except for the findings that the project met the basic criteria as a Priority Project. Pendoley noted that the Council has directed staff to begin negotiation of a Memorandum of Understanding (MOU) with the County of Marin for this project to be in the unincorporated area rather than within the City limits. Mr. Pendoley noted that the proposed Merrydale Overcrossing will improve overall traffic conditions in the northern area. He stated staff feels that the diversionary reseld vPshould be ened up in this area since the Merrydale Overcrossing wibe done shor�y and SRCC MINUTES (Special) 3/7/89 Page 1 SRCC MINUTES (Special 3/7/89 Page 2 there is no risk that the LOS will go lower. He stated that the General Plan permits going below mid -LOS D for a definite period of time and this would be the case with Merrydale. Mayor Mulryan inquired about 6 CM's at Lucas Valley regarding Costco, and 136 at Freitas, and Mr. Rumsey explained that is because of traffic exiting the freeway at Freitas and crossing Civic Center Drive, which is a CM, and at Lucas Valley the traffic would simply be making a right- hand turn. In response to questions by Councilmembers Boro and Frugoli, Mr. Rumsey stated that staff does not feel that people using Costco would first go north to Smith Ranch Road and then south on the freeway, but that the southbound traffic would simply go back to Freitas interchange to get into the southbound freeway lanes. Councilmember Boro asked what would LOS be once the Merrydale Overcrossing is completed and Mr. Rumsey replied it would be high C or low D. Mr. Pendoley stated that Bellam intersection is functioning quite efficiently today as a result of previously approved projects and is at LOS C. He informed the Council that it was because of the court decision on the Bayview Business park that staff decided to use the diversion reserve trips. He stated there are some problematic aspects at Bellam. because the improvements at that intersection are the farthest away in time, and it is difficult to project what will happen by the time they are completed. He noted there are a number of projects with historic trips which may be used. Mr. Pendoley pointed out that as far as Bellam is concerned, there is a problem with the City not being able to control developments outside the City limits which might impact that intersection. Mr. Pendoley noted that staff had not recommended Jim's Food and Liquor for Priority status, but that they had underestimated the neighborhood benefit. He stated that regarding the Honda project there was a good deal of discus- sion, with the applicant stating that their project was not feasible without the restaurant in addition to the car dealership, and the Planning Commis- sion recommending it to the Council without the restaurant. He stated that the Council can make their decision. Mr. Pendoley stated that staff thinks the Howard Johnson hotel has a great potential, but that there would be a protracted planning time. He stated that staff recommended Orchard Supply Hardware based on the revenue poten- tial and the fact that they could be building in a relatively short time. He stated there is a policy question as to whether the Howard Johnson hotel would hold up the CM's. Mr. Pendoley concluded by saying that staff has been working on this project for a very long time, and commended planners Curt Johnston, Jeff Schwob and Jean Freitas for their fine staff work. Mayor Mulryan agreed, stating that the Council appreciates the work of the planning staff on the PPP. Mayor Mulryan then declared the Public Hearing opened, and stated that the Council would hear comments regarding the Lucas Valley/Smith Ranch and Freitas interchanges. Connie Johnstone of the Lucas Valley area (Mont Marin Homeowners Associa- tion) read a letter expressing the association's opposition to the Costco project at the former Fairchild site. She stated that Costco's estimated revenue is overstated and their projection of traffic is low. She stated that the project is inappropriate for the neighborhood, but that their opposition is primarily the traffic issue. Ms. Johnstone stated that the Costco traffic study states that the Merrydale Overcrossing would be required even without the Costco project. and her concern is what will happen if Costco goes into operation before Merrydale is built, and the necessary traffic signals installed. Ms. Johnstone questioned the traffic report's assumption that Costco will not impact the Smith Ranch Road area, and stated she feels it will be used constantly by Costco patrons. She stated the Mont Marin Homeowners request that a new traffic study be prepared, one which will bear up under scrutiny. Speaking for herself, Ms. Johnstone mentioned the necessity for a traffic signal at Professional Center Parkway, and new striping at Civic Center Drive and Freitas interchange. Mr. Rumsey responded that the striping at Freitas has been completed. He added that the signalization at Profes- sional Center Parkway has the approval of Costco, and there will be a left turn lane added from Costco. Ms. Johnstone expressed concern over what will happen if the Marin County Fair occurs while the Merrydale Over - crossing is still under construction. SRCC MINUTES (Special) 3/7/89 Page 2 SRCC MINUTES (Specia. 3/7/89 Page 3 Mayor Mulryan responded that he does not see Costco as being in the Mont Marin area. He stated it is in an industrial and commercial area, and that Costco stores look like a supermarket. Mayor Mulryan then asked Mr. Rumsey about the present status of the Merrydale project, in view of Ms. Johnstone's concerns, and when will the construction begin and end. Mr. Rumsey stated it is in the final design stage, and they should have the final plans in about a month, so the project will be going to bid in late summer. Construction should take about a year, so it will be about 18 months for it to be in place. Councilmember Breiner inquired if the rear driveways in that area could be extended enough to alleviate the situation, and Mr. Rumsey responded that they have been focusing on Redwood Highway regarding the traffic situation. Councilmember Thayer inquired about the cleanup of the Costco area, should it be approved for priority. Mr. Pendoley responded that the area will have to be cleaned up before the project can go forward. He stated that Engineering is evaluating the cleanup plan and have called for modifications to strengthen the plan. He noted that it remains to be approved by the (Las Gallinas Valley) Sanitary District and they will be attempting to resolve the issue in the next two weeks. Mr. Pendoley added that the actual construction work which is necessary is really not extensive. He said there will be a relatively minor addition and interior modifications and then the City permits, at which time staff will deal with traffic on Redwood. He estimated it could be a year or possibly more, and there could be a minor overlap between Costco and Merrydale completion. He pointed out that the General Plan allows for a lower LOS D if it is for a definite period of time. Catherine Miller spoke for the North San Rafael Coalition of Residents, stating it appears that the benefits of Costco may be much less than the problems it will cause. She cited that exiting from the local businesses on Redwood is already hazardous and parking is already inadequate. She added that Costco should be required to provide a parking garage to accommo- date all of its customers, even in peak periods, and to provide some addi- tional parking for adjacent businesses. Maurice Monson of 6 Lisa Court stated that he has concerns about the Lucas Ridge Estates as proposed. He stated that the plan he saw does not show the topography and that his home is located below a cut which is 15 feet deep. He stated that in addition to losing his privacy, the traffic impact would add to an already hazardous traffic situation at Lucas Valley Road and Las Gallinas Avenue. He also cited problems with drainage as a result of building on the site. Edith McKenna, representing the Daphne/Bacciocco group, owners of the Lucas Ridge Estatesproperty, stated that the reason the project came to the Council without a recommendation from the Planning Commission was because one member lives out that way and it became a tie vote because the member did not vote. She stated that the project fits the criteria of the General Plan. Mayor Mulryan stated that the Council will consider Ms. McKenna's letter. Elaine Carr stated that she opposes the development of Lucas Ridge Estates because of traffic. She stated that the residents of the subdivision would have to exit into an already impacted area which is near Miller Creek School. She also mentioned that Lucas Valley and Las Gallinas are used as a bypass when the highway is congested. Bonnie Brown, owner of Etchings in the Northgate Industrial area, spoke in opposition to Costco, stating that a high impact retail on two-lane Redwood Highway should not be allowed. She presented a letter stating that six of the businesses on Redwood Highway are concerned about traffic levels which would result from Costco. She added that some of the businesses would actually benefit financially from having a high -traffic retail store nearby, but they are opposed for traffic reasons. Ms. Brown then gave a detailed description of her efforts to obtain facts regarding the toxic chemicals still in the soil as a result of the Fairchild operation. She showed a report from Kennedy/Jenks who were hired by Las Gallinas Valley Sanitary District to analyze the site, and stated that as far as she could determine from her calls to Sacramento and various federal offices, it does not appear that any action is being taken. She questioned would Fairchild pay for the cleanup and, if they did not, who SRCC MINUTES (Special) 3/7/89 Page 3 SRCC MINUTES (Specia; 3/7/89 Page 4 would pay. Ms. Brown stated that to allow any potential occupant to have a Priority Project status at this time would be inappropriate, and that nothing should be done until the toxic problem is resolved. Elizabeth Ferris of Lucas Valley confirmed what Ms. Brown had said, that no decision should be made on Costco until the Kennedy/Jenks report has been gone over. She added that the Sanitary District is having a meeting on March 30 to go over the Kennedy/Jenks report. Tom Sherwood, Attorney with Bianchi, Paxton, Engel, Keegin & Sherwood, spoke on behalf of the Regency Center II project, stating that the Council has two letters he sent, and noted that the project has been under way well over five years. He stated that the Planning Commission gave the project conceptual approval, and yet it does not have Priority recommenda- tion. He stated that the restaurant proposed for the site is a much-needed neighborhood serving use, given the total lack of restaurant service in the neighborhood. He stated that the issue is, what percentage of the project is a neighborhood serving use, otherwise the Smith Ranch Parcel 3 project would not have been given priority. He pointed out that they have already paid traffic mitigation fees. Mr. Sherwood added that the impact of the project, along with all the other projects proposed for the area, will not drop the LOS below what is acceptable in the General Plan. He stated that this project and Costco would be completed in one year, and noted there will not immediately be 1000 occupancy, which would take it even closer to the completion of the interchange improvements. In connection with the 222 trips reserved for Lucas Green/Fireman's Fund in case they would leave, Mr. Sherwood stated their leases run to 1994 and they are not going away. He stated that Smith Ranch Parcel 3 will have to be down -scaled, and it would be inappropriate to transfer FAR's (Floor Area Ratios) from the proposed fire station to the office project. He stated that project should not be allowed to go forward unless Regency Center II is also. Linda Kulik of Marinwood stated that she objects to Lucas Ridge Estates, that it is not in keeping with the design of the neighborhood, and questioned the density as proposed. Matthew Guthrie, representing Roger and Michael Smith, spoke regarding Smith Ranch Parcel 3, stating this is a retail neighborhood serving facility. He stated there would be a fire station provided without any cash outlay, and pointed out that one is needed in the area and fulfills the General Plan policy regarding public safety. He stated the project includes 5,000 square feet of neighborhood serving space and 35,000 square feet of office space. He stated they could go down to 31,000 square feet. Mr. Guthrie stated the project could be done in one year, and the project would not be affected by a water moratorium. He stated he would appreciate favorable consideration of the Planning Commission recommendation. Attorney Jay Paxton of Bianchi, Paxton, Engel, Keegin & Sherwood, represent- ing Costco, complimented the staff on their work which he stated is very thorough. He urged the Council to accept the recommendation of the Planning Commission regarding Costco's Priority status. He stated it would be an excellent tax generator and he believes it fulfills the requirements of the General Plan. With respect to sales tax estimates, he stated they were verified by staff, and looked at very carefully. He stated there are three issues: Traffic along Redwood Highway, Toxics and Aesthetics with regard to use of the site. Regarding Traffic, Mr. Paxton stated the Mitigation Measure would be installation of a traffic signal at Professional Center Parkway to be installed contemporaneously with the project. He stated that would solve the problem and help to regulate the traffic. With regard to the Toxic issues, he stated the purpose of this meeting is not to discuss that complex issue, but stated there are some toxic chemicals under the site, about 8 to 15 feet below the surface. Also, the ground water has not been proposed to be emptied into the creek or the sewer system untreated. Mr. Paxton said there is salt present in the water, but it is Bay salt. He stated that he is convinced the toxic problems will be resolved and the ground water will be cleaned up. With regard to Aesthetics, Mr. Paxton pointed out that the front door is at the rear end of the lot, as is most of the parking. He noted only at the peak periods will people be parking at the other end of the store and be visible from the street. He indicated this site is for industrial use and the Costco store is far preferable than what else might come in to that site were it not Costco. Mr. Paxton added they have carefully selected this site, and that this project fully meets the criteria for a Priority Project. Kathy O'Malley from Ellen Drive spoke of the traffic congestion which SRCC MINUTES (Special) 3/7/89 Page 4 SRCC MINUTES (Special 3/7/89 Page 5 would result from Lucas Ridge Estates. With regard to Costco, she stated that a San Rafael Costco will not attract people from the East Bay or San Francisco, and she does not believe the City of San Rafael will get as much money as it expects. There being no further public input, Mayor Mulryan declared the Public Hearing for Lucas Valley/Smith Ranch and Freitas interchanges closed, and called for Council discussion. Mayor Mulryan asked the Council to discuss the "North of the Hill" projects, and pointed out that what is before the Council is whether any of these projects are accepted for the PPP. If they are, they get in line and go through the planning process. He pointed out it is a question of traffic and not toxics or other considerations. Councilmember Frugoli inquired about transfer of trips to Smith Ranch Parcel 3, asking could they be done through the General Plan. Mr. Pendoley stated they could not. Assistant Planner Jeff Schwob then explained that the Planning recommenda- tion allows for 18 CM's, noting the Planning Commission recommended that the FAR be dealt with at the time of processing. He added that the trip transfer occurred at a time before the trip transfers were not allowed. He added there had been discussion that the trips would be transferred from the former Ross Hospital site, but that Parcel 3 was granted the 28 CM's in the General Plan. Mayor Mulryan clarified that the recommendation for Smith Ranch Parcel 3 is for 28 trips and with FAR's to be decided later, and Mr. Schwob agreed. Councilmember Boro clarified that although there had been discussion about 158 trips being given in the General Plan, if the Council approved it at this meeting it would be for 28 trips. Councilmember Breiner inquired would there be an EIR required for Oak Ridge Apartments, and Mr. Schwob said there probably would, but that the project has not yet been evaluated. Mrs. Breiner then discussed the Costco project, including the fact that the revenue may be less than projected, and the fact that there will be major traffic generation. Councilmember Breiner moved and Councilmember Boro seconded, to approve the staff recommendations for the Freitas and Lucas Valley/Smith Ranch intersections. (PPP88-3, Lucas Ridge Estates pending the outcome of negotia- tions with the County; PPP88-15, Smith Ranch Parcel 3; PPP88-18, Oak Ridge Apartments; PPP88-19B, Costco, and PPP88-6, Northview). Under question, Councilmember Thayer stated that Costco is totally inappro- priate for the frontage road because of the traffic problems, and stated that she is disturbed by the staff report stating that they would be using all of the diversions and still come up with 14 CM's below Mid -LOS D. She stated that when anything happens on Highway 101 people do use the Lucas Valley interchange to get onto Redwood. Mrs. Thayer added that there is a problem with toxicity at Costco and it will take some time to resolve. She pointed out that the road is extremely narrow and when people park along the road it is impossible. She stated she will vote No Councilmember Boro stated that, as he sees it, the Costco site is a building which is a potential eyesore. He added that regarding the toxic problem, the applicant is willing to work with it and he has no question that the toxic problem will be resolved. He stated that Costco will bring people into the City, and he has no doubts that the traffic problem will be worked out. Councilmember Frugoli stated he agrees with Mr. Boro, that the building at present is an eyesore, and with the planned signals, Merrydale, and other mitigation, Costco will be a good thing. He added that nothing will happen until the site is cleaned up, and he supports it. Mayor Mulryan stated he feels comfortable with using the reserve trips in this area, and that Bellam is a different situation. He noted that Merrydale is going to go, and will result in LOS C. He stated he does not agree that Costco is an inappropriate use, that it is in an industrial area, and will be properly handled. Mayor Mulryan noted that it is providing a balanced retail service, not just the sales tax. AYES: COUNCILMEMBERS: Boro, Breiner, Frugoli & Mayor Mulryan NOES: COUNCILMEMBERS: Thayer ABSENT: COUNCILMEMBERS: None SRCC MINUTES (Special) 3/7/89 Page 5 SRCC MINUTES (Specia- 3/7/89 Page 6 Mayor Mulryan then opened the Public Hearing and called for discussion regarding the Bellam Interchange. Attorney Bill Bullard, representing the Ghilotti Family Trust, stated there has been a drastic change in the Howard Johnson hotel image, that it is now a suite concept, with banquet and conference room facilities. He stated the hotel would generate high tax revenues to the City, of about $372,000 annually. He stated this hotel is a winner, and will provide job opportunities in the East San Rafael neighborhood - approximately 160 jobs. He stated existing hotels, such as the Howard Johnson in Phoenix, have shuttle service, and employees are on staggered shifts. Mr. Bullard stated that regarding the location of the hotel site, it is at the very end of Francisco Boulevard by I-580, and he questioned the impact on the Bellam interchange. He stated it would improve the Bayside Park and would provide an attractive landmark for San Rafael. Mr. Bullard added that hotel use is a permanent and stable use, and would be a guarantee of a stream of revenue without changes. He stated that the Ghilotti family is serious about this, and the hotel people are ready to close the deal. Mario Ghilotti informed the Council that his family has owned the property for many years and have participated in the Assessment District. He added that they have existing water and trip usage. Paul Jensen of Craiker Associates, representing Sid Hendricks and Dennis Horne with regard to Spinnaker on the Bay, urged the Council to grant Priority determination to the project. He stated that the owners are ready to proceed with the entire project, and that staff is recommending limited building. Mr. Jensen stated the owners have proposed three phases. He stated Planning Department is recommending 86 units, but the owners would prefer 111 units. Dennis Horne informed the Council that he had come down from 500 units with 15% affordable. He stated that now they are down -zoned and it is an opportunity for San Rafael to show that they are serious about affordable housing and give his group an opportunity to clean up Bellam and Catalina. Ralph Crocker informed the Council that he has doubts about what benefits, if any, would come from having a hotel in the East San Rafael area. He spoke of the wetlands and the visual impact of a five -story building in that location. Mr. Crocker noted that there will be an Embassy Suites farther north, and there is a Marriott in Larkspur. He also stated that people come to Marin for the beauty, space, woodsiness and openness, and those are the attractions for people wanting to live here. Bill Salter representing Marin Honda stated he supports staff's recommenda- tion for approval of the dealership and the 12,000 square foot restaurant. He stated he does not agree with the Planning Commission that the restaurant be deleted. Mr. Slater said that from a financial point of view it must be considered a total package. He said they must commence the municipal process immediately and start construction as soon as possible. Mr. Salter stated that from his banker's point of view they must place some value on the back portion of the property and receive some trip consideration for the restaurant. He stated he has worked with staff on this project for the past year, and requested that the Council vote in favor of the staff report which recommends the dealership as well as the commercial restaurant. Martin Bramante, owner of Shoreline Industrial Park, stated he wished to clear up a few items. First, the State has given him clearance on the Phase I project. He stated he has a letter from the Board stating that Phase I is clean, and Sacramento has no objections. Second, he said Steve Snyder would like to come and he needs one more to go ahead. Mr. Bramante asked does the Council want him there, or should he proceed with something else. He stated he has a right to build on the first four lots in front. Mayor Mulryan asked was the delay because of the contamination, and Mr. Pendoley responded it had to do with the 300 trip allocation. Mr. Bramante stated they are asking for 371 trips because depending on who else comes in they could not guarantee the 300 trips, and may need more. Grant Bishop, one of the owners of Marin Honda, stated he feels that most of the other projects being discussed are only projected tax revenues which may or may not be achieved, and pointed out that they made $29,000,000 last year, which would mean $290,000 in income revenue to the City. He added that as of today they are already 10 percent ahead of last year in revenue. Mr. Bishop then stated that the people they employ average $37,000 per person annually, which affords a good standard of living and SRCC MINUTES (Special) 3/7/89 Page 6 SRCC MINUTES (Specia_ 3/7/89 Page 7 would strengthen the economy of San Rafael and the local merchants. He added that this does not include the back portion of the property, which is not financially feasible unless they can do something with it. Mr. Bishop stated they are not real estate investors or developers, and unless they can use that land immediately they must look at other alternatives for their business. He stated they have already spent considerable money on this property but they might abandon the project if they are forced to not have the restaurant. He stated he very much appreciates the help received from the staff. Mike LaTourette, representing Orchard Supply Hardware, stated their site is about 2k miles below the Bellam interchange. He stated that 40 percent of their sales are on Friday, Saturday and Sunday. He added that they can offer employment opportunities to San Rafael, with over 120 fulltime and parttime employees. He said they can guarantee a sales tax revenue of $90,000 within the first two years and $150,000 within five years. He stated the project is ready to go under a fully signed agreement, that they have been approved through design review and are ready to go for a building permit. Councilmember Breiner asked if the business is similar to San Rafael Lumber, which is close by, and Mr. LaTourette responded that they are a home improvement business, with electrical, plumbing and similar items, which compliment the lumber companies. Dwane Hunn of North Bay Transportation Management Association spoke of additional conditions for the Howard Johnson hotel, including child care, and other items to develop to its full potential. He left with staff a list of conditions for consideration. Architect Timothy Boe spoke regarding Jim's Food & Liquor. He stated they obtained 2,000 signatures from nearby residents in the matter of only a few days. He noted there are few facilities in this area, and Jim's Food & Liquor is a needed neighborhood service. He stated that Ecumenical Association for Housing and the Canal Community Alliance are in favor of the project, and urged the Council approve the project with additional trips needed. Robert Nolan spoke in favor of his development at 1555 Francisco Boulevard, which he described as only 10,000 square feet. He stated he did have prior approval and went through the planning process some time ago, and was planning to build when illness prevented completion of the project. He stated that his is the only lot left in the subdivision and the building would give continuity to the buildings around East Francisco. Mr. Nolan said he will occupy only part of the building and he does not know if the small business they will rent to will be high tax generating. He stated his project only uses 2 CM's. He also noted that if LOS D is reached there are a lot of alternate routes in that area, and many streets parallel to the intersections. Mr. Nolan stated his plans are complete and ready to be submitted to the Building Department. He stated he would like approval. There being no further input, the Public Hearing on the Bellam interchange was closed and Mayor Mulryan asked for Council discussion. Councilmember Breiner inquired, if the 25 extra units were granted for Spinnaker on the Bay, what would that do to the CM's. Councilmember Frugoli responded that the City would gain amenities such as the recreation area, and the CM's would be 6 more. He noted that Jim's Food & Liquor and Spinnaker are the only projects which really impact Bellam and that the other projects impact other areas, noting Jim's Food & Liquor is minor. Mr. Frugoli stated he feels the Council should go with the 111 units for Spinnaker on the Bay at this time because of the BMR, (Below Market Rate) units. Councilmember Boro stated he supports staff's recommendation on Golden State, and also supports the 25 additional units on Spinnaker on the Bay, and Jim's Food & Liquor. Mr. Boro stated he would support Honda as staff recommends, with the restaurant. Mr. Boro then stated he would like to discuss the Howard Johnson hotel, since the other hotel has been two years in discussion. He stated this is the first time the Council has discussed this hotel and he does not feel they know enough about it. He is not sure whether the City can support two hotels. He noted also that the one at the Marin Center has a large conference facility. Mr. Boro added that if the trips are available he would support staff's recommendation on Orchard Supply Hardware. SRCC MINUTES (Special) 3/7/89 Page 7 SRCC MINUTES (Specia* 3/7/89 Page 8 Councilmember Thayer stated she supports the extra 25 units (for Spinnaker on the Bay) because of the affordable housing, and it is a nice looking project. She stated she also supports Golden State Lumber and Jim's Food & Liquor because they are neighborhood serving uses. As for Honda, Mrs. Thayer said she would go for the whole package, and also will support Orchard Supply Hardware. Mrs. Thayer said she has some reservations about the Howard Johnson hotel as being competitive with Embassy Suites which is on its way. Mayor Mulryan stated that they can work on the hotel at a later time. He stated he would support Golden State, and Honda with the restaurant. Councilmember Frugoli stated that regarding comments made about competition with another hotel, he feels the feasibility is the hotel's decision because they will certainly have a marketing study. He stated he feels the hotel would be good for that community and there are so many features greater than the negatives he would like to keep it in the PPP, if not for this year then next year. Councilmember Frugoli then moved to approve all the projects as recommended by staff, including the hotel. The motion died for lack of a second. Councilmember Boro stated he does not personally feel that the Council can at this time approve the hotel. He stated that as they go forward he would like to know more about it and the community will have to be included. He stated he cannot support it tonight. Councilmember Thayer stated she would like more information with regard to the hotel. Councilmember Boro then spoke about the Nolan project. He stated he is in a quandary because Mr. Nolan has had approval in the past, and based on the criteria he feels the project is justified. Mr. Boro noted that it was due to illness on Mr. Nolan's part that the project did not go forward, and it was a personal hardship, with Mr. Nolan getting caught in the timing process. Mr. Boro asked for the Council to give the project consideration. Councilmember Breiner moved and Councilmember Thayer seconded, to accept the Bellam interchange projects as noted on page 8 of the original staff report, plus 111 units for Spinnaker on the Bay rather than 86 units, and including instructions to staff to come back to the Council if there are any new trips freed up which might be available for the Nolan project. (PPP88-la, Golden State Retail Center, (including Toys R Us); PPP88-lb, Relocation of Golden State Lumber; PPP88-2, Spinnaker on the Bay; PPP88-5, San Rafael Honda/Independent Restaurant; PPP88-9, Orchard Supply Hardware; and PPP88-16, Jim's Food and Liquor). Councilmember Frugoli added that on the Bramante property, if Steve Snyder goes down there they should be given credit for his historic trips. AYES: COUNCILMEMBERS: Boro, Breiner, Frugoli, Thayer & Mayor Mulryan NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None There being no further business, the special meeting was adjourned. � JEANNE �LEONCINI, pity Clerk APPROVED THIS DAY OF 1989 MAYOR OF THE CITY OF SAN RAFAEL SRCC MINUTES (special) 3/7/89 Page 8