The Cupertino Courier

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Vallco redevelopment back for new round of city talks

By Hugh Biggar

The future of long-struggling Vallco Fashion Park was again the subject of a city meeting, this time with the Cupertino Vallco Redevelopment Agency.

"We essentially have a failed Vallco," said community development director Steve Piasecki at the meeting, pointing out the goal of the agency is to find solutions for resurrecting the mall.

The shape of that resurrection is still in flux, and residents and agency members--consisting of members of Cupertino's city council--all weighed in at the Dec. 6 meeting.

Residents particularly expressed concern about the possibility of $10 million in tax allocation bonds that could be used to finance the redevelopment agency's projects.

"It scares me that we may have to use city funds to back it," said resident Tom Hugunin.

City staff stressed, though, that the bond and Vallco redevelopment projects were all speculative.

The redevelopment talks are part of a process that began in 2000.

At that time the Cupertino Vallco Redevelopment Agency formed to counter what was viewed as blight and slumping sales at the mall.

According to city documents, sales tax at the mall, which is Cupertino's largest sales- tax generator, have dropped from 25 percent to 11 percent of the city's total sales tax.

As a result, the redevelopment agency formed to develop ways to revitalize the mall's fortunes.

The purpose of the meeting was to update the city on those plans and possible expenses, estimated to be about $15 million overall.

City Attorney Charles Kilian reminded those in attendance that the plans are not definitive. "It provides a guideline on how to go forward," he said.

At the moment, possibilities for Vallco include infrastructure improvements, housing and enhancement of commercial façades. The shopping center already is constructing a movie theater, food court and bowling alley to jump-start business.

As a part of the redevelopment plans, Dave Knapp, Cupertino's city manager, cautioned, "If we put money into Vallco, certain things come up like housing requirements, which are required by state law."

For now, the redevelopment agency anticipates 204 housing units in the Rose Bowl area at Vallco Parkway and N. Wolfe Road. Thirty-one of those units would be allocated for extremely low-income housing. An additional 137 units had been planned for another area of the parking lot, but residents forced the issue to a vote with Measure D, which was defeated in the November election.

With housing a continually contentious issue in the city, the handful of Cupertino residents who spoke at the meeting advised agency members to be mindful of more than the bottom line.

"How is the redevelopment agency going to be good for the community? Who do you go to for community input?" asked Keith Murphy.

"The city gets so invested in potential income, the council loses sight of the people," said Jennifer Griffith.

Councilman Richard Lowenthal, though, stressed there was still time for community involvement.

"Any decision we make to follow through on this plan will be done publicly," he said, "and if we're to bond, the public will be asked back into the process."