The City Council made no decision Wednesday on the Ford
dealership during an intense two and-a-half hour hearing and heard
from a roomful of concerned citizens, most trying to keep an auto
dealer away.
The City Council made no decision Wednesday on the Ford dealership during an intense two and-a-half hour hearing and heard from a roomful of concerned citizens, most trying to keep an auto dealer away.
The residents were worried about the effects of test drivers roaming the area, bright lights, hazardous materials stored on site, thin landscaping and noise. They were also concerned that their home values would plummet once they were joined by the dealership.
A decision was delayed until the June 18 meeting because of legal issues raised by attorney Bruce Tichinin, representing Scott Lynch of Bob Lynch Ford in Gilroy.
The dealership is proposed for six acres of an 8.65-acre site on the west side of Condit Road, along the highway and directly north of the Holiday Inn Express.
The catalyst for the emotional, but polite, hearing was Councilwoman Hedy Chang, the sole “no” vote when the dealership was before the council in February 2002.
At that time the council decided to offer financial incentives – up to $1 million each – to three or more new car dealerships, starting with Ford, encouraging them to locate in a highly visible “auto district” in Morgan Hill.
Wednesday she questioned the benefits of a dealership at the proposed location and urged her colleagues to consider the residents.
“When I first moved to Morgan Hill, council members didn’t listen,” she said. “Those council members are not here (in office) any more.”
“We need to remember we’re a small town and maintain the rural atmosphere,” Chang said. “Economic growth has to be quality growth and meet everybody’s needs.”
Her remarks were interrupted several times by applause and, when she finished, the crowd gave her a standing ovation.
The residents were less pleased when Mayor Dennis Kennedy collected 22 speaker cards and said he would limit each to two minutes each instead of the normal three. Resident Sherry Purser asked City Attorney Helene Leichter if that was legal.
“It was,” she said. “Some cities allow only one minute.”
Kennedy did, however, allow latecomers to speak, changing an earlier ruling that 22 was enough.
Neighbors of the Kelley Park Circle area behind Nordstrom Park and across a vacant lot from the proposed Ford site had organized into a group, called the Dunne/Murphy/Condit Action Group, and hoped to persuade the council against the Ford dealership.
The DMCAG was supported in their opposition by Scott Lynch of the Gilroy Ford store and his attorney, Tichinin. Lynch has said he doubts there is enough business in the area to support two stores so close together.
A pro-Ford contingent was smaller but present, according to a show of hands requested by Kennedy.
“This proposal suggests that the City of Morgan Hill sacrifice long-term quality of life for short-term tax revenues,” Tichinin said. “It’s just not a good policy.”
Kennedy had different concerns.
“It’s important to have a dialogue on this issue,” he said. “I’m concerned about both traffic and the budget. Since property taxes are no longer a real option, we must look at (businesses that bring in) sales taxes.”
Sales taxes, which the city needs to pay for police, fire and recreation, are the chief benefit of the dealership to the city.
“Any typical auto dealer, statewide, would be expected to bring in approximately $250,000 (annually) in sales taxes,” said Jack Dilles, city finance director.
“Many projects that we engage in have impacts – or perceived impacts – on local neighborhoods,” Tewes said Thursday. “Their concerns need to be brought to the decision-making process.”
Tewes said Wednesday’s speakers did that effectively.
“We will take our time and be very deliberate,” said Councilman Larry Carr.
The seriousness of the contested issues and what to do about them – except for the property value issue – is addressed in the “mitigated negative declaration to the planned unit develop” on the area – the actual item on council’s agenda.
The “MND of the PUD” is a list of adjustments (and can include requirements and/or waivers) necessary to follow when developing a particular area, following guidelines from the citizen/city staff-written general plan.
Chang, and a host of speakers and citizens who wrote letters to the council, said they would prefer sales tax-providing stores where Morgan Hill shoppers want to spend their money instead of driving to San Jose. Whole Foods led the list.
Traffic led the list of troubling issues.
Several mentioned drivers unfamiliar with the test cars driving in unfamiliar neighborhoods that include parks, schools and residential areas. They were worried that drivers would stray onto Murphy.
Tim Paulus, who will run the Ford store said there was little chance of this.
“We will have test drive routes and will give the sales people and service techs a prescribed route; it’s part of the new-hire packet,” he said.
Avoiding Murphy Avenue during test drives is required in the mitigation report.
“How do we enforce that?” Carr asked.
Resident Karen Bainbridge wanted penalties for route non-compliance and wondered why, it the city has a general plan and rules for the PUD, it’s so willing to allow variances.
“Don’t bend the rules for the Ford dealership,” she said about the waivers in the mitigated declaration.
On Ford’s side, Realtor John Telfer, said it is in the city’s long-term goals to attract high interest and high sales tax business.
“This is such a project,” he said.
“The property has been zoned for this use for the past 15 or 20 years – it’s highway commercial.” Some residents said they thought it was zoned residential. Planning Manager Jim Rowe cleared up the misunderstanding by agreeing with Telfer over the Ford site but mentioned the vacant lot across the street.
A large, empty, two-owner site between Condit Road and Murphy Avenue, immediately north of the Taco Bell, Subway, King’s Cleaners development, is ready for development and is zoned R-2, multi-family. If the site is ever developed, according to Vince Burgos, who said he writes most of the city’s PUDs, it would be with lower density duet homes, and not high-density.
Several pro-Ford speakers pointed out that a car dealership brings in less traffic than a Target or grocery store.
Sellers had the last word on the issue.
“There isn’t an ‘us’ and a ‘them’,” Sellers said. “There is only us.”
