A proposal to expedite development in Coyote Valley met with a
mix of skepticism and encouragement last week from the task force
directing the area
’s growth, with environmentalists and developers questioning the
plan and acknowledging a need to discuss alternative development
options.
A proposal to expedite development in Coyote Valley met with a mix of skepticism and encouragement last week from the task force directing the area’s growth, with environmentalists and developers questioning the plan and acknowledging a need to discuss alternative development options.
The proposal, initiated by San Jose Mayor Ron Gonzales and councilman Forrest Williams, calls for altering a set of requirements, known as triggers, outlined in the city’s general plan, and allowing scattered developments through a “phasing of the willing.”
“I think the task force needs to look at the evolution of the triggers and what the pros and cons of changing the triggers might be,” said Terry Watt, of the Silicon Valley Conservation Council. “I think the timing is appropriate to start exploring what might make sense given that evolution.”
As the triggers now stand, Coyote Valley development cannot begin until San Jose services are at least equal to those of 1993, the city has a stable economic relationship with the state and has a financial forecast that predicts balanced or surplus budgets. Additionally, residential development can not begin until there are 5,000 new jobs in Coyote. None of those triggers are in place.
The new plan would allow residential development of any size as long as there are two new jobs for each new house, and does not demand contiguous development. It also steps back somewhat from density targets and allows developers to build at any density after the first 30 percent of development.
Several members of the 20-strong task force questioned the financial feasibility of the proposal, which, they said, could make it more difficult to build the major infrastructure needed to attract large scale industry to the region. For the most part, Coyote is without sewer and water facilities, as well as public safety and health care services. Those needs have been pegged at least $1.5 billion.
“I’m a little concerned about paying for infrastructure in a phasing like this,” said Jim Cunneen, of the San Jose Silicon Valley Chamber of Commerce. “We need to know what mix of phasing at a critical mass scale we’re going to need. These are maybe too small steps to get huge infrastructure improvements.”
Cunneen’s comments were echoed by developer Dan Hancock, of Shappell Industries, who said the project, which envisions 25,000 homes, 50,000 jobs and 80,000 residents, requires a “significant first phase.”
“You don’t grow plans like these by putting a toe in the water,” Hancock said. “You grow them by believing in them.”
The consensus of the developers and business interests on the task force is that industry will not be attracted to Coyote Valley until the area can boast the amenities envisioned in the specific plan, such as a man-made lake and pedestrian-friendly, mixed-use community.
“I don’t think you’re going to find some maverick company to plunk down there and sign long-term leases in the hope that the lake will come, in the hope that transit will come,” said Steve Schott Jr., of Citation Homes.
And presentations describing the infrastructure and financial obstacles in the way of development both stressed the need for substantial upfront infrastructure investment.
James Mussbach, of Economic & Planning Systems, said getting the plan off the ground will require willing developers to invest in infrastructure beyond their own needs in order for the area to develop coherently. He said that strategy is typical of development projects, but is complicated by this project’s size and the current lack of corporate interest in the region.
“The best way to get corporations down here is to create a place with amenities where they want to be,” Mussbach said. “The financing will have to be robust and flexible in that way and some people will have to pay more than their fair share to get this project off the ground.”
Any change to the prerequisites to develop Coyote Valley must ultimately be approved by the San Jose City Council. Councilwoman Linda J. LeZotte said that she was surprised by the mayor’s contention that the council has already rejected at least one of the current triggers.
“I don’t recall voting for that,” LeZotte said. “I understand that economically you have to do some sort of phasing, but that doesn’t mean you change your triggers. I don’t know how we can consider doing that when we can’t afford to build it.”
LeZotte also echoed the concerns of some environmentalists who are worried that allowing scattered developments within the plan’s boundaries undoes the “smart growth” vision of a densely populated community.
“We have this wonderful vision of walkability and bikeability, but phasing of the willing just means that people with the most money are going to go in and start changing the specific plan,” she said. “If you have hodgepodge development, you have environmental and transportation concerns. Specific plans are meant to be flexible, but in my experience, specific plans are meant to be changed.”
But Laurel Prevetti, the San Jose planner in charge of the project, said enormous infrastructure costs will dictate development in a logical way that adheres to the plan’s goals.
“Infrastructure has its own internal constraints,” Prevetti said. “Someone way out on the edge of the plan is not likely to go first if they have to run all that infrastructure out there. Being in the early stages of development is important to all of our stakeholders, but that doesn’t mean they’ll be lining up in year one.”
Gilroy Dispatch reporter Matt King can be reached at mk***@gi************.com or 847-7240.