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Tom Foley, Property Manager, Meadows Shopping Center, said they have a letter of confidentiality at this point and have secured a full service supermarket that intends to adhere to all regulations of Nob Hill's operation. The supermarket zoning has been in place since the opening of the center. The satellite tenants occupying that center have been devastated having no anchor tenant and many are on the edge of staying in business. He said they took a survey of clients, customers and employees and overwhelmingly had support in favor of a full service supermarket to replace Nob Hill. Ben Huang called attention to the recent increase in RVs at the Wal-Mart by Rosewood and Owens over the past six months and asked the Council to consider long term residents. He questioned whether Wal-Mart has an agreement with them or has permission from the City to locate their RVs as homes in the lot. Councilmember Sullivan stated that once the City receives the project description, a determination can be made whether it is a discretionary approval by the Planning Commission or City Council, or more of an administrative approval from the Building Official. He asked whether or not this decision is appealable to the City Council. Ms. Seto responded that this typically has not happened unless there is actual concern about how staff is interpreting the PUD and applying it. In this case, staff looked at the language at the PUD zoning in terms of grocery stores being permitted uses. It is a permitted use unless the project description comes in differently not describing it as that, and if it does not follow the rules that have been established in terms of hours of operation and type of use. Councilmember Sullivan questioned whether that decision could be appealed by a Councilmember or a citizen. Ms. Seto deferred to the City Attorney, stating she was not sure what the process would be for appealing it, and she agreed to follow-up. City Manager Fialho added that staff is really trying to ascertain whether it would fall into discretionary process or what the State mandates the Building Official do in terms of maintaining the Health and Safety Code of the building. He said there is not yet a project description, and once received, it will allow staff to make some informed decisions on the issue. However, staff also recognizes this is an important issue for the community and City Council even if it is not discretionary. Staff has also discussed the idea of providing the Council and the community with a Wal-Mart permitting update to explain the situation to the public, walk through the legalities and allow the public to engage in a question and answer session. Councilmember Sullivan noted the important policy issues raised tonight and said he would take up the issue under Matters Initiated for future discussion. PUBLIC HEARINGS AND OTHER MATTERS 11. Public Hearing: PUD-82, David DiDonato, Donato Builders, Inc. — Consider an application to rezone approximately 1.17 acres at 4171 and 4189 Stanley Blvd. from R-1-6,500 (One Family Residential) to PUD-HDR (Planned Unit Development—High Density Residential) and a PUD Development Plan to construct 13 detached single-family homes Community Development Director Brian Dolan gave the staff report and explained that the project is being returned to the City Council from the Planning Commission. He described the following issues and applicant response: • The original 14-unit plan of single family detached homes was reduced to 13 units. The 3,500 square foot lot market with a 'red star' was removed as a residential lot and made into a common open space to be used by residents of the community. City Council Minutes Page 4 of 16 September 6, 2011