Planning Commission - Regular Meeting

Wednesday, September 10, 2025

The Milpitas Planning Commission approved a Site Development Permit, Environmental Assessment, and Tree Removal Permit for a new 487,564-square-foot industrial building at 1000 Gibraltar Drive. The project, which will serve as a warehousing and distribution center for Amazon, was approved despite public comments regarding labor standards and the short review period for the environmental addendum.

About this meeting

Government Body
Planning Commission
Meeting Type
Planning Commission
Location
Milpitas, CA
Meeting Date
September 10, 2025

Transcript

177 sections

0:00 – 8:36Speaker 5

I think when one of the presenters, because it seemed like the sound was coming out of the screen. Welcome to the City of Milpitas Planning Commission meeting, September 10, 2025. I'd like to read the public comment instructions. Oral public comments may only be provided live during the Planning Commission meeting in person. All comments provided should be limited to three minutes or less, as determined by the Chair. All public members will be limited to one comment per agenda item and one comment for non-agenda items. Members of the public may submit written comments by email to planning department at millpeters.gov. It's time to take the Pledge of Allegiance. May I request Commissioner Galang, who just showed up, to lead us for the Pledge of Allegiance.

8:42Speaker 13

I pledge allegiance to the flag of the United States of America and to the Republic

9:05Speaker 5

May I ask our recording secretary, Ms. Marina, to kindly take the roll call, please?

9:11 – 9:42Speaker 17

Thank you, Chair. Good evening, commissioners, community members, and staff. I will take attendance starting with Commissioner Kong. Present. commissioner was the president commissioner medina ashby president commissioner galang president vice chair cokins president and chair gupta president thank you and i request attorney reach to us conflict of interest declaration questions please

9:43Speaker 3

Thank you, Chair. I ask the Chair and every other member of the Commission whether he or she has any financial or personal conflict of interest related to any of the items on tonight's agenda.

9:54Speaker 17

Commissioner Kong? None. Commissioner Wasti?

9:57Speaker 17

Commissioner Medina-Ashby? None. Commissioner Galang?

10:02Speaker 17

Vice Chair Calkins?

10:04Speaker 17

And Chair Gupta?

10:06 – 10:23Speaker 3

Thank you. I further ask the chair and every other member of the commission to please disclose any campaign contributions of $100 or more received within the last 12 months from any of the parties entering into contracts with the city on tonight's agenda or contributions received from development project applicants for development projects on tonight's agenda.

10:24Speaker 17

Commissioner Kong? None. Commissioner Waspie?

10:28Speaker 17

Commissioner Medina-Ashby? None. Commissioner Galang?

10:32Speaker 17

Vice Chair Calkins?

10:34Speaker 17

And Chair Gupta?

10:36Speaker 3

Thank you, Chair. Let the record reflect. No reported conflicts. Thank you very much.

10:42Speaker 5

Next item is approval of the agenda. May I have a motion for approval of agenda for tonight?

10:48Speaker 8

I'll make a motion to approve the agenda for tonight. Is there a second?

10:53Speaker 17

Second. Thank you. Commissioner Kong? Aye. Commissioner Awasthi?

11:02Speaker 17

Commissioner Medina-Ashby? Aye. Commissioner Galang? Aye. Vice Chair Calkins?

11:08Speaker 17

And Chair Gupta?

11:16Speaker 5

May I have a motion for approval of the meeting minutes for August 27, 2025?

11:22 – 11:33Speaker 6

May I have a motion, please? I make a motion to approve the minutes agenda for August 27, 2025. Is there a second?

11:34Speaker 17

I'll second. Thank you. Commissioner Kong? Aye. Commissioner Wasi?

11:41Speaker 17

Commissioner Medina-Ashby? Abstain. I wasn't present for the meeting. Thank you. Commissioner Galang? Aye. Vice Chair Calkins?

11:48Speaker 17

And Chair Gupta?

11:50Speaker 5

Are there announcements, planning commissioners? Anybody have any announcements?

12:01 – 12:13Speaker 13

Just wanted to say thanks publicly to all the firefighters and stuff as its national firefighter, or I guess monthly firefighter appreciation, but for all of our public servants, but firefighters specifically this month.

12:15Speaker 5

Good. Planning Director Jay Lee is not here, but we have Christina Fong.

12:24Speaker 10

Lillian Van Hoa.

12:25Speaker 5

Lillian, yes. Oh, I'm sorry. Lillian.

12:27 – 12:40Speaker 10

Christina will be presenting tonight. Yes, Lillian Van Hoa, principal planner, acting director on Jay Lee's behalf. No announcements other than that.

12:45 – 13:25Speaker 5

Okay, now time for public forum. Members of the public are invited to speak on any item that does not appear on today's agenda. Comments will be limited to three minutes or less at the chair's discretion. When called to speak, you are encouraged to state your name for the record. As an item not listed on the agenda, no action can be taken. However, the Planning Commission may instruct the staff to place the item in a future meeting agenda. Now I would like to invite members of the public to address the Commission. Ms. Medina, are there any members of the public who wish to speak?

13:27Speaker 17

Both speaker cards that I have received are for the agendized public hearing item.

13:36 – 14:06Speaker 5

Okay, thank you. So now it's time for public hearing. We'll talk about item number 9-1, project name New Industrial Building Warehousing and Distribution, 1000 Gibraltar Drive. Now time for presentation from our project planner, Christina Fung.

14:19 – 23:07Speaker 12

Thank you, Principal Planner Vanwa, and good evening, Chair, Vice Chair, Commissioners, fellow staff, and members of the public. My name is Christina Fung, and I'm a Senior Planner here with the City. As noted, we will be discussing a new industrial building for warehousing and distribution at 1000 Gibraltar Drive, also known as 1001 South Milpitas Boulevard. I just wanted to note that this project today was a reassignment from a planner that had left the city in the beginning of the summer. It's always hard to lose a coworker on top of getting various reassignments, and I just wanted to take a moment to express my gratitude to everyone on all sides of the project that have been involved since I came on board, and for your patience while I try to come up to speed and finish processing this application to get to this public hearing today. This includes many members of the applicant team and its consultants involved and many city departments for all the collaboration on this project. Overall, it's been a really great learning experience, and the Planning Commission has not seen a similar type of industrial project since around two and a half years ago, around February 2023 at 475 Sycamore. Next slide, please. The applicant, Panettone Development Group, requests Planning Commission approval of the following entitlements to be able to apply for building permits to demolish all of the existing on-site buildings, parking lots, and associated structures and construct the proposed project. This includes the site development permit request to develop a new one-story, 487,564 square foot tilt-up concrete industrial building with office space and associated site improvements on a 28.96 acre site and the M2 heavy industrial zoning district. The height of the new building will be approximately 46 and a half feet above grade level up to a maximum height of 49 and a half feet to the top of parapet. The proposed site improvements include new internal roadways, landscaping, off-site public improvements, and a new surface parking lot with 781 vehicle parking stalls, 50 oversized parking stalls for tractor trailers, and 27 loading dock doors. The project also will need the Planning Commission to consider the environmental assessment For the project in which an addendum to the 1000 Gibraltar Drive final environmental impact report under the state clearinghouse number, which we will discuss more later in the presentation, and I'll just be referring to as addendum for now. The project also includes a tree removal permit request to remove 25 ordinance-sized trees pursuant to this listed code section. And these trees are allowed to be removed with the tree mobile permits and need to be replaced at a minimum of two to one ratio. Later on in the presentation, I'll discuss more about the landscaping and tree planting plan. And I just wanted to note that I know in the previous slide that we mentioned that the proposed use of this building is for warehousing and distribution. And I just wanted to reiterate that this use itself is a permitted by right use in the zoning district. And it's explicitly stated in both its definition in the zoning code and its general plan designation of manufacturing that warehousing and distribution is permitted. And the city does have this in order to incentivize and attract certain uses to its industrial lands. I'd also want to note that the Office of Economic Development have also provided a letter of support for the project, which is included as attachment C to the staff report and are here with us tonight and are available for questions later. And they may have a few words to say if you would allow them to. And you know, I know it's easy to always think about the use, but the use itself. If it if it the use did need approval by the Planning Commission, there would have been a conditional use permit tied to the project. So please keep this in mind throughout the presentation and for your decision making later today. And that the assessment tonight should be focused on these three listed entitlements here and making the findings that are discussed in the staff report and resolution, such as the project consistent with the city general plan zoning ordinance and its neighborhood compatibility. Next slide, please. And on this slide, I know sometimes you want to show both of these maps separately, but I thought it'd be more beneficial and interesting to compare and highlight side by side the project site zoning and location on an aerial map to better show its location and its surroundings. The project site on both maps is outlined in yellow. And as mentioned, this is located in the M2 heavy industrial zoning district. On the left, you can see that the site is surrounded by other heavy industrial zone lands in gray. On the aerial map to the right, except for the Great Mall to the bottom left, you can see many of the other industrial related buildings around the project site are in a similar white or gray colored roof and do follow the general pattern of how you see the lots subdivided on the left. The residential zone areas are more of the bright yellow color, and as you can see, there are no residential uses to the site, next to the site. And I know sometimes we often talk about size and square footage or acreage, but for me, it's also sometimes difficult to visualize right away how big the site is. Oh, sorry, can you go back? And in honor of football season starting up again, an interesting comparison that I like to use, but it's not 100% accurate, of course, is that an acre is close to the size of a football field or about 90% of a football field. at about 90 yards in length. If tennis is more of your sport, and I don't know if the US Open that just ended, an acre is about 16 full-size tennis courts. I just wanted to take a few moments in your mind to truly think about how much land this site covers. The lot rounded up is about 29 acres. So imagine that's about 26 football fields altogether or 464 tennis courts in designing a project on a site of this size. And I'm sure many of us are aware that real estate for land and construction in Silicon Valley and in this day is some of the highest in the world. And being able to get an existing lot of this size for a project like this can be difficult. As you can see in the zoning map, there are several smaller industrial lots around the site that can make it harder for developers to work on a decently sized project like this one because it would require a lot more time and investment for them to try to purchase each lot from all of these owners and having to go through other detailed subdivision permits to merge them into one. And also, not every property owner may want to sell. The site is also strategically located in that it has three existing frontages onto public streets. I know it's a little bit hard to see on these maps, but in the L shape that kind of wraps around the site to the left and bottom is Gibraltar Drive, and the street to the right in a diagonal direction is South Mopitas Boulevard. And the lot immediately abuts another multi-tenant industrial building to the north. Having these three frontages allows for more entry and exit points to be designed on the site, whereas most of these other lots only have one or two public frontages. Access to local streets and other major freeways are also nearby, making this an ideal location for distributing future goods efficiently. And I just wanted to point out some of these factors in mind as the presentation goes because, thank you, next slide. And now I wanted to briefly go over some of the project background and history, The subject property began to develop around 1980, historically used as a corporate campus with four existing industrial office buildings, including surface parking lots, ancillary structures, and landscaping. LifeScan Inc., an R&D company specializing in medical devices, was the longest operator and tenant of the site from around 1986 to 2015. And the two years after that, 2015 to 2017, the city's building permit records for the site, they showed minimal activity, with minor tenant improvements and mechanical work for two different industrial companies that were short-term tenants. So overall, the site has been mostly vacant and unapproved since 2018. So that's, I think, about seven years where the site has been unused. Next slide, please. And on this slide, I wanted to show some photos of the site so everyone can see its current conditions. At the top photo and the bottom right are views of the site as seen from Gibraltar. frontage and the bottom left is at South Mopedes Boulevard frontage. If you look closely enough at the bottom left photo, you can see how the life scan company sign has faded a lot. So once again, just please take a few moments to kind of really look at all of the various conditions of the site. As you can see, the buildings are mostly one to two stories and have white painted exterior, but dark accent roofs and windows. And only along the other frontage is there a pop of orange, as you see on some of the building elements. And also, as you can see, the parking lot and the existing landscaping, they're both in rough shape and a lot of the parking lot stripes have faded and a lot of the landscaping has dried out.

23:08Speaker 11

Next slide, please.

23:12 – 47:39Speaker 12

And as a continuation about the background information of the site, the site actually very recently did have a proposed project version that was approved and titled that was very similar to this proposed project. However, some of these entitlements expired in March 21st, 2024. And this aspect of the history is important as to how it led to this current version of the proposed project. It was modeled after, but with some refinements. In a later upcoming slide, I'll show some side-by-side comparisons of the site plan in elevation to see the comparisons. And about the previous project, it was approved by the Planning Commission on March 24th, 2021, with the adoption of resolutions 21-006 and 21-007. For these three listed entitlements to remove and replace 88 ordinance size trees, approximately 250 new trees to demolish all the buildings and parking lots and structures on the site, and construct a new 491 and 40 square foot tilt up concrete industrial building with office space to be used as a warehouse and distribution center with new surface parking lots and improvements. The city at the time as lead agency prepared an environmental impact report pursuant to CEQA and that project for the project was also certified at the same hearing date. The previous version of the project was submitted under a different applicant at the time and shortly after these entitlements were approved, was sold to a new owner. Around May 22, the city received an application for a time extension for the prior entitlements under P-TE22-0003 to allow more time for the applicant to do due diligence and cost analysis about the potential use of the site as they did not anticipate getting the building permits and starting construction in time before they were set to expire in March 2023. This time extension request was approved by the Planning Commission on June 22nd, 2022 to extend these entitlements until March 21st, 2024. And just for more context on that process, the city's planning code and as part of It's standard conditions of approval for each project that we approve generally has a two-year window from its date of planning approval to invest these entitlements before they expire. You know, so generally what this means that depending on the type of the project and is specified in that code section that within those two years, the applicant needs to get all the necessary building permits from the building department and start foundation work or best of use if there's a condition to use permit involved or if there's some type of subdivision element as part of the project to complete an action there. Naturally, each city does want to see each project commence in a timely manner rather than sit vacant or idle and undeveloped. However, it is normal that things come up after the entitlement process and for various reasons, such as cost or financing of the project or unexpected issues, which is why the planning code also allows this option for a time exception request. But the city also only allows this time exception request to be done once, and it must go back to the same approval body. And another important aspect that I wanted to point out about this previous version is that it was submitted a little bit right before the global COVID-19 pandemic and received its approval a little bit in the midst of the pandemic during unstable market conditions and at a time when the cost to constructive finance the project were at its peak. And some of us may remember that a lot of the shipping and trade routes were really impacted. So that also affects the cost and availability of materials. So as a result, that potential project was put on hold until market conditions improved. And the project was never constructed. And as the conditions improved over time, the owner hired a new applicant team to propose a similar but modified project which is what we're seeing today that is designed more as a last mile facility for one tenant instead of the previous projects cross-docking specular design for up to two tenants next slide please and here it just ought to be interesting and easier to see the similarities between both the previous project versus the new Instead of only talking about numbers, more detailed analysis comparing each project is available in the CEQA environmental document prepared for the project, which is the addendum that we talked about and is attached as part of the staff report. We'll talk more about the CEQA review later on. And as I talked about in the previous slide, the previous project was under a different applicant and was also approved during the pandemic. So as a result, the new product design was designed to be more tailored to this new applicant. And this application came in a year ago, September, 2024. So specific details, you know, square footages and whatnot are available on table one of the addendum. But as you could somewhat see from the site plans next to each other, they're very similar building footprints and locations of where they're located on the site, as well as perimeter landscaping. I think the main differences that you could maybe see from this aerial is that mostly around the surface parking lots. With the previous project, you could see it was, you know, up to two tenants and has a cross docking design. With the previous project iteration and as somewhat you could see at the top and bottom of the previous project with more of the gray and longer straight parking stalls that it was designed to accommodate more oversized trucks and trailer parking stalls and less standard parking stalls for employees or visitors. In the top right area of that lot compared to this proposed project and also the proposed projects parking lots also The previous project, I mean, didn't fully connect all the parking lots on all sides. You can kind of see on the right compared to this proposed project. And, you know, but similarly, both projects do have a small office component. You'll see kind of on the top right of both buildings to support the operations of the warehouse. And in another slide, I'll go into more detail about the proposed project's access, circulation, and parking. And I also wanted to include the existing proposed projects renderings here to demonstrate that the general architectural design and facade is also very similar with at least two to three contrasting gray colors and a blue trim accent. And on the corners, there's an emphasis with the additional glazing, which allows more natural light into the buildings to show the general entry into the office areas. And after this presentation, please feel free to ask the applicant team more details about the differences about these distribution uses. Next slide, please. And here I want to show a closer version of the site plan proposed for this project. The proposed building will consist of approximately 476,864 square feet of warehouse space and 10,700 square feet of office. The access and circulation for this project has been designed to ensure the safe and efficient movement of cars and trucks throughout the site, including designated areas for trucks, employee visitor parking, and the Plex delivery drivers. Construction of this project would involve modifying seven existing driveway and curb cuts into four and includes the new service parking lots. The four driveways would range in size from 30 to 50 feet in width and would provide it along South Mopitas Boulevard and Gibraltar Drive, two at each street frontage. And on Gibraltar Drive, Let's see here. To ensure the safe access and circulation of the oversized trucks, a designated one-way entry and exit route has been designated for the project. The trucks are proposed to enter at the South Milpitas Boulevard and Ames Avenue intersection. You'll see around the top middle area of the site plan and would travel around north to either use loading docks or oversized trailer parking. To exit, they would travel down along this side into a new one-way internal driveway path and exit onto Gibraltar Drive. The flow of the trucks are shown in both the red arrows here. And the area, this area, the parking lot is designed to be limited to the larger trucks and will be protected from immediate entry from other normal passenger vehicles with the installation of two new sliding metal gates with Knox boxes. One's located at the same truck driver entrance at Ames Avenue and South Lapidus Boulevard. And the second gate is proposed at kind of at the end, a little bit more to the right where it separates the normal parking versus the truck parking. and there's no other internal driveways would be gated. Additionally, this truck parking area kind of along the top left will be screened along that frontage with a new eight foot tall concrete tilt up screen wall. The employee and visitor parking has been designed to stay around the top right area of the site plan. So it's more designed to be right closer to the office entry. Additionally, the flex delivery parking stalls are located on the south portion of this image. The project requires a minimum total of 318 parking stalls. However, the proposed project is providing 781 parking stalls, resulting in a surplus of 463. Of these stalls, 90 would be prepared as electric vehicle ready and 20 already installed as electric vehicle charging stations. In addition, the project includes the 50 oversized trailer stalls, 27 loading docks, and 24 bicycle parking stalls, 12 of which are short-term and 12 are long-term. And the exterior of the building has been noted to be designed in consideration of future tenant needs with 55 knockout panels and one grade level knockout panel that could be converted into loading docks. The city's transportation and traffic engineering division, as well as the fire prevention division staff reviewed the proposed site plan with this new circulation and ingress and egress routes to meet minimum requirements and provided conditions of approval. So the project is included as exhibit one of attachment A. There are several collaborative meetings with the applicant team, myself and these other departments to get to the stage. Next slide, please. This table outlines the main development standards for the heavy industrial M2 zoning district. And as shown, it does meet all of the setbacks for area ratio, landscaping, and parking requirements. There is an interesting part of the industrial standards for maximum building height in that I just wanted to reiterate that there is no established maximum building height, but any building height that exceeds three stories or 35 feet in height must have the planning commission make a finding that the new construction of any structure that is exceeding these criterias will not be detrimental to the light air or privacy of any other structure or use currently existing or anticipated. The explanation to support the findings will be summarized a bit now, but are also detailed more in the staff report and all of the supporting materials. And please note that the finding was included as Section 5 of Resolution 25-012. As shown, the proposed height of the building would be 46.5 feet and up to 49.5 feet to the top of the parapet. You know, on the next slide, I'll show some renderings to further support the finding. But I did, before this project was scheduled to the hearing, I did want to note that I did try to ask the applicant team if it was possible to reduce the height of this building to a maximum of 35 feet to avoid this. However, they noted that this would make the project infeasible as, you know, industry standards for these warehouses now favor a minimum of 36 to 40 feet tall internal ceiling heights for density and cost savings. And this also allows the warehouse to accommodate for taller, you know, pallet racking up to six to seven levels versus five at 35 to 36 internal ceiling height. And this also allows the building to increase storage capacity by 15 to 25% without having to expand the building or in the footprints in terms of its width and allows more surface parking area to be provided as well as landscaping. This extra height will also allow automated material handling equipment such as forklifts reaching over 35 feet and to support the fire suppression systems. Another point I wanted to make about this is that the previously approved project needed the same planning and mission request for the additional height and that that project had the same internal ceiling clearance height of 36 feet but had a maximum height of 44 feet to the top of the parapet. In comparison, this proposed project will have the same internal clearance, ceiling height of 36 feet, but would have a slightly higher maximum height to the top of its parapet from the existing project. And to also better support this, there are already existing sections in the planning code that do allow exceptions to the maximum height, including MMC section XI-10-55.02b, structures permitted above height limits, as there is an understanding that some buildings will need some roof structures, housing elevators, stairways, tanks, or other similar rooftop equipment that are needed to operate the building. And then there's another supporting section already in the code to ensure that such rooftop structures are screened for any ground level public vantage points, such as any parking lot or the sidewalk under section MMC XI-10-54.16, which allows for parapets to screen these structures as it can be eyesores and detract from the aesthetic of the building. This co-section also requires a line of site study to demonstrate compliance, and the applicant demonstrated compliance by providing these diagrams on sheet 501 of the project plans. Next slide, please. And these renderings that are also in the project plans demonstrate that the scale, bulk, and design of the project relative surroundings will not be detrimental to the light, air, or privacy of any other structure or use currently existing or anticipated. As you can see, the lower image shows the city's beloved hillside in the back. and the applicant has maintained a similar modern and contemporary design concept from the previous project and it will improve the architectural design on the site compared to the existing on-site buildings that we showed earlier with an outdated style that was constructed around 1980 and although the project will be one story tall overall the exterior facade of the project includes three two-story glass corners including a prominent main entry for the office as seen from South Milpitas Boulevard. The clear story glazing occurs frequently on the exterior facade and the corners to allow for ample light into the building. Concrete panel elements are used as accent pieces with multicolored paint, breaking down the scale of the concrete tilt-up walls on all elevations of the building. The proposed facade includes a total of four different paint colors, including three contrasting gray shades and the blue accent shade. Two different glass materials would also be provided to provide contrasting glazing colors, a darker color, spandrel glass with a lighter color vision glass, adding to the additional visual appeal to this proposed building. Additional elevation drawings are provided in sheets A301 and 302 of the project plans. Overall, the proposed project incorporates high quality site planning materials and building design. Next slide, please. The project does require landscaping in the zoning district along the required front and side street areas. The proposed landscaping plan as shown here is in compliance as it places a heavy emphasis on strong street furniture layout with new and existing trees and retains existing ground cover landscaping along the perimeter of the lot, as well as incorporates landscaping improvements as driveway and pedestrian entries. And new ground cover tree plantings are proposed around all the parking areas of the service parking lot, as you could see. Additionally, stormwater infrastructure in the form of detention basins would be incorporated into the onsite landscaping and open space. With these basins, you'll see here in the lighter green hashed a bit on the left and the bottom. The proposed project would remove 25 of the existing on-site trees that classify as ordinate size trees, which under the city's municipal code is for industrial properties is as measured 36 inches or greater in circumference as measured four and a half feet from the ground. But the project would include the planting of 234 new trees exceeding the minimum tree replanting ratio of two to one. These new trees would range in size from a minimum of 15 gallons or 24 inch block size The project would also retain approximately 58 of the existing trees along the perimeter of the lot for a net total of approximately 292 trees. Overall, the project will be increasing the urban canopy of the site from its existing conditions. Additional details of the landscaping plans are visible in LC 1.1 and LC 1.2 of the project plans. Next slide, please. and on this page and as you may see typically towards the end of our staff reports in these projects is that we may touch upon improvements related to utilities but for this particular project i wanted to provide an emphasis as the project went through several rounds of review in many areas related to off-site public improvements that are under the purview of the city's engineering division and you know out of my nearly four years of experience here at the city or in general this project has By far had the most involved off-site public improvements that I've been involved with and I'm not an engineer, but I think the city's engineer is also available on Zoom later for more context where the applicant team can provide more details about how this process went about also. But I wanted to provide a higher level overview and all these specific improvements have been conditionally added as conditions of approval number 42. If you'd like to see that specific list, As a project, we'll be adding more vehicles and trucks to the roadways. The condition of the surrounding roadways and intersections needs to be maintained and improved to offset future impacts. And for some further background context, as part of the city's development review process, each planning entitlement goes through a few rounds of review by main reviewing departments, including the engineering team, which has a very specialized traffic and transportation team. The city has an adopted transportation analysis guidelines for various supporting transportation engineering reports, and all these reports have been included as attachment G to the staff report that were included as part of the addendum. Some of the prepared reports will include one called the local transportation analysis, also known as the LTA, which is, you know, which did evaluate, you know, existing intersection levels of service in queuing around 12 nearby intersections. And in general, as part of the city's review process, and for every city, they are allowed to ask private developers to help offset the cost and impact of the proposed project if there is a general relative nexus between the scope and the amount of requested improvements to the infrastructure, including these off-site public improvements. So these reports and plans for the project are reviewed by the city's traffic and engineering transportation team. And they also want to do site visits to inspect the current conditions of roadways and nearby intersections. And this also includes sidewalks. So this was a very interactive part of the project to reach agreement upon by the applicant and the city's engineering team. And like I said, the details are in the previously mentioned conditions of approval. The improvements will include but not be limited to replacing sidewalks and curb ramps around the perimeter of the law to be more ADA compliant, equipment upgrades to nearby intersections, and pavement restoration along the immediate and nearby portions of Gibraltar Drive and South Milpitas Boulevard. All of these improvements are at a high investment cost by the applicant, which is the reason why it took a good amount of back and forth between the applicant and the engineering division to reach an agreement. The project would not be here today if they did not agree to all of these offset public improvements. We often take these amenities for granted like our sidewalks and the conditions of the paving of the roadways for granted. And I may not realize that there's significant cost and the city has a limited budget to do all these improvements ourselves. So it was a really great collaborative effort. And once again, the planning commission doesn't have the purview to change or require more of these improvements as they're under their purview of engineering. But I just wanted to note that the project would also provide these important improvements. And some of the plans you see on the left, I just wanted to, you can't really see too many details, but just a lot of the brighter colors, of course, not in black and white are kind of the back and forth between the applicant and the engineering team. And some of the examples, you know, there's always, you know, sidewalks are always sometimes damaged by trees and whatnot, but the top right is an example where I think there is a bit of an uneven, you know, pathway or, you know, where you could trip. So that's one of the reasons why that'll be repaired, you know? You know, that's also a big reason why I don't enjoy running in public anymore. You know, I have tripped before, not here, but it's not fun. And on the bottom right, kind of want to see that you do see an intersection light right there. So that might have some equipment upgrades. And I just wanted to show that some of the existing perimeter does have some nice of these existing bigger trees. So the project, like I said, is going to retain about 58 around the site. Next slide, please. And the department or some of the applicant will need to pay the following impact fees collected at various stages of the building from a process if this entitlement is granted. Planning helps collect on behalf of the Recreation and Parks Department, the public art fee, which is about one half of 1% of the building development costs. The Office of Housing will be collecting a non-residential affordable housing impact fee. The Engineering Division such as collects fees such as utilities including water, sewer and wastewater and this project will also be subject to the Calaveras Boulevard widening fee per resolution number 7894. The main reviewing departments have also provided conditions of referral to the project, which are reviewed thoroughly in the building framework process for compliance and apply to the life of the project. And I think altogether, there are about 104, which are included as exhibit one to the attachment A. Next slide, please. The city as lead agency determined that pursuant to CEQA guidelines sections 15162 and 15164, that an addendum to the 1000 Gibraltar Drive final environmental impact report should be prepared for the proposed project. Sections 1.1.2.1 and 1.2.2 of the addendum finds that the proposed project remains consistent with the impacts previously analyzed in the certified final EIR. The addenda further concludes that the proposed project does not require any substantial revisions to the final EIR and that no new significant information or changes in circumstances surrounding the proposed project have occurred since certification of the final EIR. and that no subsequent EIR is necessary. And as required by this listed public resources code section, an updated mitigation monitoring reporting program, also known as an MMRP, adapted from the final EIR was prepared and requires the relevant applicable mitigation measures from the final EIR to apply to this addendum. The addendum and its MMRP are included as exhibits two and three of attachment A to resolution number 25-012. And the supporting technical reports and information to the addendum are included as attachments D through G of the staff report. All of which demonstrates that the previous analysis completed for the final EIR remains adequate under CEQA and therefore no further environmental review is needed. I just wanted to add that our SQL consultant is also available on Zoom later if you have any additional questions on that. Next slide, please. In terms of the public noticing, a public notice was published in the Wapita's post and at City Hall and the city's website. Postcards were sent to owners and tenants within 300 feet of the project site. Three physical signs were posted at the site also. And to date, I have received no comments on the project. Next slide, please. Staff has confirmed that the project meets the findings associated with the site development permit for our new building and that the building height is set out in the WPEDUS municipal code. These findings have been discussed today and are detailed in the staff report and addressed in the resolution. Next slide, please. In closing, staff recommends that the Planning Commission open the public hearing to receive comments and close the public hearing and determine that the addendum to 1000 Gibraltar Drive Final Environmental Impact Report State Clearinghouse Number 2020-069-024 adequately analyzes the potential environmental impacts associated with the project and that the addendum is in compliance pursuant to CEQA Guidelines Sections 15162 and 15164. and to adopt resolution number 25-012 recommending that the Planning Commission approve site development permit number SD24-0006, environmental assessment number EA24-0002, and tree removal permit number TR25-0021 subject to the findings and attached conditions of approval. This concludes staff summary of the project. I'll be happy to answer some questions later. And furthermore, as I've said throughout, that the project applicant team and consultants are here in person and on Zoom as well as the Sequin consultant and also one of our city traffic engineers managers. And also, like I mentioned, the city's Office of Economic Development is here also, if you would, if you have questions for them or allow them to add a few statements. Thank you.

47:42 – 48:14Speaker 5

Thank you, Christina. Thank you for the thorough presentation. Obviously, it's a very big project. It's a big project, especially for the city of Milpitas. So I welcome all the huge attendance here. So I'd like to start off to ask the commissioners if there are any comments or questions. Vice Chair Hawkins.

48:14 – 48:34Speaker 13

Thank you. Yeah, that was a great and very thorough presentation. Just more of a couple clarity questions that on the map you showed them when they exit the facility and then you showed the road with Gibraltar kind of heading over to Milpitas Boulevard. Are the trucks able to go left or right out of that? So if they go right, they would go up to Yosemite and pick up Milpitas Boulevard that way?

48:35 – 48:59Speaker 12

Oh, sorry, maybe I forgot to add that. Did we skip the transfer? I don't know if the applicant team wanted to say anything or they could have. I don't know if they wanted to. Oh, sure. Sorry, I didn't know if they wanted to. Yeah, I think you pressed the green light.

48:59 – 49:36Speaker 9

Oh, there we go. Hey, good evening. Steve Beauchamp, Panettone Development, the applicant for the project. Yeah, there'll be obviously a signalized intersection at Milpitas. um in the center of the site there and that would be primarily uh entrance entrance only excuse me and then exiting out onto gibraltar and gibraltar would be free movement in either direction thanks that's kind of what i thought but just because the way the map was shown on here i was kind of wondering so you're good for me thank you then

49:37 – 49:57Speaker 13

I had one other question. I'm not sure who to address it to. So you mentioned electric cars and power for the electric cars. Is there thoughts on electric trucks? I mean, semis and stuff, Teslas and those kind of things that are possibly coming down the road in the future. Just curious, because I didn't hear anything about that in the presentation.

49:58 – 50:41Speaker 9

Yeah, currently there's requirements in the California code to have preparations for at least one truck charging station at this point. So as technology advances and rolls out and we see more of that in the fleet, then that would be kind of dependent upon the tenant and the user to expand that requirement. So that's currently where it resides. And then the auto parking, The new California code is there's, I believe, about 20 charging stations that will be installed day one and about 90 prepped for charging for future. Cool. Thank you very much.

50:44Speaker 5

Any other questions or comments?

50:48 – 51:07Speaker 15

Yeah, I do have question and I would like to hear from the Economic Development Director on your letter, especially with this facility being unique in a sense that you mentioned your letter, this will be the second of its kind. I'd like to understand more about what's making it unique in this design.

51:15 – 51:40Speaker 2

Good evening. Alex Andrade, Director of Economic Development and Strategic Initiatives. I am here to support my colleague, Cal Zubair, our Economic Development Specialist, who has been assisting Christina and working with Amazon. So if it's OK, I'm going to have him respond to your specific question. And I can respond to other economic development questions if that is OK with you. Thanks.

51:46Speaker 16

Thank you for the question, Commissioner. You were asking if this was the second of this type of facility?

51:55 – 52:10Speaker 15

That's what's stated in the letter. So I'd like to understand what is unique about this particular design, because we have seen a lot of these warehouses all over the Bay Area. And because it's stated as second of its kind, we really want to know what is differentiating this facility from others.

52:11 – 53:01Speaker 16

Yes, so the other facilities that you see across the Bay Area and in Milpitas are classified as fulfillment centers. This one has a sub same day characteristic to it, meaning that people that are ordering from the platform can receive their goods that same day. And I believe the applicant aims to deliver that within a few hours the way that they achieve that is that the majority of the goods are already on site at the facility and then it's delivered in a smaller batches as opposed to loaded into a van and going on longer routes i believe the applicants program is called the flex flex program and so people have the opportunity to do kind of more of a gig work style of employment with the uh with that arrangement

53:03 – 53:16Speaker 15

Thank you. So is this the reason why there are so many more parking spots available because you anticipate a lot of these drivers are going to be utilizing that additional spots beyond the required?

53:17 – 53:36Speaker 16

I think that's a fair assumption. In addition to that, the site is expected to host 363 jobs as well, or create 363 jobs as well. And that 363 number does not include delivery drivers.

53:36 – 54:22Speaker 15

Definitely, this is going to be a boon for the city to have new jobs being created, as well as construction jobs. The facility itself is definitely very modern, so it's a nice addition. But I do have a question again with the letter that was sent. There was a mention about sales tax collection. So help us understand how much of it will actually be generating revenue for the city from sales tax versus how, you know, like a lot of times when people order online, they are taxed based on where they are residing. So. I presume since this is same day delivery, a lot of it is going to go around South Bay. So is the sales tax going to be distributed towards where it's delivered to versus where it's being delivered from?

54:22 – 54:57Speaker 16

Yeah, so the city, as you know, captures the Bradley Burns portion of sales tax. And we are currently working with HDL, our sales tax consultant, as well as negotiating with Amazon to ensure that we can capture sales tax from this site. As you mentioned prudently, online sales do get a little bit complicated, but the advantage in this case is, as you mentioned, the sub-same-day aspect of it where the goods are already on site. And Director Andrade has anything to add.

54:58 – 57:13Speaker 2

Thank you. That's a really important question. So just to back up a little bit, this would be Amazon's fifth facility in Milpitas. On McCarthy Boulevard, there are three facilities that measure 125,000 square feet each, owned by the McCarthy development, McCarthy family. And then just to the south of that is roughly a 340,000 square foot facility that's owned by Bridge Development. And when you take almost 500,000 square feet that we're talking about today, we're well over a million square feet. That's important because typically, Amazon fulfillment centers measure at least a million square feet. And so you tend to see those types of facilities in other areas that are not so urban. The other important thing related to the fulfillment centers for Amazon, that's generally where sales tax is generated because we tend to have more delivery oriented facilities. We haven't historically been able to collect sales tax revenue directly through, as Mr. Zubair was indicating, Bradley Burns. So think of walking into a 7-Eleven, you buy a six pack of Coke, you have to pay tax for that because that's the point of sale. Things are a little different here because generally what the city is collecting from a sales tax perspective is known as monies derived from what is known as the county pool. For this particular facility, we're in an exploratory conversation with Amazon about the potential of generating sales tax revenue at this site. This would be considered unique in terms of a smaller site that doesn't measure over 500, rather, doesn't measure over a million square feet, but measures close to 500,000 square feet. I would invite also Mr. Steven Medulli-Williams, who's here on behalf of Amazon. He's the economic development manager. If you want to get a little bit deeper to that, into that conversation, but for now, please know that, as Mr. Zuber was just alluding, Office of Economic Development, Amazon representatives. We'll be meeting with HDL, our sales tax consultant.

57:15Speaker 15

Thank you. I think for now, I mean, I would understand that you guys are already working on it, so I will refrain from further questions. I appreciate it. Thank you.

57:28Speaker 5

Anybody else have any questions? Mr. Robasti?

57:32 – 58:01Speaker 6

Hi, Alex. With the, we have certain Amazon fulfillment centers on McCarthy. So going by that standard, what do you think they are contributing as sales tax to the city? And with that, if we go by that, those numbers and the square footage of this, can we arrive at, or they are going to do something different here?

58:04 – 59:43Speaker 2

Thank you, Commissioner Huafi, for that question. The term fulfillment center is really important here. So the facilities that are located on McCarthy Boulevard are not considered fulfillment center. They're delivery centers. So that is where the county pool dollars are coming in, if you give me, well, I have to remember that sales tax revenues is confidential information. So based on the state, public agencies would only be able to divulge sales tax dollars and those companies in the top 25, but it would have to be in alphabetical order, for example. It's information we're not able to divulge at this particular point in time. And I don't have that in front of me also. But just know that through the county pool, you have 15 cities within Santa Clara County that are sharing this, not only Amazon's presence here, but Amazon's presence in other places. So one thing I can say is, for example, in Milpitas, we currently do not have a Costco. But other locations, like in San Jose, they have a Costco. Through this county pool methodology, the city of Milpitas is able to generate sales tax from that business, which is not located in a brick and mortar within Milpitas. Understand it. Thank you. Thank you.

59:45 – 1:00:15Speaker 5

Anybody else have any questions? Okay. I have some of my questions I wanted to ask have already been asked. But regarding the height issue, it seemed like on the north side the distance is less, you know, compared to the other sides with respect to the businesses, next door businesses. So have you taken any approval from any business from the north side that they'll be OK with this height?

1:00:18 – 1:00:36Speaker 12

But anyone else from the applicant team would like to add, they can come. But from my knowledge, the neighboring building on the lot on the other side, they didn't send any type of pre-approval or anything. But we did send the notice as required. And we didn't hear any requests to talk about the plans further or similar.

1:00:39 – 1:00:59Speaker 5

OK, thank you. So it's a very nice project, big thing for Milpitas. And I didn't know from the report that the client is going to be Amazon. Is that 100% commitment? Is that decided, who the tenant is going to be?

1:01:02Speaker 12

I believe so. You know, the applicant team can add more, or Alex. You know, they are, I think, the actual legal property owners at this time. But they, of course, could sell it at any time.

1:01:11Speaker 5

Alex wants to say something.

1:01:14 – 1:01:39Speaker 2

Thank you, Chair. One thing I would like to say is that I believe it was in 2021 when Amazon purchased this facility, or the 29 acres, rather, for $120 million or so. So it's a pretty significant investment that they have made. Representative is here from Amazon. If you'd like to hear from him to make the formal, the formal commitment.

1:01:53 – 1:05:22Speaker 4

Good evening, Chair, fellow commissioners. I'm Stephen Medula-Williams, Senior Economic Development Manager at Amazon. Really excited to be here today to discuss this exciting project. As you know, and it's been pointed out, we purchased this site in 2021 with the hopes of developing it primarily as what we call a sortation center. And obviously, COVID-19 happened. And we decided to put the project on pause until we determined what's the best, highest and best use from an Amazon perspective for the site. I will share that our history with Milpitas during 2021, we built our first two projects, two delivery stations, both on McCarthy Boulevard. I was pretty involved in that process and just really excited about the partnership we've had with the city of Milpitas. As a matter of fact, the one site, DR3, on McCarthy Boulevard is kind of our showcase delivery station really across Northern California. We bring everyone on tours of that site just in case you see the additional press there. That's why we're so excited about how that facility looks and how it melds into the existing community. The other thing I'm excited about is that so far we've created over 500 direct jobs plus another 500 indirect jobs. with our current facilities, and we're excited about the 363 new jobs that we're going to create at this site, at this new site, in addition to all the indirect jobs as well. So, and then you couple that with the $200 million investment, that's $120 million from acquisition and $80 million from development costs, project costs. You know, we're just really bullish and really happy to be in Milpitas, and so first wanted start off by saying thank you for being fantastic partners, and we look forward to our partnership. I do want to kind of touch base a little bit on the sales tax revenue issue because I know that's been something that we talked about quite a bit. What's unique about this facility is that it's a hybrid model where it's part delivery station with the goal of delivering same day to our customers, but it's also a mini fulfillment center. And so as Alex pointed out before, fulfillment centers are the point-of-sale facilities, particularly in California, that generate sales tax revenue. On average, they really, even though I know Alex said a million, they're closer to 2 million square feet in size, so generally pretty big. And for the cities, we have about maybe 16 cities in California that have fulfillment centers. They're big sales tax revenue generators. So the thing about what we call the SSD is that they're relatively new. And when we get our instructions from CDFTA, usually it takes about a year, a year and a half, or sometimes two years before we figure out or know how much sales tax revenue is generated from a given site. And so with this new model where a portion of the building is dedicated toward delivery and another portion is dedicated toward fulfillment, we just don't know yet because we don't have enough SSDs that have been operating yet. But again, we're going to work with HDL, the consultant, along with Alex and his team to kind of figure out what that formula looks like for this particular facility. But Alex is 100% accurate in saying that right as of now, our facilities generate sales tax revenue for the city via the county pool, which is obviously split among many, many cities.

1:05:24 – 1:05:36Speaker 5

Thank you. Thank you. At this point, if there are no other questions from any of the commissioners, do we have any comments from the public regarding this item?

1:05:37Speaker 17

Chair, at the moment, I have two speaker cards. I can't read. There's Mr. Doug Cheshire.

1:05:47Speaker 7

Good evening, Chair Gupta.

1:06:04 – 1:08:50Speaker 7

Good evening, Chair Gupta, fellow commissioners and staff. My name is Doug Cheshire. I'm a field representative for Carpenters Local 405 here in Santa Clara County. I stand before you this evening not in opposition to progress, but in defense of responsible development, development that uplifts our community rather than undermine it. The proposal before you seeks to demolish existing structures and replace them with a massive 487,000 square foot industrial warehouse. While the scale and ambition of this project are clear, Amazon's commitment to the community are not. Amazon has a long history and well documented history of hiring irresponsible contractors who fail to use local labor, bypassing the very workers who live here in the community and contribute to the local economy. Paying poverty wages, often just above minimum wage with little to no benefits, hardly the kind of jobs that build stable families or thriving neighborhoods. Avoiding participation in state-certified apprenticeship programs. Denying workers the opportunity to build real careers and the skills in the trades. This is not just a pattern. It is a business model, one that prioritizes speed and profit over dignity and well-being. While the environmental impact report addendum may check the boxes of CEQA compliance, it does not address the deeper social and economic consequences of the project. Where is the analysis of labor standards? Of contractor accountability? Of long-term community benefits? We're told this project will bring jobs. What kind of jobs? Temporary, low wage, high turnover positions with little upward mobility, jobs that come without union protections, without training pipelines, and without respect for workers who fill them. Milpitas deserves better. Our workforce deserves better. Our future deserves better. If this project is to move forward, it must do so binding commitments to hiring local labor through verified responsible contractors, paying living wages with benefits that reflect the cost of living in this region, participating in state certified apprenticeship programs. And until then, I urge this commission to reject the proposal as it stands. Let's not rubber stamp another warehouse that treats Milpitas as a shipping node rather than a home. Thank you.

1:08:58Speaker 5

Is there another?

1:08:59Speaker 17

Chair, I have a speaker card from Rene Baez.

1:09:11 – 1:11:13Speaker 1

Hi, good evening, Chair Gupta, commissioners, and staff. I want to first thank you for giving me the opportunity to speak tonight. My name is Rene Baez, and I'm a field representative for Carpenters Local 405. Thank you for all your hard work, but I highly urge the Planning Commission to continue this item to afford the community more time to digest and understand the proposed project and recently drafted environmental review documents. The final EIR was approved in March 2021. The addendum to the final EIR that is before you was published on the city's website according to the staff's report on September 5th. 2025, which was five days ago. The addendum supposedly concludes that there are no significant revisions required and no circumstances surrounding the project have changed since the final ERR was published in March 2021. With only five days for the public to evaluate this conclusion, it makes it very difficult to accept. in particular in March, 2021 was still peak COVID before widespread vaccine distribution, before schools were reopened and well before any return to office policies were widespread. In addition, the final EIR was published only nine months after the opening of Milpitas BART station and before the opening of the footbridge across Montague Expressway from the BART station. Clearly, some circumstances have changed since then. Five days is not enough for the public and the stakeholders to evaluate this addendum and any changes that might have occurred around the project in the four plus years since the project was first entitled. As such, we respectfully request that the Planning Commission continue this item to a later date. Thank you, Commissioners, for your time.

1:11:19Speaker 5

Is there anybody else?

1:11:20Speaker 17

I have no other speaker cards. Thank you.

1:11:25 – 1:11:38Speaker 5

Okay. So first of all, regarding the second speaker here, does the planning department have any comments, answer to the EIR issue?

1:11:41 – 1:11:52Speaker 12

I'm not sure if Janna from the consulting company that did the addendum would like to add any words about this, or if not, I could do this as she promoted.

1:11:53 – 1:12:32Speaker 14

Yeah, can everyone hear me? Hi, I'm Janna Wolgorski with First Carbon Solutions, associate director and project manager on this project, working with the city of Mopedas. I can speak to the concern about changes of circumstances since the EIR was completed. As part of the addendum, we completed at the city's direction a complete traffic analysis to look at any changes in traffic and if the project would result in any significantly different traffic impacts than were disclosed in the EIR.

1:12:32Speaker 5

Can you talk a little louder? At least I couldn't hear you.

1:12:36Speaker 14

As indicated in the addendum, there were no significant changes to impacts of the proposed project as compared to those conclusions made in the previous EIR.

1:12:55Speaker 5

Christina, you have anything to add?

1:12:58 – 1:13:27Speaker 12

I would also just quickly add that addendums per the CEQA guidelines that require public review or circulation per state law, you know, EIRs do take, you know, several months over a year to prepare, which is why, you know, they do allow different hearings based on if a new revised project comes in. And, you know, this project was on, you know, of course, a timeline to try to get to a public hearing. But like we mentioned, there is no requirement that this gets posted for 30 days or recirculated. Thank you.

1:13:33 – 1:13:44Speaker 5

Now regarding the Amazon issue, can the Amazon representative address that issue with respect to hiring practices and what was asked?

1:13:52 – 1:17:55Speaker 4

So in terms of the question about whether or not Amazon utilizes union labor, we have no issues with utilizing union labor on various projects throughout the country. I have myself worked on projects that have had 95% union labor. Not every project does. But historically, we've used union labor probably about 50% of our projects across the country. And generally, our process is an open bid process. So we have no restrictions on anyone being able to bid on our projects. We're looking to build our projects not only to meet our network standards, but we build our projects in the best scenario to meet our customer needs. And particularly as it relates to this project, we've not begun the bidding process, and our doors are open in terms of any potential bidder, be it union or non-union. In terms of overall hiring practices, one thing I wanted to kind of highlight is that over the last three years, Amazon has committed over $1.2 billion for upskilling and training of our associates. And what that means specifically for a project like this one is that we've developed a program, two core programs. One program is focused on educational attainment, where we basically, and this is one thing we pride ourselves on, we take our associates where they are in life. So you can be as young as 18 to work at Amazon. You don't have to have, you can even be without a high school diploma. You can start at Amazon with a GED. But in addition to that, we provide tools and a framework for employees to grow. So we've got a program which we call Career Choice that will invest dollars, roughly almost $5,000 a year, every year until the person reaches a certain educational attainment. Meaning that if you need a GED, we'll pay for that. If you want to source a community college degree, We'll pay for that. And this is all prepaid tuition. So this is not a case of a scenario where if you have tuition reimbursement, you've got to pay for the class, take the class, get certain grade, and get reimbursed. We've created a partnership with about 170 universities across the country, a web-based portal where all you have to do is go sign up, take a course, so long as it's under that $5,000 a year minimum, and you can move toward, again, your associate's degree if you're seeking to get a bachelor's degree. Also, if you want a certificate program. So that's one particular track where basically if you're looking to upskill, become a nurse, you can do that while working at Amazon. And if you decide to leave Amazon after you're done with your degree, you're gone. And so there's no repayment to Amazon, no recourse for Amazon. you're allowed to move in whatever path you seek. The other program is more focused on technology upskilling, meaning that we have about 10 specific technology training programs where an associate can take, free of cost, to learn different coding technologies, different technology if they want to move. For instance, the fulfillment side of our business, we typically call the dot-com business. The other side of the business is AWS, which is the technology side. So what we've done is removed the barriers from someone who wants to start out in a warehouse and then go work in the technology side by providing those free courses to learn or earn specific certificates. And again, that's no cost to our associates. So I just want to kind of highlight that as kind of one of the key benefits that we offer. And again, and I think here in the area, we've got La Positas, we have a partnership with them, San Jose Community College, as well as San Jose State University. So if one of our associates wants to go. And this is a benefit that's immediately available once joining, starting at Amazon. If they want to start their bachelor's degree, I'll be part-time, they can go sign up for that program at a local university, a community college, and it's very close to Milpitas today. So I'll pause and take any questions if you have.

1:17:55 – 1:18:12Speaker 5

Yeah, follow-up question. So In this kind of business, you have either the warehouse employees or you have mostly delivery personnel. So do you have any minimum wages you pay to these two types of personnel?

1:18:13 – 1:18:31Speaker 4

Well, right now, I average wages across the U.S. is roughly about $22.50 an hour, but obviously the Bay Area, you see wages a little bit higher. So I don't have that number for you, but right now average starting wage across the country is roughly about $22.50 for house workers.

1:18:32Speaker 5

That includes delivery personnel also in addition to...

1:18:37 – 1:19:12Speaker 4

Delivery is separate because particularly with our delivery stations like the two we have on McCarthy Boulevard, we have independent companies that run those delivery businesses. And those delivery drivers, they're a little different in the sense that they have to be 21. To be a driver and then number two the wages are generally a little bit higher They're close to the twenty three dollars an hour if not a little bit higher That sounds reasonable to me are there any comments or questions you have a question I have a question for Christina Yeah, I have a question

1:19:15Speaker 8

Regarding about the access and circulations on parking, I'd like to know what are the hours of the incoming delivery?

1:19:27Speaker 12

Mr. Fausti, would you like to answer that? Or talk?

1:20:02 – 1:21:33Speaker 9

As mentioned earlier, the goal of this facility is to deliver products same day and sometimes within two, three hours. So what that means is you end up having kind of more frequent trips and regular cadence of trips. You're talking about deliveries out of the facility? Is that what you're referring to? Yeah, I think you mentioned here the oversized trucks delivery, right? Oh, sorry, trucks. Yeah, on the semi side, actually, yeah, this particular facility is only running about 30 trips, about 15 trucks in and about 15 trucks out compared to the previous project that was in the neighborhood of about 700. So in other words, big semis coming in, a lot of product gets distributed within the facility, and then more car trips delivering the product out. So that's why you have a kind of a ratio of less trucks and a lot of cars on the delivery side. Those semi-trucks are coming in over about a two to three hour window of separation. On what time? Starting at midnight, 3 a.m., 4 a.m., 7 a.m., 8 a.m., 11 a.m., 12 p.m. 3 p.m., 4 p.m. So about every two hours or so you have a truck coming in?

1:21:34 – 1:21:57Speaker 8

What I'm saying is about the oversized trucks, they bring the big thing you have to park in the loading ducts. That's how many readers. So After they deliver, they have to put it inside the building, right? Yes. So what will happen on this oversized trucks? Are they going to park in the area or they have to leave right away?

1:21:58 – 1:22:20Speaker 9

It'll vary. There are trailer parking stalls here. So there will be some trailers that will be left or staged with some product and that might move into a loading dock position. So there will be a cycle of trucks in and out. But in general, The overall count is about 30 trips a day, so 15 in, 15 out, roughly.

1:22:21Speaker 8

You said 13 trips a day for these big oversized trucks? Yeah. And what time, normally what time do you have a schedule for that?

1:22:29Speaker 9

Again, that's scattered throughout the day, about every two hours.

1:22:35 – 1:23:04Speaker 8

they're coming up and the entry is in the south main south um right that's the only entrance and exit area they'll exit out gibraltar and they'll have the ability to go uh either direction okay so after let's say after the delivery okay so there is a medium trucks that they deliver to to the customers? How many trucks are that available?

1:23:04 – 1:23:27Speaker 9

Those will not be trucks. Those will be vehicles. And then on the vehicle side, those run in the neighborhood of, let me make sure I got the right, there's about 1,500. Are they going to deliver it at the same time?

1:23:28Speaker 9

Oh, no, throughout the day. Again, this is a facility that will have deliveries going out, you know, basically constantly throughout.

1:23:36Speaker 8

Because my concern is, let's say if you said 1,500 a day coming out and like over the same time, but like 100.

1:23:47 – 1:24:23Speaker 9

Yeah, there won't be, again, because the deliveries were intended to get to the customer within a couple of hours. There's not a big surge or a wave like some of the facilities like your last mile that's up in the McCarthy Center. That's usually sending out like vans in a wave at like 10 a.m. or 11 a.m. This with trying to get product to customer as quickly as possible. You have a scattering of deliveries basically within every hour. in the neighborhood of 100 to 200 vehicles.

1:24:24Speaker 8

Are these one driver, after they deliver to the neighborhood, are they going to come back again and then get another?

1:24:32Speaker 9

It depends, but typically sometimes it's just one trip. a day they make, but they would have the option to come back and make additional trips if that's what they choose.

1:24:42Speaker 8

But all this delivery trucks will be parked in this facility, right?

1:24:46Speaker 9

No, no, they don't stay there full time. They just come in and get loaded up. And these are basically like personal vehicles, kind of like an Uber service.

1:24:55Speaker 8

I've seen in the Philippines, but I've seen a lot of Amazon trucks.

1:25:01 – 1:25:33Speaker 9

Yeah, the vans. Those are coming out of like an AMZL type of facility. That's where Those trucks get loaded up. They do a full route for a whole days of service. This facility, again, is more just in time or within that shorter time frame on delivery. So like a particular driver may have 10 stops instead of 100 stops. But that allows them to get product to customers quicker. That's the intent of this delivery station.

1:25:44Speaker 8

The 50 oversized parking stalls for tractor trailers, what do you mean by the big oversized trucks that you're talking about?

1:25:54 – 1:26:09Speaker 9

Yeah, semi trucks is what would be coming in, bringing the product in, and the trailer, yeah, the 50 oversized parking stalls are trailer, our semi-truck trailer stalls. And those are the ones that are up against Milpitas.

1:26:12Speaker 8

What if there's a problem about your trucks? Are they going to fix it on the parking as well at the same time? Or what will happen if there's some mechanical issue?

1:26:21 – 1:27:02Speaker 9

There would be a mobile mechanic that would handle that. But in general, these vehicles are serviced at a service station. There's not intended to be service for the trucks here. But if sometimes it happens, like Yeah, same thing as if, you know, you get a broken windshield and you have a safe light show up. Yeah, something like that. If there's something critical, a flat tire, then a tire service is going to come and replace that tire. Only things that are critical where the truck can't obviously operate. So you mean you have a mechanic on site? No, no mechanics on site. Who's going to fix it if there's a problem about it? It'd be a call service, a mechanical service to call in. So the trucking company would have an on-call service.

1:27:03Speaker 8

Thank you, Chair.

1:27:08Speaker 5

Thank you, Commissioner Golang. At this point, can we have a motion to close the public hearing?

1:27:15Speaker 15

Before we close, I do have a clarifying question, if I can pose it.

1:27:19Speaker 5

Oh, okay, sure.

1:27:20 – 1:27:35Speaker 15

So the first speaker was talking about labor standards, and I wanted to get clarification from the city attorney. if labor standards is part of our jurisdiction on the Planning Commission or is it outside of that?

1:27:36 – 1:28:34Speaker 3

So you have three items for approval tonight. One of them is the environmental issue, the CEQA compliance. The other one is the tree removal permit. And then the last one's a site development permit. The three findings necessary for this, obviously the environmental and the tree standards are very different from that comment. But to focus the Commission on what's required for the site development permit, there are three findings required. One of them is general plan consistency, the other is zoning ordinance consistency, and the other And the final one is whether the development is compatible and harmonious with the adjacent development in the community. So any kinds of factors that the commission considers needs to go to one of the findings required by the commission and requires evidence and facts to support those kinds of determinations.

1:28:39Speaker 15

Okay, thank you.

1:28:43 – 1:29:29Speaker 6

I have a question for our attorney. The project is very good. Economic development, I have worked with economic development. They do a very great job. Thank you so much. And thank you, staff. You have done a great job. This is a great project, no doubt about it. But Mr. Rene and Mr. Doug raised some questions. And all of them are here, obviously. and we need to respect their presence. So from NorCal Carpenter Union and they have spoken. So what can we do about that? What are your comments when you say all the three things we are considering?

1:29:32 – 1:30:05Speaker 3

So by making the comment and focusing the commission on the elements that are before you, the issues that are before the commission to make determinations on, is merely to focus your consideration on what is actually within the board's subject matter. It is not to depreciate or diminish any of the comments made by the public on this subject, nor the concerns that they raise, nor the validity of the issues that they raise. It is simply to focus the commission on the factors and your thinking based upon all the testimony and evidence that you've heard.

1:30:14Speaker 5

Okay. At this point, I'd like to close the public hearing. So may I have a motion to close the public hearing, please?

1:30:27Speaker 11

I make a motion to close the public hearing.

1:30:31Speaker 8

Is there a second? Second.

1:30:34Speaker 17

Commissioner Kong? Aye. Commissioner Wassey?

1:30:39Speaker 17

Commissioner Medina-Ashby? Aye. Commissioner Galang?

1:30:43Speaker 17

Vice Chair Calkins?

1:30:45Speaker 17

And Chair Gupta?

1:31:02 – 1:31:28Speaker 5

Are there any other comments or anything any of the commissioners want to discuss about this item? In that case, would one of the commissioners like to make a motion?

1:31:52Speaker 11

Can you put the recommendation up?

1:31:57 – 1:32:10Speaker 5

Yes, Commissioner Sonia. Go ahead. Want to make a motion?

1:32:16 – 1:32:46Speaker 11

I make a motion to adopt resolution number 25-012 recommending that the Planning Commission approve the Site Development Permit number SD24-0006 Environmental Assessment number EA24-0002 and Tree Removal Permit number TR25-0021 subject to the findings and attached conditions of approval.

1:32:48Speaker 3

And Commissioner Medina Ashby, for taking that action and making CEQA determinations, the second finding would also be needed.

1:33:03Speaker 5

Read the second paragraph.

1:33:04 – 1:33:36Speaker 11

OK. Determine that the addendum to the 1000 Gibraltar Drive Final Environmental Impact Report State Clearinghouse number 202006924 adequately analyzes the potential environmental impacts associated with the project and that the addendum is in compliance pursuant to CEQA guidelines 15162 and 15164.

1:33:42Speaker 5

Thank you. Is there a second?

1:33:50Speaker 17

Commissioner Kong? Aye. Commissioner Awasthi?

1:33:55Speaker 17

Commissioner Medina-Ashby? Aye. Commissioner Galang? Aye. Vice Chair Calkins? Aye. And Chair Gupta? Aye. Thank you.

1:34:11 – 1:34:58Speaker 5

Sorry, next item in new business. Are there any new business items? Okay, it's time for adjournment. I'd like to read this declaration. Any person agreed by any final decision of any board, commission, or department head to the city of Milpitas may appeal the decision to the city council by filing written notice of the appeal with the city clerk within 12 calendar days of the date of said decision and paying the required fee. This time limit shall be strictly enforced. So may I have a motion to adjourn the meeting, please?

1:35:02Speaker 6

I make a motion to adjourn the meeting. Any second?

1:35:08Speaker 17

Thank you. Commissioner Kong? Aye. Commissioner Wassey?

1:35:13Speaker 17

Commissioner Medina-Ashby? Aye. Commissioner Galang?

1:35:18Speaker 17

Vice Chair Calkins?

1:35:19Speaker 17

And Chair Gupta?

1:35:22Speaker 5

The meeting is adjourned.

This transcript was automatically generated from the official public meeting video and is presented unedited. It reflects remarks made on the public record by elected officials, staff, and public commenters. Transcript accuracy may vary; view the original recording for reference.