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Letter to San Jose Mayor Ron Gonzales from Coyote Valley Research Park, LLC and Cisco Systems -- February 14, 2000

February 14, 2000

The Honorable Ron Gonzales
Mayor
City of San Jose
801 North First Street, 6th Floor
San Jose. CA 95110

Dear Mayor Gonzales:

On behalf of Coyote Valley Research Park, LLC (CVRP), a partnership including Gibson Speno, LLC, DivcoWest Properties, LLC and Cisco Systems, we are writing to oppose the Metcalf Energy Center (MEC) power plant proposed for San Jose's North Coyote Valley Campus Industrial Area.

The North Coyote Valley Campus Industrial Area has been designated in San Jose's General Plan since 1983 and planned specifically for world-class high tech corporate campuses. North Coyote Valley has been and remains a critical part of San Jose's economic development strategy intended to provide an expanded job base to improve neighborhood and community services for San Jose residents. North Coyote Valley has also been and remains an integral part of San Jose growth management strategy, a strategy specifically designed to locate jobs close to housing (existing & planned), balance jobs and housing in San Jose, encourage reverse and shorter commutes, and promote transit.

Cisco Systems was attracted to North Coyote Valley for specifically these reasons. As you are aware, Cisco is planning to invest nearly $1.3 Billion in a corporate campus in North Coyote Valley, which will provide for nearly 20,000 jobs, as well as an onsite child-care center.

As a result of initial concerns about the proposed power plant, CVRP retained an energy consultant to analyze potential impacts from the proposed power plant. The consultant considered land use compatibility, access, safety, hazardous materials, water, and variety of other issues related to the proposed power plant. As part of the review, the consultant also evaluated energy requirements for the region, and considered alternative sites and alternative means of addressing future energy needs.

We find the power plant to be inconsistent and incompatible with the Campus Industrial uses planned for North Coyote Valley. We believe MEC's proposed location, between the established residential neighborhoods of Santa Teresa and the future high tech corporate campuses of North Coyote Valley, is inappropriate.

Continued economic growth in California and Silicon Valley will undoubtedly require additional power. This requirement can be addressed through power generation, improved transmission capacity, better energy management and most likely, a combination of all of these measures. There are a number of viable options and alternatives that can effectively and appropriately address the energy requirements of this region absent the proposed MEC facility. The energy needs for the region can be addressed without compromising existing residential neighborhoods or jeopardizing San Jose's economic development opportunities.

We urge the City of San Jose to encourage uses that are consistent with the General Plan for North Coyote Valley and compatible with the established residential neighborhoods in Santa Teresa. We strongly oppose the proposed power plant and urge the City of San Jose to deny the Metcalf Energy Center General Plan Amendment and related requests to change the land use and transportation diagram from Campus Industrial to Public/Quasi Public. We will also recommend that the California Energy Commission (CEC) deny the MEC licensing request at the Metcalf location.

If you have any questions or need additional information, please contact Randy Lamb at 408-278-6860.

Best Regards,

(signed)

Steve Speno
Gibson Speno, LLC-Coyote Valley
Coyote Valley Research Park, LLC

(signed)

Ellen Jamason
World Wide Real Estate
Cisco Systems



cc:     San Jose City Council
San Jose Planning Commission
Del Borgsdorf, City Manager
Darrell Dearborn, Deputy City Manager
James Derryberry, Director, Department of Planning, Building & Code Enforcement
Kent Edens, Director, Department of Planning, Building & Code Enforcement
Ralph Qualls, Director, Department of Public Works
California Energy Commission

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