Staff Report.Parklets and Grays Lane
PREPARED BY: Monica Renn
Economic Vitality Manager
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Police Chief, Community
Development Director, Parks and Public Works Director, and Finance Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 01/18/2022 ITEM NO: 8
DATE: January 12, 2022
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Discuss and Provide Direction on the Following Actions to Continue the
Town’s Support of Economic Recovery and Community Vitality in Response to
the Ongoing COVID-19 Pandemic, Including:
a. Extend the Temporary Krail from January 31, 2022 until May 1, 2022 to
Allow for Construction to Begin on the Semi-Permanent Parklets;
b. Authorize an Expenditure Budget Adjustment in the Amount of $28,000
from ARPA funding for Krail Rental;
c. Consider Delaying the Decision to Program Some of the Identified Public
Parklet Locations until the Completion of the Semi-Permanent Parklet
Program; and
d. Receive update on Grays Lane Plans and Provide Additional Direction on
Programming the Public Areas for Placemaking.
RECOMMENDATION:
Discuss and provide direction on the following actions to continue the Town’s support of
economic recovery and community vitality in response to the ongoing COVID-19 pandemic,
including:
a. Extend the temporary krail from January 31, 2022 until May 1, 2022 to allow for
construction to begin on the semi-permanent parklets;
b. Authorize and expenditure budget adjustment in the amount of $28,000 from the American
Rescue Plan Act (ARPA) funding for krail rental;
c. Consider delaying the decision to program some of the identified public parklet locations
until the completion of the semi-permanent parklet program; and
d. Receive update on Grays Lane plans and provide additional direction on programming the
public areas for placemaking.
PAGE 2 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
BACKGROUND:
The Town Council remains proactive, adaptive, and flexible in its efforts and actions to support
the business community through the dynamic economic recovery environment created by the
COVID-19 pandemic, health orders, and shifting timelines. Since March 2020, the Town Council
has been working to support the Town’s business stakeholders, delicately balancing competing
interests, and continuing to consider how to provide available assistance. One of these
assistance opportunities is the Town’s subsidized semi-permanent parklet program in which
businesses may enter into a public-private partnership with the Town to construct and operate
an outdoor dining area, known as a parklet, within existing public on-street parking spaces.
When the operating business is closed, the area is open for public use. Parklets enhance the
downtown experience through offering placemaking and al fresco dining opportunities, while
providing an outdoor dining environment that lends itself to having a higher comfort level for
gathering in the wake of the COVID-19 pandemic.
Attachment 1 provides a high-level overview of the meeting dates and Town Council actions
taken specifically addressing economic and community vitality as it relates to COVID-19.
On November 17, 2021, during the Town Council’s most recent discussion on the semi-
permanent parklet program, the Town Council provided guidance on programming five public
parking space areas that are in between or bookend parklets as on-street parking, public
parklets, bike parking, and other public amenities. During this discussion, the Town Council also
had specific questions regarding Grays Lane for which staff had limited information given this
topic was not identified as a specific agenda item.
Following the meeting, staff realized that there was more information and questions that need
consideration in order to gain clarity and ensure that everyone is working from the same
information. Given this, staff is bringing back the discussion on public parklet areas and Grays
Lane specifically to share additional information and receive the related direction from the
Town Council.
DISCUSSION:
Temporary Krail Extension
The construction industry continues to be heavily impacted with projects and material
acquisition delays and December proved to be an exceptionally wet and stormy month, thus
the launch of parklet construction is taking longer than originally anticipated. Additionally,
many businesses are experiencing a spike in prices for the construction and materials and are
spending time reworking their parklet plans to reduce costs. Contractors are also reporting that
some of the materials, such as the concrete planters, are going to take at least ten to twelve
weeks to secure once the contract is signed with the business due to logistics and supply issues.
PAGE 3 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
DISCUSSION (continued):
Many won’t plan to start construction until they have a delivery date for materials so that the
project doesn’t sit half-finished for several weeks when the space could continue to be used to
help support the business.
With this in mind, staff is recommending that the temporary krail be extended until May 1,
2022. This extension would support the current desire of diners and restaurant staff to be
outdoors more than indoors as the community navigates the significant increase in COVID-19
cases due to the transmissibility of the Omnicron variant.
Temporary Krail Options: The Town Council may wish to consider other options for extending
the krail, including adding a qualifying benchmark for those in the parklet process. For
example, if a business provides proof they are moving forward in the semi-permanent parklet
process then they may keep the krail for an extended period of time; however, those who do
not have an application or are no longer moving forward in the process would have their krail
removed and on-street parking returned.
Another option would be to allow businesses willing to pay the rental costs for the krail to keep
it until a date certain. The Town is currently paying to rent the krail at a rate of $240 per 50
linear feet, totaling about $7,000 per month. Managing such a rental program would be time
intensive for staff and may reduce the resources available to work on the semi-permanent
parklet program. If this is the direction of the Town Council, staff recommends managing it
with a three-month rental fee option paid upfront by the business, directly to the Town.
Of the building permits ready to issue, several of the businesses have not provided the
documents necessary to execute agreements with the Town or communicated a tentative
schedule to move forward. In these cases, an earlier krail removal date or rental charge
incurred could provide motivation to move forward. Staff recognizes that there is a balance
that the Town Council must consider with this option between supporting the spirit of
economic recovery, accommodating the construction environment, and providing clear
deadlines to keep the parklet applicants motivated to move forward.
Even with the timeline challenges outlined above, staff believes at this point that it is feasible
for all parklets to be completed by December 31, 2022, the current adopted deadline, for those
businesses truly committed to the moving forward in the process.
Public Spaces
Direction was provided at the November 17, 2021 Town Council meeting for the programming
of single parking spaces left between two parklets, or for those that have organically grown into
public placemaking spaces. Staff presented five locations as options for consideration,
corresponding with the maps on the next page.
PAGE 4 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
DISCUSSION (continued):
The Town Council voted to have location #1 remain as on-street parking, locations #2,3, and 4
become public placemaking/parklet areas, and location #5 become a public parklet area that
includes a bike corral.
1
5
4
3
2
PAGE 5 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
DISCUSSION (continued):
Location #1 would remain as on-street parking and location #5 could move forward soon with a
public parklet and bike corral area. For location #5, staff estimates that the cost of building a
one stall parklet would be approximately $85,000 total ($75,000 for construction and $10,000
for the design and engineering). This could be funded from the current allotted budget for the
semi-permanent parklets since a couple of businesses originally considered in the budget
subsidy have since declined to move forward.
Given that the bulk of the semi-permanent parklets have not started construction and that
there are still businesses and property owners considering a variety of options, the final count
and placement of the semi-permanent parklets remains fluid. Given this dynamic environment,
staff is recommending that the Town Council defer the placemaking investments for locations
#2, 3, and 4 until the completion or near completion of the semi-permanent parklet
construction. Staff would return to the Council at that time with specific placemaking ideas and
costing for these three locations. The Town Council would then need to identify a funding
source.
Grays Lane
During the November 17, 2021 meeting, Grays Lane was discussed and the Council asked
questions that needed additional staff consideration. With this report, staff is providing the
history and outline of the plans for this public right-of-way to date. The Town Council should
discuss and provide additional direction prior to investing the allocated $20,000 for additional
design options.
When the closure of Grays Lane was approved by the Town Council in April of 2020, the closure
was deemed temporary to allow for pilot placemaking. As the COVID-19 pandemic persisted,
the use of the space transformed into a large parklet for the adjoining restaurant Loma
Brewing, and a pop-up venue for music, outdoor activities, and group gatherings.
As the Town Council considered the semi-permanent parklet program on January 19, 2021, it
provided direction to continue the temporary closure of Grays Lane to support placemaking
and the addition of parklets for the current and prospective (HK Group) restaurants with
business frontage on Grays Lane. The direction did not include a permanent closure of the
public street; thus, it is necessary that the street remain configured in such a way that it could
return to allow traffic flow if deemed necessary. During this discussion, staff presented the
idea that parklets could run parallel to the sidewalks and a thoroughfare could remain up the
center of the street, allowing the right-of-way to be available for parklets, pedestrian access,
and small gathering areas. Staff understood there to be consensus on this general layout.
PAGE 6 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
DISCUSSION (continued):
During this meeting, Councilmembers also inquired about noise levels and noise complaints
from Grays Lane and how staff can continue to monitor and mitigate concerns. Staff
understood it to be a priority that programming on Grays Lane should remain low key to
balance the various neighbors and stakeholders.
As the use of Grays Lane evolved over the course of 2021, Loma was provided with flexibility to
arrange and rearrange their parklet set up using fencing in lieu of krail provided by the Town.
Staff considers the fencing and parklet area operated by Loma to be part of the Town’s
temporary krail parklet program, thus would apply any krail extension or removal equitably
with this space.
There is one other tenant (retail) currently open for business that shares the Grays Lane
frontage, so the size and location of Loma Brewing parklet was able to be dynamic as its
placement and size impact on other businesses has been minimal. Opposite of Loma on Grays
Lane is HK Restaurant Group’s project for a new restaurant. As we look to the future of Grays
Lane and the semi-permanent parklet program, it is important to consider how this new
business may integrate into this space and further liven and enhance the placemaking
experience.
Once the direction was provided at the January 19, 2021 Town Council meeting regarding
parklets and Grays Lane, staff moved forward with working with the stakeholders on Grays
Lane to apply for semi-permanent parklets. Staff relayed the direction to the stakeholders on
Grays Lane that parklets would run adjacent to the sidewalks to allow for the pre-approved
parklet design to be utilized, and to maintain paths of travel for pedestrians up the center of
Grays Lane and along the existing sidewalks.
Such a configuration allows for the most flexibility for current and future needs, including the
possibility of reopening the street for vehicular traffic with the elimination of one side of
parklets while not disturbing the other. Aside from the placemaking, flexibility, and business
preference aspects, there are other outside factors that must be considered when locating
service areas and marking pedestrian paths of travel on Grays Lane including the Americans
with Disabilities Act (ADA) and Alcohol Beverage Control (ABC) provisions.
The sidewalks are currently part of the required accessible route for the pedestrian paths of
travel from ADA parking spaces in the municipal parking lots 3 and 4 to N. Santa Cruz Avenue.
As a public street, Grays Lane must retain an accessible path of travel from Town parking lots
and sidewalks must remain open with appropriate clearance consistent with ADA standards to
allow for the access. It may still be feasible for a restaurant to place tables on the sidewalk in
addition to the parklet; however, it is not feasible to encapsulate the sidewalk seating within a
parklet barrier as that would inhibit pedestrian travel.
PAGE 7 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
DISCUSSION (continued):
ABC regulations for alcohol service require a business to provide a fixed barrier around the
alcohol service area if it is outside the confines of their establishment. Also, should any alcohol
need to cross over public right-of-way to reach a service area, it must be served to the guest at
the table by an employee of the establishment, rather than carried to the table by the guest.
This regulation is consistently applied to all the semi-permanent parklets and has been
accommodated by all establishments operating within this program.
Staff received feedback from stakeholders at Loma Brewing that they did not prefer a tableside
service model and thus requested an exemption to have their parklet built to include the
sidewalk so guests could carry their own alcohol from inside to outside the restaurant without
crossing public right-of-way. Staff discussed with business owners that this is not a viable
option given the need for ADA sidewalk access and then they decided to move forward with the
standard parklet model.
Staff received a semi-permanent parklet application from Loma in May of 2021, and began
conversations with them regarding their layout and design, including working with the property
owner to understand their expectations. By late fall, Loma had fulfilled all of the preliminary
requirements for the application process and in November confirmed they decided on a size
and placement for the parklet and were ready to move forward with the architect.
Staffed also received an application for a semi-permanent parklet from HK Group in May of
2021. Staff worked with HK Group on their parklet design and layout and how it could be
integrated with public placemaking space. HK Group applied for a parklet that utilized the pre-
approved plans by the Town’s architecture vendor. They also and submitted a separate
building permit application that provides an integrated public placemaking space that
includes an asphalt treatment of the entire closed Grays Lane area, potted trees at both ends of
the closure, and trees and seating areas clustered together on the side of west side of Grays
Lane, closest to N. Santa Cruz Ave. Attachment 2 provides an overview of the submittal with
space for Loma to construct a parklet of varying size and placement.
Grays Lane has a few infrastructure challenges that have been taken into consideration in the
overall plan for the public area and parklet placements. There are multiple in-ground utility
access points and large in-ground transformers that exist near the curbs of both restaurants
that must remain free and clear of obstruction. HK has shifted the start of their parklet to the
west of the utilities on their side of the street, which allows for the road closure to also be
shifted, shrinking the footprint of the Grays Lane closure, providing full access to the in-ground
utilities here, and providing the ability to add back the loading parking space formerly in this
location, which is crucial to the function of the restaurant and other businesses in and around
this area. There is also the ability to add a loading space on the Loma side as well.
PAGE 8 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
DISCUSSION (continued):
For Loma, the in-ground transformer on their side of the street creates a bit more of a dividing
point on their business frontage. Their parklet would need to start on the west side of the
transformer and continue towards N. Santa Cruz Ave., at a size and placement they design with
the architects.
Staff was recently made aware of a Mercury News article published on January 5, 2022, where
Loma Brewing leadership is quoted stating that they will not be building a parklet on Grays
Lane. Caught by surprise of this information, staff connected with Loma to request clarification
on their plans for a parklet and have not heard back from them as of the publish date of this
report.
Grays Lane Options: Should Loma Brewing choose to not move forward with a semi-permanent
parklet, the Town Council may wish to provide direction to: (1) increase the public
programming for the remainder of Grays Lane with furnishing, potted trees, and group seating
areas that mimic what is being provided by HK Group on the east side of Grays Lane; (2) explore
different placemaking options; or (3) re-open the street to one-way vehicular traffic. Future
consideration of Grays Lane would then be deferred to the longer term downtown streetscape
project. Enough space exists for Grays Lane to support a parklet on one side of the street with
one lane of traffic. While this is not the most ideal option in staff’s opinion, it is one that the
Town Council may wish to discuss.
If the Town Council would like to pursue options 1 and 2 above, the exploration could begin by
staff working with the HK Group to understand the extent of their ability to provide partnership
with this area, determine cost sharing options for additional furnishings and enhancement in
the remaining closed area of Grays Lane, and identify funding sources for future Council
consideration.
Before staff does this research and prices other options for programming this potential area, it
hopes to gain clarity and commitment from Loma on their application status and direction from
the Town Council on next steps given the new information.
The Chamber of Commerce continues to be an invested partner with the Town providing
support with destination marketing, convening stakeholder groups, gathering input, and
creating ideas and opportunities to draw residents and visitors to downtown. Attachment 3
includes a written communication from Catherine Somers, Executive Director of the Los Gatos
Chamber of Commerce, prior to the distribution of the staff report. In addition to
communication with the Chamber, staff emailed a large business stakeholder group and
welcomed participation on this agenda item. Additional outreach and social media posts are
occurring in an effort to encourage input from the business and greater Los Gatos community.
PAGE 9 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
CONCLUSION:
After discussing the recommendations and options provided with this report, staff looks to the
Town Council to provide direction on next steps. Below are the staff recommendations:
1. Extend the temporary krail from January 31 2022, until May 1, 2022 to allow for more
time for construction to begin on the semi-permanent parklets and support the move
towards more outdoor dining given the significant increase in COVID cases.
2. Move forward with retaining on-street parking in location #1; defer the programming of
the public parking spaces in locations #2, 3, and 4; and construct a single space parklet
and bike corral in location #5 at the approximate cost of $85,000 which may be funded
from the current allotted semi-permanent parklet budget.
3. After receiving an update on the current status of the applications and tentative plans
for placemaking on Grays Lane, the Town Council may want to provide additional
direction on programming the public areas for placemaking.
COORDINATION:
This report was drafted in collaboration with the Town Manager and Town Attorney’s Offices,
and the Community Development and Parks and Public Works Departments.
FISCAL IMPACT:
Based on the direction of the Council, the fiscal impact will vary.
Extending all of the krail requires an allocation of funds of in the amount of $7,000 per month,
which is not currently budgeted for beyond January. The requested $28,000 expenditure
budget adjustment would cover the additional rental cost. Staff recommending using the
unallocated American Rescue Plan Act funds. A more comprehensive discussion of ARPA and
additional allocations is tentatively scheduled for February 15, 2022; however, Council could
identify ARPA for this purpose with this agenda item.
The implementation of a parklet and bicycle corral for location #5 would come from the
expected savings in the semi-permanent parklet program.
The Town Council previously allocated $20,000 to support design options for Grays Lane,
depending on the direction for this space, these funds could be used for their original purpose,
or reallocated to purchase furnishings to implement a cohesive Grays Lane design.
PAGE 10 OF 10 SUBJECT: Discuss and Provide Direction on Actions to Continue the Town’s Support of Economic Recovery and the Semi-Permanent Parklet Program DATE: January 12, 2021
ENVIRONMENTAL ASSESSMENT:
This is not a project defined under CEQA, and no further action is required.
Attachments:
1. Timeline of Town Council discussions and actions to date on Economic Recovery Efforts
specifically as they relate to parklets and placemaking in the public right-of-way.
2. Proposed improvements for Grays Lane
3. Written input on Grays Lane provided by the Chamber of Commerce
4. Public Comment received before 11 a.m. on January 13, 2021