Walmart Wins Over Council on Expansion

Nearly one year after the Milpitas City Council voted down Walmart's proposal to expand and sell groceries, the multinational retailer got its wish.

After Walmart submitted enough voter signatures to qualify for a $436,000 standalone election, City Council members were faced with a tough decision on Tuesday night: They could call for the special election and put the proposal for the expansion on the ballot; they could call for a report but still have to make a decision within 30 days; or they approve the ordinance as proposed by Walmart.

Two members of the City Council, Althea Polanski and Armando Gomez, who had originally voted down the proposal, along with the new mayor, Jose Esteves, provided enough votes to approve the ballot initiative language, 3-2. Vice Mayor Pete McHugh and Councilwoman Debbie Giordano voted no.

In front of a heated audience with public speakers on both sides, Polanski said the number of petition signatures "spoke very loudly and clearly to me."

The approved ordinance, effective in 10 days, gives Walmart the green light for its proposed expansion—from less than 132,000 square feet to 150,182 for grocery and storage space. In addition, Walmart will be able to operate 24-hours a day and have a license to sell liquor.

City Attorney Mike Ogaz said the new ordinance is close to the original proposal from last year, where the result is the same, but the ordinances are slightly different.

Some critics say the ordinance passed Tuesday gives Walmart expanded power.

According to the ordinance, outlined in about 60 pages, the Walmart site will have its own special district and can bypass the council and planning commission by going straight to the planning director (or designee) for approval on certain items with no appeals. (Page 33)

Substantial changes, such as for type of use, would require the operator of the site to go to the planning commission for approval, said Angela Stoner, public affairs manager.

In the end, advocates focused on an ideology, and less on the fine print.

"I feel that we have an initiative process in this county ..." said Jim Hsia, a Milpitas resident of 15 years. "The people have spoken."

Hsia, along with his wife, Christine, shop for groceries at Walmart, Lions, Marina, Safeway and Lucky's, at a combination of union and non-union chains.

"Milpitas is a diverse, multi-ethnic, multi-needs community," he said, "and we should give people all the choices they need."