Now, however, the city says the petition "fails to meet the legal requirements forthe proper subject matter of a referendum petition." The petition referendum is aimed at overturning the City Council's amendments to the 15-year-old master plan for north Coyote Valley, a semi-rural area it has been grooming for light industrial uses.

If the city's invalidation holds up, it means the Cisco project could move forward this year, though opposition groups will likely continue their challenge through whatever means possible. If the city's decision doesn't hold up, and it does have to go to a vote, Cisco has promised to litigate the issue.

People for Livable and Affordable Neighborhoods, an environmental coalition, oppose Cisco's plan to transform Coyote Valley into a high-tech center. So, too, do the Association of Monterey Bay Area Governments and the city of Salinas, which have sued Cisco and the city to stop the project. They contend the project will take away valuable open space and drive up the cost of housing.

Cisco, in an attempt to quell concerns and reassure the community of its commitment, already has agreed to set aside about 300 acres of open space, kick in $3 million for open-space preservation and help the Greenbelt Alliance raise $96 million more for the acquisition of more public lands in the area. The pledges helped Cisco gather more than 110,000 signatures in support of the project, according to a Cisco spokesperson.

Cisco, founded in 1984 and now San Jose's largest employer, occupies more than 40 office buildings in the city. The company once threatened to take its project elsewhere but has since decided to stay, keeping it in close proximity to several universities and schools that foster a high-tech curriculum.

GlobeSt.com is in the process of reaching the parties involved to find out what the next actions are likely to be. As soon as we find out, we'll update the story this afternoon or post a new story altogether. Check back for the latest developments.

Instant Insights /

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