CITY COUNCIL
Regular Meeting
Monday, May 06, 2024
Council Chambers & Hybrid
5:30 PM
Budget Books Are Available At:
https://www.cityofpaloalto.org/budget
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. To maximize public safety while still maintaining transparency and public access, members of the public can choose to participate from home or attend in person.
Information on how the public may observe and participate in the meeting is located at the end of the agenda. Masks are strongly encouraged if attending in person. The meeting will be broadcast on Cable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamed to Midpen Media Center https://midpenmedia.org.
VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/362027238) Meeting ID: 362 027 238 Phone:1(669)900‐6833
PUBLIC COMMENTS
Public comments will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. All requests to speak will be taken until 5 minutes after the staff’s presentation. Written public comments can be submitted in advance to [email protected] and will be provided to the Council and available for inspection on the City’s website. Please clearly indicate which agenda item you are referencing in your subject line.
PowerPoints, videos, or other media to be presented during public comment are accepted only by email to [email protected] at least 24 hours prior to the meeting. Once received, the Clerk will have them shared at public comment for the specified item. To uphold strong cybersecurity management practices, USB’s or other physical electronic storage devices are not accepted.
Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting.
TIME ESTIMATES
Listed times are estimates only and are subject to change at any time, including while the meeting is in progress. The Council reserves the right to use more or less time on any item, to change the order of items and/or to continue items to another meeting. Particular items may be heard before or after the time estimated on the agenda. This may occur in order to best manage the time at a meeting or to adapt to the participation of the public.
CALL TO ORDER
SPECIAL ORDERS OF THE DAY (5:30 ‐ 6:00 PM)
1. Interview Candidate for Vacancies on Utilities Advisory Commission. CEQA Status ‐ Not a project.
2. Appointment of Candidates for Vacancies on the Architectural Review Board, Human Relations Commission, Planning and Transportation Commission, and Public Art Commission. CEQA Status ‐ Not a project.
3. Proclamation of May 2024 as Affordable Housing Month AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (6:00 ‐ 6:30 PM)
Members of the public may speak to any item NOT on the agenda. 1‐3 minutes depending on # of speakers. Council reserves the right to limit the duration of Oral Communications period to 30 minutes.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:30 ‐ 6:35 PM) Members of the public may not speak to the item(s).
STUDY SESSION (Item 4: 6:35 ‐ 7:20 PM, Item 5: 7:20 ‐ 8:20 PM)
4. City Manager Transmittal of the Fiscal Year 2025 Proposed Operating and Capital Budgets
5. Bi‐Annual Discussion with the Independent Police Auditor CONSENT CALENDAR (8:20 ‐ 8:25 PM)
Items will be voted in one motion unless removed from the calendar by three Council Members.
6. Approval of Minutes from April 15, 2024 and April 22, 2024 Meetings
7. Approval and Authorization for the City Manager to Execute Purchase Orders with Pre‐ Qualified Vendors for Electric Distribution Transformers for the Grid Modernization Project (EL‐24000) in an Annual Amount up to $4,000,000 through FY 2026, and Increasing the Total Aggregate Not‐to‐Exceed Purchase Order Amount for FY 2022 through FY 2026 from $10,000,000 to $16,000,000, with all Purchases Subject to Assigned Purchase Order and Availability of Funds; CEQA Status: Exempt under CEQA Guidelines Sections 15302, 15303 and 15183.
8. Approval of Contracts with the City of Los Altos and Town of Los Altos Hills to Provide Regional Animal Care and Control Services; (CEQA status – not a project.)
9. Approval of General Service Agreement Contract Number C24189229 with Xerox in an Amount Not to Exceed $382,165 to Lease Printing Equipment for the Print Shop for a Period of Three Years; CEQA Status: Not a Project
10. Adoption of a Resolution to Extend the Interim Parklet Program to July 31, 2024; CEQA Status ‐ Categorically Exempt (Sections 15301 and 15304(e))
11. LEGISLATIVE: Adoption of an Ordinance Updating Chapter 18.15 (Density Bonus) of Title 18 (Zoning) to Reflect Recent Changes in State Density Bonus Law and Revising Regulations for Provision of On‐Site Affordable Rental Units Under the City’s Inclusionary Housing Ordinance; Recommended by the Planning and Transportation Commission March 13, 2024. CEQA Status: Exempt under CEQA Guidelines Section 15061(b)(3).
12. Policy & Services Committee Recommendation Regarding State and Federal Legislative and Budgetary Updates and Positions on Pending State Legislation
13. Adoption of a Resolution to Appoint Katherine Murdock of Baker Tilly US, LLP as City Auditor; CEQA status – Not a Project
14. Approval of Contract Amendment Number 6 to Contract C18171057 with AECOM to increase compensation by $297,206 for a new total not to exceed of $3,894,034 and Extend the Term for Six Months for Additional Studies, Outreach, and Support for Rail Grade Separation Projects along Caltrain Corridor; CEQA status – statutorily exempt under CEQA section 15262 (feasibility and planning study).
CITY MANAGER COMMENTS (8:25 ‐ 8:35 PM)
BREAK (5‐10 MINUTES)
ACTION ITEMS (8:45 ‐ 10:00 PM)
Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.
15. PUBLIC HEARING / QUASI‐JUDICIAL. 800 San Antonio Road [23PLN‐00010]:
Recommendation on Applicant’s Request for a Rezone from Service Commercial to Planned Community/Planned Home Zoning (PC/PHZ). The Project Includes Construction of 75 Residential Condominium Ownership Units Including 15 Below‐Market Rate Units (20% of the Units) in a Five Story Building with Two Levels of Subterranean Parking. A Subdivision Map will be Required. An Addendum to the Previously Certified Environmental Impact Report for the Housing Incentive Program Expansion and 788 San Antonio Mixed Use Project (SCH # 2019090070) was Prepared. Zoning District: CS (Commercial Service).
STUDY SESSION (10:00 ‐ 11:00 PM)
16. Review Workforce Recruitment Strategic Plan and Recommendations for Improvements in the Recruitment Process
ADJOURNMENT
INFORMATION REPORTS
Information reports are provided for informational purposes only to the Council and the public but are not listed for action during this meeting’s agenda.
17. City of Palo Alto Utilities Residential Electric and Water Utility Customer Survey Results; CEQA status: not a project.
18. Update on the Deconstruction and Construction Materials Management Ordinance (Ordinance 5472, Palo Alto Municipal Code Title 5, Chapter 5.24); CEQA Status – Not a Project
OTHER INFORMATION
Standing Committee Meetings this week
Finance Committee May 7, 2024
Finance Committee May 8, 2024
Public Comment Letters
Schedule of Meetings
PUBLIC COMMENT INSTRUCTIONS
Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone.
1. Written public comments may be submitted by email to [email protected].
2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item.
3. Spoken public comments using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully.
You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below.
You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak.
When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak.
When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments.
4. Spoken public comments using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted.
CLICK HERE TO JOIN Meeting ID: 362‐027‐238 Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing [email protected]. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service.
1 May 06, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at
www.CityofPaloAlto.org/agendas
.
CITY COUNCIL
Regular Meeting
Monday, May 06, 2024
Council Chambers & Hybrid
5:30 PM
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. To maximize public safety while still maintaining transparency and public access, members of the public can choose to participate from home or attend in person.
Information on how the public may observe and participate in the meeting is located at the end of the agenda. Masks are strongly encouraged if attending in person. The meeting will be broadcast on Cable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamed to Midpen Media Center https://midpenmedia.org.
VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/362027238) Meeting ID: 362 027 238 Phone:1(669)900‐6833
PUBLIC COMMENTS
Public comments will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. All requests to speak will be taken until 5 minutes after the staff’s presentation. Written public comments can be submitted in advance to [email protected] and will be provided to the Council and available for inspection on the City’s website. Please clearly indicate which agenda item you are referencing in your subject line.
PowerPoints, videos, or other media to be presented during public comment are accepted only by email to [email protected] at least 24 hours prior to the meeting. Once received, the Clerk will have them shared at public comment for the specified item. To uphold strong cybersecurity management practices, USB’s or other physical electronic storage devices are not accepted.
Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting.
TIME ESTIMATES
Listed times are estimates only and are subject to change at any time, including while the meeting is in progress. The Council reserves the right to use more or less time on any item, to change the order of items and/or to continue items to another meeting. Particular items may be heard before or after the time estimated on the agenda. This may occur in order to best manage the time at a meeting or to adapt to the participation of the public.
CALL TO ORDER
SPECIAL ORDERS OF THE DAY (5:30 ‐ 6:00 PM)
1. Interview Candidate for Vacancies on Utilities Advisory Commission. CEQA Status ‐ Not a project.
2. Appointment of Candidates for Vacancies on the Architectural Review Board, Human Relations Commission, Planning and Transportation Commission, and Public Art Commission. CEQA Status ‐ Not a project.
3. Proclamation of May 2024 as Affordable Housing Month AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (6:00 ‐ 6:30 PM)
Members of the public may speak to any item NOT on the agenda. 1‐3 minutes depending on # of speakers. Council reserves the right to limit the duration of Oral Communications period to 30 minutes.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:30 ‐ 6:35 PM) Members of the public may not speak to the item(s).
STUDY SESSION (Item 4: 6:35 ‐ 7:20 PM, Item 5: 7:20 ‐ 8:20 PM)
4. City Manager Transmittal of the Fiscal Year 2025 Proposed Operating and Capital Budgets
5. Bi‐Annual Discussion with the Independent Police Auditor CONSENT CALENDAR (8:20 ‐ 8:25 PM)
Items will be voted in one motion unless removed from the calendar by three Council Members.
6. Approval of Minutes from April 15, 2024 and April 22, 2024 Meetings
7. Approval and Authorization for the City Manager to Execute Purchase Orders with Pre‐ Qualified Vendors for Electric Distribution Transformers for the Grid Modernization Project (EL‐24000) in an Annual Amount up to $4,000,000 through FY 2026, and Increasing the Total Aggregate Not‐to‐Exceed Purchase Order Amount for FY 2022 through FY 2026 from $10,000,000 to $16,000,000, with all Purchases Subject to Assigned Purchase Order and Availability of Funds; CEQA Status: Exempt under CEQA Guidelines Sections 15302, 15303 and 15183.
8. Approval of Contracts with the City of Los Altos and Town of Los Altos Hills to Provide Regional Animal Care and Control Services; (CEQA status – not a project.)
9. Approval of General Service Agreement Contract Number C24189229 with Xerox in an Amount Not to Exceed $382,165 to Lease Printing Equipment for the Print Shop for a Period of Three Years; CEQA Status: Not a Project
10. Adoption of a Resolution to Extend the Interim Parklet Program to July 31, 2024; CEQA Status ‐ Categorically Exempt (Sections 15301 and 15304(e))
11. LEGISLATIVE: Adoption of an Ordinance Updating Chapter 18.15 (Density Bonus) of Title 18 (Zoning) to Reflect Recent Changes in State Density Bonus Law and Revising Regulations for Provision of On‐Site Affordable Rental Units Under the City’s Inclusionary Housing Ordinance; Recommended by the Planning and Transportation Commission March 13, 2024. CEQA Status: Exempt under CEQA Guidelines Section 15061(b)(3).
12. Policy & Services Committee Recommendation Regarding State and Federal Legislative and Budgetary Updates and Positions on Pending State Legislation
13. Adoption of a Resolution to Appoint Katherine Murdock of Baker Tilly US, LLP as City Auditor; CEQA status – Not a Project
14. Approval of Contract Amendment Number 6 to Contract C18171057 with AECOM to increase compensation by $297,206 for a new total not to exceed of $3,894,034 and Extend the Term for Six Months for Additional Studies, Outreach, and Support for Rail Grade Separation Projects along Caltrain Corridor; CEQA status – statutorily exempt under CEQA section 15262 (feasibility and planning study).
CITY MANAGER COMMENTS (8:25 ‐ 8:35 PM)
BREAK (5‐10 MINUTES)
ACTION ITEMS (8:45 ‐ 10:00 PM)
Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.
15. PUBLIC HEARING / QUASI‐JUDICIAL. 800 San Antonio Road [23PLN‐00010]:
Recommendation on Applicant’s Request for a Rezone from Service Commercial to Planned Community/Planned Home Zoning (PC/PHZ). The Project Includes Construction of 75 Residential Condominium Ownership Units Including 15 Below‐Market Rate Units (20% of the Units) in a Five Story Building with Two Levels of Subterranean Parking. A Subdivision Map will be Required. An Addendum to the Previously Certified Environmental Impact Report for the Housing Incentive Program Expansion and 788 San Antonio Mixed Use Project (SCH # 2019090070) was Prepared. Zoning District: CS (Commercial Service).
STUDY SESSION (10:00 ‐ 11:00 PM)
16. Review Workforce Recruitment Strategic Plan and Recommendations for Improvements in the Recruitment Process
ADJOURNMENT
INFORMATION REPORTS
Information reports are provided for informational purposes only to the Council and the public but are not listed for action during this meeting’s agenda.
17. City of Palo Alto Utilities Residential Electric and Water Utility Customer Survey Results; CEQA status: not a project.
18. Update on the Deconstruction and Construction Materials Management Ordinance (Ordinance 5472, Palo Alto Municipal Code Title 5, Chapter 5.24); CEQA Status – Not a Project
OTHER INFORMATION
Standing Committee Meetings this week
Finance Committee May 7, 2024
Finance Committee May 8, 2024
Public Comment Letters
Schedule of Meetings
PUBLIC COMMENT INSTRUCTIONS
Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone.
1. Written public comments may be submitted by email to [email protected].
2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item.
3. Spoken public comments using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully.
You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below.
You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak.
When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak.
When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments.
4. Spoken public comments using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted.
CLICK HERE TO JOIN Meeting ID: 362‐027‐238 Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing [email protected]. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service.
2 May 06, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at
www.CityofPaloAlto.org/agendas
.
CITY COUNCIL
Regular Meeting
Monday, May 06, 2024
Council Chambers & Hybrid
5:30 PM
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. To maximize public safety while still maintaining transparency and public access, members of the public can choose to participate from home or attend in person.
Information on how the public may observe and participate in the meeting is located at the end of the agenda. Masks are strongly encouraged if attending in person. The meeting will be broadcast on Cable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamed to Midpen Media Center https://midpenmedia.org.
VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/362027238) Meeting ID: 362 027 238 Phone:1(669)900‐6833
PUBLIC COMMENTS
Public comments will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. All requests to speak will be taken until 5 minutes after the staff’s presentation. Written public comments can be submitted in advance to [email protected] and will be provided to the Council and available for inspection on the City’s website. Please clearly indicate which agenda item you are referencing in your subject line.
PowerPoints, videos, or other media to be presented during public comment are accepted only by email to [email protected] at least 24 hours prior to the meeting. Once received, the Clerk will have them shared at public comment for the specified item. To uphold strong cybersecurity management practices, USB’s or other physical electronic storage devices are not accepted.
Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting.
TIME ESTIMATES
Listed times are estimates only and are subject to change at any time, including while the meeting is in progress. The Council reserves the right to use more or less time on any item, to change the order of items and/or to continue items to another meeting. Particular items may be heard before or after the time estimated on the agenda. This may occur in order to best manage the time at a meeting or to adapt to the participation of the public.
CALL TO ORDER
SPECIAL ORDERS OF THE DAY (5:30 ‐ 6:00 PM)
1. Interview Candidate for Vacancies on Utilities Advisory Commission. CEQA Status ‐ Not a project.
2. Appointment of Candidates for Vacancies on the Architectural Review Board, Human Relations Commission, Planning and Transportation Commission, and Public Art Commission. CEQA Status ‐ Not a project.
3. Proclamation of May 2024 as Affordable Housing Month AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (6:00 ‐ 6:30 PM)
Members of the public may speak to any item NOT on the agenda. 1‐3 minutes depending on # of speakers. Council reserves the right to limit the duration of Oral Communications period to 30 minutes.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:30 ‐ 6:35 PM) Members of the public may not speak to the item(s).
STUDY SESSION (Item 4: 6:35 ‐ 7:20 PM, Item 5: 7:20 ‐ 8:20 PM)
4. City Manager Transmittal of the Fiscal Year 2025 Proposed Operating and Capital Budgets
5. Bi‐Annual Discussion with the Independent Police Auditor CONSENT CALENDAR (8:20 ‐ 8:25 PM)
Items will be voted in one motion unless removed from the calendar by three Council Members.
6. Approval of Minutes from April 15, 2024 and April 22, 2024 Meetings
7. Approval and Authorization for the City Manager to Execute Purchase Orders with Pre‐ Qualified Vendors for Electric Distribution Transformers for the Grid Modernization Project (EL‐24000) in an Annual Amount up to $4,000,000 through FY 2026, and Increasing the Total Aggregate Not‐to‐Exceed Purchase Order Amount for FY 2022 through FY 2026 from $10,000,000 to $16,000,000, with all Purchases Subject to Assigned Purchase Order and Availability of Funds; CEQA Status: Exempt under CEQA Guidelines Sections 15302, 15303 and 15183.
8. Approval of Contracts with the City of Los Altos and Town of Los Altos Hills to Provide Regional Animal Care and Control Services; (CEQA status – not a project.)
9. Approval of General Service Agreement Contract Number C24189229 with Xerox in an Amount Not to Exceed $382,165 to Lease Printing Equipment for the Print Shop for a Period of Three Years; CEQA Status: Not a Project
10. Adoption of a Resolution to Extend the Interim Parklet Program to July 31, 2024; CEQA Status ‐ Categorically Exempt (Sections 15301 and 15304(e))
11. LEGISLATIVE: Adoption of an Ordinance Updating Chapter 18.15 (Density Bonus) of Title 18 (Zoning) to Reflect Recent Changes in State Density Bonus Law and Revising Regulations for Provision of On‐Site Affordable Rental Units Under the City’s Inclusionary Housing Ordinance; Recommended by the Planning and Transportation Commission March 13, 2024. CEQA Status: Exempt under CEQA Guidelines Section 15061(b)(3).
12. Policy & Services Committee Recommendation Regarding State and Federal Legislative and Budgetary Updates and Positions on Pending State Legislation
13. Adoption of a Resolution to Appoint Katherine Murdock of Baker Tilly US, LLP as City Auditor; CEQA status – Not a Project
14. Approval of Contract Amendment Number 6 to Contract C18171057 with AECOM to increase compensation by $297,206 for a new total not to exceed of $3,894,034 and Extend the Term for Six Months for Additional Studies, Outreach, and Support for Rail Grade Separation Projects along Caltrain Corridor; CEQA status – statutorily exempt under CEQA section 15262 (feasibility and planning study).
CITY MANAGER COMMENTS (8:25 ‐ 8:35 PM)
BREAK (5‐10 MINUTES)
ACTION ITEMS (8:45 ‐ 10:00 PM)
Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.
15. PUBLIC HEARING / QUASI‐JUDICIAL. 800 San Antonio Road [23PLN‐00010]:
Recommendation on Applicant’s Request for a Rezone from Service Commercial to Planned Community/Planned Home Zoning (PC/PHZ). The Project Includes Construction of 75 Residential Condominium Ownership Units Including 15 Below‐Market Rate Units (20% of the Units) in a Five Story Building with Two Levels of Subterranean Parking. A Subdivision Map will be Required. An Addendum to the Previously Certified Environmental Impact Report for the Housing Incentive Program Expansion and 788 San Antonio Mixed Use Project (SCH # 2019090070) was Prepared. Zoning District: CS (Commercial Service).
STUDY SESSION (10:00 ‐ 11:00 PM)
16. Review Workforce Recruitment Strategic Plan and Recommendations for Improvements in the Recruitment Process
ADJOURNMENT
INFORMATION REPORTS
Information reports are provided for informational purposes only to the Council and the public but are not listed for action during this meeting’s agenda.
17. City of Palo Alto Utilities Residential Electric and Water Utility Customer Survey Results; CEQA status: not a project.
18. Update on the Deconstruction and Construction Materials Management Ordinance (Ordinance 5472, Palo Alto Municipal Code Title 5, Chapter 5.24); CEQA Status – Not a Project
OTHER INFORMATION
Standing Committee Meetings this week
Finance Committee May 7, 2024
Finance Committee May 8, 2024
Public Comment Letters
Schedule of Meetings
PUBLIC COMMENT INSTRUCTIONS
Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone.
1. Written public comments may be submitted by email to [email protected].
2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item.
3. Spoken public comments using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully.
You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below.
You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak.
When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak.
When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments.
4. Spoken public comments using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted.
CLICK HERE TO JOIN Meeting ID: 362‐027‐238 Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing [email protected]. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service.
3 May 06, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at
www.CityofPaloAlto.org/agendas
.
CITY COUNCIL
Regular Meeting
Monday, May 06, 2024
Council Chambers & Hybrid
5:30 PM
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. To maximize public safety while still maintaining transparency and public access, members of the public can choose to participate from home or attend in person.
Information on how the public may observe and participate in the meeting is located at the end of the agenda. Masks are strongly encouraged if attending in person. The meeting will be broadcast on Cable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamed to Midpen Media Center https://midpenmedia.org.
VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/362027238) Meeting ID: 362 027 238 Phone:1(669)900‐6833
PUBLIC COMMENTS
Public comments will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. All requests to speak will be taken until 5 minutes after the staff’s presentation. Written public comments can be submitted in advance to [email protected] and will be provided to the Council and available for inspection on the City’s website. Please clearly indicate which agenda item you are referencing in your subject line.
PowerPoints, videos, or other media to be presented during public comment are accepted only by email to [email protected] at least 24 hours prior to the meeting. Once received, the Clerk will have them shared at public comment for the specified item. To uphold strong cybersecurity management practices, USB’s or other physical electronic storage devices are not accepted.
Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting.
TIME ESTIMATES
Listed times are estimates only and are subject to change at any time, including while the meeting is in progress. The Council reserves the right to use more or less time on any item, to change the order of items and/or to continue items to another meeting. Particular items may be heard before or after the time estimated on the agenda. This may occur in order to best manage the time at a meeting or to adapt to the participation of the public.
CALL TO ORDER
SPECIAL ORDERS OF THE DAY (5:30 ‐ 6:00 PM)
1. Interview Candidate for Vacancies on Utilities Advisory Commission. CEQA Status ‐ Not a project.
2. Appointment of Candidates for Vacancies on the Architectural Review Board, Human Relations Commission, Planning and Transportation Commission, and Public Art Commission. CEQA Status ‐ Not a project.
3. Proclamation of May 2024 as Affordable Housing Month AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (6:00 ‐ 6:30 PM)
Members of the public may speak to any item NOT on the agenda. 1‐3 minutes depending on # of speakers. Council reserves the right to limit the duration of Oral Communications period to 30 minutes.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:30 ‐ 6:35 PM) Members of the public may not speak to the item(s).
STUDY SESSION (Item 4: 6:35 ‐ 7:20 PM, Item 5: 7:20 ‐ 8:20 PM)
4. City Manager Transmittal of the Fiscal Year 2025 Proposed Operating and Capital Budgets
5. Bi‐Annual Discussion with the Independent Police Auditor CONSENT CALENDAR (8:20 ‐ 8:25 PM)
Items will be voted in one motion unless removed from the calendar by three Council Members.
6. Approval of Minutes from April 15, 2024 and April 22, 2024 Meetings
7. Approval and Authorization for the City Manager to Execute Purchase Orders with Pre‐ Qualified Vendors for Electric Distribution Transformers for the Grid Modernization Project (EL‐24000) in an Annual Amount up to $4,000,000 through FY 2026, and Increasing the Total Aggregate Not‐to‐Exceed Purchase Order Amount for FY 2022 through FY 2026 from $10,000,000 to $16,000,000, with all Purchases Subject to Assigned Purchase Order and Availability of Funds; CEQA Status: Exempt under CEQA Guidelines Sections 15302, 15303 and 15183.
8. Approval of Contracts with the City of Los Altos and Town of Los Altos Hills to Provide Regional Animal Care and Control Services; (CEQA status – not a project.)
9. Approval of General Service Agreement Contract Number C24189229 with Xerox in an Amount Not to Exceed $382,165 to Lease Printing Equipment for the Print Shop for a Period of Three Years; CEQA Status: Not a Project
10. Adoption of a Resolution to Extend the Interim Parklet Program to July 31, 2024; CEQA Status ‐ Categorically Exempt (Sections 15301 and 15304(e))
11. LEGISLATIVE: Adoption of an Ordinance Updating Chapter 18.15 (Density Bonus) of Title 18 (Zoning) to Reflect Recent Changes in State Density Bonus Law and Revising Regulations for Provision of On‐Site Affordable Rental Units Under the City’s Inclusionary Housing Ordinance; Recommended by the Planning and Transportation Commission March 13, 2024. CEQA Status: Exempt under CEQA Guidelines Section 15061(b)(3).
12. Policy & Services Committee Recommendation Regarding State and Federal Legislative and Budgetary Updates and Positions on Pending State Legislation
13. Adoption of a Resolution to Appoint Katherine Murdock of Baker Tilly US, LLP as City Auditor; CEQA status – Not a Project
14. Approval of Contract Amendment Number 6 to Contract C18171057 with AECOM to increase compensation by $297,206 for a new total not to exceed of $3,894,034 and Extend the Term for Six Months for Additional Studies, Outreach, and Support for Rail Grade Separation Projects along Caltrain Corridor; CEQA status – statutorily exempt under CEQA section 15262 (feasibility and planning study).
CITY MANAGER COMMENTS (8:25 ‐ 8:35 PM)
BREAK (5‐10 MINUTES)
ACTION ITEMS (8:45 ‐ 10:00 PM)
Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.
15. PUBLIC HEARING / QUASI‐JUDICIAL. 800 San Antonio Road [23PLN‐00010]:
Recommendation on Applicant’s Request for a Rezone from Service Commercial to Planned Community/Planned Home Zoning (PC/PHZ). The Project Includes Construction of 75 Residential Condominium Ownership Units Including 15 Below‐Market Rate Units (20% of the Units) in a Five Story Building with Two Levels of Subterranean Parking. A Subdivision Map will be Required. An Addendum to the Previously Certified Environmental Impact Report for the Housing Incentive Program Expansion and 788 San Antonio Mixed Use Project (SCH # 2019090070) was Prepared. Zoning District: CS (Commercial Service).
STUDY SESSION (10:00 ‐ 11:00 PM)
16. Review Workforce Recruitment Strategic Plan and Recommendations for Improvements in the Recruitment Process
ADJOURNMENT
INFORMATION REPORTS
Information reports are provided for informational purposes only to the Council and the public but are not listed for action during this meeting’s agenda.
17. City of Palo Alto Utilities Residential Electric and Water Utility Customer Survey Results; CEQA status: not a project.
18. Update on the Deconstruction and Construction Materials Management Ordinance (Ordinance 5472, Palo Alto Municipal Code Title 5, Chapter 5.24); CEQA Status – Not a Project
OTHER INFORMATION
Standing Committee Meetings this week
Finance Committee May 7, 2024
Finance Committee May 8, 2024
Public Comment Letters
Schedule of Meetings
PUBLIC COMMENT INSTRUCTIONS
Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone.
1. Written public comments may be submitted by email to [email protected].
2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item.
3. Spoken public comments using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully.
You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below.
You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak.
When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak.
When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments.
4. Spoken public comments using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted.
CLICK HERE TO JOIN Meeting ID: 362‐027‐238 Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing [email protected]. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service.
4 May 06, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at
www.CityofPaloAlto.org/agendas
.
CITY COUNCIL
Regular Meeting
Monday, May 06, 2024
Council Chambers & Hybrid
5:30 PM
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. To maximize public safety while still maintaining transparency and public access, members of the public can choose to participate from home or attend in person.
Information on how the public may observe and participate in the meeting is located at the end of the agenda. Masks are strongly encouraged if attending in person. The meeting will be broadcast on Cable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamed to Midpen Media Center https://midpenmedia.org.
VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/362027238) Meeting ID: 362 027 238 Phone:1(669)900‐6833
PUBLIC COMMENTS
Public comments will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. All requests to speak will be taken until 5 minutes after the staff’s presentation. Written public comments can be submitted in advance to [email protected] and will be provided to the Council and available for inspection on the City’s website. Please clearly indicate which agenda item you are referencing in your subject line.
PowerPoints, videos, or other media to be presented during public comment are accepted only by email to [email protected] at least 24 hours prior to the meeting. Once received, the Clerk will have them shared at public comment for the specified item. To uphold strong cybersecurity management practices, USB’s or other physical electronic storage devices are not accepted.
Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting.
TIME ESTIMATES
Listed times are estimates only and are subject to change at any time, including while the meeting is in progress. The Council reserves the right to use more or less time on any item, to change the order of items and/or to continue items to another meeting. Particular items may be heard before or after the time estimated on the agenda. This may occur in order to best manage the time at a meeting or to adapt to the participation of the public.
CALL TO ORDER
SPECIAL ORDERS OF THE DAY (5:30 ‐ 6:00 PM)
1. Interview Candidate for Vacancies on Utilities Advisory Commission. CEQA Status ‐ Not a project.
2. Appointment of Candidates for Vacancies on the Architectural Review Board, Human Relations Commission, Planning and Transportation Commission, and Public Art Commission. CEQA Status ‐ Not a project.
3. Proclamation of May 2024 as Affordable Housing Month AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (6:00 ‐ 6:30 PM)
Members of the public may speak to any item NOT on the agenda. 1‐3 minutes depending on # of speakers. Council reserves the right to limit the duration of Oral Communications period to 30 minutes.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:30 ‐ 6:35 PM) Members of the public may not speak to the item(s).
STUDY SESSION (Item 4: 6:35 ‐ 7:20 PM, Item 5: 7:20 ‐ 8:20 PM)
4. City Manager Transmittal of the Fiscal Year 2025 Proposed Operating and Capital Budgets
5. Bi‐Annual Discussion with the Independent Police Auditor CONSENT CALENDAR (8:20 ‐ 8:25 PM)
Items will be voted in one motion unless removed from the calendar by three Council Members.
6. Approval of Minutes from April 15, 2024 and April 22, 2024 Meetings
7. Approval and Authorization for the City Manager to Execute Purchase Orders with Pre‐ Qualified Vendors for Electric Distribution Transformers for the Grid Modernization Project (EL‐24000) in an Annual Amount up to $4,000,000 through FY 2026, and Increasing the Total Aggregate Not‐to‐Exceed Purchase Order Amount for FY 2022 through FY 2026 from $10,000,000 to $16,000,000, with all Purchases Subject to Assigned Purchase Order and Availability of Funds; CEQA Status: Exempt under CEQA Guidelines Sections 15302, 15303 and 15183.
8. Approval of Contracts with the City of Los Altos and Town of Los Altos Hills to Provide Regional Animal Care and Control Services; (CEQA status – not a project.)
9. Approval of General Service Agreement Contract Number C24189229 with Xerox in an Amount Not to Exceed $382,165 to Lease Printing Equipment for the Print Shop for a Period of Three Years; CEQA Status: Not a Project
10. Adoption of a Resolution to Extend the Interim Parklet Program to July 31, 2024; CEQA Status ‐ Categorically Exempt (Sections 15301 and 15304(e))
11. LEGISLATIVE: Adoption of an Ordinance Updating Chapter 18.15 (Density Bonus) of Title 18 (Zoning) to Reflect Recent Changes in State Density Bonus Law and Revising Regulations for Provision of On‐Site Affordable Rental Units Under the City’s Inclusionary Housing Ordinance; Recommended by the Planning and Transportation Commission March 13, 2024. CEQA Status: Exempt under CEQA Guidelines Section 15061(b)(3).
12. Policy & Services Committee Recommendation Regarding State and Federal Legislative and Budgetary Updates and Positions on Pending State Legislation
13. Adoption of a Resolution to Appoint Katherine Murdock of Baker Tilly US, LLP as City Auditor; CEQA status – Not a Project
14. Approval of Contract Amendment Number 6 to Contract C18171057 with AECOM to increase compensation by $297,206 for a new total not to exceed of $3,894,034 and Extend the Term for Six Months for Additional Studies, Outreach, and Support for Rail Grade Separation Projects along Caltrain Corridor; CEQA status – statutorily exempt under CEQA section 15262 (feasibility and planning study).
CITY MANAGER COMMENTS (8:25 ‐ 8:35 PM)
BREAK (5‐10 MINUTES)
ACTION ITEMS (8:45 ‐ 10:00 PM)
Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.
15. PUBLIC HEARING / QUASI‐JUDICIAL. 800 San Antonio Road [23PLN‐00010]:
Recommendation on Applicant’s Request for a Rezone from Service Commercial to Planned Community/Planned Home Zoning (PC/PHZ). The Project Includes Construction of 75 Residential Condominium Ownership Units Including 15 Below‐Market Rate Units (20% of the Units) in a Five Story Building with Two Levels of Subterranean Parking. A Subdivision Map will be Required. An Addendum to the Previously Certified Environmental Impact Report for the Housing Incentive Program Expansion and 788 San Antonio Mixed Use Project (SCH # 2019090070) was Prepared. Zoning District: CS (Commercial Service).
STUDY SESSION (10:00 ‐ 11:00 PM)
16. Review Workforce Recruitment Strategic Plan and Recommendations for Improvements in the Recruitment Process
ADJOURNMENT
INFORMATION REPORTS
Information reports are provided for informational purposes only to the Council and the public but are not listed for action during this meeting’s agenda.
17. City of Palo Alto Utilities Residential Electric and Water Utility Customer Survey Results; CEQA status: not a project.
18. Update on the Deconstruction and Construction Materials Management Ordinance (Ordinance 5472, Palo Alto Municipal Code Title 5, Chapter 5.24); CEQA Status – Not a Project
OTHER INFORMATION
Standing Committee Meetings this week
Finance Committee May 7, 2024
Finance Committee May 8, 2024
Public Comment Letters
Schedule of Meetings
PUBLIC COMMENT INSTRUCTIONS
Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone.
1. Written public comments may be submitted by email to [email protected].
2. For in person public comments please complete a speaker request card located on the table at the entrance to the Council Chambers and deliver it to the Clerk prior to discussion of the item.
3. Spoken public comments using a computer or smart phone will be accepted through the teleconference meeting. To address the Council, click on the link below to access a Zoom‐based meeting. Please read the following instructions carefully.
You may download the Zoom client or connect to the meeting in‐ browser. If using your browser, make sure you are using a current, up‐to‐date browser: Chrome 30 , Firefox 27 , Microsoft Edge 12 , Safari 7 . Certain functionality may be disabled in older browsers including Internet Explorer. Or download the Zoom application onto your smart phone from the Apple App Store or Google Play Store and enter in the Meeting ID below.
You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak.
When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak.
When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments.
4. Spoken public comments using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Council. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted.
CLICK HERE TO JOIN Meeting ID: 362‐027‐238 Phone: 1‐669‐900‐6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329‐2550 (voice) or by emailing [email protected]. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service.
5 May 06, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at
www.CityofPaloAlto.org/agendas
.
City Council
Staff Report
Report Type: SPECIAL ORDERS OF THE DAY
Lead Department: City Clerk
Meeting Date: May 6, 2024
Report #:2404-2914
TITLE
Interview Candidate for Vacancies on Utilities Advisory Commission. CEQA Status - Not a project.
BACKGROUND
The City Council directed that 6 candidates for the Utilities Advisory Commission be scheduled for interviews. 5 candidates interviewed on April 30, 2024. Chris Tucher will be interviewed on May 6, 2024 due to a scheduling conflict.
ATTACHMENTS:
None.
APPROVED BY:
Mahealani Ah Yun, City Clerk
Item 1
Item 1 Staff Report
Item 1: Staff Report
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City Council
Staff Report
Report Type: SPECIAL ORDERS OF THE DAY
Lead Department: City Clerk
Meeting Date: May 6, 2024
Report #:2404-2887
TITLE
Appointment of Candidates for Vacancies on the Architectural Review Board, Human Relations Commission, Planning and Transportation Commission, and Public Art Commission. CEQA Status - Not a project.
RECOMMENDATION
Staff recommends City Council vote to appoint candidates for the following positions:
•Two (2) vacancies on the Architectural Review Board with terms ending March 31, 2027 •Two (2) vacancies on the Human Relations Commission with terms ending March 31, 2027
•One (1) vacancy on the Planning and Transportation Commission with term ending March 31, 2028
•Four (4) vacancies on the Public Art Commission with two terms ending March 31, 2027 and two partial terms ending March 31, 2026
*A majority vote (4 yes’s) is required to appoint a candidate.
BACKGROUND
Boards and Commissions are established as advisory bodies to the City Council, made up of community volunteers that provide essential feedback on matters of importance to the community. The City Clerk’s office advertises and recruits for vacancies, the Council considers the applications, interviews desired candidates, and makes appointments for the open positions.
INTERVIEWS
At the April 1, 2024 City Council meeting, the Council elected to interview 2 candidates for Planning and Transportation Commission, 4 candidates for the Stormwater Management Oversight Committee, 5 candidates for the Architectural Review Board, 5 candidates for the Human Relations Commission, and 8 candidates for the Public Art Commission. The interviews were held on April 8, 2024 and April 30, 2024. Video recording of the interviews are available Item 2
Item 2 Staff Report
Item 2: Staff Report
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on our City of Palo Alto YouTube Channel1. All applications for the Planning and Transportation Commission2, Stormwater Management Oversight Committee3, Architectural Review Board4, Human Relations Commission5, and Public Art Commissioni can be accessed online.
MEMBERSHIP REQUIREMENTS
Each Board or Commission has different requirements for appointment such as mandatory residency, specialized training, or professional service in a specified area. Additionally, appointed members cannot be council members, officers, or employees of the City of Palo Alto.
Architectural Review Board
•At least three members shall be architects, landscape architects, building designers or other design professionals. (PAMC 2.21.010). This requirement is currently fulfilled by all 5 members of the Architectural Review Board.
Human Relation Commission
•Palo Alto residency. (PAMC 2.22.010)
Planning and Transportation Commission
•Palo Alto residency. (PAMC 2.20.010)
Public Art Commission
•Each member of the Commission shall either be members of the Architectural Review Board or shall be professional visual artists, professional visual arts educators, professional visual arts scholars, or visual arts collectors whose authorities and skills are known and respected in the community and, whenever feasible, who have demonstrated an interest in, and have participated in, the arts program of the city. (PAMC 2.18.020)
PUBLIC OUTREACH
The 2024 Annual Boards and Commissions recruitment invited applications from January 1, 2024 through March 17, 2024 through the new online application process. Palo Alto Municipal Code 2.16.060 requires public notification regarding vacancies of the Commissions as follows, 1 City of Palo Alto YouTube Channel: https://www.youtube.com/c/cityofpaloalto 2 Planning and Transportation Commission applications:
https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=47a8c2a7-4a8d-4def-8222-b510fccfc966 3 Stormwater Management Oversight Committee applications:
https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=d79f6864-7531-4cb6-ab61-662a97bdf957 4 Architectural Review Board applications:
https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=f8d5a94c-6be9-4174-9aee-dea7f869d225 5 Human Relations Commission applications:
https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=afbc2869-beaf-4ac2-becd-fb05c613e79c Item 2
Item 2 Staff Report
Item 2: Staff Report
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“The City Clerk shall exercise their discretion in choosing the method of advertisement that will most effectively reach potential candidates.” Based on the September 14, 2021 Policy & Services Committee meeting report regarding Board and Commission Member demographics and community representation, the City Clerk’s office expanded recruitment efforts through additional means to “most effectively reach potential candidates”.
This recruitment was advertised through various methods including paid print and digital advisements in The Palo Alto Weekly and the Daily Post; via the City’s website and social media channels; in physical locations of the Palo Alto Libraries and Community Centers; and distributed by e-mail through established distribution lists to community based organizations, individuals and City subscription based notification lists.
ATTACHMENTS:
None.
APPROVED BY:
Mahealani Ah Yun, City Clerk
i Public Art Commission:
https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=c0aa38a6-a2ed-4d01-98f3-a90b0b917833 Item 2
Item 2 Staff Report
Item 2: Staff Report
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City Council
Staff Report
From: City Manager
Report Type: SPECIAL ORDERS OF THE DAY
Lead Department: Planning and Development Services
Meeting Date: May 6, 2024
Report #:2403-2741
TITLE
Proclamation of May 2024 as Affordable Housing Month
RECOMMENDATION
Staff recommend that the City Council proclaim the month of May as Affordable Housing Month in the City of Palo Alto.
BACKGROUND
Affordable Housing Month is a national observance in the United States that is typically held in the month of May each year. The event was established to raise awareness about the need for affordable housing and to recognize the important role that affordable housing plays in building strong, sustainable, and inclusive communities.
ATTACHMENTS
Attachment A: Affordable Housing Month Proclamation
APPROVED BY:
Jonathan Lait, Planning and Development Services Director Item 3
Item 3 Staff Report
Item 3: Staff Report
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AFFORDABLE HOUSING MONTH
WHEREAS, safe and affordable housing is a basic human right and yet, each year, thousands of Silicon Valley families and individuals struggle to find an affordable home in this expensive housing market; and
WHEREAS, the City Council adopted the 6th Cycle Housing Element that outlines how 6,086 new housing units can be accommodated within Palo Alto by 2031, and includes implementation programs to increase the number affordable housing units; and
WHEREAS, the City actively pursues state and federal grant funds for affordable housing development, preservation, and rehabilitation, and
WHEREAS, the City remain s active in supporting affordable housing development and commits financial assistance for projects that include much needed lower-income units; and
WHEREAS, the City established a local limit on rental security deposits in Palo Alto to one and a half times (1.5x) the monthly rent for unfurnished units, which is lower than the limit in current state law; and
WHEREAS, the City supports families who live in Affordable Housing Com munities in Palo Alto with grant funding for afterschool homework clubs, summer enrichment programs and family reading nights,
WHEREAS, the City has applied State permanent local housing allocation monies toward supporting new affordable housing at Matadero Creek and supports the retention of affordable housing at Buena Vista Mobile Home Park; and
WHEREAS, the City has implemented meaningful actions to help those experiencing homelessness in Palo Alto through making permanent its safe parking ordinance , piloting an outreach worker program, piloting an overnight warming location, and providing funding and partnering to build an interim housing shelter on City-owned land; and
WHEREAS, many organizations throughout Silicon Valley are dedicated to providing safe, stable permanent and affordable housing to all members of the community; these organizations along with local agencies and community members have organized Affordable Housing Month; and
NOW, THEREFORE I, Greer Stone, Mayor of the City of Palo Alto, on behalf of the entire City Council, do hereby proclaim the month of May as Affordable Housing Month in the City of Palo Alto, to call upon our community to support affordable housing solutions and to recognize the successful efforts of the City of Palo Alto and its partners who seek to improve access to affordable housing in Palo Alto.
Presented: May 6, 2024
______________________________
Greer Stone
Mayor
Proclamation
Item 3
Attachment A - Affordable
Housing Month
Proclamation
Item 3: Staff Report
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City Council
Staff Report
Report Type: STUDY SESSION
Lead Department: Administrative Services
Meeting Date: May 6, 2024
Report #:2404-2958
TITLE
City Manager Transmittal of the Fiscal Year 2025 Proposed Operating and Capital Budgets
BACKGROUND
This report will be a special late packet release.
APPROVED BY:
Lauren Lai, Administrative Services Director
Item 4
Item 4 Staff Report
Item 4: Staff Report
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City Council
Staff Report
From: City Manager
Report Type: STUDY SESSION
Lead Department: City Manager
Meeting Date: May 6, 2024
Report #:2403-2748
TITLE
Bi-Annual Discussion with the Independent Police Auditor
RECOMMENDATION
This Study Session is a semiannual opportunity for Council discussion with the Independent Police Auditor. There is no recommended action.
BACKGROUND AND ANALYSIS
This is the study session with the City’s Independent Police Auditor (IPA) from the representatives of the OIR Group, the City’s contracted consultant for the Independent Police Auditor function. It is the second of two discussions in this fiscal year. The previous discussion took place with the City Council on October 16, 2023.1
Purpose: In the amended contract with the OIR group, it states the following related to the IPA meetings with the City Council:
Beginning in the second half of 2021, CONSULTANT shall meet with the City Council two times per year to discuss trends in criminal justice and policing, policy and training matters, recommendations made by CONSULTANT, and other Council concerns.
CONSULTANT’S conferences with Council are not for the purpose of elaborating on published reviews of specific incidents and shall not include discussion of personnel matters prohibited by law. Semi-annual conferences shall be scheduled after publication of the CONSULTANT’S report, according to availability of Council and the CONSULTANT. 1 October 16, 2023 City Council Meeting:
https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=13038 (Item 3 is the study session) Item 5
Item 5 Staff Report
Item 5: Staff Report
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Consistent with the description above, Council discussion with the IPA is not focused on the most recent report from OIR. However, for ease in reference, the most recent report was issued as an Informational Report in the April 22, 2024 City Council packet.2
FISCAL/RESOURCE IMPACT
No additional funds are needed for this study session.
STAKEHOLDER ENGAGEMENT
The discussion with the City Council is an opportunity for the public to also share feedback related to issues covered by the IPA.
APPROVED BY:
Ed Shikada, City Manager
2 April 22, 2024 City Council Meeting:
https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=14970 (Informational Report item #14) Item 5
Item 5 Staff Report
Item 5: Staff Report
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City Council
Staff Report
Report Type: CONSENT CALENDAR
Lead Department: City Clerk
Meeting Date: May 6, 2024
Report #:2404-2907
TITLE
Approval of Minutes from April 15, 2024 and April 22, 2024 Meetings
RECOMMENDATION
That the minutes be reviewed and approved.
ATTACHMENTS
Attachment A: April 15, 2024 Draft Action Minutes
Attachment B: April 22, 2024 Draft Action Minutes
APPROVED BY:
Mahealani Ah Yun
Item 6
Item 6 Staff Report
Item 6: Staff Report
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CITY COUNCIL
DRAFT ACTION MINUTES
Special Meeting
April 15, 2024
The City Council of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 5:30 P.M.
Present In Person: Burt, Kou, Lauing, Lythcott-Haims, Stone, Tanaka Present Remotely: Veenker
Absent:
Special Orders of the Day
1. Proclamation Honoring National Animal Control Officer Appreciation Week - April 14-20, 2024
NO ACTION
2. Proclamation Honoring National Public Safety Telecommunicators’ Week - April 15-19, 2024
NO ACTION
Council Member Veenker Joined City Council Meeting by teleconference at 5:57 P.M.
Consent Calendar
Council Member Tanaka registered a no vote on Agenda Item Number 6, 8.
MOTION: Council Member Lythcott-Haims moved, seconded by Council Member Kou to approve Agenda Item Numbers 3-12.
MOTION PASSED ITEMS 3-5, 7, 9-12: 7-0
MOTION PASSED ITEMS 6, 8: 6-1, Tanaka no
3. Approval of Minutes from the March 18, 2024 and March 25, 2024 Meetings.
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DRAFT ACTION MINUTES
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4. Approve the Reliability and Resiliency Strategic Plan as Recommended by the Utilities Advisory Commission; CEQA Status: exempt, not a project
5. Approval of Construction Contract C241902 25 with Graham Contractors, Inc. in an Amount Not -to-Exceed $1,594,195 and Authorization for the City Manager or Their Designee to Negotiate and Execute Change Orders for Related Additional but Unforeseen Work that may Develop During the Project Up to a No t-to-Exceed Amount of $159,420 for the Fiscal Year 2024 Streets Preventive Maintenance Project, Capital Improvement Program Projects PE-86070, and PO-11001; CEQA status – exempt under CEQA Guidelines Section 15301(c)
6. Staff Recommends Increasing the Budget for the Advanced Heat Pump Water Heater Pilot Program by $846,000 to Increase Participation with Higher Rebates, and Amend the Fiscal Year Budget Appropriation for the Gas Fund; CEQA Status: Not a Project under CEQA Guidelines Section 15378(b)(5)
7. Approval of Contract No. C24189918 with BKF Engineers, through December 31 2025, in an Amount Not to Exceed $109,583, for Professional Design and Engineering Services for the Foothills Nature Preserve Improvements Project (PE -21000); CEQA Status – Exempt under CEQA Guidelines Section 15301
8. Approval of a Blanket Purchase Order With Eaton (Cooper Power Systems, LLC) for the Purchase of Pad Mounted Electric Equipment for the Utility’s Electric Distribution System Not to Exceed $750,000 per Year, for a Total Not -To-Exceed Amount of $5,250,000 for 7 Years; CEQA Status – Exempt Under CEQA Guidelines Section 15301
9. Approval of Professional Services Contract Number C24189405 with Tetra Tech, Inc. in an amount not to exceed $300,000 for On-Call Emergency Management Support Services for a Period of Six Years; CEQA Status – Not a Project.
10. Approval of Contract Amendment Number 2 to Seven On- call Consulting Contracts to Increase in the Amount by $500,000 to a Total Not to Exceed to $3.5 Million and Extend Term by Three Months to Provide Expertise for Long Range Planning Projects, Application Processing, Environmental Review, and Other Planning Analysis in the Planning and Development Services Department.
11. Approval of: (1) Contract No. 4524000393 with StarChase, LLC for GPS Vehicle Tracking Implementation for a three -year term in an amount not to exceed $224,657; and (2) StarChase GPS Vehicle Tracking Technology Surveillance Use Policy; CEQA status – categorically exempt.
12. Authorization to Execute Amendment to Legal Services Contract S24189355 with Allen, Glaessner, Hazelwood & Werth to Increase Amount by $50,000 for Total Not- to-Exceed Amount of $135,000; CEQA Status – Not a Project.
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DRAFT ACTION MINUTES
Sp. City Council Meeting
Draft Action Minutes: 04/15/2024
BREAK (5-10 MINUTES) / CONVENE CITY COUNCIL and PLANNING & TRANSPORTATION MEETING
The City Council and Planning and Transportation Commission of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 6:46 P.M.
PTC Commissioners Present In Person: Summa, Hechtman, Reckdahl, Templeton, Lu, Akin PTC Commissioners Present Remotely: Chang
Action Items
13. Joint City Council and Planning and Transportation Commission Meeting to Adopt a Resolution Amending the Comprehensive Plan by Adopting a Revised 2023 -31 Housing Element. California Environmental Quality Act (CEQA): The City Council adopted a Revised Addendum to the Comprehensive Plan Final Environmental Impact Report on December 18, 2023 that, in conjunction with the Comprehensive Plan Final EIR, fully analyzes the impacts associated with adoption of the Revised 2023-2031 Housing Element.
Planning and Transportation Commission
MOTION: Commissioner Akin moved, seconded by Commissioner Templeton to recommend City Council adopt the Revised 2023-31 Housing Element.
MOTION PASSED: 7-0
Council Member Veenker recused on Stanford University related properties/programs and First Congregational Church portions of the Item.
City Council
MOTION: Vice Mayor Lauing moved, seconded by Council Member Lythcott-Haims to adopt a Resolution (Attachment B) making the findings required under CEQA and Housing Element Law, and adopt the Revised 2023-31 Housing Element as an amendment to the City’s Comprehensive Plan, and direct staff to:
1. Add new program to align with Council’s direction to extend the Housing Focus Area along El Camino Real; and,
2. Reexamine the existing housing conditions East of Bay Shore subsequent to the submittal of the Housing Element and make any adjustments accordingly.
MOTION PASSED: 6-1, Kou no
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DRAFT ACTION MINUTES
Sp. City Council Meeting
Draft Action Minutes: 04/15/2024
Adjournment: The meeting was adjourned at 9:30 P.M.
ATTEST: APPROVED:
____________________ ____________________
City Clerk Mayor NOTE: Action minutes are prepared in accordance with Palo Alto Municipal Code (PAMC)
2.04.160(a) and (b). Summary minutes (sense) are prepared in accordance with PAMC Section
2.04.160(c). Beginning in January 2018, in accordance with Ordinance No. 5423, the City Council found action minutes and the video/audio recordings of Council proceedings to be the official records of both Council and committee proceedings. These recordings are available on the City’s website.
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CITY COUNCIL
DRAFT ACTION MINUTES
Special Meeting
April 22, 2024
The City Council of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 5:30 P.M.
Present In Person: Burt, Kou, Lythcott-Haims, Stone, Tanaka, Veenker Present Remotely:
Absent: Lauing
Special Orders of the Day
1. Recognizing Youth Living in Palo Alto or Enrolled at PAUSD Who Have Received The President's Volunteer Service Award (PVSA) As Certified by Youth Community Service (YCS) This Academic Year Between July 1, 2023 – Feb 15, 2024.
NO ACTION
Closed Session
2. CONFERENCE WITH LABOR NEGOTIATORS City Designated Representatives: City Manager and his Designees Pursuant to Merit System Rules and Regulations (Ed Shikada, Kiely Nose, Sandra Blanch, Nick Raisch, Tori Post, Molly Stump, and Jennifer Fine) Employee Organization: Service Employees International Union, (SEIU) Local 521, Utilities Management and Professional Association of Palo Alto (UMPAPA), Palo Alto Peace Officers’ Association (PAPOA), Palo Alto Police Management Association (PMA), International Association of Fire Fighters (IAFF) local 1319, Palo Alto Fire Chiefs’ Association (FCA); Authority: Government Code Section 54957.6 (a) MOTION: Council Member Burt moved, seconded by Council Member Veenker to go into Closed Session.
MOTION PASSED: 6-0-1, Lauing absent
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DRAFT ACTION MINUTES
Sp. City Council Meeting
Draft Action Minutes: 04/22/2024
Council went into Closed Session at 5:50 P.M.
Council returned from Closed Session at 6:45 P.M.
Mayor Stone announced no reportable action.
Study Session
3. Race and Equity Update: Assessment Report from Ivy Planning Group on City Workplace Culture and 2024-2025 (Calendar Years) Equity Action Plan
NO ACTION
Consent Calendar
Council Member Tanaka registered a no vote on Agenda Item Number 6.
Council Member Kou registered a no vote on Agenda Item Number 10.
Council Member Burt registered a no vote on Agenda Item Number 10.
Council Member Kou and Council Member Burt requested to Pull Agenda Item Number 10.
MOTION: Council Member Lythcott-Haims moved, seconded by Mayor Stone to approve Agenda Item Numbers 4-10.
MOTION PASSED ITEMS 4-5, 7-9: 6-0-1, Lauing absent
MOTION PASSED ITEM 6: 5-1-1, Tanaka no, Lauing absent
MOTION PASSED ITEM 10: 4-2-1, Kou no, Burt no, Lauing absent
4. Approval of Minutes from April 1, 2024, and April 8, 2024 Meetings
5. CONSENT: 261 Hamilton Ave: Upgrade Historic Inventory from Category 3 to Category 1
6. Adopt a Resolution Authorizing the City Manager or Their Designee to Execute an Amendment to the Power Purchase Agreement with Ameresco Half Moon Bay LLC for the Purchase of up to 60,000 Megawatt -Hours per Year of Biogas Energy Over a Term of up to 20 Years for a Total Not to Exceed Amount of $147.2 Million; CEQA Status: Not a Project under CEQA Guidelines Section 15378(a)
7. Approval of Construction Contract Number C24190641A with Valhalla Builders, Inc. in the Amount of $460,900 and Authorization for the City Manager or Their Designee to Negotiate and Execute Change Orders for Related Additional but Unforeseen Work that Item 6
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DRAFT ACTION MINUTES
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Draft Action Minutes: 04/22/2024
may Develop During the Project up to a Not- to- Exceed Amount of $46,090 for the Performing Arts Venues Seat Replacement Project at Lucie Stern Community Theatre, Capital Improvement Program Project AC -18000; CEQA Status – Exempt Under CEQA Guidelines Section 15301
8. Approval of Professional Services Contract No. C24190042 With BKF Engineers in a Total Not-to-Exceed Amount for $283,250 for Land Surveying Services for One Year; CEQA – Not a Project.
9. Approval of a Five-Year Technical Assistance Agreement with the United States Geological Survey in an Amount Not -to-Exceed $924,745 for Scientific Monitoring Services at the Regional Water Quality Control Plant Outfall and Horizontal Levee Pilot Project Site (WQ- 22001); CEQA Status- Categorically Exempt Section 15306
10. QUASI-JUDICIAL. 739 Sutter Avenue [22PLN -00201 and 24PLN -00005]: Appeal of the Director's Decision to Approve a Streamlined Housing Development Review Application to Allow Deconstruction of An Existing 8 Unit Residential Rental Development and Construction of 12 Three -Bedroom Condominium Units. The Project Also Includes a Request for Approval of a Vesting Tentative Map for a Condominium Subdivision. Zoning District: RM-20. Environmental Assessment: Exempt from the California Environmental Quality Act per CEQA Guidelines Section 15332. For more information contact the Project Planner at HYPERLINK "mailto:[email protected]" \ h [email protected].
Action Items
11. Review and provide input on Concept Plans for Quarry Road Transit Connection to the Palo Alto Transit Center and Adoption of a Resolution of Intention to Undedicate a portion of El Camino Park; CEQA status - statutorily exempt per Pub. Res. Code § 21080(b)(12).
MOTION: Council Member Burt moved, seconded by Council Member Lythcott-Haims to adopt a Resolution of Intention to Undedicate a portion of El Camino Park that is necessary for the new transit connection (Attachment E).
MOTION PASSED: 5-1-1, Kou no, Lauing absent
12. Addition of 16 properties to the City’s Historic Resources Inventory based on Owner interest. CEQA Status: Pursuant to Public Resources Code Section 21065, the Historic Designation of Properties is not a Project Subject to Environmental Review.
MOTION: Council Member Burt moved, seconded by Council Member Veenker to:
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DRAFT ACTION MINUTES
Sp. City Council Meeting
Draft Action Minutes: 04/22/2024
1. Adopt the attached record of land use action (Attachment A) to add 16 properties meeting specified criteria to the City’s Historic Resources Inventory, based on expressed owner interest; and,
2. Direct staff to continue outreach to eligible property owners among t he properties discussed in this report and to place future additions to the Historic Resources Inventory with expressed owner interest on the Consent Calendar; and,
3. Direct staff to study the possibility of a process for removing the properties as shown as potentially eligible in the parcel reports and return to Council with evaluations on any alternatives.
MOTION PASSED: 6-0-1, Lauing absent
Adjournment: The meeting was adjourned at 11:22 P.M.
ATTEST: APPROVED:
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City Clerk Mayor NOTE: Action minutes a re prepared in accordance with Palo Alto Municipal Code (PAMC)
2.04.160(a) and (b). Summary minutes (sense) are prepared in accordance with PAMC Section
2.04.160(c). Beginning in January 2018, in accordance with Ordinance No. 5423 , the City Council
found action minutes and the video/audio recordings of Council proceedings to be the official records of both Council and committee proceedings. These recordings are available on the City’s website.
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City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: Utilities
Meeting Date: May 6, 2024
Staff Report: 2403-2755
TITLE
Approval and Authorization for the City Manager to Execute Purchase Orders with Pre-Qualified Vendors for Electric Distribution Transformers for the Grid Modernization Project (EL-24000) in an Annual Amount up to $4,000,000 through FY 2026, and Increasing the Total Aggregate Not- to-Exceed Purchase Order Amount for FY 2022 through FY 2026 from $10,000,000 to $16,000,000, with all Purchases Subject to Assigned Purchase Order and Availability of Funds; CEQA Status: Exempt under CEQA Guidelines Sections 15302, 15303 and 15183.
RECOMMENDATION
Staff recommends that Council:
1. Approve and authorize the City Manager or their designee to execute purchase orders from prequalified vendors for the purchase of electric distribution transformers, as recommended by the Utilities Department, for the Grid Modernization Project (EL- 24000), for a total of $4,000,000 annually, and
2. Increase the total aggregate not-to-exceed purchase order amount from $10,000,000 to $16,000,000 over the five-year period for prequalified vendors; specifically increasing the total collective not-to-exceed amount from $6,000,000 to $12,000,000 for the remaining three years.
EXECUTIVE SUMMARY
The Utilities Department is recommending an increase to the authorized spending amount for the purchase of electric distribution transformers from $2,000,000 to $4,000,000 per fiscal year with any of the prequalified vendors, increasing the total not-to-exceed amount from $10,000,000 to $16,000,000 over the remaining three-year pre-qualified vendor period from FY 2024 through FY 2026.
Due to supply chain shortage and extended lead times, the FY 2022 authorization enabled the City to ramp up and meet the anticipated volume of transformers needed for the City’s electric infrastructure from FY 2022 through FY 2026. As supply chain shortages persists, the updated recommendation enables the City to place orders in advance for a significantly higher number of transformers that need to replaced as part of Council’s Grid Modernization for Electrification Item 7
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initiative. Funds for this project are included in the FY 2024 Adopted 5-year Capital Improvement Plan.
BACKGROUND
The Utilities Department uses various types of electric distribution transformers (pole top, pad mount, and submersible) to provide electric service to customers in Palo Alto. In order to qualify to become a City supplier, manufacturers who supply transformers to the City must comply with the City’s transformer specifications and industry standards. Staff issues a Request for Qualifications (RFQ) nearly every five years to prequalify transformer suppliers as per City of Palo Alto’s Policies and Procedures 1 – 44/ASD, “Prequalification of Contractors.” This ordering process ensures that City of Palo Alto receives competitive pricing without compromising product quality, and maintains the ability to continue providing reliable service to customers.
In November 2015, Council approved and authorized the City Manager to execute purchase orders for electric distribution transformers up to $1,000,000 each year for five years 1. Any unspent funds are returned to the Electric Fund reserves at the end of each fiscal year.
In June 2022, Council approved and authorized the City Manager to execute purchase orders for electric distribution transformers with prequalified vendors (Staff Report ID 143422 up to $2,000,000 annually between FY 2022 – FY 2026, in a Total Not-to Exceed Amount of $10,000,000 over the 5 year period. At that time, staff needed to address a reduction of existing transformer stock inventory resulting from an increase in service upgrades. It was anticipated that the need to purchase more transformers would increase in the upcoming years as a result of new initiatives, projects, and replacement of existing transformers.
In June 2023, Council’s FY 2024 Capital Budget included funds for the Grid Modernization for Electrification Project (“Grid Mod Project”, EL-24000) to enhance grid resiliency and reliability of the electric distribution system and to accelerate the City’s clean energy and decarbonization goals. This project involves replacing the existing 1,400 single phase pole top transformers rated less than 50kVA with a rating of 50kVA or larger to meet the new load forecast for electrification.
ANALYSIS
The City conducted an electrification study to evaluate the impacts of projected electrification loads on Palo Alto’s distribution and substation transformers, primary/secondary distribution circuits, and to propose upgrades needed to mitigate overloads. The Grid Mod Project requires bringing online more transformers, replacing deteriorating wires and connectors, upgrading or replacing poles, and providing battery storage and solar system support to the interconnected 1 City Council, November 30, 2015, https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes- reports/reports/city-manager-reports-cmrs/year-archive/2015/final-staff-report-id-6244_transformer-supplier- prequalification-process-and-authorization.pdf
2 City Council, June 22, 2022: https://portal.laserfiche.com/Portal/DocView.aspx?id=59558&repo=r- 704298fc&searchid=bb3e831d-8d17-4b91-971f-090a351c7a98
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grid. Specifically, the Project involves replacing the current 1,413 single phase pole top transformers rated less than 50kVA. Additionally, 300 - 400 pad mount and underground transformers will need to be replaced or added with 75kVA or larger to mitigate overloads.
Current manufacturer delivery lead times are approximately 8 months to 24 months, depending on the transformer type. Considering the number of transformers needed for Grid Mod and lead times, an estimated additional 200-300 transformers will need to be purchased each year. As staff ramps up to meet the needs of new electric initiatives and projects in addition to existing transformer replacements, having a secure supply of transformers is vital to ensure continuity in electric services. This agreement provides the City with the authorization to purchase transformers as needed with prequalified vendors to avoid supply chain shortages, low inventory, and lead time issues. If the authorization level is not increased, then the City may not be able to purchase the volume of transformers needed at the time of need, resulting in potential project delays, service disruptions, and increased expenses associated with inventory shortages.
Per the requirements of City of Palo Alto’s Policies and Procedures 1 – 44/ASD, “Prequalification of Contractors,” the Utilities Department solicited a Request for Qualifications (RFQ) for the prequalification of transformer suppliers in December 2021. Staff sent the solicitation to over 400 vendors. The City’s prequalification process includes an evaluation of the following criteria:
(a) ability to meet technical specifications, (b) ability to deliver materials on time, (c) equipment reliability and quality, (d) manufacturing history, and (e) references from other utilities. As part of its review process, staff identifies any exceptions to the City’s technical specifications and determines whether those are acceptable, and also determines whether the City’s other key criteria are met. If so, the supplier is deemed qualified. If not, then the supplier is deemed not qualified to supply that particular type of transformer. Suppliers can request to become qualified at a later time and will be evaluated by the same criteria.
When staff determines that transformers are needed, staff issues a Request for Quotation to the prequalified manufacturers for each particular transformer type. Staff places orders with manufacturers based on CIP requirements, new customer connections, and to replace old or failed transformers. Engineering staff reviews and evaluates all quotes, and issues a purchase order to the vendor offering the lowest price.
FY 2022 - FY 2024 Prequalified Suppliers by Transformer TypeHitachiEnergy USA Power Partners, Inc.
Howard Industries, Inc. SETI Sunbelt Emerald TransformersPadmount YES NO YES YES NO YESUnderground Residential NO NO YES NO NO YESUnderground Commercial YES NO YES NO NO YESPole Top NO YES YES YES YES YES Item 7
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FISCAL/RESOURCE IMPACT
Funding for the additional $2 million increase in the spending authorization level is available in the FY 2024 Adopted Capital Budget within the Electric Fund project EL-24000 Grid Modernization for Electrification. Unspent funds will be returned to the Electric Fund reserves annually. Funding for subsequent years is subject to City Council approval of the annual appropriation of funds through the annual budget process
STAKEHOLDER ENGAGEMENT
This agreement to increase the authorization amount of an existing agreement for materials does not directly impact customers that would require community outreach. Staff most recently received Council approval and authorization for electric distribution transformer purchase orders in June 20, 20222.
ENVIRONMENTAL REVIEW
The grid modernization project will replace aging infrastructure and install modern network infrastructure to meet future needs related to home electrification. This project does not expand the existing footprint of the City’s network; there is sufficient capacity on the existing sub- transmission lines, substations, and primary feeders to serve the energy load that is being added to the system. Changes to the equipment on the network will include replacement and installation of pad-mounted transformers and new protective devices to improve reliability, and system controls to allow for the import and export of energy from homes on the network. This project is categorically exempt from California Environmental Quality Act (CEQA) review under CEQA Guidelines section 15303 (construction and location of limited numbers of new, small facilities or structures; installation of small new equipment and facilities in small structures) and section 15302 (replacement or reconstruction of existing structures and facilities). In addition, Council’s approval of the grid modernization project does not require additional environmental review under CEQA Guidelines section 15183, because the grid modernization project, an element of the Council-approved S/CAP, is consistent with the Environmental Impact Report (EIR) Addendum to the City of Palo Alto Comprehensive Plan Final Environmental Impact Report Council approved on June 5, 20233.
ATTACHMENTS: None
APPROVED BY:
Dean Batchelor, Director of Utilities
Staff: Dave Yuan, Strategic Business Manager
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City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: Community Services
Meeting Date: May 6, 2024
Report #:2403-2827
TITLE
Approval of Contracts with the City of Los Altos and Town of Los Altos Hills to Provide Regional Animal Care and Control Services; (CEQA status – not a project.)
RECOMMENDATION
Staff recommends the City Council approve and authorize the City Manager to execute regional animal care and control services contracts with the City of Los Altos and Town of Los Altos Hills for a period of five years effective July 1, 2024 through June 30, 2029.
BACKGROUND
The City of Palo Alto (City) provides animal care and control services to the City of Los Altos and the Town of Los Altos Hills. The existing regional animal care and control contracts with Los Altos and Los Altos Hills were originally signed in 2004 and extended for two additional five-year terms.
The current contracts expire on June 30, 2024. Since 2019, animal care and shelter services are provided by Pets in Need through a contract with the City. Animal control services are provided directly by the Palo Alto Police Department.
Historically, the compensation associated with the contracts has been based on an annual percentage of animals handled by Palo Alto for each partner agency. Under this cost structure, Los Altos is responsible for 11.3% and Los Altos Hills is responsible for 4% of animal care and animal control costs. This percentage was derived from an average percentage of animals handled by Palo Alto over a ten-year period and Palo Alto’s total costs for animal control and shelter services. Los Altos has been responsible for $148,000 and Los Altos Hills has been responsible for $51,000 annually, based on the average of the previous three fiscal years.
ANALYSIS
Agreements with Los Altos and Los Altos Hills will terminate on June 30, 2024 and have been re- evaluated for scope and cost of services. The new agreements (Attachments A and B) reflect a similar scope to the current agreement with an adjusted compensation model. To provide assurance to all parties that the partner agencies are paying for animals handled in their jurisdictions only, the agreement will shift from an average percentage-based model to actual Item 8
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program costs (animal care and animal control). The actual program costs will be derived from the number of animals handled in each jurisdiction as compared to all animals handled each fiscal year.
Prior to Pets in Need (PIN) operating the Animal Shelter, the City was responsible for licensing of animals and remitted the associated revenue from licenses from Los Altos and Los Altos Hills animals back to those agencies. With the City taking back the function of animal licensing, which was done by PIN during the five-year term (2019-2024) of the contract with PIN and the City, revenue from licenses issued in Los Altos and Los Altos Hills will be remitted back to those agencies.
FISCAL/RESOURCE IMPACT
The City Council approved a new five-year agreement with Pets in Need on March 18, 2024, to provide animal care and sheltering services to the City of Palo Alto, Los Altos and Los Altos Hills at the Palo Alto Animal Shelter. The new agreement with PIN represents increased costs to the City to operate the shelter. In Fiscal Year 2025, the cost to operate the shelter will be $1.4 million and animal control costs are estimated to be $715,000, for a total estimated cost of $2.1 million.
This increase in costs also translates to higher costs for Los Altos and Los Altos Hills.
The provision of animal care and control services to Los Altos and Los Altos Hills is expected to result in annual revenue of $416,000 in FY 2025. This is derived from the anticipated revenue from both agencies less licensing revenue remitted back to each agency. Expected costs to Los Altos and Los Altos Hills in Fiscal Year 2025 are $326,000 and $154,000, respectively. Expected revenue from licensing that will go back to Los Altos and Los Altos Hills is $46,000 and $18,000, respectively. The FY 2025 Proposed Operating Budget includes $218,000 in revenue from both cities. The net impact will be an increase of $198,000 in revenue from both cities, after factoring in the returned licensing revenue. Staff will bring forward budget adjustments to the FY25 Proposed Budget during the Amendments to Proposed phase.
Animal control services provided to Los Altos and Los Altos Hills are accomplished with existing staff resources and no additional staff is allocated to specifically serve Los Altos and Los Altos Hills.
STAKEHOLDER ENGAGEMENT
Staff from the Palo Alto Police Department and Community Services Department worked with representatives from Los Altos and Los Altos Hills on the development of the agreements.
Following City Council approval, staff from both partner agencies will recommend approval to their respective Councils.
ENVIRONMENTAL REVIEW
Council action on this item is exempt from CEQA review under section 15061(b)(3) of the CEQA Guidelines because it can be seen with certainty that there is no possibility that the activity in question may have a significant effort on the environment.
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ATTACHMENTS
Attachment A: Contract between City of Palo Alto and City of Los Altos for Animal Care and Control Services.
Attachment B: Contract between City of Palo Alto and Town of Los Altos Hills for Animal Care and Control Services.
APPROVED BY:
Kristen O'Kane, Community Services Director
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1 AGREEMENT FOR ANIMAL CONTROL AND SHELTERING SERVICES
BETWEEN THE CITY OF PALO ALTO AND
THE CITY OF LOS ALTOS
This Agreement for Animal Control and Sheltering Services is made this 1st day of July, 2024, by and between the City of Palo Alto (“Palo Alto”) and the City of Los Altos (“Agency”).
RECITALS
WHEREAS, animal control and sheltering services are required by California law to be provided by incorporated cities; and
WHEREAS, Palo Alto has an established animal control and shelter operation Palo Alto Animal Control (or “PAAC”); and
WHEREAS, Agency has no current facilities or ability to provide those required animal services, and has requested that Palo Alto provide specified animal control and sheltering services, and animal licensing within the jurisdiction of Agency, and for the citizens of Agency; and
WHEREAS, Palo Alto has the capacity to provide such services to Agency as are hereinafter described, and is willing to do so;
WHEREAS, Palo Alto has engaged Pets In Need, a local non-profit animal services group (“PIN”), to operate the animal shelter; and NOW, THEREFORE, in consideration of the following covenants, terms, and conditions, the parties agree:
SECTION 1: Term
The term of this agreement shall commence on July 1, 2024 and shall terminate on June 30, 2029, unless sooner terminated or extended by mutual agreement between Palo Alto and the Agency. The parties intend to extend this agreement so long as it is mutually advantageous. Parties agree to meet at least twelve months prior to the scheduled termination hereof and discuss the terms of such extension.
The parties intend to extend this agreement so long as it is mutually advantageous.
Parties agree to meet at least twelve months prior to the scheduled termination hereof and discuss the terms of such extension.
A. Amendments - Amendments to this Agreement must be in writing and approved by the governing body of Agency and Palo Alto. This is the entire Agreement between the parties and supersedes any prior written or oral agreements.
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Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
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1 SECTION 2: Termination by Any Party
If either party fails to perform any duties or obligations imposed by this Agreement and said failure continues for sixty (60) days after written notification by the other, then the non- breaching party may terminate this Agreement immediately after the sixty (60) day period by providing written notice of termination. Either party may terminate this agreement at any time without cause by providing one hundred eighty (180) days written notice of intent to terminate.
In any event of termination under this paragraph, Palo Alto shall be paid for all services performed until the date of such termination.
SECTION 3: Advisory Committee
The joint committee shall hereafter be referred to as the Animal Control Task Force (ACTF) consisting of the City Manager of Palo Alto or his designee, the City Manager of Agency or his/her designee, the Superintendent of PAAC, and the City Manager or his/her designee of other cities that contract with Palo Alto to provide animal control and/or sheltering services. The responsibilities of the ACTF shall include but are not limited to:
1. Review existing local animal control ordinances and make recommendations for appropriate changes
2. Assessing licensing program
3. Analyze programmatic complaints by either party or its residents
4. Review revenues and expenditures relating to the program SECTION 4: Agency Responsibilities
1. Agency hereby designates Palo Alto to perform, on behalf of Agency, all services as agreed to in Exhibit “A” - Scope of Services of this Agreement.
2. Agency hereby designates Palo Alto responsible for its dog license fee collection, including the issuance of administrative citations for municipal code violations. City will remit all license fees to Agency.
3. Agency agrees not to adopt fees inconsistent with Palo Alto’s schedule for animal related fees during the term of the agreement.
4. Agency shall implement its own locally enacted provisions for administrative remedies with respect to impoundment, nuisance abatement of dangerous animals and other similar circumstances; provided, however, that Palo Alto will assist and respond when requested by Agency, as set forth in Exhibit “A” of this Agreement.
5. Agency agrees that it will remain responsible for arranging and conducting hearings under its Dangerous Animal Ordinances, including but not limited to, providing Hearing Officers and a location for such hearings. Alternatively, Agency may request Palo Alto to provide Hearing Officers and a location for such hearings, and Palo Alto may provide as such upon mutual agreement and resource availability. The cost of these hearings shall be borne by the animal owner; however, in the event Agency is unable to collect these costs from the animal owner; Agency shall be responsible for these costs.
Item 8
Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
Services
Item 8: Staff Report
Pg.
5 Packet Pg. 32 of 281
2 6. Agency agrees that it shall remain solely responsible for the defense of any appeal of any decision rendered by the Hearing Officer or from any Court judgment based on claims, actions or appeals resulting from Dangerous Animal designations made under Agency’s Ordinances.
7. Agency agrees to honor any dangerous animal designation issued by another partner agency and enforce its laws accordingly.
8. Agency agrees to provide assistance upon request of Palo Alto’s Animal Control Officers within Agency’s jurisdiction.
9. Agency shall be primarily responsible for the investigation and appropriate enforcement action to be taken in substantiated cases of animal cruelty, abuse, etc., under Section 597.1 of the California Penal Code.
10. Agency reports shall include description of the animal, location it was found, reporting party information and any other relevant information that would assist Palo Alto’s Animal Control Officers with the disposition of the animal. The report shall be provided to Palo Alto’s Animal Control Officers staff at pick up. If the animal is released from Agency, the report shall be sent to Palo Alto’s Animal Control Officers by the end of the work day.
11. As unanticipated events occur in Agency cities, PAAC may be required to contract with outside vendors to provide services that are above and beyond the scope of services and/or the capabilities of PAAC personnel. After consultation and agreement of services with Agency, Agency will be responsible for the cost of vendor services.
SECTION 5: Compensation
1. The purpose of this Section is to equitably divide the actual costs of providing animal control and sheltering services to Agency. The costs to provide these services are based on the actual program costs for the Palo Alto Animal Shelter and Animal Control Services Division each fiscal year.
2. Agency agrees to pay Palo Alto under the following payment schedule:
a. August 1 – Palo Alto will provide Agency with cost for previous fiscal year.
Payments are due to Palo Alto by September 15 of each year.
Payments shall be sent to:
Director of Community Services
1305 Middlefield Road
Palo Alto, CA 94301
3. Agency agrees to pay its percentage of actual program costs for the Palo Alto Animal Shelter and Animal Control Services Divisions each fiscal year. The City of Palo Alto will provide the Agency with the actual percentage to be invoiced for the previous fiscal year (July 1st - June 30th) by August 1st of each year.
Agency’s payment for service is based on 1) Agency’s proportionate use of shelter services over the period listed above and 2) Palo Alto’s total costs for animal control and Item 8
Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
Services
Item 8: Staff Report
Pg.
6 Packet Pg. 33 of 281
3 shelter services. The annual cost to the Agency is anticipated to be $326,000 in Fiscal Year 2025 based on 15.5% of total costs (Fiscal Year 2023 actuals) and is not expected to exceed $400,000 in any year.
4. PIN will retain all boarding and impound fees. Palo Alto will retain impound fees (in some situations), quarantine, penalty, and miscellaneous fees.
5. Any payments not received on or before the due date shall accrue interest between the due date and date of receipt. Interest shall be based on the prevailing rate of return earned by Palo Alto’s investments during that period.
6. In the event of early termination of this Agreement, in accordance with Section 2 of the Agreement, Palo Alto shall bill Agency a proportional amount of the quarterly payment that covers the quarter during which such termination is effective.
7. Any unforeseen changes in State requirements relating to the care and housing of animals shall be the fiscal responsibility of Agency once implemented by Palo Alto based on Agency’s animals handled.
SECTION 6: Indemnification and Hold Harmless
Agency expressly agrees to indemnify and hold harmless Palo Alto, its officers, agents, employees and servants from all demands, claims, liabilities, losses, charges, costs, or damages caused by or arising out of Agency’s negligent or willful misconduct in the performance of this Agreement.
Palo Alto expressly agrees to indemnify and hold harmless Agency, its officers, agents, employees and servants from all demands, claims, liabilities, losses, charges, costs, or damages caused by or arising out of Palo Alto’s negligent or willful misconduct in the performance of this Agreement.
SECTION 7: Notices
All notices shall be submitted, in writing, and sent by the United States Mail, certified and postage prepaid, by private express delivery service, by facsimile transmission followed by delivery of hard copy, or by any other process mutually acceptable to the parties to the addresses stated below or to any other address noticed in writing.
Palo Alto: City of Palo Alto
Director of Community Services
1305 Middlefield Road
Palo Alto, CA 94301
Agency: City of Los Altos
Police Chief
1 North San Antonio Road
Los Altos, CA 94022
Item 8
Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
Services
Item 8: Staff Report
Pg.
7 Packet Pg. 34 of 281
4 SECTION 8: Miscellaneous
1. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any changes resulting in Program modifications shall be provided in writing by Palo Alto to Agency and must be agreed upon and accepted by Agency as soon as legislative bodies enact any new or modified regulations regarding animals, their care and housing.
2. Palo Alto shall not be deemed in default on account of any delay or failure to perform any obligations in accordance with Agency laws, the laws of the State of California, the Palo Alto Municipal Code, and the terms of this Agreement, which directly results from an Act of God, including, without limitation, the act of a superior legal authority or an occurrence of nature.
3. If a court of competent jurisdiction finds or rules that any provision of this Agreement is void or unenforceable, the unaffected provisions of this Agreement shall remain in effect.
4. The prevailing party in any action brought to enforce the terms of this Agreement may recover from the other party its reasonable costs and attorneys’ fees expended in connection with such an action.
IN WITNESS WHEREOF, the parties have executed this Agreement in Palo Alto, County of Santa Clara, California, on the date first above stated.
CITY OF PALO ALTO CITY OF LOS ALTOS
City Manager City Manager
ATTEST: ATTEST:
APPROVED AS TO FORM: APPROVED AS TO FORM:
___________________________ ___________________________ Deputy City Attorney City Attorney
ATTACHMENT: EXHIBIT “A” SCOPE OF SERVICES
Item 8
Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
Services
Item 8: Staff Report
Pg.
8 Packet Pg. 35 of 281
5 EXHIBIT “A”
Scope of Services
Palo Alto shall provide animal control and sheltering services to Agency as set forth in this Exhibit and in compliance with all related applicable laws of the State of California.
Field Services will be provided seven (7) days a week as follows:
Field Services: 9 hours per day
Shelter Services: PIN’s business hours shall be a minimum of six (6) days per week and forty (40) hours per week. PIN shall post the public hours on its website, and inform Palo Alto and Contract Cities in writing of any change in hours. Shelter shall be closed on designated holidays.
SECTION 1: Agency Assist
Palo Alto Animal Control Officer (ACO) while on his/her regular duty shift will:
•Respond to reports of dangerous, aggressive, vicious, and/or attacking animals (domestic or wild).
•Rescue animals in immediate distress.
•Assist Agency staff in the active investigation of animal cruelty, abuse, or neglect incidents. Agency will be responsible for all criminal filings. •Investigate reports of animal on animal attacks.
•Assist Agency by investigating all excess number of animal and leash law complaints.
If Agency takes enforcement action surrounding an animal violation, Agency may request assistance of ACO to impound animal(s) and provide appropriate care at PAAC during the administrative process.
Agency designates ACO as “Animal Control Officer” as defined in Los Altos Municipal Code Title 5, “Animals” Chapter 5.04 (“Chapter 1”). ACO will serve as primary enforcement of Chapter 5 during Regular Hours and will respond according to availability and severity of the incident. Agency will provide enforcement during other times.
SECTION 2: Field Impound
•ACO will impound animals under special custody situations in accordance with PAAC’s Protective Custody Policy, which would include owner arrest, hospitalization, fire, etc. Agency staff will provide PAAC staff with owner information before the end of Agency staff shift if known to Agency staff.
Item 8
Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
Services
Item 8: Staff Report
Pg.
9 Packet Pg. 36 of 281
6 •Confined, stray domestic animals (including those in rented PAAC/PIN humane traps) shall be picked up during regular hours from both citizens and the Agency.
SECTION 3: Stray Animals
•ACO will respond to reports of, and impound at large or confined, stray animals during regular hours when the owner is not present. •ACO will pick up and dispose of reported dead stray animals during regular hours.
•Residents from Agency’s jurisdiction may bring stray animals to PIN during regular business hours. After hours, animals may be taken to the holding area at Palo Alto Police Department. The following day, ACO will pick up and transport to the shelter for care and housing.
•Stray animals located in Agency’s jurisdiction that are taken to the shelter shall be provided care and housing. A lost and found log will be maintained at shelter in an attempt to reunite animals with owners.
SECTION 4: Disposition of Stray or Surrendered Animals
•At the conclusion of any required holding period, stray or surrendered animals may either be placed for adoption or humanely euthanized at PAAC’s or PIN’s discretion. All animals placed for adoption shall be spayed or neutered, micro-chipped and vaccinated prior to placement.
SECTION 5: Surrenders
•Residents from Agency’s jurisdiction may surrender their animal(s) during regular business hours at PIN without an appointment. Residents must provide proof of residency and picture identification at the time of the surrender. •PAAC provides disposal service for owned, dead animals for a service fee.
If owner requests animal to be picked up from their home, there will be an additional fee charged to the animal owner. This service is provided during regular business hours at PAAC and pursuant to the City of Palo Alto’s Municipal Fee Schedule
SECTION 6: Bites/Quarantine
•ACO will investigate all animal bite to human incidents, and quarantine or rabies test Item 8
Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
Services
Item 8: Staff Report
Pg.
10 Packet Pg. 37 of 281
7 the biting animal when required When a dog on human bite occurs during regular hours or is in progress, ACO will respond and direct the quarantine process per California Health and Safety Code 121575 et seq. ACO will provide a report documenting the quarantine, witness statements and the action of the animal. PAAC will provide the report to the Agency upon request. Agency will be responsible for all criminal filings. For after hour incidents that are not in progress, the Agency will take an initial report and provide PAAC with a copy of the report by the end of the shift.
•PAAC shall provide for the control of rabies through quarantine and testing consistent with the provisions of California Health and Safety Code 121575 et seq.
PAAC shall be responsible for filing the Annual report of Local Rabies Control Activities and Statement of Enforcement with the California State Department of Health Services.
•Animal bite on human incidents reported by medical personnel will be accepted and documented by an ACO. PAAC will notify Agency of relevant jurisdiction of the incident for evaluation of criminal filing.
•PIN shall provide one “actual” at cost rabies vaccination clinic in accordance with State law.
SECTION 7: Animal Licensing
•PAAC shall issue and maintain a dog licensing program for Agency including issuing Administrative Citations for licensing violations. •Dog licenses will be processed at PAAC, by mail, and/or online. PAAC and PIN shall provide the licensing applications to residents.
•PAAC will mail reminder notices prior to the expiration of the dog license. •Microchip implantation and information will be available at PIN for a fee and a database will be maintained.
SECTION 8: Veterinary Care
•Veterinary care for sick or injured stray animals will be provided. •The City of Palo Alto shall oversee all animal health, hygiene, and nutritional needs of the animals under the care of PIN.
SECTION 9: Wildlife
Item 8
Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
Services
Item 8: Staff Report
Pg.
11 Packet Pg. 38 of 281
8 •ACO will respond to and assess reports of sick, injured, or orphaned wildlife. If impound is necessary, PAAC may euthanize or request PIN arrange for the animals transport to the nearest wildlife rehab center.
•Nuisance wildlife calls will be referred to Santa Clara County Vector Control or to a private pest control company. No service provided by ACOs. •ACO will assess and may respond to complaints of wildlife presenting a threat to human safety and take appropriate action. Agency will assist upon request from ACO.
•ACO will pick up dead wildlife on public streets/land weighing up to 50 pounds. For animals over 50 pounds, PAAC may contact a designated rendering company for removal. Removal of dead wildlife on private property should be referred to the designated rendering company and associated costs will be the responsibility of the resident
Item 8
Attachment A - Contract
between City of Palo Alto
and City of Los Altos for
Animal Care and Control
Services
Item 8: Staff Report
Pg.
12 Packet Pg. 39 of 281
1 AGREEMENT FOR ANIMAL CONTROL AND SHELTERING SERVICES
BETWEEN THE CITY OF PALO ALTO AND
THE TOWN OF LOS ALTOS HILLS
This Agreement for Animal Control and Sheltering Services is made this 1st day of July, 2024, by and between the City of Palo Alto (“Palo Alto”) and the Town of Los Altos Hills (“Agency”).
RECITALS
WHEREAS, animal control and sheltering services are required by California law to be provided by incorporated cities; and
WHEREAS, Palo Alto has an established animal control and shelter operation Palo Alto Animal Control (or “PAAC”); and
WHEREAS, Agency has no current facilities or ability to provide those required animal services, and has requested that Palo Alto provide specified animal control and sheltering services, and animal licensing within the jurisdiction of Agency, and for the citizens of Agency; and
WHEREAS, Palo Alto has the capacity to provide such services to Agency as are hereinafter described, and is willing to do so;
WHEREAS, Palo Alto has engaged Pets In Need, a local non-profit animal services group (“PIN”), to operate the animal shelter; and
NOW, THEREFORE, in consideration of the following covenants, terms, and conditions, the parties agree:
SECTION 1: Term
The term of this agreement shall commence on July 1, 2024 and shall terminate on June 30, 2029, unless sooner terminated or extended by mutual agreement between Palo Alto and the Agency. The parties intend to extend this agreement for a second additional five -year term consistent with the original contract signed by the parties in 2004.
The parties intend to extend this agreement so long as it is mutually advantageous. Parties agree to meet at least twelve months prior to the scheduled termination hereof and discuss the terms of such extension.
A. Amendments - Amendments to this Agreement must be in writing and approved by the governing body of Agency and Palo Alto. This is the entire Agreement between the parties and supersedes any prior written or oral agreements.
Item 8
Attachment B - Contract
between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
Item 8: Staff Report
Pg.
13 Packet Pg. 40 of 281
1 SECTION 2: Termination by Any Party
If either party fails to perform any duties or obligations imposed by this Agreement and said failure continues for sixty (60) days after written notification by the other, then the non- breaching party may terminate this Agreement immediately after the sixty (60) day period by providing written notice of termination. Either party may terminate this agreement at any time without cause by providing one hundred eighty (180) days written notice of intent to terminate.
In any event of termination under this paragraph, Palo Alto shall be paid for all services performed until the date of such termination.
SECTION 3: Advisory Committee
The joint committee shall hereafter be referred to as the Animal Control Task Force (ACTF) consisting of the City Manager of Palo Alto or his/her designee, the City Manager of Agency or his/her designee, the Supervising Animal Control Officer of PAAC, and the City Manager or his/her designee of other cities that contract with Palo Alto to provide animal control and/or sheltering services. The responsibilities of the ACTF shall include but are not limited to:
1. Review existing local animal control ordinances and make recommendations for appropriate changes
2. Assessing licensing program
3. Analyze programmatic complaints by either party or its residents
4. Review revenues and expenditures relating to the program
SECTION 4: Agency Responsibilities
1. Agency hereby designates Palo Alto to perform, on behalf of Agency, all services as agreed to in Exhibit “A” - Scope of Services of this Agreement.
2. Agency hereby designates Palo Alto responsible for its dog license fee collection, including the issuance of administrative citations for municipal code violations. City will remit license fees to Agency.
3. Agency agrees not to adopt fees inconsistent with Palo Alto’s schedule for animal related fees during the term of the agreement.
4. Agency shall implement its own locally enacted provisions for administrative remedies with respect to impoundment, nuisance abatement of dangerous animals and other similar circumstances; provided, however, that Palo Alto will assist and respond when requested by Agency, as set forth in Exhibit “A” of this Agreement.
5. Agency agrees that it will remain responsible for arranging and conducting hearings under its Dangerous Animal Ordinances, including but not limited to, providing Hearing Officers and a location for such hearings. Alternatively, Agency may request Palo Alto to provide Hearing Officers and a location for such hearings, and Palo Alto may provide as such upon mutual agreement and resource availability. The cost of these hearings shall be borne by the animal owner; however, in the event Agency is unable to collect these costs from the animal owner; Agency shall be responsible for these costs.
Item 8
Attachment B - Contract
between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
Item 8: Staff Report
Pg.
14 Packet Pg. 41 of 281
2 6. Agency agrees that it shall remain solely responsible for the defense of any appeal of any decision rendered by the Hearing Officer or from any Court judgment based on claims, actions or appeals resulting from Dangerous Animal designations made under Agency’s Ordinances.
7. Agency agrees to honor any dangerous animal designation issued by another partner agency and enforce its laws accordingly.
8. Agency agrees to provide assistance upon request of Palo Alto’s Animal Control Officers within Agency’s jurisdiction.
9. Agency shall be primarily responsible for the investigation and appropriate enforcement action to be taken in substantiated cases of animal cruelty, abuse, etc., under Section 597.1 of the California Penal Code.
10. Agency reports shall include description of the animal, location it was found, reporting party information and any other relevant information that would assist Palo Alto’s Animal Control Officers with the disposition of the animal. The report shall be provided to Palo Alto’s Animal Control Officers staff at pick up. If the animal is released from Agency, the report shall be sent to Palo Alto’s Animal Control Officers by the end of the workday.
11. As unanticipated events occur in Agency cities, PAAC may be required to contract with outside vendors to provide services that are above and beyond the scope of services and/or the capabilities of PAAC personnel. After consultation and agreement of services with Agency, Agency will be responsible for the cost of vendor services.
SECTION 5: Compensation
1. The purpose of this Section is to equitably divide the actual costs of providing animal control and sheltering services to Agency. The costs to provide these services are based on the actual program costs for the Palo Alto Animal Shelter and Animal Control Division each fiscal year.
2. Agency agrees to pay Palo Alto under the following payment schedule:
a. August 1– Palo Alto will provide Agency with cost for previous fiscal year.
Payments are due to Palo Alto by September 15, of each year.
Payments shall be sent to:
Director of Community Services
1305 Middlefield Road
Palo Alto, CA 94301
3. Agency agrees to pay its percentage of actual program cost for the Palo Alto Animal Shelter and Animal Control Services Divisions each fiscal year. The City of Palo Alto will provide the Town with the actual percentage to be invoiced for the previous fiscal year (July 1st - June 30th) by August 1st of each year.
Agency’s payment for service is based on 1) Agency’s proportionate use of shelter services Item 8
Attachment B - Contract
between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
Item 8: Staff Report
Pg.
15 Packet Pg. 42 of 281
3 over the period listed above and 2) Palo Alto’s total costs for animal control and shelter services.
4. PIN will retain all boarding and impound fees. Palo Alto will retain impound fees (in some situations), quarantine, dog licensing, penalty, and miscellaneous fees.
5. Any payments not received on or before the due date shall accrue interest between the due date and date of receipt. Interest shall be based on the prevailing rate of return earned by Palo Alto’s investments during that period.
6. In the event of early termination of this Agreement, in accordance with Section 2 of the Agreement, Palo Alto shall bill Agency a proportional amount of the quarterly payment that covers the quarter during which such termination is effective.
7. Any unforeseen changes in State requirements relating to the care and housing of animals shall be the fiscal responsibility of Agency once implemented by Palo Alto based on Agency’s animals handled.
SECTION 6: Indemnification and Hold Harmless
Agency expressly agrees to indemnify and hold harmless Palo Alto, its officers, agents, employees and servants from all demands, claims, liabilities, losses, charges, costs, or damages caused by or arising out of Agency’s negligent or willful misconduct in the performance of this Agreement.
Palo Alto expressly agrees to indemnify and hold harmless Agency, its officers, agents, employees and servants from all demands, claims, liabilities, losses, charges, costs, or damages caused by or arising out of Palo Alto’s negligent or willful misconduct in the performance of this Agreement.
SECTION 7: Notices
All notices shall be submitted, in writing, and sent by the United States Mail, certified and postage prepaid, by private express delivery service, by facsimile transmission followed by delivery of hard copy, or by any other process mutually acceptable to the parties to the addresses stated below or to any other address noticed in writing.
Palo Alto: City of Palo Alto
Director of Community Services
1305 Middlefield Road
Palo Alto, CA 94301
Agency: Town of Los Altos Hills
26379 Fremont Rd.
Los Altos Hills, CA 94022
SECTION 8: Miscellaneous
Item 8
Attachment B - Contract
between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
Item 8: Staff Report
Pg.
16 Packet Pg. 43 of 281
4 1. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any changes resulting in Program modifications shall be provided in writing by Palo Alto to Agency and must be agreed upon and accepted by Agency as soon as legislative bodies enact any new or modified regulations regarding animals, their care and housing.
2. Palo Alto shall not be deemed in default on account of any delay or failure to perform any obligations in accordance with Agency laws, the laws of the State of California, the Palo Alto Municipal Code, and the terms of this Agreement, which directly results from an Act of God, including, without limitation, the act of a superior legal authority or an occurrence of nature.
3. If a court of competent jurisdiction finds or rules that any provision of this Agreement is void or unenforceable, the unaffected provisions of this Agreement shall remain in effect.
4. The prevailing party in any action brought to enforce the terms of this Agreement may recover from the other party its reasonable costs and attorneys’ fees expended in connection with such an action.
IN WITNESS WHEREOF, the parties have executed this Agreement in Palo Alto, County of Santa Clara, California, on the date first above stated.
CITY OF PALO ALTO TOWN OF LOS ALTOS HILLS
City Manager Town Manager
ATTEST: ATTEST:
APPROVED AS TO FORM: APPROVED AS TO FORM:
___________________________ ___________________________ Deputy City Attorney City Attorney
ATTACHMENT: EXHIBIT “A” SCOPE OF SERVICES
Item 8
Attachment B - Contract
between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
Item 8: Staff Report
Pg.
17 Packet Pg. 44 of 281
5 EXHIBIT “A”
Scope of Services
Palo Alto shall provide animal control and sheltering services to Agency as set forth in this Exhibit and in compliance with all related applicable laws of the State of California.
Field Services will be provided seven (7) days a week as follows:
Field Services: 9 hours per day
Shelter Services: PIN’s business hours shall be a minimum of six (6) days per week and forty (40) hours per week. PIN shall post the public hours on its website, and inform Palo Alto and Contract Cities in writing of any change in hours. Shelter shall be closed on designated holidays.
SECTION 1: Agency Assist
Palo Alto Animal Control Officer (ACO) while on his/her regular duty shift will:
• Respond to reports of dangerous, aggressive, vicious, and/or attacking animals (domestic or wild).
• Rescue animals in immediate distress.
• Assist Agency staff in the active investigation of animal cruelty, abuse, or neglect incidents. Agency will be responsible for all criminal filings.
• Investigate reports of animal on animal attacks.
• Assist Agency by investigating all excess number of animal and leash law complaints.
If Agency takes enforcement action surrounding an animal violation, Agency may request assistance of ACO to impound animal(s) and provide appropriate care at PAAC during the administrative process.
Agency designates ACO as “Animal Control Officer” as defined in Los Altos Hills Municipal Code Title 6, Chapter 1 “Animals” (“Chapter 1”). ACO will serve as primary enforcement of Chapter 1 during Regular Hours and will respond according to availability and severity of the incident. Agency will provide enforcement during other times.
SECTION 2: Field Impound
• ACO will impound animals under special custody situations in accordance with PAAC’s Protective Custody Policy, which would include owner arrest, hospitalization, fire, etc. Agency staff will provide PAAC staff with owner information before the end of Agency staff shift if known to Agency staff.
Item 8
Attachment B - Contract
between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
Item 8: Staff Report
Pg.
18 Packet Pg. 45 of 281
6 • Confined, stray domestic animals (including those in rented PAAC/PIN humane traps) shall be picked up during regular hours from both citizens and the Agency.
SECTION 3: Stray Animals
• ACO will respond to reports of, and impound at large or confined, stray animals during regular hours when the owner is not present.
• ACO will pick up and dispose of reported dead stray animals during regular hours.
• Residents from Agency’s jurisdiction may bring stray animals to PIN during regular business hours. After hours, animals may be taken to the holding area at Palo Alto Police Department. The following day, ACO will pick up and transport to the shelter for care and housing.
• Stray animals located in Agency’s jurisdiction that are taken to the shelter shall be provided care and housing. A lost and found log will be maintained at shelter in an attempt to reunite animals with owners.
SECTION 4: Disposition of Stray or Surrendered Animals
• At the conclusion of any required holding period, stray or surrendered animals may either be placed for adoption or humanely euthanized at PAAC’s or PIN’s discretion. All animals placed for adoption shall be spayed or neutered, micro-chipped and vaccinated prior to placement.
SECTION 5: Surrenders
• Residents from Agency’s jurisdiction may surrender their animal(s) during regular business hours at PIN without an appointment. Residents must provide proof of residency and picture identification at the time of the surrender.
• PAAC provides disposal service for owned, dead animals for a service fee.
If owner requests animal to be picked up from their home, there will be an additional fee charged to the animal owner. This service is provided during regular business hours at PAAC and pursuant to the City of Palo Alto’s Municipal Fee Schedule
SECTION 6: Bites/Quarantine
Item 8
Attachment B - Contract
between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
Item 8: Staff Report
Pg.
19 Packet Pg. 46 of 281
7 ACO will investigate all animal bite to human incidents, and quarantine or rabies test the biting animal when required When a dog on human bite occurs during regular hours or is in progress, ACO will respond and direct the quarantine process per California Health and Safety Code 121575 et seq. ACO will provide a report documenting the quarantine, witness statements and the action of the animal. PAAC will provide the report to the Agency upon request. Agency will be responsible for all criminal filings. For after hour incidents that are not in progress, the Agency will take an initial report and provide PAAC with a copy of the report by the end of the shift.
• PAAC shall provide for the control of rabies through quarantine and testing consistent with the provisions of California Health and Safety Code 121575 et seq.
PAAC shall be responsible for filing the Annual report of Local Rabies Control Activities and Statement of Enforcement with the California State Department of Health Services.
• Animal bite on human incidents reported by medical personnel will be accepted and documented by an ACO. PAAC will notify Agency of relevant jurisdiction of the incident for evaluation of criminal filing.
• PIN shall provide one “actual” at cost rabies vaccination clinic in accordance with State law.
SECTION 7: Animal Licensing
• PAAC shall issue and maintain a dog licensing program for Agency including issuing Administrative Citations for licensing violations.
• Dog licenses will be processed at PAAC, by mail, and/or online. PAAC and PIN shall provide the licensing applications to residents.
• PAAC will mail reminder notices prior to the expiration of the dog license.
• Microchip implantation and information will be available at PIN for a fee and a database will be maintained.
SECTION 8: Veterinary Care
• Veterinary care for sick or injured stray animals will be provided.
• The City of Palo Alto shall oversee all animal health, hygiene, and nutritional needs of the animals under the care of PIN.
Item 8
Attachment B - Contract
between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
Item 8: Staff Report
Pg.
20 Packet Pg. 47 of 281
8 SECTION 9: Wildlife
• ACO will respond to and assess reports of sick, injured, or orphaned wildlife. If impound is necessary, PAAC may euthanize or request PIN arrange for the animals transport to the nearest wildlife rehab center.
• Nuisance wildlife calls will be referred to Santa Clara County Vector Control or to a private pest control company. No service provided by ACOs.
• ACO will assess and may respond to complaints of wildlife presenting a threat to human safety and take appropriate action. Agency will assist upon request from ACO.
• ACO will pick up dead wildlife on public streets/land weighing up to 50 pounds. For animals over 50 pounds, PAAC may contact a designated rendering company for removal. Removal of dead wildlife on private property should be referred to the designated rendering company and associated costs will be the responsibility of the resident
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between City of Palo Alto
and Town of Los Altos
Hills for Animal Care and
Control Services.
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City Council
Staff Report
From: City Manager
Report Type: Consent Item
Lead Department: Administrative Services
Meeting Date: May 6, 2024
Report #:2308-1959
TITLE
Approval of General Service Agreement Contract Number C24189229 with Xerox in an Amount Not to Exceed $382,165 to Lease Printing Equipment for the Print Shop for a Period of Three Years; CEQA Status: Not a Project
RECOMMENDATION
Staff recommends the City Council approve and authorize the City Manager or their designee to execute Contract No. C24189229 (Attachment A) with Xerox Corporation (Xerox) to lease printing equipment for the City’s Print Shop for a term of three (3) years and a total amount not -to-exceed $382,165, including $347,422 for basic services and $34,743 for additional services.
BACKGROUND
The Administrative Services Department’s printing operation provides printing services to all City departments. The Print Shop operation was approved by Council to remain in-house as of November 13th, 2023 (2310-21651). The Print Shop currently has two (2) printers, Xerox Model No. V180, which is capable of printing both color and black and white, and one (1) model N120, which is only black and white. The Xerox N120 is in almost constant use processing print jobs daily. Every week this printer produces the Council packets that may contain as many as 500 pages, Planning’s Architectural Review Board (ARB) and Human Resources Board (HRB) packets, which can average 200 pages for each packet, as well as thousands of notification postcards. It also supports all city departments printing large volumes of copies of forms using standard copy paper or specialized colored paper and multiple-part no carbon required (NCR) paper for documents that require carbon copies.
The color printer, Xerox V180 is also an important part of the Print Shop, it provides services to departments that mainly interact with the public. The Xerox V180 is routinely printing color copies, flyers, brochures, booklets, programs, manuals, and specialized print requests for the 1 City Council, 11/13/2023; https://portal.laserfiche.com/Portal/DocView.aspx?id=68640&repo=r- 704298fc&searchid=61267795-cf57-4e5e-aac8-ccf9b3862cb0
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Community Service Department and various departments at City Hall. The Print Shop has other smaller equipment that helps to support the printers such as the paper folders and paper cutter which are utilized to cut and fold printed paper to various sizes. For the larger print requests of packets and manuals, the Print Shop can offer a variety of finishes including 3-hole punch, comb, spiral binding, and fastback. This equipment ensures the Print Shop can fulfill most print requests.
ANALYSIS
The existing equipment in the Print Shop has reached its “end of life” cycle and has been discontinued by the manufacturer. Over the past nine years the black and white printer model N120 has printed 4,948,810 copies and the color printer model V180 has produced 2,242,575 copies. Finding replacement parts is challenging and results in downtime and new equipment is recommended to keep the Print Shop functioning efficiently.
The approval of this contract will replace the existing equipment. The new equipment model numbers will be VR280 (Versant 280 Press) this is a color printer which features larger paper tray capacity feeders, allowing production to print for a longer time without interruptions and the DPS120 (Nuvera 120 EA System) which will print in black and white, with a printing speed of 120 pages per minute. Both pieces of equipment will feature various finishing options, like collating, stapling, folding and hole punching, which will help decrease manual labor time and increase the turnaround time for certain print requests. The new equipment will significantly reduce the downtime currently associated with service calls.
Previously the Print Shop leased equipment from Xerox per contract S18170901 for $151,624 and contract S17166823 for $253,119 for a grand total of $404,744. The previous contracts were for three machines (two V180 and one N120). The new contract C24189229 for an annual cost of $127,388 ($382,165 for three years) is for leasing two machines (VR280 and DPS120).
The two new machines can cover the work of the three older machines due to having a higher capacity and can copy in both black and white and color. The basic annual lease is $93,213 and the remaining costs are based on per page printed and taxes. The per page cost ranges from $0.0085 to $0.0356. The printing costs were determined based on past printing volume. The City will save approximately $22,570 over three years between the previous and new lease contract.
Procurement Process
This contract was awarded utilizing the Sourcewell Cooperative Agreement Number 030321- XOX2 as authorized by the Palo Alto Municipal Code 2.30.360(j). The cooperative purchasing 2 Sourcewell Cooperative Agreement #030321-XOX; https://www.sourcewell-mn.gov/cooperative- purchasing/030321-XOX
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agreement contract was competitively solicitated and publicly awarded through the cooperating purchasing organization Sourcewell and the City is a member of the cooperative.
FISCAL/RESOURCE IMPACT
Funding for this contract is available in the FY 2024 Adopted Operating Budget of the Administrative Services Department in the Print and Mail Fund. Funding for future years of the contract is subject to City Council approval through the annual budget process. The Print and Mail Fund allocates expenses to departments proportionally to their use of services to offset the costs to provide these services. While the annual not-to-exceed amount is $382,165, the actual annual cost will vary depending on printing quantity, color versus black and white, and volume demand from various departments.
STAKEHOLDER ENGAGEMENT
City Departments participated in previous surveys/meetings to determine printing requirements. This study was done as part of an exploration of possibly outsourcing the City’s printing needs. The outcome was to retain in-house printing services.
ENVIRONMENTAL REVIEW
These services do not constitute a project for the purposes of the California Environmental Quality Act.
ATTACHMENTS
Attachment A: Contract with Xerox C24189229
APPROVED BY:
Kiely Nose, Assistant City Manager
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City of Palo Alto General Services Agreement 1 Rev. March 29, 2018
CITY OF PALO ALTO CONTRACT NO. C24189229
GENERAL SERVICES AGREEMENT
THIS AGREEMENT made and entered into on the 28th day of February, 2023, by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and XEROX CORPORATION, a New York corporation, located at 201 Merritt 7, Norwalk, Connecticut 06851 Telephone Number: (800) 822-2200 (“CONTRACTOR”). In consideration of their mutual covenants, the parties hereto agree as follows:
1. SERVICES. CONTRACTOR shall provide or furnish the services (the “Services”) described in the Scope of Services, attached at Exhibit A.
2. EXHIBITS. The following exhibits are attached to and made a part of this Agreement:
“A” - Scope of Services
“Attachment A” – Lease Equipment & Printing Rates
“A-1” – On-Call Task Order (Optional)
“B” - Schedule of Performance
“C” – Schedule of Fees
“D” - Insurance Requirements
CONTRACT IS NOT COMPLETE UNLESS ALL INDICATED EXHIBITS ARE ATTACHED.
3. TERM.
The term of this Agreement is from February 1st 2024 to January 31st 2027 inclusive, subject to the provisions of Sections R and W of the General Terms and Conditions. This contract is subject to the terms and conditions of the Sourcewell contract #030321 (“Sourcewell Contract”) which is incorporated into this agreement by its sole reference.
4. SCHEDULE OF PERFORMANCE. CONTRACTOR shall complete the Services within the term of this Agreement in a reasonably prompt and timely manner based upon the circumstances and direction communicated to CONTRACTOR, and if applicable, in accordance with the schedule set forth in the Schedule of Performance, attached at Exhibit B. Time is of the essence in this Agreement.
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5. COMPENSATION FOR ORIGINAL TERM. CITY shall pay and CONTRACTOR agrees to accept as not-to-exceed compensation for the full performance of the Services and reimbursable expenses, if any:
A sum calculated in accordance with the fee schedule set forth at Exhibit C, not to exceed a total leasing and printing Services compensation amount of Three Hundred Forty Seven Thousand Four Hundred Twenty Two Dollars ($347,422); including, Additional Services for a not to exceed total maximum compensation of Three Hundred Eighty Two Thousand One Hundred Sixty Four Dollars and Twenty Cents ($382,164.20).
CONTRACTOR agrees that it can perform the Services for an amount not to exceed the total maximum compensation set forth above. Any hours worked or services performed by CONTRACTOR for which payment would result in a total exceeding the maximum amount of compensation set forth above for performance of the Services shall be at no cost to CITY.
CITY has set aside the sum of Thirty Four Thousand Seven Hundred Forty Two Dollars and Twenty Cents ($34,742.20) for Additional Services.
CONTRACTOR shall provide Additional Services only by advanced, written authorization from the City Manager or designee. CONTRACTOR, at the CITY’s request, shall submit a detailed written proposal including a description of the scope of services, schedule, level of effort, and CONTRACTOR’s proposed maximum compensation, including
reimbursable expense, for such services. Compensation shall be based on the hourly rates set forth above or in Exhibit C (whichever is applicable), or if such rates are not applicable, a negotiated lump sum. CITY shall not authorize and CONTRACTOR shall not perform any Additional Services for which payment would exceed the amount set forth above for Additional Services. Payment for Additional Services is subject to all requirements and restrictions in this Agreement.
6. COMPENSATION DURING ADDITIONAL TERMS.
CONTRACTOR’S compensation rates for each additional term shall be the same as the original term
7. CLAIMS PROCEDURE FOR “9204 PUBLIC WORKS PROJECTS”. For purposes of this Section 7, a “9204 Public Works Project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. Public Contract Code Section 9204 mandates certain claims procedures for Public Works Projects, which are set DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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forth in “Appendix __ Claims for Public Contract Code Section 9204 Public Works Projects”.
This project is not a 9204 Public Works Project.
8. INVOICING. Send all invoices to CITY, Attention: Project Manager. The Project Manager is: Nichol Banks, Dept.: Administration Services, Revenue Division, Telephone: (650) 329-2125, Email: [email protected]. Invoices shall be submitted in arrears for Services performed. Invoices shall not be submitted more frequently than monthly. Invoices shall provide a detailed statement of Services performed during the invoice period and are subject to verification by CITY. CITY shall pay the undisputed amount of invoices within 30 days of receipt.
Should the CITY dispute an invoice, Xerox requires that the CITY provides CONTRACTOR written notice describing the item(s) and reason(s) you are disputing the invoice amount. CONTRACTOR agrees to work with the CITY to resolve the dispute, and will issue an adjustment invoice, as required. Pending the resolution of the dispute, the CITY is expected to pay all undisputed amounts, including the Minimum Lease Payment which is not subject to dispute at any time.
GENERAL TERMS AND CONDITIONS
A. ACCEPTANCE. CONTRACTOR accepts and agrees to all terms and conditions of this Agreement. This Agreement includes and is limited to the terms and conditions set forth in sections 1 through 8 above, these general terms and conditions and the attached exhibits.
B. QUALIFICATIONS. CONTRACTOR represents and warrants that it has the expertise and qualifications to complete the services described in Section 1 of this Agreement, entitled “SERVICES,” and that every individual charged with the performance of the services under this Agreement has sufficient skill and experience and is duly licensed or certified, to the extent such licensing or certification is required by law, to perform the Services. CITY expressly relies on CONTRACTOR’s representations regarding its skills, knowledge, and certifications.
CONTRACTOR shall perform all work in accordance with generally accepted business practices and performance standards of the industry, including all federal, state, and local operation and safety regulations.
C. INDEPENDENT CONTRACTOR. It is understood and agreed that in the performance of this Agreement, CONTRACTOR and any person employed by CONTRACTOR shall at all times be considered an independent CONTRACTOR and not an agent or employee of CITY. CONTRACTOR shall be responsible for employing or engaging all persons necessary to complete the work required under this Agreement.
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D. SUBCONTRACTORS. CONTRACTOR may not use subcontractors to perform any Services under this Agreement unless CONTRACTOR obtains prior written consent of CITY. CONTRACTOR shall be solely responsible for directing the work of approved subcontractors and for any compensation due to subcontractors.
E. TAXES AND CHARGES. CONTRACTOR shall be responsible for payment of all taxes, fees, contributions or charges applicable to the conduct of CONTRACTOR’s business. CITY is responsible for all applicable taxes, fees, or charges of any kind, (including interest and penalties) assessed by any governmental entity on the Agreement or the amounts payable under the Agreement (“Taxes”), which will be included in CONTRACTOR’s invoice, unless CITY provides proof of its tax exemption status.
F. COMPLIANCE WITH LAWS. CONTRACTOR shall in the performance of the Services comply with all applicable federal, state and local laws, ordinances, regulations, and orders.
G. PALO ALTO MINIMUM WAGE ORDINANCE. CONTRACTOR shall comply with all requirements of the Palo Alto Municipal Code Chapter 4.62 (Citywide Minimum Wage), as it may be amended from time to time. In particular, for any employee otherwise entitled to the State minimum wage, who performs at least two (2) hours of work in a calendar week within the geographic boundaries of the City, CONTRACTOR shall pay such employees no less than the minimum wage set forth in Palo Alto Municipal Code section 4.62.030 for each hour worked within the geographic boundaries of the City of Palo Alto. In addition, CONTRACTOR shall post notices regarding the Palo Alto Minimum Wage Ordinance in accordance with Palo Alto Municipal Code section 4.62.060.
H. DAMAGE TO PUBLIC OR PRIVATE PROPERTY. CONTRACTOR shall, at its sole expense, repair in kind, or as the City Manager or designee shall direct, any damage to public or private property that occurs in connection with CONTRACTOR’s performance of the Services. CITY may decline to approve and may withhold payment in whole or in part to such extent as may be necessary to protect CITY from loss because of defective work not remedied or other damage to the CITY occurring in connection with CONTRACTOR’s performance of the Services. CITY shall submit written documentation in support of such withholding upon CONTRACTOR’s request. When the grounds described above are removed, payment shall be made for amounts withheld because of them.
I. WARRANTIES. CONTRACTOR expressly warrants that all services provided under this Agreement shall be performed in a professional and workmanlike manner in accordance with generally accepted business practices and performance DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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standards of the industry and the requirements of this Agreement. CONTRACTOR expressly warrants that all materials, goods and equipment provided by CONTRACTOR under this Agreement shall be fit for the particular purpose intended, shall be free from defects, and shall conform to the requirements of this Agreement. CONTRACTOR agrees to promptly replace or correct any material or service not in compliance with these warranties, including incomplete, inaccurate, or defective material or service, at no further cost to CITY. The warranties set forth in this section shall be in effect for a period of one year from completion of the Services and shall survive the completion of the Services or termination of this Agreement.
J. MONITORING OF SERVICES. CITY may monitor the Services performed under this Agreement to determine whether CONTRACTOR’s work is completed in a satisfactory manner and complies with the provisions of this Agreement.
K. CITY’S PROPERTY. Any reports, information, data or other material (including copyright interests) developed, collected, assembled, prepared, or caused to be prepared under this Agreement will become the property of CITY without restriction or limitation upon their use and will not be made available to any individual or organization by CONTRACTOR or its subcontractors, if any, without the prior written approval of the City Manager.
L. AUDITS. CONTRACTOR agrees to permit CITY and its authorized representatives to audit, at any reasonable time during the term of this Agreement and for three (3) years from the date of final payment, CONTRACTOR’s records pertaining to matters covered by this Agreement. CONTRACTOR agrees to maintain accurate books and records in accordance with generally accepted accounting principles for at least three (3) following the terms of this Agreement. CONTRACTOR agrees, upon 10 business days written request to make available to the CITY financial and other records that are required to substantiate the Services and accurate billings under this Agreement. The terms “books and records” includes invoices or orders associated with this Agreement. This term does not include Contractor personnel information or other Contractor proprietary information.
M. NO IMPLIED WAIVER. No payment, partial payment, acceptance, or partial acceptance by CITY shall operate as a waiver on the part of CITY of any of its rights under this Agreement.
N. INSURANCE. CONTRACTOR, at its sole cost, shall purchase and maintain in full force during the term of this Agreement, the insurance coverage described at Exhibit D. Insurance must be provided by companies with a Best’s Key Rating of A- :VII or higher and which are otherwise acceptable to CITY’s Risk Manager. The Risk Manager must approve deductibles and self-insured retentions. In addition, all DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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policies, endorsements, certificates and/or binders are subject to approval by the Risk Manager as to form and content. CONTRACTOR shall obtain a policy endorsement naming the City of Palo Alto as an additional insured under any general liability or automobile policy. CONTRACTOR shall obtain an endorsement stating that the insurance is primary coverage and will not be canceled or materially reduced in coverage or limits until after providing 30 days prior written notice of the cancellation or modification to the Risk Manager. CONTRACTOR shall provide certificates of such policies or other evidence of coverage satisfactory to the Risk Manager, together with the required endorsements and evidence of payment of premiums, to CITY concurrently with the execution of this Agreement and shall throughout the term of this Agreement provide current certificates evidencing the required insurance coverages and endorsements to the Risk Manager. CONTRACTOR shall include all subcontractors as insured under its policies or shall obtain and provide to CITY separate certificates and endorsements for each subcontractor that meet all the requirements of this section. The procuring of such required policies of insurance shall not operate to limit CONTRACTOR’s liability or obligation to indemnify CITY under this Agreement.
O. HOLD HARMLESS. To the fullest extent permitted by law and without limitation by the provisions of section N relating to insurance, CONTRACTOR shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents from and against any and all demands, claims, injuries, losses, or liabilities of any nature, including death or injury to any person, property damage or any other loss and including without limitation all damages, penalties, fines and judgments, associated investigation and administrative expenses and defense costs, including, but not limited to reasonable attorney’s fees, courts costs and costs of alternative dispute resolution), arising out of, or resulting in any way from or in connection with the performance of this Agreement. CONTRACTOR’s obligations under this Section apply regardless of whether or not a liability is caused or contributed to by any negligent (passive or active) act or omission of CITY, except that CONTRACTOR shall not be obligated to indemnify for liability arising from the negligence or willful misconduct of CITY. The acceptance of the Services by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section survive the completion of the Services or termination of this Agreement. CONTRACTOR does not agree to indemnify the CITY due to any negligent or willful act on the part of the CITY, its officers, employees, volunteers, or agents, or the negligent or willful acts of any party other than a CONTRACTOR officer, employee, or agent.
P. NON-DISCRIMINATION. As set forth in Palo Alto Municipal Code section 2.30.510, CONTRACTOR certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person because of the race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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housing status, marital status, familial status, weight or height of such person.
CONTRACTOR acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment.
Q. WORKERS' COMPENSATION. CONTRACTOR, by executing this Agreement, certifies that it is aware of the provisions of the Labor Code of the State of Califor- nia which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that Code, and certifies that it will comply with such provisions, as applicable, before commencing and during the performance of the Services.
R. TERMINATION. The City Manager may terminate this Agreement without cause by giving ten (10) days’ prior written notice thereof to CONTRACTOR. Termination under this provision shall not apply to orders received and equipment installed prior to the effective date of termination. In the event the Agreement is terminated, individual lease placements will continue until their scheduled expiration date, and continue to be governed by, and be subject to, the terms and conditions of the individual lease Agreement and the Sourcewell Contract.
The CITY and CONTRACTOR hereby agree lease orders are based on a firm 36- month equipment installation commitment and cannot be terminated except for fiscal year funds non-appropriation or uncured Xerox default. Cancellation for any other reason will result in a charge equal to the sum of the remaining payments less unearned maintenance and supply charges discounted at 4% per annum. If CONTRACTOR fails to perform any of its material obligations under this Agreement in addition to all other remedies provided by law, the City Manager may terminate this Agreement immediately upon written notice of termination provided CONTRACTOR has failed to cure its shortfall within 30 days of receipt of the CITY’s written notice of default. The CITY can terminate the affected Services or Equipment without penalty if the performance failure is not corrected to the contracted specification. Upon receipt of such notice of termination, CONTRACTOR shall immediately discontinue performance. CITY shall pay CONTRACTOR for services satisfactorily performed up to the effective date of termination. If the termination is for uncured CONTRACTOR’s default, CITY may deduct from such payment the amount of actual damage, if any, sustained by CITY due to CONTRACTOR’s failure to perform its material obligations under this Agreement. Upon termination, CONTRACTOR shall immediately deliver to the City Manager any and all copies of studies, sketches, drawings, computations, and other material or products, whether or not completed, prepared by CONTRACTOR or given to CONTRACTOR, in connection with this Agreement. Such materials shall become the property of CITY.
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S. ASSIGNMENTS/CHANGES. This Agreement binds the parties and their successors and assigns to all covenants of this Agreement. This Agreement shall not be assigned or transferred without the prior written consent of CITY. No amendments, changes or variations of any kind are authorized without the written consent of CITY.
T. CONFLICT OF INTEREST. In accepting this Agreement, CONTRACTOR covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of this Agreement. CONTRACTOR further covenants that, in the performance of this Agreement, it will not employ any person having such an interest. CONTRACTOR certifies that no CITY officer, employee, or authorized representative has any financial interest in the business of CONTRACTOR and that no person associated with CONTRACTOR has any interest, direct or indirect, which could conflict with the faithful performance of this Agreement. CONTRACTOR agrees to advise CITY if any conflict arises.
U. GOVERNING LAW. This Agreement shall be governed and interpreted by the laws of the State of California.
V. ENTIRE AGREEMENT. This Agreement, including all exhibits, represents the entire agreement between the parties with respect to the services that may be the subject of this Agreement. Any variance in the exhibits does not affect the validity of the Agreement and the Agreement itself controls over any conflicting provisions in the exhibits. This Agreement supersedes all prior agreements, representations, statements, negotiations and undertakings whether oral or written. In the event of a conflict between the provisions in this Agreement, the parties agree the order of precedence shall be this Agreement, followed by the Sourcewell Contract.
W. NON-APPROPRIATION. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Agreement are no longer available. This Section shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement. In order to terminate the Agreement due to funding non-appropriation, CONTRACTOR requires that the CITY sends CONTRACTOR written notice, within 30-days of its governing body’s decision not to appropriate funds, stating that the CITY’s governing body failed to appropriate funds and that the governing body was unable to find an assignee within the CITY’s organization to continue the Agreement. The notice must certify that the canceled equipment is not being replaced by equipment performing similar DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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functions during the ensuing fiscal year and indicate that the decision to cancel the Agreement was not initiated by any individual involved in the Agreement’s management or execution. In addition, the CITY will be required to return the equipment to Xerox. The CITY will then be released from its obligation to make any further payments beyond those through the end of the last fiscal period for which funds have been appropriated.
X. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE
REQUIREMENTS. CONTRACTOR shall comply with CITY’s Environmentally Preferred Purchasing policies which are available at CITY’s Purchasing Division, which are incorporated by reference and may be amended from time to time.
CONTRACTOR shall comply with waste reduction, reuse, recycling and disposal requirements of CITY’s Zero Waste Program. Zero Waste best practices include first minimizing and reducing waste; second, reusing waste and third, recycling or composting waste. In particular, CONTRACTOR shall comply with the following zero waste requirements:
All printed materials provided by CONTRACTOR to CITY generated from a personal computer and printer including but not limited to, proposals, quotes, invoices, reports, and public education materials, shall be double- sided and printed on a minimum of 30% or greater post-consumer content paper, unless otherwise approved by CITY’s Project Manager. Any submitted materials printed by a professional printing company shall be a minimum of 30% or greater post-consumer material and printed with vegetable based inks.
Goods purchased by Contractor on behalf of CITY shall be purchased in accordance with CITY’s Environmental Purchasing Policy including, but not limited to, Extended Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Division’s office.
Reusable/returnable pallets shall be taken back by CONTRCATOR, at no additional cost to CITY, for reuse or recycling. CONTRACTOR shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed.
Y. AUTHORITY. The individual(s) executing this Agreement on behalf of the parties represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities.
Z. PREVAILING WAGES
This Project is not subject to prevailing wages. CONTRACTOR is not required to pay prevailing wages in the performance and implementation of the Project in accordance with SB 7, if the Agreement is not a public works contract, if Agreement does not include a public works construction project of more than DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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$25,000, or the Agreement does not include a public works alteration, demolition, repair, or maintenance (collectively, ‘improvement’) project of more than $15,000.
AA. DIR REGISTRATION. In regard to any public work construction, alteration, demolition, repair or maintenance work, CITY will not accept a bid proposal from or enter into this Agreement with CONTRACTOR without proof that CONTRACTOR and its listed subcontractors are registered with the California Department of Industrial Relations (“DIR”) to perform public work, subject to limited exceptions.
City requires CONTRACTOR and its listed subcontractors to comply with the requirements of SB 854.
CITY provides notice to CONTRACTOR of the requirements of California Labor Code section 1771.1(a), which reads:
“A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any contract for public work, as defined in this chapter, unless currently registered and qualified to perform public work pursuant to Section 1725.5. It is not a violation of this section for an unregistered contractor to submit a bid that is authorized by Section 7029.1 of the Business and Professions Code or Section 10164 or 20103.5 of the Public Contract Code, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the Agreement is awarded.”
CITY gives notice to CONTRACTOR and its listed subcontractors that CONTRACTOR is required to post all job site notices prescribed by law or regulation and CONTRACTOR is subject to SB 854-compliance monitoring and enforcement by DIR.
CITY requires CONTRACTOR and its listed subcontractors to comply with the requirements of Labor Code section 1776, including:
Keep accurate payroll records, showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by, respectively, CONTRACTOR and its listed subcontractors, in connection with the Project.
The payroll records shall be verified as true and correct and shall be certified and made available for inspection at all reasonable hours at the principal office of CONTRACTOR and its listed subcontractors, respectively.
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At the request of CITY, acting by its project manager, CONTRACTOR and its listed subcontractors shall make the certified payroll records available for inspection or furnished upon request to the project manager within ten (10) days of receipt of CITY’s request.
[For state- and federally-funded projects] CITY requests CONTRACTOR and its listed subcontractors to submit the certified payroll records to the project manager at the end of each week during the Project.
If the certified payroll records are not produced to the project manager within the 10-day period, then CONTRACTOR and its listed subcontractors shall be subject to a penalty of one hundred dollars ($100.00) per calendar day, or portion thereof, for each worker, and CITY shall withhold the sum total of penalties from the progress payment(s) then due and payable to CONTRACTOR.
Inform the project manager of the location of CONTRACTOR’s and its listed subcontractors’ payroll records (street address, city and county) at the commencement of the Project, and also provide notice to the project manager within five (5) business days of any change of location of those payroll records.
BB. CONTRACT TERMS. All unchecked boxes do not apply to this Agreement. In the case of any conflict between the terms of this Agreement and the exhibits hereto or CONTRACTOR’s proposal (if any), the Agreement shall control. In the case of any conflict between the exhibits hereto and CONTRACTOR’s proposal, the exhibits shall control.
IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement on the date first above written.
CITY OF PALO ALTO XEROX CORPORATION
Officer 1
_______________________________ By________________________________________ City Manager
Name_______________________________
Title_______________________________________
Telephone: _______________________________
Officer 2
By_________________________________
Approved as to form:
Name _____________________________________
Title_______________________________________
_______________________________ Telephone: _______________________________ City Attorney or Designee
DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Chaley Henderson
952-806-6160
Finance Director
714262-8854
Michelle Yoshino
Xerox General Manager
Item 9
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EXHIBIT A
SCOPE OF SERVICES
PRINTING AND EQUIPMENT SERVICES
The CITY will trade in previously leased older model equipment to CONTRACTOR. The CONTRACTOR will lease to the CITY on three (3) pieces of equipment for delivery and set up. The VR280 (versant 280 press), VR280STND (ex standalone ps) and DPS120 (nuvera 120EA system) models are for printing equipment along with furnishing supplies and maintenance services are performing at:
High quality, high performance;
Reliable service, very little downtime;
applicable network printing options.
CONTRACTOR will lease printing equipment to include maintenance services and supplies for a thirty (36) month term of the following equipment and printing services:
DPS120 (Nuvera 120 EA System) Equipment No. 1 model creates Black and White Impression Specifications:
Dual Basic finishing model
Feed Module 4 Tray
Imposition License
Image Quality Pack
Disk Overwrite
Productivity Pack
Postscript & P
Xerox Performance Publisher Advanced Document Toolkit Customer Education
Analyst Services
VR280 (Versant 280 Press) Equipment No. 2 model creates Colored Impression Specifications:
- Advanced Oversized High Capacity Feeder
- Crease/2 Side Trimmer
- Envelope Supply Kit
- Book maker/ Inline Spectrum
- Professional Book Maker Finisher
- Square Fold Trimmer
- Top Tray Aligner
- USB Enablement Kit
- Production Ready Interposer
- Production Ready 2/3 Punch
- Extra Large Sheet Feeder Support Kit
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VR280STND (EX Standalone PS) Equipment model creates Advance Colored Impression Specifications:
- Color Profiler Suite
- Compose With Lac
- Advanced Faci Kit
- Efi Performance Package
- Customer Education
- Analyst Services
All of the above are the software components for the printing system
Maintenance & Service Requirements
CONTRACTOR leasing printing equipment services responses shall include but not limited to the following:
Click charge needs to include service, repairs, parts, labor, and IT support. Response to service requests within 1 hour
Maintenance/repair calls must be performed within twenty-four (24) hours of request for service.
The maximum allowable downtime for any one piece of equipment is forty-eight (48) hours.
CONTRACTOR assumes all responsibility for hardware performance due to service parts and components.
Contractor will assume responsibility for disposal of and recycling of all service parts.
CONTRACTOR will supply CITY with a call completion notification in electronic format.
A “loaner” machine must be placed in the building for any equipment that cannot be repaired and restored to normal operating service within five (5) days. New equipment training within 2 days of install.
Excluded from the requirements are delays resulting from acts of nature, accidents, or extreme weather conditions.
The CITY requires help desk support for all CITY staff users on all multifunction peripheral (MFP) to specifically:
o Provide a single point of contact for CITY staff;
o Unlimited phone support on all initial service calls during normal business hours.
o Unlimited network support during normal business hours, 8:00 A.M. to 4:30 P.M. Monday through Friday, with exception of statutory holidays. o Unlimited on-site training.
Printer Removal, Delivery, Set-up and Acceptance:
CONTRACTOR’s leasing printer equipment removal, delivery and set up will be inclusive to CITY location. Basic installation is to include initial operating supplies (except paper).
A pre-delivery walkthrough of each site and equipment location will be coordinated with DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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the CITY to ensure access and power requirements are acceptable. An operator’s manual is to be delivered with each machine.
Equipment and Supply Maintenance Requirements:
CONTRACTOR equipment maintenance standard will consist of but not limited to the following:
Consumable supplies must meet original equipment manufacturers specifications. CONTRACTOR assumes all responsibility for hardware performance due to consumable supplies i.e. Xerox supplies, toner, waste containers and drum cartridges. (CITY is responsible for replenishing paper supply) Covers all network printers included in contract.
CONTRACTOR retains ownership of all consumable inventory. CONTRACTOR to be responsible for all toner, fix/repair, maintenance and/or replacement of all output devices.
Hardware must meet specifications and minimum uptime requirements. Preventative Maintenance Schedules planned and completed according to manufacturers’ recommended service schedules.
Exclusive utilization of Original Equipment Manufacturer (OEM) parts and supplies for replacements.
Various Printing Services (As Needed)
During operational use of the leased equipment no. 1 through 3, the CITY will process various printing(s) as needed. The CITY will allocate a not to exceed budget in the amount of $67,780.12 set forth in Section 5, compensation for the original term of Agreement to cover all printing cost reference in “Attachment A – Lease Equipment & Printing Rates”.
DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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ATTACHMENT A
LEASE EQUIPMENT & PRINTING RATES
EQUIPMENT NO. 1:
Product Description
Item
Agreement Information Trade Information Requested
Install Date
1. DPS120 (NUVERA 120 EA
SYSTEM)
- Xerox 120 DPS S/N
TB7004179
Trade-In as of Payment 87
- Dual Basic Fin Mod
- Feed Module 4 Tray
- Imposition License
- Image Quality Pack
- Disk Overwrite
- Productivity Pack
- Postscript & Ppml Sw
- Xpp Adv Doc Toolkit
- Customer Ed
- Analyst Services
Lease Term: Purchase
Option:
36 months
FMV
3/29/2024
Item Lease
Minimum
Payment
Print Charges
Meter Volume Band Per Print
Rate
Maintenance Plan Features
1. DPS120 $3,997.45 1: Black and
White
Impressions
All Prints $0.0039 - Consumable Supplies Included for all prints
- Pricing Fixed for Term
Total $3,997.45 Minimum Payments (Excluding Applicable Taxes)
EQUIPMENT NO. 2 & 3:
Product Description
Item
Term Information Trade Information Requeste
d Install
Date
1. VR280 (VERSANT 280 PRESS)
- Xerox V180 PERF
S/N 1AB190284
Trade-In as of Payment 75
- Advanced Ohcf
- Crease/2 Side Trmr
- Envelope Sup Kit
- IdmW/ Inline Spectr
- Pr Book Mkr Fin
- Sq Fold Trimmer
- Top Tray Aligner
- Usb Enablement Kit
- Prd Rdy Interposer
- Prd Rdy 2/3 Punch
- Xls Support Kit
Lease Term: Purchase
Option:
36 months
FMV
3/29/2024
Monthly Pricing
DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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2. VR280STND (EX STANDALONE
PS)
- Xerox V180FFPS
S/N 4BP809287
Trade-In as of Payment 75 - Color Profiler Suite
- Compose With Lac
- Advanced Faci Kit
- Efi Permformance Pkg
- Customer Ed
- Analyst Services
Lease Term: Purchase
Option:
36 months
FMV
3/29/2024
Item Lease
Minimum
Payment
Meter
Print Charges
Volume Band
Per Print Rate
Maintenance Plan
Features
1. VR280 $2,681.62 1: Color
Impressions
All Prints $0.0356 - Consumable Supplies Included for all prints
- Pricing Fixed for Term
2: Black and
White
Impressions
All Prints $0.0085
3: Color Large
Impressions
All Prints $0.0030
4: Extra Long
Impressions
All Prints $0.0356
2. VR280STND $1,088.76 N/A N/A N/A - Full Service Maintenance Included
Total $3,770.38 Minimum Payments (Excluding Applicable Taxes)
Monthly Pricing
DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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EXHIBIT “A-1”
GENERAL SERVICES TASK ORDER
Contractor hereby agrees to perform the work detailed below in accordance with all the terms and conditions of the Agreement referenced in Item 1A below. All exhibits referenced in Item 8 are incorporated into the Agreement by this reference. The Contractor shall furnish the necessary facilities, professional, technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. ISSUE DATE
Purchase Requisition No.
1A. MASTER AGREEMENT NUMBER
1B. TASK ORDER NO.
2. CONTRACTOR
3. PERIOD OF PERFORMANCE: START: COMPLETION:
4 TOTAL TASK ORDER PRICE: $__________________
BALANCEREMAINING IN MASTER AGREEMENT $__________________________________
5. BUDGET CODE: _______________
COST CENTER_________________ COST ELEMENT______________ WBS/CIP___PHASE___
6. CITYPROJECTMANAGER’SNAME/DEPARTMENT_____________________________________
7. DESCRIPTION OF SCOPE OF SERVICES
MUST INCLUDE:
WORK TO BE PERFORMED
SCHEDULE OF WORK
BASIS FOR PAYMENT & FEE SCHEDULE
DELIVERABLES
REIMBURSABLES (with “not to exceed” cost)
8. ATTACHMENTS: A: Scope of Services B: __________________________________ ---------------------------------------------------------------------------------------------------------------------------------
I hereby authorize the performance of I hereby acknowledge receipt and acceptance the work described above in this Task Order. of this Task Order and warrant that I have authority to sign on behalf of Contractor.
APPROVED: APPROVED:
CITY OF PALO ALTO COMPANY NAME: ______________________
BY:__________________________________ BY:____________________________________ Name ________________________________ Name __________________________________ Title_________________________________ Title___________________________________ Date _________________________________ Date ___________________________________
DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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EXHIBIT B
SCHEDULE OF PERFORMANCE
CONTRACTOR shall perform the Services so as to complete each task within the time period specified below. The time to complete each task may be increased or decreased by mutual written agreement of the project managers for CONTRACTOR and CITY so long as all work is completed within the term of the Agreement. Upon request CONTRACTOR shall provide a detailed schedule of work consistent with the schedule below.
Task: Equipment & Services
Completion
Dates (as specified below)
from NTP
1. DPS120 (Nuvera 120 EA Systems) Leasing
and Printing Service – Year 1 of 3
January 31, 2025
2. VR280 (Versant 280 Press) Leasing Printing
Service – Year 1 of 3
January 31, 2025
3. VR280STND Full Maintenance Service –
Year 1 of 3
January 31, 2025
4. DPS120 (Nuvera 120 EA Systems) Leasing
and Printing Service – Year 2 of 3
January 31, 2026
5. VR280 (Versant 280 Press) Leasing Printing
Service – Year 2 of 3
January 31, 2026
6. VR280STND Full Maintenance Service –
Year 2 of 3
January 31, 2026
7. DPS120 (Nuvera 120 EA Systems) Leasing
and Printing Service – Year 3 of 3
January 31, 2027
8. VR280 (Versant 280 Press) Leasing Printing
Service – Year 3 of 3
January 31, 2027
9. VR280STND Full Maintenance Service –
Year 3 of 3
January 31, 2027
DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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EXHIBIT C
SCHEDULE OF FEES
Compensation based upon fee schedule
CITY shall pay CONTRACTOR according to the following rate schedule. The maximum amount of compensation to be paid to CONTRACTOR, including both payment for services and reimbursable expenses, shall not exceed the amounts set forth in Sections 5 and 6 of the Agreement. Any services provided or hours worked for which payment would result in a total exceeding the maximum amount of compensation set forth herein shall be at no cost to CITY.
BUDGET SCHEDULE
TASK: MONTHLY EQUIPMENT LEASE & SERVICES NOT TO EXCEED ANNUAL AMOUNT
Task 1 (Year 1 of 3)
(DPS120 [Nuvera 120 EA Systems] Leasing and Printing Service)
$47,969.40
Task 2 (Year 1 of 3)
(VR280 [Versant 280 Press] Leasing Printing Service)
$32,179.44
Task 3 (Year 1 of 3)
(VR280STND Leasing & Full Maintenance Service – Year 1 of 3)
$13,065.12
Task 4 (Year 2 of 3)
(DPS120 [Nuvera 120 EA Systems] Leasing and Printing Service)
$47,969.40
Task 5 (Year 2 of 3)
(VR280 [Versant 280 Press] Leasing Printing Service – Year 2 of 3)
$32,179.44
Task 6 (Year 2 of 3)
(VR280STND Leasing & Full Maintenance Service)
$13,065.12
Task 7 (Year 3 of 3)
(DPS120 [Nuvera 120 EA Systems] Leasing and Printing Service)
$47,969.40
Task 8 (Year 3 of 3)
(VR280 [Versant 280 Press] Leasing Printing Service – Year 3 of 3)
$32,179.44
Task 9 (Year 3 of 3)
(VR280STND Leasing & Full Maintenance Service)
$13,065.12
Sub-total for Leasing Cost $279,641.88
Printing Service Budget for Years 1 thru 3 (As needed) $67,780.12 Reimbursable Expenses (if any) $0
Total for Lease, Printing Services and Reimbursable Expenses $347,422 Additional Services (if any, per Section 4) $34,742.20
Maximum Total Compensation $382,164.20
DocuSign Envelope ID: D9306DF5-DC46-4587-8E01-1F5BFDFECC37 Item 9
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EXHIBIT D
INSURANCE REQUIREMENTS
CONTRACTORS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM
OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, AFFORDED BY COMPANIES WITH AM BEST’S KEY RATING OF A-:VII, OR
HIGHER, LICENSED OR AUTHORIZED TO TRANSACT INSURANCE BUSINESS IN THE STATE OF CALIFORNIA.
AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS, AS SPECIFIED, BELOW:
REQUIRED TYPE OF COVERAGE REQUIREMENT
MINIMUM LIMITS
EACH
OCCURRENCE AGGREGATE
YES
YES
WORKER’S COMPENSATION
EMPLOYER’S LIABILITY
STATUTORY
STATUTORY
YES
GENERAL LIABILITY, INCLUDING
PERSONAL INJURY, BROAD FORM
PROPERTY DAMAGE BLANKET
CONTRACTUAL, AND FIRE LEGAL
LIABILITY
BODILY INJURY
PROPERTY DAMAGE
BODILY INJURY & PROPERTY
DAMAGE COMBINED.
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
YES AUTOMOBILE LIABILITY,
INCLUDING ALL OWNED, HIRED,
NON-OWNED
BODILY INJURY
- EACH PERSON
- EACH OCCURRENCE
PROPERTY DAMAGE
BODILY INJURY AND PROPERTY
DAMAGE, COMBINED
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
$1,000,000
NO
PROFESSIONAL LIABILITY,
INCLUDING, ERRORS AND
OMISSIONS, MALPRACTICE (WHEN
APPLICABLE), AND NEGLIGENT
PERFORMANCE
ALL DAMAGES $1,000,000
YES THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED: CONTRACTOR, AT
ITS SOLE COST AND EXPENSE, SHALL OBTAIN AND MAINTAIN, IN FULL FORCE AND
EFFECT THROUGHOUT THE ENTIRE TERM OF ANY RESULTANT AGREEMENT, THE
INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY CONTRACTOR AND ITS SUBCONSULTANTS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS’ COMPENSATION, EMPLOYER’S LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSUREDS CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES.
I. INSURANCE COVERAGE MUST INCLUDE:
A CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONTRACTOR’S AGREEMENT TO INDEMNIFY CITY.
II. CONTACTOR MUST SUBMIT CERTIFICATES(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE.
III. ENDORSEMENT PROVISIONS, WITH RESPECT TO THE INSURANCE AFFORDED TO “ADDITIONAL INSUREDS”
A. PRIMARY COVERAGE
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WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED,
INSURANCE AS AFFORDED BY THIS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR
CONTRIBUTING WITH ANY OTHER INSURANCE CARRIED BY OR FOR THE BENEFIT OF THE ADDITIONAL INSUREDS.
B. CROSS LIABILITY
THE NAMING OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSUREDS UNDER THE
POLICY SHALL NOT, FOR THAT REASON ALONE, EXTINGUISH ANY RIGHTS OF THE INSURED
AGAINST ANOTHER, BUT THIS ENDORSEMENT, AND THE NAMING OF MULTIPLE INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY.
C. NOTICE OF CANCELLATION
1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY
REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A THIRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION.
2. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR THE NON-
PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION.
NOTICES SHALL BE EMAILED TO: [email protected]
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City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: Public Works
Meeting Date: May 6, 2024
Report #:2404-2892
TITLE
Adoption of a Resolution to Extend the Interim Parklet Program to July 31, 2024; CEQA Status - Categorically Exempt (Sections 15301 and 15304(e))
RECOMMENDATION
Staff recommends that Council adopt the attached resolution to extend the interim parklet program to July 31, 2024 (from March 31, 2024). This resolution should have been included with the March 11, 2024 Council consent item extending the program, but was inadvertently left out.
BACKGROUND/ANALYSIS
On March 11, 2024, the City Council adopted an ordinance extending the interim parklet program to July 31, 2024 (from March 31, 2024).1 The attached resolution was inadvertently not included with its sibling ordinance on the consent item on March 11.
The attached resolution and the ordinance adopted on March 11 work together to implement the interim parklet program and should have been presented together as has been done in the past. The resolution defines specific operating parameters of the program and directs City staff to make and enforce regulations.
This resolution was last adopted in March 2023 and does not make any changes except to extend its validity to July 31, 2024. 2 This resolution also does not propose any new changes to the interim parklet program as compared to the staff report from March 11, 2024.
FISCAL/RESOURCE IMPACT
There are no resource impacts associated with the adoption of this resolution. 1 The City Council approved the ordinance 7-0 on March 11, 2024 on its consent calendar and 7-0 on second reading on April 1, 2024. The staff report and full item packet can be found at Consent Item 10 on the March 11, 2024 City Council agenda: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=13513 2 The most recent version of this resolution is Resolution 10106, found here:
https://portal.laserfiche.com/Portal/DocView.aspx?id=66137&repo=r-704298fc Item 10
Item 10 Staff Report
Item 10: Staff Report
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ENVIRONMENTAL REVIEW
Adoption of this resolution is categorically exempt from CEQA under CEQA Guidelines Sections 15301 (existing facilities) and 15304(e) (minor temporary use of land having negligible or no permanent effects on the environment).
ATTACHMENTS
Attachment A: Resolution Continuing the Interim Parklet Program APPROVED BY:
Brad Eggleston, Director Public Works/City Engineer
Item 10
Item 10 Staff Report
Item 10: Staff Report
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108_20240417_ts24 1
Resolution No. _____
Resolution of the Council of the City of Palo Alto Continuing the Pilot Parklet Demonstration Program as Continued by Resolution 10106
R E C I T A L S
A. On June 23, 2020, the City Council adopted Resolution 9909 in response to COVID-19 and its effects on local businesses. Resolution 9909 created a Pilot Parklet Demonstration Program and also permitted the City Manager to temporarily close certain streets. At that time and since then, county and state regulations related to COVID -19 have limited or curtailed many indoor activities, including dining, bars, retail, and other recreational uses.
B. On June 7, 2021, the City Council adopted Resolution 9962, which amended and restated Resolution 9909 on a non -emergency basis (among other changes).
C. On October 18, 2021, the City Council adopted Resolution 9992, which amended and restated Resolution 9962 to continue the pilot program until June 30, 2022.
D. On May 9, 2022, the City Council adopted Resolution 10036, which amended and restated Resolution 9962 to continue the pilot program until December 31, 2022.
E. On October 24, 2022 the City Council adopted Resolution 10081, which amended and restated Resolution 10036 to continue the pilot program until June 30, 2023.
F. On May 8, 2023, t he City Council adopted Resolution 10106, which amended and restated Resolution 10081 to continue pilot program through March 31, 2024.
G. The City Council now desires to continue the pilot program through July 31, 2024.
H. This Resolution, like its predecessors, implements a temporary parklet program authorized by Ordinance 5526 and its successor ordinances.
NOW THEREFORE THE CITY COUNCIL OF THE CITY OF PALO ALTO RESOLVES AS FOLLOWS:
Item 10
Attachment A -
Resolution Continuing the
Interim Parklet Program
Item 10: Staff Report
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108_20240417_ts24 2
SECTION 1. Findings and Declarations . The Council hereby adopts the above Recitals as findings of the Council.
SECTION 2. Pilot Parklet Program and Design Requirements . The City Council hereby approves the temporary use of on-street parking spaces in Palo Alto for parklets under the Pilot Parklet Demonstration Program as first described Resolution 9909 and continued by its successor resolutions.
A. The Director of Public Works /City Engineer , or his or her designee (the “Director”), is delegated the authority to exercise their discretion to approve specific parklet locations, plans, designs, materials, and standards, and amendments thereto . The plans and designs shall be signed by the Director. Any existing parklet locations, plans, designs, materials, standards, and amendments to the Parklet Standards and Requirements approved by the Director under the authority of Resolution 9909 and/or its successors shall remain valid under the authority of this Resolution unless otherwise amended, rescinded, or modified in any other way.
B. The Director is authorized to issue implementing guidelines and regulations for the Pilot Parklet Demonstration Program, and to approve amendments to the Parklet Standards and Requirements as the Director in his or her discretion deems necessary and proper. Any existing guidelines, regulations, or amendments issued by the Director under the authority of Resolution 9909 and/or its successors shall remain valid under the authority of this Resolution unless otherwise amended, rescinded, or modified in any other way.
C. A valid encroachment permit issued under Palo Alto Municipal Code Section 12.12.010 is required to operate a parklet under this Program. The Director may approve a parklet application through issuance of an Encroachment Permit , subject to the general regulations in Palo Alto Municipal Code Section 12.12.010 and the following criteria and procedures:
1. Use. Parklets shall be restricted to outdoor eating areas of eating establishments.
2. Application and Review. A complete application for a parklet encroachment permit shall be reviewed by City staff for a determination as to whether such application complies with the Parklet Standards and Requirements. The application shall include all information necessary for a determination on the application including, but not limited to a certificate of insurance and a hold Item 10
Attachment A -
Resolution Continuing the
Interim Parklet Program
Item 10: Staff Report
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108_20240417_ts24 3
harmless and indemnity agreement in favor of the C ity shall be submitted in accordance with the provisions of Palo Alto Municipal Code Section 12.08.120. The Director shall grant or deny the application.
3. Conditions. Conditions of approval may be imposed on parklet encroachment permits to maintain the public health, safety and welfare.
4. Revocation. The Director may revoke a parklet encroachment permit if he or she determines that the conditions of the permit, the provisions of this Resolution, or any applicable regulation, ordinance, or provision of the Municipal Code are being violated, or if the municipal use of the area is required for reasons of public health, safety, welfare or convenience. The permittee shall be notified of an intent to revoke the permit and shall be entitled to a hearing before the Director whose decision shall be final.
5. Existing Permits. Any parklet encroachment permit issued under the authority of Resolution 9909 and/or its successors shall remain valid under the authority of this Resolution unless such a permit is otherwise amended, revoked, or modified in any other way.
SECTION 3. Rules and Regulations . In addition to the authority given to the Director of Public Works and his or her designee in Section 2 of this Resolution, the City Manager is authorized to enact any rule or regulation or implementing guidelines to effectuate and implement this Resolution.
SECTION 4. Compliance with Other Regulations, Orders and Approvals . The uses of public and private property allowed in this Resolution shall be conducted in compliance with any applicable state or county mandate (including executive orders and health orders), and all other local, county, and state regulations, orders, and approvals, as applicable (collectively, “Applicable Law”). Any approval, allowance or permit to conduct such temporary outdoor use(s) shall be subject to revocation by the issuing City official if the use is conducted in violation of Applicable Law, or poses a threat to public health, safety or welfare.
SECTION 5. No Vested Rights . The uses allowed in this Resolution are temporary and shall be terminated upon the earlier of the date stated in the applicable permit/approval or the expiration of this Resolution, unless earlier revoked by the City Manager or other authorized official (or their designee) or terminated by action of the City Council. The City may discontinue one or more, or all, of the allowed uses at any time if the City Manager or designee determines that the public health, safety or welfare warrant such action. Nothing in this Resolution shall establish a vested right.
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SECTION 6. The Council finds that this Resolution is categorically exempt from CEQA under CEQA Guidelines Sections 15301 (existing facilities) and 15304(e) (minor temporary use of land having negligible or no permanent effects on the environment).
SECTION 7. This Resolution supersedes Resolution 10106. Any conflict between this Resolution and Resolution 10106 shall be resolved in favor of this Resolution.
SECTION 8. This Resolution shall become effective immediately upon approval and shall remain in effect until July 31, 202 4 unless otherwise modified, repealed or extended by the City Council.
INTRODUCED AND PASSED:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
ATTEST:
__________________________ _____________________________ City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
__________________________ _____________________________ Assistant City Attorney City Manager
_____________________________
Director of Public Works
_____________________________
Director of Planning and
Development Services
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City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: Planning and Development Services
Meeting Date: May 6, 2024
Report #:2404-2874
TITLE
LEGISLATIVE: Adoption of an Ordinance Updating Chapter 18.15 (Density Bonus) of Title 18 (Zoning) to Reflect Recent Changes in State Density Bonus Law and Revising Regulations for Provision of On-Site Affordable Rental Units Under the City’s Inclusionary Housing Ordinance; Recommended by the Planning and Transportation Commission March 13, 2024. CEQA Status:
Exempt under CEQA Guidelines Section 15061(b)(3).
RECOMMENDATION
Staff recommends the City Council adopt the attached ordinance (Attachment A) updating Palo Alto’s Density Bonus regulations in accordance with recent changes in state law and revising regulations regarding the provision of on-site affordable rental units.
BACKGROUND
Chapter 18.15 of the Palo Alto Municipal Code outlines the City’s Residential Density Bonus program. This Chapter was enacted to comply with the state density bonus law, California Government Code Section 65915. California’s density bonus law requires local governments to provide housing developers with density bonuses and other concessions or incentives when the developers agree to provide a certain percentage of affordable housing. This state law requires compliance by local governments, even in the absence of local ordinances providing state mandated bonuses, concessions, or incentives. A local ordinance, however, can provide clarity to developers and the public regarding the interaction of state density bonus law with other aspects of local zoning regulations.
Palo Alto first adopted its Density Bonus ordinance (PAMC Chapter 18.15) in 2014. Since that time, the City has periodically updated the code in response to changes in state law, most recently in 2021. Since that time, a variety of bills have made minor changes to state law, including SB 728 (2021), and AB 2334 (2022). More recently, AB 323 (2023) made a major revision, adding an “additional” density bonus that allows a developer to achieve up to a 100% density bonus over the base provided in Title 18 or the Comprehensive Plan.
In 2017, the City also recodified and updated its inclusionary housing ordinance in PAMC Item 11
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Chapter 16.65. In accordance with that effort, the City Council also set housing impact fees, housing in-lieu fees, and defined the on-site affordability alternative for rental housing projects (Ordinance No. 5409). Although the on-site affordability option has not been used in years past, as rental housing developers could simply pay an impact fee, it is likely to become more relevant as developers seek to utilize state density bonus law, which requires provision of on- site affordable units.
Planning and Transportation Commission Review
On March 13, 2024, the Planning and Transportation Commission recommended, on a 7-0 vote, that the City Council adopt the proposed ordinance with minor edits, including: (1) Delete the menu of concessions, (2) Include the clarification or change to affordable housing requirement that it be low income in Section 3 of the ordinance, and (3) correction of typos and clarification of non-substantive issues. Links to the staff report and video are provided below.1 Commission correspondence is published on the PTC webpage.2 There was one public speaker to the item, who mentioned a specific pending project which was not on the agenda.
This item implements Program 3.8 of the City’s adopted 2023-2031 Housing Element, which directs staff to ensure that the zoning code remains consistent with state law. As an action implementing prior Council direction, adoption of this ordinance has been placed on the consent calendar.
ANALYSIS
Regardless of whether the City acts to amend its ordinances, the changes to state law will dictate the City’s actions when reviewing a state density bonus project. The state law is written to supersede any conflicting local ordinances. Amending the City’s Zoning Code will provide clarity to the public about the current laws applicable in the City. The following are changes made to Chapter 18.15, Density Bonus:
1. Applicability. These amendments clarify that projects in a Planned Community Zone or subject to a development agreement are not eligible for density bonus and that the use of state density bonus law might render a project ineligible for local incentives like the Housing Incentive Program (HIP) or the recently adopted El Camino Focus Area standards. 1 Link to PTC report: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/agendas- minutes/planning-and-transportation-commission/2024/ptc-3.13-density-bonus.pdf Link to video of March 13, 2024 PTC meeting: https://midpenmedia.org/planning-and-transportation-commission- 2-3132024/
2 Link to staff correspondence with PTC members: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas- minutes-reports/agendas-minutes/planning-and-transportation-commission/2024/ptc-3.13-commission- communications.pdf
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2. Definitions. These amendments are primarily to include new and amended definitions in state law. Most notable among these is the updated definition of “base density” or “maximum allowable residential density,” which now provides explicit direction on how to apply density bonus to zones that do not provide a maximum number of dwelling units per acre. In the past, Palo Alto had very few areas that did not regulate maximum du/acre, but rezonings under the 2023-2031 Housing Element have increased the number of sites where this may apply.
In addition, following the PTC review, staff‘s attention was drawn to an outdated requirement in the City’s ordinance with respect to qualifying development. The existing definition of “development” requires that a project provide five or more “additional” or net-new units. The current requirement in state law is simply that a project include “five or more residential units.” A net increase in units is only expressly required when the project is the substantial rehabilitation of an existing multifamily dwelling. Accordingly, the proposed ordinance removes the requirement for project to provide additional units, except in the limited circumstance specified in state law.
3. Size of bonus and number of concessions. The ordinance includes minor adjustments regarding the amount of density bonus and number of concessions granted in certain situations, in accordance with changes in state law.
4. Additional density bonus. The ordinance adds provisions regarding the “additional density bonus” authorized by AB 323.
5. Updated provision on incentives and concessions. Updated regulations on the use of incentives and concessions and, in accordance with the PTC recommendation, deleted the pre- approved “menu” of incentives and concessions. This menu was not used by developers.
Recent caselaw on density bonus has also led developers to utilize incentives, concessions, and waiver much more aggressively, such that they are unlikely to consult a menu of pre-approved options.
In addition to updates to Chapter 18.15, the ordinance also amends the City’s on-site alternative for rental housing projects. These requirements are not codified. Potentially as a result of error, the regulations adopted by the Council in 2017 are too permissive, as they allow a rental housing developer to provide 15% of units at rates affordable to moderate income households. Recent experience has shown that this level of affordability can be fairly close to market rate in some situations. Staff proposes to revise this requirement to be 15% of units at rates affordable to lower income households, which is more typical. This update also includes an option for developers to provide units affordable to very low income households, drawing from the ratios used in state density bonus law. Following the PTC review, staff updated the proposed requirement for very low income units from 8% to 9%, which also aligns with both state density bonus law and Council’s direction in the Planned Home Zoning (PHZ) program.
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FISCAL/RESOURCE IMPACT
There is no fiscal impact associated with this action.
STAKEHOLDER ENGAGEMENT
The Planning and Transportation Commission meeting was the opportunity for the public to comment on the proposed ordinance.
ENVIRONMENTAL REVIEW
The adoption of this ordinance is not a project subject to the California Environmental Quality Act, under CEQA Guidelines Section 15061(b)(3), because it can be seen with certainty that adoption of the ordinance will not have a significant impact on the environment.
ATTACHMENTS
Attachment A: Draft Ordinance Amending PAMC Chapter 18.15 and Updating Rental Alternative Regulations
APPROVED BY:
Jonathan Lait, Planning and Development Services Director Item 11
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Ordinance No. _____
Ordinance of the Council of the City of Palo Alto Amending Chapter 18.15 (Density Bonus) of Title 18 (Zoning) of the Palo Alto Municipal Code to Incorporate Changes in State Density Bonus Law and Revising
SECTION 1. Findings and Declarations. The City Council finds and declares as follows:
A. On October 11, 2023, the Governor approved AB 1287, which substantially revised the provisions of State Density Bonus law (Government Code Section 65915), which requires a city to provide a developer that proposes a housing development within the jurisdictional boundaries of that city with a density bonus and other incentives or concessions for the production of lower income housing units, or for the donation of land within the development, if the developer agrees to construct a specified percentage of units for very low income, low- income, or moderate-income households or qualifying residents and meets other requirements.
B. In 2023 and previous years, the Governor has approve d additional revisions to State Density Bonus Law, including AB 323, SB 713, AB 682, AB 2334, SB 290, and SB 728.
C. The City Council is therefore updating Chapter 18.15 (Density Bonus) of Title 18 (Zoning) of the Palo Alto Municipal Code to incorporate these revisions in state law.
SECTION 2. Chapter 18.15 (Density Bonus) of Title 18 (Zoning) of the Palo Alto Municipal Code is amended to read as follows [additions are underlined and deletions struck-through].
18.15.010 Purpose and Applicability
(a) The purpose of this chapter is to:
(a1) Comply with the state density bonus law under California Government Code s Section 65915. To the extent this chapter conflicts with California Government Code Section 65915, the provisions of Section 65915 shall prevail. (b2) Establish procedures fo r implementing state density bonus requirements as set forth in California Government Code Section 65915, as amended. (c3) Facilitate the development of affordable housing consistent with the goals, objectives, and policies of the City’s Comprehensive Plan Housing Element. (b) This chapter applies to all development applications, as defined herein, except:
(1) Developments proposed in conjunction with a rezoning to the Planned Community zone district, which shall be entitled to densities and specific development plans Item 11
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approved as part of the rezoning and shall not be entitled to a density bonus in addition to the units entitled by the rezone.
(2) Developments proposed in conjunction with a development agreement, pursuant to Government Code section 65864- 65869.5, where the development agreement specifies the densities and/or development standards permitted thereunder. (c) Utilization of the benefits afforded by this chapter will preclude an applicant from taking advantage of some local alternatives to state density bonus law, such as the Housing Incentive Program or El Camino Real Focus Area standards set forth in Chapter 18.14.
18.15.020 Definitions
Whenever the following terms are used in this chapter, they shall have the meaning established by this section. To the extent these terms are defined in California Government Code Section 65915, the definitions provided therein shall govern and the following definitions are provided for convenience only:
(a) “Affordable rent” means monthly rent, including a reasonable allowance for utilities and all fees for housing services, for rental restricted affordable units reserved for very low or lower income households, as further defined in the California Health and Safety Code Section 50053. that does not exceed the following:
(i) Very low income: 50% of the area median income for Santa Clara County, adjusted for presumed household size, multiplied by 30% and divided by 12. (ii) Lower income: 60% of the area median income for Santa Clara County, adjusted for presumed household size, multiplied by 30% and divided by 12. (b) “Affordable sales price” means the maximum sales price at which very low, lower and moderate income households can qualify for the purchase of restricted affordable units as set forth in the City of Palo Alto’s Below Market Rate Housing Program. The sales price sh all be considered affordable only if it is based on a reasonable down payment, and monthly housing payments (including interest, principal, mortgage insurance, property taxes and assessments, fire and casualty insurance, homeowners association fees, proper ty maintenance and repairs, and a reasonable allowance for utilities), all as determined by the city, that are equal to or less than the monthly housing costs provided in Health and Safety Code Section 50052.5:
(i) Very low income: 50% of the area median income for Santa Clara County, adjusted for presumed household size, multiplied by 30% and divided by 12. (ii) Lower income: 80% of the area median income for Santa Clara County, adjusted for presumed household size, multiplied by 30% and divided by 12. (iii) Moderate income: 120% of the area median income for Santa Clara County, adjusted for presumed household size, multiplied by 30% and divided by 12.
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(c) “Applicant” means any person, firm, partnership, association, joint venture, corporation, or any entity or combination of entities who seeks development permits or approvals from the City of Palo Alto.
(d) “Approval authority” means the person or body that is authorized to approve a development as specified in the City of Palo Alto Municipal Code. Approval Authority shall also include recommending bodies such as the Architectural Review Board and the Planning and Transportation Commission.
(e) “Below market rate housing program” means Chapter 18.14 16.65 of the Palo Alto Municipal Code and the Administrative Guidelines adopted thereunder for the below market rate program.
(f) “Child care facility” means a child day care facility other than a family day care home, including, but not limited to, infant centers, preschools, extended day care facilities, and school age child care centers.
(g) “Concession or incentive” as used interchangeably means such regulatory concessions as specified in Government Code Section 65915(k) to include:
(i) (1) A reduction of site development standards or architectural design requirements which exceed the minimum applicable building standards approved by the State Building Standards Commission pursuant to Part 2.5 (commencing with Section 18901) of Division 13 of the Health and Safety Code, including, but not limited to, a reduction in setback, coverage, and/or parking requirements which result in identifiable , financially sufficient and actual cost reductions;
(ii) (2) Allowing mixed use development in conjunction with the proposed residential development, if nonresidential land uses will reduce the cost of the residential project and the nonresidential land uses are compatible with the residential project and existing or planned development in the area where the development will be located; and (iii) (3) Other regulatory concessions proposed by the applicant or the city which result in identifiable financially sufficient, and actual cost reductions. (h) “Density bonus” means a density increase , granted pursuant to Government Code Section 65915 and this ordinance , over the otherwise maximum allowable gross residential density as of the date of application granted pursuant to Government Code Section 65915 and this ordinance, or, if elected by the applicant, a lesser percentage of density increase, including, but not limited to, no increase in density.
(i) “Density bonus units” means those dwelling units granted pursuant to the provisions of this chapter which exceed the otherwise maximum allowable gross residential density for the development site.”
(j) “Development” means all developments pursuant to a single application proposal to construct or place five (5) or more additional dwelling units on a lot or contiguous lots including, without limitation, a planned unit development, site plan, subdivision, or conversion Item 11
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of a non- residential building to dwelling units , or substantial rehabilitation of an existing multifamily building where the result of the rehabilitation would be a net increase in available residential units.
(k) “Development standard” means a site or construction condition, other than a control on maximum density, such as a height limitation, a setback, or a floor-area ratio, an onsite open- space requirement, a minimum lot area per unit requirement, or a parking ratio that applies to a development pursuant to any ordinance, general plan element, specific plan, charter, or other city condition, law, policy, resolution, or regulation , including regulations enacted by the electorate exercising the local initiative or referendum power. In zones lacking a dwelling-units- per-acre standard, Floor Area Ratio or FAR acts as a limitation on density and is therefore no t considered a development standard subject to wa iver, incentive, or concession . A “site and construction condition” is a development regulation or law that specifies the physical development of a site and buildings on the site in a development. (l) “Discretionary permit” means any permit issued for the development which requires the exercise of judgment or deliberation from the Approval Authority, including but not limited to conditional use permits, variances, site plans, design review, planned development permits, general and specific plan approvals and amendments, zoning amendments, and tentative and parcel maps.
(m) “Lower, very low, or moderate income” means annual income of a household that does not exceed the maximum income limits for the income category, as adjusted for household size, applicable to Santa Clara County, as published and periodically updated by the State Department of Housing and Community Development pursuant to Sections 50079.5, 50105, or 50093 of the California Health and Safety Code.
(n) "Lower income student" means a student who has a household income and asset level that does not exceed the level for Cal Grant A or Cal Grant B award recipients as set forth in Section 69432.7(k) of the Education Code. The eligibility of a unit for lower income students under this section shall be verified by an affidavit, award letter, or letter of eligibility provided by the institution of higher education in which the student is enrolled or by the California Student Aid Commission t hat the student receives or is eligible for financial aid, including an institutional grant or fee waiver from the college or university, the California Student Aid Commission, or the federal government.
(o) "Major transit stop" has the same meaning as defined in subdivision (b) of Section 21155 of the California Public Resources Code.
(1) “Located within one -half mile of a major transit stop” means that any point on a proposed development is within one -half mile of any point on the property on which a major transit stop is located, including any parking lot owned by the transit authority or other local agency operating the major transit stop.
(n p) “Maximum allowable residential density” or “base density” means the maximum greatest number of dwelling units permitted in the development by the city’s Comprehensive Item 11
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Plan Land Use Element, a specific plan, an area plan, or and Zoning Ordinance at the time of application, excluding the provisions of this chapter. If a range of density is permitted, the greatest number of units allowed by the specific zoning range, specific plan, or Comprehensive Plan Land Use Element shall apply. If the maximum density allowed by the zoning ordinance is inconsistent with the density allowed by the land use element of the city’s Comprehensive Plan, the land use element density shall prevail. However, if the applicable zoning ordinance, specific plan, or land use element does not provide a dwelling -units-per-acre standard for density, then the maximum allowable residential density shall be calculated by:
(1) Estimating the realistic development capacity of the site based on the objective development standards applicable to the project, including, but not limited to, floor area ratio, site coverage, maximum building height and number of stories, building setbacks and stepbacks, public and private open -space requirements, minimum percentage or square footage of any nonresidential component, and parking requirements, unless not required for the base project. Parkin g requirements shall include considerations regarding number of spaces, location, design, type, and circulation. A developer may provide a base density study and the local agency shall accept it, provided that it includes all applicable objective development standards. (2) Maintaining the same average unit size and other project details relevant to the base density study, excepting those that may be modified by waiver or concession to accommodate the bonus units, in the proposed project as in the study. (oq) “Non-restricted unit” means all dwelling units within a development excluding the restricted affordable units.
(p r) “Qualifying mobilehome park” means a mobilehome park that limits residency based on age requirements for housing older persons purs uant to Section 798.76 and 799.5 of the Civil Code.
(q s) “Qualifying resident” means senior citizens or other persons eligible to reside in a senior citizen housing development or qualifying mobilehome park. (r t) “Regulatory agreement” means a recorded and legally binding agreement between an applicant and the city to ensure that the requirements of this chapter are satisfied. The regulatory agreement, among other things, shall establish: the number of restricted affordable units, their size, location, terms and conditions of affordability, and production schedule. (s u) “Replace” means either of the following:
(I 1) If any dwelling units described in Section 18.15.030(i) are occupied on the date that the application is submitted to the City, the proposed housing development shall provide at least the s ame number of units of equivalent size to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as those households in occupancy. For unoccupied dwelling units described in Section 18.15.030(i) in a development with occupied units, the proposed housing development shall provide units of equivalent size or type , or Item 11
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both, to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as the last household in occupancy in the same proportion of affordability as the occupied units . If the income category of the (last) household in occupancy is not known, it shall be rebuttably presumed that lower income renter households occupied these units in the same proportion of lower income renter households to all renter households within the jurisdiction, as determined by the most recently available data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database. All replacement calculations resulting in fractional units shall be rounded up to the next whole number. If the replacement units will be rental dwelling units, these units shall be subject to a recorded affordability restriction for at least 55 years. If the proposed development is for -sale units, the units replaced shall be subject to California Government Code Section 65915(c)(2) . For purposes of this subsection (s) of Section 18.15.020, “equivalent size” means that the replacement units contain at least the same total number of bedrooms as the units being replaced. (ii2) If all dwelling units described in Section 18.15.030(i) have been vacated or demolished within the five-year period preceding the application, the proposed housing development shall provide at least the same number of units of equivalent size, as existed at the highpoint of thos e units in the five -year period preceding the application to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as those persons and families in occupancy at that time, if known. If the incomes of the persons and families in occupancy at the highpoint is not known, it shall be rebuttably presumed that low- income and very low income renter households occupied these units in the same proportion of low -income and very l ow income renter households to all renter households within the jurisdiction, as determined by the most recently available data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database. , then one-half of the required units shall be made available at affordable rent or affordable housing cost to, and occupied by, very low income persons and families and one -half of the required units shall be made available for rent at affordable housing costs to, and occupied by, low - income persons and families . All replacement calculations resulting in fractional units shall be rounded up to the next whole number. If the replacement units will be rental dwelling units, these units shall be subject to a recorded affordability restriction for at least 55 years. If the proposed development is for -sale units, the units replaced shall be subject to California Government Code Section 65915(c)(2). (t v) “Restricted affordable unit” means a dwelling unit within a development which will be available at an affordable rent or affordable sales price for sale or rent to very low, lower or moderate income households.
(u w) “Senior citizen housing development” means a Development consistent with the California Fair Employment and Housing Act (Government Code Section 12900 et. seq., including 12955.9 in particular), which has been “designed to meet the physical and social Item 11
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needs of senior citizens,” and which otherwise qualifies as “housing for older persons” as that phrase is used in the federal Fair Housing Amendments Act of 1988 (P.L. 100 -430) and implementing regulations (24 CFR, part 100, subpart E), and as that phrase is these phrases are used in California Civil Code Sections 51.2, and 51.3, and 51.12. (x)“Shared housing building” means a residential or mixed -use structure, with five or more shared housing units and one or more common kitchens and dining areas designed for permanent residence of more than 30 days by its tenants. The kitchens and dining areas within the shared housing building shall be able to adequately accommodate all residents. If a local ordinance further restricts the attributes of a shared housing building beyond the requirements established in this section, the local definition shall apply to the extent that it does not conflict with the requirements of this section.
(y) “Total units” or “total dwelling units” means a calculation of the number of units that:
(1) Excludes a unit added by a density bonus awarded pursuant to this section or any local law granting a greater density bonus.
(2) Includes a unit designated to satisfy an inclusionary zoning requirement of a city, county, or city and county.
For purposes of calculating a density bonus granted pursuant to this section for a share d housing building, “unit” means one shared housing unit and its pro rata share of associated common area facilities.
(z) “Very low vehicle travel area” means an urbanized area, as designated by the United States Census Bureau, where the existing reside ntial development generates vehicle miles traveled per capita that is below 85 percent of either regional vehicle miles traveled per capita or city vehicle miles traveled per capita. For purposes of this paragraph, “area” may include a travel analysis zone , hexagon, or grid. For the purposes of determining “regional vehicle miles traveled per capita” pursuant to this paragraph, a “region” is the entirety of incorporated and unincorporated areas governed by a multicounty or single -county metropolitan plannin g organization, or the entirety of the incorporated and unincorporated areas of an individual county that is not part of a metropolitan planning organization.
18.15.030 Density Bonuses
This section describes the density bonuses that will be provided, at the request of an applicant, when that applicant provides restricted affordable units as described below. (a) The city shall grant a twenty percent (20%) density bonus when an applicant for a development of five (5) or more dwelling units seeks and agrees to construct at least any one of the following in accordance with the requirements of this Section and Government Code Section 65915:
(I 1) A rental or for -sale development , including a shared housing building, that provides at At least ten percent (10%) of the total dwelling units of the development as restricted affordable units affordable to lower income households. Between ten and Item 11
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twenty percent (10 -20%), f For each one percent (1%) increase in the percentage of restricted lower income units up to twenty percent ( 20%) of total units, a development will receive an additional one and one-half percent (1.5%) density bonus up to thirty-five percent (35%) density bonus of the maximum residential density . For each one percent (1%) increase in the percentage of restricted lower income units exceeding twenty percent (20%) of total units , a development will receive an additional three and three - quarters percent (3.75%) density bonus up to fifty percent (50%) density bonus of the maximum residential density; or
(ii 2) A rental or for- sale development , including a shared housing building, that provides at At least five percent (5%) of the total dwelling units of the development as restricted affordable units affordable to very low income households. Between five and eleven percent (5 -11%), f For each one percent (1%) increase in the percentage of restricted ve ry low income units up to eleven percent (11%) of total units , a development will receive an additional two and one -half percent (2.5%) density bonus up to thirty -five percent (35%) density bonus of the maximum residential density . For each one percent (1%) increase in the percentage of restricted very low income units exceeding eleven percent (11%) of total units , a development will receive an additional three and three -quarters percent (3.75%) density bonus up to fifty percent (50%) density bonusof the maximum residential density; or
(iii 3) A senior citizen housing development; or
(iv 4) A qualifying mobilehome park; or
(v 5) At least ten percent (10%) of the total dwelling units of the development for transitional foster youth, as defined in Section 66025.9 of the Education Code, disabled veterans, as defined in Section 18541 of the Government Code, or homeless persons, as defined in the federal McKinney-Vento Homeless Assistance Act (42 U.S.C. Sec. 11301 et seq.). The units described in this subsection shall be subject to a recorded affordability restriction of 55 years and shall be provided at the same affordability level as very low income units.
(b) The city shall grant a five percent (5%) density bonus when an applicant for a development of five (5) or more additional dwelling units seeks and agrees to construct a development, in accordance with the requirements of this Section and Government Code Section 65915, in which at least 10 percent (10%) of the total dwelling units of a housing development are sold to persons and families of low or moderate income households, provided that all dwelling units in the developm ent are offered to the public for purchase. For each one percent (1%) increase in the percentage of restricted moderate income units between ten and forty percent (10-40%) of total units, a development will receive an additional one percent (1%) density bo nus up to thirty -five percent (35%) density bonus of the maximum residential density. For each one percent (1%) increase in the percentage of total dwelling units restricted for moderate income households exceeding forty percent (40%), a development will r eceive an additional three and three -quarters percent (3.75%) density bonus up to fifty percent (50%) of the maximum residential density.
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(c) The city shall grant a thirty -five percent (35%) density bonus when an applicant for a student housing development of five (5) or more additional dwelling units seeks and agrees to construct in accordance with the requirements of this section and Government Code Section 65915:
(i 1) At least twenty percent (20%) of the total dwelling units will be restricted and used for lower income students.
(ii 2) For purposes of calculating a density bonus granted pursuant to this subparagraph, the term "un it" as used in this subparagraph means one rental bed and its pro rata share of the associated common area facilities. The units described in this subparagraph shall be subject to an affordability restriction of 55 years. (iii 3) All units will be used e xclusively for undergraduate, graduate, or professional students enrolled full time at an institution of higher education accredited by the Western Association of Schools and Colleges or the Accrediting Commission for Community and Junior Colleges.
(iv 4) The applicant submits evidence that the applicant entered into an operating agreement or master lease with one or more institutions of higher education for the institution(s) to occupy all units of the student housing development with students from that institution(s).
(v 5) The rent provided in the applicable units of the development for lower income students shall be calculated at thirty percent (30%) of sixty -five percent (65%) of the area median income for Santa Clara County for a single-room occupancy unit type. (vi 6) The applicant will provide priority for the applicable affordable units for lower income students experiencing homelessness. A homeless service provider, as defined in paragraph (3) of subdivision (e) of Section 103577 of the Heal th and Safety Code, or institution of higher education that has knowledge of a person's homeless status may verify a person's status as homeless for purposes of this subclause. (d) The city shall grant a n eighty percent (80%) density bonus to a develo pment if the following criteria apply: one hundred percent (100%) of all units in the development, including total units and density bonus units, but exclusive of manager's unit or units, are for lower income households, as defined by Section 50079.5 of the Health and Safety Code, except that twenty percent (20%) of the units in the development, including total units and density bonus units, may be for moderate -income households, as defined in Section 50053 of the Health and Safety Code. For rental units, rents shall be restricted as set forth in Government Code section 65915(c)(1)(B)(ii). The city will not impose any maximum controls on density if either of the following apply:
(i 1) Except as otherwise provided in clause (ii), the city will grant a density bonus of eighty percent (80%) of the number of units for lower income household s The housing development is located in a very low vehicle travel area within a designated county.
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(ii 2) If the The development is located within one -half mile of a major transit stop, the city will not impose any maximum controls on density.
(e) When calculating the number of permitted density bonus units, any fractions of units shall be rounded to the next highest number Each component of any density calculation, including base density and bonus density, resulting in fractional units shall be separately rounded up to the next whole number. An applicant may elect to receive a density bonus that is less than the amount permitted by this section; however, the city shall not be required to similarly reduce the number of restricted affordable units required to be dedicated pursuant to this section and Government Code Section 65915(b).
(f) Each development is entitled to only one density bonus, which shall be selected by the applicant based on the percentage of very low , low, or moderate -income restricted affordable units, lower income restricted affordable units, or moderate income restricted affordable units , or the development’s status as a senior citizen housing development or qualifying mobilehome park, or the development's provision of restricted affordable units for transitional foster youth, disabled veterans , lower income students, or homeless persons. Density bonuses from more than one category may not be combined. Except as provided for in 18.15.030(d) and 18.15.035, in no case shall a development be entitled to a density bonus of more than fifty percent (50%). (g) The density bonus units shall not be included when determining the number of restricted affordable units required to qualify for a density bonus. When calculating the required number of restricted affordable units, any resulting decimal or fraction shall be rounded to the next larger integer.
(h) Any restricted affordable unit provided pursuant to the city’s below market rate housing program shall be included when determining the number of restricted affordable units required to qualify for a density bonus or other entitlement under this chapter. However, the payment of a housing impact or in lieu fee shall not qualify for a density bonus or other entitlement under this chapter.
(i) An applicant (or project) shall be ineligible for a density bonus or any other incentives or concessions under this chapter if the housing development is proposed on any property that includes a parcel or parcels on which rental dwelling uni ts are located or, if the dwelling units have been vacated or demolished in the five -year period preceding the application, have been subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of low er or very low income; subject to any other form of rent or price control through the City’s valid exercise of its police power; or occupied by lower or very low income households, unless the proposed housing development replaces those units, and either of the following applies:
(i 1) The proposed housing development, inclusive of the units replaced pursuant to this paragraph, contains affordable units at the percentages set forth in Section 18.15.030.
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Ordinance Amending
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(ii 2) Each unit in the development, exclusive of a manager’s unit or units, is affordable to, and occupied by, either a lower or very low income household. (j) Certain other types of develo pment activities are specifically eligible for a density bonus pursuant to state law:
(i 1) A development may be eligible for a density bonus in return for land donation pursuant to the requirements set forth in Government Code Section 65915(g). (ii 2) A condominium conversion may be eligible for a density bonus or concession pursuant to the requirements set forth in Government Code Section 65915.5. (iii 3) An applicant for a commercial development who has entered into an agreement for partnered housing may be eligible for a density bonus pursuant to the requirements set forth in Government Code Section 65915.7.
(k) As provided in Section 18.15.080(c), development proposed with rezoning to the Planned Community zone district are entitled to densities approved as part of the rezoning and shall not be entitled to a density bonus in addition to the units entitled by the rezone. (l k) Notwithstanding any provision of this chapter, all developments must satisfy all applicable requirements of the city’s Below Market Rate Housing Program in Chapter 16.65, which may impose requirements for restricted affordable units in addition to those required to receive a density bonus or concessions.
(l) For sites where Title 18 , a Specific Plan, or the C omprehensive Plan do not expressly prescribe a maximum number of dwelling units per acre and FAR therefore acts as the limitation on density , the base density shall be calculated by estimating the realistic development capacity, as described in Section 18. 15.020(p). In such circumstances, the density bonus shall be granted as additional floor area in proportion to the number of bonus units proposed. The Director of Planning and Development Services may issue additional guidance on the application of this section.
Table 1 summarizes the density bonus provisions described in this Section.
Table 1
Density Bonus Summary Table
Restricted
Affordable
Units (RAUs)
or Category
Minimum
Percentage of
RAUs
Percentage of
Density Bonus
Granted
Additional
Bonus for
Each 1%
Increase in
RAUs
Percentage of
RAUs Required
for 35%
Density Bonus
Percentage of
RAUs Required
for Maximum
50% Density
Bonus
Very Low
Income
5% 20% 2.50%
(3.75% bonus
11% 15%
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for increases
above 11%
RAU)
Lower Income 10% 20% 1.50%
(3.75% bonus
for increases
above 20%
RAU)
20% 24%
Moderate
Income
10% 5% 1%
(3.75% bonus
for increases
above 40%
RAU)
40% 44%
Lower Income
Student
Housing
20% 35% ----- ----- -----
Senior Citizen
Housing
100% 20% ------ ------ ------
Qualifying
Mobile Park
100% 20% ------ ------ ------
100%
Affordable
Units
100% 80% (or no
maximum
density)
----- ----- -----
Note: A density bonus may be selected from only one category.
18.15.035 Additional Density Bonus
(a) Provided that the resulting housing development would not restrict more than 50 percent of the total units to moderate -income, lower income, or very low income households, the city shall grant one additional density bonus calculated pursuant to parag raph ( b) when an applicant proposes to construct a housing development that conforms to the requirements of section 18.15.030, agrees to include additional rental or for -sale units affordable to very low income households or moderate income households, and meets any of the following requirements:
(1) The housing development conforms to Section 18.15.030(a)(1) and provides twenty - four percent (24%) of the total units for lower income households.
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(2) The housing development conforms to Section 18.15.03 0(a)(2) and provides fifteen percent (15%) of the total units for very low income households. (3) The housing development conforms to Section 18.15.030(b) and provides forty -four percent (44%) of the total units for moderate income households. (b) The additional density bonus granted under this Section shall be calculated as follows:
Table 2
Additional Density Bonus
Percentage Very Low
Income Units
Percentage Density
Bonus
Percentage Moderate
Income Units
Percentage Density
Bonus
5 20 5 20
6 23.75 6 22.5
7 27.5 7 25
8 31.25 8 27.5
9 35 9 30
10 38.75 10 32.5
11 35
12 38.75
13 42.5
14 46.25
15 50
18.15.040 Development Standards for Affordable Units (a) Restricted affordable units shall be constructed concurrently with non -restricted units unless both the city and the applicant agree within the regulatory agreement to an alternative schedule for development.
(b) Moderate income restricted affordable units shall remain restricted and affordable to the designated inco me group for a minimum period of 55 years (or a longer period of time if required by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program). Very low and lower restricted affordable units shall remain restricted and affordable to the designated income group for a period of 55 years for both rental and for -sale units (or a longer period of time if required by a construction or mortgage financing assistance program, mortgage insurance program, or rent al subsidy program).
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(c) In determining the maximum affordable rent or affordable sales price of restricted affordable units, the presumed household size as set forth in the city’s Below Market Rate Housing Program shall be used, unless the developmen t is subject to different assumptions imposed by other governmental regulations.
(d) Restricted affordable units shall be built on- site and be dispersed within the development, except as permitted in the city’s Below Market Rate Housing Program guidelines in subsection (e) of this section. The number of bedrooms of the restricted affordable units shall be equivalent to the bedroom mix of the non- restricted units in the development; except that the applicant may include a higher proportion of restricted affordable units with more bedrooms. The design, square footage, appearance and general quality of the restricted affordable units shall be compatible with the design of the non- restricted units in the development. The development shall comply with all applicable development standards, except those which may be modified as provided by this chapter. (e) A regulatory agreement, as described in Section 18.15.100, shall be made a condition of the discretionary permits for all developments pursuant to this chapter. The regulatory agreement shall be recorded as a restriction on the development. The regulatory agreement shall be consistent with the city’s Below Market Rate Housing Program guidelines.
18.15.050 Development Concessions and Incentives
This section includes provisions for providing concessions or incentives pursuant to Government Code Section 65915.
(a) By right parking incentives. Upon request by the applicant, a development that is eligible for a density bonus may provide parking as provided in this subsection (a), consistent with Government Code Section 65915(p), inclusive of parking for persons with a disability and guests:
(i 1) Zero to one bedroom unit: one on-site parking space; (ii 2) Two to three bedroom unit: one and one-half on-site parking spaces; (iii 3) Four or more bedroom unit: two and one-half parking spaces.
If the total number of spaces required results in a fractional number, it shall be rounded up to the next whole number. For purposes of this sub section, this parking may be provided through tandem parking or uncovered parking, but not through on-street parking. (b) Additional parking incentives for transit oriented project. (i 1) For purposes of this subdivision, a development shall have un obstructed access to a major transit stop if a resident is able to access the major transit stop without encountering natural or constructed impediments. For purposes of this subdivision, "natural or constructed impediments" includes, but is not limited to , freeways, rivers, mountains, and bodies of water, but does not include residential structures, shopping centers, parking lots, or rails used for transit.
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(A) Notwithstanding subdivision (a) above, if a development includes at least twenty percent (20%) of low-income or at least eleven percent (11%) of very low income units provided for in section 18.15.030(a)( i 1) or (ii 2), or at least forty percent (40%) moderate -income units provided for in section 18.15.030(b), and is located within one -half mile of a major transit stop, as defined in subdivision (o) of Section 65915 of the Government Code, and there is unobstructed access to the major transit stop from the development, then, upon request of the applicant, the city shall not impose a vehicular parkin g ratio, inclusive of parking for persons with a disability and guests, that exceeds 0.5 spaces per unit. (ii 2) Notwithstanding subdivision (a) above, if a development consists solely of rental units, exclusive of a manager’s unit, with an affordable ho using cost to lower income families, as provided in Section 50052.5 of the Health and Safety Code, then, upon the request of the applicant, the city shall not impose vehicular parking standards if the development meets one of the following criteria:
(A) The development is located within one -half mile of a major transit stop, as defined in subdivision (o) of Section 65915 of the Government Code, and there is unobstructed access to the major transit stop from the development, the ratio shall not exceed 0.5 spaces per unit.
(B) The development is a for -rent housing development for individuals who are 62 years of age or older that complies with Sections 51.2 and 51.3 of the Civil Code, and the development has either paratransit service or unobstructed access, within one -half mile, to fixed bus route service that operates at least eight times per day.
(C) The development is either a special needs housing development, as defined in Section 51312 of the Health and Safety Code, or a supportive housing development, as defined in Section 50675.14 of the Health and Safety Code. A development that is a special needs housing development must have either paratransit service or unobstructed access, within one -half mile, to fixed bus route service that operates at least eight times per day. (iii 3) Notwithstanding paragraphs (b)(i), (b)(ii)(A), and (b)(ii)(B), the city may impose a higher vehicular parking ratio not to exceed the ratio described in subdivision (a) if the city has conducted an area wide or citywide park ing study in compliance with Government Code Section 65915(p)(8).
(c) Other incentives and concessions. A development is eligible for other concessions or incentives as follows:
(i 1) One concession or incentive for a development that makes at least ten percent (10%) of the total dwelling units affordable to lower income households; or at least five percent (5%) of the total dwelling units affordable to very low income households; o r at least ten percent (10%) of the total dwelling units affordable to moderate income Item 11
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households in a development in which the units are for sale; or at least twenty percent (20%) of the total units in a student housing development for low income students , as provided for in 18.15.030(c).
(ii 2) Two concessions or incentives for a development that makes at least seventeen percent (17%) of the total dwelling units affordable to lower income households; or at least ten percent (10%) of the total dwelling units affordable to very low income households; or at least twenty percent (20%) of the total dwelling units affordable to moderate income households in a development in which the units are for sale. (iii 3) Three concessions or incentives for a development that makes at least twenty - four percent (24%) of the total dwelling units affordable to lower income households; or at least fifteen percent (15%) of the total dwelling units affordable to very low income households, or at least thirty percent (30%) of the total dwelling units affordable to moderate income households in a development in which the units are for sale. (4) Four incentives or concessions for least 16 percent (16%) of the units for very low income households or at least 45 percent (45%) for persons and families of moderate income in a development in which the units are for sale. (iv 5) Four Five concessions or incentives for a development that provides one hundred percent (100%) of the total units, exclusive of a manager's unit or units, are for lower income households, as described in Section 18.15.030, subdivision (d). If the project is located within one -half mile of a major transit stop or is located in a very low vehicle travel area in a designated county , the . Such development may additionally receive a height increase of three stories or thirty-three (33) feet.
Table 2 3 summarizes the provisions of Concessions or Incentives described in subsection (a).
Table 3 2
Concessions and Incentives Summary Table
Target Group Restricted Affordable Units
Very Low Income 5% 10% 15% 16% ---
Lower Income 10% 17% 24% --- 100%
Moderate Income (Applicable to For-Sale Units
Only)
10% 20% 30% 45% ---
Lower Income Student Housing 20% --- --- --- ---
Maximum Incentive(s)/Concession(s) 1 2 3 4 5
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Notes:
1. Concessions or incentives may be selected from only one category (very low, lower, moderate, low income student development)
2. No concessions or incentives are available for land donation, or for senior citizen housing developments and qualifying mobilehome parks that do not contain restricted affordable units.
3. In a student development, a “unit” is defined according to 18.15.030(c)(ii). (d) In submitting a request for concessions or incentives, an applicant may request the specific concessions set forth below. The concessions and incentives are deemed not to have a specific adverse impact as defined in Section 18.15.090 (b)(ii). (i) Up to a 25% average reduction of a side yard setback requirement if the design is consistent with the applicable design standards and guidelines, unless adjacent to R -1, R -2, RMD and other low density residential zones;
(ii) Up to a 25% average r eduction of the rear yard setback requirements so long as the setback is consistent with the applicable design standards and guidelines, unless adjacent to R - 1, R-2, RMD and other low density residential zones;
(iii) A percentage increase in the he ight limit equal to the Density Bonus percentage for which the development is eligible if necessary to accommodate the restricted affordable units, with a maximum increase of one foot per affordable unit, unless adjacent to R -1, R-2, RMD and other low density residential zones, and no event to exceed fifty (50) feet; (iv) An increase in the floor area ratio (FAR) up to 25% or up to the square footage of the restricted affordable units, whichever is less. Any FAR bonus under this section shall be consistent with the applicable height requirements and only apply to the residential portion of the mixed use project;
(v) Reduction in daylight plane requirements not to exceed 25% of the length of the adjacent lot line, so long as the intrusion is c onsistent with applicable design standards and guidelines, unless adjacent to R-1, R-2, RMD and other low density residential zones; (vi) Up to fifty percent (50%) increase over the maximum site coverage requirement or up to the square footage of the restricted affordable units, whichever is less; (e) The setbacks referenced in this section shall not include special setbacks as defined in Section 20.08.020.
(f) The setbacks referenced in this section shall only apply to the residential portion of any mixed use (residential and non-residential) development where it is feasible to setback portions of the development differently.
(d) The city shall not require , as a condition of granting a concession or incentive the preparation of an additional report or study that is not otherwise required by state law. The Item 11
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city may, however, request reasonable documentation to demonstrate that the incentive or concession meets the definition set forth in Section 18.15.020. (g e) Nothing in this chapter shall be construed to require the provision of direct financial concessions for the development, including the provision of publicly owned land by the city or the waiver of fees or dedication requirements.
18.15.060 Waiver/Modification of Development Standards (a) An applicant may apply for a the waiver or modification of development standards that will have the effect of physically precluding the construction of a development at the densities or with the concessions or incentives permitted by this chapter. The developer must demonstrate that develo pment standards that are requested to be waived or modified will have the effect of physically precluding the construction of a development meeting the criteria of subsection (a) of Section 18.15.030 at the densities or with the concessions or incentives permitted by this chapter. A development that receives a waiver from any maximum controls on density pursuant to Section 18.15.030(d)(1) and (d)(2) shall not be eligible for waivers or modifications to development standards pursuant to this Section. (b) For sites on which floor area acts as the limitation on density, additional floor area shall be permitted to accommodate bonus units proposed, as set forth in Section 18.15.030(l), and no additional waiver of floor area is permitted.
18.15.070 Child Care Facilities
(a) When an applicant proposes to construct a development that is eligible for a density bonus under Section 18.15.030 and includes a child care facility that will be located on the premises of, as part of, or adjacent to, the development, the city shall grant either:
(i 1) An additional density bonus that is an amount of square feet of residential space that is equal to or greater than the square footage of the child care facility; or (ii 2) An additional concession or incentive that contributes s ignificantly to the economic feasibility of the construction of the child care facility. (b) The city shall require, as a condition of approving the development, that the following occur:
(i 1) The child care facility shall remain in operation for a period of time that is as long as or longer than the period of time during which the restricted affordable units are required to remain affordable pursuant to Section 18.15.040. In the event the childcare operations cease to exist, the Director of Planning and Development Services may approve an alternative community service use for the child care facility. (ii 2) Of the children who attend the child care facility, the children of very low, lower and moderate income households shall equal a percentage that is equal to or greater than the percentage of restricte d affordable units in the development that are required for very low, lower and moderate income households pursuant to Section 18.15.030.
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(c) Notwithstanding subsections (a) and (b) above, the city shall not be required to provide a density bonus or a concession or incentive for a child care facility if it finds, based upon substantial evidence, that the community has adequate child care facilities.
18.15.080 Application Requirements
An Application for a density bonus, incentive, concession, waiver, modification or revised parking standard shall be made as follows:
(a) All applications for a density bonus, incentive, concession, waiver , modification or revised parking standard shall be submitted with the first application for a discretionary permit for a development and shall be processed concurrently with those discretionary permits. The application shall be on a form prescribed by the city and shall include the following information:
(i 1) A brief description of the proposed development, including the total number of dwelling units, restricted affordable units, and density bonus units proposed. (ii 2) The zoning and comprehensive plan designations and assessor’s parcel number(s) of the project site, and a description of any density bonus, concession or incentive, waiver or modification, or revised parking standard requested (iii 3) A vicinity map and preliminary site plan, drawn t o scale, including building footprints, driveway and parking layout.
(iv 4) Site plan showing location of market -rate units, restricted affordable units, and density bonus units within the proposed development;
(v 5) Level of affordability of the restricted affordable units and proposed method to ensure affordability;
(b) (6) If a concession or incentive is requested, the following information must be included in the application:
(i) A a brief explanation as to the actual cost reductio n achieved through the concession or incentive.
(ii) For concessions and incentives that are not included within the menu of incentives/concessions set forth in subsection (c) of Section 18.15.050, the application requires the submittal of the project proforma or other comparable documentation (referred to herein as the "proforma information") to the Director, providing evidence that the r equested concessions and incentives result in identifiable and actual cost reductions. The cost of reviewing the project proforma information, including, but not limited to, the cost to the city of hiring a consultant to review the financial data, shall be borne by the applicant. The proforma information shall include all of the following items:
(A) The actual cost reduction achieved through the concession; (B) Other information requested by the Planning Director. The Planning Director may require additional information as is required to evaluate the proforma information; Item 11
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(c) (7) If a waiver or modification of development standards is requested, the following information must be included in the application:
(i) A a brief explanation of why the development standard would physically preclude the construction of the development with the density bonus, incentives, and concessions requested.
(ii) Evidence that the development standard for which the waiver is requested will have the effect of physically precluding the construction of the development with the density bonus and concessions requested;
(d b) If a density bonus or concession is requested for a land donation, the application shall show the location of the land to be dedicated, provide proof of site control, and provide evidence that all of the requirements and each of the findings included in Government Code Section 65915(g) can be made;
(e c) If a density bonus or concession is requested for a child care facility, the application shall show the location and square footage of the child care facilities and provide evidence that all of the requirements and each of the findings included in Government Code Section 65915(h) can be made.
(f d) If a density bonus or concession is requested for a condominium conversion, the applicant shall provide evidence that all of the requirements found in Government Code Section 65915.5 can be met.
(g e) In accordance with state law, neither the granting of a concession, incentive, waiver, modification, or revised parking standard, nor the granting of a density bonus, shall be interpreted, in and of itself, to require a general plan amendment, zoning change, variance, or other discretionary approval.
(h) The Planned Community (PC) zone district is intended to accommodate developments requiring flexibility under controlled conditions not attainable under other zoning districts.
Because of the flexible nature of the PC zone, which determines site specific requirements including density, the chapter does not apply to this zoning district. (i) This chapter implements state density bonus law. Any density bonus, incentive, concession, revised parking standard, waiver, or modification sought by an ap plicant shall be made pursuant to this chapter and may not be combined with similar requests under state density bonus law.
18.15.090 Review Procedures
An application for a density bonus, incentive, concession, waiver, modification or revised parking standard shall be acted upon by the Approval Authority concurrently with the application for the first Discretionary permit. The granting of a density bonus shall not be deemed approval of the entire Project or approval of any subsequent discretionary permit.
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(a) Before approving an application for a density bonus, incentive, concession, waiver, modification or revised parking standard, the Approval Authority shall make the following findings, as applicable:
(i 1) The development is eligible for the density bonus and any concessions, waivers, modifications, or revised parking standards requested.
(ii 2) Any requested concession or incentive will result in identifiable and actual cost reductions based upon the financial analysis and documentation provided. The city finds that the concessions and incentives included in Section 18.15.050(c) will result in identifiable and actual cost reductions.
(iii 3) If the density bonus is based all or in part on donation of land, a finding that all the requirements included in Government Code Section 65915(g) have been met. (iv 4) If the density bonus, concession or incentive is based all or in part on the inclusion of a child care facility, a finding that all the requirements included in Government Code Section 65915(h) have been met.
(v 5) If the concession or incentive includes mixed- use development, a finding that all the requirements included in Government Code Section 65915(k)(2) have been met. (vi 6) If a waiver or modification is requested, a finding that the development standards for which the waiver is requested would have the effect of physically precluding the construction of the development with the density bonus and concessions permitted. (b) Any granted density bonus and/or concession(s) shall terminate with the demolition, destruction or other removal of the structure receiving the density bonus and/or concession. (c) If the findings required by subsection (a) for a concession, incentive or waiver of this Section cannot be made, the Approval Authority may deny an application for a concession, incentive, waiver or modification only if it makes one of the following writt en findings, supported by substantial evidence:
(i 1) The concession or incentive does not result in identifiable and actual cost reductions required to provide for affordable rents or affordable sales prices; or (ii 2) The concession, incentive, waive r or modification would have a specific, adverse impact upon public health or safety or the physical environment or on real property listed in the California Register of Historic Resources, and there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact without rendering the development unaffordable to low and moderate income households. For the purpose of this subsection, “specific adverse impact” means a significant, quantifiable, direct, and unavoidable impact, based on objective, identified, written public health or safety standards, policies, or conditions as they existed on the date that the application for the development was deemed complete; or
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(iii 3) The concession, incentive, waiver or modification is contrary to state or federal law.
(d) If the Approval Authority is not the City Council, any decision denying a density bonus, incentive, concession, waiver, modification or revised parking standard may be appealed to the City Council within fourteen days of the date of the decision.
18.15.100 Regulatory Agreement
(a) AApplicants for a density bonus, incentive, concession, waiver, modification or revised parking standard shall enter into a regulatory agreement with the city in a form acceptable to the City Attorney . The terms of the draft agreement shall be approved as to form by the City Attorney an d reviewed and revised as appropriate by the Director of Planning and Development Services, who shall formulate a recommendation to the Approval Authority for final approval.
(b) Following execution of the agreement by all parties, the completed density bonus regulatory agreement, or memorandum thereof, shall be recorded and the conditions filed and recorded on the development.
(c) The approval of the regulatory agreement shall take place prior to tentative map approval, and re cordation shall take place prior to final map approval The executed regulatory agreement shall be recorded on the development prior to approval of a final map , or, where a map is not being processed, prior to approval of the final discretionary permit issuance of a building permit. The regulatory agreement shall be binding to all future owners and successors in interest.
(d) The regulatory agreement shall be consistent with the guidelines of the city’s Below Market Rate Program and shall include at a minimum the following:
(i 1) The total number of dwelling units approved for the development, including the number of restricted affordable units;
(ii 2) A description of the household income group to be accommodated by the restricted affordable units, and the standards for determining the corresponding affordable rent or affordable sales price;
(iii 3) The location, dwelling unit sizes (square feet), and number of bedrooms of the restricted affordable units;
(iv 4) Term of use rest rictions for restricted affordable units of at least 55 years for moderate income units and at least 55 years for low and very low units; (v 5) A schedule for completion and occupancy of restricted affordable units; (vi 6) A description of any concessi on, incentive, waiver, modification, or revised parking standard, if any, being provided by the city;
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(vii 7) A description of remedies for breach of the agreement (the city may identify tenants or qualified purchasers as third party beneficiaries under the agreement); (8) That any restricted affordable unit offered for sale: is initially sold to and occupied by a person of family of very low, low, or moderate income, or, if not purchased by an income-qualified household within 180 days after the issuanc e of a certificate of occupancy, the unit is purchased by a qualified non- profit housing corporation, in accordance with Government Code section 65915(c)(2); and (viii 8) Other provisions to ensure implementation and compliance with this section.
SECTION 3. As provided in Section 16.65.080(C)(1) of the Palo Alto Municipal Code , the City Council hereby determines that the following percentages of rental affordable units that are equivalent to provision of on -site for-sale affordable units or payment of housing impact fees .
This supersedes Section 5 of Ordinance No. 5409.
Required Affordable Rental Units
(Where rental alternative requested under 16.65.080(C))
Income Category
Rental Alternative to For-Sale
Units
(Sites Less than 5 Acres)*
On-Site Alternative for
Rental Residential
(no condo map)
Very Low Income 9%
Low Income 15% 15%
Moderate Income N/A N/A
Total 15% 9% VLI or 15% LI**
*Rental alternative equivalents for projects over 5 acres will be subject to Council approval on a case by case basis.
** For Residential Rental Projects, the Director of Planning and Development Services or City Council may approve the provision of a lesser amount of affordable rental units, provided that the remainder of the housing obligation is paid in housing impact fees. For example, if a project may propose to restrict 6% of its dwelling units at rents affordable to very low income households, these units would represent 75% of the project’s affordability obligati ons and the remaining 25% could be paid in impact fees; housing impact fees due would be calculated by taking 25% of the impact fee that would otherwise apply to the project.
SECTION 4. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the Ordinance would be subsequently declared invalid or unconstitutional.
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SECTION 5. The Council finds that the Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that updating the municipal co de to incorporate existing changes in State Density Bonus Law will not have a significant effect on the environment.
SECTION 6. This Ordinance shall be effective on the thirty -first date after the date of its adoption.
INTRODUCED:
PASSED:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
ATTEST:
____________________________ ____________________________ City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
____________________________ ____________________________ Assistant City Attorney City Manager
____________________________
Director of Planning and
Development Services
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City Council
Staff Report
Report Type: CONSENT ITEMS
Lead Department: City Clerk
Meeting Date: May 6, 2024
Report #:2402-2635
TITLE
Policy & Services Committee Recommendation Regarding State and Federal Legislative and Budgetary Updates and Positions on Pending State Legislation
RECOMMENDATION
The Policy & Services Committee recommends the City Council confirm support positions for AB 2485, SB 903, SB 915 and receive the attached reports for a state and federal legislative update.
BACKGROUND AND ANALYSIS
The Policy & Services Committee received an update on state and federal legislative and budgetary issues at the April 9, 2024 meeting (Staff Report 2403-2801) 1. The Committee unanimously recommended that the City Council confirm support positions for AB 2485, SB 903, SB 915. All three bills fit within the City’s Legislative Guidelines and thus staff is only asking Council to confirm the proposed positions.
AB 2485 will enhance transparency in the Housing and Community Development’s regional housing needs calculation process. SB 903 will prohibit the manufacture, distribution, or sale of “forever chemicals.” SB 915 will grant local governments regulatory authority of autonomous vehicles operating in their jurisdictions.
The Committee asked staff for additional information about the funding that the City receives from the State government. Staff researched this information within the 1-hours rule and found the following information:
In FY 2024, as of 3/31/24, a total of $41.2M has been received from the state. Of this amount:
•$36.4M are for State Revolving Loan Fund reimbursements for two major capital projects at the Regional Water Quality Control Plant
•$2.6M in grants, majority being the Local Housing Trust Fund •$2M for the Newell Bridge Project, allocated under Priority Legislative Budget Projects 1 Item 1, Action Item, https://portal.laserfiche.com/Portal/DocView.aspx?id=71537&repo=r-704298fc Item 12
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Included in this update is a memo from Townsend Public Affairs (TPA) (Attachment A) with the status of state bills on which the City has adopted positions and bills TPA is monitoring for the City. The memo details each bill’s summary and status, its Palo Alto-specific impact, and the City’s position. The Committee also recommended some additional bills to be placed on the monitoring list and Townsend will include those on future update lists if the bills are shown to have Palo Alto impact and are moving forward this legislative session.
FISCAL/RESOURCE IMPACT
There is no additional funding needed for this update report. The City Council budgets annually for legislative advocacy services and these efforts are led by staff in the City Clerk’s Office with stakeholder support across departments on key issues.
STAKEHOLDER ENGAGEMENT
Staff from multiple departments are involved in the legislative process. Staff help to review the impacts of bills as well as discuss grant opportunities linked to state and federal programs.
ENVIRONMENTAL REVIEW
The City’s legislative advocacy activities are not a project under section 15378(b)(25) of the California Environmental Quality Act Guidelines (administrative activities that will not result in direct or indirect physical changes in the environment).
ATTACHMENTS
Attachment A: Update Memo from Townsend Public Affairs
Attachment B: Bill Analysis on AB 2485
Attachment C: Bill Analysis on SB 903
Attachment D: Bill Analysis on SB 915
APPROVED BY:
Mahealani Ah Yun, City Clerk
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1 M E M O R A N D U M
To: Council Members Kou, Lythcott-Haims, and Tanaka
(Policy and Services Committee)
cc:Ed Shikada, City Manager; Chantal Cotton Gaines, Deputy City Manager From: Townsend Public Affairs
Niccolo De Luca, Vice President
Carlin Shelby, Associate
Date: March 22, 2024
Subject: State and Federal Legislative Updates
Townsend Public Affairs, Inc. (TPA) has prepared this report for the City of Palo Alto’s Policy and Services Committee to provide a summary of State and Federal efforts, highlight the current status of the legislative process, and identify various pieces of legislation that may be of interest to the City.
State Legislative Updates
The State Legislature convened the second year of the 2023-2024 legislative session on January 3, 2024. Since then, the Legislature has introduced a total of 2,124 bills before the bill introduction deadline of February 16. Of the total bills introduced, there were 619 Senate Bills and 1,505 Assembly bills. This total is comparable to previous legislative sessions, which typically hover around 2,000- 2,200 bill introductions total.
Following this bill introduction milestone, the months of March and April will continue to be focused on policy committee hearings, which serve as the first filter for the consideration of the practical impacts of proposed legislation. The first house policy committee process is a critical time to suggest policy amendments to bills before they move on to their appropriations Committee for consideration of their fiscal impact (if there is one) and the floor for consideration from the entire legislative body. Notable trends that have emerged during the 2024 Legislative Session include development impact fee transparency and delays, organized theft prevention, utility rate affordability, and autonomous and active transportation reforms, among others.
Priority Legislation for the City of Palo Alto
1. Bills With City Positions
The following chart provides an overview of bills with pending positions taken as of March 22, 2024.
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2 BILL SUMMARY/STATUS CITY IMPACT POSITION
SB
1193
(Menjivar)
Phases out the sale and use of leaded airplane
fuel at airports in California
Status: Pending consideration from the Senate
Environmental Safety and Toxic Materials
Committee
This bill is likely to result in
airplane emissions and
health impacts associated
with the flight paths over the
City, which aligns with the
City’s Legislative Guidelines.
City Position:
Support
2. Bills With Recommended Action
The following chart features four measures that TPA advocates have identified at this time with recommendations for the City to take a formal position on. Based on the existing legislative guidelines, the City could take these positions through Mayoral review pending Council consideration and approval.
BILL SUMMARY / STATUS CITY IMPACT RECOMMENDATION
SB
1210
(Skinner)
Prohibits utility hook-up fees from exceeding 1%
of the reported building permit value of the unit
for new housing construction.
Status: Pending consideration from the Senate
Energy, Utilities, and Communications
Committee.
If passed, this bill could
negatively impact local utility
revenues and could impact
service quality long-term.
Recommendation:
Oppose
AB 2485
(Carrillo)
Enhances transparency in HCD’s regional
housing needs calculation process by creating an
advisory panel and requiring the publication of
methodologies used on HCD’s website.
Status: Pending consideration from the Assembly
Housing Committee.
For future RHNA cycles, this
bill would increase
transparency for how HCD
calculates its regional
housing needs numbers,
which could offer the City
more clarity moving forward.
Recommendation:
Support
SB 903
(Skinner)
Beginning 2030, prohibits the manufacture,
distribution, or sale of any product that contains
intentionally added PFAS. Requires the
Department of Toxic Substances Control to
include on its website products that meet criteria
for unavoidable use and requires them to be
reassessed regularly.
Status: Pending consideration from the Senate
Environmental Quality Committee.
If passed, this bill could work
to reduce the presence of
“forever chemicals” in public
water supplies, thus
increasing public health and
alleviating costs and
resources associated with its
remediation.
Recommendation:
Support
SB 915
(Cortese)
Grants local authority over the operations and
regulations for autonomous self-driving vehicles.
Status: Pending consideration from Senate Local
Government Committee.
Given the presence of self-
driving vehicles in the City
and the Bay Area, this bill
would offer the city more
local control over the
operations of these vehicles
to protect the public’s safety.
Recommendation:
Support
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3 3. Notable bills with Recommendations to Monitor Progress The following chart encompasses priority legislation TPA advocates are monitoring on behalf of the City (in addition to the bills listed in the previous tables). Any positions shared beyond “Monitoring” is as of this moment based on current TPA advocates recommendations and are subject to change, pending a review of each bill’s impact on the City. Should the City Council or staff note any additional pieces of legislation to incorporate into this chart, TPA advocates will gladly accommodate.
BILL SUMMARY POSITION
Energy and Utilities
AB 2037
(Papan)
Grants county sealers jurisdiction over publicly-operated electric vehicle (EV) charger to test all weight and measuring devices. Authorizes county sealers to charge a "registration fee" to cities they service.
Monitoring
AB 2427
(McCarty)
Requires GO-Biz's Zero-Emission Vehicle Market Development Office to develop a model permitting checklist, model zoning ordinances, and best practices for permit costs and permit review timelines to help local governments permit curbside charging stations as part of the office’s development of the Electric Vehicle Charging Station Permitting Guidebook or any subsequent updates. The bill would also require the office to consult with local governments, electric vehicle service providers, and utilities while developing the above-described materials.
Monitoring
AB 2601
(Ramos)
Requires that energy-efficient appliances provided pursuant to the Energy Savings Assistance Program shall only replace natural gas appliances with electric appliances.
Monitoring
AB 2619
(Connolly)
Repeals the CPUC net energy metering 3.0 (NEM 3.0) ruling that cut incentives for customers to install solar and would restore the previous net energy metering incentives/market.
Monitoring
AB 3011 (Bains)
Provides that any electrical rate schedule that imposes rates on vulnerable customers (senior citizens, medically or economically vulnerable, etc.) above baseline rates during any hour where the temperature is above 90 degrees Fahrenheit for the duration of the hour is considered an unreasonable hardship.
Monitoring
Environmental Quality
AB 2346 (Lee)
Authorizes local jurisdictions to be credited for the procurement of recovered organic waste products through an agreement with a direct service provider and would allow the direct service provider agreement to include the procurement of recovered organic waste products on a prospective or retrospective basis as long as the purchase of those products occurs during the year for which the local jurisdiction seeks credit. The bill also allows local governments to count investments made for the expansion of capacity of compostable materials into their procurement targets.
Monitoring
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4 BILL SUMMARY POSITION
Governance and Transparency
AB 2032 (Addis)
Existing law establishes Brown Act remote teleconferencing allowances for local agency officials and limits them to no more than 3 consecutive months or 20% of the regular meetings for the local agency within a calendar year, or more than 2 meetings if the legislative body regularly meets fewer than 10 times per calendar year. This bill would revise those limits, instead prohibiting such participation for more than a specified number of meetings per year, based on how frequently the legislative body regularly meets.
Monitoring
SB 1032
(Seyarto)
Allows local agencies additional time to respond to PRA requests during a state of emergency. Monitoring
Homelessness
AB 2338
(Jones-Sawyer)
Requires the Governor to appoint a Statewide Homelessness Coordinator to serve as the lead person for ending homelessness in California. The Coordinator would be tasked with identifying a local leader in eeach local government throughout the state to collaborate on homeless solutions.
Monitoring
SB 1011
(Jones)
Prohibits unhoused individuals from loitering on public property, so long as peace officers provide them with 72 hours of notice and resources related to available services and housing.
Monitoring
Housing and Land Use
AB 1889
(Friedman)
Requires local governments to incorporate a wildlife connectivity plan into the next update or amendment to its general plan beginning after January 1, 2025 Monitoring AB 1886
(Alvarez)
Clarifies that the builder’s remedy is applicable to cities and counties that have not received official certification of housing element compliance from HCD.
Additionally creates a rebuttable presumption of the validity of HCD’s findings as to whether an adopted element or amendment complies with housing law.
Monitoring
AB 2243
(Wicks)
Makes various changes to the objective standards and affordability and site criteria applicable to an affordable housing development or mixed-income housing development subject to the streamlined, ministerial review process under AB 2011 (Statutes of 2023)
Monitoring
AB 2430
(Alvarez)
Prohibits local governments from charging monitoring fees on developments that include a 100% affordability component for lower income households and have received a density bonus. Additionally, the bill phases out all monitoring fees on existing properties that meet these standards beginning 2025.
Monitoring
AB 2553
(Friedman)
Revises zoning standards by which a local government may impose a vehicular traffic impact fee from a “transit station” to a “major transit stop,” thus narrowing the applicability of sites eligible for the imposition of those fees. The bill further modifies the definition of what constitutes a major transit stop to increase the frequency of service intervals from 15 to 20 minutes.
Monitoring
AB 2584 (Lee) Prevents institutional investors that own more than 1,000 single-family homes from purchasing additional properties and converting them into rentals. Monitoring AB 3057
(Wilson)
exempts from CEQA the adoption of an ordinance by a city or county to provide for the creation of junior accessory dwelling units in single-family residential zones.
Monitoring
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5 BILL SUMMARY POSITION
SB 1211
(Skinner)
Streamlines the development of ADUs on properties with multifamily housing. (In spot form, lacks substantive language) Monitoring
SB 1212
(Skinner)
Bars hedge funds and other corporate investment entities from buying single- family homes in California. Monitoring
Labor Relations and Retirement
AB 2561
(McKinnor)
Requires each public agency with bargaining unit vacancy rates exceeding 10% for more than 90 days within the past 180 days to meet and confer with a representative of the recognized employee organization to produce, publish, and implement a plan consisting of specified components to fill all vacant positions within the subsequent 180 days.
Monitoring
SB 1116
(Portantino)
Allows striking workers to collect unemployment insurance benefits after two weeks. Monitoring
Public Safety
AB 2309
(Muratsuchi)
Authorizes the city attorney of any general law city or chartered city to prosecute any misdemeanor committed within the city arising out of violation of state law without the consent of the district attorney.
Monitoring
AB 2574
(Alvarez)
Codifies existing case law from 2019, which determined that unlicensed recovery homes operating as part of a licensed treatment facility located elsewhere may be considered unlawful business use within a residential zone.
Monitoring
SB 22 (Umberg)
Proposes Proposition 47 reforms including aggregating theft amounts to amount to grant theft felony, adding enhancements for organized theft crimes, includes enhancements for the trafficking and furnishing of fentanyl, among other provisions.
Monitoring
SB 905 (Wiener)
Removes hurdles to prosecutors holding auto burglars accountable by removing the requirement that a victim prove a vehicle was locked in order to establish a crime.
Monitoring
Revenue and Taxation
AB 2488 (Ting)
Authorizes a local government to designate one or more downtown revitalization and economic recovery financing districts for the purpose of financing office-to-residential conversion projects with incremental tax revenues generated by office-to-residential conversion projects within the district.
Monitoring
AB 2813
(Aguiar-Curry)
Makes statutory changes to ACA 1 which will appear on the November 2024 ballot to lower the voter threshold for the passage of general obligation bonds from 2/3 to 55%. This bill modifies the allowable uses of funds generated via bonds to include affordable housing programs. Further, the bill specifies that special taxes are limited to a useful life of at least 15 years or 5 years if the funds are used for public safety purposes. The bill also specifies that a local government may commit revenues to projects or programs administered by nonprofit organizations for affordable or permanent supportive housing programs.
Monitoring
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6 BILL SUMMARY POSITION
SB 955
(Seyarto)
Requires the Office of Planning and Research, upon appropriation by the Legislature, to establish the Infrastructure Gap-Fund Program to provide grants to assist local agencies in developing and constructing infrastructure projects.
Monitoring
Transportation
AB 2744
(McCarty)
Beginning on January 1, 2025, prohibits the addition of a right-turn or travel lane within 20 feet of a marked or unmarked crosswalk where there is not already a dedicated and marked right-turn or travel lane, and prohibits vehicles from using this 20-foot area for right turns unless the area is already marked as a dedicated right-turn lane before January 1, 2025.
Monitoring
SB 1031
(Wiener)
Authorizes Bay Area voters to consider a measure to fund climate-friendly transportation investments in the San Francisco Bay Area as early as 2026. requires a minimum of $750 million in revenues from a future Bay Area transportation measure to be annually allocated to public transportation operations and regional transit coordination initiatives directly related to operations spending,
Monitoring
State Budget Update
State lawmakers this year are focused on mediating the issues associated with an anticipated budget deficit. Following the release of the Governor’s January Budget Proposal which outlined a spending plan to absorb the impacts of a $38 billion deficit, the nonpartisan Legislative Analyst’s Office (LAO) did its own update to State Revenues and projected deficit. The LAO reports a revised budget shortfall of $73 billion which is $15 billion more than was previously forecasted in December. These numbers contrast significantly with the Governor’s budget proposal, mostly due to anticipations surrounding revenue returns.
The LAO said that the actual budget shortfall will depend on a variety of factors, such as mandatory Proposition 98 spending on schools and community colleges. To mitigate the impacts of this anticipated shortfall, the LAO suggests that lawmakers find “new budget solutions” to ensure a balanced budget for the 2024-25 fiscal year. The LAO said solutions could include increasing revenue, reducing either – or both – one-time and ongoing spending, and exploring the possibility of cost shifts or dipping into reserves.
Lawmakers are exploring a number of proposed avenues to temporarily cut one-time spending to manage the issue, totaling $16 billion. Categories of cuts include business and labor, criminal justice, education, health and human services, housing and homelessness, resources and environment, and transportation.
Looking forward, the budget process will continue to unfold with the introduction of April tax receipts, which could change the deficit picture. The Department of Finance emphasizes that the State is still forecasted to see more than $51 billion in income and corporate tax receipts. The State’s progressive taxing structure oftentimes leads to a boom and bust cycle with most revenues tied to the performance of high-income earners. This creates volatile budget cycles, which can change within a matter of months depending on revenue returns.
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7 The Legislature is in the process of creating a counter-budget proposal which will kick off negotiations between both houses and the Governor’s office. The next few weeks will feature budget committee hearings and additional insights into the Legislature’s spending and saving priorities.
FEDERAL UPDATES
Update on Congressionally Directed Spending Submittal
The City/TPA team worked in partnership to draft, fine-tune, and submit a congressionally directed spending request for infrastructure funding to help redevelop the Buena Vista Mobile Home Park.
The Park, a locally significant affordable housing resource, is in desperate need of sustainable redevelopment, including 100% electrification. An award would assist the predominantly Latinx and very low-income residents who call it home. This application was in partnership with the Santa Clara County Housing Authority and was submitted to Senator Padilla, Senator Feinstein, and Congresswoman Eshoo.
On March 9, the President signed the first tranche of Appropriations Bills into law, which included the earmark for the Buena Vista Mobile Home Park in the amount of $850,000. The funding is expected to be delivered to the Santa Clara County Housing Authority within the next few weeks.
Looking forward, the TPA team has completed an application for funding from the FY 2025 congressionally directed spending request process to Senator Butler for the Fire Station #4 Replacement Project in the amount of $3 million. TPA will replicate this application to put forward for Senator Padilla and Congresswoman Eshoo as well.
Federal Budget Update
On March 22, congressional leaders reached an agreement with the White House on a package of funding bills, finally bringing the Fiscal Year 2024 federal government funding debate to a close.
The deal includes roughly $1.2 trillion in funding for key federal departments. These include the Departments of:
•Defense
•Homeland Security
•State
•Treasury
•Labor
•Health and Human Services
•Education
In a true sign of compromise, leaders from both political parties claimed legislative victories as part of the agreement. Congressional Republicans are touting a boost in migrant detention beds from 34,000 to 42,000, a pay increase for US troops, cuts to diversity programs and the Pentagon’s climate change program, and a six percent cut to foreign aid. Democrats are celebrating 12,000 new visas for Afghan migrants, as well as increases to Title I education funding, Head Start, cancer research, and Alzheimer’s research.
Additionally, this latest package would boost funding for the Defense and Homeland Security departments and provide a 5.2% pay raise for troops. State-Foreign Operations funding would be Item 12
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8 reduced by six percent from Fiscal Year 2023 levels; other agencies, such as the Education Department, would also be cut. The bill also includes funding for the construction of a new FBI headquarters.
The agreement, which had been held up in recent weeks over Homeland Security funding, would expand detention facilities for migrants but doesn’t include sweeping border policy changes Republicans sought.
Other policy riders included in the package are a measure that bans US embassies from displaying LGBTQ+ Pride flags, block funding for the United Nations Relief and Works Agency, prohibits the government from banning gas stoves, and provides 12,000 new visas for Afghans who helped the US during the Afghanistan War. The longstanding Hyde Amendment, which restricts funds for most abortions, is maintained, while other Republican-backed abortion restrictions were omitted.
Finally, the measure rescinds about $20 billion in tax enforcement funds for the IRS provided by Democrats’ 2022 tax, health, and climate law.
Congress will now immediately turn its attention toward funding for Fiscal Year 2025.
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State Capitol Office ▪ 925 L Street • Suite 1404 • Sacramento, CA 95814 • Phone (916) 447-4086 • Fax (916) 444-0383 Federal Office ▪ 600 Pennsylvania SE • Suite 207 • Washington, DC 20003 • Phone (202) 546-8696 • Fax (202) 546-4555 Southern California Office ▪ 1401 Dove Street • Suite 330 • Newport Beach, CA 92660 • Phone (949) 399-9050 • Fax (949) 476-8215 Central California Office ▪ 744 P Street • Suite 308 • Fresno, CA 93721 • Phone (949) 399-9050 • Fax (949) 476-8215 Northern California Office ▪ 300 Frank Ogawa Plaza • Suite 204 • Oakland, CA 94612 • Phone (510) 835-9050 • Fax (510) 835-9030 MEMO
M E M O R A N D U M
To:City of Palo Alto
From:Townsend Public Affairs
Date:March 22, 2024
Subject: Bill Analysis: AB 2485 (Carrillo)
The official text of AB 2485 can be found here.
Summary
AB 2485 (Carrillo) seeks to enhance transparency in the Department of Housing and Community Development’s (HCD) regional housing needs calculation process by creating an advisory panel and requiring the publication of methodologies used on HCD’s website. Specifically, AB 2485:
•Requires, for the 7th and subsequent revision cycles of the housing element, the assembly and convening of an advisory panel that includes, among others, an expert on the data assumptions by each council of governments to advise HCD on the assumptions and methodology it will use to determine each region housing need. •Requires the advisory panel to be comprised of the following:
oA United States Census Bureau-affiliated practitioner. oAn expert on population projections and transportation needs, and oA representative from the council of governments.
•Requires HCD to publish on its Internet website the data sources, analyses, and methodology, including the assumptions and factors used in and applied to the Department of Finance projections and engagement process with the council of governments, prior to finalization of the regional determination.
Status
AB 2485 was amended into its current form on March 19 and is pending policy committee scheduling.
Author’s Statement
“In March 2022, the State Auditor conducted an emergency audit to examine the RHNA process and identified several errors in HCD’s housing projections, resulting in a decrease in the housing Item 12
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2 amounts. Specifically, Sacramento COG fell short by 2,484 housing units and Santa Barbara COG by 1,338 units.
The State Auditor attributed HCD’s miscalculations to a lack of oversight in staff data entry and a failure to consider all factors required by state law in its estimates. Additionally, the State Auditor stated that shortcomings in calculations and support for HCD’s factor considerations risk eroding public confidence in their ability to provide accurate information to COGs about housing needs.
In 2021, the Orange County COGs filed a lawsuit against HCD, claiming that HCD used inaccurate data rates in their evaluations. In a separate lawsuit, individuals and nonprofit corporations argued that HCD failed to consider factors required by law in its assessment for the San Francisco Bay Area COGs.
The State Auditor recommended a formal review process and thorough documentation measures to ensure that all RHNA calculations provided to COGs by the HCD are accurate.
AB 2485 aims for transparency in the RHNA determination process by providing COGs, housing stakeholders, members of the public, and all interested parties with information on the data sources, analyses, and calculation methods used by HCD. This bill would establish a formal review process by creating an expert panel to advise HCD on its assumptions, data, and analyses prior to a final RHNA determination.”
Support and Opposition
AB 2485 is officially sponsored by the Southern California Association of Governments (SCAG).
There are no officially recorded entities registered in support or opposition as of March 22. The release of the measure’s first policy committee analysis will reveal more.
Recommended Position
Support
This bill will increase local government stakeholder engagement on the RHNA allocations for future cycles of the housing element revision process. This in turn will increase transparency and ensure that HCD is responsible for its methodologies in assessing regional housing needs allocations.
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State Capitol Office ▪ 925 L Street • Suite 1404 • Sacramento, CA 95814 • Phone (916) 447-4086 • Fax (916) 444-0383 Federal Office ▪ 600 Pennsylvania SE • Suite 207 • Washington, DC 20003 • Phone (202) 546-8696 • Fax (202) 546-4555 Southern California Office ▪ 1401 Dove Street • Suite 330 • Newport Beach, CA 92660 • Phone (949) 399-9050 • Fax (949) 476-8215 Central California Office ▪ 744 P Street • Suite 308 • Fresno, CA 93721 • Phone (949) 399-9050 • Fax (949) 476-8215 Northern California Office ▪ 300 Frank Ogawa Plaza • Suite 204 • Oakland, CA 94612 • Phone (510) 835-9050 • Fax (510) 835-9030 MEMO
M E M O R A N D U M
To:City of Palo Alto
From:Townsend Public Affairs
Date:March 22, 2024
Subject: Bill Analysis: SB 903 (Skinner)
The official text of SB 903 can be found here.
Summary
SB 903 prevents the sale and use of products containing per- and polyfluoroalkyl substances — commonly known as “PFAS” — unless the use of PFAS in the product is necessary and there is not a safer alternative available. Specifically, SB 903:
•Prohibits a person from distributing, selling, or offering for sale a product that contains intentionally added PFAS by 2030
•Provides a narrow exemption if the Department of Toxic Substances Control has made a determination that the use of PFAS in the product is currently unavoidable, the prohibition is preempted by federal law, or the product is used.
•Requires the Department of Toxic Substances Control to maintain on its internet website a list of each determination of currently unavoidable use, when each determination expires, and the products and uses that are exempt from the prohibition. •Imposes a civil penalty for a violation of the prohibition. Additionally establishes the PFAS Penalty Account and requires all civil penalties received to be deposited into that account and, upon appropriation by the Legislature, to be used for the administration and enforcement of the provisions.
•Requires the Department of Toxic Substances Control to adopt regulations to implement the provisions of the bill by 2027.
Status
SB 903 has been referred to the Senate Environmental Committee with a hearing date set for April 3.
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2 Author’s Statement
“PFAS are used in a wide range of products because of their stain- and water-resistant and nonstick properties. Forever chemicals are used in clothing, packaging, plastic food ware, cleaning products, ski waxes, menstrual products, metal products, paints, propellants, coatings, and much more.
According to a new data report by the Natural Resources Defense Council (NRDC), PFAS has been found in water systems serving at least 25.4 million Californians. A study commissioned by the Centers for Disease Control and Prevention identified PFAS in the breast milk, umbilical cord blood, or bloodstreams of 98% of participants. A 2023 report by the U.S. Geological Survey estimated that nearly half of the nation's tap water is contaminated with forever chemicals. In addition to being associated to higher rates of kidney and testicular cancer, exposure to PFAS has been linked to high cholesterol and harmful impacts on the liver, kidneys, and immune, nervous, and reproductive systems.
Toxic PFAS chemicals have contaminated our water, air, food, and even our bodies. PFAS can cause harm at vanishingly low levels — and yet we continue to pump out vast new quantities of them into the worl. This bill is a sensible and comprehensive approach to phase out unnecessary uses of PFAS so that we stop adding to an already enormous problem.” Support and Opposition
SB 903 is sponsored by the California Association of Sanitation Agencies, Breast Cancer Prevention Partners, Clean Water Action, and Environmental Working Group. The release of the measure’s first policy committee analysis will reveal more.
Recommended Position
Support
This bill could result in public health benefits and resource and cost savings associated with removing PFAS from public water utilities.
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State Capitol Office ▪ 925 L Street • Suite 1404 • Sacramento, CA 95814 • Phone (916) 447-4086 • Fax (916) 444-0383 Federal Office ▪ 600 Pennsylvania SE • Suite 207 • Washington, DC 20003 • Phone (202) 546-8696 • Fax (202) 546-4555 Southern California Office ▪ 1401 Dove Street • Suite 330 • Newport Beach, CA 92660 • Phone (949) 399-9050 • Fax (949) 476-8215 Central California Office ▪ 744 P Street • Suite 308 • Fresno, CA 93721 • Phone (949) 399-9050 • Fax (949) 476-8215 Northern California Office ▪ 300 Frank Ogawa Plaza • Suite 204 • Oakland, CA 94612 • Phone (510) 835-9050 • Fax (510) 835-9030 MEMO
M E M O R A N D U M
To:City of Palo Alto
From:Townsend Public Affairs
Date:March 22, 2024
Subject: Bill Analysis: SB 915 (Cortese)
The official text of SB 915 can be found here.
Summary
SB 915 grants local governments control over the rules and regulations self-driving autonomous vehicles must follow before being deployed within communities. Specifically, SB 915:
•Prohibits an autonomous vehicle service from operating within a jurisdiction unless authorized by a local government ordinance.
•Authorizes each city, county, or city and county in which an autonomous vehicle has received authorization to operate, to protect the public health, safety, and welfare by adopting an ordinance or resolution in regard to autonomous vehicle services within that jurisdiction.
•Requires local governments that adopt an ordinance or resolution to include certain provisions within that ordinance or resolution. These would include a policy for entry into the business of providing autonomous vehicle services including a permitting program, the establishment of reasonable vehicle caps and hours of service restrictions, and the establishment of an interoperability or override system accessible by first responders in case of an emergency.
•Authorizes local governments to levy service charges, fees, or assessments in the amount sufficient to pay for the costs of carrying out an ordinance or resolution adopted in regard to autonomous vehicle services.
•Makes it unlawful to operate an autonomous vehicle service without a valid permit to operate issued by the local jurisdiction in which the service is substantially located, with violations subject to administrative fines.
•Authorizes a local government to enter into an agreement with another local government to form a joint powers authority or into an agreement with a transit agency for the purpose Item 12
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2 of regulating or administering autonomous vehicle services within jurisdictional boundaries.
Status
SB 915 has been referred to the Senate Local Government Committee with a hearing date scheduled for April 3.
Author’s Statement
None available at this time
Support and Opposition
SB 915 is sponsored by the League of California Cities and has received support from other Bay Area jurisdictions with autonomous vehicle operating agreements in place. The official committee analysis will reveal a more comprehensive list of supporters and opponents.
Recommended Position
Support
This bill provides for additional local control over the operations and licensing of autonomous vehicle services. Given Palo Alto’s location in the Bay Area and proximity to tech sectors, this bill could provide additional guardrails for future agreements with autonomous vehicle companies, providing for the safety and well-being of residents.
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City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: Human Resources
Meeting Date: May 6, 2024
Report #:2404-2918
TITLE
Adoption of a Resolution to Appoint Katherine Murdock of Baker Tilly US, LLP as City Auditor; CEQA status – Not a Project
RECOMMENDATION
The Council Appointed Officers Committee recommends the City Council appoint Katherine Murdock, Certified Internal Auditor (CIA), Certified Government Auditing Professional (CGAP) of Baker Tilly US, LLP, as Palo Alto’s City Auditor
BACKGROUND
The Palo Alto Charter provides that the City Council appoint an Auditor who serves at the Council’s will. The Charter describes the Auditor’s key duties. (See Charter, Art. IV, sections 1 and 12).
The City entered a contract with Baker Tilly US, LLP, as Palo Alto‘s City Auditor, effective October 1, 2020. In May of 2022, the Council Appointed Officers (CAO) Committee recommended and the Council approved an amendment to that contract to extend the term to June 30, 2025. Under that contract, the City has appointed several individuals from Baker Tilly to perform the duties of the City Auditor. In February 2024, Baker Tilly informed the City that the previous City Auditor vacated the appointed position.
ANALYSIS
On March 11, 2024, the City Council discussed the interview process for the selection of a City Auditor. After discussion, the City Council directed staff and Baker Tilly to coordinate interviews for the Council Appointed Officers (CAO) Committee to interview the qualified candidates and narrow the selection of the candidates for Council to interview up to three candidates. After completing the interview process, Katherine Murdock has been selected for the position of City Auditor as provided in the Charter, on an ongoing basis.
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serving in auditor and risk analyst roles for municipal governments, including Austin Energy, the City of Austin’s Office of the City Auditor and the City of Sunnyvale. Her experience includes enterprise risk management, internal audits, and performance audits for local governments and municipal utilities. Other specific experience includes fraud mitigation, contract compliance, financial and business process audits, and gap analyses to provide recommendations for improved operations.
The appointment of Katherine Murdock as City Auditor will begin immediately and end on the expiration of the agreement for outsourced internal auditing services between the City of Palo Alto and Baker Tilly US, LLP, including any amendment, extension, or termination approved by the Council, or, consistent with at-will service, at the Council’s discretion at an earlier date as determined by Council.
FISCAL/RESOURCE IMPACT
There is no resource impact associated with this appointment. The Baker Tilly contract is executed and budgeted in the FY 2024 Adopted Budget.
STAKEHOLDER ENGAGEMENT
The interview process for this City Auditor selection was previously discussed in public meetings, and City Council directed this appointment.
ENVIRONMENTAL REVIEW
Council action on this item is not a project as defined by CEQA because appointing a City Auditor is a continuing administrative activity. CEQA Guidelines section 15378(b)(2).
ATTACHMENTS
Attachment A: Resolution Appointing Katherine Murdock as Palo Alto City Auditor APPROVED BY:
Sandra Blanch, Human Resources Director
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NOT YET APPROVED Attachment A
Resolution No. ____
A Resolution of the City Council for the City of Palo Alto Appointing Katherine Murdock, Certified Internal Auditor, Baker Tilly US, LLP, as the Palo Alto City Auditor.
R E C I T A L S
A. The Palo Alto City Charter specifies the duties and functions of the City Auditor for the City of Palo Alto;
B. The Charter further specifies that the City Council shall appoint the City Auditor;
C. Since October 1, 2020, the City has procured City Auditor services through a professional services agreement with Baker Tilly US, LLP;
D. In February 2024, Baker Tilly informed the City that the previous City Auditor vacated the appointed position;
E. The Council requested up to three candidates from Baker Tilly US, LLP and conducted interviews with candidates to serve as City Auditor;
NOW, THEREFORE, the Council of the City of Palo Alto RESOLVES as follows:
SECTION 1. The Council hereby appoints Katherine Murdock, Certified Internal Auditor, Baker Tilly US, LLP, as City Auditor for the City of Palo Alto; SECTION 2. Katherine Murdock shall serve as City Auditor at the will of the Council as provided by the Charter, and shall further serve according to all of the terms and provisions of the Charter, the Municipal Code and the agreement for outsourced internal auditing services between the City of Palo Alto and Baker Tilly US, LLP; and,
SECTION 3. Nothing in this action confers employment or other employment rights, responsibilities and obligations to Katherine Murdock or Baker Tilly US, LLP; and,
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NOT YET APPROVED Attachment A
SECTION 4. This resolution shall be effective immediately. The appointment of Katherine Murdock as City Auditor shall begin immediately and end on the expiration of the agreement for outsourced internal auditing services between the City of Palo Alto and Baker Tilly US, LLP, including any amendment, extension or termination approved by the Council, or, consistent with at-will service, at the Council’s discretion at an earlier date as determined by Council.
INTRODUCED AND PASSED:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
ATTEST:
City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
Deputy City Attorney City Manager
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City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: Transportation
Meeting Date: May 6, 2024
Report #:2403-2735
TITLE
Approval of Contract Amendment Number 6 to Contract C18171057 with AECOM to increase compensation by $297,206 for a new total not to exceed of $3,894,034 and Extend the Term for Six Months for Additional Studies, Outreach, and Support for Rail Grade Separation Projects along Caltrain Corridor; CEQA status – statutorily exempt under CEQA section 15262 (feasibility and planning study).
RECOMMENDATION
Staff recommends that the City Council approve and authorize the City Manager or designee to execute Contract Amendment No. 6 to Contract C18171057 with AECOM, to increase compensation by $297,206 and to extend the contract by six months, to increase the scope of services to update to project materials, conduct outreach, and support for the Railroad Grade Separation Projects at Churchill Avenue (PL-24000) and Meadow Drive/Charleston Road (PL- 24001). This Contract Amendment results in a revised contract total not-to-exceed amount of $3,894,034.
EXECUTIVE SUMMARY
Staff recommends that the City Council approve and authorize the City Manager to execute Amendment No. 6 to Contract C18171057 with AECOM for the Railroad Grade Separation Projects at Churchill Avenue (PL-24000) and Meadow Drive/Charleston Road (PL-24001) for the technical services and professional support and to increase the compensation by $297,206 on a time and material basis for a total not-to-exceed amount of $3,894,034 and extending the contract to April 30, 2025. This amendment will allow AECOM to perform updates to the project materials including conceptual plans, profiles, sections, renderings, fact sheets, costs etc. and assist staff in conducting outreach as directed by the Rail Committee and the City Council on the remaining rail crossing alternatives.
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BACKGROUND & ANALYSIS
The City Council approved a contract with AECOM to serve as the primary consultant for the Connecting Palo Alto Rail Grade Separation Project on April 16, 2018 (C18171057) for the contract in the amount of $1,278,660 ( Staff Report 91001). Following the original contract, City executed the following amendments:
•Amendment No. 1 on June 24, 2019 (Staff Report 104632), •Amendment No. 2 on June 23, 2020 (Staff Report 112733), •Amendment No. 3 on April 26, 2021 (Staff Report 121534), •Amendment No. 4 on May 16, 2022 ( Staff Report 143415), •Amendment No. 5 on April 23, 2024 (6 Month Time Extension only).
These contract amendments provided for professional services and continuity of support for rail grade separation projects. These tasks included the development of conceptual alternatives, conducting technical studies, and providing outreach efforts and assistance to the City staff. The consultant has completed majority of tasks in the existing contract amendments that includes developing and refining conceptual plans, conducting additional studies (traffic study, noise and vibration study, preliminary geotechnical study, sea level rise assessment, heat island effect, and storm runoff analysis). In addition, the Consultant has also completed update to other project materials as directed for update to renderings and a summary of the evaluation of the Council adopted criteria.
In November 2023, the Caltrain Staff provided an update on the four-tracking analysis at a Rail Committee Study Session (Caltrain Presentation 6). In addition, the City also received technical review comments from Caltrain staff on the Partial Underpass and Closure with Mitigation Alternatives at Churchill Avenue and for Hybrid, Viaduct, and Underpass Alternatives at Meadow Drive and Charleston Road crossings. These comments were discussed in detail at the January 23, 2024, Rail Committee meeting (Staff Report 2311-23037). At this meeting, the Rail committee 1 City Council, April 16, 2018; CMR ID # 9100: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas- minutes-reports/reports/city-manager-reports-cmrs/year-archive/2018/9100.pdf 2 City Council, June 24, 2019; CMR ID# 10463 https://www.cityofpaloalto.org/files/assets/public/v/1/agendas- minutes-reports/reports/city-manager-reports-cmrs/year-archive/2019/id-10463.pdf 3 City Council, June 23, 2020; CMR ID# 11273: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas- minutes-reports/reports/city-manager-reports-cmrs/year-archive/2020/id-11273.pdf 4 City Council, April 26, 2021; CMR ID# 12153: https://www.cityofpaloalto.org/files/assets/public/v/2/agendas- minutes-reports/reports/city-manager-reports-cmrs/year-archive/2021/id-12153.pdf 5 City Council, May 23, 2022, CMR ID# 14341
https://cityofpaloalto.primegov.com/Public/CompiledDocument?meetingTemplateId=12256&compileOutputType =1
6 Rail Committee, November 21, 2023,
https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=d2057565-6b16-44eb-b5eb-2a021fad2f24 7 Rail Committee, January 23, 2024, CMR ID# 2311-2308:
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directed staff to coordinate with Caltrain staff to determine the material changes needed for the alternative concepts to address updated standards guiding the substantial changes in the concepts of the alternatives.
Subsequently, City staff and consultant conducted several meetings with Caltrain staff to understand how addressing Caltrain comments and adhering to Caltrain Standards will impact the conceptual design alternatives and understand the high-level material changes that may be required to the concepts. A follow-up with the Rail Committee was conducted on March 19 and April 16, 2024 (Staff Report 2402-2675 8) presented key findings on the impacts to various alternatives and discussed the material changes required for various alternatives.
Therefore, staff requested AECOM Consultants to provide a proposal for the additional services and ongoing support as discussed and directed by the Rail Committee at these meetings on a time and material basis, including support from sub-consultants. The scope includes the following major tasks:
•Design Criteria update: Update the design criteria based on the new Caltrain standards and comments received on the conceptual plans.
•Plans, Profiles, and Sections Update: Update plans for Partial Underpass at Churchill Avenue, Underpass Alternatives at Meadow and Charleston, Viaduct/Hybrid at Meadow and Charleston Crossing to accommodate the future four tracking needs and to accommodate Caltrain comments and concerns on the conceptual plans •Fact Sheets, Matrix, and Renderings Update: Update project materials such as sections, renderings, fact sheets, and matrix to provide materials for community outreach, the Rail Committee, and the City Council review
•Additional outreach and Technical Support: Update Virtual townhall to reflect all updates and to conduct additional outreach.
FISCAL/RESOURCE IMPACT
At the request of the City, the Consultant provided the proposal for the additional scope of work on a time and material basis. Following negotiations between the City and the Consultant, the amendment to the contract is proposed in the amount of $297,206.
Funding required for Contract Amendment #6 is available in the FY 2024 Adopted Capital Budget for Railroad Grade Separation Projects at Churchill Avenue (PL 24000) and Meadow Drive/Charleston Road (PL 24001). The existing AECOM Contract including Amendments 1-5 totals $3,596,828. Based on the amount proposed in Contract Amendment #5 of $297,206, the total contract amount for the AECOM Contract would increase to $3,894,034. There is adequate funding available from Measure B grade separation project allocated to these projects to fund this contract amendment. Staff will work with VTA to amend the funding agreement to include 8 https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=e904b581-a3c4-4aa1-b637-6a9542fe8ecb Item 14
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these additional tasks.
STAKEHOLDER ENGAGEMENT
The Rail Committee meetings are held regularly, focusing on ongoing matters related to rail grade separation projects. During study sessions, action items, and public comments, the committee actively seeks input and feedback from the community. Meeting details are communicated to the public through the City calendar and meeting notifications, ensuring transparency and accessibility. As these meetings are open to the public, community members have the opportunity to voice their comments and concerns directly to the rail committee and the City.
ENVIRONMENTAL REVIEW
The proposed action is part of a planning study for a possible future action, which has not been approved, adopted, or funded and is therefore exempt from the California Environmental Quality Act (CEQA) in accordance with CEQA Guidelines Section 15262. The future decision to approve the construction of any one of the identified potential alternatives would be subject to CEQA and require the preparation of an environmental analysis. Environmental review and design for the grade separation project will be performed in the subsequent steps of the project development.
ATTACHMENTS
Attachment A: AECOM, Contract Amendment No. 6
APPROVED BY:
Philip Kamhi, Chief Transportation Official
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City of Palo Alto
Form Vers.: Aug. 5, 2019